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CNN This Morning

Judge Sentences Combs To Four Plus Years In Prison And $500,000 Fine; Government Shutdown Will Last At Least Until Monday; Israel And Hamas Appear To Move Forward On Trump's Peace Plan; White House Concerned About Political Fallout From Shutdown; Trump Posts "Grim Reaper" A.I. Video About Potential Mass Firings; Combs' Lawyers Argue Sentence Was "Un-American" And Plan To Appeal; Tariffs Push Up Halloween Prices, Limit Choices. Aired 7-8a ET

Aired October 04, 2025 - 07:00   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


(COMMERCIAL BREAK)

[07:01:05]

VICTOR BLACKWELL, CNN ANCHOR: It's Saturday, October 20 -- October 4th. I'm rushing through the month. Let's slow it down. It's October 4th. You made it to at least the first weekend.

Welcome to CNN THIS MORNING. I'm Victor Blackwell.

Here is what we're working on for you this morning.

Sean Combs told a judge that he's been humbled and defeated during his sentencing on prostitution charges, but he'll still serve hard time. What the judge had to say as he sentenced Combs to more than four years in prison.

(BEGIN VIDEO CLIP)

GOV. JAY ROBERT PRITZKER (D-IL): My fellow Democrats, it's time to stop apologizing when we're not wrong. It's time to stop surrendering when we need to fight.

(END VIDEO CLIP)

BLACKWELL: Illinois Governor J.B. Pritzker, urged Democrats to stand up to the Trump administration during that fiery speech Friday. What else he had to say about the protest against ICE in his state and the administration's plans to send troops there?

BLACKWELL: Israel and Hamas have both responded to President Trump's Gaza peace plan, but the bombardment of Gaza city continues this morning. We are live in the region with the latest.

(BEGIN VIDEO CLIP)

CHRIS ZEPHRO, PRESIDENT, TRICK OR TREAT STUDIOS: We're all kind of on edge, but we're trying to stay positive.

(END VIDEO CLIP) BLACKWELL: Scary surprise for retailers and shoppers. President Trump's tariffs are driving up the cost of Halloween costumes. The message from business owners who are paying the price.

CHRIS WARREN, CNN METEOROLOGIST: And I'm meteorologist Chris Warren, with a look at what some tropical downpours will mean for Florida. Plus, what else may be brewing the tropics, coming up.

BLACKWELL: We're starting with Diddy this morning. He was sentenced to four years and two months in prison, on Friday.

The judge also ordered Sean Combs to pay the maximum $500,000 fine for his conviction on two counts of transportation to engage in prostitution.

The lawyers for combs say that they plan to appeal his prison sentence and slam the judge's decision. They say it was un-American.

(BEGIN VIDEO CLIP)

NICOLE WESTMORELAND, ATTORNEY FOR SEAN COMBS: That's absolutely wrong. The jury verdict was disregarded, and it's not supposed to happen. You shouldn't do that. Going to trial is already hard enough. When the jury speaks, you need to listen.

(END VIDEO CLIP)

BLACKWELL: CNN's Kara Scannell has more from outside the courthouse.

(BEGIN VIDEOTAPE)

KARA SCANNELL, CNN CORRESPONDENT (voice over): The family of disgraced music mogul Sean Diddy Combs leaving Court, after judge Arun Subramanian handed down hard time, telling Combs his sentence needed to be substantial, as the musician irreparably harmed two women.

Combs spoke in his own defense for the first time, apologizing to his victims directly and taking full responsibility for his prostitution- related conviction. "There are no excuses. I can't change the past, but I can change the future. I beg your honor for mercy," Combs pleaded.

This came after hours of testimonials in Court trying to convince the judge, Combs is a changed man, a marked shift in strategy from the defense who had repeatedly argued his innocence.

SEAN COMBS, FORMER RAPPER, RECORD PRODUCER, RECORD EXECUTIVE AND CONVICTED SEX OFFENDER: You will change the world.

SCANNELL: Combs sobbed as his team showed a documentary-style video highlighting his charity work, interspersed with family moment. Huddled together supporting each other at the podium, several of his children teared-up advocating for their father, insisting he's been rehabilitated.

His son, Justin, called Combs, his superhero. His daughter told the Court, "He is working on becoming a better man and a more present father." Others became emotional, focusing on Combs' contributions to the Black community, while underscoring his own traumas and battles with drug addiction.

The judge ultimately recognized these contributions and struggles, calling them "iconic" and "impressive", but said, "a history of good works can't wash away the record in this case."

Prosecutor Christy Slavik was not moved by the day's speeches, arguing Combs respect for the law is just lip service, calling Combs a "master puppeteer of his own image."

[07:05:04]

After his summer trial, where the jury heard about freak offs and hotel nights, Combs was cleared of the more serious charges against him, including sex trafficking and racketeering conspiracy.

Key evidence in the trial and in Combs' sentencing was this surveillance video from 2016, first revealed by CNN, which shows Combs in a hotel hallway violently dragging and kicking then girlfriend, Cassie Ventura, across the floor. None of the victims spoke at the sentencing, but Ventura submitted a letter to the Court, warning that Combs has, "No interest in changing or becoming better. I am so scared that if he walks free, his first actions will be swift retribution towards me and others who spoke up about his abuse at trial," she wrote.

It's not clear yet where Combs will serve his sentence, but he is expected to appeal the decision.

(END VIDEOTAPE)

SCANNELL (on camera): Combs' attorney Brian Steel told me after the sentencing he thought it was un-American and wrong for the judge to consider conduct of which Combs was acquitted. Now, the judge did say he had a message for the victims, in this case. Combs' former girlfriend, Cassie Ventura, and the woman who testified under the pseudonym Jane, he said to them, we hear you. And he said that he was proud of them.

The judge also said he had a message for Combs, saying that he might be in a dark place now, but he told Combs, there is light at the end of the tunnel. Combs has been sentenced to 50 months in prison. He's already been in jail for 12 of those so he has about three more years left to serve.

Kara Scannell, CNN, New York.

BLACKWELL: Now, let's take you to Oregon now, where a federal judge is weighing whether or not to block the Trump administration from deploying the National Guard in Portland. Both Oregon and Portland officials sued this week after President Trump made the announcement and called Portland war ravaged.

The administration is citing weeks long demonstrations outside the Portland ICE facility, but local officials say in the lawsuit that those protests were small until the president's announcement brought some new attention. And protesters, they said the same thing.

(BEGIN VIDEO CLIP)

BENNETT HASELTON, PROTESTER: No shade to the couple of dozen people that are out here, but it's a couple of dozen people. The idea that this is even national news is already kind of silly. The idea that it's treated as a national threat is absolutely bonkers.

(END VIDEO CLIP)

BLACKWELL: Demonstrations got a little more tense later in the week, and led to more arrests of protesters, including conservative influencer Nick Sortor. He was released hours later without bond.

Illinois now, 18 people were also arrested outside the Broadview ICE facility near Chicago, in another flash point in the Trump administration's immigration crackdown. Department of Homeland Security Secretary Kristi Noem says that military reinforcement is on the way.

(BEGIN VIDEO CLIP)

KRISTI NOEM, UNITED STATES SECRETARY OF HOMELAND SECURITY: We're not just going to be rolling out of Chicago here, but we're sending in the Department of War at the request that I made to Secretary Hegseth. They are going to be rolling in here within the next 24 hours.

UNIDENTIFIED MALE: Wow.

NOEM: They'll be coming to Chicago, too. I put a request in today for them to come to Chicago.

(END VIDEO CLIP)

BLACKWELL: Now, here is what Illinois Governor J.B. Pritzker had to say.

(BEGIN VIDEO CLIP)

PRITZKER: It's time that we acknowledge that President Trump's treasonous words are leading to treasonous actions.

My message of alarm is that the constitutional crisis is not on its way. It is here, and we all better start acting like it.

(END VIDEO CLIP)

BLACKWELL: DHS says that more than a thousand people have been arrested as part of their operation near Chicago so far.

Now, while the Department of Homeland Security is going full steam ahead, the rest of the government is still effectively shut down, and it does not look like it will reopen anytime soon. Most lawmakers are staying home next week. CNN's Arlette Saenz has more on each side's holdouts.

ARLETTE SAENZ, CNN WHITE HOUSE CORRESPONDENT: The government shutdown will now extend until at least Monday, as Republicans and Democrats remain at a standstill over how to end this impasse. The Senate failed to advance bills that could have reopened the government on Friday afternoon, as both sides are digging in on their positions.

Republicans still want Democrats to get on board with that seven-week stopgap funding bill, while Democrats want Republicans to enter negotiations about extending Obamacare subsidies, which are set to expire at the end of the year.

There is a -- informal talks playing out among a group of bipartisan senators, Republicans, and Democrats, on possible ways out of this shutdown. But so far, that has not neared anywhere close to a formal negotiation stage involving leadership or President Donald Trump.

For now, what we have heard from Republican and Democratic leaders in the Senate is real -- a real messaging war over who is to blame for this shutdown. Take a listen.

(BEGIN VIDEO CLIP)

SEN. JOHN THUNE (R-SD): We can't make commitments or promises on the. COVID subsidies, because that's not something that we can guarantee that there are the votes there to do.

[07:10:05]

But what I've said is I'm open to having conversations with our Democrat colleagues about how to address that issue, and I think that the -- but that can't happen while the government is shut down.

SEN. CHUCK SCHUMER (D-NY): We saw the Republicans run the same play, and they got the same result. The question is, will they change course? The votes are not there.

They thought they could bludgeon us and threaten us and scare us. It isn't working, because my caucus and Democrats are adamant that we must protect the health care of the American people.

(END VIDEO CLIP)

SAENZ: And House Speaker Mike Johnson added another interesting dynamic to this political fight. He has now decided to keep the House lawmakers back in their home districts next week; after initially saying he would bring them back to Washington, D.C.

What Republicans are hoping is that they can jam the Senate Democrats into accepting this seven week stop gap funding bill. Johnson has said that he does not want to entertain any changes to that bill. He'll keep his Republican lawmakers back in their home districts for the week to try to drag this out a bit longer.

But this is all coming as it's really having major consequences on the federal workforce, as the White House continues to threaten mass layoffs and is cutting funding for democratic programs in various democratic cities and states. So, all of these dynamics are at play, as people are trying to determine when exactly this shutdown will end. Right now, both parties are trying to wait until the other blinks first.

Arlette Saenz, CNN, Washington.

BLACKWELL: New this morning. And this is despite major progress in the last several hours to end the Israel-Hamas war. Gaza hospitals say 20 people have been killed in just the past 12 hours, because of Israeli attacks.

That's despite President Trump demanding Israel stop the bombing. In the meantime, Israel says it's getting its negotiating team ready to finalize President Trump's 20-point peace plan. Hamas has also indicated willingness to move forward.

Let's bring in CNN Jerusalem correspondent Jeremy Diamond. That willingness does not equal a commitment unconditionally. Give us kind of the parameters of progress and what still has to be accomplished.

JEREMY DIAMOND, CNN WHITE HOUSE CORRESPONDENT: Yes. That's right, Victor.

I mean, we are seeing a lot of progress. We are seeing a huge amount of momentum that could bring these parties to a final agreement that could ultimately secure the release of all 48 hostages and end the war in Gaza. But we just are not there yet, and that's because a lot of negotiation is going to have to happen between now and that possibility, actually becoming a reality.

The Israeli government is preparing a negotiating team for talks to finalize the president's ceasefire proposal. Hamas has signaled a willingness to immediately enter into those negotiations.

What we have not yet seen is the Israeli military stopping its bombardment of Gaza altogether, which President Trump called for Israel to do late last night, in a social media post.

What is happening, I'm told, is that the Israeli military is beginning to shift towards a defensive posture inside of Gaza. But as of today, we have already seen 20 people who have been killed by Israeli attacks over the course of basically the first 12 hours of today. I'm told that that shift in posture from the Israeli military in Gaza is intended to allow Hamas to begin preparing to organize itself in order to release those 48 hostages. But it is important to note that, according to an Israeli official who I just spoke to, that 72 hour countdown for Hamas to release all of the hostages has not yet begun, and that is critical, because it means that there is still time and space for these two sides to actually negotiate the details of this agreement, it is not being put under a 72 hour kind of pressure gage here.

Hamas, critically, said that it was willing to release all of the hostages based on the Trump framework, willing to give up power in Gaza and hand over that power to a transitional Palestinian Authority. But what they did not address in their statement yesterday was this critical issue of disarmament, Israel and the United States have demanded that Hamas be disarmed as part of any plan to end the war in Gaza.

Hamas, until now, has rejected that, saying that it is a red line for the group. And so, the fact that it wasn't addressed in Hamas statement is quite notable, and it just shows you how much still needs to be negotiated in order to actually get to a ceasefire agreement here between these two sides.

But again, a lot of progress here, a lot happening in the region, and a lot to watch over the course of the coming hours and days. Victor.

BLACKWELL: All right. Jeremy Diamond for us from Tel Aviv. Thank you.

This morning, three more people are in custody after the deadly attack on a synagogue in northern England.

[07:15:03]

That brings the total number of arrests to six. The Yom Kippur violence in Manchester ended with two worshippers dead, and police say one victim was likely shot by responding officers.

Despite that, Prime Minister Keir Starmer praised the Swift police response.

(BEGIN VIDEO CLIP)

KEIR STARMER, PRIME MINISTER, UNITED KINGDOM: I've been to the scene to pay my respects and to get a sense of what we were confronted with. I've also seen the body worn cameras and the footage out of that, and I am absolutely clear in my mind as to the professionalism of the response, the speed of the response, and also that absolutely awful incident would have been even worse if it hadn't been for your response.

(END VIDEO CLIP)

BLACKWELL: The main suspect, who investigators believe may have been influenced by extremist ideology, was killed by police.

A federal judge in Tennessee says the justice department may have unfairly targeted immigrant defendant Kilmar Abrego Garcia out of vindictiveness. Judge Waverly Crenshaw wrote that the government had a stake in retaliating against Abrego success.

He is allowing lawyers to dig into the case and hold a hearing that could bring in administration officials. Abrego Garcia was wrongly deported to El Salvador in March, and his lawyers want the charges dropped.

Parts of Florida bracing for a wet weekend as a tropical system lingers over the state. We are talking heavy rain, dangerous surf, flooding concerns. CNN's Chris Warren is tracking it. Now, rainstorm in Florida isn't new. It isn't a big deal, but this could be dangerous, because this could be a little could be a little bit more than that?

WARREN: Well, especially at the coast, if you're going near the water, there's going to be rough surf, high tide, there is going to be some flooding. And some of the areas in the East Coast, you can kind of see that onshore flow and some of this rain.

If you've ever been in a Florida rain, boy, it comes down. It comes down. big time. Onshore flow producing some coastal flooding, some rough surf. Again, high tides can be the more dangerous times and the more likely we could see some flooding.

Heavy rain going to bring some flooding as well to some of these areas. You get the rain coming both from the east and from the west. With this weak system that's lingering over Florida, bringing some of that very heavy rain. Chance for development is low, there. More of a moderate chance, medium chance, for development here in the coming days, with that next system that's coming off of the coast of Africa.

Meanwhile, the heat, boy, feeling like summer, especially near Canada in Minneapolis. So, good to see the potential for record highs today, even parts of Iowa and Michigan, Wisconsin, some record heat. Here is some of the temperatures. Minneapolis, 89. Same temperature as Houston, warmer than Jacksonville by six degrees in Minneapolis.

And then, for Sunday, temperatures are going to be a little bit cooler in Minneapolis, but still warm, still, Victor, for a lot of people, especially in the south, enjoying some of this fall weather.

BLACKWELL: All right. Thank you, Chris.

Coming up, the president has promised widespread terminations while the government remains shut down, we're looking at the possible impact.

Plus, Halloween may be more of a trick than a treat this year. How tariffs are driving up prices for costumes and candy and decorations?

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[07:23:02]

(BEGIN VIDEO CLIP)

KAROLINE LEAVITT, WHITE HOUSE PRESS SECRETARY: If this shutdown continues, as we've said, layoffs are an unfortunate consequence of that. And Russ Vought has been in contact with our Cabinet secretaries at their respective agencies to discuss that.

(END VIDEO CLIP)

BLACKWELL: All right, it is day four of the government shutdown with no end in sight. Hundreds of thousands of jobs are on the line, along with social programs and services still not clear who or what will be targeted. Each party, obviously, blaming the other, while the workforce sweats it out.

(BEGIN VIDEO CLIP)

UNIDENTIFIED MALE: Very unsure of like, what's going to happen next. I'm trying to just like, take every day as it goes.

UNIDENTIFIED MALE: Is the car insurance bill due? Is the gas and electric bill do? And the uncertainty around that and when another paycheck will come does add to a lot of stress and anxiety.

(END VIDEO CLIP)

BLACKWELL: All right. Bobby Kogan joins us now. He is a former OMB official under President Biden. Bobby, thank you for being with me.

Latest Washington Post poll shows that seven out of 10 Americans say that the ACA subsidies that Democrats demand in exchange for their votes should be extended. More people blame Trump and Congress for the shutdown than Democrats. How sure are you of Democrats footing in this fight?

BOBBY KOGAN, FORMER OMB OFFICIAL UNDER PRESIDENT BIDEN: Well, thanks so much for having me on. I think, this is a major problem, which is that on November 1st, open enrollment will begin, and if you are on the exchange, you have a 90 percent chance of seeing your premiums at least double, right?

This is more than 20 million Americans are going to see their premiums absolutely skyrocket, pricing many millions of Americans out of insurance. It's a now problem, right? People will be see -- getting their notices in this coming week or two. So, it needs to be handled right now. This is something the American people want. It's something that America healthcare is already unaffordable, so it's something that needs to be taken care of right now. That's one of the major, major, major parts of this fight.

[07:25:00]

BLACKWELL: Do you have some theory about why the forecast or threatened mass firings have not happened to this point?

KOGAN: Well, it takes a lot of time to actually go through the work to give these the mass firing notice. Typically, it takes weeks, sometimes months. I think the fact that we are expecting them in the next few days shows that the administration has actually already been working on them well before the government shutdown. But it basically, there is a lot of -- there is a lot of work that goes into doing it.

And I'll just say really fast, the work necessary to carry out is actually illegal to be done during a shutdown. They are -- they are doing it anyway, but it's not work that is actually allowed to be done during a shutdown, because it doesn't fall into one of the accepted categories of what you're allowed to do when there is no funding.

BLACKWELL: And so, you expect it will happen, though. Because there are some who say that the threat is stronger than the actual action, and it could backfire on Republicans, but you think they are going to make good on this threat?

KOGAN: Well, yes, they have been working on this since February. Obviously, DOGE fired a whole bunch of people, but this has been something that Russ Vought, the budget director, has been wanting to do for a very long time. As they say, the fact that it's very near indicates that they have already been doing a lot of the work.

So, I expect it to happen. I hope it doesn't happen. These folks are people with a lot of technical expertise who dedicated their lives and passion to helping the country succeed.

It would be harmful to America, and actually harmful to the Trump -- to President Trump's ability to carry out his own agenda if you fire them, but obviously, we'll have to see what happens.

BLACKWELL: Can we talk about messaging? And I want to play a bit of this grim reaper video that I'm sure you've seen, and maybe some at home have not, where the OMB director is depicted as the Grim Reaper coming after federal jobs.

(BEGIN VIDEO CLIP)

(END VIDEO CLIP)

BLACKWELL: What's your reaction to this being posted by the president of the United States?

KOGAN: Sure, it's a good reminder of why we're actually here in the first place. Appropriations are always bipartisan. Funding the government is a bipartisan endeavor. It takes 60 to do anything in the Senate. That means any bill that funds the government is going to need at least seven Democrats voting yes for it. That means there is going to be some compromise. It means that they have to come together and do stuff.

The Senate is not making much progress, but they are actually honest to God, talking to each other, trying to find a way to make something happen.

But the Speaker of the House is out of town. He said he wouldn't even come back, even if the Senate could get to a compromise. And the president, instead of being involved, he hasn't actually engaged anyone. He is just posting A.I. generated memes on Twitter, and his budget director Russ Vought is actually digging the knife in work, doing kind of partisan cancelations of programs.

So, it's just a reminder of why we're here. It's that the president is not actually interested in engaging and compromising.

BLACKWELL: You know, it -- for as bizarre as that video is. It is illuminating, because according to those, those lyrics, it's Vought who has the pen, the funds, and the brain. He is carrying the scythe. The president is just roaming around playing the cowbell.

And so, are you surprised by the influence that the OMB director, that he even by their marketing of this, that he is leading this effort? KOGAN: Russ is a very smart man. I think the Trump administration is filled with all sorts of different leaders. Russ is a very, very, very smart, deliberate, thoughtful person. He is very careful, and therefore, he is very effective at carrying out his agenda.

In this case, I mean, if you take Russ's own words, he said he wanted to traumatize the federal workforce. He has been illegally canceling funds since his first day, and now, he is been doing targeted cancelations to only go after states that the president -- that didn't vote for the president.

So, yes, I think there is a recognition that Russ is very effective at what he is doing, and I would just say a lot of it is illegal and it's obviously harmful for the country.

All right. Bobby Kogan, former OMB official during the Biden administration. Thank you very much.

All right. Still to come, attorneys for Sean Combs says that his sentencing was un-American and sends the wrong message.

[07:29:48]

What's next for Diddy? Coming up.

(COMMERCIAL BREAK)

BLACKWELL: Sean Diddy Combs was sentenced to four years and two months in prison on Friday. Combs made an impassioned plea to the judge during the sentencing, apologized for his disgusting, shameful behavior, his words.

The judge said, Combs, his cultural impact was celebrated and iconic, but he questioned Combs' claims of remorse. He noted that he was accused of assaulting another woman, even after the video of an earlier assault came to light.

Combs' lawyers slammed the decision, vowed to appeal it. Joining me now is entertainment attorney Lisa Bonner.

Lisa, good to see you again. Let's start here with the reaction from the defense attorneys, obviously, dissatisfied. They called the decision un-American, said the judge act more like a juror. What do you think? Did the judge make a sound decision here?

[07:35:06]

LISA BONNER, ENTERTAINMENT ATTORNEY: Well, I -- good morning, Victor.

Firstly, I think the defense should consider this sentence a win. The sentencing guidelines call for 70 to 87 months. And the judge initially said, listen, I don't have any reason to deviate from that. So, it looked like he was going to get a longer sentence, from five to six years.

We do know that the prosecution's request of 11 years was excessive, but the judge had to walk a fine line, because Sean said that he was going to not only appeal the sentence, but the -- but the conviction as well.

So, I think, it was a rather light sentence. It was significantly under the sentencing guidelines. They should take the win and be happy that it was not a longer sentence, in my opinion.

BLACKWELL: Yes, they are going to appeal, obviously, which any defendant who has now been sentenced to federal prison would want their attorneys to do.

But the question of this video, this 15-minute documentary-style video, do you think that helped combs? Was it influential at all from your perspective?

BONNER: I don't really think it was influential. It was a highly produced documentary style video that was intended to show what a great father he was and how he is a contributing member to society. But it's important to remember, Victor, that two things can be true at once. That he can be a great father. He has obviously done wonderful things for the black community in terms of the culture, in terms of movement of the culture, and giving us music that we grew up to and a soundtrack of our youth. And that that can be true, but that does not detract from the fact that he was abusive to people.

The judge said he subjugated his victims. That is a very strong word. So, the video may have shown Sean in a -- in a particular light, but we also have another video that showed him in a completely different light, dragging his -- Cassie Ventura, kicking her, and throwing vases at her.

So, like I said, two things can be true at once, and I think this was a situation that was -- that was effective. I mean, not effective. He was a great father, but he also committed horrific acts of violence to up to his victims.

BLACKWELL: Yes, and we have seen examples of that before, recently with R. Kelly and Bill Cosby, not to equate the crimes, but two things can be true at once.

Last thing here, do you think there was some significance of the witnesses who expected to deliver statements who ultimately decided not to?

BONNER: I don't really know how much that had an effect on the defense. I think that was more of a win for the defense then it was an issue for the prosecution, because remember, the defendant named, excuse me, Mia, who the woman who testified under the name of Mia, she came -- she was scheduled to testify yesterday, but she said, I'm not going to do it, because of the defense was bullying.

So, if anything, that worked against the defense, but it did not. It did not set well for either side. I mean, the prosecution really fought hard for her to come in and give her victim statement, and then she said she wasn't going to do it. I do think the judge had pretty much made up his mind what he was going to do in terms of the sentencing guidelines, so, it really didn't matter either way.

BLACKWELL: Yes, that's something we'll never know. If the judge walked into the courtroom with the recommendations and requests and he already had the case, if he kind of knew what he was going to do, and if these statements, or impact statements impacted the decision he made.

Lisa Bonner, always good to have you. Thank you.

So, the fake blood, the masks, President Trump's tariffs could make Halloween a terror for shoppers.

[07:39:07]

We'll take a look at the impact next.

(COMMERCIAL BREAK)

BLACKWELL: Halloween could be a little more expensive this year, the full cost of tariffs are going to set in. Nearly 90 percent of Halloween products are made overseas, mostly in China. And tariffs have now pushed prices higher, cut down on variety?

CNN's Natasha Chen has more.

(BEGIN VIDEOTAPE)

UNIDENTIFIED FEMALE: We do have a kid, one right up here.

UNIDENTIFIED MALE: Yes.

NATASHA CHEN, CNN NATIONAL CORRESPONDENT (voice over): For Halloween. Raina Hernandez's 6-year-old, wants to dress as Carl from The Walking Dead.

It's just ridiculous. We cannot even afford this at all.

CHEN (voice over): This hat would work as part of her son's costume, but it cost $30 alone.

I'd rather just do it. I've had a time little by little, you know, paycheck from paycheck.

UNIDENTIFIED MALE: The show is starting.

CHEN (voice over): The Halloween and Costume Association says roughly 90 percent of Halloween products contain at least one component made overseas, most often in China. Because of tariffs imposed on most Chinese imports, suppliers and retailers say this Halloween's product will cost a little more and you'll see less variety.

CHRIS ZEPHRO, PRESIDENT, TRICK OR TREAT STUDIOS: We're all kind of on edge, but we're trying to stay positive. CHEN (voice over): Chris Zephro's business, trick or treat studios, designs and produces, all things scary and fun.

ZEPHRO: Horror is not necessarily Halloween. It's really a lifestyle.

[07:45:01]

CHEN (voice over): But the real-life horror flick for him has been the overnight jump in cost this year.

In April, President Trump increased tariffs on most Chinese goods to a whopping 145 percent. That made a lot of people cancel production orders right then and there.

Then, in May, when tariffs on Chinese goods fell to 30 percent, some production in China resumed, but the stoppage had already caused a delay or shortage of items for the season. All told, Zephro's tariff bill.

ZEPHRO: Upwards of almost $800,000.

CHEN (voice over): Meant he had to lay off 15 employees.

ZEPHRO: It was one of the worst days of my life.

CHEN: There is a trickle effect. Importers like Trick or Treat Studios, who design and supply costumes, props, and masks, are paying an extra 30 percent for everything coming in from China, which they then have to share with their retail customers.

Like phantom Halloween, who then sells the products to customers. And the owner here is also making a tough decision about how much of the extra cost to absorb and how much to pass on.

RYAN GOLDMAN, OWNER, PHANTOM HALLOWEEN: The majority of kids costumes have probably gone up $3 to $4. The majority of adult costumes have probably gone up $5 to $8.

CHEN (voice over): Ryan Goldman's family started Phantom Halloween stores in the 1980s

GOLDMAN: The idea is to hold as many prices as we can.

CHEN: Some items made in Mexico, Vietnam, India, or the U.K. won't see a price hike. But anything involving plastics or textiles is predominantly made in China.

GOLDMAN: I'm not that political, so, we just are dealing with the aftermath of it. The aftermath isn't pretty,

CHEN: But Zephro is clear about who's responsible.

ZEPHRO: I would love to have a conversation, close doors with Trump, because if you really want manufacturing to come back here, you have to look at why manufacturing left and start there. CHEN (voice over): Policies and regulations, he says that have made manufacturing in the U.S. extremely difficult and inefficient. For now, both he and Goldman have stopped bringing in items made too expensive due to tariffs.

CHEN: If it's $150 more for you, how much more is that for the customer?

GOLDMAN: At least $300. And that's the reason why he didn't get reordered this year.

CHEN (voice over): And there are certain products like 1/6 scale action figures that Zephro won't even produce.

ZEPHRO: No one is going to spend $400 for an action figure.

CHEN (voice over): The only ones available in his warehouse came in before tariffs.

CHEN: So, what you have here is it.

ZEPHRO: That's it. Until, maybe the midterms?

(END VIDEOTAPE)

BLACKWELL: Natasha Chen, thank you very much.

All right. Could you eat nine hot dogs, drink nine beers over nine innings? We'll tell you about the postseason challenge for Philadelphia baseball fans.

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[07:52:13]

BLACKWELL: The Aces battle back to take Game 1 of the WNBA finals over the Mercury. "CNN SPORTS" Andy Scholes is here with the highlights. A good one.

ANDY SCHOLES, CNN SPORTS ANCHOR: Yes. Good way to start this series, Victor.

This is actually the first time ever that the WNBA finals is a best of seven series. So, still a long way to go. But Game 1 coming down to the final seconds. Pick it up under a minute to go. Alyssa Thomas gets in the lane with the floater. That makes it a one-point game.

Then, on the other side, Thomas strips A'ja Wilson. She is going to run the floor, and she ended up getting fouled here and go to the line to shoot two free throws to potentially take the lead. But the Mercury star misses them both.

Phoenix then had one last chance to tie it, but they don't get a good shot off. Aces take Game 1. 89-86. The reserves coming up huge for Vegas. And this one Jewell Loyd and Dana Evans combined up for 39 points off the bench. Game 2 of that series going to be tomorrow. All right. On this week, it's been a rocky one for the WNBA. Tuesday, Lynx star Napheesa Collier blasted Commissioner Cathy Engelbert, calling for new leadership in the league. She also said that Engelbert made a comment to her saying that Caitlin Clark should be on her knees in gratitude for the platform that the league has given her.

Well, last night, Engelbert denied making those comments.

(BEGIN VIDEO CLIP)

CATHY ENGELBERT, COMMISSIONER, WNBA: I did not make those comments. Caitlin has been a transformational player in this league. She is -- she is been a great representative of the game. She's brought in tens of millions of new fans to the game, proud of what she's put on the court. I'm not going to get into every point counterpoint. It's not productive here. We are here to celebrate the WNBA Finals.

But yes, as I said, there is a lot of inaccuracies reported out there, and I certainly did not say that.

(END VIDEO CLIP)

SCHOLES: Engelbert also said that she was disheartened by other things that were said, and is committed to working with the players to make the league better for everyone.

All right. It's week six of the college football season. The big game today is in Tuscaloosa, 10th ranked Alabama out for some revenge as they host 16th ranked Vanderbilt, Diego Pavia and the Commodores. They upset top ranked Alabama last year. It was their first win over a top five team ever, and before that, they had lost 24 straight to Alabama.

Now, Vandy has a perfect 5-0 so far this season. The last time they started 6-0, almost 100 years ago, 1928. That game kicks off at 3:30 Eastern.

Now, the divisional round of baseball's postseason also gets started this afternoon in the A.L. You got the Yankees at the Blue Jays, and then you got the Tigers at the Mariners. In the National League, Cubs going to go up the road to take on the Brewers. First pitch for that one is at 2:00 Eastern.

Then, you got the Dodgers in Philadelphia to take on the Phillies. Shohei Ohtani, making his first ever postseason start on the mound in that one. It starts at 6:30. Watch both of those games on TBS and HBO Max.

Now, at the Phillies games, you can try the 999 Challenge.

BLACKWELL: All right.

SCHOLES: That's eight -- nine mini hot dogs, drink nine small beers in nine innings.

[07:55:02]

Comes in this nice box, nice display, all laid out for you. Cost $54.99.

BLACKWELL: Crazy.

(CROSSTALK)

SCHOLES: Crazy price?

BLACKWELL: $55? Yes.

SCHOLES: Did you do it, Victor?

BLACKWELL: OK. So --

SCHOLES: Those are mini versions.

BLACKWELL: The beers, yes. OK. My mama didn't raise a quitter. The hot dogs, I don't know. Now, if those were burgers, like the sliders, absolute, yes.

SCHOLES: Yes.

BLACKWELL: But nine hot dogs? I don't think so.

SCHOLES: And so, the real challenge is, like, real full size hot dogs, real beers. That's the man challenge. I don't know if I could get that. I can do this mini one, I think. I can do the mini one.

BLACKWELL: All right. Andy, thank you.

SCHOLES: All right.

BLACKWELL: OK. So, "FIRST OF ALL" is coming up at the top of the hour. Tensions over ICE heating up. The feds are cracking down on protests in and around Chicago. I want to speak to a protest leader about the new threats from the Trump administration.

Plus, I'm going to speak with a member of Congress about the government shutdown. There is no sign of a quick end, and the Trump White House is threatening to fire thousands of federal workers.

And I want you to meet Xania Monet. The artist is getting millions of song streams, had a billboard number one on one of the charts. Multi- million-dollar record deal, and she exists only on the Internet. You'll hear from the A.I. singer's real-life manager.

Those conversations and stories are coming up after a quick break on "FIRST OF ALL".

(COMMERCIAL BREAK)

END