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Stocks Plunge on Coronavirus Fears; Turkey: Idlib Won't be Resolved Until Regime Forces Withdraw; Coronavirus Impacting More Places Than Ever Before; U.K. Looks To Start Trade Talks With U.S. Aired 11a-12p ET

Aired February 24, 2020 - 11:00   ET

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


[11:00:18]

ANNOUNCER: Live from CNN Abu Dhabi, this is CONNECT THE WORLD with Becky Anderson.

BECKY ANDERSON, CNN INTERNATIONAL ANCHOR: A very warm welcome. We have a packed show for you this hour. Our big story right now, the Dow Jones

plunging about 800 points as coronavirus cases surge in South Korea, in Italy and in Iran. More countries reporting first-time cases, unnerving

investors. We've got reporters fanned out around the world with the very latest on that. They will be up in just a moment.

So also tonight though, Russia and Turkey locked in a standoff in Syria that could reshape the destiny of this region of the Middle East, the wider

Middle East. So what does that look like on the ground?

Turkey, wading into the battle for the city of Idlib in Syria. And that is threatening a direct confrontation with Russia which backs the Syrian

regime.

You are looking at heavy military machinery strong enough to do serious damage while being shipped from Turkey across its southern border. That is

the geostrategic struggle. And it is important, absolutely, of course it is. But nearly a decade after the conflict there began, this is why we

should care. This is the reality.

A child who walked for seven hours straight, an epic journey for anyone, and in bone chilling cold at that without proper shoes. And why? To escape

what is going on, on the ground fueled by politicians outside of their control. This is serious suffering in a single image.

And humanitarian organizations are warning that suffering will continue in Syria if action is not taken immediately.

But earlier I interviewed the spokesman for Turkey's president, Ibrahim Kalin. I asked him about the situation on the ground. Have a listen.

(BEGIN VIDEO CLIP)

IBRAHIM KALIN, TURKISH PRESIDENTIAL SPOKESMAN: We have entered a very critical stage in the Idlib area at the moment. There has been fighting

going on and we have tried to stop that actually as part of the Idlib agreement that we had reached with the Russians, also together with the

Germans and the French. But the military association on the ground remains very critical.

ANDERSON: We are seeing reports that Turkish forces have established four new military points in Idlib. The reports stating that a Turkish military

convoy consisting of more than a hundred vehicles entered Syrian territories in the middle of the night, entering the Jabal al-Zawiya area,

increasing the number of trucks and military vehicles in what is this de- escalation zone? Can you confirm that?

KALIN: Well, we are sending reinforcements to protect our already existing 12 military posts, observation post in the Idlib area as some of those

military posts have been now surrounded by the regime forces so we had to take action to protect our soldiers there and also the civilians.

The regime has been attacking the civilians and the civilian infrastructure brutally over the last few months. So we had to send in some reinforcements

to make sure that our soldiers are protected, the Idlib zone lines are protected and also the civilians are protected.

As I'm sure you've been following, the civilian situation is getting really worse by the day. And we are the only ones trying to protect this people

from regimes attacks.

ANDERSON: We are nearing the end, sir, of the month, which is the deadline that President Erdogan gamed -- gave the Syrian government to withdraw from

Idlib or else they face military action. Is the end of the month judgment day? What is Turkey prepared to do at this point?

KALIN: Well, it is a deadline set by our president giving all the military and humanitarian considerations on the ground, while on the ground we are

increasing our military presence to make sure that -- you know, our soldiers and the civilians are protected but also we are talking to the

Russians on the diplomacy end of things. We've had the exchange of a number of delegations and the Russian delegation will be coming to Ankara this

week.

Again, we're hoping to reach an agreement there and the deadline remains valid and this is something that we made very clear to the Russians as well

as to the Iranians and through them to the regime that if they continue these attacks, there will be military response from our side as we have

done. And if they attempt to attack our soldiers again, there will be very severe response and retaliation from our side.

[11:05:14]

So the deadline is firm and we are hoping by before that deadline, we will reach an agreement with the Russians to keep things under control in the

Idlib de-escalation zone.

ANDERSON: Sir, let me be very clear, the deadline is the end of February, correct?

KALIN: That is true. The deadline is the end of February. That's why we are increasing our diplomatic efforts but also we are keeping our military

presence strong on the ground.

ANDERSON: I want our viewers just to see some of the military hardware that you are sending into Syria, artillery known as the howitzer. Those in the

know tell me that this is extremely serious firepower. What scope of fighting are you anticipating, sir?

KALIN: Well, first of all, we do not want any further escalation on the ground. Number two, we do not want to confront any Russian military, that's

why our people, our military under Russian military are coordinating very carefully their moves and activities on the ground.

And third, we do not want any civilians to be hurt in this crossfire. And number four, we are making it again very clear to the regime that they have

to go back and withdraw to the de-escalation zone lines.

It's in everybody's interest, in fact, to stick to the framework of the Idlib agreement but as I said, if there are any attacks on our soldiers or

continuing massacring of the civilians, we will certainly continue take military action against the regime forces.

ANDERSON: Mr. Kalin, can you confirm the Turkey has asked the U.S. to deploy patriot missile defense batteries on your southern border?

KALIN: Nothing specific on that but we've exchanged a number of ideas with the Americans, what we can do together because I know the Trump

administration and Mr. Trump himself cares about the situation in Idlib and he exchanged a number of phone calls with our president on this issue.

We know that the European colleagues and partners also care about the situation in Idlib. But it's not enough just to -- you know, express

concern about the worsening situation in Idlib. We have to see some action.

It could be obviously military because unfortunately, many parts of Syria have become a scene of this kind of military confrontation. The regime

doesn't understand the language of diplomacy so you have to take action against their military incursions.

ANDERSON: On February the 20th, Russia accused Turkey of providing artillery support to militants fighting these Russian backed Syrian forces,

is that true? And can you be clear about who Turkey is supporting on the ground?

KALIN: Well, we are supporting the people, the civilian people in the Idlib area. There is obviously a large presence of the Syrian National Army there

that we work with, not only in Idlib but also in other parts of Syria. And there are those who what we called and we classify as terrorists like Hayat

Tahir al-Sham and the Hurras al-Din and few other groups there.

They are dealing with them. It's our shared responsibility to make sure that no terrorist attacks or threats come out of Idlib either against the

Russians or against civilians, against us or against anyone else.

But unfortunately, the regime classifies every opposition member as a terrorist. And they're using the nickname of terrorism as a pretext to

justify this military incursion.

ANDERSON: How would you describe relations with Moscow at present? And should you face military confrontation with a Russian-backed Syrian army?

Will Turkey as a NATO member invoke Article 5 and ask to bring others -- other members into help fight in a battle?

KALIN: We've had our disagreement with Moscow over the Assad regime. Our president has made it clear to both President Putin and President Rouhani

of Iran that we do not believe that Assad is the legitimate leader who can unite Syria, who can keep Syria's territorial integrity and political unity

and who can embrace all the Syrians after what he has done to his own people over the last eight, nine years.

In regards to relations with Moscow on this issue, we have avoided military confrontation, and we will certainly avoid that. We do not want to have any

kind of -- not just confrontation but even escalation with Russia because we're working on the Astana process together and actually we have achieved

a lot in the Astana process together with Russia.

[11:10:14]

And with Iran, we would like to keep it that way. Now, of course, the Idlib issue is something that we have to address immediately, that's why our

delegations are exchanging views. A new delegation will come.

In regards to the NATO Article 4 and 5, obviously these things require a detail study of when you can invoke these articles if a member country is

attacked on its own soil. You know, these articles can be invoked and allies can have a discussion about this.

We are not there. We are not at that point. But we are talking to our NATO allies. We believe that our western allies, including NATO, should and can

play an important role, a more major and relevant role to contain the situation in Idlib because another migration crisis coming out of the Idlib

area will affect everyone.

ANDERSON: Idlib is on your border threatening your security, Tripoli is not. Why is Turkey president -- present in Libya? And, sir, can you answer

that question? And were there Turkish deaths recently?

KALIN: Well, first of all, the Sarraj government, the National Accord Government of Libya which is recognized by the U.N. and by the

international community approached us actually asking for help with their political process.

Our intervention has brought a degree of balance to the conflict in Syria, you -- in Libya. You ask any expert, any government official on different

sides, so you ask any colleagues from the U.S. or from Germany, they will admit that that move actually brought a degree of balance --

(END VIDEO CLIP)

ANDERSON: That was Ibrahim Kalin speaking to me earlier. He's a Turkish presidential spokesman.

Well, Karen Pierce is the U.K.'s ambassador to the United Nations. She's accused Russia of a lack of humanity for citizens in Idlib in Syria. We're

going to ask her to explain in a live interview from U.N. headquarters coming up.

And the world's top health chief admits the coronavirus has pandemic potential. Stock markets around the world tanking today as concerned

investors part their money elsewhere amid a surge in cases outside of China.

(COMMERCIAL BREAK)

[11:15:22]

ANDERSON: Well, experts are warning, the world is fast approaching a tipping point in the spread of the novel coronavirus, the disease outpacing

efforts to contain it. Iran now reporting 61 cases and 12 deaths, highlighting a growing concern.

The virus now hitting countries with weaker health systems. And across this region of the Middle East, countries are starting to close their borders.

South Korea meanwhile has the largest number of reported cases outside China, now more than 800. These people lined up in its fourth largest city

to buy face masks.

While in Italy now with the largest cluster outside of Asia, more than 200 cases across the country's north, sports matches canceled, schools and

religious services now suspended.

Fears of the virus spreading much faster than the outbreak itself, at least in financial markets from Asia to Europe to Wall Street. Markets all in the

red today, most cases very, very deep losses. We've got our CNN team standing by in the hotspots around the globe.

Our Ivan Watson is in South Korea, the site of the largest outbreak outside of China. In Shanghai in China, David Culver is standing by. Melissa Bell

is in Italy as the outbreak there spreads in the northern part of the country and John Defterois is in Saudi Arabia as more cases pop up in the

Middle East and global financial leaders gather and are concerned.

But I want to start with the Julia Chatterley, who is at the New York Stock Exchange. 825 points down just shy of a thousand points on that Dow Jones.

Coronavirus a real concern it seems today, Julia.

JULIA CHATTERLEY, CNN BUSINESS ANCHOR, FIRST MOVE: Yes, and it feeds from what we saw in terms of price action on Friday too, Becky. I think

investors connecting the dots here, the spiking cases outside of China or in Asia suddenly setting off alarm bells.

It follows warnings from big corporates like Apple of course last week saying look, our numbers are going to be impacted. And we expect other

companies to stay the same. But you've had other analysts like Goldman Sachs saying we need to be a bit cautious here. How can you have U.S. stock

markets trading at record highs given the sheer level of uncertainty out there about the economic impact here?

So suddenly, investors have come into this session and said, actually we agree and we need to take some money off the table here. And that's what

you can see actually, the Dow if we end the session here will just about wipeout the entire year-to-date gains.

So it's not just about weakness in stocks, it's also about investors pushing money into things like bonds, into gold trading up multi year highs

too.

There's just a real sense here of what we call risk off, and investors suddenly deciding to be simply a little bit more cautious about what

they're seeing here.

You know, Warren Buffett earlier today he said, think about the short term but also think about the medium term. And actually he's still a stock buyer

here. He thinks U.S. businesses in particular are OK.

So you have to separate short-term concern, nervousness with longer-term quality, value investing. But today at least investors not listening,

Becky, and they're selling stocks in particular.

ANDERSON: Yes, running shy to what they would consider safe havens, at least in the short term.

David, let me get to you because the World Health Organization has just a little while ago given an update from Beijing, saying that China is right

to think about getting back to normal, business as normal. And quite frankly, as far as you can see and tell, is that possible at this point?

DAVID CULVER, CNN CORRESPONDENT: That's going to be a real struggle, Becky. And the reality that we have seen here is that this was supposed to be this

past week, a week ago today to start back to work essentially for some 160 million people after what was an extended Lunar New Year.

It was extended so that people weren't coming together and congregating the masses. But after that was announced that this was supposed to kind of be

the restart, we came here to Shanghai from Beijing and we noticed that wasn't happening right away. It was a slow getting back.

And I -- and I can say over the past few days, we have seen more and more people coming to the streets and it looks like they're slowly starting to

try to get back to business. But there are still millions of people, hundreds of millions who are still within the locked down zones, who can't

even get back to the provinces in which they worked. And so, it's just not going to be feasible for them to get to those locations.

But we do know that the World Health Organization, which has really just given a huge endorsement to the Chinese government for their handling of

this, praising them today saying that the containment efforts, while they may be seen by some of extreme, they're working in the words of the WHO and

they feel like that the effectiveness is coming across. And they're seeing this decline in numbers more and more.

[11:20:20]

However, getting back to business is something that even the WHO stresses is going to be necessary for China and President Xi Jinping himself when he

was first seen out and about on the front lines so to speak, albeit in Beijing two weeks ago today, said two things.

One, that he wanted to get stop the spread of this virus to work on the containment effort, and two, stabilize the economy. I mean, that's how

important this has been this idea of stabilizing the economics here because they obviously know that economic stability is social stability. And so

they're trying to maintain that as best as possible.

However, one of the other things that has really angered the Chinese Foreign Ministry in particular and the Chinese government as a whole has

been this isolation of mainland China and they blame the U.S. for a lot of that. They feel like the U.S. led the way in issuing these travel

restrictions and several other countries followed suit, essentially saying that if you've come through mainland China or if you're Chinese coming to

the U.S., you're going to have to wait that two-week period.

The WHO coming across today, Becky, and stressing that those trade and travel restrictions should come down.

ANDERSON: David Culver is in Shanghai in China.

Ivan Watson is in South Korea. That is the site Ivan, of the latest outbreak outside of China. A more than half of the cases in South Korea

linked to a religious group. Why is the finger of blame being pointed at that group specifically?

IVAN WATSON, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, it's because for about a month, Becky, you had a relatively stable and small number of

infections here in South Korea. Just a couple dozen, 20 or 30.

And then just last Thursday, that number started to dramatically change. A surge of infections in just a matter of days, under a week, that has risen

to at least 833 infections. Among them at least eight people have passed away as a result of coronavirus.

And the real cluster of the infections is a city called Daegu and as well as another city called Cheongdo. The health authorities here in South Korea

have singled out this South Korean religious group Shincheonji in saying that their gatherings, a huge number of the infections, more than half of

them seem to be members of this somewhat secretive religious organization and what appeared to have been gatherings of this group in that city of

Daegu.

So, airlines have suspended flights to Daegu Airport, however, the city does remain open otherwise. I took a high-speed train from the South Korean

capital and it stopped in Daegu today and people got on and off the train at that station. You can drive in and out of that city as well.

We saw very long lines of people waiting to buy face masks, which have become very much a symbol of the coronavirus spread in Daegu.

We've spoken to some residence who described the feeling very depressed about the state of affairs there right now and also of concern is the fact

that this has spread to the branches of the South Korean military.

All four branches with at least 13 infections in the South Korean military prompting the Department of Ministry of Defense to cancel training outdoors

and to cancel all vacations for military staff.

And we've also just learned of an illness, a coronavirus case, related to one of the U.S. military garrisons, the one Camp Walker in Daegu. That, of

course, is a concern if it spreads into the U.S. military, numbering in the tens of thousands here in South Korea. Becky?

ANDERSON: Ivan Watson is in South Korea.

Melissa, what is Italy doing to prevent panic as authorities there announce the fifth death of coronavirus?

MELISSA BELL, CNN CORRESPONDENT: Well, you know, listening to what David just had to say a moment ago from Shanghai in a sense we're several steps

behind that here since these kinds of measures. The beginning of cities and villages being put under quarantine has just begun. And with something of a

suddenness to it.

I mean, the number of cases, of infections, the number of deaths has risen so dramatically over the course of the last few days. A hundred thousand

people are now affected by those quarantine situations in nearly dozen villages or towns here in northern Italy.

So we're just seeing the beginning of what's happening in Asia beginning to happen in Europe. With this particularity, Becky, that with the open

borders of the E.U., but with no harmonization of public health policy across Europe. There's going to be a scramble from neighboring countries to

try and prevent anything getting across the border.

[11:25:03]

For the time being, authorities here doing what they can. But although Cinemark Square is quieter than it should be here at carnival period

because the carnival came to an abrupt end last night, it is at still -- does still have tourist meeting around. May of them not wearing protective

face mask and many people are asking the question of what should be doing? So they're simply not getting the information that they need and there are

fears amongst people here that they're not hearing getting the full story of what they need to protect themselves.

Have a listen first of all, Becky, just a minute to the head of the local region talking about the end of the carnival last night.

LUCA ZAIA, GOVERNOR, VENETO REGION (through translator): I never thought I would have to sign an order to close the Venice Carnival. I would never

have thought of closing schools, churches, museums or aggregation centers.

I know it is asking for a sacrifice to the Venetians but it is true that the Venetians know that when the going gets tough, we Venetians all work as

a team.

The team has no political color. We just have to think about the health of all of the nations.

(END VIDEO CLIP)

BELL: So you're seeing European authorities now having to deal with this delicate balance, ensuring that public health, safety comes first without

creating the sort of panic which will be catastrophic for local businesses and ultimately for the Italian economy, Becky.

ANDERSON: Melissa, thank you. Well, Melissa's in Italy. You've been in the South Korea, you've been in China with us and the New York Stock Exchange.

We want to take you over to Riyadh in Saudi Arabia, just neighboring where I am here in the UAE. John Defterios is there.

Cases, John, in Iran have passed 60. Several Middle East in countries have reported there first cases. Some of them linked to Iran as well, closing

borders to try and stem this contagion.

Finance ministers from the world's leading economies met in Riyadh coincidentally over this weekend, an advanced meeting ahead of the G20

meeting there at the end of the year. And they expressed some concern about what this contagion, what this outbreak might mean for financial markets

and for economies around the world going forward.

JOHN DEFTERIOS, CNN BUSINESS EMERGING MARKETS EDITOR: Indeed, Becky. And I think the financial markets are giving us the classic response, the risk

here of emerging markets selling off to start the day in Asia, three to four percent. A classic rush to gold. We're seeing a $30.00 gain there and

the march to $1700 an ounce.

Oil, that the commodities that we need here in the Middle East in terms of demand and supporting the economies, down 4-1/2 to five percent on the day.

So that's telling us a lot that the coronavirus has wiped out the belief that this is a one-way bet because of low interest rates and lots of

liquidity in the world.

You talked about the G20. The International Monetary Fund and the managing director was suggesting that China's slowing down more than anticipated

from six percent down to 5.6 percent. This will have a ripple effect.

And I would suggest even that the Asian economies that make up a quarter of the G20 got the language they were looking for within the final communique,

saying that multilateral responses will be ready if necessary.

Now, this raises a very big question mark going forward, Becky. And you'll recall this when the British Prime Minister Gordon Brown back in the

financial crisis of 2009 and 10 used the G20 to close the gap between the emerging markets and the developed world, tap that capital when necessary.

And it's raising the question, I was taking a step back and say what's at the core here, is it the coronavirus that's really calling on a global

reaction or not? The agents are suggesting so. South Korea, Singapore, the Philippines, China today with another $30 billion of liquidity are saying

the wheels of commerce are getting clogged right now.

The Europeans are slowing down. The European market correction is three to four percent and watching what's happening in Italy that Melissa was

talking about is alarming.

But will the heavyweights step up to the table? The United States and say, you know what, let's go back to the strategy 10 years ago and have a

collective response. That may be necessary depending on how this spreads.

But the mood music here in Riyadh after hosting the G20 and seeing the alarm of what's happening in Iran has changed dramatically in 24 hours.

ANDERSON: To the entire team around the world, we thank you very much indeed for joining us. This outbreak is a daily reminder of China's impact

on the global economy.

From lobsters stranded and tanks to wedding dresses that won't be made on time, the crisis affecting business in just about every corner of the

globe. That is @CNN.com.

Well, still ahead, pump and style dances greet Donald Trump as he kicks off his first official visit to the world's largest democracy.

[11:30:01]

Plus, this woman will need to work closely with Mr. Trump's administration. Karen Pierce, as the incoming U.K. ambassador to Washington. Lots to get

into

ANDERSON: -- democracy. Plus, this woman will need to work closely with Mr. Trump's administration. Karen Pierce is the incoming U.K. ambassador to

Washington, lots to get into with her up next.

(COMMERCIAL BREAK)

ANDERSON: We're following two big stories this hour. A dangerous standoff between Turkey and regime forces in Syria, the nearly decade long battle

entering another very worrying phase. One that people are concerned could bring about direct clashes between a NATO-powered Turkey and Russia-backed

Syrian forces. Turkey's presidential spokesman telling me Ankara wants to avoid that but says it is running out of patience.

A new global fears that the coronavirus is spreading faster than the world can contain it. Borders are closing and travel restrictions are in place

and that is taking a severe toll on governments on supply chains and on stock markets. My next guest has spent her decades long career serving her

country and many diplomatic roles. Joining me now live from the U.N. is Karen Pierce, the U.K. ambassador to the United Nations and soon perhaps an

even bigger job shoring up relations with the U.S.

Miss Pierce is about to become the new U.K. ambassador to the United States. We've got a lot to talk about, but the -- I want to start with the

coronavirus, Karen, which is causing real alarm around the world. Has the WHO, as a sort of the world sort of global health watchdog done enough to

get on top of how these things started and what the world needs to do next to contain it?

[11:35:05]

KAREN PIERCE, U.K. AMBASSADOR TO THE UNITED NATIONS: Well, the World Health Organization, the WHO, it works out of Geneva and it sets the international

norms and standards, if you like, for how to tackle a virus of this type, and what countries ought to be doing, to try and keep their citizens safe

and make them well again. As far as going back into the origins of the virus, I don't know very much about that.

But I would imagine the WHO disease experts are in very close touch with the Chinese authorities about tracing this back to source.

ANDERSON: Let's move on, Karen. There's an also lot to talk about, not least what is going on in Syria at present, the U.N. Security Council,

which you are part of voted to renew the operation to deliver aid to displaced Syrian civilians and we are talking a million since just December

but only a watered down version. Past good for six months only, Russia and China abstained from that vote millions, as I say, of Syrians depend on the

aid for survival.

You have been highly critical of both the Russian and Syrian regime's. Why and what do you think they mean to accomplish here?

PIERCE: I think the first thing to say is that cross border assistance, it's humanitarian. And the point of humanitarian in the U.N. is that it's

not political, it's done solely with the needs of people on the ground in mind. So it's desperately cynical of the Russians to say they would only

let half the number of crossings for half the time through. The Syrian government and not doing enough to fulfill their humanitarian obligations

to their own people.

And it's deeply disappointing. They've been able to hold up this cross border aid in this way. We are continuing to work with the U.N. to see if

there is a way around it. And we're continuing to press both Russia and Damascus, the Syrian government in Damascus to allow aid flow more freely

across Syria. But the real problem is that the Syrian government won't let the U.N. do a needs assessment.

Without a needs assessment we can't work out which communities most need the aid. I stress. This is not about war fighting. This is a humanitarian

activity. There are humanitarian principles in the U.N. and both Russia and Syria should stick by them.

ANDERSON: Well, Turkey giving the Syrian regime until the end of the month to withdraw from recently seize territory in Idlib province. The Turks

hoping to avoid a full on proxy war with Russia that came from the Turkish president senior advisor who I spoke to earlier, Ibrahim Kalin, this is

what he said about the situation, Karen.

(BEGIN VIDEO CLIP)

KALIN: The deadline remains valid. And this is something that we made very clear to the Russians as well as to the Iranians, and through them to the

regime, that if they continue these attacks, there will be a military response from our side as we have done. And if they attempt to attack our

soldiers again, there will be very severe response and retaliation from our side.

(END VIDEO CLIP)

ANDERSON: What do you make of Ibrahim Kalin's statement?

PIERCE: Well, I think the situation on the ground remains very tense. The risk of a larger conflict remains worrying. That's not Turkey's intention.

I think that's clear. I think we need to see de-escalation all around. But we also need to remember how much Turkey is doing to try and help the

humanitarian crisis in Syria. As soldiers have been killed. They have been attacked. It's actually a fact that the Turks hosts More Syrians in Turkey,

3-1/2 million than are actually in Idlib which is three million.

So the stakes in this are very high for them. But obviously we are watching very closely the risk of escalation and we want the situation to deescalate

as soon as possible.

ANDERSON: Idlib is a security issue with regards the Turks. They -- it's on their border and that has been their position now for some time, Tripoli is

not. But Turkey is there in Libya in what is a horribly complex situation on the ground. I want to talk to you about Libya, the U.N. Security Council

passing a U.K. recent resolution, calling for - and I quote, "A lasting ceasefire without preconditions."

This has been described as a test of the U.N. warning authority, the leader of the Libyan National Army General Khalifa Haftar refusing to grant

landing permissions for U.N. staff traveling to Libya.

[11:40:05]

ANDERSON: Has that refusal weakened the U.N.'s influence on the ground do you believe?

PIERCE: It's worth saying that the outset I think, the U.N. acts best when all members of the Security Council are united behind it, and when you and

member states do things like uphold the arms embargo, there are also Russia-backed forces in Libya. And my understanding is that the Turkish

forces have gone there at the request of the government to counter or at least to mitigate the effects of those Russian-backed forces.

So obviously, the situation is very tense and dangerous and as the Security Council said, we badly need that ceasefire. The U.N. Special Envoy Ghassan

Salame has been in Geneva negotiating with both the government side in general, Haftar's side to try and get that ceasefire agreed and obviously

we support that, once it is agreed, will want to look with the U.N. how it can be monitored.

ANDERSON: Russia are abstaining from that votes on a lasting ceasefire. What do you make of that?

PIERCE: I think it's part of Russia's approach to international security problems. Overall, it's part of more flexing of muscles. It's part of their

attempt to try and say there's a competition to set the rules for international affairs. What it doesn't do, of course, is help the people on

the ground either in Syria or in Libya, who are caught up in this fighting, and there's a P5 member, you know, we really do urge the Russians to come

on board with the rest of the council and try and help us sort out these very dangerous situations.

ANDERSON: Finally, we're in region, I want to get to Yemen because you recently said regardless of who started the violence, it is clear that the

Houthis have sought to exploit the situation. And you said this is unacceptable. You also said that in the past few weeks Houthi restrictions

have grown significantly, as well as the intimidation of U.N. and NGO work as you called for urgent action. What would that action involve,

Ambassador?

PIERCE: Well, we were referring in the sentence about violence. That was to the particularly last outbreak of violence. But we really do need the

Houthis and others to allow the humanitarian aid in. We need all signs to work with the Special Envoy. His name is Martin Griffiths to allow a wider

political process to take hold. And Martin is working energetically on that now. I don't want to go into what exactly might happen if this doesn't take

place.

If one or other of the parties including the Houthis doesn't heed the Security Council resolutions. But certainly the Security Council watches

this extremely closely. It is worth noting that it is one area where the council is united, where we have Russian and Chinese support. And I think

that helps the U.N. as they try and get this wider process underway.

ANDERSON: I want to talk to you about the elephant in the room, if I can, I mean, if I can call it that. You are the outgoing U.K. Ambassador to the

United Nations. You are the ingoing British ambassador in Washington. How do you clear up the mess left behind by the previous ambassador to the U.S.

and what do you think your first day will entail?

PIERCE: I didn't think it's a mess. I'm not going to call it that. I don't It's a mess at all. I think all ambassadors to the United States from the

U.K. have a very deep appreciation of British interests, have a very deep appreciation of what a deep profound and successful relationship this is

and have all worked tirelessly to ensure the angry American lions helps drive prosperity and security, not just in the Western Hemisphere, but

elsewhere.

So I don't accept that characterization. Kim Darroch, the last Ambassador is a very good friend of mine. I've worked with him on many occasion.

ANDERSON: The telegraph reporting this weekend that Prime Minister Boris Johnson will begin post Brexit trade talks with the U.S. in a couple of

weeks' time and what can you tell us about these tools? What's the timeline and what do you -- what do you make of these so-called red lines for

negotiations in the United States?

[11:45:01]

PIERCE: Well we're waiting to hear on exactly what timetable the government's want to start the free trade negotiations with the Americans.

I think the Americans are incredibly robust trade negotiators. And they've been at it a long time. I think red lines on trade, they're important, they

need to be taken into account. On our side they were very -- we're just getting to grips really with the post-Brexit trade environment where we

will be making our own trade deals.

So we don't have as much direct recent experience of the Americans. But we're pretty tough negotiators as well. Certainly the Prime Minister's team

led by David Frost, extremely good negotiators with a lot of trade experience. Prime ministers make clear that some things are not up for

grabs on our side. They include the NHS, the Americans have said they respect that but I think inside those red lines, it's going to be a tough

negotiation.

But were determined to take this forward. There'll be lots of areas of the United States that positively want to trade deal with Britain, and vice

versa. So we're hopeful we can find common ground.

ANDERSON: And with that, we're going to leave it there. We thank you for your time and very much appreciate the wide ranging discussion that you've

-- that you've entertained today. I'm going to leave it there because we do have breaking news.

A verdict has been raised in the Harvey Weinstein case. A jury in New York has been deliberating charges of predatory sexual assault and rape against

the former movie mogul. My colleague Kate Bolden has the very latest on this breaking story. And we will be getting to her in about 30 seconds

time. But you are looking at images of the man at the center of this story. This is Harvey Weinstein. This is him entering court.

He is now waiting on the decision of the jury. Let me hand you over to my colleagues in the United States and to Kate Baldwin who will take it from

here. The jury delivering its verdict in the Harvey Weinstein case.

KATE BALDWIN, CNN ANCHOR: All right, we do have breaking news. We now have a verdict in the Harvey Weinstein rape trial. Joining me right now is CNN

Legal Analyst Paul Callan also Brian Stelter, host of Reliable Sources. We are waiting as we were told from Jean Casarez just to fill in everybody in.

The judges said there is a verdict. We're waiting for it to come out. There's a period of time that transpires before the verdict is reached the

letter, the letter is sent to the judge and then it is written court.

We're going that to everybody as soon as it happens. Let's talk about where we -- things were left on Friday. And what could be we could be looking at

right here up. We have the breaking news in. We have a breaking news in. Let me go to Jean Casarez. Sorry, everybody, Gene is outside the courtroom.

Jean, what do you have?

JEAN CASAREZ, CNN CORRESPONDENT: All right. This is what we have on count one. Which is predatory sexual assault, not guilty. Count two, which is

criminal sexual act in the first degree. Guilty. That is a criminal sexual act against Miriam Haley. Count three, predatory sexual assault not guilty.

Count four, rape in the first degree against Jessica Mann, not guilty. Count five, rape in the third degree, guilty.

There are two guilty convictions here. Count two, criminal sexual act in the first degree which is five to 25 years in prison. And count five which

is raping the third degree which can be probationary up to four years in prison. Kate?

BALDWIN: Jane, thank you so very much. Sticking with me, Paul Callan, you just heard that what's your reaction to this?

PAUL CALLAN, CNN LEGAL ANALYST: Well, but let's talk about the difference between the charges here. Those charges that he was acquitted on, the

predatory sexual act charges are so serious that some lawyers would compare them to murder counts, they're A felonies, he could have gotten a life

sentence on both of those. So that's --

BALDWON: Both of those are not guilty. Guys, if we can throw up the counts. So we can talk this through for everyone as it can get confusing as there's

so much going on here. That'd be great. So one in three, not guilty, as Jean Casarez has just reported. Continue.

CALLAN: And those counts, by the way, required the jury to believe that he had engaged in improper sexual conduct with Jessica Mann and Miriam Haley

and that the same thing or similar kind of thing had happened to Annabella Sciorra. That would have made it predatory and would have raised it to a

life sentence A felony. They did by that. Yes.

BALDWIN: Let me say start right there. Does that surprise you that they came back with not guilty on those two -- those two most severe charges?

CALLAN: Well, it doesn't surprise me given the question that was asked on Friday. You remember, they hinted that they may had reached -- they may

have reached a conclusion on some counts, but not on the predatory.

BALDWIN: Yes. They asked the judge on Friday specifically, can we hang on on count one and/or three and unanimous on others? That was our question.

[11:50:03]

CALLAN: That's right. So that meant that they had to have believed Jessica Mann or Miriam Haley on some of the lesser counts. Now moving on to the

really serious - and these are serious counts, these lesser counts are not a walk in the park. The -- one of the counts, the count involving Marion

Haley calls for a sense of five to 25 years in prison for Harvey Weinstein, the second count, which is rape in the third degree, now the difference

between rape and the first and rape and the third is rape in the first is a forcible rape.

The jury didn't believe that there was a forcible rape here of Jessica Mann, but they did believe that he had sex with her without her consent.

That lowers that to rape in the third degree, you can actually get probation on that count or up to four years in prison. So that's what he's

facing up to 25 years in prison on one count and up to four years in prison on count number two.

BALDWIN: Brian, stick with me for one second, let me just ask the control, Miss Jean still standing by? Let me know if Jean still standing by to join

the conversation. Jean, let me bring you back in. We have this verdict now, Jean, do we know what is happening in court, if anything at this moment or

any reaction in the courtroom when this was read?

CASAREZ: No, we don't have that yet. We do have our two producers in that courtroom. But what is interesting here is that since there is a

conviction, routinely, and Paul, I'm sure his experiences so many times the prosecutor can ask to remand Harvey Weinstein into custody, he has been

free on bond for this entire time since he was charged and be -- the length of this trial. Remember, he was charged several years ago when this all

began.

And so they could be asked that the defense will counter that saying that he has always shown up the court. There is not a risk of flight. And these

are not the most serious felonies, and they will battle that out. Now I think the loo main question is, will the Los Angeles charges come into play

here? Because the first day of jury selection here in New York, he was charged criminally a big press conference with crimes sexual in nature in

Los Angeles.

So L.A. is just really holding off until this case is concluded. And will he be allowed to turn himself in or will they arrest him and remand him

into custody for Los Angeles?

BADLWIN: Absolutely. Jean, stick with me. Again, everyone. The breaking news is wanted Harvey Weinstein is found guilty on two counts in this trial

that has been ongoing for weeks now and jury deliberation that had just today entered its second week. Brian Stelter is here as well -- is here as

well. Conviction is important. It's an answer, but I think we can also lose the impact of what Harvey Weinstein's case and how it came about. And now

with this conviction means for the -- for the world.

BRIAN STELTER, CNN CHIEF MEDIA CORRESPONDENT: For the world.

BADLWN: Yes.

STELTER: Yes. This is vindication and validation for these victims in this specific criminal trial. But it is also a statement for -- I'm not

exaggerating, Kate, millions of victims of sex crimes in this country and around the world. So why is that? Well, it's because Harvey Weinstein was

the first domino and what we now know is the global MeToo movement. There was before that New York Times server, Harvey Weinstein and there was

after.

The New York Times, the New Yorker, Ronan Farrow, this speaks to the power of journalism that this case was opened up that Harvey Weinstein was

brought into court, and that is now going to be going to prison speaks to the power of journalism and to the court system. And it speaks to the

voices, these voices that were silenced for decades. Let's remember, there were rumors about Harvey Weinstein 20 years ago, he buried those secrets.

He paid off women.

He kept people silent. He threatened to jolt, he did whatever he had to do to keep those secrets. And finally today, for the first time has been held

accountable.

BALDWIN: In a courtroom. A jury of their peers says we hear you two of these -

STELTER: And we believe you.

BALDWIN: And we believe you.

STELTER: Yes, these are two of the lesser charges. But he, as you said, Paul, he's going to be facing prison time. This is a man who thought he was

untouchable.

BALDWIN: And acted that way.

STELTER: And thought he could do whatever he want to anybody else. I'll never forget the day that Ronan Farrow asked me, if you heard rumors about

Harvey Weinstein, you know, this was an investigation going on for the better part of 2017. And when those stories hit in October 2017, the world

did change. And I think I'm seeing online a lot of people who have no connection to Harvey Weinstein, but have had these experiences of their own

lives saying, I feel something today, I feel that I have been heard today.

BALDWIN: Paul, what happens now, you -- we have to guess and assume that he will appeal.

CALLAN: Yes.

BALDWIN: What happens?

CALLAN: Well, I think we have to figure out first of all, are they going to slap the cuffs on him and put him in jail today, and I will tell you having

stood next to defendants in that very courtroom, myself, customarily a felon facing this kind of a serious charge and the sentences that he's

facing would be remanded to prison at this moment.

[11:55:03]

BALDWIN: Would you be more surprised if he was able to walk out of work?

CALLAN: I would be frankly shocked because he's facing as I said before, as much as 25 years in prison on these two charges, and he's facing also

California charged. One of the things the judge looks at is the motivation to flee. Obviously, he has a tremendous motivation to flee, because he's

got these major cases in both states. Now, on the appellate issue, his lawyers are looking at one big issue, one important issue, and that is

there was a juror who was seated over there objection, who hinted that she was writing a book that might be involved with older men having sex and

consent issues with younger women. That's going to be a focus of the appeal.

BALDWIN: Yes.

STELTER: (INAUDIBLE) Weinstein has been preparing for the possibility of prison, even talking to a coach about what it might be like. He was

apparently very nervous in recent days, and he should have been.

BALDWIN: Yes, and we now have an answer. Harvey Weinstein charged convicted on two counts of rape and sexual assault. Much more on this breaking news

after this.

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