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Quest Means Business
Super Tuesday 2 Preview; Trump Mexico Remarks Examined; Syrian Economy Wartime Losses Discussed; New Poll Says Half Consider Economy Nation's Most Important Issue; Sanders Campaign Pushing Hard on Trade and Economic Equality; Miami Beach Mayor Predicts Clinton Win in Florida; British Voters to Decide on Brexit in 100 Days; Eurostar CEO Against Brexit; Petrovic Says Eurostar Is Increasing Capacity on Trains; Eurostar CEO Said the Paris Attacks Hurt Business; Quest's Low-Cost World Tour Continues
Aired March 15, 2016 - 17:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[17:00:00]
ELENI GIOKOS, HOST: It's not been a Super Tuesday for the stock markets, the Dow closed just a few points higher about an hour ago on Wall Street.
It's Tuesday the 15th of March.
(BEGIN VIDEO CLIP)
GIOKOS: Tonight, decision day for the Republican Party. The first exit polls from the Presidential primaries are due out any moment.
Housing the cost of a catastrophic conflict, Syria marks five years of bloodshed. And a lesson Valeant effort shares in the drug maker plunge
50%.
(END VIDEO CLIP)
GIOKOS: I'm Eleni Giokos and this is "Quest Means Business."
A very good evening to you. Tonight it's the Republicans day of reckoning. Marco Rubio and John Kasich are making their last stands in their home
states of Florida and Ohio. Now if Trump wins there it would drastically raise the chances of a contested convention.
(BEGIN VIDEO CLIP)
GIOKOS: Marco Rubio has long pinned his hopes on winning in the sunshine state. But polls show Donald Trump holds a commanding lead there. The
race in Ohio is much tighter. Governor John Kasich, leads the polls by just a few points.
And on the Democratic side, Bernie Sanders is looking to build on last week's surprise win in Michigan. He's hoping his record on trade will help
him in the manufacturing heavy states of Ohio, Illinois, as well as Missouri.
(END VIDEO CLIP)
GIOKOS: Timothy Naftali is a Presidential historian and author, he served as director of the Nixon Presidential Library. He's now the Director of
New York's University Tamiment Library, and he joins me now in studio. Sir, thank you very much for your time.
TIMOTHY NAFTALI, DIRECTOR, TAMIMENT LIBRARY, NEW YORK UNIVERSITY: My pleasure.
GIOKOS: We are seeing so many dynamics playing out on this Super Tuesday but what's interesting to note is the stance on trade. It's the stance on
protectionist policies. Have you seen this before?
NAFTALI: No, in fact what you're seeing now is a challenge to a 30 year orthodoxy about free trade among the leading candidates in both political
parties.
Hillary Clinton -- Hillary Rhoda Clinton does support free trade but she's on the defensive because Bernie Sanders has made real inroads by attacking
her on free trade.
(BEGIN VIDEO CLIP)
NAFTALI: On the Republican side, the leading candidate, if you look at what he's promising to do in foreign economic policy, he's going to start
trade wars with China and Mexico, at least his rhetoric suggests that he would.
(END VIDEO CLIP)
NAFTALI: So what we have for the first time is a very, very strong protectionist streak in the American political dialogue.
GIOKOS: Of course the likes of Bernie Sanders of course speaking to the Blue Collar workers. The issues in the manufacturing sector are very real.
NAFTALI: Very - of course they're very real because when you have globalization it affects some parts of the country differently from others.
But here's the key for a lot of folks watching this. This is a rust belt. The campaign right now is in Ohio, it's in Illinois, parts of Missouri.
This part of the country is not necessarily pro-free trade anyway. Will this rhetoric continue after Super Tuesday number three and that's what
we're looking to see.
The other thing that's really important I believe is the extent to which whatever happens tonight Trump will win more delegates. The question is
will other people drop out. If Rubio loses in Florida he's already indicated he might not drop out but his chances decline drastically.
GIOKOS: And this is home state essentially.
NAFTALI: Well if he can't be a favorite son in his home state it's hard to argue that he should even be a vice-presidential candidate.
The case for Kasich gets better this day if he wins Ohio and he might. So Trump will emerge with more delegates but not necessarily the triumph -- he
will not necessarily triumph today. The question is to what extent will the anti-Trump movement continue. And that anti-Trump movement is not
protectionist.
GIOKOS: Well Tim, you know I mean the world is watching us. And this is what we heard from President Barack Obama a little earlier, and he was
saying that what are we portraying to the rest of the world. We actually have one of those clips, let's take a listen.
(BEGIN VIDEO CLIP)
BARACK OBAMA, PRESIDENT OF THE UNITED STATES: This is also about the American brand. Who are we? How are we perceived around the world? There's
a reason that America has always attracted the greatest talent from every corner of the globe. There's a reason that "Made in America" means
something. It's because we're dynamic and diverse and inclusive and open. Why would we want to see that brand tarnished?
(END VIDEO CLIP)
[17:05:00]
GIOKOS: But it's happening. And this is the thing. What message is the U.S. sending to the rest of the world, to the investor community?
NAFTALI: Well, it's reminder that democracy is messy. But last weekend, the Trump rallies crossed an important threshold. It was the most dangerous
moment in American political history since 1968. And fortunately, some of the candidates called him on it. Some of them talked about the importance
of using first amendment rights peacefully. But not enough people have stood up and said violence has no place in the American political arena.
GIOKOS: Tim, we're running out of time, very quickly what are your expectations, what do you think we're going to see later on today?
NAFTALI: So I'm a historian by training, so I'm careful. But let me put it this way. I believe that the polling on the Sanders side may have
underestimated his support, he may actually surprise people in Ohio and Illinois. On the Republican side, it looks like Kasich will win.
(BEGIN VIDEO CLIP)
NAFTALI: In which case Trump has a hard time getting a majority of delegates before Cleveland.
GIOKOS: Timothy, thank you very much for your time, much appreciated. Timothy Naftali.
(END VIDEO CLIP)
GIOKOS: All right, so economy is the top issue for voters across the country. And trade is particularly crucial in many of the states voting
today. Donald Trump is hoping to capitalize on that.
(BEGIN VIDEO CLIP)
GIOKOS: In an opinion piece he wrote, "American's politicians have enabled jobs theft in every imaginable way. They have tolerated foreign trade
cheating, while enacting trade deals that encourage companies to shift production overseas."
(END VIDEO CLIP)
GIOKOS: Now Donald Trump has repeatedly said the U.S. is losing manufacturing jobs to Mexico and of course the republican frontrunner
kicked off his campaign referring to some Mexican immigrants as rapists.
Now, that prompted Mexico's richest man, Carlos Slim, to drop a planned T.V. project with Trump. Slim's right-hand man warns if Trump reaches the
White House, there could be a storm on the global stock market. Arturo Elias Ayub is CEO of Strategic Alliances for America Mobile, Samuel Burke
asked him how it felt as a Mexican businessman to hear a Presidential candidate call his countrymen rapists.
(BEGIN VIDEO CLIP)
ARTURO ELIAS AYUB, CEO STRATEGIC ALLIANCES AMERICA MOBILE: Obviously we feel hurt.
SAMUEL BURKE, CNN MONEY CORRESPONDENT: Hurt?
AYUB: And obviously we don't like the leader of the free world talking like that about Mexico or about anyone else.
BURKE: You see how well Donald Trump is doing in the primaries in the United States. And as a Mexican, specifically a Mexican businessman, what
do you feel?
AYUB: Honestly, I think not only as a Mexican but as a citizen of this world, that the U.S. is the strongest country in the world. That you guys
have a very strong leadership. I will say stronger now with President Obama. And i think the U.S. needs a very professional, a very smart,
responsible leader. And I don't think Mr. Trump has any of those.
BURKE: Do you think that a President Donald Trump might have a negative effect on your business?
AYUB: I think it will have a very negative effect on business all over the world, including the U.S. I think if he wins the presidency, he will -- we
will see a storm on the markets everywhere. As a citizen of the world, I will be very concerned if America doesn't have a very responsible leader.
(END VIDEO CLIP)
GIOKOS: As Syria marks five years of civil war -
(BEGIN VIDEO CLIP)
GIOKOS: --David Miliband says Europe's leaders have an opportunity to act and show that globalization has a conscience when it comes to refugees.
Mr. Miliband will join us next. Stay with us.
[17:10:30]
GIOKOS: The United Nations called Syria the biggest humanitarian and refugee crisis of our time. The brutal conflict has now raged on for five
years and the grim milestone comes as Russian forces begin their withdrawal.
(BEGIN VIDEO CLIP)
GIOKOS: Still, even with Russia out and talks under way in Geneva, a path to peace is by no means clear. A half a decade of war has so far claimed
270,000 lives and left more than a million wounded. Around 11 million people have been displaced and that's around half of Syria's pre-war
population.
According to an estimate by the group Frontier Economics, Syria has lost out on $275 billion worth of growth. Should the war carry on into the next
decade, that figure will balloon into the trillions.
(END VIDEO CLIP)
GIOKOS: Now joining me in the "C" Suite is David Miliband, he's President and CEO of the International Rescue Committee. David, thank you very much
for joining us.
DAVID MILIBAND, PRESIDENT AND CEO INTERNATIONAL RESCUE COMMITTEE: Thank you, good to be with you.
GIOKOS: We're looking at staggering economic numbers, we're looking at massive refugee figures as well on the doorstep of Europe. What do you
think needs to be done going forward? Because we're dealing with a symptom of war, essentially.
MILIBAND: I think the problem has to be tackled at source as well as at symptom. So the source is that countries in the region, notably Jordan, and
Lebanon, but also Turkey, aren't able to cope with the flow of 4 or 5 million refugees that they've got. And Europe needs to be a far better job
first of all registering and welcoming the refugees, secondly checking whether they are in fact refugees because only those who qualify should be
allowed to stay. And thirdly sharing out the refugees around Europe. Because Germany and Sweden can't be expected to deal with that alone.
GIOKOS: And you know refugees stuck at the border of Greece and Macedonia.
MILIBAND: Well unilateral measures by different European countries or candidate members for the European Union in the case of Macedonia are never
going to address the roots of a problem that requires a concerted European response. And the figures you gave show that Syria was a middle class
country. $275 billion worth of growth, they had to have some wealth to start with. And we are finding, we're a humanitarian charity, we run
operations inside Syria, in the neighborhoods states, in Europe. The refugees have run out of money. After five years of war, those who came
have run out of the money that they had. Those who are coming now have run out of their savings inside Syria.
GIOKOS: So the E.U. Commissioner of Migration is talking about getting 6,000 people to be assimilated within Europe every single week. Is that
doable? Because we haven't actually seen these kind of figures coming through.
MILIBAND: It's certainly practical. I mean if you think about the U.S. as an example, that was - the U.S. was accepting about 160,000 Vietnamese
every year in the early 1980s. The E.U. is now a continent of 500 million people, it's a practical scheme as long as you're willing to first of all
put the resources into quick screening so you get the right people. And secondly that you do the basics of refugee integration right, which means
teaching people English, getting them into work, getting them on the path to citizenship.
(BEGIN VIDEO CLIP)
GIOKOS: We're in the middle of Super Tuesday, right. We know what the --
MILIBAND: You noticed, even on this program you noticed.
GIOKOS: Even on this program.
(END VIDEO CLIP)
GIOKOS: It's important because some of the rhetoric coming through from the candidates are very much against immigration, against assimilating the
likes of refugees. And in fact we've seen very low numbers being pushed into the U.S. What should the U.S. be doing right now?
MILIBAND: I think the U.S. has had its leadership role supplanted frankly as a - as a home for refugees. Just a few miles down the water from here,
the Statue of Liberty says bring me your poor and huddled masses. And the U.S. has taken 2,500 refugees from Syria since the war began.
So the U.S. is blessed by its geography and is able, frankly, to choose the refugees it has. The security fears are addressed by an 18 to 24-month
vetting process of all agencies of U.S. government. And really the U.S. needs to step up in the way that Canada has, frankly. The new Canadian
government, 25,000 refugees. It puts into the shade the kind of effort that the U.S. is making. And this is a country that's shown how to make refugee
resettlement work.
Albert Einstein founded the International Rescue Committee 80 years ago, he's a refugee, Madeleine Albright, a refugee. We all know the story now
that Steve Job's biological father a Syrian refugee. This is a country that's made refugee resettlement work and it really needs to show how it
can continue to do so in the future.
GIOKOS: Peace talks current underway in Geneva. Russia pulling out. What is your prognosis going forward because if you look at the economic impact,
even if we are able to find a conclusion on the peace talks, you're talking about a country that economically has been destroyed. It's not as if you
can say, well refugees go back home.
MILIBAND: No, the phrase "ravaged by war" applies in spades in Syria. 85% of the lights are out on the satellite footage across Syria.
[17:15:07]
Anyone who's seen the situation there can't afford to come here and say complacently, yes, I'm optimistic.
(BEGIN VIDEO CLIP)
MILIBAND: But there's been a pause in the fighting. And the Russian withdrawal is a reminder that they had a marriage of convenience with
Assad.
(END VIDEO CLIP)
MILIBAND: Their concern is the stability of the state. And it seems to me essential that the opportunity that's being created is somehow
consolidated. And that's going to take some real leadership, not just globally but also in the region from countries like Saudi Arabia and Iran
as well.
GIOKOS: David, thank you for your time. Sir, much appreciated.
MILIBAND: Thank you.
GIOKOS: All right, so now this week on CNN we are investigating the human rights abuses that permeate one of the world's biggest industries: tea.
It's part of our Freedom Project, shining a light on modern day slavery. In the second part of the series, Muhammad Lila has been embedded with
police in New Delhi on a mission to rescue a 14-year-old girl being held for more than a year by an alleged trafficker.
(BEGIN VIDEO CLIP)
MUHAMMAD LILA, CNN CORRESPONDENT: (Manju Gore) lives on a tea plantation, in a life of poverty. A few years ago she was tricked by a human trafficker
with promises of more money and a better life in the city. She managed to escape. But she tells us her sister is still in the hands of a trafficker.
For help she's come here, the headquarters of a Save the Childhood Movement. A charity that rescues children from captivity.
As they plan the raid, time is critical. They have to move fast, making call after call. Desperately trying to find out where the trafficker is
hiding. But every call, every desperate tap on the phone, everything leads to a dead end.
So there's a problem right now. We thought we knew where the traffickers were keeping (Manju's) sister. But it looks like right now we don't.
As the minutes turn into hours and all hope looks lost --
LILA: Suddenly, out of the blue, a big break.
[ speaking foreign language ]
LILA: A lucky phone call leads to the trafficker's address.
So we just got confirmation of where the trafficker is right now and we're going to go and see him.
Nobody -- what's going to happen is we climb the narrow staircase in this decrepit apartment building. Police are hoping to make an arrest and
(Manju) moves quickly room to room, desperate to find her sister. As police move to the rooftop downstairs, we turn a corner and find this. It looks
like we've found a couple of other girls that are also victims of trafficking. And there's somebody hiding in the room right here.
Huddled against the wall, three young girls, terrified, all from villages in a state of Assam. This is the man police trot out for the cameras,
accusing him of trafficking girls from tea plantations, promising them a better life, but then abusing them and selling them off as domestic labor.
For (Manju,) this rescue is bittersweet. Hoping to find her sister, but finding other girls instead.
(UNIDENTIFIED FEMALE) We rescued three girls and two boys from this agency.
LILA: (Dolly Joshi) has rescued hundreds of girls from modern day slavery. As police take the suspect, she drives with us to the police station. What
was your reaction when you saw these girls? How did you feel?
(DOLLY JOSHI): I feel fair about them. Every time I do this, (inaudible) because they come all the way from Assam or different states (inaudible).
But you can see the conditions there.
LILA: Sir, Sir, we're with CNN, can we ask you a question? This is what happens when we confront the man they accuse. Answer my question, Sir. Were
you taking advantage of them?
[speaking foreign language ]
LILA: Police take him inside for questioning and charge him with bonded labor and cruelty to a child. As the sun sets, the suspect agrees to tell
them where (Manju's) sister has been working. Two long hours later, (Manju's) sister (Arki) emerges, met with a smile and a hug that means the
world.
[speaking foreign language ]
LILA: And just like that, with police by their side, the two sisters are together again, walking arm in arm, taking their steps together in freedom.
For the CNN Freedom Project Muhammad Lila, in Delhi.
(END VIDEO CLIP)
[17:20:05]
GIOKOS: Incredible story there. And coming up, Valeant Pharmaceuticals are not operating on all cylinders, and that's according to the company's CEO,
as it suffers a dramatic day in the markets. That coming up next. Stay with us.
(COMMERCIAL BREAK)
GIOKOS: Some news just into CNN. Washington, D.C's Metro will be shut for an emergency investigation. Investigators will examine power cables serving
the third rail. It follows a tunnel fire earlier on Monday and officials say conditions appear seem similar to an last year when fire and smoke left
one person dead and scores unwell.
Rene Marsh is in Washington with the latest. Renee this doesn't come at a very good time does it?
RENE MARSH, CNN AVIATION AND REGULATION CORRESPONDENT: No absolutely not. I can tell you that many, many people will be impacted here in Washington,
D.C.
(BEGIN VIDEO CLIP)
MARSH: And so we're awaiting word to find out if as a result of this shutdown, whether the federal government in turn would be shut down,
because a lot of federal workers depend on the D.C. Metro to get to work on a daily basis. And as you mentioned, we just got word from officials here
that the Metro, starting midnight, will be shut down. It will remain closed for 24 hours. You mentioned that incident on Monday, a cable fire. We
cannot forget that other incident, January 2015, where one person died, dozens were taken to the hospital because of another smoke event inside of
one of the tunnels there involving the D.C Metro.
So what officials are saying today is they don't want to risk passenger safety. So by shutting down the Metro it will allow them to get their
people in the Metro so that they can inspect some 600 what they call jumper cables, to make sure that they are in good condition.
Again, the focus is going to be doing the safety inspection focusing on jumper cables, similar to that cable that caught fire on Monday. But I can
tell you, as soon as word got out, there's been a lot of chatter because the metro connects all different parts of the nation's capital.
(END VIDEO CLIP)
MARSH: Again, so many federal workers depend on this to get to work. We have not received word yet as to whether because of this shutdown if the
federal government will be delayed in opening or closed. We're awaiting that. But needless to say, it will be very disruptive.
GIOKOS: I mean not only disruptive, but some are saying that this is also quite embarrassing.
MARSH: It is quite embarrassing in the sense that I can't think of any other time in which a major city or the district here has ever been forced
to shut down an entire Metro system for any other reason beyond weather.
I mean, when we see weather events, of course that is the protocol. But this is something different, these are safety inspections and the Metro
people will be stranded not able to travel their usual way, simply because there is concern about these potentially faulty cables running throughout
the Metro system. So what they want to make sure is that all 600 of these cables are operating properly.
Again, they're saying that this is a procedure that they're doing to just make sure that none of the passengers' lives are at risk, because that's
their number one priority.
[17:25:05]
GIOKOS: Absolutely. Well Rene, thank you very much for that update, much appreciated.
All right, let's head now to check how the markets fared today. Now the Dow saw a slight gain on Tuesday after spending much of the day lower.
(BEGIN VIDEO CLIP)
GIOKOS: As you can see, up basically 1/10th of a percent. And that's thanks to weak U.S. retail sales data and following a grim outlook from the Bank
of Japan as well which didn't add to its stimulus program.
Oil prices also extended losses as well which of course always has quite a -- a big negative impact on the overall market.
Valeant Pharmaceuticals has had its worst day ever. Its stock lost over 50% after it warned it might default. They plummeted to little more than $33,
it's a dramatic fall from an all-time high of 264 last august.
CNN money correspondent Cristina Alesci joins me now live. Cristina thank you very much.
(END VIDEO CLIP)
GIOKOS: I mean dumping the stock essentially and if you haven't exited now, there's very little one can do. What is behind this massive drop?
CRISTINA ALESCI, CNN MONEY CORRESPONDENT: Well, one of the biggest investors in the company said it best today, there is a massive loss of
confidence here. And three things happened -
(BEGIN VIDEO CLIP)
ALESCI: Not only did the company warn it did not meet the criteria in its credit agreements, sparking this discussion about a possible default. But
it also revised estimates both for revenue and for profit in 2016 down, because it cannot raise the price of drugs.
(END VIDEO CLIP)
ALESCI: And it's not going to make acquisitions to make up for the loss of those sales. So two big shocks for investors there. Then, if that wasn't
bad enough, they put out a press release only to have to correct it later with lower guidance numbers going forward. So that created an element of
confusion that just sent people crazy today.
GIOKOS: I mean you're not willing to embark on acquisitions, not operating at full capacity essentially, unprofitable business, I mean where to from
here? What is the solution going forward? Because there's even some talk of Ford-like activity as well.
ALESCI: There are a number of problems. The first is that this company has had a tremendous difficulty communicating with investors. I mean one
analyst on the phone today said, look, you told us back in December everything was going to be fine, here we are today, why should we trust you
now? That was essentially the tone of the questions. So big question around investor confidence.
Not to mention the fact that several investigations going on with the company. The company announced in last fall that it had received federal
subpoenas over its drug pricing, a highly political issue here in the United States. The Democratic candidates for President, especially both
Clinton and Sanders, have said they want to lower the cost of drugs. So that's putting Valeant's model at risk here.
Not only that, but you had a short seller come out and say that the company was operating an enron-like fraud. So they've got an investigation going on
because of that, not just from the SEC, an internal investigation as well. A lot of question marks over the company.
GIOKOS: I mean who's holding on to stock at the moment, and I mean what do we expect over the next couple of days? What are investors telling you at
this stage?
ALESCI: Well, from what we know, actually some big name investors like Bill Ackman seem to be holding on to the stock. He said today that he's going to
get more involved with the company, that he's going to make sure that the board of directors really holds management accountable, and that they start
to answer some of these questions for investors. But we're really going to have to see because like you said, it's been a dramatic ride for the
company, and it's just been a downward spiral.
GIOKOS: Absolutely. Well thank you very much for that update, Cristina, much appreciated.
And we've just had the first set of exit polls in the Super Tuesday races. We'll bring you the details and go live to the campaign trail, next. Stay
with us.
(BEGIN VIDEO CLIP)
(END VIDEO CLIP)
(COMMERCIAL BREAK)
[17:31:29] ELENI GIOKOS, CNN ANCHOR, CNN MONEY AFRICA CORRESPONDENT: Well, I'm Eleni Giokos. Coming up in the next half hour of QUEST MEANS BUSINESS.
The CEO of Eurostar tells me how the Paris attacks hurt his business.
And 100 days before Britain votes on Brexit, I'll be speaking to head of its biggest business lobby. Before that these are the top news headlines
we're following for you this hour.
Belgian police say they fear two people are on the run. It follows police raids earlier on Tuesday in connection to last year's Paris attacks. Four
officers were injured in a firefight with suspects. One suspect was killed by a police sniper. The French Interior Minister said, Belgian and French
authorities had worked together on the raid.
(BEGIN VIDEO CLIP)
BERNARD CAZENEUVE, FRENCH INTERIOR MINISTER: (through translator) It took place during a police raid, a team made of Belgian and French police
officers intervened and got shot at. Shots from heavy weaponry, apparently. But I am extremely cautious on the circumstances and cautious
as well, because the operation is still ongoing. I will the no make any further comments. But to confirm that indeed it took place. I may
eventually make further comments this evening depending on whatever complementary information I may get.
(END VIDEO CLIP)
GIOKOS: Police in Germany say there's no evidence that a car bomb in Berlin Tuesday was an act of terrorism. Officials are describing it as a murder.
A Turkish man was killed but it isn't clear if he was the intended target.
Killer Anders Breivik has begun a lawsuit against the Norwegian government, claiming his human rights had been violated in prison. Breivik was
responsible for the bombing and shooting spree in Norway that killed 77 people in 2011. He says his treatment in prison breaches the European
convention on human rights. Breivik gave a Nazi salute inside the courtroom once his restraints were removed.
Mother Teresa is to become a Saint on September 4th. And Pope Francis has announced she will be canonized a day before the anniversary of her death.
It comes after two miracles were attributed to the nun, who devoted her life to helping the poor in India.
Washington, DC's Metro will be shut on Wednesday for an emergency investigation. Inspector will examine power cables serving the third rail.
It following a tunnel fire early on Monday. Officials say conditions appear similar to an incident last year when fire and smoke left one person
dead and scores unwell.
In the race between Hillary Clinton and Bernie Sanders for the Democratic Party's nomination for president, we have a new poll just into CNN. Up to
half of voters in Tuesday's primaries considered the economy to be the nation's most important issue, and about a third say they are deeply
worried about the direction the U.S. economy is heading. Now senior Washington correspondent Joe Johns is with the Sanders campaign in Phoenix,
Arizona. Joe, thank you very much for joining us.
[17:35:00] The reality is that you've got Bernie Sanders speaking quite closely to the blue collar workers. Talking about the troubles within the
economy, and that is what assisted him to dominate the likes of Michigan. What is expected today?
JOE JOHNS, CNN SENIOR WASHINGTON CORRESPONDENT: That's the big question, whether that argument that he made so effectively in Michigan will play in
some of the other industrial states like Ohio, Illinois, and Missouri. I have talked to the campaign about Missouri. They've told me they do have
good feelings about that state in particular. And they also are hoping, of course, when they look even as far south as North Carolina, that they may
well be able to bring in more African-American voters, which has been a problem for Bernie Sanders in Southern states. So that's kind of the lay
of the land for them.
I can tell you, looking at the exit polls as they've come through, about a third of the Democratic voters said they were worried about the economy, in
every state in Illinois, where in fact four in ten express deep worry. About one in five Democratic voters in these states said they felt they
were falling behind financially. And pardon me for reading, because this has just come across. Now the overall majority of Democratic voters in
these states said they hoped the policies of President Obama would be continued, with the exception -- interestingly enough -- of Ohio where
about half say they hope to see his policies carried.
I think one more point, one in five voters in each state said they made up their minds in the final days of the campaign. So that gives you an idea,
I know looking at some of this other information, it is clear Bernie Sanders pushed very hard on that issue of trade, economic equality, and it
was pretty clear that voters who voted for him were following on to the economic inequality argument, Eleni.
GIOKOS: Well Joe, is the rust belt basically playing in the hands of Bernie Sanders? You know, this is going to be interesting to see how it plays
out. Tell us about the atmosphere on the ground at the moment.
JOHNS: Well, for the Bernie Sanders campaign, they are cautiously optimistic, I think you can say tonight, talking with people with the
campaign. They're hoping that they can make a statement in the state of Missouri. They're also not talking too much about Florida, where Hillary
Clinton has led widely in the polls for a long time. They expect some of these other states to be quite close, perhaps even Ohio, which is the next
biggest state after Florida. So we have a long night to go. As you can see, the crowds gathering here, large crowd. And not just students which
have been the following of Bernie Sanders, but some older, if you will, Americans as well. That suggests to us that the Bernie Sanders message is
expanding. The question, of course, is how much. Can he keep it close tonight and make a viable argument that he could get the nomination come
this summer.
GIOKOS: Thank you very much for that update, Joe, and as he just mentioned, Florida is likely to be a happy hunting ground for Hillary Clinton.
Joining me now is Philip Levine, the Mayor of Miami Beach in Florida, who is supporting Hillary Clinton in this contest. Mr. Mayor, thank you very
much for joining us. How is Hillary Clinton going to hold up in the sunshine state?
PHILIP LEVINE, MAYOR OF MIAMI BEACH, FLORIDA: Well, Florida is Clinton Country, and there's no question about it. We expect to have a very strong
showing tonight. And it's not just about Florida. I think North Carolina looks very, very strong. The rest of the states, of course we always said,
it's going to be very, very competitive. That was always said by the campaign. I think everybody believes that. But Florida looks very, very
strong for the Clinton campaign tonight.
GIOKOS: Mr. Mayor, what's also interesting to note is that President Obama is announcing quite a big move in terms of going to Cuba and also looking
at revising the embargoes against that country. What's interesting to note is that Florida, of course, has the largest Cuban-American population. How
is that being taken up? It also comes at a very interesting time, doesn't it?
LEVINE: Well, there's no question about it. But I've got to tell you something. I think that most of the Cuban people feel like they want to
help the Cuban people in Cuba. And how do you help the Cuban people in Cuba? By engagement, by aspiration, by hope, and by having President
Obama, who is incredibly popular around the world, go into Cuba, speak to the people, create that connectivity, give them aspirations, I think it's
very positive for the Cuban people. And as you probably know at the end of the week, I understand that Mick Jagger and the Rolling Stones are also
going to be in Cuba.
[17:40:00] So I think it plays very well. And remember the Hispanic population in South Florida is made up of Colombian, Argentinian, and
Brazilian. It's a pretty big mix.
GIOKOS: We also know that for Marco Rubio, it's his home state. What is the prognosis on Marco Rubio's possible performance and the outcome
thereof? Because Trump is leading at the moment.
LEVINE: Well, I think it's been very disappointing for Senator Rubio. I think of course he's probably hoping that he has a second place finish
tonight as opposed to a third place finish. Because I understand that Senator Cruz has actually picked up steam in the state. So clearly the
Republicans have a situation with Donald Trump, a lot of angry voters. I think when it comes to a referendum on tone and tolerance, there's no
question the Democratic Party is going to win that vote.
GIOKOS: Let's take a look at the economic outcomes as well. That's one of the things most Americans are focusing on, is the possibility of a better
economic outlook. This is perhaps why we are starting to see Trump leading in some of the states as well. It's interesting he's coming out with more
protectionist policies, but yet Miami and the likes of Florida needs open trade policies in order to flourish.
LEVINE: Well, you know what, I think people want open trade, but they want fair trade. And what Secretary Clinton is proposing is any trade deal must
make sure it protects the American worker, so it doesn't allow companies to leave offshore and take jobs with them. By the same token she wants to of
course have a trade prosecutor to enforce these deals. Florida of course is about free trade but it's about fair trade. And of course I think the
rest of the country would probably join in on that sentiment.
GIOKOS: Yes, and then Mr. Mayor, to end off, what kind of impact would protectionist policies have on the likes of Florida? At the end of the day
one has to look at preparing for that outcome.
LEVINE: Well, I think that, like I said, most people feel that, you know, foreign trade is good, if you're able to manufacture products in your
country and you can sell them, that creates employment. But at the same token, we want to make sure we protect the jobs. And in Florida protecting
jobs is very important. But bringing investment to Florida is very important. And we believe that Secretary Clinton's plan and her track
record is very strong in both regards.
GIOKOS: Mr. Levine, thank you very much for your time today, and much appreciated for that.
Eurostar's CEO is hoping when his passengers get off the tracks in London, they'll still be in the European Union. I'll be discussing Brexit with him
after this break. Stay with us.
(COMMERCIAL BREAK)
GIOKOS: One hundred days from now, British voters will be deciding on one of the biggest political questions in a generation, to stay in or to leave
the European Union. Now, the U.K.'s biggest business lobby says 80 percent of its members want to remain. Only 5 percent want to leave. The
Confederation of British industry is backing the stance of Prime Minister David Cameron, who warned earlier today there's only 100 days to secure
Britain's future.
Paul Drechsler, the president of the CBI joins me now live from London. Sir, thank you very much for joining us this evening. It's interesting
because business says that it actually would be a good thing to stay in the European Union because of financial integration.
[17:45:00] It's mostly international companies that are coming out at the start, but we haven't heard them really engaging in the debate. Why has
this happened? Are we going to see more participation in the discussion going forward?
PAUL DRECHSLER, PRESIDENT, CBI: Eleni, good evening. Look, we through the Confederation of British Industry represent the views of 140 different
trade associations and employers covering 7 million employees in the private sector right across the U.K. And we've certainly heard from them
directly through our extensive business consultation process and through our polling that the vast majority, 80 percent, wish to remain in the
European Union. And those voices I think will participate in the dialogue over the next 100 days to help people right across the U.K., in Northern
Ireland, in Scotland, in Wales, and right cross England, understand the impact and the benefits of being part of the European Union.
GIOKOS: Let's quantify the impact. What kind of numbers are we looking at here? We mentioned that economic integration has been working in the favor
of a lot of these multi-national companies that have been operate across various countries.
DRECHSLER: I think that's a really important question. I would just say that companies right across the U.K. have a great interest in exporting the
great products and services. What we know is through membership of the European Union we have access to 500 million consumers, right across the
Union. That's a tariff-free opportunity. We also know from economic analysis that we've done, and looking at the benefits of being part of the
E.U., that that has amounted to about GBP 3,000 for every household. So from our point of view, the net benefits of being part of the E.U. is an
important part of the U.K. economy.
GIOKOS: Business has about 100 days, essentially, to get this discussion going. But the reality is if a Brexit actually does materialize, nobody
really knows what it's going to look like, what it going to mean. Is uncertainty playing a bigger role here?
DRECHSLER: Well, I think that's actually one of the most important considerations. What we do know and do understand are all the benefits of
being part of the E.U., because we've enjoyed those for many, many years. What we don't know is what would happen in the event of a Brexit. As you
well know, whether it's in the U.K. or the USA, business people do not like uncertainty. Consumers do not like uncertainty. And that's why we're very
committed to doing the best we can to inform consumers and businesses and our customers and our suppliers what it means to be part of the European
Union. We think that's really important.
GIOKOS: Let's look at the counterargument, though. The fact that essentially the country is bursting and the Union essentially is -- well, a
lot of people are being attracted to the likes of London and essentially bursting at the seams, because of the attractive nature of the economy.
What about that? Do you think that the pros outweigh the cons?
DRECHSLER: There's no doubt whatsoever, from all the analysis that we have done, that in terms of jobs, in terms of investment in the U.K., we know
that one of the principal reasons that companies in the USA and other countries around the world invest in the U.K. is so they can avail of the
opportunity of the total European market. We also know that London is one of the most exciting cities in the world because of the skill and talent
that comes here to contribute right across all sectors of our economy.
GIOKOS: Paul, thank you very much for your time, sir, much appreciated. And the Eurostar CEO says he would also like the U.K. to remain inside the
European Union. It comes as the rail service saw a sharp drop in passenger numbers after the Paris attacks last November. A little earlier today I
asked Nicolas Petrovic why he thinks leaving the E.U. would go against business interests.
(BEGIN VIDEOTAPE)
NICOLAS PETROVIC, CEO, EUROSTAR: As a business, we've really bend from the European Union integration. First, our customers, businesses, individuals,
they really value the ease of traveling across Europe, setting up business, going on holidays. It's all underpinned the growth of Eurostar. And as a
business the E.U. has simplified the way we do business across borders. We would like the U.K. to remain inside the E.U. And I think, yes, many, many
businesses think the same way. As soon as you work across borders in Europe, you can see the benefits of the E.U.
GIOKOS: The reality is that your company has been growing for 10 years now, year on year growth. Let's look at future figures. Taking the migrant
crisis into consideration, taking the overall European economy into consideration, what are you looking at going forward?
[17:50:00] PETROVIC: So looking forward, I mean, we're very confident we'll grow the business in the next few years, and we hope significantly. And
the reason for that is despite all these external factors, we have a couple of big growth projects. So the first one is we've got a new fleet of
trains, and those trains offer much better customer experience, certainly the best in Europe, with Wi-Fi, onboard entertainment, very comfortable
seats. But really what they offer is more seats per train. One of the issues we've had in the past is not enough seats during the summer. So
we're constrained by capacities. So the new trains this summer will offer a lot more capacity. This is a big area we're going to grow in, we're
going to launch a new destination, London/Amsterdam, at the end of next year. That will be a big growth opportunity for us.
GIOKOS: And Nicolas, I mean, the reality is you're increasing capacity at 20 percent at a time where your passenger numbers were basically stagnant
from 2015 to 2014, I mean you're looking at the same figure around 10.4 million passengers. Do you think you're going to utilize the full capacity
given that even your clients from Asia, demand hasn't recovered on that front as yet?
PETROVIC: You're absolutely right, the demand from Asia is still very weak. But we recovery in all our other markets including the U.S. and Canada,
which are doing very well. So we're confident that this summer we'll be growing and using this additional capacity. There are cities that we are
going through a temporary loss of business due to the terrorist attacks in Paris last year. But the markets are recovering. So in the long term, I'm
very confident we will use this extra capacity.
(END VIDEOTAPE)
GIOKOS: Well, Eurostar revolutionized travel between the U.K. and the rest of Europe. In Asia the revolution is in the air. We'll get the latest
from Richard Quest's epic journey around the world on a low-cost airline. And first highlight from "MAKE, CREATE, INNOVATE."
(COMMERCIAL BREAK)
GIOKOS: There's our Richard Quest, and there's a change in the air in Southern Asia. Low cost airlines are reshaping the aviation landscape and
the competition is fierce. Our very own Richard Quest is at the heart of it all. And he's in the middle of an epic trip around the world on, yes, a
low-cost airline. He's now flying from Sri Lanka to Kuala Lumpur, then on to Singapore. Before Richard took off, he sending us this report from the
beach.
(BEGIN VIDEOTAPE)
RICHARD QUEST, CNN ANCHOR: It's so cool, amazing, the Indian Ocean. My time at the Indian Ocean was all too short. Just long enough to dip my toe
in the water and complete my challenge of eating local food, in this case magnificent seafood. I also completed visiting a local landmark, the
Gangaramaya Temple, which of course is here in Colombo. My visit to Sri Lanka distressingly short.
[17:55:00] And now on the road back to the airport as we go further, deeper into Asia. So far, four countries, four airlines, we're about to take the
fifth carrier. It's Air Asia, which is going to take me from Colombo to Kuala Lumpur, where I'll have just five hours on the ground to complete the
challenges, and then on to Singapore. Remember what we're doing. It's ten airlines, nine countries, eight days, one journey around the world in low-
cost. Richard Quest, CNN, Colombo, Sri Lanka.
(END VIDEOTAPE)
GIOKOS: And of course he looks awfully bubbly for someone who's been on low-cost airlines. And you can follow Richard's trip on Twitter and
Instagram. Use the #flywithQuest to get the latest updates, or you can tweet Richard and send him a new challenge. That hashtag on Twitter,
#flywithQuest. And we'll be back with more QUEST MEANS BUSINESS in just a moment. Don't you go anywhere.
(COMMERCIAL BREAK)
GIOKOS: We are just moments away from the start of our special coverage on the third Super Tuesday in the U.S. presidential primaries. It is a
crucial day, especially on the Republican side of the race. Now, a defeat for Marco Rubio in Florida or John Kasich in Ohio could spell the end of
their presidential hopes. On the Democrat side, Bernie Sanders is hoping for another election upset against Hillary Clinton.
[18:00:00] The early exit polls show just released show it's the economy that is the number one issue for up to half of the democratic voters.
And that's QUEST MEANS BUSINESS. I'm Eleni Giokos here in New York. CNN's special coverage of the U.S. presidential primaries begins right now.
END
