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Quest Means Business
Spain & Portugal Report Devastating Collapse Of Intl Tourism; Trivago CEO: Industry Cannot Lose Travellers' Trust; Georgia Tourism Head: Staying Hypervigilant On Travel Safety; Pandemic Pods A Costly Alternative To Typical Classrooms; Antibody Therapies Give Hope For COVID-19 Treatment; U.S. Gives Regeneron $450 Million To Manufacture Therapy; Brazilian President Keeps Downplaying Threat Of Pandemic. Aired 3-4p ET
Aired August 03, 2020 - 15:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[15:00:43]
ZAIN ASHER, CNN HOST: U.S. stocks are up one percent or better, once again, it is the tech stocks leading the way. The Dow is up 270 points or
so, thanks to the earnings we saw last week for a number of tech stocks and Microsoft being in talks to buy TikTok.
Those are the markets and these are the reasons why. Time to make a deal. Donald Trump says that Tiktok will be out of business if it doesn't get
sold to a U.S. company.
And top executives are demanding that Congress get new stimulus to America's small businesses.
And international tourists have stayed home in droves from Spain and Portugal. I'll speak to the CEO of Trivago.
Coming to you live from New York, it is Monday, the 3rd of August, I'm Zain Asher and this is QUEST MEANS BUSINESS.
Tonight, Donald Trump puts the countdown clock on TikTok. The U.S. President says he'll give the wildly popular social media app until
September 15th, that's about six weeks from now, to find an American buyer for its U.S. operations. The administration has long said it has security
concerns about TikTok's Chinese owner, Bytedance.
Microsoft is up five percent, by far the top performer on the Dow. CEO, Satya Nadella has been speaking with Donald Trump about a potential
acquisition. A short while ago at the White House, the President set the terms for a U.S. company to buy TikTok before he shuts it down.
(BEGIN VIDEO CLIP)
DONALD TRUMP (R), PRESIDENT OF THE UNITED STATES: Here's the deal. I don't mind if -- whether it's Microsoft or somebody else, a big company, a secure
company, a very American company buy it, it's probably easier to buy the whole thing than to buy 30 percent of it.
But we set a date. I set a date of around September 15th, at which point it's going to be out of business in the United States. If you buy it,
whatever the price is, that goes to whoever owns it, because I guess it's China, essentially, but more than anything else.
I said a very substantial portion of that price is going to have to come into the Treasury of the United States because we're making it possible for
this deal to happen.
(END VIDEO CLIP)
ASHER: Mike Isaac is one of the reporters who broke the story. Microsoft's side of the story for "The New York Times." He joins us live now from San
Francisco. Mike, thank you so much for being with us. So, is this deal going to work? Is it going to go through? And is Microsoft well equipped to
handle the regulatory issues that will likely come its way?
MIKE ISAAC, TECHNOLOGY CORRESPONDENT, "THE NEW YORK TIMES": Yes, so, this story has been a real roller coaster, basically. If you remember back to
just as recent as Friday, President Trump said he was going to ban TikTok in the United States.
This weekend was just sort of back and forth, and then Satya Nadella, the CEO of Microsoft, reached out to the President to sort of assuage his
concerns around security and the Chinese origins of the app.
Now, we're in this period where, you know, there's probably about 30 to 45 days until TikTok has to find a -- figure out what it's going to do,
whether it can actually be sold to Microsoft or other bidders. We're homing in on trying to figure out who the other bidders are.
And I think there's just a lot of stipulations around it, right? Nothing is done -- with President Trump, nothing is done until it's really signed on
the dotted line and it's entirely possible that he could come back in the next few weeks and say he doesn't want the deal done, so we're still trying
to figure out if they can get it done in that amount of time.
ASHER: All right, so you mentioned that amount of time is actually quite tight, it's only 45 days, about six weeks or so.
In terms of how Bytedance is handling this or responding, the CEO of Bytedance actually says that it's not giving up on exploring other
possibilities besides a sale of TikTok's U.S. operations. What other possibilities are there for them?
ISAAC: Yes, I mean, you know, I think there's -- besides just Microsoft being a bidder, I think there are other folks. There's one option where
investors, some private investors at firms like Sequoia or Softbank were floating a sort of investment where they buy a piece of TikTok, but it's
still a question of whether the President will allow the app to run in the U.S.
I think the other thing, too, that we're trying to figure out is, you know, what level of regulatory pressure would there be if they did sell to
Microsoft, and one thing Microsoft has going for it, is if you remember, back to last week, they were not sitting in front of Congress being grilled
by regulators on tech power and antitrust actions.
So, it's possible that, you know, out of all the big companies that have enough cash, let's say $30 billion to $50 billion to buy TikTok, Microsoft
might have the easiest time doing so.
[15:05:25]
ASHER: I see. So, just overall, how real are the national security concerns that the Trump administration continues to bring up by Bytedance?
Is this real or is it slightly more political in nature?
ISAAC: Yes, and that is a great question. I think, here's the problem. For months now, the administration and folks in the administration, Peter
Navarro in particular, have been really harping on the idea that Bytedance and the Chinese government have aligned indirectly to TikTok and any sort
of -- having TikTok on -- they've already started banning TikTok from phones in the government, people's government phones.
And so, the problem is they haven't really shown any evidence around this. TikTok continues to sort of strenuously deny that they have -- the chinese
government has any sort of insight into Americans' data or servers, and really, like, it's hard to see where the exact sort of line-in is without
any concrete proof, but it is very useful politically for the President who is trying to come down hard on China in an election year.
ASHER: Right. Useful for the President, certainly, but also is worth noting that there are other countries around the world that are also -- may
not have necessarily good relationships with China who are also banning TikTok as well.
Mike, stand by, I want to explain to our audience Microsoft's strategy here, because potentially owning a social media app that's red hot among
Generation Z would be a new turn for Microsoft. The company is best known for its more mundane office tools.
Past acquisitions include Skype, the video chat favored by businesses; Minecraft, the low-bit video game; LinkedIn, the social media site for
professionals and GitHub, the coding platform.
Richard spoke to the Microsoft president at the end of June before any potential bid for TikTok came to light. Brad Smith said they're okay with
not being the cool kids among the tech giants.
(BEGIN VIDEO CLIP)
BRAD SMITH, CEO, MICROSOFT: We don't strive to be the cool kids. I mean, look, I'm not dressed as one of the cool kids with you today.
We tell people who are thinking about where they want to work is if they want to be cool, we can give them a list of other companies. If they want
to make other people cool, come to work at Microsoft, because that's what we're telling other people.
(END VIDEO CLIP)
ASHER: All right, back to Mike. So, you heard Brad Smith there. They don't strive to be the cool kids, but how does TikTok actually fit into
Microsoft's portfolio overall? Why is this the right asset for them at this time?
ISAAC: You know, I think back, first, when I heard that they were doing the -- trying to do a deal, it really sort of hit me funny because it's not
in line with any of their businesses, but I've been thinking about it lately and I think back to how Microsoft completely missed the transition
from desktop to smartphone, right, and so you see Apple and Google really owning iOS and Android and these mobile operating systems, and I think
Microsoft doesn't want to be late to the game on a really important sector of revenue streams, especially when more ad dollars are going to digital.
So, right now, you see most of that going to Facebook and Google, but TikTok is a real threat to Facebook and Google in terms of digital
advertising, so I think Microsoft can buy not only goodwill, not only being cool, but really a line into a new line of business that they've never
really dabbled in, in the past.
ASHER: All right, so some forward thinking here. Mike Isaac, live for us there, thank you so much. Appreciate it.
ISAAC: Yes, thanks for having me.
ASHER: President Trump says he doesn't mind if Microsoft buys TikTok, but there appears to be some division inside the administration here.
Speaking to CNN's Jim Sciutto, White House Trade Adviser, Peter Navarro says he has significant concerns about Microsoft's existing business inside
China.
(BEGIN VIDEO CLIP)
PETER NAVARRO, DIRECTOR OF THE OFFICE OF TRADE AND MANUFACTURING POLICY: So the question is, is Microsoft going to be compromised? Would it be --
would it be useful to have a rule if you sell it that you -- it would -- maybe Microsoft could divest its Chinese holdings and then we --
JIM SCIUTTO, CNN ANCHOR: It sounds to me like you don't trust them. It sounds like you don't trust Microsoft to solve the problem.
NAVARRO: Whose software does the People Liberation Army in China run on? Microsoft. The Chinese Communist Party, whose software do they use to do
all of the things they do? It's Microsoft.
So this is not a white hat company. That's an American company. It's clearly a multinational company that's made billions in China that enables
Chinese censorship through things like Bing and Skype. So again, yes, you want to sell TikTok, maybe Microsoft would say, hey, you know --
(END VIDEO CLIP)
[15:10:07]
ASHER: Kaitlan Collins is at the White House for us. So, Kaitlan, you heard Peter Navarro there expressing his skepticism. How much division is
there inside the White House about this deal and the best way to handle it?
KAITLAN COLLINS, CNN WHITE HOUSE CORRESPONDENT: Well, there's not just division, there's confusion over this, because it did not seem that the
President was going to get involved with these talks about Microsoft pursuing this merger with TikTok to purchase the company, but then the
President really threw a wrench into that, when on Friday, on Air Force One, he told reporters he is going to ban TikTok.
He said he had the authority to do so via some kind of Executive Order, but then the weekend passed without any kind of official move from the White
House, and of course, we now know that the President spoke with the CEO of Microsoft yesterday.
And today, basically, the way he summed it up for reporters is he believes that they have until September 15th for them to either be purchased by
Microsoft or some other U.S. company, or he says that that ban is going to go forward.
So, it's still really unclear what that would look like, and another interesting comment that the President made that raised some eyebrows was
when he said that he believed that regardless of who bought TikTok, he said he believed a portion of that sale should go to the U.S. Treasury, meaning
the Federal government would be getting a cut of that sale, something that a lot of people found remarkable for the President to be saying.
So, it seems it's really just still unclear at this point how fast Microsoft is going to move with this and where that's going to go from
here.
But the President did say earlier today he believed that whoever does buy TikTok, if that happens, he thinks they should buy the entire company, not
just 30 percent or a small portion of it.
ASHER: All right, Kaitlan Collins live for us there, thank you.
It's not just Microsoft. Tech stocks are continuing their march to new records. All three major U.S. indices are higher. The tech-heavy NASDAQ is
trading at an all-time high and Apple joins Microsoft leading the Dow.
A top British MP on Foreign Affairs says he is being targeted by Chinese hackers. Tom Tugendhat says they sent forged e-mails to his family. He
spoke about it with our own Sam Kiley.
(BEGIN VIDEOTAPE)
SAM KILEY, CNN SENIOR INTERNATIONAL CORRESPONDENT (voice over): A combat veteran, former military Intelligence officer, and now the Chairman of the
U.K.'s powerful Foreign Affairs Committee of Parliamentarians. Tom Tugendhat is obviously no stranger to danger. Now he says, he is under
attack again from China.
(BEGIN VIDEO CLIP)
TOM TUGENDHAT, BRITISH MEMBER OF PARLIAMENT: Various accounts have been set up that look as though they might be mine. They're similar in format,
if you like, and have sent out e-mails to friends and members of my family.
KILEY (on camera): Suggesting what?
TUGENDHAT: Oh, suggesting personal issues and just generally trying to cause trouble.
KILEY: And what makes you think there are Chinese efforts behind this?
TUGENDHAT: Well, when I contacted Google and the offices of the GCHQ, the Government Communications Headquarters, both of whom, I have to say were
absolutely fantastic and responded literally within hours and took down e- mail accounts that were clearly fakes.
It was -- I won't go into detail how, but I was told pretty clearly where the accounts came from, and though it wasn't definitely state actors, it
was certainly from within Chinese jurisdiction.
(END VIDEO CLIP)
KILEY (voice over): After serving multiple tours in Afghanistan and Iraq, often working alongside U.S. and British Special Forces, this MP from
Britain's ruling Conservative Party is now sounding an alarm at what he sees as the greatest strategic danger to democracies worldwide.
(BEGIN VIDEO CLIP)
KILEY (on camera): What, in a nutshell, do you think China is trying to achieve?
TUGENDHAT: Well, I think that what we're seeing is we're seeing a combination of different things that China is trying to achieve.
It's trying to reset the global economic system, and it's trying to undermine the west in the broadest sense of the term by harming our
democratic outlook and our freedoms.
KILEY: Do you think the West is being complacent?
TUGENDHAT: I don't think we're being as active as we could be.
(END VIDEO CLIP)
KILEY (voice over): The Chinese Embassy in London said that it strongly opposes accusations and irresponsible remarks of Tugendhat, adding that
China is a staunch defender of cybersecurity.
(BEGIN VIDEO CLIP)
TUGENDHAT: If we do not create a global response to this, if we do not defend ourselves as democracies and rules-based systems, then we are going
to be defeated.
(END VIDEO CLIP)
KILEY (voice over): Tugendhat says there is hope. China's recent actions in Hong Kong, border clashes with India and wider trade wars with the U.S.
may have energized opposition to President Xi Jinping.
(BEGIN VIDEO CLIP)
TUGENDHAT: It feels like he's acted in a way too early. What he has done is he has galvanized a response at a time when other countries are able to
respond.
(END VIDEO CLIP)
KILEY (voice over): Cold comfort from the English countryside for China's critics and for its friends in trade.
Sam Kiley, CNN in Edenbridge.
(END VIDEOTAPE)
ASHER: U.S. Democratic leaders are meeting with White House officials to try and make some much-needed progress on deadlocked stimulus talks. We'll
check in on Capitol Hill, next.
(COMMERCIAL BREAK)
[15:17:37]
ASHER: Some of America's top executives are writing to Congress as stimulus talks appear stalled in Washington. Former Starbucks CEO, Howard
Schultz penned the letter. He has an impressive list of big names on board as well, including the current heads of Walmart, Disney, and Microsoft.
They're advocating, in particular, for small business relief, and they argue that allowing them to fail is not an option.
House Speaker Nancy Pelosi is one of the main negotiators in these stimulus talks. She told CNN earlier that whatever deal they reach must be
accompanied by a better response to the virus itself.
(BEGIN VIDEO CLIP)
REP. NANCY PELOSI (D-CA): My view is that if you want to open the economy, you want to open our schools, you just have to defeat the virus and we
haven't done that. So, we have to, again, honor our heroes and see what we can invest in our state and local governments.
Defeat the virus, testing, tracing, and then putting money in the pockets of the American people.
(END VIDEO CLIP)
ASHER: Congressional correspondent, Phil Mattingly joins us live now from Capitol Hill. So Phil, just terms of the stimulus, both sides are so far
apart, talks have stalled. Where do we go from here?
PHIL MATTINGLY, CNN U.S. CONGRESSIONAL CORRESPONDENT: Well, the first step I think was the top negotiators meeting and they just finished a two-hour
meeting in Speaker Nancy Pelosi's office. Speaker Pelosi, Senate Democratic leader Chuck Schumer, Treasury Secretary Steven Mnuchin, White House Chie
of Staff Mark Meadows. This is their sixth meeting behind closed doors.
And when they emerged from that meeting, Speaker Pelosi says it had been a productive meeting. Schumer said that they still have the feeling they want
to get something done, but the reality remains and everybody involved acknowledged, they are still very far apart.
You listened to what Speaker Pelosi said earlier today, and that sound you just played, those are the central tenets of what Democrats want.
They want money for state and local. They want funds to go to state and local authorities. They want more money on the healthcare piece of this as
well and they want a significant amount of money to go to individuals and small businesses.
The very issue some of those CEOs were writing about as well. Republicans have remained very firm that they want some of that, but they don't want
the scale and scope the Democrats are looking for and until they can figure out a way to bridge those very real gaps right now, it's not clear what the
pathway forward is. However, talks, they continue at least.
ASHER: Yes, so, as you mentioned though, the divide is very, very real. In the meantime, with all those sticking points, how are Republicans and
Democrats both taking to the air waves to sway public opinion?
MATTINGLY: Hyperbolically, I think is the best way to put it right now. Look, you've seen it. What's interesting is, you know when the messaging is
what matters when the leaders are the ones that are on TV all the time, right?
[15:20:06]
MATTINGLY: From a reporting perspective, those aren't always the easiest people to get on television. They aren't always the easiest people to
interview and we have seen Speaker Pelosi, Senator Schumer, the Treasury Secretary and the White House Chief of Staff regularly on air whether it's
CNN, whether it's any of our competitors and after each meeting, they usually come to cameras as well to try and kind of frame up where things
are.
When those types of things stop, it's usually a good indication that real work is starting to get done. When the lawmakers, when the negotiators
start to go behind the scenes and stop with the messaging, stop with the attacks on one another and about their policy priorities, that's when you
know something is starting to happen.
We haven't reached that point yet. I think the big question right now, Zain, and you know this, with deadlines that have already passed and
eviction moratorium that's already passed, the deadlines for Federal enhancement unemployment benefits, flat rate of $600.00, which was so
important to millions of people, that has already lapsed as well.
Those deadlines, those people, the people who actually need this money are suffering. These are real issues. Lawmakers are starting to hear from their
constituents en masse right now. That's the type of thing that traditionally has an effect. We will see if that's the case here and how
far apart they are. But as each day goes on, that pain for those individuals is more acute and I think that's usually what drives the
solution.
ASHER: Yes, you have to think about the real livelihoods that are being affected behind the numbers. Phil Mattingly live for us there, thank you so
much.
As long as a second round of stimulus is held up in negotiations, individual states are left to fend for themselves, but since the disastrous
peak in July, Arizona has actually done better -- a better job than most in reversing course.
So let's talk to Glenn Hamer now. He head the Arizona Chamber of Commerce. Glenn, thank you so much for being with us. So, Arizona previously was one
of the worst hot spots. Now, it seems as though the cases are leveling off. How has the state managed to do that in such a short space of time?
GLENN HAMER, HEAD, ARIZONA CHAMBER OF COMMERCE: Well, I want to applaud Governor Ducey. You know, we obviously hit a rough spot, but what he did is
working with Dr. Deborah Birx, who is basically in charge of the Vice President's Taskforce on coronavirus, what he did was that he immediately
sprang into action at the end of June and said, okay, we're going to close the bars, we're going to close the lounges.
We're going to reduce capacity for restaurants, but also importantly, we're going to give localities the ability to have mask mandates, but now over 90
percent of Arizona's population is operating under a mask mandate.
So these mitigation efforts basically were on the same scale of a complete shutdown and they worked. All of our numbers are going in the right
direction, thank God. And we see the light at the end of the tunnel.
ASHER: So, they worked, but at the same time, at this point, there is still so much uncertainty for business. Obviously, a lot of businesses in
Arizona, the state as a whole, closed down too late, then reopened too soon and now some businesses are closing down again. How did businesses handle
just so much uncertainty at this period?
HAMER: Well, the Federal Paycheck Protection Program has probably been the most successful business program ever passed by the United States Congress.
Over 82,000 businesses in Arizona have availed themselves of those, basically, grants, totaling $8.6 billion worth of economic activity, saving
probably a million jobs.
But I do want to respectfully take issue in terms of opening too early. Look, what's happened in Arizona has happened in about 40 states. It's how
you open, and if you open the right way, meaning, you limit adult mass gathering, you socially distance, you wash your hands, you wear masks,
masks, masks, you'll see what we have achieved in Arizona, and that's a dramatic decline in the cases and the hospitalizations.
ASHER: Okay, so, just in terms of businesses, though, and just what businesses are going to be dealing with for the foreseeable future, in
terms of Capitol Hill, there's ongoing rounds of negotiations between Democrats and Republicans in terms of stimulus. How important is the next
round of stimulus for local business operators in your state?
HAMER: Oh, it's super important. And, so, you mentioned the -- you know, we have a lot of workers that do need the additional Federal benefit. You
know, the scope of that probably does need to be scaled down so workers are, you know, not receiving more than they receive while working.
But a continued ability to access the Paycheck Protection Program, particularly for industries like tourism and restaurants that have been hit
very hard, it's very important and liability reform is extremely important, not just for businesses but for our K through 12 schools, our universities,
and our nonprofits.
We have had an issue in the State of Arizona with our K through 12 system being able to access traditional insurance because of this pandemic.
So liability reform is extremely important and we hope that Congress will rise to the occasion as it has done on four separate occasions and pass a
very good and fiscally prudent fifth bill.
[15:25:03]
ASHER: One of the key sticking points, though, is, of course, the $600.00 unemployment insurance, which a lot of people need in order to not just get
by, but even to have enough money to spend on local businesses. How crucial is that?
I mean, obviously, one side of the aisle wants to reduce it to $200.00 in terms of Federal input and having the states take over, but Democrats want
it to be $600.00 continually. Just walk us through how important that money is to individuals.
HAMER: Well, a compromise on that point is important, because we probably have about a million Arizonans that are receiving some sort of relief under
the -- either the existing unemployment program or the expansion that Congress passed.
So, getting additional funding in that area is certainly very important, and we would hope that Congress would find a good compromise there, and I
expect that they will.
ASHER: Well, we shall see. Glenn Hamer live for us. Thank you so much.
HAMER: Thank you.
ASHER: All right, when we come back, Spain and Portugal suffered a devastating blow to their tourism economies. The head of Trivago is here
next on how the industry can possibly find a way forward.
(COMMERCIAL BREAK)
ASHER: Hello, everyone, I'm Zain Asher. There is more QUEST MEANS BUSINESS in a moment when we'll discuss the startling summer tourism numbers from
Spain where visitors have pretty much disappeared and as health officials warn about the dangers of reopening schools, some parents are enrolling
their kids in pandemic pods to get them back into the classroom.
Before that though, this is CNN, and on this network, the facts always come first.
The World Health Organization says an advanced investigation team has finished its work in China. They're laying the groundwork for future
studies to identify the origins of COVID-19.
Scientists believe the virus jumped from animals to humans in Wuhan but don't exactly know how.
Spain's former King Juan Carlos I says he is moving abroad to spare his son, King Felipe further scandal. Juan Carlos abdicated in 2014 under a
Cloud of alleged financial misdeeds.
A member of the Royal household says he's already left the country.
Nobel laureate John Hume has died at the age of 83. Hume is best known for his part in the Northern Island Good Friday Agreement and is credited with
ending the decades of unrest and violence known as the Troubles.
He shared the Nobel Peace Prize in 1998, the year the deal was signed.
New numbers are revealing the stark collapse of tourism in the Iberian Peninsula. International travel to Spain fell more than 97 percent in June
compared to June of last year; Portuguese hotels were a 96 percent drop in overnight stays by foreign travelers during that same period. Axel Hefer is
CEO of the hotel search site, Trivago. He joins us live now from Dusseldorf, Germany via Skype. Axel, thank you so much for being with us.
So, just walk us through how the last four months have been for trivago? How has the pandemic affected your business? And are you seeing a slight
recovery in demand as certain countries start reopening in terms of business activity?
AXEL HEFER, CEO, TRIVAGO: Yes, I mean, the last four months have indeed been extraordinary. So, we've seen in March, end of February, beginning of
March, obviously some first signs that are coming from Asia. And then, in March, within two weeks, really, the whole Western market has stopped
traveling, most of the main markets went into lockdown and April was pretty much without any travel activity. What you're seeing then is that starting
with the U.S., Germany, New Zealand, and some others and mid of May, travel activity did start and came back.
And there, I'm just -- just to give an idea, right now, Germany is the market that that is most recovered and pretty stable. The demand for really
leisure nature destinations is almost at previous year's levels. Whereas in other regions, like in the U.S., the recovery stopped mid of June when the
number of COVID-19 cases was on the rise again. And the travel activity has come back down.
ASHER: So, leisure, nature, travel and tourism, you've seen a rebound in that. How long, do you think, it would take in parts of Europe, at least,
to see a rebound in city tourism?
HEFER: We see some very early signs of recovery of city trips, but the reality is that the reason to travel to a big metropolitan city is
basically the activity there. So, the restaurants, the opera, the museums, and a lot of these attractions are currently restricted or not open at all.
So, there is a lot less reason to travel. So, we do expect a recovery, but a quick recovery to previous year's levels will at the earliest happen next
year.
ASHER: You know, in order for the travel industry to recover, I mean, obviously, everybody's suffering right now who works in travel. In order
for the travel sector to recover, some people say, listen, it's better to sort of close things down and suffer, I guess, in the short-term in order
for things to get back to normal in the long-term. Would you agree with that? I mean, a lot of people are saying it's -- you know, it's either pay
now or pay later. But if you pay later, it will be with interest. What are your thoughts on that?
HEFER: I think the key thing is for the travel industry not to lose the trust of the travelers. And to do that, we need to act responsibly and
that's currently very difficult because the situation is changing very quickly to decide, really, whether we want to promote travel or discourage
travel is really changing from one week to the other. And, in a way, I do agree with what you've said, The key thing for the industry will be to have
a predictable and safe recovery to travel next year. And this year will be an up and down in many, many parts of the world, anyhow. And so, next year
is much more important.
ASHER: A lot of people have taken issue, a lot of countries, rather, taking issue with, you know, some of the quarantine rules, for example, that the
U.K. has imposed on countries like Spain, for example. You've got quarantine rules so that when people visit a certain country, then if
they're coming back to the U.K., they then have to quarantine for 14 days. On top of that, you -- there isn't really that much coordination between
various countries in terms of what's happening. Obviously, countries like the U.K. have to keep their citizens safe. Is there a way to go about it
that isn't so disruptive to the travel sector, not just in terms of businesses like yours, but for individual travelers as well?
HEFER: I mean, to me, the key thing is predictability. If you -- if you define very clear rules, what is happening at which point in time, it is
much easier for travelers to plan ahead. And also, then accept measures in case they're implemented. The worst thing is if there is a -- is an
unpredictable change in regulation.
[15:35:09]
And so, that's why I do understand quarantine requirements being put in place. On the other hand, I think it is much better if you give a very
clear structure in which kind of cases you are going to impose them, and to -- and to check whether there are other means, like testing on arrival,
that could actually substitute quarantine.
ASHER: Right. Axel Hefer live for us. Appreciate you joining us.
HEFER: Thank you.
ASHER: George's top tourism official says the country is staying hyper vigilant when it comes to reopening safely. Speaking to me earlier Maryam -
- excuse me -- said Georgia is doing all it can to keep the health of visitors a priority.
(BEGIN VIDEOTAPE)
MARIAM KVRIVISHVILI, HEAD OF THE GEORGIAN NATIONAL TOURISM ADMINISTRATION: Well, firstly, I believe Georgia has showcased the success story how to
fight the pandemic, and that would be a reassurance to every traveler and of our citizens, too, that we will continue to be hyper vigilant to protect
everyone equally in our country. Tourism has been having an important part of our economy. And to put this in perspective for you, only in 2019, with
our own population of 3.7 million, we were able to host more than 9 million international travelers. Georgia aims to remain safe. And of course, we
will do everything in our power to remain safety today and safety tomorrow.
And that includes decision of opening up gradually and carefully, and reopening borders with those countries where epidemiological situation is
under control. Of course, we hope to further expand the list of those countries as situation worldwide stabilizes.
ASHER: So, in terms of what travelers can expect in terms of safety protocols, how widespread is testing in terms of availability in Georgia?
What about mask wearing, social distancing, are those being enforced by the government, at this point?
KVRIVISHVILI: Georgian government has implemented actively safety regulations and public health protocols. We have been quite successful to
increase testing capacity for everyone who needs it. Our international airports are fully equipped with international standards. Our private
sector is fully prepared to greet international travelers. I would also like to highlight the importance and high social responsibility of our
tourism private sector who was also the frontliner during the fight of COVID-19.
Georgian government has very tight partnership with tourists, private sector, and we've engaged them, especially during the difficult times and
during the pandemics, and I can even give you an example, that during the pandemic, we've rented up to 100 hotels and shifted their facilities into
quarantine zones. And today, this project is famous as five-star quarantines of Georgia, which means that our private sector has experienced
and implemented all those protocols such as social distancing, and all in order to ensure that today this can be all reflected when it comes to
domestic and international travel.
(END VIDEOTAPE)
ASHER: Answering the "CALL TO EARTH," next we meet the explorer using photography and history to document climate change.
(COMMERCIAL BREAK)
[15:40:00]
ASHER: Mexico has decided to begin its upcoming school year with remote learning, saying it's still too risky to send students to school. In the
United States, a few schools have already opened their doors, but some parents who can afford it are finding other alternatives. Valerie Jarrett
tells us about pandemic pods.
(BEGIN VIDEOTAPE)
MARNIE WEINSTEIN, EDUCATION CONSULTANT: First thing that you need to do is get out your homework --
LAURA JARRETT, CNN CORRESPONDENT: With Coronavirus resurging across the country and so much uncertainty about what school looks like this fall,
many parents are now taking matters into their own hands.
WEINSTEIN: Right now, people are in panic mode. You're going to check each other.
JARRETT: Marnie Weinstein, an education consultant in Washington DC, says parents are reaching out desperate for other options.
How many parents would you say have reached out to you?
WEINSTEIN: My emails are overflowing. My text messages are overflowing.
JARRETT: She's helping parents form what they're calling learning pods, small groups of young children paired with a single teacher in a home.
WEINSTEIN: It could be a basement, it could be a room upstairs, just as long as the teacher can set it up to feel like a classroom.
JARRETT: This pod in a suburb of Atlanta has 12 families and 28 kids from kindergarten through fifth grade.
MEREDITH COPLEY, MOM & LEARNING POD ORGANIZER: We've talked about consistency and routine. Whoever is hosting the group of kids, my kids are
going to get their backpack, laptop, in their backpack, their water bottle and a snack, and they're going to take it that -- whatever house they're
going to or hopefully going to stay pretty consistent with that.
ANDREA LABOUCHERE, MOM & LEARNING POD ORGANIZER: I've envisioned a one-room schoolhouse. We wanted to create an environment where our kids could work
together, eat together, and have that social part of school that's so important for their developments.
JARRETT: And their kids like this option, too.
ADDY LABOUCHERE, STUDENT: I'd rather be in a pod with my friends than be at home just working on school by myself.
JARRETT: From San Francisco to Toledo, Ohio to Tampa, Florida, pandemic pods or micro school groups, are popping up all over social media, each
with their own set of rules.
WEINSTEIN: We are going to say that we can go to the grocery store but always wear masks and wash our hands.
JARRETT: But in-person instruction doesn't come cheap with some parents guaranteeing a teacher their full salary or more, even if their child ends
up back in a classroom at some point this year.
WEINSTEIN: So, a lot of the teachers, they'll tell me they're not sure they want to sign on. And a lot of them are coming back because they can get the
same amount of money or more working half day, staying safe.
JARRETT: A lucrative deal for teachers, but yet another way COVID has highlighted how a good education often depends on what your parents can
afford. A more cost-effective option, families who plan to follow their school's Virtual Learning Plan.
LABOUCHERE: We're not homeschooling them. There's a difference.
JARRETT: They're forming their own pods and hiring a tutor to help with all the digital homework and check ins.
HELEN ARCHER, MOM & LEARNING POD ORGANIZER: Once they're done with the digital learning, then they take a break. And that's where the tutor will
come and facilitate and make sure that they stay on track with that curriculum.
JARRETT: In many cases, the details are still being ironed out, but parents who have kids with a pre-existing condition or special needs say the pod
model is the safest for their families as the pandemic continues.
NIKKI COHEN, MOTHER: I think it's a fantastic option because you can -- you can kind of tailor your educational needs to whatever your family needs.
ARCHER: When the kids look back, they're going to -- they're going to remember a fun community time that they had in these few months because
this is not going to be forever.
JARRETT: Laura Jarrett, CNN, New York.
(END VIDEOTAPE)
ASHER: You're watching QUEST MEANS BUSINESS. We'll have more news after the break.
[15:45:00]
(COMMERCIAL BREAK)
ASHER: American pharmaceutical giant Eli Lilly is moving its antibody therapy for COVID-19 into phase three clinical trials. The company plans to
recruit 2400 nursing home residents and staff members for testing. And trials for another antibody treatment from regeneration -- Regeneron,
rather, have also garnered interest, as well. Senior medical correspondent Elizabeth Cohen has more.
(BEGIN VIDEOTAPE)
ELIZABETH COHEN, CNN SENIOR MEDICAL CORRESPONDENT: Just four months after his wedding, George Bernt, a nurse, caught Coronavirus from a patient.
Then, George infected his wife, Jennifer.
JENNIFER BERNT, NURSE: The headache and the severe fatigue, I was sleeping about 16 hours a day.
COHEN: Jennifer, who's also a nurse, heard from a colleague about an experimental drug for people with COVID-19. It contains neutralizing
antibodies made by people who've recovered, and hopefully those antibodies will block the virus from entering cells. Jennifer received an infusion
like this; she might have received the drug or she might have received a placebo, which does nothing. Either way...
BERNT: I did feel better within a couple of days, like, wanted to go back to work within a couple of days.
COHEN: Since the U.S. is still at least months away from a vaccine, doctors are on the hunt for an effective treatment to bridge the gap. Dr. Anthony
Fauci, the nation's top infectious disease doctor, says he's cautiously optimistic about antibody drugs, especially since they worked well against
Ebola.
DR. ANTHONY FAUCI, DIRECTOR, NATIONAL INSTITUTE OF ALLERGY AND INFECTIOUS DISEASES: I think there's a reasonably good chance that they will turn out
to be very much value added to our armamentarium.
COHEN: The federal governmental awarded, Regeneron, which made the drug being used in Jennifer's study $450 million to fast track its development
and manufacturing.
KAYLEIGH MCENANY, WHITE HOUSE PRESS SECRETARY: And they say they could have up to 70,000 to 300,000 dose -- vials of this by the end of the summer or
early fall.
COHEN: Dr. Anita Kohli, who's running Jennifer's clinical trial in Arizona says they've been overwhelmed with calls from people who want to take part
in this study.
DR. ANITA KOHLI, INFECTIOUS DEASES SPECIALIST: These trials will hopefully enroll quickly and it will get this data. The data on these drugs to show
whether they're effective or not.
COHEN: Jennifer didn't hesitate to join the clinical trial. She takes care of patients who have cancer, their immune systems, weak from chemotherapy.
BERNT: I've seen people sick from this virus. I've had a friend struggle for his life with this virus. I've had patients in the hospital who are
scared because their family can't be there at an awful time in their life.
COHEN: It sounds like you're doing this for your patients.
BERNT: It seemed like an easy decision to me.
COHEN: An easy decision she hopes might help to change the outlook for this pandemic. Elizabeth Cohen, CNN reporting.
(END VIDEOTAPE)
[15:50:08]
ASHER: The Coronavirus death toll is soaring across Latin America, and the Caribbean health officials there have now confirmed more than 200,000
fatalities since the pandemic began. Brazil accounts for almost half that total. Its outbreak is by far the worst in the region. More than 2.7
million cases have been reported in Brazil, so far. Despite the mounting death toll, some Brazilians are refusing to take things seriously. In fact,
in some areas, life is starting to look much like it did before the pandemic. CNN's Nick Paton Walsh is in Rio with more.
(BEGIN VIDEOTAPE)
NICK PATON WALSH, CNN SENIOR INTERNATIONAL CORRESPONDENT: 94,000 dead now here in Brazil, a startlingly high number for a country which on the
surface at times appears day-to-day to be trying to act as though the disease hasn't really taken a grip of its population. And we've seen over
the weekend, the 24-hour period, ending Sunday, the number of dead contributed to by just over 525,800 new cases, startlingly high numbers.
But for Brazil, possibly because the reporting lag over the weekend, not as high as we've been seeing in the 50,000 or so cases that have been reported
daily in some days over the past couple of weeks.
And the disease continues to tear its way through the higher levels of government. A sixth cabinet minister, the Comptroller General, reporting
himself positive late last week. That comes after the First Lady Michelle Bolsonaro, said that she, in fact, had tested positive. And after her
husband, President Jair Bolsonaro, the man whose behavior is so much the focus of Brazil's at times contrary response to this disease, after he
recovered from a two-week infection from the disease.
He was seen in the south of the country, meeting supporters in a town of (INAUDIBLE) waving hydroxychloroquine, again, a medicine which has proven
ineffective in study after study. In fact, may even be harmful to people with Coronavirus. He was seen, too, on Sunday, leaving the presidential
residence in Brasilia, the capital on a motorbike at times not wearing a mask. It's, as I say, a time surreal to see particularly here, Rio de
Janeiro, how daily life tries to carry on unimpacted by this virus, and how the government been at times appears to behave as though it isn't the most
grave problem they face.
In fact, President Bolsonaro was critical at the weekend about how local officials had been providing unemployment support to those affected by the
lockdown. Startlingly high numbers every day, as still Brazil's government doing its best to downplay the disease. Nick Paton Walsh, CNN, Rio de
Janeiro, Brazil.
(END VIDEOTAPE)
ASHER: The German government has blasted a demonstration against coronavirus restrictions. As you can see, not many people wearing masks.
So, Germany has seen a sharp rise in new cases after initially bringing the pandemic under control. All this, as children returned to school in some
states. Fred Pleitgen has more.
FRED PLEITGEN, CNN SENIOR INTERNATIONAL CORRESPONDENT: We're here in Germany, the government continues to deal with and struggle with a growing
number of Coronavirus infections. In fact, on Friday, there were 955 new infections, which is the most this country has seen since the middle of
May. There's another challenge that Germany faces as well as this week, school goes back into session. In some states, Germany has a federal system
that's very similar to that of the United States. And so, every state actually has their own system of how they're going to bring students back
into class.
Berlin, for instance, will make students wear masks when they come back into classrooms. At the same time, the government is urging people to
strictly adhere to the anti-pandemic measures that have been put in place. Of course, those have remained the same the entire time, physical
distancing, sanitizing and wearing a mask where physical distancing isn't possible. However, this weekend, Berlin saw a giant demonstration of around
17,000 people who came out to this very area, to the Brandenburg Gate. Many of them were anti vaccers and conspiracy theorists, but also people from
the far-right and the far-left.
The police actually had to stop that demonstration because the folks who went there simply weren't adhering to the measures. Almost no one there was
wearing a mask, and physical distancing also wasn't happening, as well. Fred Pleitgen, CNN, Berlin.
(END VIDEOTAPE)
ASHER: A safe return to earth for two NASA astronauts on Sunday.
(BEGIN VIDEO CLIP)
UNIDENTIFIED MALE: Splashdowns.
UNIDENTIFIED FEMALE: As you can see on your screen, we have visual confirmation --
(END VIDEO CLIP)
ASHER: Splashdown. There they are, returning to earth. SpaceX Crew Dragon spacecraft safely splashdown in the Gulf of Mexico, proving the first ever
manned commercial flight to the International Space Station a success. CNN's Rachel Crane takes us to the final movements -- or moments, rather,
before the capsule landed.
(BEGIN VIDEOTAPE)
RACHEL CRANE, CNN AVIATION AND SPACE REPORTER: NASA astronauts Bob Behnken and Doug Hurley making history with Crew Dragon successful splashdown in
the Gulf of Mexico, off the coast of Pensacola, after a two-month stay at the International Space Station, and a 19-hour journey home. Recovery boats
were waiting nearby to attend to the astronauts and the spacecraft after the capsule parachuted into the ocean at around 15 miles per hour. A far
cry from the 17,500 miles per hour it was traveling at just before reentering Earth's atmosphere.
The astronauts then making their way to Johnson Space Center, where they were reunited with their families and underwent some medical assessments.
The successful return means SpaceX has indeed made history, becoming the first private company to put NASA astronauts into orbit and safely bring
them home and finally returning U.S. human spaceflight to American soil after the retirement of the shuttle program nine long years ago.
Now, this technically was a test mission, intended to certify SpaceX's Crew Dragon spacecraft for future operational missions, which could start flying
as soon as two months from now. This is all part of a multibillion-dollar contract SpaceX has with NASA to regularly run such missions, ushering in a
new era of spaceflight, one where private companies are the ones tasked with faring people to low Earth orbit, and NASA is just the customer. Back
to you.
(END VIDEOTAPE)
ASHER: All right. We are going to bring you the closing bell. After the break here on QUEST MEANS BUSINESS, the Dow is up 200 points or so.
Microsoft and Apple both up about five percent or so, leading the way because Microsoft is in talks to buy TikTok which a lot of investors are
very happy with. We'll have a final check on the U.S. markets after the break. Don't go away.
(COMMERCIAL BREAK)
ASHER: We're in the last few seconds of trade on Wall Street. Let's take a look and see how the Dow is faring in the last minute or so. The Dow is up
about one percent, up about 250 points. Microsoft is leading the way; it is five percent higher. Its CEO Satya Nadella confirmed that he spoke with
U.S. President Donald Trump about possibly buying TikTok. The U.S. President has given TikTok about until September 15th -- or ByteDance,
rather, September 15th to divest of TikTok. We'll see if it happens. Not far behind is Apple, Apple is up nearly three percent, still riding high
after announcing plans for a four-for-one stock split last week. Over to the NASDAQ, surgeon tech shares is pushing the index to yet another all-
time high. And that is QUEST MEANS BUSINESS. I'm Zain Asher. "THE LEAD" with Pamela Brown is next.
END
