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Quest Means Business
British PM Johnson to Head to Brussels for Further E.U. Talks; U.K. Prepares to Begin First COVID-19 Vaccinations on Tuesday; Joe Biden Unveils Team to Tackle COVID-19; 33 Million Californians Locked Down For Three Weeks At Home; U.S. Will Enter Double-Dip Recession Without Stimulus; Prime Time For IPOs: Airbnb Is In The House; Biggest Publishing Deal Ever: Bob Dylan Sells To Universal; Pearl Harbor's Total Death Toll Equals America's Current Daily Coronavirus Toll
Aired December 07, 2020 - 15:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[15:00:15]
ZAIN ASHER, CNN INTERNATIONAL HOST: The Dow is firmly in the red to start the week as the number of coronavirus cases continue to rise that is
causing of course concern.
These are the markets and this is the day so far: Boris Johnson is juggling at twin crises with the Brexit deadlock on one side and a vaccine rollout
on the other.
Joe Biden reveals the health team who will tackle coronavirus in the United States.
And the times, they are changing. Bob Dylan signs the deal of his life for the right to his back catalog. Coming to you live from New York. It is
Monday, December 7th. I am Zain Asher, and this is QUEST MEANS BUSINESS.
All right, tonight, the clock is ticking in the U.K. There's only a few days left to avoid a no-deal Brexit at the end of the year. A phone call
today between the British Prime Minister and the European Commission President got them nowhere. The two sides are set to continue talks in
Brussels later on this week.
Meantime, it is a matter of hours before the U.K. becomes the first Western nation to offer COVID-19 vaccinations. People in England, Scotland and
Wales can get shots on Tuesday, specifically.
Between the pandemic and Brexit, the U.K. economy is feeling the strain. The pound sterling has recovered some of its earlier losses against the
U.S. dollar on the day, though, it is still down.
Nic Robertson has been monitoring Brexit negotiations. He joins us live now from London. So Nic, just walk us through what the main sticking points, as
I understand, the main sticking points right now as of the summer has still included fisheries, competition rules, and also the way the new potential
deal will be governed.
Just walk us through whether you think there's any chance that these issues could be resolved this week.
NIC ROBERTSON, CNN INTERNATIONAL DIPLOMATIC EDITOR: Well, what we've learned in the last few minutes, Zain, is that Boris Johnson is going to go
to Brussels in the coming days. It's not quite clear if it'll be tomorrow or Wednesday or Thursday that he is going to meet with Ursula von der
Leyen.
We have this from a senior U.K. government source saying that the talks over the past couple of days have made no tangible progress. That it is now
clear that the only way forward is through political discussions. Hence, Boris Johnson going to see Ursula von der Leyen.
They are saying their senior government source in the U.K. is saying that they don't consider the negotiating process now closed. But what they are
saying is, and again, listen to this in the terms of a word of one side in a negotiation, they are saying, things are looking very tricky. There is
every chance we are not -- not -- going to get there.
So Boris Johnson is going to Brussels to meet Ursula von der Leyen. We know later this week, there will be the full European Council Leaders' Summit
there in Brussels as well.
So Boris Johnson appears to be sort of -- his visit will timeout it seems when all those other 27 E.U. leaders will be in Brussels. We have that
joint statement as well from 10 Downing Street this evening that was made with Ursula von der Leyen, the European Commission's President. Boris
Johnson, of course on the phone with her for close to an hour, we understand this afternoon.
This was a sort of a public wrap up of what was discussed in that phone call. And again, it was very simple. You know, the conditions for an
agreement are not there. This is their joint statement. They agree on that. And they are on those issues that you say on fisheries, that British
fishermen want full control as much control and access to territorial waters around the U.K. to the governance issue. And that is you know, how
you manage this trade deal? How would there be oversight? Who would provide the checks and balances?
And then of course, the level playing field which is in essence that Britain cannot get a competitive advantage for business over European
businesses by diverging from European Union regulations, whether it's on investment in businesses or on the environment and labor laws, which is
something that's been quite key to the E.U. in these talks over the past few days.
ASHER: Well, at the moment, neither side budging as you say. We'll see what happens. Nic Robertson, live for us there. Thank you so much.
Max Foster is in the Welsh capital of Cardiff where hospitals are preparing to deliver the first doses of the Pfizer's COVID vaccine in the coming
hours.
So Max, when you think about this vaccine, I mean, it's quite complicated to store and transport. It's got to be stored at minus 70 degrees Celsius.
It can only be moved about four times. It then has to be refrigerated for only five days before it's administered or discarded. People need two doses
three weeks apart.
[15:05:10]
ASHER: How is the U.K. managing this? And how expensive is this rollout?
MAX FOSTER, CNN CORRESPONDENT: It's expensive. And it's going well, so far, they're actually ahead of schedule because they managed to get the
doses inside Wales, at least, the first nation in the world to receive these doses ahead of time.
So they're in place and they are being taken to several hub locations around the United Kingdom, and lots of security around where those
locations are. A huge amount of concern that these -- that no one tampers with these first samples going out in the world.
So they are not revealing where these locations are very often, and when they are revealing them, there's lots of security around them.
You highlight some of the issues there. The other issue is that each pack of these doses comes in 975 doses and they can't be broken up under the
regulations. So at the moment, as they go into these bigger hospitals, not too much of an issue where they have the refrigeration, the next stage is
going to be the really big challenge, where they want to take it out to care homes, but also to doctor surgeries, which is smaller.
And you can imagine lining up 975 patients in some of these places is going to be very, very difficult indeed and they don't have the refrigeration
either.
So I think as we look ahead to the next few weeks, the logistical challenge will be immense. But so far, everything seems to be going to plan -- Zain.
ASHER: A lot of people complain though, Max, that you know, this vaccine was approved in the U.K. far too quickly. How much enthusiasm is there
among ordinary Brits about taking this vaccine, especially given that it's not compulsory?
FOSTER: Well, the compulsory factor is probably a bigger debate than, you know, the people that don't believe in vaccines, I would probably say here.
You know, there's some -- there is really resistance among many Members of Parliament, also leading figures in healthcare that this shouldn't be
mandatory.
So it's not mandatory, and actually, there was an interesting survey recently from our affiliates, just 2,000 people were surveyed, but they
found that two thirds of people they surveyed would be happy to take the vaccine. And if you said it was mandated, actually, the figure came down
slightly. So that's been an interesting debate here.
I think a lot of people are very much behind the idea of vaccine. They're absolutely fed up with the lockdowns. They see this as a new future. If you
question them about whether or not they'll be first in line, then I think that changes quite often, which is why, you know, many of the people taking
the vaccine tomorrow are seen as heroes and heroines on many levels, not just because they're first in line to take this very new vaccine, but also
that they are the absolutely frontline health workers that are in front of the queue, and are doing the most challenging work.
So I think much excitement about tomorrow, a bit of trepidation, but also a huge amount of heroism as well and we will see unfold tomorrow -- Zain.
ASHER: Yes, I'm sure we'll be talking to you tomorrow. Max Foster live for us there. Thank you so much.
This week could stand to define Prime Minister Boris Johnson's political legacy between Brexit which he was elected by the way to carry out and
COVID-19, a disease which very nearly took his life. The next few days could decide his political fortunes now and in the history books.
Peter Westmacott is a former British diplomat. He served as Ambassador to Turkey, France and the U.S. Ambassador Peter Westmacott, thank you so much
for being with us.
PETER WESTMACOTT, BRITISH DIPLOMAT: Thank you.
ASHER: So this is really a make or break moment for the U.K., the month of December. How pivotal, do you think the next few weeks are going to be for
the U.K. as they battle both Brexit and COVID-19, and rolling out these vaccines as well?
WESTMACOTT: And a long, dark, cold winter. So well, Max has just been talking to you about what's happening on the Brexit and the vaccine front.
And people are both pleased that the U.K. regulator has approved the Pfizer vaccine very quickly, and that we are about to start offering the vaccines
to the most at risk categories. So people are very pleased about that.
Of course, it's going to take a long time, and there will be a second vaccine a few weeks later and there aren't quite as many vaccines in the
United Kingdom as people would have hoped. But nevertheless, it's a great start. And I think people are pleased about that after many months during
which frankly, the United Kingdom doesn't feel that it has done a brilliant job of managing the whole coronavirus thing.
As for the Brexit thing, Zain, well, I don't know how many weeks we've had now, which would be an absolutely critical make or break in the moment when
the negotiations could finally produce an answer, one way or the other.
But now it looks as though we might be just before one of those deadlines. Because there is a European Council in a few days' time, because Prime
Minister Boris Johnson has spoken to the President of the European Commission twice now in the last three days, and because we are now running
out of time if we are trying to get a deal.
It's very touch and go. My own hunch talking to people who have been very close to these negotiations is that it is by no means in the bag that
there's going to be a deal. And even if there is a deal, it'll be what we call a pretty skinny one, with much less substance to it than what people
were saying four years ago was going to be the easiest negotiation ever for the United Kingdom.
And there are quite a lot of people in Boris Johnson's own political party who think it's better for the country to have no deal and start afresh,
trumpeting sovereignty, whatever that really means, without any kind of obligation or commitment or trading relationship with the European Union.
So, it's a tricky one.
[15:10:33]
WESTMACOTT: I think the Prime Minister wants a deal. I'm not entirely sure that he can get one or that he has got enough political wiggle room to make
the concessions that will be necessary in order to deliver a last minute agreement with the European Commission.
ASHER: But how do you think COVID-19 and the effect on the U.K. economy? I mean, Britain has suffered its worst recession in 300 years this year. How
do you think COVID-19 has affected Boris Johnson's willingness to fight for a deal, willingness to do whatever it takes and his negotiating power, do
you think?
WESTMACOTT: Well, you're quite right. The U.K. economy is going to decline by around 11 percent of GDP this year, which is the worst performance in
the O.E.C.D., and some of the people who are mad keen on Brexit are saying, well, who cares? Another two or three percent of negative GDP on top of
what we're already suffering from COVID?
Well, it's worth it if we are taking back control for sovereignty of the manufacturing industry and people who travel across the channel, and
financial services and pharmaceuticals and aviation and automotive industry.
All those people are deeply worried that without a deal, a lot of British industry and a lot of British economy is going to suffer. But the Prime
Minister's point of view, now, this is a slightly personal view, but I'm going to share with you anyway. I think that if Donald Trump had won at a
second term and he is a great cheerleader of a hardline Brexit, I suspect the Prime Minister might have been a bit readier to toughen it out.
But whether President-elect Biden who doesn't think Brexit is a very good idea, and is very conscious of his Irish-American roots, I suspect he
really is looking for a deal. But the problem is the British authorities have pinned themselves into a bit of a corner, the European side are not
showing a lot of flexibility either and the gap between them on what's called the level playing field on fisheries, which I think is actually
quite negotiable, and on dispute settlement provisions is quite large.
And the risk is that the two sides are kind of so dug in, so unable to move that you can find yourself sleepwalking into no deal without really wanting
one, a bit like Europe slept walked into a war in 1914.
ASHER: All right, I mean, that is interesting what you say. I mean, it's not just about, as I was saying COVID effective negotiations, but also the
results of the U.S. election also weighing heavily in terms of how Boris Johnson plays this as well.
Ambassador Westmacott, we do have to leave it there. Thank you so much. Appreciate you being with us.
WESTMACOTT: Thank you.
ASHER: Of course. Up next, an exclusive CNN report, chilling and heartbreaking scenes from Venezuela which is in the grip of a shocking
COVID crisis. That's next.
(COMMERCIAL BREAK)
[15:15:45]
ASHER: The U.S. President-elect has unveiled who he believes can tackle the defining challenge of 2020, COVID-19. Joe Biden's healthcare team is
led by Xavier Becerra who is currently California's Attorney General. He is nominated to be the next us Health and Human Services Secretary. Also on
the team, Rochelle Walensky, Chief of Infectious Diseases at Massachusetts General Hospital who was tapped to become the next Director of the C.D.C.
Our next guest says that politicians simply failed when it came to listening to warnings over new epidemics. Jeffrey Sachs is Professor and
Director of the Center for Sustainable Development at Columbia University and Chair of "The Lancet" COVID 19 Commission. He is joining us live now
from New York.
Professor Sachs, thank you so much for being with us. So when you think about who Joe Biden is nominating for Health and Human Services Secretary,
Xavier Becerra, California Attorney General, some people have raised eyebrows about this. The fact that he doesn't necessarily have that type of
experience managing a bureaucracy like H.H.S. What are your thoughts on the calculation of picking Becerra for this huge role?
JEFFREY SACHS, PROFESSOR AND DIRECTOR, CENTER FOR SUSTAINABLE DEVELOPMENT AT COLUMBIA UNIVERSITY AND CHAIR OF "THE LANCET" COVID 19 COMMISSION:
Well, the good news is that if you look at the overall team, it's outstanding. He has appointed a new head for C.D.C. who is a leading
scientist and health policy expert in our country. He's appointed a head of the COVID-19 Taskforce, who is also absolutely outstanding and extremely,
highly regarded. She's at Yale.
He has picked the previous Surgeon General Vivek Murthy to come back as Surgeon General, a very experienced person. And I think the overall message
is absolutely outstanding that we're going to have a very experienced group, and I believe this is the best news possible.
We've had a runaway pandemic in 2020, and I believe it will get under control in 2021 not only because vaccines are coming, but because it's
possible to contain this virus if you try sensibly and scientifically, and we're going to have a team that wants to do that led by a President that
wants to do it.
ASHER: I mean, obviously, you know, you're right, that, you know, there is obviously a vaccine on the horizon. So that's going to take care of a lot
of the challenges. But when you think about this stunning sort of team that Biden has put in place to manage COVID-19, who actually has the power, who
actually has the power to get this virus under control? Is it government appointees, for example? Or is it states? Or is it ordinary individuals who
need to wear masks? Who, for whom masks should not be a political statement?
Ordinary individuals who need to practice social distancing, even during the Holidays? Who need to wash their hands? I mean, who do you think out of
everyone I've just listed actually really does have the power here.
SACHS: Wonderful question, because the answer is all of the above. This has to be led by a President who knows what he is doing, which we have not
had with the Trump administration. It has to be led by a President who cares which we have not had. It has to be led by public health experts.
I think the Centers for Disease Control is essential. We have the world class public health agency, it completely suppressed itself rather than
suppressing the virus, Trump suppressed the C.D.C., so it couldn't do its job.
But then, of course, people need to trust the government, they need to understand clearly what is being asked and they need to believe in it
because they do trust the government.
So this is a top down and bottom up exercise and many countries have succeeded. Halfway around the world, Australia and New Zealand have battled
this down to zero basically. They are a lot like us, but they've been much better led.
And when you look at what has happened there or in Korea or Japan or China or Taiwan. You hear the same thing over and over again, clear national
leadership, combined with the public doing its responsible job and trusting government and the government trusting the people with honest messages.
[15:20:19]
ASHER: I think the one of the sort of, well, not one of, I would say the biggest challenge for this healthcare team is really rolling out the
vaccine. As you know, the U.K. is beginning administering the vaccine, the Pfizer vaccine, this week.
This vaccine, especially the Pfizer vaccine is quite complicated in terms of how it needs to be stored and, and the temperature, minus 70 degrees
Celsius. Being in the refrigerator for five days, it can only be moved four times, everyone needs two doses. What is the biggest logistical challenge
for this healthcare team just in terms of getting this right?
SACHS: Again, I would really emphasize that for many months to come, we're going to need the plain and the simple, like you said, wearing face masks,
behaving, physical distancing. And what's been completely missing from the national level, having the C.D.C. engaged in cooperation with the states on
widespread testing and contact tracing to help people to safely isolate.
During that period, we will start step by step introducing vaccines, which as you rightly note are complex, they're not going to be the solution
overnight. This is going to be something that takes place over the course of 2021.
But right now we have 227,000 cases a day, we have more than 2,500 people dying every day. So we have to do what are called the non-pharmaceutical
interventions, in other words, not waiting for the vaccine but getting this under control as if there weren't a vaccine, while at the same time working
through the systems in order to be able to deliver a vaccine that does require an extraordinary cold chain.
We don't know quite how much for each of the candidate vaccines, but it's going to be tricky. It can work, but it's going to take time. And in the
meantime, we don't want mass loss of lives as we're suffering right now. This will change. I am sure quickly, though, when President Biden comes
into office because finally we'll have leadership and we'll have officials who are science based, responsible and who know what to do.
ASHER: You bring up a good point, we just can't let down our guard and we have to operate as if there is no vaccine for the foreseeable future.
Professor Sachs, thank you so much for being with us. Thank you.
SACHS: Good to be with you.
ASHER: There's enormous political uncertainty in Venezuela this hour. Candidates supporting President Nicolas Maduro secured control of the
National Assembly in Sunday's controversial election. The E.U. says the contest did not meet the standard of credibility. The opposition is holding
a competing referendum as well.
The uncertainty is unlikely to help the dire economic situation. The World Food Programme says one in three Venezuelans struggle to put enough food on
the table while the U.N. says that almost five million people have fled the country not just because of hunger, but also because of violence and
persecution as well.
And of course, there is another crisis the country is battling, COVID-19. Isa Soares is on the ground in Caracas and has seen firsthand exclusively
just the enormous tragedy that's unfolding there.
So, Isa, how are the various sort of different economic crises that Venezuela is facing making dealing with COVID that much more challenging?
ISA SOARES, CNN CORRESPONDENT: I think, Zain, you've outlined some of the numbers that we have seen. The I.M.F. putting out that, in fact, this year,
Venezuelan economy is expected to contract 25 percent and you've seen the crisis, we've been reporting on the crisis for some time, an economy
practically on its knees crippled by really years of mismanagement, but also corruption.
And what COVID-19 has done is brought so much of that mismanagement right to the surface. We wanted to get a sense, Zain, of what it was like behind
closed doors, behind these public hospitals, a country that has been so isolated at least this year, because of the pandemic.
We wanted to see how an economic crisis was battering Venezuela and on top of that, COVID-19, how it would impact the country and really what we saw
was the healthcare system shattered and practically on its knees.
(BEGIN VIDEOTAPE)
SOARES (voice over): In Los Magallanes Public Hospital in Caracas remnants of this once wealthy nation lie strewn on the dirt floor. It's shackled
wards hiding what the Venezuelan government doesn't want us to see.
[15:25:08]
SOARES (voice over): Here, COVID-19 has unmasked Venezuela's open wounds, and practically every floor this hospital is empty tells me this hospital
worker who prefers to remain anonymous.
UNIDENTIFIED MALE (through translator): It's empty because there's nothing here. There are no supplies. There's no way to treat patients, no lights,
no working pipes. The baths are clogged and there's no water.
If patients don't die of their disease, they die of contamination.
SOARES (voice over): It's a risk only a few dare to take. This is the COVID-19 ward, only this part of it is functional. The rest is completely
rundown after years of mismanagement. So it's no surprise many would rather face the pandemic outside these walls, choosing instead their homes over
these decrepit rooms where darkness has literally taken over.
SOARES (on camera): This is the intensive neonatal ward, and the reason I'm holding up this light right here is because there is no electricity in
this hospital. Have a look around. Bare bones.
And what I've been told by doctors around Caracas and outside of Caracas is that this is the situation day in, day out.
SOARES (voice over): Even in the morgue, death comes with shortages. There's no pathologist here and with intermittent electricity, the stench
is unbearable.
Now imagine having to face a pandemic in these conditions. It's why doctors like Gustavo Vijasmin (ph) are no longer afraid to speak out.
I've got friends of mine who have been criminally charged, he says. Why? For protesting the conditions in which they've been forced to practice. So
he doesn't hold back.
In Venezuela, he tells me, there are only as many recognized COVID cases as the regime wants.
With testing limited to three government controlled labs, Vijasmin (ph) says it's impossible to paint an accurate picture. With regards to COVID he
says, we don't know where we are.
The government however claims the pandemic is under control, saying its strategy has worked. A government minder shows us inside a hotel where
suspected infected patients are kept in quarantine for up to 21 days.
It's a lockdown strategy employed by China, which the government of Nicolas Maduro has been keen to extol. Dr. Rodriguez shares a similar pride.
Venezuelans have shown an immunity to the virus, he says. The families of those who have died on the frontlines may see it differently. Two hundred
and seventy two healthcare workers have lost their lives in Venezuela as of November 30th.
At Hospital Vargas in Caracas, you can see why. They are overworked and not protected.
SOARES (on camera): That's one nurse for this whole area here.
UNIDENTIFIED MALE (Text): We don't have masks, we don't have gloves. They turn on the water one hour in the morning, one in the afternoon and one at
night. There's nothing. There's no broom, no mop, no cloth.
SOARES (voice over): This is evident all around. And as I walk this ward, I stop to speak to a patient's daughter. She tells me her frail 69-year-old
father is here because of malnourishment. The same state imposed malady that we've seen across Venezuela.
His immune system is compromised, yet he shares this ward with a COVID patient. His daughter tells me he needs iron supplements that the hospital
simply doesn't have.
SOARES (on camera): Have a look at this. I mean, this is what -- this is what they have to work with here, nurses and doctors, syringes, it's
astounding. They've got nothing.
SOARES (voice over): There's a vast emptiness all around and a sense of disillusionment and surrender. Painful no doubt for those who saw this once
oil rich country as one of the wealthiest in Latin America, now teetering on the brink of survival.
(END VIDEOTAPE)
SOARES (on camera): And Zain, CNN has reached out to the Venezuelan government for comment on the conditions you just saw in those two public
hospitals, but also the criticism we heard from various healthcare professionals in that piece. And thus far, we have not heard anything --
Zain.
ASHER: Heartbreaking, but eye opening piece. Isa Soares live for us there. Thank you so much.
All right, still coming on QUEST MEANS BUSINESS. U.S. lawmakers are also scrambling to reach a deal. The clock is ticking for them to provide a much
needed lifeline for Americans who are in urgent need of aid. We've got the latest for you after the break.
(COMMERCIAL BREAK)
[15:30:00]
Hello, everyone, I'm Zain Asher, there's more QUEST MEANS BUSINESS in a moment.
Airbnb is feeling confident ahead of its IPO this week raising its valuation to $42 billion.
And Bob Dylan sell his entire song catalog for a nine-figure deal, reported to be one of the biggest in music history.
Before that, though, these are the headlines at this hour.
U.S. President Donald Trump says his personal attorney, Rudy Giuliani, is doing very well after testing positive for coronavirus.
Giuliani was admitted to the hospital on Sunday. It's not clear when he first tested positive. The 76-year-old former mayor has repeatedly ignored
public health guidelines and often has not worn a mask.
Georgia is confirming Joe Biden's victory in a state -- in the state, rather, for the third time. Secretary of State Brad Raffensperger
recertified election results today and said the final outcome remains unchanged.
Recertification followed a hand recount and a formal recount requested by the Trump Campaign after the election.
Denmark is tightening its coronavirus restrictions. It announced a partial shutdown until early January in 38 countries [sic], including the country's
three largest cities.
The prime minister says that Denmark must act now so it can stay in control of the epidemic.
And Greece is extending most of its coronavirus restrictions through the holidays. Schools, courts, restaurants and entertainment venues will stay
closed through January 7th. A nighttime curfew and a ban on travel between Greek regions will also stay in effect as well.
Some staggering numbers out of the U.S. as it closing in -- as it closes in, rather, on 15 million coronavirus cases, one million of them reported
during the first week of December alone. And that doesn't include the post-Thanksgiving surge experts are worried about.
To put it into context for you, it took the U.S. three months to hit its first one million cases.
[15:35:00]
California is taking aggressive new measures after experiencing record numbers of new COVID cases and hospitalizations.
Tens of millions of people there are now under stay-at-home orders through Christmas, triggered in part by limited ICU capacity.
Stephanie Elam has more.
(BEGIN VIDEOTAPE)
STEPHANIE ELAM, CNN CORRESPONDENT (Voice Over): The alarming surge in new coronavirus cases has medical experts more concerned than ever.
SCOTT GOTTLIEB, FORMER FDA COMMISSIONER: We're not likely to see a peak in the number of infections until about the end of December, maybe into
January. So as bad as things are right now, they're going to get a lot worse.
ELAM: The United States has added more than 1.2 million new coronavirus cases in the first six days of December alone.
DR. DEBORAH BIRX, WHITE CORONAVIRUS RESPONSE COORDINATOR: The gatherings that we saw in Thanksgiving will lead to a surge, it will happen this week
and next week.
And we cannot go into the holiday season, Christmas, Hanukkah, Kwanzaa, with this same kind of attitude.
ELAM: Hospitalizations continue to rise. More than 101,000 Americans are hospitalized with the virus nationwide.
DR. ASHISH JHA, DIRECTOR, HARVARD GLOBAL HEALTH INSTITUTE: Hospitals are getting full and it's just hard to find spaces for people. So, that's
actually another crisis situation.
I'm very worried about what's going to happen over the next three to six weeks.
ELAM: This morning, some 33 million people in California are under new stay-at-home orders as ICUs and parts of the state are rapidly filling up.
On Sunday, California's department of public health reporting more than 30,000 cases, a new daily record.
The new restrictions order bars, hair salons, museums and movie theaters to close but retail stores are allowed to remain open at 20 percent capacity.
Restaurants are limited to takeout and delivery services only.
CROWD: Open up (inaudible).
ELAM: Some restaurant owners pushing back on the new regulations.
One restaurant owner frustrated that her outdoor dining patio had been forced to shut down even though, she says, a video production company set
up an outdoor eating area for its employees right next to her own parking lot.
ANGELA MARSDEN, OWNER, PINEAPPLE HILL SALOON & GRILL: Tell me that this is dangerous but right next to me, as a slap in my face, that's safe.
ELAM: This week, the Food & Drug Administration will meet to discuss authorizing emergency use for Pfizer's vaccine.
President Elect Joe Biden saying Friday his team had seen no detailed plan from the Trump Administration to deliver a vaccine to Americans.
But the Trump Administration is assuring the public they are ready.
ALEX AZAR, U.S. SECRETARY OF HEALTH & HUMAN SERVICES: We have comprehensive plans from the CDC working with 64 public health
jurisdictions across the country as our governors have laid out very detailed plans that we've worked with them on.
DR. MONCEF SLAOUI, CHIEF SCIENTIFIC ADVISER, OPERATION WARP SPEED: We haven't had the chance yet to sit down with the transition team and explain
in detail everything that has been planned and been done. We look forward to that happening.
We actually, I think, have a meeting planned later this week.
ASHER: Stephanie Elam reporting there.
Business leaders have a warning for Washington. The U.S. Chamber of Commerce told congress the country is at risk of a double-dip recession
without a new relief bill.
A group of partisan lawmakers are scrambling to end months of gridlock and pass a $908 billion measure. Without it, millions of Americans will run
out of aid.
Lawmakers need to reach a deal this week to meet a key funding deadline. It's not just U.S. lawmakers who need to work together to avoid a COVID
crisis.
The former head of the World Bank says it's the major global powers as well otherwise the world could look like it did in 1900.
And Robert Zoellick joins us live now from McLean, Virginia.
So, Robert, let's just talk about this $900 billion package. Do you think it's enough, enough to get the economy out of dire straits until,
obviously, we have a vaccine? Especially when you think about the fact that it's missing $300 billion worth of funding that was going to be
allocated towards a lot of Americans getting those $1,200 direct payments.
ROBERT ZOELLICK, FORMER PRESIDENT, WORLD BANK: Yes. So people will debate exact numbers but certainly it's better than zero and I think they're going
to move it and I think they should move it.
And I think it will be a bridge towards the first part that you're reporting, which is the critical one going into next year, which is the
distribution of the vaccines.
And so, I think frankly for the Biden Administration in 2021, that's going to be the top issue, the medical, the pandemic, but also the economic
recovery.
In some ways, there's a similarity here when my former boss, James Baker, was chief of staff to Reagan in 1981, he said, "Mr. President, you have
three priorities, economic recovery, economic recovery, and economic recovery."
And in this case, it's pandemic and economic recovery for 2021.
ASHER: But specifically, when you think about the fact that -- especially around the holiday season, that a lot of Americans are not going to be
getting direct payments, those direct $1,200 checks that they had obviously come to count on e-- specially given the last stimulus bill had them --
[15:40:00]
ASHER -- what do you think the effect is of that, just ordinary Americans not getting that? But also the effect on retailers as well who I'm sure
would have gotten a massive boost from that in addition?
ZOELLICK: Well, look, I wish they had done it sooner, they didn't. But I think the medical news around the country and the end of the election has
sort of prompted people to push. The good news is you've got a bipartisan effort to do so.
In terms of the overall labor force, I mean, frankly, I think you're going to see -- you could see 2021 coming out of this terrible medical period to
be relatively good. But a lot of that will depend also on the nature of the recovery.
So some economists refer to it as K-shaped. And what they mean by that is if you're in the equity markets, if you're in the digital space you're
doing well but a lot of the small and medium-size enterprises, retail networks, some of the people that you interviewed, they have been
struggling.
So I think the new team's going to have to focus on that bottom leg of the 'K.'
ASHER: And one of the things that Republican -- you talk about bipartisanship and coming together. One of the things that Republicans
have been hesitant about, one of the reasons why they didn't want a larger stimulus bill was because they feared current and projected federal
deficits. They believe that is a major concern.
How much of a valid concern do you think that really is, just in your economic experience?
ZOELLICK: Well, I've been somebody who actually has been concerned about deficits but I don't think either Republicans or Democrats have been
concerned about deficits much over the past three years.
And I agree with the view that, at this point, given this pandemic, the focus should be on the type of support that people are looking at, get
people through as a bridge.
But what I also think you need to do is look ahead -- and this will be a challenge for the Biden Administration -- in terms of the bigger
disruptions that are taking place in this.
With the companies that I work with, this pandemic has accelerated the technological disruptions, the competitive disruptions, some of the social
effects. So the real challenge here for -- the Trump Administration is out the door -- so I hope that they're trying to help the new team, it hasn't
been as good as it should be.
But the challenge for the new team -- in some ways, the person to watch is Jeff Zeints who's not gotten much international attention, he's going to be
the coordinator for this. And it's good that -- he's a very competent person he did well for Obama and I think President Elect Biden is wise to
pick him.
But there will also be international issues. So the vaccine distribution internationally.
Dealing with some of the developing countries which are going to need sort of debt restructuring. So they're going to have a very full plate.
I would add to it also some movement on the trade agenda but I'm not sure that will be their priority.
ASHER: There has been a lot of debate, put it that way, about whether or not international institutions have done their part to help developing
countries get the vaccine and deal with this pandemic in the right way.
But we have to leave it there, we're out of time. Robert Zoellick live for us. Thank you.
ZOELLICK: My pleasure.
ASHER: When we come back --
ZOELLICK: Good to be with you.
ASHER: When we come back, it's an IPO extravaganza. Airbnb and DoorDash get in the holiday spirit with two major listings.
(COMMERCIAL BREAK)
[15:45:00]
ASHER: Airbnb bringing an even bigger house to investors. The company has hiked its IPO price range, making for a staggering $42 billion valuation.
That's more than double its valuation in April.
Airbnb could now raise up to $3 billion when it lists on the Nasdaq on Thursday.
It's a prime time to go public. This December set to be the busiest on record for IPOs.
You've got DoorDash there beginning trading on the New York Stock Exchange on Wednesday. Petco, Affirm, Wish, Roblox also expected to go public in
the coming weeks as well.
Paul La Monica joins us live now. So Paul, just in terms of Airbnb, obviously their revenue has plummeted this year, naturally, as everyone's
in the hotel and travel industry.
Are they really betting on a massive comeback next year, especially given that there is potentially a vaccine on the horizon?
PAUL R. LA MONICA CNN BUSINESS REPORTER: Yes. I think, Zain, that they clearly are.
You wouldn't look at the financials right now for Airbnb and say, oh, it's a great time to go public, our revenues only fell just about 32 percent in
the first nine months of this year. That's obviously not an encouraging sign.
But I think Airbnb's backers are hoping investors look beyond that to 2021 -- a return of leisure travel, hopefully, especially if there is a vaccine.
And the model of Airbnb has totally disrupted leisure and hospitality. As bad as the revenue drop is for Airbnb this year, it's worse for all those
hotel chains that it now competes against and is disrupting, the Hiltons and Marriotts of the world, they're experiencing much bigger drops in
revenue.
ASHER: Yes, that makes sense. So this week is obviously massive when it comes to unicorn IPOs. You've got DoorDash as well, also going public.
What are their prospects? Because unlike Airbnb, they actually face stiff competition from UberEats and also the new owner of Grubhub as well is part
of their competition too. What are their prospects?
LA MONICA: Yes. I think that investors are cautiously optimistic about DoorDash as well. The valuation is rising there at their latest price
range they set, they could be going public at about a $35 billion valuation.
But I think you're right, Zain. DoorDash is obviously a very interesting company that's benefitting from the pandemic in a way that Airbnb probably
isn't but you almost have the flip side with them.
What happens to companies like DoorDash and all their tough competitors? Uber is getting bigger with the Postmates deal and what's going to happen
in 2021 if there's a vaccine when people suddenly want to eat out again and not do as much taking in?
That could be a negative for their business in a way that Airbnb will get a boost from the pandemic vaccine. You might not get that for these food
delivery companies.
All right. Paul La Monica, live for us there. Thank you so much.
Still to come. The times, they are a-changing. After 60 years, Bob Dylan is selling off his entire music catalog. We'll discuss after the break.
(COMMERCIAL BREAK)
[15:50:00]
(BEGIN VIDEO CLIP)
BOB DYLAN (Singing): How does it feel, how does it feel, to be on your own --
(END VIDEO CLIP)
ASHER: He is one of the most prolific, popular and influential songwriters in American history. Now Bob Dylan is selling his entire song catalog to
Universal for a reported nine figures.
That makes it one of the biggest news in publishing rights deals to date ever in history. A category exploding in this pandemic as live venues stay
shut.
Jem Aswad is a senior music editor at "Variety." He joins us live now from New York via Skype. Jem, thank you so much for being with us.
So what do we know about the value of this deal?
JEM ASWAD, SENIOR MUSIC EDITOR, "VARIETY:" The "New York Times" reported that it was $300 million but they didn't cite a source for that.
We know for a fact it's nine figures. I would think it's actually higher. I've heard figures more like $400 million, which would make sense because
just last week, Stevie Nix sold 80 percent of her publishing to Primary Wave for a reported $100 million.
And no offense to Stevie, I would think that Dylan's catalog would be worth exponentially more.
ASHER: I'm sure she's -- no offense taken, I'm sure. I'll say that on her behalf.
But Bob Dylan really holds a special place in my heart because my parents are from this tiny little village in Nigeria called (Inaudible) in Enugu,
and they fell in love listening to Bob Dylan's music in 1965 in this tiny village in Nigeria.
So what do you think this means to Universal, just to acquire the rights from a musician that has such international, such global appeal, one of the
greatest musical geniuses of our time?
ASWAD: It's the biggest look they could possibly get, the prestige is completely unbeatable. The only other catalog that compares is the Beatles
and the Beatles catalog simply will probably never be sold.
So it's a huge, prestigious look for them and it amps up their publishing division which is pretty regularly second or third or fourth every quarter,
it amps up their power even more. It's a great look for them.
ASHER: So why do you think that Bob Dylan is doing this now, he's about 80 years old. Why now, in his career, do you think?
ASWAD: There's a number of reasons. It's top of market right now -- everyone thinks that the publishing market is only going to get higher but
the Biden Administration is likely to raise capital gains taxes.
So if he can get the deal done before there's a new administration, that makes a difference. And also, you know, he may be thinking about his
heirs, it's probably easier just to give them money than to give them a complicated catalog that has to be managed.
Because it was administered by his own company here in the United States. And that's the sort of headache that parents a lot of the time don't want
to leave their kids with. So it's a lot simpler just to give them the money.
ASHER: That is interesting. So $400 million or $300 million, no small chunk of change there.
ASWAD: (Inaudible).
ASHER: Bob Dylan's songs have been recorded about 6,000 times. Just talk to us about -- obviously, this is hugely prestigious for Universal but the
profitability of this as well.
[15:55:00]
ASWAD: Well, the profitability is potentially astronomical because in selling his catalog, Bob Dylan gives up the right to determine where these
songs are going to be licensed.
There may be provisions in the deal somewhere like they might not be able to license it to Pornhub or somebody like that.
But you know Dylan hasn't shown a lot of compunction over -- he licensed a song to Victoria's Secret. So it's really not -- I would expect that's
probably as blue as it might get.
But in terms of what they can make from it. In addition to earning all the songwriter royalties and all the publishing royalties, they can license it
essentially anywhere they want.
And for a brand to be able to license "Positively Fourth Street" or "The Times They Are A-Changin'" or any number of his songs -- to say nothing of
some of the lesser known songs that people -- that might not be top of mind, a song like "Mozambique," since you're talking about Africa.
There's enormous potential that they can exploit for decades to come because Dylan's catalog shows no sign of becoming irrelevant which is
something -- I don't mean irrelevant but fading from popular view.
Which is what happens with a lot of -- like a big songwriter from the '80s or something like that.
ASHER: Jem Aswad, we have to leave it there. Great discussion, thank you so much. And that is QUEST MEANS BUSINESS, I'm Zain Asher in New York.
The news continues right here on CNN.
(COMMERCIAL BREAK)
JAKE TAPPER, CNN HOST, THE LEAD: Welcome to THE LEAD, I'm Jake Tapper.
In our health lead today, the coronavirus pandemic continues to reach new frightening heights in the United States. There has never been a more
rapid spread of the deadly virus in this nation than there is right now.
There are more people hospitalized with coronavirus than ever before, 101,487 according to the COVID Tracking Project. And deaths too are also
sharply rising. This past weekend was the deadliest weekend since April.
And the average daily death toll in the U.S. is now 2,204 a day.
For some context on that, today is Pearl Harbor Day. On this day in 1941, the Japanese attacked the U.S. Navy in Hawaii. "A day that will live in
infamy," FDR called it.
2,403 Americans were killed on that day, 2,403. That's roughly the same number of Americans we are losing every day, every day, to this malicious
virus.
END
