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The Ed Show for Monday, January 12th, 2015

Date: January 12, 2015
Guest: Katrina Vanden Heuvel, Tim Ryan, Peter DeFazio, Annette Taddeo,
Mitch Ceasar, Virgil Bernero


UNIDENTIFIED MALE: ... and hacks and comments is responsible for the
operational command directing the strategies to operations if you like of
some significant campaigns around the world.

UNIDENTIFIED MALE: Any classified information they have would be
absolutely critical and devastating if released.

investigating the extent of this incident.

UNIDENTIFIED FEMALE: The official CENTCOM YouTube site began playing ISIS
propaganda videos. The Twitter may to look like, they`ve been hacked by

JIM MIKLASZEWSKI, NBC CORRESPONDENT: One of them says, "American soldiers,
we are coming, watch your back. ISIS. We won`t stop. We know everything
about you, your wives and children."

BARACK OBAMA, U.S. PRESIDENT: As Americans, we shouldn`t have to forfeit
our basic privacy when we go online to do our business.


ED SCHULTZ, THE ED SHOW HOST: Good to have you with us tonight, folks.
Thanks for watching. I find it very disturbing. How far is this going to
go? We start tonight with news here at home. Earlier today, the United
States military central command`s Twitter and YouTube accounts were hacked.
How does that make you feel?

The group responsible described themselves as the CyberCaliphate. The
hackers claimed to be working on behalf of ISIS. At this point, it`s not
clear exactly who was behind the hacking. The group posted threatening
messages about U.S. soldiers and warned of Cyber Jihad. They also posted
contact information for a number of military officers.

Pentagon officials told NBC News, the Twitter and YouTube accounts were not
classified and none of the contact information was classified. One
official said, this is clearly embarrassing but not a security threat.
CENTCOM has regained control of their accounts and they are currently

The hacking come as President Obama is pushing congress to act to
ceybersecurity. Earlier today, the President was out pushing a series of
new bills to protect the Americans from hackers.


OBAMA: Today, I`m focus on how we can better protect America consumers
from identity theft and insure our privacy, including for our children at
school. And then tomorrow, at the Department of Homeland Security, I`ll
focus on how we can work with the private sector to better defend ourselves
against cyber attacks. And finally on Wednesday, in Iowa, I`ll talk about
how we can get families and communities faster, cheaper access to broadband
so they can succeed in the digital economy.

When these cyber criminals start wracking up charges on your card, they can
destroy your credit rating, they can turn your life upside down. It may
take you months to get your finances back in order. So this is a direct
threat to the economic security of American families, and we`ve got to stop
it. If we`re going to be e-connected, then we need to be protected.


SCHULTZ: So how can the Republicans say no to that? Can we find some
common ground here? One of the bills would require corporations to notify
consumers within a month if their personal information had been exposed in
a data breach. News of today, CENTCOM hacking comes as tensions are still
high in France.

On Sunday 3.7 million people held a massive march in Paris against
terrorism. French officials said, it was the largest gathering in the
history of Paris, world leaders including the French President, along with
David Cameron, Angela Merkel, Mahmoud Abbas and also Benjamin Netanyahu.
Some are criticizing the United States for not sending any high ranking
U.S. officials to the rally. Josh Earnest responded to that today.


EARNEST: Some have asked whether not the United States should have sent
someone with a higher profile than the Ambassador to France. And I think
it`s great to say that we should have sent someone with a higher profile to
be there.


SCHULTZ: French authorities have set up a comprehensive counter-terrorism
strategy in the wake of the attacks. Thousands of soldiers and police
officers will be stationed in sensitive sites around France. They will
also reinforce electronic surveillance and look into schools and prisons
that have a reputation of Jihadis recruitment. New reports show that Hayat
Boumediene, a suspected terrorist has crossed in to Syria and flew from
Madrid, Spain to Turkey on January 2nd, then crossed onto Syria on the same
day with her common law husband, who`s suspected of killing a police woman
in Paris.

Meanwhile, back in America, Republicans are using the French terror attacks
to thrash President Obama. In his typical fashion, South Carolina Senator,
Lindsey Graham, came after President Obama. Graham blamed the president
for the rise of radical Islam.


LINDSEY GRAHAM, (R) SOUTH CAROLINA: Our strategy to combat radical Islam
is failing. President Obama`s world view has been, "I don`t want to be
George Bush." Radical Islam has risen in the last 34 years on his watch.
Pulling our troops out of Iraq against some military advice to allowed the
Al-Qaeda and Iraq to rise again, to become ISIL. Not supporting the free
Syrian army, three or four years ago, when it would matter. Taking Khadafi
down about dealing with the militias has been a perfect storm to lead the
rise of radical Islam all over the world. And that put it at the feet of
our President.


SCHULTZ: South Carolina senator went on to use fear and of course warn of
attacks here at home.


GRAHAM: I`ve never been more worried about hit at home because the
President`s world view and strategy towards radical Islam is failing. He
over sells our successes. He under estimates the threat. Bin Laden may be
dead Maria (ph), but Al-Qaeda is not decimated.


SCHULTZ: Republicans will use anything to bring down President Obama.
It`s really a time, isn`t it when Democrats, Republicans in a global
community should be pulling together to fight terrorism. Can anything
unify us anymore, instead Republicans are trying to scare and divide
Americans for political gain.

They have the power, now do something about it. Republicans are absolutely
shameless when it comes to scoring political points over terrorism. Looks
like we really haven`t gotten much better in the last 15 years, have we?

Get your cell phones out. I want to know what you think. Tonight`s
question, "Will Republicans block President Obama`s ceybersecurity bills?"
Text A for Yes, text B for No to 67622. You can always leave a comment in
our blog and we`ll bring you the results later on in the show.

I`m joined tonight by Katrina Vanden Heuvel, Editor of The Nation and also
Steven Clemons, MSNBC contributor and editor at large for The Atlantic.
Great to have both of you with us. Katrina...


SCHULTZ: You bet. Katrina, are we beyond the point of political unity in
this country? Isn`t there anything going to bring us together if the
Republicans are so concerned that this is such a new and definite threat to
the American people, where`s the you unity?

unity in the streets of Paris the other day. There was solidarity against
radical Islam, for free speech. But I worry Ed, that the lessons from
Paris are being lost, not only on Lindsey Graham, a foolish man who speaks
untruth and fear mongers. But it was an attack, the Paris terrorist attack
on free speech and the intolerance of radical Islam.

It was also a failure of Europe and Paris to integrate those with Islamic
backgrounds and faith. But let us be honest, it was also the backlash, by
radical Islam against the failed U.S. policies, U.S. and Western policies,
the occupation of Iraq, invasion and occupation of Iraq which George W.
Bush launched, the ongoing war against ISIS and Syria.

So I think that unity was shattered. We speak earlier that 9/11. There
was unity after the crime against humanity of 9/11, but George W. Bush`s,
Dick Cheney`s invasion, occupation, torture which commentators have noted
one of the Paris terrorists was radicalized by George W. Bush`s war, photos
about a grave, these are a blight on America`s reputation and there should
be unity to find a different way to calm that terrorism but we`re not going
to get wisdom from people like Lindsey Graham or John McCain. Or I fear,
some of the Democrats who have bought in to a war against terrorism which
is making the United States and the West less secured and not more secured.

SCHULTZ: Steve Clemons, what about this hacking of the YouTube and Twitter
accounts? First of all, I was surprised that the United States government
had a Twitter account...


SCHULTZ: I don`t know what that was all about.


SCHULTZ: But how serious is this? I mean, my first reaction was, what
else are they going to do?

CLEMONS: No, I mean, I think it`s all serious, but I mean, this is ongoing
story. It`s interesting that the Pentagon, which has been hacked
previously, but now Twitter accounts, you know, the government has many
different Twitter accounts. But in journalist, you know, we`ve seen things
like the Syrian electronic army, hacked major journals of opinion like the
New York Times for its commentary on Syrian, what not.

Hacking in this whole new world of sort of soft targets in social media,
are now a part of the terrain. And it is interesting and ironic that the
president was out talking about you know, protecting all of these, on the
day both that CENTCOM was hacked, the Twitter account was hacked and also
on the day that Twitter was saying that it is going to try to continue to
pursue its first amendment rights to disclose when national security
request are made of its information.

So there are two sides to this question, and the balance of liberty and
what is privacy in the middle of this world and which you got both outside
assaults on it, but in where bad guys are hacking us. But we also have
governments doing things, including our own, that are invading our liberty
and privacy. So it`s a really interesting new terrain and we don`t have it
all figured out.

HEUVEL: It`s a very interesting new terrain as Steve says, but I also
think we`re dealing with an old terrain. The terrorist docks in Paris have
lead intelligence agencies to rush quickly, to seize those attacks as an
excuse to expand their already expansive powers. No one is against
targeted surveillance. Edward Snowden, who I interviewed for four hours in
Moscow last October, is for legal targeted surveillance.

These intelligence agencies already have expansive powers, it`s the bulk
data collection, which by the way, they can even process. We were talking
earlier, Ed, French media reports that Algerian intelligence alerted the
French to the eminent attacks on their territory. I think we should get
some answers to the failures while we mourn this tragedy before we give
these intelligence services more power.

SCHULTZ: So you think that this is much United States intelligence
failures as it is anything else? The rest of the world (inaudible) for our
policies and what we have over the last 15 years?

HEUVEL: I think the United States and the West. I mean, you saw the rush.
It reminds me of again, 9/11, when Dick Cheney and his cohort had plans on
the shelves, ready to go, triggered by that terrorist attack to erode the
liberties. We can be free and secure. But I think that this intelligence
agency, for example, in Britain had been salivating to expand their powers.
And that doesn`t, again...

SCHULTZ: When you say, expand your powers, what -- take us down that road

HEUVEL: Well, I`m thinking of bulk data collection. There`s so much
coming in to this intelligence agency, we saw this in the Boston marathon,
the horror of that. They weren`t able to make connections. Some of it was
-- we need to discuss with Russia, which is a terrible mistake. Well, they
have to find ways to coordinate rather than expand first. There should be

SCHULTZ: Steve, don`t we have Terra force in the Intel community? I mean,
isn`t that still part of this?

CLEMONS: We have tons of Terra force in the Intel community. What Katrina
is laying out is right But when you talk about what more can be done, you
know, when you look at sort of the various times that the director of
National Intelligence was testifying, you know, incrementally bit by bit
when forced about what we can do. You know, all you have to do is go out
to Silicon Valley and talk to technologist about what is possible, and then
make the assumption, jump ahead, that we probably already doing it without

So when you begin looking at, you know, what they were claiming is, that
they`re taking bulk metadata, without association to names or people, but
then you begin looking at conversations and the possibility of that, that
the applicability of some of these cases outside of a national security
arena to other crimes, when you begin looking at video and other forms of
material information that travels as bits as well.

All of that is technically possible and yet not authorized or permitted
under our legal system. But I imagine somewhere in the system and that
what`s been interesting with this stone (ph) data, is that there`s a lot
more capacity out there that this could grow in to. And that`s why it`s so
important to establish rules of the road, solid congressional oversight,
and sort of no nonsense discussion about where our privacy and liberty
exist within this new world, because, I think, Katrina is right, that any
excuses used to ratchet up the government`s authority to take more and

And that`s why I admire Twitter for throwing up a red flag and saying,
"We`re not going to play along. We`re going to try to under our first
commandment rights, challenge the U.S. government and say no to this."
That we have a right to express and say, when the national security
requests are being made of us.

And so, it`s a small bit of the puzzle, but right now, they`re not enough
people paying attention to the erosion of this. And I think when you see
things in Paris and you see the horrors that are unfolded there, or in
Ottawa, or in Australia, certainly there`s a lot of data out there. But
they can`t all be uses in excuse to further encroach and shut down civil

SCHULTZ: All right, there`s another school of thought here. I want to
force, this is Senator Lindsey Graham, saying what the remedy is. Here it


GRAHAM: We need to get a ground component to compliment the air campaign,
you cannot dislodge ISIL from Syria and Iraq based on American air power.
There is no mythical air of army in the making. We`re going to need an
international force. At least 10,000 Americans to provide intelligence,
logistics, Special Forces, and air assets to take on ISIL.


SCHULTZ: I mean he`s proposing what? Iraq all over again.

HEUVEL: He`s proposing endless war Ed. And what endless war does to
nations, it sups (ph) not only its liberties but its securities. But then
people of this country have more wisdom at the moment than the elite. They
don`t have stomach for going in to other countries, occupying our ground
army. And by the way, the backlash would be even more severe. I think
there are ways to combat terrorism. We`ve lost an opportunity since 9/11
when police scene (ph), intelligence, other ways, other countries had done
with terrorism to put it in a war footing, could mean endless war.

But Lindsey Graham, by the way, I said this to Bill Kristol a few months
ago, if they want to propose this, they should go fight, and I`m not
kidding. I mean, these people have no measure -- they don`t have any

CLEMONS: You know...

SCHULTZ: Steve, your response to this.

CLEMONS: Yeah, you know, Ed, a few years ago, I was at a -- we used to do
things with U.S. senators in -- on -- they would pick movies that they
enjoyed. And Lindsey Graham had his night and he picked the film called
Seven Days in May, which a war against military demagoguery. This was
during the Bush administration.

And Lindsey Graham gave a very impassioned speech, about how we needed to
be aware of those people that were calling for endless war and military

And when you fast forward, you know, all I can say is, "Senator Graham, go
watch the movie that you said was your favorite because you kind of
forgotten your lessons there."

SCHULTZ: Katrina Vanden Heuvel, Steve Clemons, great to have both of you
with us tonight on The Ed Show. Appreciate your time so much. Thank you.

Remember to answer tonight`s question there at the bottom of the screen.
Share your thought with us on Twitter @edshow and @wegoted. And like you
on Facebook and thank you for that.

Coming up, the power of the pen, the right wing reaction, the President`s
veto threats with an outrageous claim. And later, John Ellis Bush versus
Willard Mitt Romney. The fight is on for the moderate conservatives of
2016? No. Rapid Response Panel coming up, stay with us.


SCHULTZ: Time now for Trenders, the social media, this is where you could
find us. Join the Ed Team at, and And you can also get my podcast free on iTunes,, and It`s available to you
free, 24/7.

The Ed Show social media nation has decided, we`re reporting. Here are
today`s top Trenders, voted on by you.


TINA FEY, SATURDAY NIGHT LIVE HOST: Welcome you bunch of despicable
spoiled minimally talented brat.

SCHULTZ: The number three Trender, "Award winning."

UNIDENTIFIED FEMALE: The 72nd Golden Globe denied a big moment and some
surprise winners.

UNIDENTIFIED MALE: During the three hour broadcast alone, it was 2.6
million Globes related tweet.

UNIDENTIFIED MALE: The Golden Globe`s most memorable moments trend on

FEY: Tonight, we celebrate all the great television shows that we know and
love, as well as all the movies that North Korea was OK with.

UNIDENTIFIED MALE: Margaret Cho appeared in character as the North Korean
army general. Cho cornered Meryl Streep into taking a photo with her.

UNIDENTIFIED FEMALE: (Inaudible). When Prince showed up to present
(inaudible) original song.

UNIDENTIFIED MALE: Ladies and gentlemen, Prince.

MARGARET CHO: (inaudible), I hope next year. Good night.

SCHULTZ: The number two Trender, "Pacman."

REP. PAUL RYAN: The Cowboys and the Packers, I`m like life long die hard
Packer fan.

CHRIS CHRISTIE, (R) NEW JERSEY: My favorite football team are the Dallas

UNIDENTIFIED MALE: This is a bad idea.

CHRISTIE: This is the not the smartest thing for the governor of New
Jersey, so want to be it.

SCHULTZ: Paul Ryan taunts rival Chris Christie after the Cowboys collapse.

UNIDENTIFIED FEMALE: The Green Bay Packers held on to beat the Dallas


UNIDENTIFIED MALE: I`m more than the owners. Do want to hug it out?

SCHULTZ: In today`s top Trender, "Veto Threat."

OBAMA: I haven`t used the veto pen very often since I`ve been in office.

UNIDENTIFIED MALE: The President is not (inaudible).

OBAMA: Now I suspected there are going to be some time to work. I`ve got
to pull that pen out.

SCHULTZ: President Obama draws the line as Republicans threat to vote on
Tea issues.

OBAMA: I`m going to defend the gains that we`ve made in healthcare.

UNIDENTIFIED MALE: Hopefully we can persuade him to improve the nations
healthcare laws.

OBAMA: I`m going to defend gains we have made on environment.

EARNEST: President, would have vetoed, had that bill pass to previous

UNIDENTIFIED MALE: The President is going to see the Keystone XL pipeline
on his desk.

EARNEST: If this bill passes this Congress, the President wouldn`t sign it

UNIDENTIFIED MALE: He may veto it. It comes back. We may have to attach
it to other legislation of his (ph).

UNIDENTIFIED MALE: He is not going to determine what we do.


SCHULTZ: Joined tonight by Congress Tim Ryan of Ohio and Peter DeFazio of
Oregon. They just happened to be from Ohio and Oregon and I think they had
something going on tonight. We`ll get to that in just a moment.
Gentlemen, great to have you with us.

The presidential veto, is this the only thing that`s going to hold back the
Republican agenda? Congressman DeFazio, where are we?

REP. PETER DEFAZIO, (D) OREGON: Well, I`m pleased that the President has
inked up his veto pen. He`s going to need it. Look, they`re trying out
some of the same tired old stuff for corporate America. You know, let`s
not reform -- let`s unreform (ph) Wall Street. Go back to the good old
days, 2008, so they can destroy the economy again. Let`s take away health
care from 8 million Americans.

Remember, they said repeal and replace, repeal and replace, they`ve never
told us what replace is. They`re still on repeal. What about those 8
million people? You know, this is really the same, the Keystone XL. Now
the state department is going to go through a process, they want to preempt
that process, they want to take away states right individual, private
property rights and give the Canadian Corporation the right to transport
oil across America without paying into The Oil Spill Liability Trust Fund
and, you know, give a foreign corporation...


DEFAZIO: ... the right to take private property from Americans.

SCHULTZ: So gentlemen -- Congressman Ryan, we`re talking about the
President holding the line here, because you guys in the minority, the only
thing you have right now is a filibuster over in the Senate side. What
else is going to stop what Congressman DeFazio just described?

REP. TIM RYAN, (D) OHIO: Well I think that`s the firewall...

SCHULTZ: So you`re counting on the President...

RYAN: ... and I think that`s what...

SCHULTZ: ... he`s going to show up big time then, right?

RYAN: We need him. We need him. And I think he`s probably going to have
to throw one or two out there early to set the tone. Kind of like in `94,
we had the government shutdown. I`m not saying we need to shutdown, but I`m
saying, at some point in `94, Bill Clinton had to step up and say no. You
know, I`m not going to negotiate X, Y or Z, whether it`s Medicare,
Medicaid. Whatever the issues that will come to the President`s desk, he
is going to be decisive and say "No".

And then that veto threat means a lot more when you`re negotiating this
other issues. But I think they are going to test him whether it`s Keystone
or something else and he`s got to step up the bat, take a swing for the
fans, set the tone and then we can, I think assume a more -- a posture of
negotiations and maybe facilitating some movement with some legislation.

SCHULTZ: Congressman DeFazio, what negotiations trouble you? What`s on
the horizon that you think that the progressive movement has to be
concerned about?

DEFAZIO: Well, I`m, you know, I didn`t Dodd-Frank was strong enough. And
any erosion of the minimal controls on Wall Street, in that are just
outrageous. I mean, to allow them to gamble with tax payer insured money.
No, if they want to gamble, gamble with private money, not with money
that`s backed up by the taxpayers in United States. That`s number one of
my list.

I`m going to say number two, which we haven`t talked about here,
unfortunately, is trade promotion authority, which the President is
lobbying for and the Republicans might give him, the Democrats wouldn`t.
That has lead him secretly negotiated a trade deal and plot (ph) it down in
front of Congress and say, "Aye" or "No".


DEFAZIO: You can`t change it.

SCHULTZ: The President -- This just in, gentlemen, as we talked about
this, President Obama just issued a veto threat against House legislation.
That would delay part of the Volcker Rule. And I think that`s pretty much
what you`re talking about there Congressman DeFazio.

How will the GOP push to redefine the work week in that regard? We`ll I`ll
get to that in a moment. But what -- your thought on the Volcker Rule. I
mean, if he`s going to veto that, that really is taking a stand against
Wall Street, isn`t it?

DEFAZIO: Yeah, the Volcker Rule was some of the most exotic of these
derivatives, to tank our economy. And it said, you can`t use taxpayer
insured deposits to gamble on this incredible exotic derivatives. By
delaying the Volcker Rule, you know, we are seeing this firm to -- that`s
one part of the bill. And the Volcker Rule itself would say, you`ve got to
move your proprietary trading out of the insured part of the banks.


DEFAZIO: So there`s two -- There were actually two changes in that bill.

SCHULTZ: Now, ObamaCare, you know, what bothers me here is that there are
some Democrats who are in favor of relinquishing the medical device tax.
This is one of the big financial pillars of ObamaCare. Congressman Ryan,
where do you stand on that?

RYAN: Well if you`re going to get rid of it, you better find the revenue
that can be consistent somewhere else. I don`t think, you know, it matters
to a lot of us where the money necessarily comes from, but that the money
is going to be there and it`s going to be consistent. And I think the
President, again, is the firewall to make sure that they don`t start
picking apart the Affordable Care Act.

I just don`t think we`ve need to go down that road, because ultimately
that`s what they try to do. They sell it to the public. Well, it`s just
this one little thing. Well, it`s just this one little thing.


RYAN: Well, overtime, that all adds up and you`re dismantling the entire
system. And going to back to the Volcker Rule, I think it`s important with
something like that, where the President can go back now, after some of us
-- I know Pet has and I have been critical of him not being firm enough. A
veto on something like that, he can begin to reframe, say, "Hey, we were
the ones who dug us out of the hole. We were the ones who set us back on
track. We were the ones who try to stabilize and have now been the
(inaudible), slightly on the health care system."


RYAN: We are not going back to a casino system where we`re going to tank
the economy again. He can, I think, go back with this veto and reframe the
entire position of the Democratic Party. And why we can`t go back there
and why he needs to be a strong and decisive leader, standing between that
fragile economy and a new economy that we need to built, that`s much more

SCHULTZ: All right gentlemen, big night for both of you. Ohio State
against Oregon. Congressman DeFazio, why is your team going to win

DEFAZIO: Well, quite frankly, we`ve got the Heisman Trophy winning
quarterback, there`s no better quarterback in America, and he`s got a lot
of great receivers and our defense has grown tremendously through the year.
I think it`s going to be a tough game. Ohio is a great opponent, but I
think we`ll win by at least one touchdown.

SCHULTZ: Congressman Ryan, why are the Buckeyes going to win tonight?

RYAN: You know, it`s tough to hate Oregon. We can hate Michigan,
Minnesota, Alabama. Those are easy. Wisconsin, it`s -- Oregon is a great
team. I like their coaches, they got a catholic school quarterback, is a
former catholic school quarterback. I can relate and wish him well. But I
think it`s going to be a great game. I think, you know, we`re going to
need some big plays.

I think Ohio State`s defense is going to step up tonight and make some key
plays. It may be in the last possession or two, but I think they`re going
to step up and make up some key plays and put us over the edge. But it`s
going to be a high scoring game.

SCHULTZ: High scoring game.

RYAN: But I`m going to enjoy my Oregon wine. I`m getting red wine after
this game Ed.

DEFAZIO: Go Ducks, go Ducks.

SCHULTZ: Ducks and Buckeyes. Gentlemen, congratulations. Good luck.
Have a fun night. Thanks so much. Congressman DeFazio, Congressman Ryan
with us here in the Ed Show.

Coming up, clash with the Titans, Mitt Romney takes on Jeb Bush in the race
for 2016, big question mark. And later, my take on this weekend`s big
games. The two minute drill, coming up. Your question is next, Ask Ed
Live here on the Ed Show, on MSNBC. We`re right back.


SCHULTZ: Welcome back to the Ed Show. Thanks for all your questions
tonight in our Ask Ed Live question. Our first question comes from Mike.

A lot of people talking about this, "Do you think it was a mistake that the
United States did not send a high-level envoy to the rally in France?"

Let me answer that with a question. First of all, was it a big deal in
France because there were 3.5 million people there? Or wasn`t a big deal
because it was a rally that was going on?

I think the criticism of this is being heightened because of the number of
the people that actually showed up. I don`t think anybody predicted there
were going to be millions of people there. That`s the first thing.

Secondly, let`s not lose sight of the fact that the United States has been
a very resourceful ally to the French on many occasions. So it`s not as if
we`re not helping them out.

Could we have sent more people? Higher level folks? Probably. But I`m
sure that there`s some security issues here. They just can`t wing stuff
like this.

Our next question is from Lucy, "Did you enjoy the Packers game?" Yes.
And it was not a catch and I`ll explain later on. Stick around, Rapid
Response Panel is next.

Market Wrap. Stocks begin the week in the red. The downfalls, 96 points.
The S&P 500 sheds 16, the NASDAQ is off by 39 points.

After the closing bell (ph), aluminum produced ALCOA reported better than
expected revenue and earnings, shares are up in after hours trading.

And it was another steep declined for oil. Crude slid nearly 5 percent, to
settle at 46.09 a barrel after Goldman Sachs cut its three months forecast
is $41 a barrel from $70.

That`s it from CNBC, first in business worldwide.



UNIDENTIFIED MALE: Are you thinking about running for president again?

MITT ROMNEY: No. I`m thinking about the people who I want to see running
for president. And there`s quite a group.

I won`t get a third chance. I`m not doing it again.

I`m not running for president in 2016.

I have my turn. I`m not running for president. I said that so many times.


SCHULTZ: Welcome back to the Ed Show. Talk is cheap. Mitt Romney is
dipped, is still in the water for 2016. During a small meeting in New York
last week, Romney told donors, "I want to be President." So what`s going
on behind closed doors? Third time is a charm, but Romney is in for route
awaking if he doesn`t.

The Republican landscape, very different this time around. Mitt Romney
faced a clown car of opponents in the GOP primary last time. 2016 is the
governor`s bowl.

Jeb Bush stands out on the pack and Romney really is his worst nightmare.
The Republican establishment is split over who to support if this all comes
down. So let`s compare. Let`s look at the tale of the tape.

Let`s see. They both have famous dads. They both had hedge fund jobs.
They both have spotty position on immigration. Let`s see. They supported
the war in Iraq. And according to Politico, only Jeb Bush plans to release
his taxes.

It all comes down to cash, folks. The GOP front runner is going to need a
record amount of money if they`re going to pull off a win. Jeb is going to
cross the river in Connecticut. Meeting with donors are ready. He`s
raking it in.

He`s pull in dollars and Romney knows if he wants to get in the game, he`s
got to get after it pretty soon.

Joining me tonight in our Response Panel, Annette Taddeo, Vice Chair of the
Florida Democratic Party and Mitch Ceasar, Chair of the Broward County

And we`re focusing on Florida with this story unfolding, obviously, because
Jeb Bush, the former Governor of Florida, but Florida is so terribly
important in 2016. But let`s focus on Romney first.

Mitch, is he serious or is this ego talking?

there is no question as we stand here today that Romney is running. I
think he want to take a long time, maybe wait for the field to not do to
well and come to him and say, "Save us."

I don`t think there`s any doubt that Romney is running. I think, there`s
been some bit of bad blood between Jeb Bush and Mitt Romney that really has
it been talked about much from his last run where Bush did support him.

But very late in the game when it was more less meaningless, I think, he
felt Bush breathing down his neck. He had to react quickly. He did. He
is trying now to, basically, close the barn door before all the donors get

SCHULTZ: Annette, what do you make of Mitt Romney floating us behind
closed doors in front of donors?

ANNETTE TADDEO, VICE CHAIR, FL. DEMOCRATS: Well, I think he realizes that
the donors are definitely competitive with Jeb Bush in the game and
honestly, the two of them do have bad bloods, especially when it comes to
immigration where Jeb Bush tried to get him to be much more moderate on
immigration and has tried to get other people, but definitely during the
Presidential, and he did not listen. He obviously had to be the most

Now, the question is, how would that work for Jeb when he is not really a
moderator of a claim? Believe me, from Florida, both Mitch and I will tell
you, he is conservative. But when it comes to immigration, he has always
believed in a path of citizenship which may come back to bite him. And
that`s the difference between the two of them.

SCHULTZ: We`re going back to the old questions of who is going to release
the taxes. It would fully vetted at this point, I would say Mitt Romney is
-- I mean, we`re going to -- we`re heard (inaudible) bunch of old stories.
What about Jeb Bush, Mitch? Are there things there that might deter from
his run?

CEASAR: I don`t think so. That`s why he moved out of Wall Street. He
basically watched the mistakes that Romney made last time, both on the
taxes and just being slow to pull the trigger on a lot of disclosure
transparency issues. Also he said, he was going to make all of this e-
mails public. This is indirect response to Governor Rick Scott in Florida
who refused to release his e-mails and they`re still on litigation.


CEASAR: He watched the mistake of others and I`m just trying to basically
get ahead of the curve. So I don`t think that anything is going to jump
out of Bush, but god, are these two traditional Republican, you know, base
kind of guys who basically chop each other up and do a way with a lot of
the feel.

SCHULTZ: Well Annette, how do you think Jeb Bush responded to hearing this

TADDEO: Not very well obviously. I do want to add that the one thing that
does stand out with me is Jeb Bush`s wife, Columba, had some issues with
the law when he was Governor and I think that`s going to come back.

I`ve asked a few people in Florida, you know, what do they think, what do
they remember. And the first thing that everybody brings up is they
remember those issues with Columba. So I think the wife maybe an issue
that is definitely going to come up.

SCHULTZ: How did we know that it`s going to be a different Bush clan or a
different Bush fraternity when it comes to organizers, when it comes to
advisors, if it gets that far or Jeb Bush is pres. of the United States.
Would it not be regurgitated W connectors, if you know what I mean? People
that have been there before. What about that, Mitch?

CEASAR: Well I think you`re exactly right. And I think it will be a
political regurgitation. You know, if there`s any doubt who is the
establishment candidate, I think it`s going to be Jeb Bush. They feel they
give Mitt Romney`s term like they did to McCain, like they did to Bob Dole
in `96. And Jeb Bush`s greatest claim to establishment is that he will use
his brother`s folks.

His biggest weakness as is Romney`s to a lesser extent but pretty
significant is, no background in foreign policy. So who is he going to
seek for help? His brother`s friends, the neocons. Here comes our
favorite Dick Cheney back again. Here come all of the other neocons.
These are the folks that gave us Iraq. And as we know from the CNN poll
that occurred just literally days ago, 66 percent of the nation of those
poll think Iraq was a mistake.


CEASAR: It maybe higher, (inaudible) to a Cheney was a mistake.

SCHULTZ: Annette, does it matter from a Hillary Clinton standpoint who
would be the opponent in Florida?

TADDEO: Well, from a Florida perspective, it definitely matters. And
Florida will be in played. But a Jeb is popular in Florida. I hate to
admit it. He is. He`s very popular with Hispanics. He speaks perfect
Spanish. So I think that it`s definitely going to be someone to watch for
the Democrats, for Hillary. And -- But I still think Hillary will wins,
but I`m bias.

SCHULTZ: If it`s Jeb Bush for Hillary Clinton, Florida is tougher, Mitch?

CEASAR: Significantly. I think if it`s any Republican nominee other than
Jeb Bush, she wins Florida because the Clintons have great ties here. If
it`s Bush, flip a coin, it`s going to be long and arduous and we can be
back to our Presidential recount, like in 2000. Very close, both are great
favorites in Florida.

SCHULTZ: All right, Annette Taddeo, Mitch Ceasar, good to have with us
tonight. Appreciate it.

Coming up, American muscle, the booming U.S. auto industry celebrate its
comeback. Thanks to Mitt Romney by the way, but the story ahead here on
the Ed Show. Stay with us.


SCHULTZ: Welcome back to the Ed Show. Two minute drill tonight. When
this play unfolded yesterday, this is what I was thinking. Remember the
old saying sometimes in the life the way things look aren`t always the way
things are.

Well, I thought it was a catch. And then I saw the replay. It`s the non-
catch heard around the world. This could have been a game winning catch
with Dallas Cowboys, receiver Dez Bryant yesterday fourth quarter, fourth
and two, 4:30 left for the game on the clock, yes.

This was a game changer. Originally the catch, as you well know by Bryant
was ruled a completion on the field, but overturned by the officials. The
NFLs Vice President of officiating tweeted, "Bryant going to the ground.
By rule he must hold onto it throughout entire process of contacting the
ground. He didn`t so it`s incomplete."

So what`s the bottom line?

The ground can`t figure in possession. And of course Packers win 26-21.
They go to Seattle. Cowboys bobbed on the trail. You might look at it
that way, but by the rules on the catch. Then we have the Bison. North
Dakota State University, they won their fourth straight FCS championship
game on Saturday.

Quarterback Carson Wentz scored a touchdown, 37 seconds left at the game
and Linebacker easily torn picked up a pass to seal the herd`s win, 29-27
over Illinois State.

Heck of a game. I think it was a heck of a game. And the last team to
win, I think four straight national championships was a division three
school Augustana, back in the 70s. They`re making history in Fargo.

Stay tune. You`re watching the Ed Show. We`re right back.



OBAMA: Last month, the rescue of the auto industry officially came to an
end. The auto companies have now repaid taxpayers every dime and more of
what my administration invested in you. When our assembly lines grind to a
halt, we work together. We get them going again. We don`t give up. We
get up. We fight back. We come back stronger than before. Thanks to the
hard work of people like you. America is coming back.


SCHULTZ: Welcome back to the Ed Show. This is the story for the folks who
take a shower after work. The annual North American International Auto
show kicked off in Detroit today on the hills of some great news.

When it comes to the American automobile industry, the great recession is
in the rearview mirror. Six years after a federal loan, the industry had
its best sales year in nearly a decade. Auto sales in United States all
surged to 16.5 million vehicles in 2014. That`s a 6 percent increase over
the previous year 2013.

Now, analysts are protecting even a better year in 2015. Sales are
expected to reach 17 million units for the first time since 2005.

Let`s not forget Mitt Romney wanted to let Detroit go bankrupt. Let`s not
forget when the automobile executives flew their private jets to Washington
looking for government help. President Obama told them to go home. Go
back in Detroit and come back with the real plan and drive your own cars
when you get back to D.C.

Next time, President Obama took a chance on the automobile industry and
invested in the future of the American worker.

Now, what we have seen is 58 months of private sector job growth. Gas
prices are low. Consumer confidence (inaudible) the roof. And overall,
Americans are feeling pretty darn good about the future. And with a bit
more money in their pockets, those Americans are now line enough to buy new
cars. It`s going to be a record year coming up in 2015. But just remember
one thing about this story.

The Republicans and the conservatives were totally against it. There was
no money out there. And there was no entrepreneur. There was no Wall
Street money. There was no money anywhere in this country that was going
say, "Yeah, I will invest in the American automobile industry." So
President Obama had a decision to make and the Democrats had a decision to
make. They bet on American workers. Look where we are today.

Joining me tonight, Mayor Virgil Bernero of Lansing Michigan. Virgil, good
to have you with us. What`s the lesson to be learned here? Great times in
Michigan because of this loan.

MAYOR VIRGIL BENERO, (D) LANSING MICHIGAN: Well Ed, the lesson is you can
always bet on the America worker. Don`t bet against the American worker
and don`t between against the American consumer. You know, people are
practicing patriotic purchasing again.

I think the near debt experience of the auto industry really sent a wake up
call. People took another look at American product course. You know, I`m
(inaudible) supporter of American manufacturing and I speak as the son of a
retired -- a G.M. retiree. And these folks do a great job. They make a
great product, better cars than ever before.

If you haven`t driven one lately, go out and test drive an American car.
It`s incredible, the products that we put out. I`m going to the auto show
tomorrow to see the unveiling of the all new Cadillac CTS-V, the 2016, the
most powerful Cadillac in Cadillac history. It will be unveiled tomorrow.
I couldn`t be more excited.

But look at what the President did. He invested in the American worker,
saved four million jobs, stopped us from going into what would have been a
depression. The center for automotive research estimates, Ed, it`s
something like $285 million impact on the economy in terms of federal
income. He saved the government revenue of 105 billion.

It could have been a catastrophe. He saved all that. He acted when we
needed to act and we auto invest more in the American worker. It will
almost pay off.

SCHULTZ: Well, the united auto workers took a haircut. They went back,
reorganize some things. There was better product design, better management
at the top and there was pressure put on them. They were operating
anywhere they wanted to. And then this made them a real in the industry.

Do you believe this is the product of an Obama economy? Where will -- If
we gone down the road of Mitt Romney and some of these other Wall
Streeters, this would never happen.

BERNERO: I tell you Ed, as a Mayor of a midsize city, the capital city of
Michigan and we`re proud G.M. town. Of course, we`re more than that but
we`re first and foremost the G.M. town where the state capital, we got
Michigan State down the road, but that automotive is still so central to
the economy, the manufacturing economy, the supply chain. And that`s why
it`s such an impact that the center for automotive research recognize that
when you say abide to that industry, we could have been capitulated into a

The President did what needed to be done. And of course, again, other
countries invest in their industry. We`ve got to invest in industry and
invest in our workers, invest in technology, the way other countries do.
The competition us fierce out there. We make great products. General
Motors, Ford Chrysler, of course, we`re a G.M. town here making the
(inaudible) and the Cadillac CTS, the Cadillac ATS. These are great

I say go out there if you`re looking for -- to buy a car. Friends don`t
let friends.


BERNERO: . buy anything but American. They are great products, better
than ever. And it`s the backbone of our economy. We make the things that
make America great in cities in Lancing all across the country.

SCHULTZ: Well, this proves that government has a roll. This proves that
government can set the table to do good things for workers. Of all the
manufacturing jobs created since 2010, 72 percent of them have been on the
automobile sector. And there`s.

BERNERO: Well, no question.

SCHULTZ: . room for growth. And so quickly, where is the next

BERNERO: Well it`s in manufacturing -- we`re starting to see some
manufacturing come back. We need to protect our R&D. We need to protect
our intellectual property. We need to invest in R&D and we need to, again,
support our industries like other countries do. We need to make sure that
our industries can be competitive.


BERNERO: . and support them. That means the issues like currency
manipulation and issues like fair trade over free trade.

SCHULTZ: Who are you rooting for tonight, Ohio State or Oregon? You`re
from Michigan now, where are you at?

BERNERO: I`m going to stick with the Big Ten.

SCHULTZ: All right.

BERNERO: You know, the Big Ten has really surprised a lot of folks, so I
got to say go Ohio City.

SCHULTZ: Virg Bernero of Lancing Michigan, good to have you with us

BERNERO: Always.

SCHULTZ: And that is the Ed Show. I`m Ed Schultz. Politics Nation with
Reverend Al Sharpton starts right now.

Good evening, Rev.


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