THE ED SHOW
January 22, 2015
Guest: Donte Stallworth, Sage Rosenfels, Bill Rhoden; Byron Dorgan, Rosa
DeLauro, Leo Gerard, Bernie Sanders
ED SCHULTZ, MSNBC HOST: What do you say we go deep on deflate-gate?
Let`s get to work.
(BEGIN VIDEO CLIP)
TOM BRADY, PATRIOTS QUARTERBACK: I didn`t alter the ball in any way.
UNIDENTIFIED MALE: It`s important to us that we respect the game.
BILL BELICHICK, PATRIOTS HEAD COACH: I was shocked to learn of the news
reports about the footballs.
BRIAN WILLIAMS, NBC HOST: The big story in football is the footballs
UNIDENTIFIED MALE: So-called deflate-gate...
UNIDENTIFIED MALE: ... sucking the air.
SCHULTZ: But what`s going on here?
BELICHICK: I have no explanation for what happened.
UNIDENTIFIED MALE: It`s not in the spirit of the game.
UNIDENTIFIED MALE: If you ain`t cheating, you ain`t trying.
SCHULTZ: It`s really easy to deflate a football.
BELICHICK: I was shocked.
SCHULTZ: That will be good.
BELICHICK: We play with what`s out there.
(END VIDEO CLIP)
SCHULTZ: Good to have you with us tonight folks, thanks for watching. We
start this evening with breaking news on deflate-gate, that`s what it`s
infamously called now. At this hour the NFL still hasn`t made a ruling and
Patriots head coach Bill Belichick is denying any knowledge of the deflated
footballs. He didn`t know anything about it.
Moments ago, Patriots quarterback Tom Brady stepped out and addressed the
media and played innocent.
(BEGIN VIDEO CLIP)
BRADY: I didn`t alter the ball in any way. I have a process I go through
before every game where I go in and pick the balls that I want to -- the
footballs that I want to use for the game. Our equipment guys do a great
job of breaking the balls in. You know, they have a process that they go
When I pick those -- the balls out, at that point, you know, to me they`re
perfect. I don`t want anyone touching the balls after that. I don`t want
anyone rubbing them, you know, putting any air in them, taking any air out.
To me those balls are perfect and that`s what I expect when I show up on
So, you know, that happened obviously on Sunday night, it`s the same
process that I always go through. I didn`t think anything of it. And I
woke up Monday morning and answered a question on the radio about it and
that was the first I heard of it.
(END VIDEO CLIP)
SCHULTZ: OK, interesting. He checks the balls out then the equipment guys
go through a process to break them in. Brady was asked flat out if he was
(BEGIN VIDEO CLIP)
BRADY: I don`t believe so. I mean I feel like I`ve always played within
the rules and I would never do anything to break the rules. And I believe
in fair play and I respect the league and, you know, everything that
they`re doing to try to create a very competitive the same field for all
the NFL teams. It`s a very competitive league, you know, every team is,
you know, trying to do the best they can to win every week. You know, I
believe in fair play and...
(END VIDEO CLIP)
SCHULTZ: Earlier today, Patriots head coach Bill Belichick gave his own
press conference. With his reputation on the line, Belichick strongly
defended himself from the controversy.
(BEGIN VIDEO CLIP)
BELICHICK: When I came in Monday morning, I was shocked to learn of the
news reports about the footballs. I had no knowledge or whatsoever of this
situation until Monday morning. I would say I`ve learned a lot more about
this process in the last three days than I knew or have talked about it in
the last 40 years.
I think we all know that quarterbacks, kickers, specialists have certain
preferences on footballs. They know a lot more about it than I do.
They`re a lot more sensitive to it than I am. And I hear them comment on
it from time to time, but I can tell you and they will tell you that there
is never any sympathy whatsoever from me on that subject. Zero.
Tom`s personal preferences on his footballs are something that he can take
about in much better detail and information than I could possibly provide.
I could tell you that in my entire coaching career I have never talked to
any player, staff member about football air pressure. That is not a
subject that I have ever brought up.
(END VIDEO CLIP)
SCHULTZ: On Wednesday, the godfather of football John Madden came out
blaming Brady and defending Belichick. Madden in a long quote said this,
"It would have to be the quarterback`s idea". That was the jest of his
comments, that`s a direct quote. "It would have been the quarterback`s
idea", that`s how Madden reads it.
Madden went on to say he believes Belichick knew nothing about it. On
Tuesday, league sources told ESPN, 11 of 12 footballs used by the Patriots
in Sunday`s AFC championship game we`re underinflated. The report claimed
that the balls we`re underinflated by two pounds per square inch, I think
that`s about 15 percent.
Sources told ESPN the Colts had concerns about underinflated balls earlier
this season. During a game on November 16th, Colts safety Mike Adams
intercepted two footballs from Tom Brady. Adams gave the balls to the
Colts equipment manager to save them. Both times there we`re concerns
about the footballs feeling underinflated. Sources said the Colts raised
concerns to the NFL. The league was reported aware of the issue going into
the Sunday`s game, the AFC championship game.
A league source told NBC Sport Pro Football talk, the game balls we`re
properly checked by officials before Sunday`s game. According to NBC
Sports, when the balls left the possession of the referee the air pressure
was correct. It`s not known when or how the footballs we`re deflated after
they left the referee.
Another report out today brings up an NFL rule change from back in 2006.
NBC Sports Pro Football talk points out, in 2006, Brady and Payton Manning
successfully lobbied the league to let every team provide its own footballs
to use on offense. So in other words, you could travel with your own
footballs and use them in the game. Prior to that, it was always the home
team that supplied the footballs.
Well, every quarterback has preferences with their footballs. Aaron
Rodgers likes his footballs fully inflated. A New York Times article from
2013 revealed that Eli Manning likes his footballs broken in. In a radio
interview back in 2011, Brady said that he likes his footballs
underinflated when talking about Rob Gronkowski spiking the football.
(BEGIN AUDIO CLIP)
BRADY: When Gronk scores -- it was like his eighth touchdown of the year.
He spikes the ball and the deflates the ball, which I love that because I
like, you know, the deflated ball but I feel bad for that football because
he puts everything he can into those spikes.
(END AUDIO CLIP)
SCHULTZ: Brady addressed those comments in today`s press conference.
(BEGIN VIDEO CLIP)
BRADY: I obviously read that I said that. You know, I like them at the
way that I like them, which is at 12.5. I mean to me, that`s a perfect
grip for the football. So, I mean I think that particular term, you know,
deflated or inflated, whatever norm you`re using, you could probably use.
I would never do anything outside of the rules of play.
(END VIDEO CLIP)
SCHULTZ: Here`s the bottom line, deflating footballs is against NFL rules.
The intense scrutiny the Patriots are under right now is related to Spygate
back in 2007. It`s kind of a credibility issue here. You see back then
the Patriots we`re found guilty of illegally videotaping the Jets` defense
and stealing their signals. Now the Patriots are once again under
suspicion of breaking the rules.
Get your cellphones out. I want to know what you think. Do you consider
deflating the football cheating? Text A for yes, text B for no to 67622,
you can leave a comment on our blog at ed.msnbc.com.
There was one thing that Brady said during the press conference that I
totally believe. As an old quarterback, when he said that he checks the
footballs out to see if he was to use them or not and then gives them to
the managing portion of the team, gives it to the managers, the ball boys
and they take care of it, I get that.
Because there`s a lot of balls in the National Football League everywhere
that are -- what I call -- what quarterbacks do call as a blemish ball.
This one feels -- yes this ones OK, yeah I`ll use that. No, this one is
too fat. I don`t like the texture of this one. That one don`t feel very
good. The lasers are kind of screwy on this one. That was -- I don`t one
It`s the idiosyncrasies of a football. And whoever kicks the football,
whoever throws the football, whoever catches a football has all these
little idiosyncrasies that they have developed with the equipment over the
years. You want you held them in a certain way, you want your wrist bands
in a certain way, you take your ankles in a certain way. That`s just how
goofy the game is.
For more on this let me bring in a couple of guys who collectively have
over 20 years of experience in the National Football League. Donte
Stallworth a former receiver for the New England Patriots, and also with us
tonight Sage Rosenfels a former quarterback, gentlemen great to have you
with us tonight.
DONTE STALLWORTH, FRM. PATRIOTS RECEIVER: Thanks for having me on Ed.
SCHULTZ: Donte you first.
SAGE ROSENFELS, FORMER NFL QUARTERBACK: Thanks for having me on.
SCHULTZ: You bet. Donte you first, did you ever catch a deflated ball
from Tom Brady?
STALLWORTH: Oh man, this is a -- it`s an interesting subject but, no I
haven`t. And I don`t honestly -- I don`t know what a ball -- two pounds
under air pressure would feel like. Sage could probably talk to that
better being a quarterback but, quarterbacks and -- as well as kickers and
punters, people are leaving those guys out as well. Those guys are very
meticulous about the way they handle their footballs and what their
footballs feel like. They want to be one with their footballs, right Sage?
SCHULTZ: What about that Sage?
ROSENFELS: We definitely do. Yes, I mean there is a process that the
balls go through before they hit, you know, the practice, feel our games,
you know, they come in brand new out of the box and -- and they`re slick
and they`re no good to throw, they`re almost impossible to throw at
sometimes. And the equipment managers, they spend a lot of time and some
teams more than others.
When I was with the Minnesota Vikings, the head equipment managers spent
hours and hours working on these footballs with dirt, with the steam room
with all types of things to get them to what it really felt like worn in
football, just like they`re worn in baseball gloves. So, there`s
definitely a lot of things that they do to get them where it`s comfortable
to throw. Every quarterback is different, some quarterbacks can throw a
ball right of the box and some guys are really, really meticulous about it.
SCHULTZ: Some guys are really meticulous about it. So you can relate to
what Tom Brady was just saying about, he wants to check out every ball
because some do feel different and to break them in, you know, is
important. The term break it in, Sage, is it safe to say that every ball
boy or every portion of the equipment team or an NFL team knows exactly how
their quarterback likes the ball? Sage?
ROSENFELS: Well there`s usually a guy or two in that equipment room who
sort of in charge of the balls. And so, what happens is they, you know,
bring in balls early in the week. They practice with them throughout the
week and then Saturday night or Saturday morning, the starting quarterback
and the backup quarterback, they go in and they start to check them out.
And, they`ll go through maybe 30, 40 footballs that will be used throughout
the week and put the balls that they like in one bag and throw the other
balls in another bag to -- to be used for, you know, punting or kicking at
practice or something else. And so, you know, those 12 or 15 balls that
make the game day bag, those obviously traveled with the team where they go
to the stadium. And then the head official or some official has to
obviously check those out before the game.
So, you know, the quarterback are -- they really have no control after the
balls go into that bag, that`s the end of it for them. And they just --
whatever happens in games, that`s the way, those balls are.
SCHULTZ: Donte did the Patriots practice with deflated balls, do you have
any knowledge of the way they may have handled the nurturing of the
footballs and the way they we`re handled in practice versus a game?
STALLWORTH: Yeah, and that`s a great point. It`s a great question Ed that
you asked because, in practices whether if it was snowing outside or
raining he prepared us for whatever the conditions we`re going to be. And
he said in his press conference that, any player that`s played for him in
the past and guys that play for him now, they understand this. When the
ball is -- when it`s going to be raining, he makes sure that all the balls
are going to be wet.
He puts us in the best position that we can be and -- as far as the
weathers goes. So, with the game that they played against the Colts it was
raining, it was wet and he had been preparing those guys, I can guarantee
you all week for that. So, to say they we`re trying to gain an advantage
by the balls being deflated, I`m not buying that, I`ve been there in those
situations but -- I mean, you know, the NFL is investigating so we`ll see
what happen at the end of the day hopefully.
SCHULTZ: Did you ever catch a in the NFL with the teams that you played
with that, I guess the ball felt a little different or there was different
texture to it or you could tell exactly whether it was properly or
improperly been inflated?
STALLWORTH: No, not at all. And that`s one of the things, I know both of
those guys, I know Mike Adams really well and I know the D`Qwell Jackson
very well. Those are defensive players, those are my guys but those are
defensive players, they`re not used to handling the balls. I`m not saying
that they we`re misleading (ph) or anything but, as a wide receiver and a
quarterback obviously with Sage, we test the balls all the time.
So, we know what they feel like. Defensive guys, that`s why they`re on
that side of the field because they don`t touch the ball too much.
SCHULTZ: Sage, what do you -- Tom Brady says he didn`t do anything wrong.
That the particulars of the football we`re beyond his attention, do you
ROSENFELS: I don`t really care, it doesn`t really matter. I mean he`s not
going to say that he did mess with the footballs. I mean he, you know,
whether you believe him or not, it really doesn`t really matter. The NFL
is going to do some sort of investigation, they`re going to try to find
whoever it was, probably some sort of ball boy of a manager who possibly
deflated those footballs. That`s going to be a heck of a journey to try to
figure that out.
And then once they -- if they do figure that out they`re going to have to
find out who told that person to deflate those footballs. So, I think it`s
going to be one of those investigations, like at lot of the NFL
investigations that ends up going no where.
SCHULTZ: Do you think it will go no where. You don`t think the league
will do anything here?
ROSENFELS: I think it`s going to be really hard to try to find out exactly
which ball boy because there`s a couple of them on each side of the field
throwing in footballs for each team. To try to figure out which, you know,
ball boy was the one who did it. And then on top of that, to try to get
one of those guys to, you know, sell out his organization or sell out his,
you know, hall of fame quarterback.
I just think that it`s going to be, you know, too tough to get that out of
them and -- and even if they would, I would imagine one of those ball boys,
if they did confess to doing it, I don`t think they would sell out Tom
Brady or Bill Belichick or that organization. I think they`ll probably get
a pink slip and probably helped (ph) out with a nice little checks
somewhere down the line by somebody.
SCHULTZ: That`s quite a solution. Gentlemen I want your response that 11
out of 12 ball as reported by ESPN we`re not properly inflated. Sage --
excuse me, Donte what do you make of that?
STALLWORTH: It`s a good question because the way that the footballs are
handled before the game, the referees check them, just little bit under
three hours, like 2 hours and 15 minutes before the kickoff. And, there`s
very little time to -- for someone to manipulate those footballs. So,
that`s -- to me that`s the important question.
And also, did they weight the balls before the game? And the same thing
with the Colts, did they do the same -- did they go through the same
process with the Colts weighting the balls before the game, half-time and
after the game. So, there`s a lot that`s going on.
STALLWORTH: And the NFL hopefully can get to the bottom of it all.
SCHULTZ: And Donte you would know this from you position, I think that --
Sage might not admit to this, but aren`t quarterbacks kind of the corkiest
(ph) guys on the team when it comes to particulars?
STALLWORTH: You know what? Every single quarter guy...
ROSENFELS: No it`s the punters, punters without a doubt.
STALLWORTH: Every single quarterback has their way with the footballs and,
you know, it`s not just Tom Brady or Aaron Rodgers or what New York Times
reported with Eli Manning, it`s every quarterback, every single
SCHULTZ: And Sage when you pick up the football, as a quarterback you kind
of know right away whether you want to throw it or not don`t you?
ROSENFELS: Yeah you would know Ed. You played some quarterback in college
up there in Minnesota. So yes, I was a particular guy, I didn`t like the
balls being new or I hate throwing a wet ball, I didn`t like playing in the
cold. So, I like them in certain for sure. There are some quarterbacks
who will get the ball out of the box and throw them.
And I will say, of all of these, you know, Tom Brady is probably one of the
great quarterbacks of all time in throwing in terrible conditions. If you
go back to the tough game in early 2000s against raiders (inaudible) snow,
to all those rain and cold games and sleet games and snow games in New
England in Foxborough. I mean he`s one of the all-time greats to have this
So, I mean that`s what`s really surprising and baffling about the whole
thing, is that he of all guys, you know, he can probably take a wet sock
and throw it 30 yards...
ROSENFELS: ... and make it go straight. So that`s what`s so surprising
about this whole situation.
SCHULTZ: Donte Stallworth and Sage Rosenfels, great to have both of you
with us tonight.
And I do want to point out that the NFL used to have stripes on the ball.
And the stripe came right around like that. And John Leonidas (ph) didn`t
like that. So he complained to the NFL and then they went to half stripes,
and then eventually they got rid of all the stripes and there you have the
NFL football the way it is.
Bill Rhoden columnist of the New York Times, great to have you with us
tonight, what do you make of all of these?
BILL RHODEN, NEW YORK TIMES SPORTS COLUMNIST: Well first of all, to Donte
as a former defensive back, we know enough to know a deflated ball but we
don`t care, we catch anything.
SCHULTZ: What do you make out of this Bill?
RHODEN: I mean, you know, at the start it seems so silly. You know, I
mean we are talking about football but what we`re talking about -- you
brought it up is not that. I mean going back to Spygate, we really care
about filming the Jets walk through but you do have rules. And if you have
organization that continually pushes these rules, breaks rules, it gets --
do we really care about the deflated ball?
Are we saying that Tom Brady isn`t great? We`re basically asking, why?
You know, why they do this and in terms of accountability -- if Belichick
is a CEO, you know, you are responsible -- you have a responsibility for
what goes on, on your watch.
SCHULTZ: Well that was the thing that I was kind of questioning at his
press conference today that, he`s concerned about what kind of football
they practice with and he tries to get them in a toughest position but he
has no idea what kind of football they`re using during the game. I thought
that was a rather unusual comment.
RHODEN: And then he throws his quarterback under the bed and the
quarterback said, well I don`t know so nobody knows -- there`s this role,
gremlin equipment guys somewhere and he`s the fall guy who`s owning on or
her own deflated football. I think it goes back to accountability. It`s
on your watch -- it`s on the watch of the CEO which is Belichick.
SCHULTZ: So, what will the NFL do? What should they do?
RHODEN: What they will do, if in fact they find out that the balls we`re
deflated, what they really do is they`ll throw money at it. You know, the
fine, draft picks that guys (ph) doesn`t care about...
RHODEN: If it was a money (inaudible). What they should do, what they
should do is suspend Belichick for the Super Bowl game to make sure that he
is not at that game. Because -- and the way the people say, why us, why
it`s you? Because you keep doing stuff like this, you keep screwing with
the integrity of the game and remember what we`re hearing from Belichick is
what we heard from the NFL after Ray Rice.
RHODEN: We didn`t see it, we didn`t know, we, you know, it`s the same
pattern of not really dealing with the truth.
SCHULTZ: Athletes will try any advantage...
SCHULTZ: ... they possibly can to put themselves in a better position...
SCHULTZ: ... psychologically to help them win. But isn`t it interesting
that the defensive backs, that one D.B. from the Colts may notice that the
balls was deflated.
RHODEN: With all due respect to Donte, yes.
SCHULTZ: Well, but the fact is, if one team recognized it...
SCHULTZ: ... I mean, it`s just not the team that`s doing it.
RHODEN: And it`s not...
SCHULTZ: So they must have done it to -- can we come to the conclusion
that they may have done it to the point where another team would recognize
it? What does that mean?
RHODEN: Yes, the guy who intercepts it, the ball always feels like a
little baseball (ph) and there`s something is wrong with it.
SCHULTZ: So, what`s the endgame here? What`s going to happen here --
you`re going to cash whip (ph) and then it`s over with. We got a Super
Bowl coming up?
RHODEN: Oh god. If they found out what they did it, what they should do
is suspend Belichick for the game. I suspect that what they`re going to do
if they do it, they`re just kind of fine him and take some draft picks.
And I think that`s totally wrong way to go.
SCHULTZ: All right, Bill Rhoden, New York Times, great to have you with us
tonight. Thanks so much.
Coming up, a milestone in U.S.-Cuba relations, and we have an update on the
TPP, big battle in Congress.
Keep it here. We`ll be right back.
SCHULTZ: Time now for Trenders, social media. This is where you can join
up with the Ed team, facebook.com/edshow, twitter.com/edshow and
wegoted.com, and also ed.msnbc.com. You can get my podcast free 24/7 on
iTunes, wegoted, rawstory.com and also ringoffireradio.com.
Ed Show social media nation has decided, we`re reporting.
Here are today`s top trenders voted on by you.
(BEGIN VIDEO CLIP)
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PRES. BARACK OBAMA, UNITED STATES OF AMERICA: And on Cuba, we are ending a
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OBAMA: Our shift in Cuba policy has the potential to end a legacy of
mistrust in our hemisphere...
UNIDENTIFIED MALE: The Cuban government plans to have the U.S. to removed
Cuba from the U.S. list of states sponsors of terror as well lift that
UNIDENTIFIED FEMALE: And the Cuban people clearly want this to work.
OBAMA: When what you`re doing doesn`t work for 50 years, it`s time to try
(END VIDEO CLIP)
SCHULTZ: Joining me tonight, former Senator Byron Dorgan of North Dakota
who was been a long advocate of getting relations normal with Cuba.
Senator, good to have you with us tonight. I know that...
FRM. SEN. BYRON DORGAN, (D) NORTH DAKOTA: Yes, and good to be with you.
SCHULTZ: ... you and I have talked about this in the past but now that
they`re into this process, sometimes progress isn`t perfect. What do you
think of some of the key first steps that have to go right for this all to
DORGAN: Well, these are never easy issues. I mean there are number of
issues that relate to normalizing relations with Cuba.
And, you know, this has been -- this embargo has been there 50 years -- at
least 20 years too long in my judgment. We`ve punished the American people
by prohibiting their freedom to travel. We have hurt the poor people of
So, you know, I`ve fully support what the President is doing. And I think
the negotiations that go on in Havana will take some while. And then, as
you know, there`s going to be some problems in the Congress. There are
some people who believe that we ought to continue a failed policy for the
next 50 years. But ultimately, I think we will normalize relationship with
SCHULTZ: Yeah. How long -- what`s your goal, I mean if you had lay it out
and map it out, to get it to where we have it with other countries, how
long -- is this a generational effort or can this be done in a matter of
DORGAN: No, I think, you know, this is a country 90 miles away from
Florida. My sense is that this will move rather quickly.
You know, there are some road blocks but I think it will move rather
quickly, because this policy never has made any sense in the last 20 years
or so. It`s been a failed policy. And not withstanding to those who cling
to the past, you know, yesterday forever, we got a lot of those around, not
was standing their objections. This is just going to happen.
DORGAN: You know, we allow people to travel to China and travel to
Vietnam. We do trade with both communist countries. And the reason is --
our foreign policy has said that constructive engagement through travel and
trade is the best way to lead to greater human rights in these countries.
And the exception of that has been Cuba where we slapped an embargo and
kept in on for 50 years.
SCHULTZ: Senator, isn`t Internet access a big key here for the Cuban
people for this to work?
DORGAN: Sure. And, you know, Internet access, social media, and so on is
important. And you know, one of the ignorant policies that I watched over
the years -- I tried it very hard to get rid of it was something called
The United States spent almost half a billion dollars sending television
signals to the Cuban people at 4:00 in the morning, signals that were
blocked by the Cuban government. So, we spend half a billion dollar
sending television signals to Cuban people, couldn`t see in order to tell
them how wonderful things were in the United States and how wonderful
The Cuban people knew that, of course. But as we negotiate these issues, I
do think it`s important that...
DORGAN: ... the Cuban people have more access, more freedom and that
SCHULTZ: And finally, how important do you think it is for the United
States to removed Cuba from the state sponsoring terrorism list?
DORGAN: Well, I think the evidence should suggest that`ll be the case.
And I think it is. So, we`ll see. I mean, that will be one of the
discussions as well.
And, my hope is that this moves along in the coming months and that we move
to normalized relations. There are a lot of good reasons to do it. The
DORGAN: ... reason for me is for the people in Cuba who have suffered as a
result of this embargo.
SCHULTZ: But this will help American farmers, wont it? They`re going
DORGAN: Oh it will.
SCHULTZ: ... you know, that the -- how big this one -- is that going to
DORGAN: Well, it will some but you know, I was -- I offered the amendment
along with two colleagues and we were the first to open up any kind of
trade with Cuba and that was in 1999. We passed an amendment that allowed
food and medicine to be able to be sold to Cuba.
George W. Bush put a lot of obstructions in front of that but it was the
first time we were able to -- and to move anything like to Cuba. And I`ve
always thought that using food as a part of an embargo is just
SCHULTZ: Senator Byron Dorgan, good to have you with us tonight, sir.
Thank you so much.
DORGAN: Thanks Ed, and good to be with you.
SCHULTZ: Still to come, the U.S. Treasury Department weighs in on the TPP
fight. Rapid Response Panel joins us with the details.
Plus, Richard Sherman weighs in on the deflate-gate in the two-minute
Stay with us, we`ll be back.
SCHULTZ: Coming up, Seattle defensive back Richard Sherman gives us his
take on deflate-gate in the two-minute drill.
Stick around, Rapid Response Panel coming up.
KATE ROGERS, CNBC CORRESONDENT: I`m Kate Rogers with your CNBC Market
Stocks rally across the board today. The Dow surges 259 points, the S&P
ends up 31 and the NASDAQ jumps 82.
Starbucks shares close up more than 1 percent and they`re up another 3
percent higher in after hours trading. The company`s earnings met
estimates but revenue was light and its latest guidance is below target.
And the number of Americans filling for first time jobless claims retreated
from seven-month highs last week. Claims fell by 10,000 to 307,000.
That`s it from CNBC, your first in business worldwide.
SCHULTZ: Welcome back to the Ed Show.
Now, this is an area where the Republicans and Democrats say they can get
together and work something out. But there`s still opposition from both
sides on it as well. It`s a fight. The fast track fight is exploding in
The Obama administration is going on offense for the Trans-Pacific
Partnership. U.S. Trade representative Michael Froman is leading the
charge on selling the job-killing deal and that`s exactly what it is.
He told a Mayor`s conference, the TPA fast track puts Congress in the
driver`s seat to define U.S. negotiating objectives and priorities. The
opposite is true. Fast tracking will tie the hands of the Congress. They
can`t negotiate or amend the bad trade deal.
In an interview, Treasury Secretary Jack Lew applauded the TPP but kept
quiet on its consequences.
(BEGIN VIDEO CLIP)
JACK LEW, U.S. SECRETARY OF THE TREASURY: The idea of the Trans-Pacific
Partnership was to start with high standards and to say, we want to work
with countries that are willing to accept high standards.
UNIDENTIFIED MALE: And why is it do you think that so many liberal
Democrats in the House in particular are resistant to that?
LEW: You know, I think this is not new today or this year. As those of us
who worked on trade agreements for the last 30 years. Now it`s always a
challenge to get a bipartisan consensus.
(END VIDEO CLIP)
SCHULTZ: It`s just not liberal Democrats. There are some very
conservative people in Congress who aren`t sure about this.
Jack Lew`s answer though is precisely the problem. No information. The
Obama administration will not address the dangers to the middle class jobs
that it presents. The environmental pitfalls or the threat to consumer
protection is also an issue. And the President faces sharp opposition from
its own party.
(BEGIN VIDEO CLIP)
REP. PETER DEFAZIO, (D) OREGON: We need to rename it. It should be the
well-worn dead-end track.
REP.BARBARA LEE, (D) CALIFORNIA: It is a secret deal. It`s negotiated in
back rooms and it`s designed to help multinational corporations reap
trillions of dollars while Americans lose their jobs.
SEN. BERNIE SANDERS, (I) VERMONT: I do not believe that American workers
should have to compete against people in Vietnam who have a minimum wage of
56 cents an hour.
(END VIDEO CLIP)
SCHULTZ: Joining me tonight on our Rapid Response Panel Congresswoman Rosa
DeLauro of Connecticut and also with us tonight Leo Gerard, International
President of the United Steelworkers.
Great to have both of you with us, you know, there are some in Congress who
think that this President should have fast tracked because other Presidents
have had it. For instance, Congressman Gerry Connolly says that it would
be a terrible blow for Democrats to be the instrument of denying the
President fast track authority.
Congresswoman, what`s your response to that?
REP. ROSA DELAURO, (D) CONNECTICUT: Well, first of all, this is not about
the -- what the Congress is about do or not, this is about what the effect
of fast track and what the effect of the Trans-Pacific Partnership will be
on jobs and wage, that`s the single biggest issue that face today.
The empirical data shows that in higher trade agreements whether it was
NAFTA or Korea. Two years ago, Korea has now resulted in the loss of about
60,000 U.S. jobs. This is about jobs. I have been consistent in my years
in the Congress. I have never voted to provide fast track authority to a
President, Democrat or Republican because I have an obligation, I have a
responsibility. The Constitution tells me that I need to review...
DELAURO: ... these trade agreements and I need to be able to debate them
and I need to be able to amend them. That is what`s at stake.
SCHULTZ: So Congresswoman, do you think that fast track is bad no matter -
- who the President is, that this really undercuts the Congresses` ability
to represent American workers?
DELAURO: That`s precisely right, there`s no public scrutiny. There is
limited Congressional debate and there is no opportunity to amend. Like
our colleague said years ago and the public said years ago, read the bill.
SCHULTZ: All right.
DELAURO: ... what we`re trying to do.
SCHULTZ: Mr. Gerard, what`s your union`s reaction to President Obama`s
push for TPP at the State of the Union?
LEO GERARD, PRES., UNITED STEELWORKERS: Well, two things Ed. We`re
obviously opposed to the TPP. Let me just say this, we`ve been willing to
work with the administration. We`ve been willing to work with Ambassador
Froman to see if there was a possibility that we can end up with a trade
deal that in fact created jobs in America.
We`re still prepared to do that but we don`t see that coming. And let me
build on what Congresswoman DeLauro said, and these are hard numbers.
Korea, the last October we had a monthly trade deficit with Korea of $3
billion, extrapolate that. Exports in the U.S. are -- from U.S. decree are
down five percent. Since we had the normalized trade relations with China
over those 12 years, we`ve not got close to eight trillion with a T,
trillion, and trillion is a thousand million trade deficit with China over
those 12 years.
So, the history of what trade deals have done has been destroying the
industrial economy of America. When you sit down with the employer and
they tell our member, well look I got to met the China price so it`s also
had the ability to hold down wages.
If the President wants to have a trade deal he has to have a trade deal
that is open, that`s transparent and that when we look at it and analyze it
we say yes, this trade deal will create net jobs for America. Not a trade
deal that says, imports are up by 28 percent, but then -- or our exports
were up by 28 percent but then imports at the U.S. were up 40, 56...
GERARD: ... to 80 percent. Ed, let me make one more quick point and I
don`t want to take all the time. I am here because we`re filling another
trade case on paper. We just did one on tires.
Steel imports into this country are up 35 percent one year over last year
and we had a trade deal that we won against Korea. The Korean government
just told that Koreans company, we`ll eat that, you just keep flooding the
So imports of pipe into Korea after we won the trade case are up again.
The system is broken, it doesn`t working and it needs to be rebuilt.
SCHULTZ: Well, the President said on the State of the Union that we should
be the ones writing the rules. And I thought that was rather convoluted
the way things have unfolded after the last trade agreements Mr. Gerard.
GERARD: Ed, look at the rules are, and let me again, I don`t want to...
SCHULTZ: Take as much time as you got to get out. Go ahead.
GERARD: We filed a trade case. We win the trade case only if we can prove
that the companies have lost market share. They lost profitability and
we`ve lost jobs.
The reason we`re aback with the tire case is after the expiry of the duty
on the tire cases was over, China dumped 50.7 million tires into the
GERARD: ... at five tires per car that`s over 10 million cars.
GERARD: What the hell is going on?
SCHULTZ: Congresswoman, how are you going to stop this?
DELAURO: We`re going defeat fast track in the House of Representatives.
We will have the votes to be able to do that.
SCHULTZ: You got Republicans to that. You got enough...
DELAURO: I believe the Republicans are in it for their other own interest.
They represent the people the way that I do and that they`re -- they don`t
have jobs. Their wages have been depressed and it is because of trade
deals. They`re representing their constituents in the same way that I am.
We have President...
DELAURO: ... who (ph) defeat it in 97, 171 Democrats, 71 Republicans,
we`re going to do it again.
GERARD: And we denied to President Clinton.
SCHULTZ: You denied to Clinton but...
SCHULTZ: ... this President is pretty determined to get fast track and
DELAURO: And we`re pretty determined to not have fast track. So...
SCHULTZ: Well, who is counseling the President that this is the right
thing to do Mr. Gerard?
GERARD: Well I think you got the normal game from old script. You got a
bunch of people who are free traders. And Wall Street makes it on both
ends of the deal. You got multinational corporations...
GERARD: ... that like to play one against other. And it certainly isn`t
workers, there`s no workers. Farmers are pushing for it and their
corporate farmers are really pushing for it.
SCHULTZ: All right, Congresswoman Rosa DeLauro and also Leo Gerard, good
to have both of you with us tonight on this. It`s a hot issue in the
Congress no doubt.
Coming up, the Senate takes an official stance on climate change. Details
SCHULTZ: All right, tonight`s two-minute drill, outspoken Seattle
defensive back Richard Sherman voiced his opinion about deflate-gate to the
(BEGIN VIDEO CLIP)
RICHARD SHERMAN, SEATTLE SEAHAWKS COUNTERBACK: You know, I`m not sure
anything will come of it, honestly, you know, if it`s sure or it was not
true. You know, I mean, it didn`t have much effect on the game if any, if
it did then, you know, whatever. If it`s against the rules, it`s against
the rules but when you see it`s not going to have any effect on this game.
You know, it`s not going to -- nobody is going to get suspended. Nothing
is going to happen there. You know, they`re going to play this game.
Whatever they did, the risk-reward was greater. You know, they were trying
to suspend Marshawn for gold shoes and that really affects the game.
(END VIDEO CLIP)
SCHULTZ: Sherman was referring to Seattle teammate running back Marshawn
Lynch who was told not to wear gold cleats for last weekend`s game.
Lynch`s gold shoes did violate the NFL`s uniform code.
We`ll be right back.
SCHULTZ: And finally tonight, on Wednesday U.S. Senate, they voted whether
to approve a resolution stating, "Climate change is real and not a hoax."
The vote was 98 to 1 in favor all onboard. Ed Show wants to congratulate
the lone naysayer, Senator Roger Wicker, Republican from Mississippi. You
are officially the most significantly ignorant member of the United State
You know, Senator Jim Inhofe not only voted yes but cosponsored amendment.
Inhofe authored the book, "The Greatest Hoax: How the Global Warming
Conspiracy Threatens Your Future". Sounds hopeful until Inhofe gave his
(BEGIN VIDEO CLIP)
SEN. JIM INHOFE, (R) OKLAHOMA: And Mr. President, climate is changing and
climate has always changed and always will. There is archaeological
evidence of that. There is biblical evidence of that. There is historical
evidence of that. It will always change.
The hope is that there are some people who are so arrogant to think that
they are so powerful they can change climate. A man can`t change climate.
(END VIDEO CLIP)
SCHULTZ: The outcome of the vote does not mean the science deniers have
finally come around to logic. There`s deceitful politics in play here
folks. When asked to say whether they agreed human activity significantly
contributes to climate change, only five Republicans accepted that reality.
Meaning 91 percent of Republicans on the Senate are in denial.
A Republican filibuster killed that amendment but at least we got those
names on record.
Joining me tonight, Senator Bernie Sanders, Independent from Vermont.
Senator, good to have you with us.
You were quoted calling these votes, "a step forward for Republicans." How
SEN. BERNIE SANDERS, (I) VERMONT: Well, it`s the first time that we at
least have some Republicans, although just a handful acknowledging what the
scientific community is telling us over and over again, that climate change
is real, that it is cause by human activity and that is already causing
But just a few moments ago and I authored an amendment which said those
things and said that based on what the scientists are telling us, we need
to transform our energy system away from fossil fuel and into energy
efficiency and sustainable energy as quickly as we can.
Do you know how many Republican votes I got for that one? Zero, not one.
So the issue here in the Senate is whether we listen to the scientists and
the people who know the most about the issue or whether you listen to the
powerful special interest and the campaign contributors who want to tell us
that science, that climate change is not real. We really don`t have to
worry about it. We can continue to burn fossil fuel.
SCHULTZ: So, Senator when we`re looking at this, the Keystone amendment
was just tabled as you just said and a vote was 56 to 42. So, this
wrangling that`s going on in the Senate over Keystone back and fourth all
week long on a number of different things. Doesn`t the Senate understand
that no matter how the vote goes this pipeline cannot be built, that there
are still legal issues in Nebraska that are going to play out probably
another two, two and a half years on imminent domain?
Isn`t the Senate just wasting their time on this?
SANDERS: Well, I think the answer to your question is yes. And then on
top of that, the President has said he`s going to veto it, and then don`t
have the votes to overwrite the veto.
But Ed, for these guys, the Keystone Pipeline has become a symbol and
that`s what they`re going to fight for. I mean they see this as a major
jobs program, a bill that will provide 35 permanent jobs and several
thousand construction jobs over a period of two years. That`s their idea
for real jobs bill, but they will reject the idea of rebuilding our
crumbling infrastructure and put millions of people to work, that`s a real
jobs program that they rejected.
So this tells us not only that they turned their back on science but they
are not serious in anyway for a real job creation in this country.
SCHULTZ: Yeah, what do you make of Senator Inhofe`s comments on the
SANDERS: I know Jim Inhofe pretty well and he is a very religious guys.
He`s a very honest guy. And what he was saying is look, yes climate change
is taking place but not because of human activity. It has taken place
historically. There are references to it in the bible but it is not being
SANDERS: ... carbon emission and human activity.
SCHULTZ: And one more point, Hillary Clinton was in Winnipeg, Manitoba,
she refused to take a position on Keystone. What`s your reaction to that?
SANDERS: I think that`s unfortunate. I think this is an enormously
important issue and it tells us whether or not we`re going to change cost
in terms of our energy policy and move away from fossil fuel or whether we
continue the same old very, very dangerous way and remain dependent in this
case on some of the dirtiest oil in the planet.
SCHULTZ: Senator Bernie Sanders, good to have with us tonight sir. Thanks
And that is the Ed Show, I`m Ed Schultz.
"PoliticsNation" with Reverend Al Sharpton starts right now. Good evening,
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