Drugmakers sue Biden administration Netflix reports earnings more Prime Time with John Dickerson
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00:00 (upbeat music)
00:02 - Welcome to CBS News Primetime, I'm John Dickerson.
00:11 To win the Powerball jackpot, buy a ticket.
00:14 To win the Civil War gold coin jackpot,
00:16 dig in the backyard.
00:17 One Kentucky man found hundreds there,
00:20 a hidden treasure worth millions.
00:22 But first, these stories.
00:24 - I didn't know practically what a subpoena was
00:27 and grand juries and all of this.
00:29 Now I'm like becoming an expert.
00:31 - The hidden case against Donald Trump
00:33 is revealed in three statutes,
00:35 found in the letter targeting the former president.
00:38 - He knows and his lawyers know
00:40 these are serious charges already.
00:42 - Drug makers try to protect their treasure,
00:46 suing to stop government efforts to lower prices.
00:49 - When the advent of streaming was introduced,
00:53 the business model changed radically.
00:56 - And Netflix earnings are in.
00:58 - How the streamer at the center
01:00 of the entertainment company churn is doing.
01:02 But we begin our report in the nation's fifth largest city
01:08 where temperatures remain dangerously high.
01:11 US climate data shows the average temperature in Phoenix
01:15 for the month of July is normally 106 degrees.
01:19 But just before 11 a.m. Wednesday,
01:21 thermometers were already reading 110 degrees.
01:25 The city, which has more than 1 1/2 million residents,
01:29 has set a record by hitting 110 degrees or more
01:33 for the 20th day in a row.
01:35 CBS News Jonathan Vigliotti
01:37 is braving the heat there for us.
01:39 - Here in Phoenix, first responders are on the move.
01:44 In just 24 hours, heat-related emergency calls jumped 35%,
01:49 from close calls like this one
01:51 to treating this patient showing signs of heat stress.
01:54 - I can tell you that a majority of our calls
01:57 that we are going on are gonna be medical calls.
01:59 (ambulance siren blaring)
02:00 - The priority for the responding crew
02:02 is bringing a patient's body temperature down fast
02:05 using ice-cold intravenous fluids.
02:08 - So what you can see here is we have IV bags
02:11 that we throw in ice, right?
02:14 So we have several of 'em.
02:15 I mean, this, we could use two of these for one call.
02:18 We also have these two, which are very nice.
02:21 We'll put these around the necks.
02:22 We'll put these in the groin.
02:23 We'll put them underneath the armpits as well.
02:25 - Signs of heat-related illness
02:27 include dizziness, nausea, and headache.
02:30 Heat stroke is the most dangerous,
02:32 with warning signs including loss of sweat,
02:35 a rapid pulse, and a body temperature
02:37 of 103 degrees or higher.
02:39 Officials say you should call 911 immediately.
02:43 - Go!
02:44 (people cheering)
02:45 - At the Tumbleweed Day Camp in Los Angeles,
02:47 they're taking extra precautions to keep kids safe,
02:50 making sure the equipment and the campers stay cool.
02:53 - We make it a party.
02:54 So it's sunscreen party.
02:56 Everyone's put on sunscreen together.
02:58 We're doing water breaks.
02:59 We're doing, you know, hydration challenges.
03:02 And so we're doing a lot of preemptive work on that.
03:05 - And Jonathan joins us now from Phoenix.
03:08 Jonathan, Maricopa County officials report
03:11 at least 12 people have died from the heat so far this year.
03:15 Obviously, that number's expected to rise with the heat.
03:17 What can you tell us about those deaths?
03:20 - Yeah, Jon and doctors are telling us
03:23 they do expect those numbers to rise.
03:25 What I find most troubling about the current numbers
03:28 that we have, of those 12,
03:30 one third of the victims were found inside their home.
03:35 It appears they may not have recognized
03:37 the symptoms of heat stroke.
03:39 We mentioned them in our piece,
03:40 nausea, dizziness, confusion.
03:42 Again, it's critical to call 911
03:44 if anyone in this extreme heat
03:46 is experiencing those symptoms.
03:48 - And meteorologists haven't been able to say
03:51 when or how long, when the heat's gonna break,
03:53 how long this could last.
03:54 What's the, how are people preparing for the long haul?
03:57 - People here in Phoenix, they're used to extreme heat,
04:01 especially in the summer,
04:02 but everyone we have spoken with
04:04 says they have never experienced heat like this.
04:07 For the most part, they're doing what they normally do
04:09 under these extreme conditions
04:10 and what officials are encouraging them to do,
04:12 to stay inside with air conditioning.
04:15 If you go outside, don't exert yourself.
04:17 Have plenty of hydration.
04:18 There are also cooling stations set up around the city,
04:21 open around the clock for anyone without access to AC
04:25 to go ahead to go in and get that much needed relief.
04:28 - Jonathan Vigliotti in Phoenix.
04:30 Thank you very much, Jonathan.
04:32 - Thank you.
04:33 - In the Southeast, it's the storms that are causing mayhem.
04:37 Torrential rain has submerged part of Western Kentucky
04:40 and a tornado Wednesday turned over on North Carolina town.
04:44 CBS News senior national correspondent,
04:46 Mark Strassman has the latest.
04:48 - Is it coming this way?
04:51 - It was.
04:52 A gathering storm approaching Rocky Mount, North Carolina.
04:55 - Oh my God, dude.
04:57 - It's noontime fury leaving a debris trail
05:00 by some estimates stretching two and a half miles wide.
05:04 The tornado ripped into this Pfizer manufacturing plant,
05:07 shearing off the roof.
05:09 - Yeah, it was real fast.
05:10 Yeah, I ain't never seen nothing like this in person.
05:12 - In Dorches, North Carolina, residential
05:14 and ruined in stretches.
05:17 - It was bad for maybe a minute and it was over.
05:21 - Neighboring Kentucky's weather worry, flooding.
05:25 Here's Justin Michaels with our partners
05:27 at the Weather Channel.
05:28 Here in Western Kentucky, the water came in fast and furious.
05:32 Just outside the city of Mayfield,
05:34 what is expected to be a new 24 hour rainfall record
05:38 for the state with over 11 inches.
05:40 Residents here are still coping from the devastating
05:43 and deadly tornado that ripped through the region
05:46 less than two years ago.
05:47 - So it is a known flood risk area,
05:50 but like I said, it came so quickly.
05:53 - And what that nearly a foot of rain did here
05:55 in Mayfield, Kentucky over the course of 24 hours
05:57 was flood out cars and garages,
06:00 even a home through those trees.
06:02 And looking over here, the Mayfield Elementary School
06:05 now surrounded by water
06:06 and there is more rain in the forecast.
06:09 Back in Dorchest, North Carolina, the message, resilience.
06:14 - Life is precious, materials, things come and go.
06:17 We will rebuild.
06:20 - The National Weather Service says it was an EF2 tornado
06:23 with winds up to 135 miles per hour.
06:26 John, that's very rare for North Carolina this time of year.
06:30 - Mark Strassman, thank you.
06:32 For more on the flooding and severe heat around the country,
06:35 here's meteorologist Jackie Jarris
06:37 from our partners at The Weather Channel.
06:39 Jackie Jarris, we will get back to,
06:50 but CBS News moving on has learned more details
06:53 about a target letter sent to Donald Trump informing him
06:56 he's the subject of a Justice Department investigation
06:59 into efforts to overturn the 2020 election.
07:03 A senior Trump source confirmed the letter highlights
07:06 three federal statutes, including potential charges
07:09 of conspiracy to commit an offense
07:11 or to defraud the United States.
07:14 CBS News congressional correspondent Scott McFarlane
07:16 has more.
07:18 - We have prosecutors that are evil people.
07:20 These are evil people.
07:22 - Former President Trump lashed out
07:24 at special counsel Jack Smith
07:25 and posted a video rallying supporters to join him.
07:28 - We will throw off the sick political class
07:31 that hates our country.
07:33 - With a potential criminal indictment looming,
07:35 CBS News has learned the target letter Smith sent to Trump
07:38 cites several possible charges,
07:40 including conspiracy to defraud the US,
07:42 deprivation of rights under color of law,
07:45 which applies when someone uses power
07:46 to deny constitutional rights,
07:48 and witness tampering and obstruction
07:50 of an official proceeding,
07:52 the January 6th electoral count certification.
07:55 - This goes to the top of the most serious charges
07:58 that the former president will face.
07:59 This is of a constitutional dimension.
08:02 We've never seen anything like this
08:04 in the history of our country.
08:05 - The obstruction count was used against
08:09 more than 300 defendants in the Capitol riot.
08:11 The DC grand jury probing Trump's actions is still at work.
08:15 The special counsel recently contacted
08:16 Arizona's former governor, Doug Ducey,
08:19 who Trump allegedly called in the aftermath of the election
08:21 to pressure him to overturn the results.
08:24 The former president's allies said he faces an uphill climb
08:27 if charged in Washington.
08:28 - Why do you think Donald Trump can't get a fair trial
08:30 in the District of Columbia?
08:32 Why is that?
08:33 - Well, he got 5% of the vote.
08:35 You can indict a Republican for almost anything
08:37 and get convicted in this city.
08:39 - I don't think a jury can put the politics aside
08:41 and say, "Here are the facts."
08:42 - No.
08:43 - Scott McFarland joins me now.
08:46 We'll get to those comments in a second, Scott.
08:48 But part of the target letter highlights
08:50 the possibility of charges of obstruction of proceedings,
08:53 a charge many of the January 6th rioters have faced,
08:55 and you've covered so many of those trials.
08:58 What are those cases that contain that charge?
09:01 How do those go, and have you seen any connection
09:04 in those cases with former President Trump?
09:07 - Those cases have been consistent, John.
09:10 As you mentioned, more than 300 January 6th riot defendants
09:15 have been charged with that very obscure federal crime,
09:18 obstruction of an official proceeding,
09:20 the January 6th electoral certification count.
09:24 They've all gone through federal judges
09:27 and through courtrooms with these cases,
09:28 and not one judge has stopped or said,
09:32 "There's just not enough evidence
09:33 "that this person was part of something
09:35 "that obstructed an official proceeding."
09:37 Not in a way that ruled the day
09:39 or that could give a future defendant on those charges
09:43 something to grasp onto and say,
09:44 "Look, there's precedent that this charge doesn't stick,
09:47 "that this case doesn't hold."
09:49 So that's a warning, a red flag for the former president
09:52 if that's a charge he faces.
09:54 There's so much muscle memory in this courthouse
09:56 for that obscure U.S. code violation,
09:59 the obstruction of an official proceeding.
10:01 - Going back to what Senator Lindsey Graham said,
10:04 he and his remarks to you suggested
10:05 that this was some frivolous charge with no merit to it.
10:08 But of course, Senator Graham was among the many
10:11 members of Congress who were quite shaken
10:13 and in fact tied the events on January 6th
10:16 to the former president.
10:18 Does the fact that many of them were there on January 6th
10:22 change their defense of the former president?
10:25 They've defended him on many of these other charges,
10:27 but this one would seem to be different, is it?
10:29 - Few things are more consistent in life, John,
10:35 than Republican reaction on Capitol Hill
10:37 to a Trump criminal problem.
10:39 It has been impermeable.
10:41 The support Republicans have shown Donald Trump,
10:43 the consistency with which they call any prosecution
10:46 or investigation a weaponization
10:48 of the Department of Justice
10:49 or the tools of the federal government
10:51 to take out Trump politically ahead of the 2024 election.
10:54 That hasn't changed.
10:55 Based on the revelations, he has a target letter now
10:58 and is likely to face charges for January 6th,
11:00 just like it didn't change
11:01 after the charges were filed in Miami
11:03 or the charges were filed in Manhattan.
11:05 There's no indication politically
11:07 any of that's gonna change.
11:08 Now, what skin in the game do members of Congress have
11:10 beyond either championing
11:12 or criticizing the former president?
11:14 It's always possible members of Congress
11:16 have something to say about a case filed on January 6th.
11:19 I haven't seen one of them walk into this courthouse
11:21 to testify at a January 6th defendant's case.
11:24 Not one of them's come in to give a victim impact statement,
11:27 even though they were all to a degree victimized,
11:29 some acutely so.
11:31 Maybe that changes if the defendant's Donald Trump
11:34 and he's the one in the courtroom.
11:36 - And then finally, I wanna ask you,
11:38 so the special counsel's target letter says
11:41 that former president Trump is being investigated
11:43 for deprivation of rights under color of law,
11:47 which is a term of art that's interesting.
11:49 Why is that different than the potential charge
11:52 of conspiracy or obstruction, that color of law language?
11:55 - That's a Justice Department phrase.
11:59 It's actually obviously US code
12:00 and a violation to violate that code.
12:04 But it really relates to officials.
12:07 Think police officers, sheriff's deputies,
12:09 local, state, and federal government officials
12:11 depriving somebody over whom you have authority
12:14 of their rights.
12:15 There's any number of directions
12:17 Jack Smith could go with that.
12:18 And it's dangerous to speculate to a degree,
12:21 but we know it speaks to officials.
12:23 And if nothing else, John,
12:24 it underscores a significant point here.
12:27 This is a former president poised to be charged
12:30 by the federal government for deprivation of rights.
12:34 It's been historic from the start,
12:35 but this really underscores the magnitude of the history
12:38 that's about to be made, if not imminently,
12:40 at the federal courthouse here in Washington.
12:42 - Former president asking to have those powers again
12:46 if he's reelected.
12:47 Scott McFarland in Washington.
12:48 Thank you, Scott.
12:49 Two IRS whistleblowers appeared on Capitol Hill Wednesday
12:56 to testify about the federal probe into Hunter Biden.
12:59 The president's son agreed last month to plead guilty
13:02 to two misdemeanor tax crimes
13:04 and a charge related to his possession of a firearm.
13:08 But in an exclusive interview,
13:10 the lead case agent tells our Catherine Herridge
13:13 that he believes more serious charges are warranted.
13:17 - Do you solemnly swear-
13:18 - A special agent, Joseph Ziegler,
13:20 is a 13-year veteran of the IRS, a registered Democrat,
13:24 and until now, a confidential whistleblower.
13:26 - I do.
13:27 - Today, he publicly testified about his role
13:29 investigating the president's son, Hunter, for tax crimes.
13:33 - I'm the main case agent.
13:34 I worked 95% of this tax investigation.
13:38 So nice to meet you.
13:40 - In an exclusive interview with CBS News,
13:42 Ziegler told us he believed the evidence he gathered
13:45 during the five-year probe
13:47 supported multiple felony and misdemeanor counts,
13:50 including allegations Hunter Biden
13:52 wrote off personal expenses as business payments.
13:55 - Hotels he was blacklisted from,
13:57 payments that were made to escorts,
13:59 payments that are made to no-show employees.
14:02 - Ziegler said he drafted this memo
14:04 recommending Justice Department prosecutors
14:06 charge Hunter Biden accordingly.
14:08 But he said the Trump-appointed US attorney,
14:10 David Weiss, told him there was resistance
14:12 to pursuing some of these charges
14:14 by other officials at the Justice Department.
14:16 - It's a matter of, are we treating all taxpayers the same?
14:20 - And in this case?
14:22 - And in this case, no, I don't think so.
14:24 - Today, Democrats pushed back
14:26 on claims of preferential treatment.
14:28 - There is no evidence that Hunter Biden
14:30 has received any kind of official favoritism
14:33 in this prosecution for being Joe Biden's son.
14:36 - But Ziegler described to CBS News a series of roadblocks
14:40 that included his efforts to interview
14:42 Hunter Biden's adult children
14:44 about the legitimacy of his tax deductions.
14:47 - What did the assistant US attorney tell you?
14:49 - That that's gonna get us into hot water.
14:52 - Ziegler also told us prosecutors would not sign off
14:55 on pursuing lease that might involve President Biden.
14:58 - Any time we potentially wanted to go down the road
15:02 of asking questions related to the president,
15:05 it was, that's gonna take too much approvals.
15:08 We can't ask those questions.
15:10 - It's a politically sensitive case.
15:12 Wouldn't it require additional approvals?
15:14 - Yes, I do understand that, but it would be like,
15:16 well, let's think about it,
15:17 let's put that on the back burner,
15:19 and it would now move down to item number 50.
15:23 - This probe was ongoing during the 2020 election
15:26 when Justice Department policy
15:27 limited some investigative steps.
15:30 The US attorney in Delaware told Congress twice
15:32 he had the ultimate decision-making authority.
15:35 President Biden has consistently denied involvement
15:38 in his son's business deals.
15:39 And Hunter Biden's legal team said any claim
15:42 the probe wasn't thorough is, quote, "preposterous."
15:45 CBS News asked the whistleblower, Agent Ziegler,
15:49 what he hoped to accomplish,
15:50 and he said he wanted to see a justice system
15:53 where politics and money don't have influence,
15:56 and he said he was coming forward a great personal risk
15:59 to his career at the IRS.
16:01 John.
16:02 - Katherine Harridge in Washington.
16:04 - Thanks very much, Katherine.
16:05 Top pharmaceutical companies are suing.
16:08 Now three drug makers think they can stop
16:10 the Biden administration plan
16:11 to lower the cost of prescription drugs.
16:14 Plus, an alleged plot to subvert the will of the people
16:18 in the 2020 election.
16:19 Michigan Republicans pretended they were electors.
16:22 Now they face felony charges.
16:24 You're streaming CBS News Prime Time.
16:26 Events in California offered a snapshot
16:32 of America's debate over immigration.
16:34 Tuesday evening, a bus carrying migrants
16:37 arrived in Los Angeles from Texas,
16:39 sent by its governor,
16:40 who says administration policies are too lax.
16:44 Wednesday, immigrant rights groups
16:46 said those policies are too harsh,
16:47 arguing before a California judge
16:50 that by denying asylum to most migrants
16:52 who don't use a government app
16:54 or first seek protection in another country,
16:57 the administration breaches existing asylum laws.
17:01 (dramatic music)
17:04 The CDC has some alarming new data out about deaths
17:11 due to mixing drugs.
17:13 The agency found in 2021,
17:15 nearly 80% of cocaine overdose deaths involved opioids.
17:20 66% of deaths related to psychostimulants,
17:24 such as meth, also involved opioids.
17:27 The agency did not indicate which opioids were used,
17:30 but we can surmise many involved fentanyl.
17:33 The CDC says more than 150 people die every day in America
17:38 from overdoses related to synthetic opioids like fentanyl.
17:43 A centerpiece of President Biden's signature legislation,
17:46 the Inflation Reduction Act,
17:48 allows Medicare to negotiate lower prescription drug prices
17:51 for seniors.
17:52 Drug companies are fighting back in court.
17:55 We told you Tuesday that Johnson & Johnson filed suit.
17:58 Drug maker Merck also sued in June,
18:01 followed by Bristol-Myers Squibb a couple of weeks later.
18:04 All three companies argue the law violates
18:06 their company's First and Fifth Amendment
18:10 constitutional rights.
18:12 Let's bring in Harry Nelson for more.
18:14 He's the founding and managing partner at Nelson-Harteman.
18:18 Harry is also author of "From Obamacare to Trumpcare,
18:22 "Why You Should Care."
18:24 Harry, what exactly, let's start,
18:27 what exactly does the Inflation Reduction Act actually say
18:30 when it comes to this issue of negotiating drug prices?
18:33 - Yeah, so the Inflation Reduction Act,
18:36 which passed last August,
18:39 basically allowed for the first time Medicare
18:41 to negotiate drug prices,
18:43 starting this coming year with negotiations
18:46 over up to 10 drugs,
18:49 with prices taking effect in 2026.
18:51 And then over the coming years,
18:53 that will expand to 20 drugs and eventually more drugs.
18:56 And the point was to go from a system
18:58 in which Medicare just has to take a certain formula
19:01 that pays drug companies well
19:04 to actually allowing Medicare to negotiate.
19:06 - And the lawyers for these companies say these drug,
19:09 for the drug, these drug companies say the IRA,
19:12 Inflation Reduction Act's provisions,
19:14 violates their First and Fifth Amendment rights.
19:17 What's their case?
19:18 And, well, let me just stop there.
19:20 What's their case?
19:22 - Well, the drug companies are advancing
19:25 a whole series of theories.
19:27 There's a First Amendment claim
19:28 that being forced to negotiate or face significant penalties
19:33 is gonna amount to a impingement
19:35 on their right of free speech,
19:36 that they're being forced,
19:38 compelled to negotiate, compelled to speak.
19:41 They're making also an argument
19:42 that this violates their patent rights
19:45 and the system that's been negotiated
19:46 to ensure that they have profits,
19:48 that encourage them to innovate.
19:50 And finally, they're making arguments
19:51 that this is a violation of separation of powers
19:54 and that the administration, the Medicare program,
19:57 which is part of the executive branch of the government,
19:59 essentially has too much power as a result of this new law.
20:04 - And so what's the Biden administration
20:06 likely to push back against this?
20:08 What are they likely to say to those arguments?
20:10 - Well, I frankly, I think the Biden administration
20:13 is gonna say this law passed both houses of Congress.
20:16 This was not something that was like an executive order
20:20 or unilateral decision of the administration.
20:22 This was a law that passed Congress.
20:25 It had good reason given that Medicare is spending
20:28 over by last count, at least $220 billion per year
20:33 on Medicare drugs.
20:35 And that this is a reasonable step, right?
20:39 The United States is very unusual in the world
20:41 in refusing to allow drug companies,
20:44 refusing to allow the government
20:45 to negotiate with drug companies.
20:46 So the Biden administration, I think, frankly,
20:49 is gonna have the upper hand in these discussions.
20:52 The drug companies are very, very unhappy about this
20:55 and they're advancing creative arguments,
20:56 but these are not arguments that have ever succeeded
21:00 in any past case.
21:02 - Is the Veterans Administration
21:04 and the way they negotiate drug prices relevant
21:06 in this instance?
21:07 - Not at first.
21:09 At the beginning, for the present time,
21:12 this law is only going to apply to Medicare Part D,
21:15 the prescription drug benefit that took place in 2006.
21:20 And this won't affect the Veterans Administration,
21:23 at least for the initial years.
21:24 It's possible, and if this is successful,
21:26 that this could be easily expanded
21:28 to apply to veteran drug prices as well.
21:32 - And Harry, do we have any sense of how this plays out?
21:35 I mean, for those who are on Medicare
21:38 and who might be wanting to see some,
21:40 or just reducing costs of drug under Medicare now,
21:44 how this might play out?
21:45 - Well, yeah, I think this is gonna be,
21:48 it's gonna be very interesting.
21:49 We're starting again with a very small list of drugs,
21:52 mostly some anti-diabetes drugs, some blood thinners,
21:55 a number, a very limited set of drugs
21:59 that are wildly profitable.
22:01 My belief is that the pharmaceutical industry
22:05 is definitely gonna continue to make a lot of noise
22:08 about how this is hurting its profits.
22:10 We can see that the stock market is responding to that fear,
22:15 but I suspect that this is eventually gonna become
22:19 part of the system, and frankly,
22:21 that there's a lot of room for drug companies
22:23 to still do very well, producing important drugs
22:26 that are saving lives and improving health.
22:28 But this is just a difficult,
22:31 it's a difficult thing to get over
22:32 when you haven't had to negotiate to be forced to,
22:34 but that eventually this will become
22:37 a normalized part of our healthcare system,
22:39 and hopefully bring prices down.
22:41 - Harry Nelson, author of "From Obamacare to Trumpcare,
22:45 Why You Should Care."
22:46 Thank you.
22:47 - Thanks so much.
22:48 Thanks for having me on, John.
22:50 - Facebook's parent company, Meta,
22:51 has made its newest artificial intelligence model
22:55 named Llama 2 free to use.
22:58 Meta says it's giving users access to tools
23:00 that would be challenging to build themselves
23:03 and allowing developers to stress test the code.
23:06 Llama 2 is going head to head with open AIs,
23:09 free to use, ChatGPT, and Microsoft's Bing,
23:12 but it's unclear if Meta is collecting data
23:15 from Llama 2 users and what it may do
23:17 with that information.
23:19 It's a treasure hunter's dream.
23:21 An anonymous man in Kentucky found a million dollar trove
23:24 of coins in a cornfield.
23:25 More than 700 pieces of Civil War era gold
23:28 were unearthed.
23:29 A collection coin sellers are calling
23:32 the Great Kentucky Horde.
23:34 The expert who authenticated the coins
23:36 believes some may have been buried
23:38 to protect the money from invading Confederate troops.
23:42 The politically divided state of Kentucky
23:43 was the site of many Civil War battles.
23:47 The best finds in the pile are the rare
23:49 gold Liberty Double Eagles, minted in 1863,
23:53 which can be valued at nearly $400,000,
23:55 depending on their condition.
23:58 A woman's story about being kidnapped is under scrutiny.
24:01 What police are now revealing about the case
24:04 of Carly Russell.
24:05 You're streaming CBS News Prime Time.
24:07 Welcome back to CBS News Prime Time.
24:15 I'm John Dickerson.
24:16 Here are some additions to our top stories.
24:19 The Phoenix of myth rises from the ashes
24:23 and would be right at home in the Phoenix
24:25 of the state of Arizona.
24:26 America's fifth largest city topped 110 degrees
24:29 for a record 20th day in a row.
24:32 US officials say private Travis King's sprint over
24:35 to North Korea was merely his most recent impulsive act.
24:39 They say King's 47 days in a South Korean detention facility
24:43 where he did hard labor was for assaulting two South Koreans
24:47 and kicking a police car.
24:50 The president of SAG-AFTRA says the actors union
24:52 is being stonewalled during its strike.
24:55 Fran Drescher told CBS mornings,
24:57 the Alliance of Motion Picture and Television Producers
24:59 is not talking.
25:01 Meanwhile, the Alliance representing
25:03 about 1500 theater workers could also vote to strike
25:06 after failed negotiations.
25:08 Michigan's attorney general announced
25:11 felony criminal charges Tuesday
25:13 against 16 Republicans accused of taking part
25:16 in a scheme to overturn president Biden's election victory.
25:20 In a typical election, voters head to the polls
25:22 and the winning candidate gains
25:24 that state's electoral college votes.
25:27 In Michigan, the political party of the winner
25:29 designates a group of individuals as electors
25:32 who report the results to the federal government
25:35 on January 6th.
25:37 Joe Biden won Michigan by 150,000 votes.
25:40 Donald Trump lost the state,
25:42 but prosecutors say the 16 Republicans sent a letter
25:45 to federal officials claiming they were the real electors
25:49 and that Trump had won.
25:51 Earlier, Michigan's secretary of state told CBS News,
25:54 these charges are a win for everyone.
25:56 So I hope all voters can see this as an act of protection
26:01 for every citizen in our state to make sure
26:03 that no matter who they vote for or who they support,
26:06 that the winner, the right and duly elected winner
26:09 of an election is the one who we will legally be bound
26:12 to support.
26:13 - Let's bring in Clara Hendrickson.
26:15 She is a politics reporter for the Detroit Free Press.
26:19 Clara, you actually spoke with some of these individuals
26:22 before the 2020 election.
26:23 Could you start by giving us a sense of the kinds of folks
26:27 we're talking about and the roles they had
26:29 in the Republican Party?
26:30 - Sure.
26:32 So first of all, this is sort of an interesting mix
26:36 of individuals.
26:37 We have a group of prominent Republican Party leaders
26:41 who are facing charges, including the former co-chair
26:44 of the Michigan GOP and a Republican National Committee
26:47 woman, as well as some local officials,
26:50 a mayor of a small Michigan city, a township clerk
26:53 who's actually in charge of administering elections
26:55 in their community, a school board member.
26:58 And then many of these folks are just ardent
27:00 Trump supporters who became really animated
27:03 to get involved with party politics
27:05 when he first ran for office.
27:07 So I spoke with most of these people ahead
27:09 of the 2020 election and they really cast
27:12 that year's presidential race in really stark terms,
27:15 describing it as a kind of matter of national survival.
27:19 And many of them expressed a sense that it would be an honor
27:22 and a privilege to get to cast
27:23 the state's electoral college votes
27:26 in the event of a Trump victory.
27:28 And now they're facing federal or state criminal charges
27:31 from the attorney general for their alleged actions
27:34 in a scheme to overturn Michigan's election.
27:37 - And when you spoke with them,
27:39 did you talk to them after the results were in?
27:41 In other words, did they believe that thoroughly
27:45 that President Trump had won and that this was perfectly,
27:48 a perfectly reasonable thing for them to do?
27:50 - Well, many of them ended up participating in efforts
27:54 to fight the results of that election.
27:56 So there was a group of them, three folks who filed
28:00 a lawsuit to try to overturn the election that was rejected.
28:04 And then they allegedly went on to meet in the basement
28:07 of the Michigan GOP headquarters to sign a fake certificate
28:10 of electors and submit that to federal authorities.
28:14 - And what's been the response
28:15 from the current Republican Party of Michigan
28:19 to all of this?
28:20 - So the state Republican Party shared via Twitter
28:24 an unattributed statement, basically denouncing Nessel
28:28 for announcing these charges and accusing her
28:31 of having authoritarian tendencies,
28:34 vowing to deploy activists as needed.
28:38 And this is sort of the kind of rhetoric we saw a lot
28:41 in the last election cycle, last two election cycles
28:44 from Republican Party leaders.
28:45 So it's not surprising.
28:47 And Nessel did try to preempt political attacks
28:50 against her charging decisions by basically saying
28:54 that she has a duty to act in the face
28:56 of what she calls overwhelming evidence
28:58 of criminal activity.
29:00 - And what is the, is there a separation
29:04 within the Republican Party between officials,
29:06 lawmakers, those who are elected,
29:08 and the party that might issue such a response
29:13 as they did there?
29:14 Do they see this exactly the same way
29:17 or is there a difference between the real party stalwarts
29:21 and those who just happen to be Republicans?
29:23 - So we're sort of increasingly seeing this disconnection
29:28 between the formal state party apparatus
29:30 and Republicans who are trying to launch an effort
29:35 to wrest control of the state legislature from Democrats.
29:39 And I'm sure we'll continue to see that play out.
29:42 So far, we haven't heard a ton from GOP legislative leaders,
29:46 but we did get a statement from the House Minority Leader
29:49 in the State House basically saying he's focused
29:51 on election law changes that have been recently signed
29:55 into law and says it's up to Nessel to basically prove
29:59 that these charges aren't politically motivated.
30:02 - Clara Hendrickson, politics reporter
30:03 with the Detroit Free Press.
30:05 Thanks so much.
30:06 - Thanks for having me.
30:09 - Authorities say an Alabama woman's story
30:12 about being kidnapped last week is not holding up.
30:15 Lili Luciano gives us an update on the case.
30:18 - Tonight, police provide some answers
30:21 to the many questions that followed a bizarre story
30:23 of abduction in Birmingham when Carly Russell disappeared
30:27 after making an alarming call to 911.
30:29 - I am on Interstate 459,
30:33 and there is a kid just walking by their cell.
30:37 - Her family says she was on the phone
30:38 with her sister-in-law who says they heard her scream.
30:41 - We pretty much know exactly what took place
30:43 from the time she left work until she got on the 911 call,
30:47 and we can see getting out of the car on the interstate
30:51 from that footage, and after that, I think she only knows.
30:55 - She told police that the orange-haired man
30:57 had kept her in the back of an 18-wheeler.
30:59 Police say during the investigation,
31:01 it was revealed that she had made
31:02 questionable internet searches days and hours
31:05 before vanishing, including about
31:07 the Hollywood kidnapping thriller "Taken."
31:10 - I will look for you.
31:12 I will find you.
31:13 - On July 11th at 7.30 a.m.,
31:17 the term "Do you have to pay?"
31:20 for an Amber Alert was searched.
31:22 Russell's disappearance prompted a statewide two-day search.
31:26 Police say Russell eventually walked home,
31:28 was treated at a hospital, and released.
31:30 Hoover PD is still investigating
31:32 and want to question Russell some more.
31:35 Today, the police announced that they are yet
31:37 to find any evidence that there was
31:38 a wandering toddler or a kidnapper.
31:42 John.
31:42 - Lily Luciano, thank you.
31:44 Israeli President Isaac Herzog addressed Congress Wednesday,
31:49 a day after 10 House Democrats refused
31:52 to back a resolution expressing support for the country.
31:56 Those Democrats concerned about Israel's treatment
31:58 of Palestinians boycotted his speech on the House floor.
32:01 Herzog's speech and visit were focused
32:04 on highlighting the foundations
32:06 of the United States-Israel relationship,
32:08 which has come under strain recently.
32:11 - Our collaborative capabilities,
32:13 coupled with our mutual beneficial partnership,
32:17 are the key to the future of our children.
32:19 To us, it is clear that America is irreplaceable to Israel,
32:24 and Israel is irreplaceable to America.
32:27 (audience applauding)
32:29 - Many leaders, including President Biden,
32:31 have expressed concern over Prime Minister
32:34 Benjamin Netanyahu's plan to overhaul
32:36 Israel's judicial system,
32:38 a plan that has been met with protests.
32:41 Many say it would weaken the Supreme Court's ability
32:43 to check government power,
32:45 and therefore put democracy at risk.
32:48 Despite criticisms of the plan, lawmakers applauded
32:50 Herzog's assertion during his address
32:52 that Israel's democracy remains strong.
32:55 Wednesday marked the first day in court for several women
32:59 who were suing the state of Texas over abortion.
33:02 They say the state's restrictive law meant
33:04 they were unable to terminate pregnancies
33:06 that either posed health risks or weren't viable.
33:10 CBS News correspondent Janet Chamleon has more from Houston.
33:14 - The state doesn't care about the lives
33:17 of their constituents.
33:18 - Emotional testimony from women in a Texas courtroom today,
33:21 saying the state's abortion ban put their lives in danger.
33:25 - I had just been given the worst news of my life,
33:28 and I was terrified.
33:32 - Amanda Zuroski said she was denied an abortion
33:34 when her water broke at 18 weeks.
33:37 She developed sepsis and nearly died.
33:39 - Was Willow alive when you delivered her?
33:41 - No.
33:43 - The Center for Reproductive Rights filed the suit
33:46 on behalf of 13 women who claim
33:48 they were denied emergency care
33:50 due to the state's abortion laws.
33:52 - The law does not take cases like mine into consideration.
33:57 - Ashley Brandt was pregnant with twins.
34:00 When one was diagnosed with a fatal birth defect,
34:02 she says she had to go out of state
34:04 to terminate the pregnancy.
34:06 - I don't feel safe to have children in Texas anymore.
34:09 I know that it was very clear
34:13 that my health didn't really matter,
34:16 but my daughter's health didn't really matter,
34:18 and that's heartbreaking.
34:21 - Texas is among 15 states that don't allow abortions
34:24 for a fatal fetal anomaly.
34:27 Rebecca Weaver is with Texas Right to Life.
34:30 - Certainly, these stories from these women
34:32 are heartbreaking and tragic,
34:34 but our view is that the law is fine as it is
34:37 and doesn't need to be changed.
34:39 - So the state wants the case dismissed.
34:41 It says that the plaintiffs are unhappy
34:43 with the medical care that they received
34:44 and that they also oppose the Texas abortion law.
34:48 The hearing is scheduled to continue
34:49 in Austin through tomorrow.
34:51 John?
34:52 - Janet Chamleon in Houston, thank you.
34:55 Stanford University President Mark Tessier-Levine
34:58 announced his resignation Wednesday
35:00 following concerns about the integrity of his research.
35:04 It follows a review by the Board of Trustees
35:06 into allegations his lab manipulated data
35:10 and that he took insufficient steps
35:12 to correct research mistakes.
35:14 The allegations began on PubPeer,
35:16 a website for publishing and discussing scientific work,
35:19 but they resurfaced after the student newspaper,
35:23 the Stanford Daily, published a series of articles
35:25 questioning Tessier-Levine's work.
35:28 He will step down August 31st
35:30 after being president for seven years,
35:32 but will remain on faculty as a biology professor.
35:36 Wesleyan University announced Wednesday
35:39 it will end admissions preferences for legacy applicants.
35:43 The Connecticut school's decision mirrors actions
35:46 at institutions including MIT, Johns Hopkins,
35:49 and the University of Colorado.
35:52 A recent poll published by INAXIOS
35:54 found that 75% of surveyed college students
35:58 and recent graduates believe preference for legacies
36:01 is not fair.
36:02 The practice has also come into question
36:05 since June's Supreme Court decision
36:07 ending affirmative action in college admissions.
36:10 As various strikes shake up the entertainment world,
36:14 Netflix has released its latest earnings.
36:17 We'll break down the profits
36:18 and the new policies driving them.
36:21 You're streaming CBS News Prime Time.
36:23 (upbeat music)
36:37 With compensation from streaming platforms
36:40 front and center in actor and writer strikes,
36:42 Netflix reported its latest earnings.
36:45 The company posted $8.2 billion in revenue
36:49 and 5.9 million new subscribers for the second quarter.
36:53 The company has also decided to end
36:55 its cheapest ad-free option for new or returning subscribers
36:59 in the United States and the UK.
37:01 They will now have to pay $5.50 more
37:04 for the ad-free service.
37:06 To help us explain these numbers,
37:08 what they mean for the industry
37:10 and for these strikes that's going on is Nicole Sperling.
37:13 She's a media and entertainment reporter
37:15 for the New York Times.
37:16 So Nicole, what jumps out at you
37:19 from these numbers that Netflix announced today?
37:22 - I mean, it's definitely a strong quarter.
37:25 There's no way around that.
37:27 They added close to 6 million subscribers,
37:30 which is great considering where they were
37:31 a year ago at this time.
37:33 And they increased both their revenue and their profits.
37:37 Most of that was done by their efforts
37:39 to crack down on password sharing,
37:41 which they had said was accounting
37:46 for close to 100 million lost accounts
37:51 that they couldn't account for.
37:53 So the fact that they added 6 million subscribers
37:56 is showing that the password crackdown is working
37:59 and that people aren't reluctant
38:01 to pay for the Netflix service.
38:04 - And everybody in the entertainment game
38:06 is trying to figure out kind of what Netflix
38:09 seems to have figured out,
38:10 which is A, how to get more subscribers,
38:11 or at least keep the ones you have,
38:13 and then how to make money off them.
38:15 Is that fair to say?
38:16 And is that replicable by anybody else?
38:18 Or is this something only Netflix has been able to do?
38:21 - Well, I think making money off of them is the big news,
38:26 and Netflix has definitely figured it out.
38:28 The thing about Netflix is that's all they do,
38:30 is they're a streaming business.
38:32 They don't have theme parks,
38:34 they don't have linear channels,
38:36 they don't have cable channels.
38:38 And those are the businesses,
38:39 specifically the cable channels and the linear channels
38:41 that are suffering right now because of a soft ad market.
38:44 So they're in a very different situation financially
38:48 than the rest of the media
38:49 and entertainment business right now.
38:51 - And they, but they now have an ad tier
38:55 that you kind of pay for,
38:56 but then you still have to watch ads.
38:58 So that just feels like old fashioned television
39:00 that I grew up with.
39:01 There were ads, but now I'm having to pay for them.
39:03 How does that fit into the new model of things?
39:06 - Well, they wanted to offer a cheaper version
39:09 for subscribers who didn't wanna pay
39:12 what was 1099 at the earlier version,
39:15 which they got rid of, as you pointed out earlier,
39:17 or the 1599, which is the current version.
39:20 So they offered this 699 version.
39:22 People seem to be acclimating to it and signing up for it.
39:26 And there are ads.
39:28 I don't think it's as invasive
39:30 as your linear cable channels
39:34 where you're getting a break every five, 10 minutes.
39:36 I think it's more nuanced than that.
39:39 And budgets have been tightened by consumers
39:43 and that's an option.
39:45 Netflix seems like one of those things
39:46 that's like a utility now where people don't cancel it
39:49 as much as they cancel other streaming services.
39:52 - And how do you think these positive numbers for Netflix
39:55 play into the larger drama of the strikes
39:59 that are going on right now
40:00 and the fingers being pointed at Netflix
40:02 from writers and actors about how they've changed
40:06 the entire dynamics of the industry?
40:08 - Well, I can guarantee that both the WGA and SAG-AFTRA
40:13 were watching these results carefully
40:15 and will likely use them as talking points going forward.
40:18 With $1.5 billion in profit for the quarter,
40:22 I'm sure they're gonna point that number out
40:24 and ask why they can't get more of the pie.
40:27 - And what is the response likely to be
40:29 now that the numbers are in, there's a little more cash,
40:32 is this gonna change the negotiating posture
40:34 on the other side of the table at all?
40:36 - Well, I mean, if we could get the two parties
40:40 or the three parties in this case back to the table,
40:42 we could see what's happening.
40:43 But right now it's a stalemate on both strikes.
40:47 Everyone's out on the picket lines,
40:48 rhetoric is flying all around and people are really angry.
40:51 - Can I just really quickly,
40:53 Netflix at some point has to put things back on the air.
40:56 I mean, how not being at the table at all
40:59 seems unsustainable when you need product
41:02 to go through to people's homes?
41:04 - Well, the traditional studios have been very clear
41:08 that come September, come the end after Labor Day,
41:12 they are gonna be in trouble when it comes to product,
41:14 hitting your television channels,
41:16 hitting the movie theaters, et cetera.
41:18 It's gonna be a problem.
41:20 Netflix on the other hand has this global content strategy.
41:23 They make content all over the world.
41:26 So you may not get stranger things anytime soon,
41:30 but you can get Korean dramas,
41:32 you can get Spanish soap operas,
41:34 and those shows have done really well on their service
41:38 among US audiences and audiences around the world.
41:41 So they are in an advantageous spot
41:43 when it comes to the amount of content they produce
41:46 from all around the world.
41:47 - People will just have to get used to using subtitles.
41:50 Nicole Sperling, media and entertainment reporter
41:52 for the New York Times.
41:53 Thank you so much for being with us.
41:55 - Thank you for having me.
41:58 - It used to cost an average of $152
42:01 to see Miami's pro soccer team.
42:03 Now, Lionel Messi is on the pitch
42:06 and will explain how much those tickets
42:08 could set you back.
42:10 You're streaming CBS News Prime Time.
42:12 (upbeat music)
42:14 (upbeat music)
42:17 Lionel Messi is set to make
42:32 his major league soccer debut Friday
42:35 and the price of admission for fans is a hefty penny.
42:38 According to the site TicketSmarter,
42:41 seats are averaging $712 for Messi's first match
42:44 with Inter-Miami.
42:46 The most expensive tickets are nearly $7,000,
42:49 which will get you box seats
42:51 along the sidelines of the pitch.
42:53 Messi made waves when he decided to play
42:55 in the United States following the footsteps
42:57 of other soccer greats like Pele and David Beckham.
43:01 Christopher Nolan's upcoming film, Oppenheimer,
43:04 is his longest movie to date,
43:06 both literally and physically.
43:08 He says the IMAX reel of the three-hour film
43:12 is 11 miles long.
43:13 That's almost as long as the entirety of Manhattan.
43:17 Getting Oppenheimer on IMAX is, in itself,
43:20 was a challenge.
43:21 The platters that hold the reels during projection
43:24 are barely able to hold the nearly 600-pound reel.
43:29 Nolan recommends seeing Oppenheimer in IMAX
43:32 when it debuts in theaters Friday.
43:36 Up next, it's 48 hours for all of us here
43:38 at CBS News Prime Time.
43:40 I'm John Dickerson.
43:41 That's our report.
43:42 Thanks for spending the hour with us.
43:44 (upbeat music)
43:47 (upbeat music)
43:49 (upbeat music)
43:52 (upbeat music)