WEBVTT

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>> THAT WOULD -- YES, THAT THEY 
KNEW IT WOULD FAIL.             

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>> OKAY.                        
KASIE, HOLD ON ONE SECOND.      

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LET ME BRING IN KELLY O'DONNELL 
OVER AT THE WHITE HOUSE.        

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KELLY, WHAT'S YOUR SENSE FROM   
THE WHITE HOUSE IN THEIR STANCE 

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IN ALL OF THIS, DID THEY SUPPORT
HIM WITHDRAWING?                

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HAVE THEY SAID ANYTHING?        
>> Reporter: WELL, FROM OUR     

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SOURCING HERE, MULTIPLE SOURCES 
IN THE ADMINISTRATION AND THOSE 

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FAMILIAR WITH WHAT THE PRESIDENT
HAS BEEN SAYING AND DOING ON    

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THIS MATTER, THAT THEY COWELL   
SEE THAT THIS PATCHWORK OF      

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PROBLEMS WAS GOING TO PRESENT A 
WALL TOO HIGH FOR ANDY PUZDER TO

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CLEAR A NOMINATION.             
AND THAT IS NOT SAYING THAT ANY 

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ONE THING WAS THE DETERMINING   
FACTOR, BUT AS KASIE LAID OUT,  

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WHEN YOU HAVE COMPLEX ISSUES, IT
BECOMES A POINT WHERE IT IS JUST

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TOO GREAT A RISK, TOO EARLY IN  
THE ADMINISTRATION.             

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THERE HAS ONLY BEEN ONE OTHER   
PERSON NOMINATED WHO HAS        

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WITHDRAWN, VINCENT VIOLA FOR THE
SECRETARY OF THE ARMY.          

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THAT HAD TO DO WITH HIS         
FINANCIALS NOT WANTING TO -- NOT

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BEING ABLE TO SELL OFF SOME OF  
HIS CONSIDERABLE ASSETS IN A WAY

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THAT WOULD PERMIT HIM TO GO     
FORWARD.                        

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FOR PUZDER, THESE ARE ISSUES    
THAT ARE MUCH MORE COMPLICATED  

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AND MUCH MORE REFLECTIVE ON HIM 
AND HIS PAST CONDUCT.           

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OR ISSUES THAT SENATORS WOULD   
HAVE A VERY HARD TIME EXPLAINING

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AND THAT'S REALLY WHERE THE     
POLITICAL TIPPING POINT CAME.   

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THE WHITE HOUSE HAS BEEN AWARE  
OF THIS, NOT SURE EXACTLY HOW   

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THEY ARE GOING TO PROCEED       
FORWARD, WE'RE NOT HEARING WHAT 

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THE STEPS WILL.                 
PART OF THAT, KEEP IN MIND,     

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BENJAMIN NETANYAHU IS THERE, A  
HIGH-PROFILE EVENT FOR THE WHITE

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HOUSE.                          
AT TIMES YOU HAVE ITUATION      

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WHERE THE WHITE HOUSE, ANY WHITE
HOUSE WOULD WANT TO SHOWCASE ITS

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PREFERRED TOPIC OF THE DAY AND  
WITH THE HEARINGS SCHEDULED FOR 

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TOMORROW FOR THE LABOR NOMINEE, 
THAT GIVES US A BOOKEND THAT IS 

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CRITICAL HERE AND SO THERE'S A  
CLEAR AWARENESS THAT THIS       

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NOMINATION WILL BE WITHDRAWN.   
THAT ALLOWS PUZDER TO REMOVE    

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HIMSELF EVEN THOUGH IF HE HAD   
NOT BEEN PREPARED TO DO THAT    

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VOLUNTARILY, MY SENSE FROM      
TALKING TO SOURCES IS THAT IT   

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WOULD HAVE BEEN COMING FROM THE 
WHITE HOUSE THAT HIS            

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CONFIRMATION PROCESS WOULD COME 
TO A HALT.                      

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SO THIS IS A HIGH-PROFILE       
PROBLEM.                        

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ONE THAT CAN BE REPLACED BY     
SELECTING A NEW PERSON AND      

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GETTING THAT ONE CONFIRMED.     
IT IS NOT UNUSUAL IN THE GRAND  

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SWEEP OF HISTORY TO HAVE ONE OR 
TWO NOMINEES FALL.              

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BUT THIS IS CERTAINLY MORE BAD  
NEWS ON TOP OF A NUMBER OF OTHER

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CHALLENGES.                     
AND SO FOR PUZDER WHO'S A       

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PROMINENT BUSINESSMAN, THIS HAS 
ALSO BEEN A VERY PUBLIC TIME    

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WHERE THESE QUESTIONS ABOUT HIM 
HAVE BEEN RAISED.               

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KATE?                           
>> RIGHT.                       

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KELLY, IF YOU'LL STAY WITH US, I
WANT TO ASK YOU MORE ABOUT THE  

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OTHER NEWS OF THE DAY IN A      
MOMENT.                         

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LET ME GO TO JEREMY PETERS WHO  
JOINED US IN THE RUSSELL ROTUNDA

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ON CAPITOL HILL.                
KELLY JUST SAID THIS, I WANTED  

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TO PICK UP THERE, SHE SAID THIS 
IS MORE BAD NEWS ON TOP OF BAD  

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NEWS.                           
THIS IS NOW, WE HAD THE         

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RESIGNATION OF THE NATIONAL     
SECURITY ADVISER, AND NOW WE'VE 

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GOT THEM WITHDRAWING ONE OF     
THEIR NOMINEES.                 

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WHAT'S Y SENSE OF HOW THE WHITE 
HOUSE DEALS WITH THAT?          

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>> THE WHITE HOUSE FROM WHAT I'M
TOLD WAS ALWAYS VERY WORRIED    

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ABOUT PUZDER.                   
HE AND BETSY DeVOS WERE THEIR   

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TWO MOST PROBLEMATIC            
NOMINATIONS, ONE PROBLEM, THE   

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TEACHERS, ORG NI                
TEACHERS.                       

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ORGANIZED LABOR.                
PUZDER, IT WAS MORE THE SERVICE 

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WORKERS --                      
>> ON THE MINIMUM WAGE ISSUE.   

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>> ABSOLUTELY.                  
DON'T THINK IT'S BY ACCIDENT    

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THAT THIS TAPE OF ALLEGED       
ALLEGATIONS OF DOMESTIC ABUSE   

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SURFACED.                       
THIS WAS A VERY COORDINATED     

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CAMPAIGN AND CAME AT A TIME WHEN
THE LEFT REALLY NEEDED A        

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VICTIM                          
                                

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VICTORY.                        
INTERESTING TO SEE HOW THEY     

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ABSORB THIS, PROCESS THIS.      
WHEN IT DIDN'T LOOK LIKE THEY   

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WERE GOING TO BE ABLE TO DEFEAT 
A NOMINEE, IT'S GOING TO BE A   

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MOBILIZING, GALVANIING FACTOR.  
>> LET ME GO BACK TO KELLY FOR A

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SECOND, KELLY, IF YOU'RE THERE. 
WE NEED TO CATCH UP ON WHAT     

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HAPPENED THIS AFTERNOON.        
THE PRESIDENT STANDING WITH     

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BENJAMIN NETANYAHU, PRIME       
MINISTER OF ISRAEL, AND BEING   

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ASKED ABOUT FLYNN, GENERAL      
MICHAEL FLYNN AND WHAT HAPPENED 

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THERE?                          
WHAT WAS -- THIS IS REALLY THE  

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FIRST FULL-THROATED COMMENT     
WE'VE GOTTEN FROM THE PRESIDENT.

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>> Reporter: WHAT IS SO NOTABLE 
ABOUT WHAT THE PRESIDENT SAID IN

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THE EAST ROOM WITH HIS VERY     
PROMINENT GUEST AND FRIEND, THE 

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ISRAELI PRIME MINISTER, IS THAT 
THE PRESIDENT GAVE PRAISE TO    

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FLYNN AND SUGGESTED THAT HIS    
UNDOING WAS THE RESULT OF MEDIA 

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COVERAGE WITH NO DISCUSSION OF  
FLYNN'S CULPABILITY IN BEING    

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DISHONEST WITH THE PRESIDENT AND
THE VICE PRESIDENT, AND THE     

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AMERICAN PEOPLE BY EXTENSION.   
NO SENSE OF THE LACK OF TRUST   

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THAT WAS PUT FORTH BY THE WHITE 
HOUSE AS THE ULTIMATE REASON WHY

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HIS RESIGNATION WAS DEMANDED AND
ACCEPTED.                       

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AND SO FOR THE PRESIDENT, IT    
ALMOST SOUNDED LIKE YESTERDAY   

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HAD NOT HAPPENED IN A WAY THAT  
HE HAVE ALL SEEN THESE EVENTS   

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UNFOLD.                         
HERE IS HOW PRESIDENT TRUMP     

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DESCRIBED GENERAL FLYNN BEFORE  
THIS EAST ROOM EVENT.           

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>> MICHAEL FLYNN, GENERAL FLYNN,
IS A WONDERFUL MAN.             

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I THINK HE'S BEEN TREATED VERY, 
VERY UNFAIRLY BY THE MEDIA.     

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AS I CALL IT, THE FAKE MEDIA, IN
MANY CASES.                     

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AND I THINK IT'S REALLY A SAD   
THING THAT HE WAS TREATED SO    

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BADLY.                          
I THINK IN ADDITION TO THAT,    

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FROM INTELLIGENCE, PAPERS ARE   
BEING LEAKED, THINGS ARE BEING  

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LEAKED.                         
IT'S CRIMINAL ACTION.           

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CRIMINAL ACT.                   
AND IT'S BEEN GOING ON FOR A    

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LONG TIME.                      
BEFORE ME.                      

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BUT NOW IT'S REALLY GOING ON.   
AND PEOPLE ARE TRYING TO COVER  

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UP FOR A TERRIBLE LOSS THAT THE 
DEMOCRATS HAD UNDER HILLARY     

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CLINTON.                        
>> Reporter: AND IT RAISES A    

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QUESTION, IS THIS THE           
PRESIDENT'S LOYALTY TOWARD FLYNN

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WHOM HE WORKED WITH FOR A VERY  
LONG TIME AND WE CAN PRESUME HAD

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A PERSONAL CONNECTION WITH, THAT
HE WOULD SPEAK HIGHLY OF HIM, OR

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IS THERE A LARGER CONCERN ABOUT 
NOT WANTING FLYNN, NOW OUTSIDE  

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OF THE WHITE HOUSE, TO SPEAK    
MORE BROADLY ABOUT EVENTS INSIDE

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THE WHITE HOUSE?                
WHAT'S THE REASON FOR THE       

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PRESIDENT TO SIMPLY IGNORE THE  
ISSUE FOR WHICH FLYNN WAS       

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DISMISSED IN THIS VENUE WHEN IT 
WOULD HAVE BEEN AN EASY         

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OPPORTUNITY FOR THE PRESIDENT TO
EXPLAIN WHY HE ASKED FOR THE    

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RESIGNATION, IN WHATEVER WORDS S