CNN.com - Transcripts (2024)

[18:00:00]

JULIA CHATTERLEY, CNN HOST, FIRST MOVE: It's 5:00 a.m. in Hanoi, 6:00 a.m. in Hong Kong, and 6:00 p.m. here in New York. I'm Julia Chatterley. And

wherever you are in the world this is your "First Move."

And a warm welcome to "First Move" once again. And here's today's need to know. Bamboo diplomacy. The Russian president arrives in Hanoi after

agreeing to defend North Korea in the face of aggression and vice versa.

Endless extremes. Heat waves, wildfires, and ferocious floods bring destruction around the world.

Family fury. The loved ones of those who died in two Boeing plane crashes, asked the U.S. Justice Department to impose a $24 billion fine.

And Fortune favors Southeast Asia. The region's top 500 firms recognized amid strong growth, young workers, developing supply chains on some really

great beaches. That conversation and plenty more coming up.

But first, in the coming hours, Vladimir Putin will meet leaders in Vietnam on his second leg of his Asia tour. The Russian president arrived in Hanoi

in the past few hours, hot on the heels of his trip to North Korea, where he signed a new strategic partnership with Kim Jong Un. The pair promised

to provide mutual assistance if either one of them is attacked.

President Putin called joint drills involving the U.S., South Korea, and Japan "hostile" acts and said Moscow is not ruling out developing military

technology with Pyongyang too. Will Ripley has all the details from Hanoi.

WILL RIPLEY, CNN SENIOR INTERNATIONAL CORRESPONDENT: Hi, Julia. Good morning from Hanoi where, yes, Vladimir Putin is now on the ground here,

certainly not getting the kind of supersized socialist welcome that he got in Pyongyang. But still, as we arrived here, we saw Russian and Vietnamese

flags lining the streets, signs of solidarity from Vietnam with Vladimir Putin, albeit cautious solidarity because they're trying to walk a really

fine line here in Vietnam of supporting their longtime friend and ally, Russia, without violating western sanctions and perhaps more crucially

alienating the United States that just hosted President Biden here less than a year ago.

But over in Pyongyang, Vladimir Putin experienced something that he's not going to experience here in Vietnam, the kind of signature North Korean

style welcome that only a nation that exerts extreme control over its citizens can provide.

(BEGIN VIDEOTAPE)

RIPLEY (voice-over): By the time Vladimir Putin's plane landed in North Korea, it was 3:00 a.m. Wednesday, hours behind schedule. Kim Jong Un was

at the airport, waiting, greeting the Russian president with handshakes, hugs, smiles. Driving together in one of two Russian limousines Putin gave

Kim as a gift, passed Pyongyang skyscrapers lit up to welcome the Russian leader in a nation plagued by power shortages. They toured Kim's lavish

guest house where Putin spent the night.

Waking up to the sound of huge crowds lining the streets of Pyongyang, chanting welcome Putin in almost perfect unison. Giant portraits of the

Russian president reviled in much of the west, revered in the North Korean Capitol, rolling through Pyongyang, riding past streets packed with people

waving Russian and North Korean flags as far as the eye could see.

Most of these people don't know the brutal reality of Putin's war in Ukraine or the claims Pyongyang denies that huge amounts of North Korean

weapons and ammo are flowing into Russia. Cut off from the outside world, North Koreans only know what their government wants them to know, that

Putin is Kim's new best friend.

KIM JONG UN, NORTH KOREAN LEADER (through translator): DPRK expresses full support and solidarity with the struggles of the Russian government.

VLADIMIR PUTIN, RUSSIAN PRESIDENT (through translator): We highly appreciate your consistent and unwavering support.

RIPLEY (voice-over): North Korea and Russia reviving a defense treaty from the Cold War, agreeing to help each other if attacked. The strongest

military pact between the two nations in decades. Putin also says, Russia doesn't rule out developing military technical cooperation.

[18:05:00]

Raising fears around the world Putin might help Kim make his missiles more accurate in exchange for a continued steady supply of weapons and ammo for

Putin's war on Ukraine.

MIKE CHINOY, NON-RESIDENT SENIOR FELLOW, U.S.-CHINA INSTITUTE AT USC: So, we've seen a sea change in which the Russians are now overtly breaking the

sanctions and helping the North Koreans to break the sanctions, which of course is a great boon to North Korea.

RIPLEY (voice-over): Veteran North Korea and China journalist Mike Chinoy says Kim has all but abandoned U.S. diplomacy, angry and humiliated after

summit talks with Former President Donald Trump fell apart five years ago in Hanoi, Vietnam.

CHINOY: What we now are seeing is a kind of reconstituting of an anti- American block consisting of Russia, China, North Korea, and Iran.

RIPLEY (voice-over): Nations that don't ask Kim to give up his growing arsenal of nuclear weapons, weapons North Korea and Russia have long

threatened to use against the U.S. if provoked.

(END VIDEOTAPE)

RIPLEY (on camera): And now, we are here in Vietnam, a nation that prides itself on this notion of bamboo diplomacy, strategic autonomy. They say

bamboo diplomacy because bamboo trees grow here aplenty and bamboo is known for its ability to bend without breaking. Vietnam is hoping that they can

accommodate Vladimir Putin and they can be flexible, but that it's not going to break their relationship with not just the United States and much

of the west, but also Japan and South Korea.

What Putin is hoping to achieve here is basically two pronged. One, he wants to demonstrate to the world that it's not just North Korea, but that

Russia still has allies here in Southeast Asia. That's why he flew directly to Hanoi despite the misgivings of the Vietnamese government, it was a

logistical decision more than anything else to come here. Certainly, it wasn't Vietnam's first choice.

But also, he wants to figure out if Russia can continue to grow its cooperation with Vietnam in areas like oil, gas, and nuclear energy

cooperation, potential military deals, because Russia supplies the vast majority of Vietnam's weapons. And also, how to figure out if they can

maintain these defense and energy ties and perhaps even grow trade without violating western sanctions that Vietnam certainly does not want to do

that, Julia. They have a lot at stake as this emerging economic powerhouse here in Southeast Asia, as you know.

CHATTERLEY: They certainly do. Our thanks to Will Ripley there. Now, Thursday marks the official start of summer, yet millions of people around

the world have already been suffering with intense heat for weeks. Wildfires are tearing through communities and tribal reservations in the

State of New Mexico. Thousands have had to leave the area, and at least one person has died.

There are dozens of large, active fires burning across the United States at the moment, as Ed Lavandera explains.

(BEGIN VIDEOTAPE)

ED LAVANDERA, CNN SENIOR U.S. NATIONAL CORRESPONDENT (voice-over): Michael Scott escaped Ruidoso, New Mexico just in time through thick smoke and an

orange glow as a massive wildfire consumed his mountain neighborhood.

MICHAEL SCOTT, EVACUEE: My truck was being hit with chunks of ash. It was almost like big gray rain hitting my truck.

LAVANDERA (voice-over): Scott and his wife and his mother were able to make it out with a few belongings and their three dogs. We met them at a

motel 50 miles away where all they can do is nurse the shock that everything they own might be lost. The not knowing is a numbing feeling, he

says.

LAVANDERA: I imagine it's an incredibly helpless feeling. Like, there's literally nothing you can do.

SCOTT: It really is. And for the past 24 hours, we've been in this little motel. And I think, well, we don't have anything left. Now, where do we go?

LAVANDERA (voice-over): Two massive fires around Ruidoso are burning across 20,000 acres. Emergency officials say the wildfires have destroyed

1,400 homes and structures. We reached some of those neighborhoods and saw the charred remains of dozens of homes. Even found deer making their way

through the scarred hillsides.

KURT DELGADO, EVACUEE: Yes, I can see the fire right outside this window.

LAVANDERA (voice-over): Kurt Delgado evacuated his home to the edge of town where he set up his Papi Chulo food truck, and started feeding

firefighters and emergency crews.

LAVANDERA: From the window of your food truck, you can see the smoke in the canyon where your house is.

DELGADO: Yes, our house is literally right there where that smoke is.

LAVANDERA (voice-over): Delgado says he'll stay here as long as he can.

DELGADO: So, my parents are in that airstream right there. We're ready to go. We're going to do what we can to, you know, just stay vigilant.

LAVANDERA (voice-over): About 8,000 people have evacuated the Ruidoso area since Monday. The mountain village is an eerie, smoke filled ghost town.

There are a few people left, though, like Jordan Rue.

LAVANDERA: I imagine a moment like this is pretty nerve-racking.

JORDAN RUE, EVACUEE: Yes, yes, I thought -- I didn't think it was going to come this close to us, but it happened so fast.

LAVANDERA (voice-over): Our conversation was interrupted by police urging residents to evacuate.

UNIDENTIFIED MALE: Grab needed belongings and evacuate Ruidoso immediately.

LAVANDERA (voice-over): We managed to find our way into Michael Scott's neighborhood in Ruidoso. Many of the homes were burned to the ground, but

somehow Michael's home is still standing, a slice of good news surrounded by devastation and sadness.

(END VIDEOTAPE)

[18:10:00]

CHATTERLEY: Now, while some areas are dealing with extreme heat, others are facing extreme rainfall, including from what is now Tropical Storm

Alberto, causing flooding and landslides, killing more than a dozen people in Central America. And it's also the start of the region's rainy or wet

season, too.

For more on this, we're joined by Stefano Pozzebon who's in Bogota tonight. Stefano, good to have you with us. Just explain, because it's a big region,

what we're seeing where.

STEFANO POZZEBON, JOURNALIST: Well, Julia, we're seeing extreme weather events, frankly, all across the Americas. While it's sunny here in Bogota,

where I am, you have extreme rainfall, both north of here, so Central America, and Southern Mexico, where we're seeing the first impacts of these

new tropical storm, Alberto. Starts with an A. It means it's the first of the season.

We're going to have a long hurricane season in the Caribbean, and this is just the beginning and the appetizer of it. And then, we're seeing extreme

rains also down the Andes, to the south in Ecuador, for example, which has so far recorded over a dozen deaths due to landslides, mudslides, and

catastrophic rains.

And these, I think, Julia, tells us two things. It tells, one, that extreme weather events are here to stay. There are new reality that are hitting all

across the world over the last few days. We at CNN have brought you reports from Greece to Italy, New Mexico, Texas, here where I am in Latin America,

but really, it's the entire globe that is overgoing an endless fever.

And the second is that Latin America itself is particularly exposed to extreme weather events because for reasons that have to do with the

infrastructure, physical infrastructure, so roads, houses that are built in a way that are not so resilient, but also for governments who feel that

they don't have the resources to ask for them to safeguard their people. And that's why sometimes those authorities are urging dramatic calls to --

for their citizens to shelter in place. Take a listen to what they're being told in San Salvador.

(BEGIN VIDEO CLIP)

LUIS AMAYA, CIVIL PROTECTION CHIEF (through translator): I want to repeat this, if you are asked to evacuate, do it. If you live near a slope, move

to a safe area. I know we are attached to material items, but life is priceless under any circ*mstance. In that sense, today, priority number one

is to be safe and stay in a shelter. We have worked to give you the necessary conditions.

(END VIDEO CLIP)

POZZEBON: And so, Julia, you see that sometimes the governments cannot really do much else because they lack the structure to bring aid and

shelter to their own citizens. It's a particular situation that is affecting millions here in Latin America. Julia.

CHATTERLEY: Yes. Stefano, I was looking at a UNICEF report that came out last year, and it was just looking at the amount of children that have been

internally displaced across Latin America and the Caribbean, and it was looked at a period of six years to 2021, and it said 2.3 million children

over a six-year period had been internally displaced. And we know that the weather situation is getting worse.

Stefano, it goes to your point about there needing to be bigger action to allow these countries to adapt to mitigate the impact of climate change,

never mind sort of invest for the future and for cleaner energy. What's the plan from these governments, whether it's in the region or beyond? What are

they saying about this?

POZZEBON: Well, one thing that we need to point out is that Latin America is one region that often -- you know, it's not a geopolitical powerhouse,

Latin America. We don't have Latin American countries involved in the big questions of our time, like in Russia, Ukraine, or in Gaza.

We do have a strong leadership when it comes to climate change and how to mitigate climate change. The prime minister of Barbados, for example, or

the president of Colombia, Gustavo Petro, the president of Brazil, they all try to bring with urgent need this issue to the top table whenever they

have a chance to speak at the United Nations General Assembly or at the COP.

Colombia, for example, is hosting a COP later this year, the COP16, about biodiversity. Lula in Brazil has organized an international summit next

year to try bring as many people as possible -- as many world leaders as possible around the table and talking about the financial impact of climate

change. The biggest demand from these countries is debt relief in exchange for climate action.

[18:15:00]

Basically, just very quickly, it means that most of these countries have outstanding debts with international organizations such as the IMF, the

World Bank, other bilateral loans from richer countries in North America and Europe. They would like to see those debt canceled in exchange for

concrete actions when it comes to climate protection.

And climate protection -- and this is my last point. We were talking about it in the out -- in the previous hour, means basically two things.

Mitigation, which means how do we limit the effects of climate change, but also adaptation. It means that we are ready. We understand the climate

change is a new reality that is staying in the long-term and how we as a society are trying to come up with it. It could be like mitigate the

effects of desertification, which is big issues in country like Honduras and Guatemala that is causing a lot of internal displacement or mitigate

the effect of catastrophic rainfalls that are becoming more and more common around the Caribbean and around the Atlantic Ocean, for example.

And I think that these are the two issues that Latin America can really try to speak with one voice because of the presence of the Amazon, because it's

an issue that is quietly shared about every aspect of society. You don't really have climate skeptics around here, Julia, frankly, and that is

because the region is really at the forefront off climate change.

CHATTERLEY: Yes, it's such a great point and their leadership at institutions and the conversations around the World Bank and the IMF and a

change in business model there to try and fund some of this, so important. Stefano, great to get your wisdom on this. Thank you. Stefano Pozzebon

there in Bogota.

And there's a little rain relief in sight. As we mentioned, Tropical Storm Alberto is formed in the Gulf of Mexico and it's the first named storm of

this year's Atlantic hurricane season. Chad Myers joins us now for more on what might come next. Chad, give us a sense of it.

CHAD MYERS, CNN METEOROLOGIST: Well, two things. It's one, not going to become a hurricane. It's not going to grow anymore before it makes

landfall, but it still is going to carry a tremendous amount of rainfall into parts of Texas and also Northeastern Mexico.

And it has been tremendously dry, drastically dry across parts of Mexico over the last few months. And you're thinking, well, great, the rain's

going to come. Yes, but when you bake the dirt and you turn it into a brick, it doesn't absorb very well. It's like, how much rain can fall into

and go into a brick? Well, it takes a couple of hours for that water to kind of loosen that adobe type soil and finally begin to soak in.

So, this is the original rainfall we're seeing now, and this is the problem as it comes in possibly too fast. 40 miles per hour right now, about 65

kilometers per hour, so not a drastic storm here, but it's the rainfall that will be from Texas all the way into parts of Mexico. This is where the

heaviest rain will be, and we're seeing it already right now. We're seeing the rainfall come onshore, and we're seeing some flooding already develop

in places that are in a drastic drought. It's happening already.

Obviously, now, the wind is pushing water on shore, about a meter deep. We've seen some of the beaches being over washed here in places here along

the Texas coast, and that's going to be the story. This is not a long story. This is very quick. It is going to be quickly on shore here, just to

the south or very close to Tampico, making rainfall in places that desperately need it.

But there are some models that are putting out about 10 inches, 250 millimeters of rainfall over the next 48 hours as the rain pushes into

parts of Northern Mexico. This is going to be the problem. Can it be slow enough to soak in or these areas down here, that little white spot on the

very bottom of your screen there, that's 20 inches of rain. That's 500 millimeters of rainfall in 48 hours. And that's obviously going to create

some flash flooding.

All the way across parts of Texas as well, this is the area that's been dry and hot because the rest of the story here in the United States is this

heat dome, a bubble really, just under a big ridge of high pressure, almost like rolling up all your windows and closing the car doors and parking your

car in the sunshine, we are just keeping all of that heat right on the ground here in the eastern part of the U.S.

For a brief part today, the heat index in Boston was 107 degrees, all the way up in the main almost the same story. Temperatures, 20 degrees

Fahrenheit, 15 degrees Celsius much hotter than you should be this time of year, and even right now, 97 Buffaloes where I grew up, it should not be

feeling like that in Buffalo.

The heat is in the great lakes, a little bit farther to the east tomorrow. And so, yes, we are going to bake again on the East Coast where most of the

population of the U.S lives We call it the I-95 corridor. Think of it like an autobahn, but it's not. It's not unlimited speed.

[18:20:00]

We are going to cool down in Boston, but look what happens in D.C., a high 99, Saturday and Sunday. And when you add in the humidity, or even if

you're standing in the sunshine, it's going to feel warmer than that. Julia.

CHATTERLEY: Wow. It makes you wonder what midsummer is going to be like, given that we're only just at the --

MYERS: I don't want to think about it.

CHATTERLEY: No, I know. We'll leave that right there. Chad Myers, thank you for that.

MYERS: Have a good night.

CHATTERLEY: Drink of water. Yes. Straight ahead, Fortune telling the future of firms Southeast Asia. Fortune magazine's first ever list of the

region's rising corporate stars. We'll tell you who's coming out on top.

Plus, a new blow to Boeing. Families who lost loved ones in two deadly MAX crashes are demanding action and a multi-billion-dollar payout. All the

details, next.

(COMMERCIAL BREAK)

CHATTERLEY: Welcome back to "First Move." And for all our viewers across Asia, we hope you're having a wonderful first official day of summer as

your Thursday begins.

In the meantime, U.K. inflation, deceleration and Asian chip celebration topping today's "Money Move." If I can say the words. U.S. Markets were

closed to commemorate Juneteenth, but the London FTSE finished in the green on news that U.K. inflation has now fallen to the Bank of England's 2

percent target. That's something that would make Fed Chair Jay Powell jump for joy if it happened in the United States, where we still got inflation

stuck above the 3 percent figure. That said, the Bank of England still expected to hold interest rates steady at its meeting on Thursday.

And German and French stocks, meanwhile, finishing Wednesday's session lower again. Then in Asia, Taiwan rallied almost 2 percent to a record

high, and Hong Kong saw near 3 percent gains too. Taiwan's semiconductor closed at a record on the back of all-time highs for U.S. Chipmaker NVIDIA

on Tuesday. And better than expected, Japanese trade data also helped boost sentiment across the region too.

Now, in other business news, families who lost loved ones in two deadly crashes involving Boeing 737 MAX jets accusing the firm of committing "the

deadliest corporate crime in U.S. history." And they're now demanding the U.S. government take criminal action against the firm and its executives.

Zach Cohen joins me now. Zach, and it's no small sum. We know that the Justice Department said that Boeing was in breach of an agreement made back

in 2021, where they avoided a payout as a result of those crashes. Now, the families are saying, look, they have to pay and they have to pay big.

[18:25:00]

ZACHARY COHEN, CNN NATIONAL SECURITY REPORTER: Yes, that's right, Julia. These families are asking the Justice Department not to hold anything back

in pursuit of really aggressive criminal prosecution against the Boeing company and several of its former executives, including its former CEO. And

they're asking for the Justice Department to impose a $24 billion fine against the Boeing company, in addition to the personal criminal charges

against those former executives.

And this all stems from allegations that Boeing covered up safety issues that it encountered over the last several years, and that resulted in

several safety lapses that we've seen over the last several months. But this dates back, like you said, to that deferred criminal prosecution

agreement that Boeing company reached with the Justice Department back in 2021, which related to those two deadly crashes that killed 346 people.

The family members of those people are now the ones pushing for the Justice Department to pursue this additional criminal penalty, saying they violated

their promise to improve safety conditions on their 737 MAX aircraft, saying that this recent string of safety lapses clearly indicates that they

didn't follow through with what they promised. And so, now, it's time to pay up and pay a big, $24 billion.

Those still won't cover up -- cover the expenses and the amount lost by the Boeing company as a result of some of its recent issues. We know that

Boeing's executives were on Capitol Hill just yesterday and they issued an apology to the family members, but now, the family members want the Justice

Department to hold them accountable under U.S. law.

CHATTERLEY: Yes, to your point, the $24 billion, as big as it, is still less than the $31.9 billion in core operating losses that they've reported

since that second crash in 2019, 20 months grounding of its bestselling jet. So, it's all additive, isn't it, Zach? We see how it goes. Is there a

statute of limitation on this? I'm sure there must be.

COHEN: Yes, that's part of the reason why these family members are really pushing the Justice Department to initiate and ask for -- and pursue a

criminal trial in this case quickly. They want the -- to have that jury trial happen before the statute of limitations runs out and they want to

make sure that both this fine is imposed and is paid by the Boeing company. But also, a prosecution and an eventual trial for these former executives

can happen before that statute of limitations runs out. So, really, the clock is ticking, and that's why you're seeing this urgency from the family

members.

And look, there was a really -- there was a line in the letter sent to the Justice Department from these families today that said, the salient fact is

this, in this case, is that Boeing lied, people died, putting a really fine point on why the Justice Department needs to hold Boeing accountable.

CHATTERLEY: Yes, and the CEO yesterday, just for completeness, defended Boeing, and they had said in a previous statement, and I'll just read this,

we believe that we've honored the terms of that agreement and look forward to the opportunity to respond to the department on this issue. As we do so,

we will engage with the department with the utmost transparency as we have throughout the entire term of the agreement.

And that obviously dates back to that agreement in in 2021. Zach, we will see. Thank you for that. Zach Cohen there.

Now, while the safety record of Boeing aircraft remains under scrutiny, the maiden flight of its crewed spacecraft is also having technical issues. The

Starliner flew to the International Space Station, if you remember, two weeks ago, but its return to Earth has been delayed, as ground crews

investigate data from several helium leaks and thruster failures while it was in orbit. NASA says the two astronauts piloting the test flight will

return no later than next Wednesday.

Now, still ahead for us, a stark warning from the head of Hezbollah on a wider Middle East war. Hassan Nasrallah says no place in Israel is safe,

while also threatening Cyprus. Details after this.

(COMMERCIAL BREAK)

[18:30:00]

CHATTERLEY: Welcome back to "First Move" with a look at more international headlines this hour. The U.S. military says it killed a senior ISIS

official in an airstrike in Syria. The strike was carried out on Sunday according to a post on X by U.S. Central Command. It said the ISIS

official's death will disrupt the group's ability to carry out terror attacks. It also said there was no indication that any civilians were hurt.

The U.S. Secretary of State spoke with his Filipino counterpart Wednesday, reaffirming America's support. The Philippines accusing the Chinese Coast

Guard of damaging its vessels earlier this week and injuring at least eight citizens. It's the latest in a string of incidents over control of the

South China Sea.

The two main parties in the United Kingdom condemning the climate activists who sprayed orange paint on the historic Stonehenge Monument Wednesday. The

two activists who vandalized the 5,000-year-old site ahead of the summer solstice were placed under arrest. The group Just Stop Oil says the paint

was made with corn flour and will wash away easily.

OK. Turning now to the Middle East and growing fears of a wider conflict between Israel and Hezbollah. Hezbollah leader, Hassan Nasrallah. on

Wednesday warned of "war without rules" if Israel launches a full-scale offensive in Lebanon.

Israel's foreign minister had warned of the prospect of "all-out war" the day before. Nasrallah also telling Cyprus it would be a legitimate target

if the European country decides to open up its airports and bases to the Israeli military. Ben Wedeman has more from Beirut.

BEN WEDEMAN, CNN SENIOR INTERNATIONAL CORRESPONDENT: Julia, fears are skyrocketing that the cross-border skirmishes that have raged between

Lebanon's Hezbollah and Israel will explode into a full-blown conflict.

In a speech Wednesday, Hezbollah leader, Hassan Nasrallah, warned Israel that if it comes to war, the group has the ability to, in his words, shake

the pillars of Israel. His remarks came a day after the Iranian aligned group in Beirut published nine minutes of drone video footage of sensitive

military locations and key infrastructure in the northern city of Haifa. The video, which highlights Hezbollah's ability to evade Israeli air

defenses and collect intelligence deep inside its southern neighbor set off alarm bells in Jerusalem.

During his speech, Nasrallah chuckled when he said the group published only a fraction of the footage it collected. He said, while we have long hours

of footage of Haifa, of the outskirts of Haifa, and what comes after Haifa, and after, after Haifa. An Israeli government spokesman described the video

as mischief making propaganda, insisting Israel knows how to deal with Hezbollah either diplomatically or militarily.

[18:35:00]

Tuesday, Israel's top generals announced that they had approved plans for an offensive against Hezbollah. Pressure is mounting on Prime Minister

Benjamin Netanyahu from the opposition and from within his own government to attack Hezbollah and restore peace to Israel's north. Around 60,000

Israelis have left their homes near the border and more than 90,000 Lebanese have fled the fighting on the frontier.

Now, American Envoy Amos Hochstein was in Israel Monday, Lebanon Tuesday, trying to convince both sides to de-escalate, but he left the region

without a breakthrough. Julia.

CHATTERLEY: Our thanks to Ben Wedeman there. Now, coming up for us, with a young population, solid growth, and diverse industry, why shouldn't

Southeast Asia have its own Fortune 500? We'll tell you which firms are on the list, next.

(COMMERCIAL BREAK)

CHATTERLEY: Welcome back. With a GDP of $4 trillion, the economic powerhouse, that is Southeast Asia, is being recognized with the region's

inaugural Fortune 500 list. By ranking the largest firms by revenues, Fortune is highlighting the region's growth, outperformance, economic

development, and its growing importance in the global supply chain since the pandemic.

The list covers a diverse group from energy, retail, utilities, and agribusiness to tourism and technology. At the top of the table is

Singapore's commodity trader, Trafigura, with sales of $240 billion plus. And with its fast-growing mining companies, Indonesia has the highest

number of companies in the list, 110 to be precise. Followed then by Thailand and Malaysia.

Clay Chandler is executive editor for Asia at Fortune, and he joins us now. Clay, fantastic to have you with us. I sat down with the leaders of

Thailand and Vietnam and the head of the WTA earlier this year. So, I'm already sold. Explain your focus, though, on Southeast Asia specifically.

Why now?

CLAY CHANDLER, EXECUTIVE EDITOR, ASIA, FORTUNE: Well, this is our smallest list. Of course, we're known for our global Fortune 500 list, for our

original U.S. focus Fortune 500 list. And last year, we launched a Europe list. We also have a China 500 list.

This one is a little bit smaller than those other lists, but what we know is that our lists are very dynamic. They changed a lot. We've been doing

this for 70 years. We've seen countries and regions rise and fall. China has really come up fast. Japan has, at one point, you know, almost 150

companies, now only 40.

[18:40:00]

So, we recognize that there's a lot of change, and we could see that this region is coming into the global economy very, very quickly, and we wanted

to start tracking that progress as early as we could.

CHATTERLEY: Just very quickly for those that perhaps haven't tracked the list that you do run, as you mentioned, how is the data collected? Some of

these companies are private, so it's a little bit more complicated rather than being public. What's the methodology and how you build this list?

CHANDLER: It is a little tricky. It's a -- it's -- the beauty of the list is that it's very straightforward and transparent. We -- it's a ranking

that's based on sales. And the sales have to -- the companies have to disclose it and it has to be audited by, you know, a global accounting

firm. And we have a certain methodology for how we handle some of the, you know, tax issues and that sort of thing. But it's very standard and

transparent, and it's the same methodology that we use for our other famous lists.

CHATTERLEY: And there's diversity in this as well. I mean, there's the clear front runners, the energy sector, for example, banking is clear, but

it does cover a whole array, tourism, the agricultural and agribusiness sector, technology too.

CHANDLER: Indeed, it does. And it's one of the fascinating things about this region. You know, when we started our first Fortune 500 list focused

on the U.S. back in 1955, it looked a little bit like what we now see for the Southeast Asian region. The leading companies were commodities,

companies, they were mining companies, they were, you know, agribusiness companies, that sort of thing. And now, of course, the U.S. list is

dominated by tech companies, by health care companies, by services companies. And we expect the same thing will happen in Southeast Asia.

Obviously, commodities, agriculture, energy companies, those are companies that figure very large on this list as those banking and financial

services, but it's fascinating to see that there are some very promising tech stars also that have made this list as well.

CHATTERLEY: Yes, I mean, you also categorized the world's most admired, and Wilmar International, which is a monster. It's a big agri giant, also

in the Fortune 500 Global. And Singapore Airlines, which was quite interesting. But for the fastest growing, I identified a semiconductor

firm, Kulicke & Soffa Industries as well.

So, to your point about the shift that you've seen elsewhere in the world, we are seeing the tech names filtering into this as well and the

semiconductor exposure as well. I think SEA and Grab, another couple of tech sector names as well that people will be very familiar with there.

CHANDLER: That's correct. You know, three really remarkable companies in the tech sector that are homegrown Southeast Asian firms. Grab, as you

mentioned. Also, SEA is another one and GoTo. SEA posting a profit for the first time this year. Grab is a little further off from being profitable,

but it has reduced its losses. GoTo, it's doing quite well, but had, you know, sold part of its operation to another company and so, had to write

down this year. But we expect big things from all three of those companies.

CHATTERLEY: And speaking of the dynamicism of the region, one of the things that I love that was pointed out in this list, 30 female CEOs and

chairmen or chairwomen amongst these Southeast Asia 500 firms. I mean, just give us the compare and contrast with the rest of the world. This looks

pretty great to me. It's a start.

CHANDLER: This is obviously not as high a number as it should be, but it is comparable with what we see on our global list. We expect it to continue

to improve. I was heartened to see that the largest manufacturer in the region, Flex, which, you know, it's a fantastic company, is led by an

incredibly talented female CEO.

CHATTERLEY: And the youngest CEO, 34 years among them. This year of Bamboo (ph) in Thailand. Yes.

CHANDLER: Correct.

CHATTERLEY: But there are more, 16 leaders that are in their 30s holding positions as CEOs. And this is one of the things certainly that when I was

in Davos speaking to, as I mentioned, the leaders in Thailand and Vietnam, they were saying, look, we have really young workforces, entrepreneurial

workforces too, which I think is underscored by some of the biggest countries -- companies in the region too.

CHANDLER: Yes, this is a region of extraordinary opportunity. I mean, the workforce, as you mentioned, average age of the populations in ASEAN is

about 30. That compares to, you know, roughly 40 for countries like the U.S. and China or 50 for a country like Japan. So, this is a very young

region.

[18:45:00]

And because it's just starting to develop, opportunity is wide open. And one of the things that I find the most interesting about Southeast Asia is

that it has a very robust startup ecosystem. A lot of companies, either based in Singapore or in Jakarta, you know, Kuala Lumpur is starting to

really come online now, but we're seeing quite a healthy population of unicorns in this region, and I think that the sky's the limit as to what

they can accomplish.

CHATTERLEY: Yes, I was going to ask you. And it sort of goes back to the first question in your first answer was, what stands out to you most about

this list compared to sort of all the others that you've run, founded, or where you began? What should we ultimately be watching from this region?

CHANDLER: I think this is a list that's going to change a lot over the next few years. One of the things that because it is a developing region,

that we see in this list more than we do in the other list is that it's very top heavy. So, the five largest companies on this list, all five of

them made the Fortune Global 500, which the cut off for that is about $39 billion dollars for last year. But those five companies are really monsters

in this region, and they account for about 26 percent of the overall revenue on the list. So, that leaves the remaining 495 to make up the --

you know, the rest.

But -- so, what happens with those top five companies is very influential in terms of moving revenue and the earnings numbers on the overall list.

CHATTERLEY: Yes, that's such a great point. The waiting of those is enormous or monster to use our collective term. Clay, we'll continue to

watch this. Great to have you on. Thank you so much. Fascinating to talk to you.

CHANDLER: Thanks for having me.

CHATTERLEY: Thank you. Have a great day. The executive editor for Asia there at Fortune.

All right. Next, through to the knockout stages, Germany deliver a thrilling performance against Hungary. We have all the action from the

Euros. Next.

(COMMERCIAL BREAK)

CHATTERLEY: Welcome back to "First Move," where we're remembering a baseball icon. Willie Mays has died at the age of 93. He's being honored

with a moment of silence at every Major League game on Wednesday, and U.S. President Joe Biden remembered him as an inspiration. Mays was a Hall of

Fame player beloved by fans, and his achievements are legendary.

The World Series Most Valuable Player Award is named after him. And he received America's highest civilian honor back in 2015. Nicknamed the Say

Hey Kid. Mays was known for his positivity, despite the racism he faced. Andy Scholes looks back on his amazing career and his legacy.

(BEGIN VIDEOTAPE)

ANDY SCHOLES, CNN SPORTS ANCHOR (voice-over): From the time he set foot in the Major Leagues, as a 20-year-old rookie for the New York Giants, in

1951, to his last days with the Mets, 22 years later, no one played like Willie Mays.

Born in Alabama, he earned the nickname the Say Hey Kid for his enthusiasm towards baseball. He played in 24 All-Star Games, was twice voted National

League MVP, and slammed 660 homeruns to rank sixth on the All-Time list.

[18:50:00]

WILLIE MAYS, MLB HALL OF FAMER: When I got through the first hit off a one Spahn, New York was like my family. They embraced me, like my mother and

dad says. And my dad says, when you go to New York, and if they slap you turn the other cheek, because if you don't, they're going to shoot you, you

know.

SCHOLES (voice-over): Mays was as dominant in the field as he was at the plate, winning 12 Gold Gloves. In Game one of the 1954 World Series, his

over-the-shoulder catch was considered the key point in the Giants' shocking sweep of the Indians, and has gone down in history, as one of the

game's most memorable catches.

MAYS: People talk about the catch, and I don't understand why because I did many things other than just, you know, catch a ball. But when you find

something like that in a world series, they had to pick a highlight and they picked, I guess, that one for the highlight.

SCHOLES (voice-over): In 1958, Mays made the move out west with the Giants and batted a career-high 347. Seven years later, Mays had one of his best

seasons, clubbing 52 home runs, winning a second MVP award. During the 1972 season, the 41-year-old was dealt back to New York to play for the Mets and

what became the last at bat of his career, Mays hit a game-winning single in the 12th inning of game two of the 1973 World Series, putting an

exclamation point on a one-of-a-kind career.

But perhaps even greater than his performance on the field was the legacy he left off it, playing his first major league game just four years after

Jackie Robinson broke baseball's color barrier, Mays helped to carry the torch for future black baseball players and athletes, and he inspired his

community for generations to come.

BARACK OBAMA, (D) FORMER PRESIDENT OF THE UNITED STATES: A few years ago, Willie rode with me on Air Force One. I told him then what I'll tell all of

you now. It is because of Giants like Willie that someone like me could even think about running for president.

(END VIDEOTAPE)

CHATTERLEY: A true icon. Now, from baseball to football and the Euro 2024 tournament, host Germany are through to the knockout stages after a

magnificent 2-nil win over Hungary. Also, likely to progress as Switzerland, who drew 1-1 with Scotland. Scotland now have to beat Hungary

this Sunday if they want to stay in the tournament. Hungary, of course, now have something really to prove.

Don Riddell is following all the action for us. Don, we probably could have predicted Germany.

DON RIDDELL, CNN WORLD SPORT: Yes, I think so. They look brilliant in their opening game against the Scots. And yes, they've gone from day one to

day six and they're the first team through to the knockout stage.

Let's show you how they did it because they looked good again on Wednesday against Hungary. A 2-nil win, as you say, Julia, this one played in

Stuttgart. Germany taking the lead in the first half through Jamal Musiala, his second goal of the tournament. He is rapidly emerging as one of the big

stars of the game. A personal moment for him too, scoring in his hometown.

Second half Germany made it 2-nil thanks to Ilkay Gundogan. They've now scored seven goals in two games, which is a record for them in the group

stage of a European championship tournament and they still have a game to go. So, Germany playing really, really well.

Scotland haven't won a game in the euro since 1996. Back then, it was against Switzerland. So, they would have fancied their chances maybe again

today, especially when Scott McTominay put them ahead there on the first half. But the Swiss drew level rather clumsy defending here by the Scots,

but that is an absolutely fantastic finish from Xherdan Shaqiri. We're seeing a lot of brilliant goals scored from outside the area in this

tournament, that was certainly one of them.

The Scots thought they could have won it. They hit the post there through Grant Hanley, but he was denied by the woodwork. So, one-all, final score

here. And as you say, Scotland still have the chance maybe to progress. They'll be playing Hungary in the last group game, but they're going to

have to win that.

In this tournament, the top two in each group go through, but there are opportunities for some of the third-place teams to make it as well, which

makes it all very uncertain until the group stage is done and dusted. But it means a lot of opportunity for teams as well, Julia.

CHATTERLEY: I love these Swiss celebrations. The acrobatics after those goals are almost as good. And Germany right now is winning the fashion

awards with that raw purple, as you can see at the show. I'm partial to that royal purple.

RIDDELL: You like it? OK. All right.

CHATTERLEY: Yes. It may not win the tournament, but they win the fashion states. Just stay silent. Don't worry. No response required. Thank you,

sir.

RIDDELL: All right.

CHATTERLEY: Don Riddell there. Now, here in New York and across the United States, many public and private organizations closed on Wednesday to

celebrate Juneteenth or June 19th. It marks the day in 1865 when union troops told enslaved citizens in Texas that they were free. This happened

more than two years after the Emancipation Proclamation officially freed slaves.

[18:55:00]

For years, the day was primarily celebrated by only African-Americans. However, a decades long push and the Black Lives Matter movement put the

holiday back in the spotlight, and the day officially became a U.S. federal holiday in 2021.

And finally, on "First Move," food for thought and for art. Food artist Michelle Wibowo has just unveiled some rather unusual portraits of British

celebrities made from authentic Japanese sushi ingredients. Now, it took 120 hours to create this lineup. So, may I please introduce you to

legendary singer-songwriter Eelton John, the professional footballer Bukayo Saki, and the actor Benedict Cucumberbatch. I almost got that wrong. It

just look like a cucumber.

It's not the first time we've always embraced British culture, not that I'm criticizing. In 2011, she celebrated the marriage of Prince William to

Princess Catherine in London with this concoction, which was displayed at the Ideal Home Show. Wow. No further comment.

That just about wraps up the show. Thank you for joining us. I'll see you tomorrow. Just get into trouble. Have a great rest of the day.

(COMMERCIAL BREAK)

[19:00:00]

END