THE NEWS ABOUT STEVE BANNON LOSING HIS SEAT ON THE NATIONAL
SECURITY COUNCIL. THAT IS WHERE WE BEGIN THIS
MORNING. AFTER TEN WEEKS, SENIOR COUNSEL
TO THEMENT HAS BEEN REMOVED FROM THE NATIONAL SECURITY COUNCIL.
THE ORDER ANNOUNCED YESTERDAY RESTORED THE JOINT CHIEFS STAIR
MAN AND INTELLIGENCE DIRECTOR TO THE PRINCIPALS COMMITTEE AND
ADDED ENERGY SECRETARY, CIA DIRECTOR AND UNIT NATIONS
AMBASSADOR AS WELL WHILE PUTTING THE HOMELAND SECURITY COUNCIL
UNDER THE NATIONAL SECURITY ADVISER H.R. MECHANICS MASTER'S
CONTROLS. A SENIOR WHITE HOUSE OFFICIAL
SAYS BANNON ONLY ATTENDED ONE MEETING OF THE PRINCIPALS
COMMITTEE AND WAS NO LONGER NEEDED TO SERVE AS A CHECK OF
FORMER NATIONAL SECURITY ADVISER MICHAEL FLYNN.
IN A STATEMENT BANNON SAID FORMER NATIONAL SECURITY ADVISER
SUSAN RICE, QUOTE, OPERATIONIZED THE NSC DURING THE LAST
ADMINISTRATION. I WAS PUT ON TO ENSURE IT WAS
DEOPERATIONALIZED. GENERAL McMASTER HAS RETURNED TO
NSC TO ITS PROPER FUNCTION. LAST NIGHT VICE PRESIDENT MIKE
PENCE SAID THE CHANGES WERE NOTHING OUT OF THE ORDINARY.
>> I THINK THE PRESIDENT'S ACTION, ADDING THE CHAIRMAN OF
THE JOINT CHIEFS, ADDING THE DIRECTOR OF NATIONAL
INTELLIGENCE AND MOVING A COUPLE OF OUR SENIOR PERSONNEL OFF THE
NATIONAL SECURITY COUNCIL SIMPLY REPRESENTS A VERY ROUTINE
EVOLUTION OF THE NATIONAL SECURITY TEAM AROUND THE
PRESIDENT. >> SO IT'S NOT A DEMOTION FOR
STEVE BANNON? >> NOT FOR STEVE, NOT FOR TOM.
THESE ARE HIGHLY VALUED MEMBERS OF THE ADMINISTRATION "NEW YORK
TIMES" REPORTS SEVERAL ASSOCIATES QUIETLY EXPRESSED
ANNOYANCE THAT ABOUT THE CREDIT BANNON RECEIVED FOR SETTING UP
THE AGENDA. AND HE WASN'T HAPPY ABOUT THE
PUPPET MASTER THEME PROMOTED BY LATE NIGHT TALK SHOWS.
BANNON WAS ABSENT FROM YESTERDAY'S NEWS CONFERENCE
HAVING ATTENDED ALL OTHERS DURING THE TRUMP ADMINISTRATION.
A SOURCE SAYS BANNON ONLY DOES THE THINGS THAT ARE VITAL AND
HEALTH CARE WAS VITAL YESTERDAY. "THE NEW YORK TIMES" SAYS BANNON
RESISTED THE MOVE AND EVEN THREATENED TO QUIT.
JOE? >> THE TIMES EXCERPT WE PUT OUT
THERE WAS SORT OF THE BRIGHT SHINY OBJECT TALKING ABOUT HOW
HE DIDN'T LIKE PRESIDENT BANNON BEING MENTIONED ALL THE TIME.
HE HEARD THAT NOT ONLY EXTERNALLY BUT INTERNALLY.
THERE'S ACTUALLY MORE TO THE PART OF THE STORY THAT DONALD
TRUMP SEES POLLS THAT SEE HIM AT 34, 35, 39%, AND HE UNDERSTANDS
STEVE BANNON'S VIEW OF HOW TO RUN A WHITE HOUSE AND ESPECIALLY
THE EXECUTIVE ORDER MOVING FORWARD AND FIGHTING MEMBERS OF
CONGRESS INSTEAD OF WORKING WITH THEM, HE HAS GROWN TO UNDERSTAND
ACCORDING TO ALL THE SOURCES I'VE BEEN TALKING TO THAT A LOT
OF THAT CHAOS COMES FROM BANNON. BANNON HIMSELF HAS BEEN
EXTRAORDINARILY FRUSTRATED INSIDE THE WHITE HOUSE AT ONE
POINT SAYING, HEY, IF MY TALENTS AREN'T NEEDED HERE, I CAN TAKE
THEM SOMEWHERE ELSE. BANNON HAS BEEN FRUSTRATED AND
ANGRY. ANOTHER PERSON TELLS ME HE'S
BEEN EXHAUSTED BY ALL THE INCOMING THAT HE'S TAKING AND
DOESN'T FEEL LIKE HE'S GOTTEN PROPERLY DEFENDED.
SO HE THREATENED TO QUIT, BUT HE DIDN'T QUIT.
THE TRUMP TEAM DIDN'T FIRE HIM. MARK HALPERIN, THEY DID STHILG R
SOMETHING MUCH WORSE THAN FIRING STEVE BANNON.
THEY PUT HIM IN CHARGE OF HEALTH CARE.
THE HOUSE RECESSES TODAY. IT'S A CLASSIC MOVE.
THIS IS PART OF A DEATH SPIRAL THAT WE'RE WATCHING.
HE'S BEEN ATTACKING JARED KUSHNER QUIETLY TO THIRD PARTIES
FOR SOME TIME. THAT NEVER, EVER ENDS WELL.
AND THIS IS ONE STEP CLOSER TO RUNNING A SUPER PAC FOR THE
MERSERS ON THE OUTSIDE OF THE WHITE HOUSE INSTEAD OF ALL THE
NONSENSE HE DEALS WITH ON THE INSIDE OF THE WHITE HOUSE.
>> NO DOUBT WHAT PEOPLE ARE TALKING ABOUT ON THE DOMESTIC
SIDE, THE PERSONNEL SIDE, THERE'S A SHAKEDOWN GOING ON.
THE CURRENT POLICY PRIORITIES ARE NOT GOING TO BE WHAT THEY
ARE -- WHAT THEY ARE NOW ARE NOT GOING TO BE WHAT THEY ARE IN
MAYBE EVEN A FEW WEEKS. ON THE OTHER HAND THIS IS STILL
A BIG FOREIGN POLICY WEEK. I THINK YOU'RE SEEING NOW THE
PRESIDENT ON SYRIA, NORTH KOREA, CHINA HERE TODAY, ON THE
REORGANIZATION OF THE NSC, HE'S RECOGNIZING, AS MUCH AS HE WANTS
TO BE UNORTHODOX THE COUNTRY SEES THE PRESIDENT AS THE
INDISPENSABLE PERSON ON THESE ISSUES.
I THINK YOU'RE SEEING HIM ACT MORE LIKE A NORMAL PRESIDENT,
PARTICULARLY YESTERDAY IN THE ROSE GARDEN.
>> YESTERDAY IT LOOKED LIKE GENERAL McMASTER'S NATIONAL
SECURITY COUNCIL ADVICE TO THE PRESIDENT OF THE UNITED STATES
WALKING OUT INTO THE ROSE GARDEN INSTEAD OF STEVE BANNON'S.
OF COURSE, WE CAN NEVER JUDGE DONALD TRUMP BY ONE THING HE
DOES BECAUSE HE'LL DO SOMETHING LATER IN THE DAY DEEPLY
OFFENSIVE. BUT AS FAR AS SENDING A SIGNAL
TO THE WORLD, HOW IMPORTANT IS IT THAT WE HAVE A NATIONAL
SECURITY COUNCIL THAT HAS NEITHER MICHAEL FLYNN NOR STEVE
BANNON BUT INSTEAD HAS GENERAL McMASTER AND DINA POWELL AS HIS
NUMBER TWO? >> YESTERDAY WAS A GOOD DAY.
YOU CAN CHOOSE A LOT OF THINGS, JOE, WHEN YOU'RE PRESIDENT.
THE ONE THING YOU CAN'T CHOOSE IS YOUR INBOX.
WHAT I THINK THIS WEEK HAS SHOWN IS THE INBOX IS AS DAUNTING AS
IT GETS. YOU END IT WITH THE CHINA
SUMMIT. YOU HAD THE EGYPTIAN PRESIDENT,
JORDANIAN KING, THE SYRIAN CHEMICAL WEAPONS USED, THE NORTH
KOREA MISSILE TEST. YOU'VE GOT A LOT COMING AT YOU.
IF SOMEONE LIKE STEVE BANNON WANTS TO BE THE LeBRON JAMES OF
AMERICAN FOREIGN BOL SEE AND TAKE HIS TALENTS ELSEWHERE, I
THINK THAT'S PROBABLY A GOOD STEP.
THESE GUYS HAVE AS MUCH ON THEIR PLATE AT ONCE AS ANY
CONTEMPORARY PRESIDENT HAS HAD. THEY'VE GOT TO GET THEIR DUCKS
IN A ROW. THIS IS ONLY ONE STEP.
YOU STILL HAVE AN UNSTAFFED STATE DEPARTMENT, UNSTAFFED
DEFENSE DEPARTMENT. YOU DON'T HAVE ANYTHING LIKE A
FUNCTIONING NATIONAL SECURITY COUNCIL WITH DEPUTIES
COMMITTEES, PRINCIPLES COMMITTEES.
WE'RE IN MONTH THREE AND HAVE TO SAY THIS ADMINISTRATION WHILE
IT'S TRAVELED POSITIVE DISTANCE THIS WEEK, STILL HAVE A
CONSIDERABLE WAYS TO GO. ONE OF THESE CRISIS IS GOING TO
MATURE AND BECOME A REAL CRISIS. I THINK WE'RE GETTING CLOSE TO
IT WITH BOTH NORTH KOREA AND SYRIA.
>> JENNIFER, IN BREAKING THIS STORY, DOES THIS IN ANY WAY LOOK
LIKE ANYTHING ELSE BUT A STEP OUT THE DOOR FOR STEVE BANNON?
>> I KNOW THIS IS ALWAYS GOING TO KICK OFF A SERIES OF THE
POLICIES OF THE INNER CIRCLE. I SPOKE WITH SEVERAL TOP
OFFICIALS AND SAY NO, IT DOESN'T DIMINISH HIS ROLE.
HE LOST A PRO FOR MA SEAT AT THE PRINCIPAL'S COMMITTEE.
HE'S STILL WELCOME AT THE LARGER BODY OF THE NATIONAL SECURITY
COUNCIL. WHAT WAS MORE INTERESTING ABOUT
THIS WAS THE FACT THAT MICHAEL FLYNN WAS MAYBE CONSIDERED A
LITTLE BIT SHAKY. I WAS TOLD THE WHOLE REASON THAT
STEVE BANNON WAS PLACED ON THIS PRINCIPALS COMMITTEE, AND I WAS
TOLD IT WAS CHIEF OF STAFF REINCE PRIEBUS' IDEA TO LOOK
OVER THE SHOULDER OF MICHAEL FLYNN, I WANTED TO MAKE SURE HE
GOT THE JOB DONE. >> HOW SAD IS THAT, NUMBER ONE?
CAN WE EVEN TAKE A MOMENT AND GO WHAT?
>> THAT'S NOT TRUE. >> THE NATIONAL SECURITY
ADVISER. >> AND THEN -- THAT'S NOT TRUE.
AND THEN THE COVER OF YOUR MAGAZINE, I CAN TELL YOU I HAVE
SEEN THE PRESIDENT WITH MY OWN EYES GET VERY UPSET AT THE
ATTENTION BANNON GOT WHICH HE RIGHTFULLY DESERVED BECAUSE HE
PULLED THE STRINGS ON A LOT OF WHAT IS HAPPENING.
DOES ANYBODY DISAGREE? JOE?
>> DISAGREE WITH WHAT, THAT BANNON PULLED A LOT OF THE
STRINGS? >> AND THE PRESIDENT WAS IRKED
BY IT. >> AND THE PRESIDENT WAS
IRRITATED ABOUT STEVE BANNON FOR GOOD REASON.
THE FACT THAT PEOPLE WERE GOING AROUND -- I WOULD HEAR PEOPLE,
PEOPLE IN THE MEDIA FOREVER SAYING, OH, THIS NATIONALISM
STRAIN OF DONALD TRUMP ALL STARTED WITH STEVE BANNON.
I'M LIKE DID YOU NOT SEE -- >> THE BANNON WAY.
>> I SAID DID YOU NOT SEE JANE PAULEY INTERVIEWING DONALD TRUMP
IN 1987 AND DONALD TRUMP TALKING ABOUT JAPAN THE SAME WAY HE
TALKS ABOUT CHINA TODAY? DID YOU NOT SEE KATIE COURIC --
YOU CAN GO BACK 40 YEARS. THIS IS HOW DONALD TRUMP HAS
SPOKEN FOR 40 YEARS. I DON'T KNOW WHAT STEVE BANNON
WAS DOING IN 1987, BUT I GOT A FEELING HE WASN'T IN THE "TODAY"
SHOW GREEN ROOM WHISPERING, HEY, DONALD, WHY DON'T YOU ATTACK
JAPAN, IN 1987, AND SAYING GEORGE H.W. BUSH WILL NEVER BE
PRESIDENT OF THE UNITED STATES. IT'S RIDICULOUS.
>> MICHAEL? >> I THINK YOU HAVE TO KEEP IN
MIND THIS MORNING THAT BANNON HAS LOST THREE BIG ROUNDS HERE.
HE LOST ON IMMIGRATION. THAT WAS A DISASTER.
HE DID PUT HIMSELF ON THIS PANEL.
HE WORKED IT OUT WITH FLYNN AND DID IT IN ADVANCE IN THE FIRST
WEEK, EVERYONE WAS SURPRISED. NOW THAT'S UNDONE.
TO CALL IT A PLAN FROM THE START IS HYSTERICAL.
HE LOSES ON THIS, LOSES ON THE IMMIGRATION BAN, HE WAS DRIVING
THE HARD LINE ON THE FREEDOM CAUCUS DURING THE HEALTH CARE
VOTE AND THE HEALTH CARE VOTES WHICHEVER ONE HAD WRONG.
THIS IS REALLY THREE STRIKES. >> HANDED A CLUNKER WITH HEALTH
CARE. GOOD LUCK WITH THAT.
>> THAT REALLY IS THE ARC OF WHERE HE'S GOING.
TO BE HANDED HEALTH CARE WHEN EVERYONE KNOWS IT'S DEAD.
>> IT'S DEAD. >> I NEVER WOULD UNDERESTIMATE
STEVE BANNON. I THINK HE STILL IS GOING TO
PLAY A ROLE IN NATIONAL SECURITY.
THEY MADE THAT CLEAR, THAT HE COULD STILL GO TO MEETINGS AS HE
SAW FIS AND THAT HE WOULD BE AROUND.
I THINK WHILE HE MIGHT BE WEAKENED, AT THE SAME TIME THAT
THESE PRESIDENT BANNON REMARKS DID BOTH ARE PRESIDENT TRUMP, HE
ALSO KNOWS THAT WAS A TACTIC THAT A LOT OF THE MEDIA WAS
PRESSURING TRUMP TO LESSEN THE GRIP OF STEVE BANNON.
SO I THINK DONALD TRUMP IS STILL GOING TO HAVE STEVE BANNON IN
THE ROOM FOR A WHILE. >> AND THE NSC NEEDING A SHADOW.
BANNON WAS SUPPOSED TO TRACK WHAT THEY WERE DOING WHICH IS
ASTONISHING. THAT GROUP STILL EXISTS.
PART OF THAT NARRATIVE HAS A PIECE OF TRUTH BUT IT WAS NEVER
DOMINANT. >> TO SAY THAT YOU PUT SOMEONE
IN THE POSITION OF NATIONAL SECURITY ADVISER WHO NEEDS A
BABYSITTER, NEEDS A MINDER, WOULDN'T THAT PRECLUDE PUTTING
THAT PERSON IN THE JOB IN THE FIRST PLACE?
THIS IS ONE OF THE PIVOTAL JOBS IN ANY U.S. GOVERNMENT.
>> PRETTY HORRIFYING. AND STEVE BANNON IS THE PERSON
YOU PUT THERE. >> COMING OUT AGAINST MIKE FLYNN
AT THIS POINT -- GENERAL FLYNN CANNOT BE HAPPY THAT STEVE
BANNON IS RUNNING AROUND HE
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