softer blankie. gasp hypoallergenic tide, downy and bounce free i'm in for ronan farrow. it's 1:00 on the east coast and 10:00 on the west coast. tony confirmed a limited release of the movie, the interview, on christmas day, the day they planned to air the movie before pulling it. it was confirmed by alamo draft house cinemas that has 19 different locations across the country and a theater in atlanta. plaza theater that tweeted that it also planned to show the movie starting on thursday. joining me now from los angeles is nbc's halle jackson and from white house, kristen welker and a senior correspondent here. let me begin with you in the news that sony is going to release this movie after this controversy. what do we know about that?

>> the interview was supposed to come out on christmas day originally. sony decided to pull it after the national chaps decided to show it. now the big twist, tony will release it. they are announcing what they call a limited distribution. the sony ceo coming out with a statement. i want to read you part of it here. last week saying sony did not cave. he said we have never given up on releasing the entry and excited the movie would be in a number of theaters. we are proud to make it available to the public and have stood up to those who attempted to suppress free speech. we know that chain in texas will be releasing the film on christmas. a spokesperson confirmed that within the last hour. in a theater in atlanta, another cinema is tweeting that it too will show the movie. a lot of developments here. >> just quickly in the statement, he said we are

continuing to secure more platforms. >> it may be the video on demand, the streaming services. there is talk that sony may be trying to figure out how to do that. it remains to be seen. that was not mentioned in the statement from sony. >> thank you very much. let me ask you. this is an about-face for sony entertainment. what do you make of this decision? >> it's important to remember what this came after. sony becoming a laughingstock on the global stage and the president of the united states chastising them in a public address. this was not what they wanted to do or else they wouldn't have pulled the film to begin with. this is damage control and a weak damage control at that. >> is there any way to expect what the turn out might be for showing like this? >> i think that it will probably be sold out on christmas day. a lot of people will go to see it even though it received poor reviews to say they saw the infamous interview when it opened. once word gets out that it's maybe not the funniest comedy,

the novelty may wear off. >> who comes out as a winner in this? >> i'm not sure. no one really. the theater owners, the small independent theater owners come out looking good here. sony looks so bad to begin with, this is going to be much to reverse that. they made the choice to back down. >> any reaction from the white house on this developing news? >> no reaction from the white house yet. as was just pulled out, president obama was initially critical of sony's move to pull the film. you would anticipate he would be supportive of this move and we expect that we will hear from him in some way, shape, or format some point. probably in a written statement about this. mean officially administration

officials declined to comment that created some confusion and the briefing that said don't read too much into this. >> one would entertain questions one way or the other about any of these questions about possible u.s. responses of any kind. i would caution you from assuming that because i am not going to comment on them, that the answer means one thing. >> and officials saying that they don't want to get into a verbal back and forth with north korea and i can tell you that conversations continue to go on at the most senior levels about about the cyber attack including the possibility of adding the country back to the terror list and president obama indicating that that was among the actionses over the weekend. that means increased economic and trade sanctions against north korea. a lot of them calling for a strong response to what

happened, including republican ed royce, chairman of the house foreign affairs committee who plans to hit north korea's banking sector very hard and that's the way to get at the country that some sort of cyber attack is not enough. that is involving here behind the scenes. congress remains in recess and president obama continues his vacation in hawaii and we will continue to get briefed on the options beforehand. >> thank you. we will be seeing you later on later on in the show. wall street hit a milestone. the dow traded above 18,000 and currently trading at just a little bit over. now is cnbc's brian sullivan. what's behind the jump? >> all kinds of stuff. good afternoon. it has been a spectacular run for stocks. proteleing us is a few things and helping out the consumer.

that is gross domestic product, the entire output of america. jumped 5% last quarter. that is the biggest jump we have seen in a quarter since 2003. it was driven by consumer spending. you have stock buy backs and corporate earnings and all this stuff plus low gas prices and a strong macro economic number and factor that into the magic potion that is the stock market. what you get is dow 18,000. a reminder of viewers, in march of 2009, the dow was around 6500. we are now at 18,000. that is a 180% gain from the march 2009 lows. how far we have come. >> wow. brian sullivan, thanks for that on that historic day on the stock market. another top story we are watching, the murders of two new york city police officers at 2:47 p.m. eastern time, the city will hold a moment of silence for officers ramos and liu, the

exact minute they were killed. bill deblasio visited the growing memorial yesterday and called for calm and an end to protesters until the officers can be laid to rest. author author this is a time for every new yorker to think about the families and focus on the families and put them first. we can do that by respecting their pain and respecting their time of mourning. i'm asking everyone and this is across the spectrum to put aside protests, put aside demonstrations. until these funerals are past, let's focus on the families and what they have lost. >> showing the chaotic aftermath on saturday taken across the street from the scene. elsewhere in brooklyn, a memorial is growing outside

officer liu's home where his wife of two months addressed reporters late yesterday. >> the liu family would like to express our gratitude to the police department, our neighbors, the entire new york city community. friends and coworkers for the help they provided. >> joining me now from brooklyn is msnbc's adam reece. we understand that the mayor was there in the last few hours. what can you tell us about his visit? >> good afternoon. the mayor was here about three hours ago and showed up with officer ramos's pastor. we learned this morning that officer ramos was studying to be a chaplain. the mayor has called for a moment of silence at 2:47 today,

the time when the officers were shot. we are also learning more from the police in their investigation into brinsley's social media profile. he had 119 photos on instagram, many of them anti-police and anti-government. he also had 1,000 photos on his phone. one was a video of a demonstration that he shot on december 1st in union square here in new york city. the police released a video that showed him in the brooklyn mall hours before the shooting. that was about 12:00. between 12:00 and 2:30, they lost track of him and are asking for the public's help in finding out if anyone saw him and he made calls. they are looking for the public's help and officer ramos we learned yesterday will be buried on saturday. >> police have been tracing the help's final steps. what have they learned in what they uncovered so far? >> well, as i mentioned, they had that video from the brooklyn mall. it shows him there at about

12:00. after that they lost track. they hope maybe they can fill in the holes if people come forward that may have seen or talked to him. >> adam reece, thank you very much. outside that growing memorial in brooklyn. appreciate it. >> also expected to call for calm today, the mother of sa mile an hour rice. a live news conference from ohio and call for any demonstrations to be peaceful. the 12-year-old was shot and killed by fleece a cleveland park. police believe he was armed with a gun when he was playing with a pellet gun. a grand jury will be indicted into his death. now back to breaking news. sony to allow limited release of the interview. actor seth koegen reacted to this on twitter, saying people have spoken. freedom has prevailed. sony didn't give up. the interview will be shown at

theaters willing to play it on christmas day. still ahead as new york city prepares to arrest two of its finest, can the mayor heal the rift between himself and his police department? we will be joined by them after the break. you total your brand new car. nobody's hurt,but there will still be pain. it comes when your insurance company says they'll only pay three-quarters of what it takes to replace it. what are you supposed to do, drive three-quarters of a car? now if you had a liberty mutual new car replacement,

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staten island congressman is expected to plead guilt tow count of tax fraud. the former fbi agent is facing a 20-count indictment for failing to report numbers for a restaurant he owned before joining congress. you might remember congressman grim from this moment. take a look. >> that was grim threatening to

throw a new york one reporter off a balcony and break him like a boy after he was asked about campaign finance violations. i apologize for his outbursts. joining me now from washington is mark murray. i want to start by asking you, what are the terms of this guilty plea and why now? >> here's what we know. he will complete guilt tow a charge of tax fraud as you mentioned. we don't know what the penalty would end up being. there was speculation that it could be months in jail. he simply gets probation. another stipulation might be that he has to resign his seat to be able to be part of this deal. we don't know what the penalty will end up being. as a question why now, this is part of the normal negotiations that one ends up having when you have a 20-count indictment.

one thing is still saying a number of congress will be able to hold a chip like -- i can resign this seat for a lighter sentence which might be part of this. a lot of speculation will be interesting to see what we hear from and what the punishment is. >> we heard a little bit from the minority leader who called for grim's resignation issuing this statement. now that the election is over, the congressman is admitting the truth to his constituents. you are alluding to that a little bit. >> it's likely to happen, but the person who will call for it is john boehner. if resignation is not part of the plea agreement at all. you are likely to see house republicans say congressman grim, it's time to resign. this will be a big pr hit and

make us look bad that we have felonious members of congress in our ranks and seen john boehner do this when other republicans have been in ethical or legal woes. he often and thank you for joining us. back here in new york, authorities are asking for the public's help as they try to piece together the hours after brinsley gunned down two police department officers. brinsley was at a brooklyn mall two hours before the shootings. he is carrying a bag which officials believe contained his gun inside a styrofoam container. tensions between the mayor and the police force remain strained. mayor deplasio got into a testy exchange with a reporter who asked about protesters called for dead cops. >> the question is what are you guys going to do? are you going to keep dividing

us? i'm not talking about every one of you, but let's get real. 25,000 people marched down the street and they are unacceptable. they shouldn't be saying those things. >> i am joined by the director of the black law enforcement alliance who served four 20 years as a police officer and good afternoon to you. i want to begin and ask you as a former nypd officer, hearing for cops about the relationship that exists now with city hall and that force. >> it's business as usual. there is always been this really relationship between city hall and the police unions, if you will. it's important to place a distinction between the union

management and the upper echelon of the labor unions and the police officers. they understand that this is going to be real. i think the rhetoric has been more heated, more involved and perhaps definitely given the murder of these two fine heroic police officers. but as far as the relationship, it has always been tenuous at best. >> one of the union police heads that you were referring to there, isn't backing down a few hours after the shooting, take a listen. >> there is blood on many hands tonight. that blood on the hands starts on the steps of city hall in the office of the mayor. >> what's your reaction to a comment like that and somebody who served? how much weight does a

spokesperson have in making those statements? >> he's the president of the pba. there is a significant statement. let's keep things in context. i think that was very seriously ill time and unfortunate comment for lynch or any union head to make. any police officer to make. given the circumstances and the timing of the circumstances. but as i said, the friction is always existing between unions, labor unions and the city hall. always has. people need to be mindful that in 1992, it got to the point where he was the mayor and there was an actual police riot on the steps of city hall. this is nothing new. every mayor had the honeymoon period and it ends up being severe tensions soon there after. >> the mayor went to visit the families yesterday and received major support from the

commissioner. >> you point out to me one mayor that has not been battling with the police unions in the last 50 years. name yon. name one. so the experience of this mayor in terms of cops not liking him, it's nothing new. >> has he begun to heal the rift? >> i think if there is an opportunity to heal it, this process will be ongoing and take several years if it's at all possible. really it's not important for the city hall and the unions to heal their rift. what's important is that the men and women continue to do the job as they know how to do it. they will. they will remain the police and continue to provide police services in spite of the rhetoric and demands from the union and those affiliated with the union and call for different job actions. believe you me, there is not going to be a lack of police

services from professional police officers in the nypd. >> thank you very much for joining us today. and an update to a story we brought you yesterday on this program. the department of justice will undertake a federal review in yet another police shooting, that killed an african-american man back in april. the district attorney announced that charges would not be filed saying the officer who is white acted in self defense when he killed hamilton who is black. he was shot more than a dozen times in broad daylight. he suffered from paranoid sits friendia and hallucinations. hamilton was attacking the officer with the officer's own baton. and just ahead, two days before christmas, will a wicked storm mess with your travel plans. we will have the forecast for you after the break. ♪ you don't need to think about the energy that makes our lives possible.

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for christmas could be complicated. this is video from florida this morning. rain really coming down hard. storms are bringing messy weather to each coast. flight awares misery map shows the result cancellations and delays at major airports across the country. joining me here in studio, domenica davis. part of the south is under a tornado watch. i have been in the misery circles getting more and more red. >> we were just talking about that. it's miserable. a lot of others too. i want to start with the gulf coast. >> that is going to continue until 6:00 tonight. they issued a blizzard warning.

to ten inches of snow and the winds will be whipping. off to the east coast, things are just getting going here with the rain. but the visibility is terrible. we are under three miles from visibility in new york, d.c. is 1.3 miles and average clear day, you are looking at a visibility of about 10. this is bad and definitely will cause flight delays. tomorrow the storm deepens along the east coast when you are looking at wind and rain up the corridor. still dealing with lake effect snow around the great lakes. storms to the south will clear. we are still looking at it. >> hopefully it will clear up in a couple of hours. thank you very much for joining us. just ahead, one of the busiest shipping days of the year in the

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a baggage handler is under arrest for moving more than luggage. he was smuggling guns, some loaded right past the tsa. he helped run guns from the hartsfield jackson airport in new york where the guns were sold. he is charged with entering an airport area in violation of security requirements. the smuggling ring included a former delta worker. the airlines said it is cooperating with the investigation, but this raises new questions about airport security. nbc's justice correspondent joins us from washington. pete, how did police catch these men? >> they apparently got a tip from a federal air marshall who saw something going wrong and started keeping them under

surveillance. nypd was running an operation to figure out where they were coming from and the gun runner was selling them to someone who thought they were being sold on the street and in fact they were being bought by nypd officers. on the other end according to federal officials was a 31-year-old baggage handler for the airline. eugene harvey who agreed to help the former delta employee who actually sneaking the guns on the flights to new york sell them on the streets. according to court documents, two weeks ago, he used his airport security fwooj enter the enter the terminal and go to the restroom on one of the concourses. the men who was running that entered the same bathroom and walked out a minute later with 18 hand guns in his carry on. the a parent handoff allowed the smuggler to get the guns after going through tsa screening with an empty backpack. they say surveillance shows what

is a similar handoff late last month. police say all the smuggled guns were bought by under cover officers and i will have more to say about that later. >> pete williams, a lot of people will be watching that as they kick into high gear. thank you for reporting on that. gun smuggling lets them get to the background check and get their hands on firearms even if they are mentally ill. the shooting this past weekend is one case where gun laws somehow failed. the suspect is in prison and has been arrested more than a dozen times. his sister also needs mental help. >> he was an emotionably troubled young man. he was suicidal. he should have been offered help in the system. right? but he wasn't. >> police don't know how he got his weapon.

it could have been through the black market or the so-called private sale loophole. private sellers don't have to do background checks. our partners have this report on how easy it can be to buy a firearm no matter what your history is. >> my name is samantha and i go by sammy. i am 27 years old. i have bipolar type one disorder and social anxiety disorder. bipolar one has true mania which is the mania where the person can lose touch with reality. this video is going to be talking about stuff i did when i was having bipolar symptoms and delusions and hallucinations. i thought i was safer if i had a gun in my house.

i have been better for three years and i would like to see if i can buy a gun. i honestly have no idea whether i will pass a background check or not. >> sami said she has been in a mental institution twice, once voluntarily and once involuntarily. that second case, she said she was kept under close supervision for eight days. >> i went in voluntarily to the hospital. i have no control over my mind usually. not in a violent way, but a delusional way. i thought that jesus was talking to me and i thought it was the dalai lama. the police saw me wandering down the street taking my clothes off. they were leading me to the police karsaying she needs to go to the hospital. i wouldn't get in the car so they put handcuffs on me.

>> you don't have a lot of shooting experiences. a lot of people suggest that. do you have a driver's license? >> have you been adjudicated? has a judge said you are crazy? >> not a judge. >> adjudicating a judgment that you have been committed? >> the form also asks have you ever been committed to a mental institution? >> have you ever been committed or subsubmitted. don't worry about those places.

that doesn't count. >> so just a judge? >> that a judge said that you are incapable? >> not a judge. >> okay. got it. i have been better for years. i was surprised i was able to get it or that there was nothing on my background check. when i was suicidal and going through symptoms, i would think that i would probably be less safe owning a gun. but now that i'm stable, i would feel more safe in this situation.

>> powerful reporting there. our thanks to our partners for that report. next, the breaking news we covered at the top of the hour. sony announcing they will relouis the interview despite the hacking scandal. that is following a major internet outage for north korea. what do we make of it all? much more after the break. ♪ [ female announcer ] just about anywhere you use sugar, you can use splenda® no calorie sweetener. splenda® lets you experience the joy of sugar

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about how you want things to be. [ male announcer ] go long™. about how you want things to be. dave, i'm sorry to interrupt... i gotta take a sick day tomorrow. dads don't take sick days, dads take nyquil. the nighttime, sniffling, sneezing, coughing, aching, fever, best sleep with a cold, medicine. >> movie fans are getting a last minute present from sony pictures. sony will now in fact show the interview starting christmas day. sony pictures announced a limited release here in the u.s. the chairman and ceo saying we are continuing efforts to secure more platforms and more theaters so that this movie reaches the largest possible audience. it has been less than a week since they canceled theater showings in reaction to threats from hackers. for you more, i am joined by a

senior correspondent at gawker. a truman project fellow and a director for cyber security legislation and policy in the obama administration. we were talking about this earlier. is this a victory for free speech and for sony? >> i think there is no way to construe this as a victory for sony. they have still been shamed across the internet and the political landscape. they will have a limited release of this film that has been the center of the controversy, but i don't see it reversing the damage that has been done overall by the hack. >> if this movie is released and we know it will be somewhat released on christmas day, should sony or the theater chains that are or this theater chain, should they be worried about problems from the hackers? >> they should take precautions. it would be characteristic of what we see to date.

the attackers in this case would likely use this as a pretense for further actions. that wouldn't prudent. >> we heard from seth koegen and now from james franco, one of the stars of the interview. he said celebrating the interview starring seth roguen and james flacco. >> to have their work out there in any way, they were looking at zero and now they have less than zero. >> tremendous hub lisity for the film. >> that are almost no one can see, but everyone is talking about it for whatever that is worth. that's more than the theaters would have brought in. >> the internet was caught off and there was a disruption to it. it is back on after the outage that lasted about 9 1/2 hours that. comes less than a week after they were behind the sony hack. what's the u.s. saying and is there a way to know who is

behind this outage? is it rare for them to have this outage? >> i wouldn't say it's rare for them to have this houj for this length of time. it's uncharacteristic and there no indications to suggest that the u.s. had a role in this. i think it's very early to speculate. i'm not sure that this would reflect the interest of the administration and what they want to convey. i am speculating, but i highly doubt this that was we will see those that take the action out of cyberspace and focus on things like internet freedom and promoting free speech and setting constructively norms for them.

>> they are trying to post and asking twitter to actually suspend the accounts. do you think they have the basis for them and to try and do that? that's the nature these days and sony should deal with that. the threats are absurd and much of the information in the community has done excellent analysis based on what we have seen. it hasn't just been celebrity gossip. >> you wrote a piece for gawkers saying some are questioning whether north korea is behind this. do you think they are? >> the fbi has not shown anything remotely definitive. if we were discussing sanctions and measures against north

korea, we need a better case. they haven't put that up yet. could it be them or someone else? we should know before we do anything. >> another twist in the story. thank you for joining us from san francisco. our thanks to both of you here on set. we are hitting the rewind button for one of the favorite sections of the year. they took a trip to will.i.am's dream factory and previewed impressive technology. stick around. we did it. we did it! ♪ it is official, we gave the people what they wanted. the nation's strongest lte signal. this is a big deal! soak it in! just let it wash over you like a warm bath.

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about how you want things to be. [ male announcer ] go long™. the last week before christmas, american shoppers went on a buying spree, centing $42 billion this past weekend, up $41 billion from just a year ago. i was one of those shoppers. don't be surprised to see tech gifts under the tree this year. the consumer electronics

association said tech spending will reach nearly $34 billion, a new record. welcome news to entrepreneur will.i.am i. am who is venturino wearable technology. ronan caught up with who tells him his reason for investing goes back to his roots, the projects. >> this is not about money at all. this is about a void i see that i want to fill. and all the things -- all the good things that come from filling that void. education is one of those things. encouraging kids in the inner city to take an interest in interest they probably never thought they should have been interested in. most kids in inner city -- you know, first thing that comes to their mind when it comes to careers isn't mathematics or coding. some of them are going to say, i want to play basketball. or i want to play football.

i'm trying on get my 16 bars down, you know, trying to do this music stuff. and all those career paths are amazing career paths, but not everybody's going to become lebron james. not everybody's going to be jay z. not everybody's going to be the black-eyed peas. you ask a ninth grader, what's your elective? when do have you have math? i have math third period. then you ask that ninth grader, when are you taking ios? you have android for first period? you have microsoft for fourth period? these are the biggest businesses in america. you would think in america kids are learning those tools. you're telling me kids aren't learning ios in freaking third period? that doesn't make any sense. >> reporter: will gave me a tour of his los angeles studio. he calls it the future. there's a sound stage ready for

the next music video, 3-d printers creating everything from fashion items to technology. >> this toe cap goes to this show. >> reporter: a small army of engineers and coders, working on his new wrist device. >> so, to make a phone call, log into that. if i go to history, i'll go to chandra, i swipe for it to call or text. >> reporter: how did you get around the difficulty of so little real estate and fingers being too big? >> we have some awesome engineers. so, if i contact chandra, what time -- i mean, the delete is -- you just swipe to the left. what time are you coming to --

that's it. or i can talk it. what time are you coming to the future? dot, dot, dot. i've been here waiting for a while. dot, dot, dot. it's okay. take your time. >> reporter: when you learned about the apple buyout, one of the things you said publicly is this will be good for the kids in the inner city. why is that? >> the reason that is powerful and important is because it gives a new lane for people to aspire to, you know, travel down. oh, dr. dre made some consumer electronic products and, wow, apple bought it? you needed something like that in culture so kids could dream that way. >> reporter: and will is dreaming big. working with a team of designers to incorporate his ideas into creations that are part music, part fashion.

you're wearing a backpack you designed, right? >> i'm wearing a backpack that has power and sound. so instead of having a piece of technology you put into your bag for you to have sound, the backpack itself is sound. ♪ >> reporter: so, you've got a decent sound system. that's cool. very cool. and it powers your device how? >> we have jackets that power your device. the jacket -- the sleeve touches the device and powers the device for four days. >> reporter: if 15-year-old william adams could see all of this now, this incredible complex that we're in, this empire that you've built, what would he say? >> he would say, i told you. i'm just -- i'm living the dream that that 15-year-old started. he wouldn't be surprised. he would be excited. he would say, i told you so. >> reporter: so, this is a

ceramic will. >> yep. >> reporter: based on a scan of your face. >> yes. >> reporter: it's cool. appropriately enough he says the am in will i. am is short for ambition and this musician turned entrepreneur is set on taking the technical world for by storm. >> there's no other way for creative artists to create in that way. i was tired of talking about it. i wanted to show it. what good is rapping about it? they're going to think it's fantasy. so, i wanted to have the actual factory. >> reporter: make it, literally. >> willie wonka didn't rap about his factory. he just had his factory. >> reporter: this is your willy wonka factory. >> and i'm chocolate. >> reporter: you said it. >> we'll have more of our favorite moments of ronan on the road as we head into the new year. that's a wrap for me here on

"ronan farrow daily." happy holiday shopping. now it's time for "the reid report" with francis rivera filling in for joy reid. >> thank you very much. coming up on "the reid report," more details on that breaking news of sony's limited release of "the interview." we'll also get an update on the miserable holiday weather causing headaches for millions of travelers. plus, moment of silence for new york's two slain police officers. it's not about how many miles you can get out of the c-max hybrid. it's about how much life you can fit into it. ♪ the ford c-max hybrid. with an epa-estimated range of 540 miles on a tank of gas. and all the room you need to enjoy the trip. go stretch out. go further.

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hi there! [ laughs ] -i'm flo! -i know! i'm going to get you your rental car. this is so ridiculous. we're going to manage your entire repair process from paperwork to pickup, okay, little tiny baby? your car is ready, and your repairs are guaranteed for as long as you own it. the progressive service center -- a real place, where we really manage your claim from start to finish. really. ♪ easy as easy can be bye! tornado warning across the south. just a short time ago sony announced it will release the film "the interview" just as a mysterious internet outage ended for the country of north korea. we begin this afternoon with the sony hacking story.

cnbc's julia bornstein with us. >> c.o. michael lynton saying we're excited our movie will be in a number of theaters on christmas day. he goes on to say, quote, while we hope this is only the first step of the film's release, we're proud to make it available to the public and have stood up to those who attempted to suppress free speech. this is an about-face after sony canceled the schedule release for thursday after terror threats against theaters, threats which prompted the nation's five largest theater chains to pull the film from their screens. today's announcement from sony comes after president obama said friday he thought it was, quote, a mistake for sony to cancel the release saying he wished sony had called him first. there has been an outpouring social