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1. That's cool
Most often means something is of interest. It can also mean however, that something is not interesting at all.
"Did you hear Brandy was coming in late?"

"That's cool......"
2. That's Cool
Saying used by small minded people after absolutely EVERYTHING you say, even when what you say is totally NOT cool.
Dude: Hey babe, wanna go get a beer tonight?

Babe: Can't, I'm not feeling well.

Dude: That's cool.
by enchantedm Aug 3, 2005 add a video
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