Document regarding airline industry impact post-9/11

NYC 9/11 Public Portal Document

duty-free shops in air­ “It’s like we’re all just sitting Before Sept. 11, the top six Most airline furloughs run the those housed in the ports hurt cosmetics U.S. airlines had about 38,000 gamut from pilots to ticket World Trade Center where staffs on the fence waiting for some­ giant Estee Lauder, which said it one to shoot us down," said employees split among the agents to mechanics and and offices were decimated. was reducing expectations for 20-something Megan three major local airports. ground workers. In the days following, Ameri­ sales and profit growth largely Northam, a Delta flight atten­ With New York flight reduc­ The closure of TWA opera­ cans became afraid or,temporari­ because of the Sept. 11 attacks. dant with three years seniority. tions now ran^ng from 20% to tions at Kennedy airport alone ly unwilling to fly, shop and eat Its biggest customer. Federat­ “I think we’ve all been in the 36% per airline, more than is resulting in about 1,400 me­ in restaurants. Only slowly are ed stores, said sales have been bar more than usual.” 9,000 local personnel are ex­ consumers returning. chanic and ground worker lay­ w 20% below normal since the at­ pected to lose their jobs. offs, according to the Interna­ G According to the Siena Col­ tacks. The owner of Macy’s and K lege Research Institute, New Those affected say the deep tional Association of Machin­ G Bloomingdale’s said sales since industry-wide cuts and high un­ ists and Aerospace Workers. M Yorkers’ consumer confidence the attacks were down 20% and O o and their desire to spend profit estimates would be employment have them wor­ Perry Esposito, furloughed H o plunged to record lows after the ried and scrambling. from his mechanic job with s trimmed. Federated accounts H Sept. 11 attacks. for 11% of Estee Lauder’s sales. “Sometimes I think maybe I TWA after 16 years, said “it’s O To standardize the impact of Upscale retailer Nordstrom’s should just go home to Minne­ not like TWA is hurting so I’U a this lost or reduced business, sota,” said Catrina Albrecht, go apply 'af United.”"Every- 2 M said it was resorting to rare 60% 2 2 the Financial Accounting Stan­ reductions on clothes, shoes and laid off after a six-month stint one’s hinting, and all airlines O H dards Board, said companies have longlists of wortt^S wait- H accessories to clear out mer­ as a Northwest flight atten­ M > must report profits or losses re­ chandise for new holiday goods dant. ing to be tilled',back. O lated to the attacks as “continu­ H and slashed earnings forecasts. Albrecht said she’s already At 35, J^posito U ra^^emed ing operations,” not as one-time It also has laid off 2,500 employ­ tried to fed restaurant work that his resume is lin)iwq to air- < M s w “extraordinary events.” ees nationwide since Sept. 1. with Houlihan’s, but the chain line expenence.'“Whei LAm«i- "Sept. 11 was so significant, As fewer Americans have G so pervasive and so entangled isn’t hiring, another casualty can - - "acquired- ! first, O taken to the roads in rented cars of diminished tourism. idea was, f^ piqto ju .ffhange 2 with the changes in the econo­ or booked hotel rooms, Cendant DAVID BURNS DAILY NEWS a G my” that it would be impossible “A lot of us are starting to uniforms, u,, ,lanu^uy he said. M O said its lodging and Avis rental Jeanette Mammontree was move in together to save “Now, I’lVsIwy® JQ/ change 2 to separate them from the ongo­ car units have been hit by a ing businesses of companies, laid off from American AirOnes. money,” said Julimarie Sulli- trades.” ^,,,. ?iolu 2 sharp drop in bookings. O 2 said Tim Lucas, head of the GuiG- 2 FASB’s Emergency Issues Task

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H z >3 Force. The board helped fashion new accounting rules to address these issues beginning with the three months ended Sept. 30. Silverstein snags super-lawyer for insurance fight M 2 O 2 “We were expecting a muted By ERIC HERMAN DAILY NEWS BUSINESS WRITER who faced Wachtell in lawsuits against tobacco companies dur­ the Port Authority. He also needs insurance money to re- and try to jack him around on coverage,” Scruggs said. H 2 holiday season before” the at­ Larry Silverstein is taking no tacks, said CIBC World Markets ing the 1990s and was later de­ build the World Trade Center. Wachtell has handled some of chances when it comes to assem­ picted in the film “The Insider.” Silverstein has vowed to erect the toughest, most sensitive to tH retail analyst Dorothy Lakner. bling his team of lawyers. o “Now we take an even more “He can be a bit intimidating.” four towers of 50 or 60 stories cases in recent memoiy. Philip o § The developer who controlled each on the site. Mortis, the nation’s latest to-. co CM sober view. The third quarter Silverstein will need all the in will be pretty terrible.” the World Trade Center has legal help he can get, experts Silverstein’s insurance poli- bacco company, hired him to de- Q Corporate profits of just the hired Herbert Wachtell. a take- cies provide about $3.6 billion in fend it against a raft of lawsuits

I H K S S o 500 companies in the Standard & Poor’s 500 index could fall by $15 billion, according to no-prisoners trial lawyer known for high-profile cases as a key member of his legal army for his said. The developer faces a mo-

bept. Il terrorist anacK. separate incident, , ' sgsxsss' former Disney president Jef- Salomon Smith Barney econo- Most urgently, Silverstein entitling him to $7-2 billion. \. 'frey . Katzenberg brought in S o mist Steven Wieting. upcoming battle with insurers. needs to collect billions of dol- “i think he’s well-advised' to' .^chteU. when he suet^the com- o Thompson FinanciaVFirst “Herb’s in a bit of a league by lars from his insurance coinpa- get a giiy like 'Herb Wachtell up; pany iuidlctwnnan^chael Eis- o R'chard Scruggs, nies so he; Qap pay ment o^^ to. ^?iscalcif}fttp o I .Bsbuqob qot a'ufidJn^a I o co co o co

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