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LOU DOBBS MONEYLINE

NYSE Opens Tomorrow Morning; Airline Industry Hurt by Terrorist Attacks; Mail Delivery Disrupted by Air Travel Shutdown

Aired September 16, 2001 - 18:07   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.


THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
LOU DOBBS, CNN ANCHOR: Five days after the worst attack ever on American soil, New York City and Wall Street are preparing to go back to work. Amidst the rubble that was the World Trade Center and much of what we refer to as Wall Street, the search for survivors is still going on. Countless workers are struggling also to restore telephone, water and power to the area.

Wall Street needs all of those services, of course, and more to get back to business tomorrow. Dry runs at the various stock exchanges went well yesterday. The Securities and Exchange Commission late today gave the New York Stock Exchange approval to go ahead and return to trading. The exchange tonight appears ready for its 9:30 opening tomorrow morning.

Bill Hemmer is in downtown Manhattan, and he has been looking over the site and also seeing how preparations are going, as thousands of workers prepare to return to the area tomorrow morning -- Bill.

BILL HEMMER, CNN CORRESPONDENT: Yeah, Lou, the news continues down here, and the news again today is not good. The mayor has put the missing total now over 5,097 still missing inside the World Trade Center. The rubble you see behind me now becoming known as the pile here at the southern end of Manhattan. They're still calling it a search and rescue mission, still trying to see at this time and hold on to hope that someone, possibly more than one person, can be found alive inside the rubble.

But you know, as the days continue to go by, the hope fades day by day here in Southern Manhattan. You know, in 136 years time the New York fire department here has lost fewer than 800 men and women, but already we're looking at more than 300 firefighters still missing at this point. That branch and unit of New York has certainly taken an awful and tragic hit throughout this entire ordeal.

The U.S. Army Corps of Engineers informing us they're looking at five buildings still standing right now on the perimeter of the former World Trade Center, still looking at those for possible precarious positions in terms of structural damage, going through there, trying to make sure they're indeed safe and sound.

Also, the -- we're getting word from the U.S. Army Corps of Engineers that they are trying to put together a plan at this point to go ahead and take the rubble out at a much quicker pace. We've seen workers for five, six days now taking them out by each truckload, but they would like to expedite that at this time, they're trying to put together a plan in order to do that. It's a daunting task. Some estimate that more than 500,000 tons of rubble still on the ground here, on the streets of Manhattan.

Getting some words today of theft, some engineers coming out of those buildings saying that a number of the ones still standing has been vandalized, in parts, we're hearing. Some offices broken into, coffee shop or two robbed on the scene, and that is not the best positive news we're hearing thus far.

The smoke and the steam you see coming off, still fires burning in certain areas, and as the water continues to treat these areas you see the steam rising, as a number of parts inside that pile again continue to be quite hot from the devastation on Tuesday. Some say that steel in that building exceeded 1,000 degrees after Tuesday's attack. Lou, back to you.

DOBBS: Bill, thanks, Bill Hemmer.

Well, a lot of companies make up what we call Wall Street, not only the exchanges and the brokerages, but the firms that support all of the trading activity down there. And through this weekend, the employees of those companies have been struggling to get back to downtown Manhattan and to the Wall Street area to prepare for tomorrow.

Chris Huntington has spent much of the past two days down there and has this report for us -- Chris.

(BEGIN VIDEOTAPE)

CHRIS HUNTINGTON, CNN CORRESPONDENT (voice-over): As utility workers laid the ground work for restoring power, the New York Stock Exchange unfurled its message to the world: Wall Street will be back in business Monday morning.

The debris of terror still covers the financial district, but there is unanimous determination to shake it off.

UNIDENTIFIED MALE: Monday, we're going to try to open, and we're doing the cleaning.

JOANN SALERNO, FRIENDLY PIZZA: Hopefully, back to normal, if we can get deliveries, coffee in the morning, donuts, Danish.

SAMUEL CASTRO, SAMUEL'S HATS: We're just trying to clean up first, put everything together, trying to wake up from this nightmare, and I think we'll -- we'll get back even better than what we used to be.

HUNTINGTON: The Federal Reserve Bank of New York set a defiant and patriotic tone on Saturday, blaring marching music from a corner of its stone fortress. Businesses in the financial district are now in a war zone. There are security checkpoints throughout the area.

UNIDENTIFIED MALE: Let me see that you have credentials (UNINTELLIGIBLE).

HUNTINGTON: And many streets remain off limits.

UNIDENTIFIED MALE: The area is now frozen.

HUNTINGTON (on camera): OK. Do you know how long it is going to be?

UNIDENTIFIED MALE: Buildings are all unsafe. The buildings (UNINTELLIGIBLE) are unsafe.

HUNTINGTON (voice-over): As of late today, a huge area of the financial district is so damaged that hundreds of businesses will be shut out of their offices indefinitely, including American Express, Merrill Lynch and Lehman Brothers in the World Financial Center.

The partners of Aetna Judicial Services were lucky. They managed to retrieve their files just before authorities put their buildings off limits.

JOEL GOLUB, AETNA JUDICIAL SERVICES: So, business basically in the what -- five, six bags that we -- thanks to my partner, we were able to grab out of the office. We're up and running better than probably most businesses today.

(END VIDEOTAPE)

HUNTINGTON: The priority tonight on Wall Street is to restore power and communication. The latest word from Con Edison, the utility here in New York City, is that 9,300 customers are without electricity. And Verizon, the regional phone company, reports that it is focusing on the network between the New York Stock Exchange and its member firms. A Verizon spokesman would only say that there's still a lot of work to be done -- Lou.

DOBBS: Chris, thank you.

And despite all of that, it still appears, according to New York Stock Exchange, that all is ready for a go tomorrow morning to begin trading at 9:30 a.m. Bruce Francis is down at the New York Exchange and tells us, are they ready, Bruce?

BRUCE FRANCIS, CNN FINANCIAL NEWS CORRESPONDENT: Lou, they say they are, even though testing will continue tonight and probably into the wee hours. Of course, testing this stock exchange is a continuous matter even in terms of non-emergency. Still, they do maintain here at the New York Stock Exchange that everything is ready to go. All systems go for that 9:30 opening bell.

Still, in the neighborhood, businesses have been scrambling to get ready.

(BEGIN VIDEOTAPE)

(voice-over): Nick Liberatos usually serves up hundreds of breakfasts at his coffee shop just three blocks away from the NYSE. But as the traders he caters to get back to work, he and his employees will be cleaning up $20,000 dollars worth of rotting food.

NICK LIBERATOS, KOYZINA KAFE: I don't know when I could have supplies delivered to the store, like milk, bred, produce, nobody can come in. So we don't know what to do, and we don't know when we can open.

FRANCIS: Although much of the financial district is open to a surprising amount of foot traffic, security is tight in the immediate vicinity of the exchange.

UNIDENTIFIED MALE: That's my building pass, but here's my driver's license.

FRANCIS: The New York Stock Exchange continued its second day of testing. Several firms, including the nation's larger broker, Merrill Lynch, have had to relocate to buildings outside of the financial district. The NYSE says their computer and communications inside the exchange are working fine, as are key links between members. The neighborhood's workers are hanging tough.

UNIDENTIFIED MALE: I'd be lying if I said I wasn't scared, but I'm certain that we'll get through.

UNIDENTIFIED MALE: America is strong and we'll do the best, I'm 100 for that.

UNIDENTIFIED FEMALE: I'm confident. I'm not afraid.

(END VIDEOTAPE)

FRANCIS: Opening tomorrow, Lou, will also be a major test for the city's transportation system. Subways are open, although major lines will be moving much more slowly. We have one major Hudson River crossing that's still not open, that's of course the Holland Tunnel. Then of course commuter trains from New Jersey -- those who used to go to the World Trade Center are not running either. So Lou, it is a test way beyond the walls of this exchange.

DOBBS: OK, Bruce, thanks. Bruce Francis.

One of the neighbors, if you will, of what was the World Trade Center is the World Financial Center, and prominent in that facility and that complex is the American Express building. The American Express building evacuated, fears that it also had structural damage and questions about its structures integrity.

But American Express says it's ready for business, and the man who knows and decides whether it's ready for business is here with us now. Ken Chenault, who is the CEO and chairman of American Express. Ken, good to have you with us.

KEN CHENAULT, CHAIRMAN AND CEO, AMERICAN EXPRESS: Glad to be here, Lou.

DOBBS: For like all of us who work in this city, this has been an incredible period for you and for all of your employees, but you're confident that you could be back to work and ready to go tomorrow morning?

CHENAULT: Yes. I think clearly this is a tragedy of epic proportions, but we're confident that we'll be able to manage on. In fact, throughout this horrible tragedy American Express has been functioning for all of our businesses. We in fact have not been able to go back into the building, but that has not stopped us from providing services to our customers.

DOBBS: And you have actually had to take other space and to relocate your employees in very short order, have you not?

CHENAULT: Yes. We, in fact, had to secure space for close to 5,000 employees in the tristate area.

DOBBS: Ken, if we can, I'm going to Chris Plante, our director, that your building, the American Express building is prominent behind us, and I'm going to ask if we can get a shot. It is on the left side, the uppermost -- the tallest structure there.

CHENAULT: Yes.

DOBBS: Now, we have heard ultimately over the course of the past four days the American Express building is in danger, that it is fine, that they have found structural problems, that indeed the structural integrity has been assured. Where are we today?

CHENAULT: My best knowledge is that the building is structurally sound. That's what we understand. But the very important point, Lou, and I said this to our organization that American Express is not defined by its headquarters building. It's defined by its people and its spirit and its character. And wherever our employees physically reside, that is American Express.

DOBBS: Well, that's wonderfully said. And I know it's got to be incredibly frustrating to you as the CEO to be given alternate stories as to whether or not the basic structure of your building is, point of fact, intact. When do you think you'll know?

CHENAULT: I think that hopefully over the next several days and weeks we will know. But the most important part of my job is to make sure that we're meeting the needs of our employees and customers, and we're doing that irrespective of the condition of the building.

DOBBS: And my guess is those who run every major firm down there, every other firm, would probably feel much the same way. We've got a lot of talk about what to expect when the New York Stock Exchange opens tomorrow. I think it's wonderful that people are talking about when it opens, because this is, after all, just a gargantuan project against absurd hurdles to do it. What do you think will happen tomorrow?

CHENAULT: I don't believe that there will be panic. I think what's very important is that this country has weathered crises before. And I believe that we have the strongest financial system in the world. We have the most efficient capital markets, and I believe that there will be calm. There certainly will be ups an downs in the market. There clearly are short-term concerns. But I believe that the American people will have faith in the financial markets.

DOBBS: Let me ask you to do this, and as people are watching, millions of people, not only in this country but around the world, a lot of people are going to have to make a lot of judgments tomorrow. Any advice you want to give?

CHENAULT: What I would say is, don't be shortsighted. Focus on what your long-term financial objectives are, see what happens, don't make snap judgments. And in fact, have faith that we do indeed have a very strong economy.

DOBBS: Ken Chenault, CEO of American Express, thanks for being with us.

CHENAULT: Thank you.

DOBBS: Well, we've seen the physical signs of Americans pulling together in this time of crisis -- blood drives, fund raising, volunteerism. Now, Americans are pulling together emotionally.

We have the most recent CNN-Gallup poll that was released just hours ago. And when asked: "Do you approve or disapprove of the way President George W. Bush is handling his job?" Mr. Bush received an 86 percent approval rate, that's 35 percent higher than just a week ago. Gallup also asked: "Do you think the United States should or should not take military action in retaliation for the attack on the World Trade Center and the Pentagon?" 88 percent of those surveyed said Americans should take action, while 8 percent said we should not. Americans also showed a lot more support for the economy, and Frank Newport of the Gallup organization joins us now.

Frank, tell us about your findings?

FRANK NEWPORT, EDITOR-IN-CHIEF, "GALLUP POLL": Well, Lou, the presidential approval rally effect, is what pollsters have called that for many years, as evidence of what we're seeing.

Let me show you another measure, which is "are you satisfied or dissatisfied with the way things are going in the United States?" This is a measure a lot of people thought would drop from last weekend to this weekend. But look at the trend here: From last weekend, it had gone down to 43 percent, all the way up to 61 percent, an 18-point rise in that measure of overall satisfaction.

It does translate over to our economic measures that we updated last weekend to this weekend. That slide that we're seeing stopped actually, when we asked Americans "rate the economy," the percent saying "excellent or good" is actually back up, you can see, 15 percentage points or so.

Even when we asked Americans comparing last weekend to this weekend, "where do you think the economy is going?" We find an increase on the percent -- not dramatic, but an increase down here in the percent who say the economy is going to be better looking ahead rather than worse. So all in all, this rally effect it looks like it's translating over to economic measures. Not all measures. We did say, "personally, do you think you'll be better off or worse off a year from now?" And we really found stability in that measure, not a dramatic change either way, but all in all this kind of rally effect could have an impact on consumer confidence and spending, which might be positive signs for the economy.

One last point, Lou, stock investors, "did the tragedies of Tuesday make you more likely or less likely to want to invest in stocks?" Vast majority say it's no change whatsoever, and actually slightly a few more stock investors say they are more likely to invest now rather than less likely. That goes to the hypothesis we just heard that we don't anticipate any kind of great panic, at least from investors, and it looks the average American out there may be solid in terms of his or her spending. Lou, that's an update.

DOBBS: Frank, we just heard Ken Chenault, the CEO of American Express, tell Americans to keep the faith. And apparently, that's exactly what they intend to do, based on the findings in your poll. That's certainly reassuring.

Ted Weisberg is a veteran floor trade at the New York Stock Exchange, he was just a few blocks from the World Trade Center at the time of the attack. Has worked through, of course, bear markets and bull markets, through slow economic times and better. But tomorrow, he's facing something he's never faced before on Wall Street. Ted is here now and he is joined to his left by Christine Romans, who spends her day, as usually, at the New York Stock Exchange.

Ted, let me begin with you, with your experience, your view. I'm going to ask you the same question that I asked Ken Chenault, what happens tomorrow?

TED WEISBERG, SEAPORT SECURITIES: Well, I really don't know. But the good thing is, I guess if there's anything good at all, that we have had five or six days to think about things and gather our thoughts, and hopefully investors will not act emotionally and they'll think clearly.

DOBBS: Well, you know, I think that your experience over this period of time, one thing we've seen -- the professionals, if you will, sometimes don't always fall in line perfectly. But it seems the private investor, the little guy, as he or she is sometimes referred to, seems to always be the wisest in these markets. Has that been your experience?

WEISBERG: Well, I think it depends on what time period you're talking about. But we know that so much of stock trading, Lou, is emotionally driven, and we're clearly in a highly emotional period of time at the moment. And I think to the degree to which investors and traders will be successful, and in fact it's success we're going to try to achieve here in the next couple of days.

DOBBS: You're the professional. Are we going to see it open at 9:30? And if we do, what's it going to look like operational? WEISBERG: Oh, I think absolutely we'll open at 9:30. I don't think the Stock Exchange would say they would if they couldn't. I think they will be 100 percent, and I think everybody will be ready to go. It's the world's greatest stock exchange, it's a huge institution.

DOBBS: You, like nearly all of us who live and work in this city has experienced loss and shared pain with those who have suffered loss. What would be the psychology, the mood in the exchange tomorrow?

WEISBERG: Well, I think that most of us probably don't want to be there, but that's where we'll be, that's our job, and that's where we'll be. I think given a choice, we would rather be over working with the volunteers searching for survivors, but I think the mood will be as upbeat as possible under the circumstances.

DOBBS: When a few blocks away, the search for now more than 5,000 missing victims of this disaster goes on, hundreds and hundreds of workers, rescue workers, there trying to find those bodies and hopefully find some who can be rescued. What are your emotions tonight as you get ready to go to work tomorrow?

WEISBERG: Well, I'm very sad. And I have been sad for days, like most people. And every once in a while, I find tears coming to my eyes, and I mean, it's just terrible. But Wednesday, I was frozen, and Thursday I started to work a little bit from home. And Friday, a little more, and I've been downtown both yesterday and today. And it's like falling off a horse, you just have to get back on and keep going.

DOBBS: Christine Romans, Ted, we have not let get off that horse. She has been there day after day. Christine, your thoughts as you get ready to go back to work tomorrow morning?

CHRISTINE ROMANS, CNN FINANCIAL NEWS CORRESPONDENT: Well, you know, one thing that traders and investors and hedge fund managers keep telling me is that it will be foolhardy to try to predict exactly what is going to happen on the open, but it would be foolish not to be ready for absolutely any scenario. And they're saying they are going to sit back, they are going to look at their screens, they are going to answer their phones, and whatever investors throw at them, they're going to have to execute those orders.

And it's almost as though they are the rescue workers in a way, when they say, you know, all we can do -- we can't go out there and dig out bodies, but we can go there and we can start trading stocks again and show America and the rest of the world that you have got to get back to business and the economic machine rolls on.

But, Lou, there are some curbs and there are some trading limits, of course, in futures and at the Dow as well. So any kind of big sell-off, there will be levels. If that were to happen, there would be levels that would mitigate that.

DOBBS: And as been pointed by a lot of people, the best way to defeat terrorists is to show that we simply cannot be defeated and to move ahead with our work and our lives.

Ted, I want to thank you for being with us. Christine, thank you very much.

We're going to go now to the chairman of the New York Stock Exchange, Dick Grasso. He is the man responsible for moving this incredible enterprise back into operation -- 9:30 tomorrow morning.

Dick, I know this is a difficult time for you. You couldn't be busier, we appreciate you taking the time. How goes it?

DICK GRASSO, CHAIRMAN, NYSE: Good evening, Lou. It's great to be with you. It's been a difficult time for all Americans, but as one of your guests said earlier, we are ready to go, 9:30 tomorrow morning. And the best way of communicating to these criminals that they've been unsuccessful is for us to ring that bell and be back in business, and we intend to do that.

DOBBS: Dick, we've heard from a number of people that they are concerned about the transportation into the region. Thousands of people have to get there, not only to the work at the exchange but to provide you the necessary support to conduct some $45 billion to $50 billion worth of business every day. How does that look to you tonight?

GRASSO: It looks great, Lou, and my deep thanks to the city and state and federal agencies who have worked tirelessly to make certain that all forms of public transportation that can indeed be delivered to the southern tip of Lower Manhattan will be in place. And we've got some new forms and some new routes, so we're very comfortable. And thanks to the tens of thousands of hard-working people, when the city and state -- we're back in business.

DOBBS: Good. Dick, let's talk about a few practical matters. One, short selling; two, liquidity. How are you going to conduct an orderly market? Three, how to clear it. Any special provisions there that you could share with us tonight?

GRASSO: Well, as to short selling or any one particular investment strategy, all have been in essence cleared to come back into the market, Lou. I think it's important as chairman (AUDIO GAP) who's done a magnificent job, has said, "we should not restrict the free market process from working."

However, the government -- and again, I've got to give great credit to Treasury Secretary O'Neill, to Harvey Pitt, the chairman of the SEC, to Alan Greenspan and the folks at the New York Fed, have said we're going to make it easier for companies to buy back their shares. Public pension plans have communicated. They have great faith in the marketplace.

Lou, as time and again history has proven, America in a moment of challenge rises, and indeed we will overcome this moment of great tragedy.

DOBBS: Dick, we thank you very much. We look forward to seeing you tomorrow morning, 9:30 a.m., when you open for business, and Treasury Secretary Paul O'Neill will ring the opening bell. Dick Grasso, thank you very much.

GRASSO: Thank you, Lou.

DOBBS: We're going to go now to Atlanta for a news update, we'll continue in just a moment.

(NEWS BREAK)

DOBBS: In the five days following the attack on the World Trade Center and the Pentagon, the national air traffic system has come to a halt. It has began, of course, to operate at the margin, just haltingly at the beginning now, but it is, after losing $300 million a day and putting a number of carriers of jeopardy of bankruptcy, it is forever changed as an industry and as a business. Kitty Pilgrim has the story.

KITTY PILGRIM, CNN FINANCIAL NEWS CORRESPONDENT: Lou, for the airline industry, the news keeps getting worse -- empty terminals for days, losses of more than $1 billion since the attack, and struggling to put expensive new security measures in place. And now, one major facility, the Reagan national Airport in Washington, is staying shut down. Defense Secretary Rumsfeld saying it's too risky to reopen it, because of its location, and you can see on the map -- less than a mile from the Pentagon and close to the White House.

U.S. Air and Delta are among the main carriers that fly out of National.

(BEGIN VIDEO CLIP)

DONALD RUMSFELD, DEFENSE SECRETARY: The flight paths, being right near the Pentagon, the White House, the Capitol building, it seems to me a necessity to close National Airport for a period, and I think it was the correct decision.

(END VIDEO CLIP)

PILGRIM: Airlines are trying to survive, cutting costs drastically. Continental is furloughing 12,000 workers and cutting schedules by 20 percent. Delta, not running a quarter of its nearly 2,000 flights. United, Northwest and American are cutting their flight schedule by 20 percent.

Now, a third of most airline costs come from labor, but cost cutting alone won't save an industry that was expected to lose more than $2 billion this year even before the incident.

(BEGIN VIDEO CLIP)

MICHAEL MILLER, EDITOR-IN-CHIEF, "AVIATION DAILY": I think we'll be the first of several of airline announcements in the first week here. There's going to be Delta, Northwest, American, United -- all following behind, because none of those carriers are going to be operating at full strength. (END VIDEO CLIP)

PILGRIM: U.S. Transportation Secretary Norman Mineta is planning to meet with the heads of the country's major airlines next week. They will be discussing the beefed-up security measures, but also what can be done to help the industry financially -- Lou.

DOBBS: Kitty, thank you very much. As Kitty points out with the airline industry at all but a standstill, just beginning to operate again -- when America returns to work tomorrow, it will be a test and a severe test of the nation's transportation system. Lisa Leiter has that part of the story from Chicago.

(BEGIN VIDEOTAPE)

LISA LEITER, CNN FINANCIAL NEWS CORRESPONDENT (voice-over): Chicago's Union Station is jam-packed this Sunday afternoon. Amtrak ticket sales have surged 50 percent this Tuesday, especially for long- distance trains, like the one this medical researcher took from Boston to Chicago, en route home to Albuquerque, New Mexico.

UNIDENTIFIED MALE: It was loaded. I think every seat was taken.

LEITER: Greyhound also reports a 50 percent jump in sales. And in some cities near airports, business has tripled or quadrupled. Many business travelers are avoiding the airports, whether it's because they're afraid to fly, their flights are canceled, or they just want to avoid crowds and delays.

But there was no crowd at this United ticket counter.

UNIDENTIFIED MALE: I came to the airport early, because they said, you know, be here two hours early, and I don't know -- it took me about five minutes to check in, so I've got another hour and 40 minutes before my flight.

LEITER (on camera): You'd never know this was Chicago's O'Hare Airport, one of the nation's busiest. There's very little traffic, plenty of parking, and the check-in lines are surprisingly short.

(voice-over): Hoping for better odds at catching a flight home to Los Angeles, this man drove 13 1/2 hours from Atlanta.

UNIDENTIFIED MALE: I reserved a car for Monday morning, and was planning to drive home to get home. But I'm glad I'm going to potentially get out today, because it's my wife's birthday.

LEITER: These are travelers who are usually impatient, accustomed to speedy check-ins and last-minute flying. Now there is a different attitude about inconvenience.

UNIDENTIFIED MALE: I really think it's a small price to pay for being safe, and we'll accept that.

LEITER: Lisa Leiter, CNN Financial News, Chicago.

(END VIDEOTAPE)

DOBBS: Well, inconvenience certainly will be a hallmark of transportation, particularly in the air in this country, for years to come, if not forever.

I'm joined now by the man who put the original sky marshal program together, the former director of law enforcement for the U.S. Treasury Department, Martin Pollner. Martin, thanks for being here.

MARTIN POLLNER, FORMER DIRECTOR, TREASURY LAW ENFORCEMENT: My pleasure.

DOBBS: The sky marshals -- are they part of the answers here?

POLLNER: Yes, they are.

DOBBS: And who should pay for it?

POLLNER: I think the government should pay for it, as they had in the 1970s.

DOBBS: Do you find it incredible that these many terrorists were able to board these many aircraft and hijack them and send them as weapons into these targets?

POLLNER: Absolutely.

DOBBS: How could this happen?

POLLNER: Part of the problem has to do with the X-ray system at the terminals, which I also suggest be taken over by the federal government and not have these minimum-wage people working on it.

DOBBS: Many people don't realize that there's minimum-wage employees standing there with scanners and looking at X-ray machines. They are minimum-wage people where as in most countries, certainly in Europe, these are highly paid professional government employees.

POLLNER: Absolutely. Switzerland, Israel, many other countries have government employees there. It's an absolute shame that we don't have it, and we should have it immediately.

DOBBS: Is there any way, in your judgment, however, that we could raise the level of probability against this happening to such a high level that we would be absolutely comfortable?

POLLNER: Not absolutely comfortable, but I do think with the sky marshal program on selected flights -- passengers would know it, hijackers would not -- want to get on those flights, they don't know which.

DOBBS: Should we arm pilots?

POLLNER: I think they could. Most of them are Vietnam vets, they know how to use it. I think that could be done. I also think that the cockpit door should be stronger. DOBBS: And other inventive measures put into the aircraft to help the crew and passengers protect themselves from hijackers, terrorists?

POLLNER: Absolutely. There should be television cameras in the cockpit so he can see what's happening behind him in the cabin.

DOBBS: And the truth is, we're not talking about tens of million of dollars for these aircraft, we're really talking about an expense that's really only up a margin?

POLLNER: Exactly.

DOBBS: airport security itself. We see Reagan Airport in Washington, that closed down. A number of airports closed down around the country. What happens from here? Are we going to see that change substantially as well?

POLLNER: No, I think they are being closed down for security reasons, which I'd rather not discuss specifically. Reagan, however, is another question. They're debating within the government whether to ever open it, because of the problem of it being so close to the White House and other places.

DOBBS: And the Pentagon, specifically.

POLLNER: And the Pentagon.

DOBBS: Well, that's -- there is an actual discussion, debate, as to whether or not it would ever reopen?

POLLNER: Yes. And that's the reason it's not open right now. It's the last one to open.

DOBBS: That, of course, would have a tremendous impact. The most convenient airport, and also the hundreds and hundreds of millions of dollars invested there. Martin Pollner, it's great to have you with us. Thanks.

POLLNER: Thank you very much.

DOBBS: And as we turn to the terrorist attack that are leading to heightened airport security, the industry itself is not only being disrupted by those terrorist attacks, mail and also packages are late. They are missing. There is, in point of fact, in some quarters simply chaos in the transportation system. Fred Katayama has that story and its impact on business.

(BEGIN VIDEOTAPE)

FRED KATAYAMA, CNN FINANCIAL NEWS CORRESPONDENT (voice-over): Passenger planes have resumed flying from the vast majority of airports, but they're still prohibited from carrying mail or cargo for security reasons. So that check in the mail will take even longer to get there. The terrorist attack shut down commercial air traffic for two days. 20 percent of domestic mail travels by air, and nearly $5 billion in checks are sent daily.

UNIDENTIFIED MALE: People can anticipate that mail will be one, two, as many as three days later than normal, because of the fact that we have to take -- we're taking mail off of trucks, off of planes and put it on trucks.

KATAYAMA: Some of the world's biggest manufacturers are also feeling the sting. Tightened security at checkpoints along the Canadian border has delayed the delivery of car parts, causing General Motors and Honda to shut down some of their plants in the last few days. Ford will extend its shutdown this week, and warned third quarter earnings will fall short of forecast.

The most effective were express delivery carriers, but UPS has cleared its backlog. It and Federal Express say domestic operations have returned to normal levels, and they'll reinstate their money-back guarantees Monday. But one analyst warns they could face more turbulence should the U.S. strike back militarily.

UNIDENTIFIED MALE: As we grow into what's going to be the new environment that we all live in, it's not going to happen smoothly, so I think there will be some disruptions there.

(END VIDEOTAPE)

KATAYAMA: On the bright side, one sector may have gotten a temporary lift from the flight ban: Trucking firms. They move roughly two-thirds of the nation's cargo -- Lou.

DOBBS: Well, as you know, the vice president announcing that it's a possibility that we're in recession, and these kinds of effects are certainly not helpful in removing that possibility. Fred, thanks very much.

DOBBS: Well, Dick Cheney, the vice president appeared on NBC's "Meet the Press" this morning to address a number of issues, but amongst them, the strength of this economy. He acknowledged, as I said, that quite possibly we are in recession. The vice president and, indeed, the Bush Administration, they believe that this economy will quickly rebound. Tim O'Brien has more.

TIM O'BRIEN, CNN CORRESPONDENT: Lou, whatever happens on Wall Street tomorrow, the SEC announced late today that the system is "sound and operational." Still to help public companies support the price of their own stock, the SEC, using new emergency powers for the first time has waived some of the rules.

For example, to prevent publicly held companies from unfairly manipulating their own stock price, they are ordinarily not allowed to trade in their own shares during the first and last half hour of trading. Nor are they allowed to participate in more than 25 percent of their stock's trading volume on any given day.

But at the opening bell tomorrow, public companies will be allowed to repurchase their own securities without meeting volume and timing restrictions. There will be no adverse accounting consequences arising out of such buyback plans. Brokerage firms will be allowed to calculate net capital without considering the days the market was closed. And mutual funds may borrow from and lend to related parties giving them added sources of liquidity.

Investors and others can get more information on the SEC's Web site, www.sec.gov. By the way, Alan Greenspan and the Fed will be getting considerable attention in the upcoming days as well. Even before September 11, there was speculation that the Fed might again lower interest rates at it's next meeting, October 2, and possible even before then.

Although normal market fluctuations don't usually lead to rate cuts, this situation is of course far from normal. Another rate cut is possible at any time, perhaps, Lou, as early as tomorrow.

DOBBS: Tim, thank you very much. Tim O'Brien, from Washington tonight.

As you might suspect, this tragedy, this act of war has prompted our viewers from all around the world to share their thoughts with us, to write us and to e-mail us. Those messages filled with their prayers, their sorrow and their anger.

Ernest Montecao (ph) writes: "If the American consumer expresses his or her faith through purchasing power, then all the mightiness will be even more unreachable to the destructive forces of envy. God bless America."

Ellen Shaw writes, "I, for one, will not let fanatic thugs disrupt my country or my future. We will show the world we are the world leaders. I intend to hold my equity positions through any turmoil and hope that other investors large and small do the same."

William Golden writes, "One of the attacks was on our financial system. It was clear that the target in New York was for this purpose. I encourage people who have money on the sidelines to invest now and show the world we can not be intimidated. Also, shoppers should return to normal and meet purchases as there is no fundamental change in our economy. Anything less than this is totally assisting the terrorists."

And some very strong words from viewer David Green writes to say, "Regardless of what happens when the U.S. markets reopen, I am not going to sell. I am going to buy. I'll be damned if I give those expletive bastards the satisfaction that they put any fear or panic in my portfolio. Now excuse me while I go out and buy a new car."

And that is representative of the thoughts that we are hearing from our viewers and we have just received word from Reuters that Warren Buffet has announced that tomorrow he will not sell a single share of stock and in fact if the market does move down, Warren Buffet says he'll be a buyer.

That's this special edition of MONEYLINE. We thank you for being with us. I am Lou Dobbs. Good night from New York.

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