www.seafarers.org Volume 63, Number 11 November 2001 25 YEARS OF RELIAB LITY eady eserve Force, Ceremonies Recognize Fleet as 'High-Value Sealift Asset' Representatives of government, the military, sel, with apprentices from the Paul Hall Center (TRANSCOM); and Rear Adm. David Brewer, maritime labor and U.S. ship operators on Oct. for Maritime Training and Education, are (front commander of the U.S. Military Sealift 18 praised the Ready Reserve Force (RRF) row) U.S. Transportation Secretary Norman Command (MSC). The apprentices are (from as a key, cost-effective component of Mineta and SIU President Michael Sacco; left) Jason Varner, Jennifer Senner, Alasha America's national defense capabilities. (back row, from left) SIU Port Agent Dennis Dixon, Brandon Harrison, Robert Treloar, 1 Ceremonies marking the RRF's 25 h anniver­ Metz; SIU VP Contracts Augie Tellez; Rear Kevin Kirk, Joseph Jesnes and Quincy Wilson. sary took place aboard the SIU-crewed Cape Adm. Edward Fahy, director, plans and policy Wrath in Baltimore. Pictured aboard the ves- directorate, U.S. Transportation Command Page3 Helping the Heroes Sept. 1 Attacks Affect American USNS Comfort Provides Respite Classic Voyages ------ l'age 2 For New York Rescue Workers AFL-CIO Depts. State Case For Opening ANWR ------ l'age 5 Coast Guard: Port Security Reaches 'AH-Time High' l'ageB President's Report American Classic Voyages Rebulldlng The terrorist attacks on America have harmed many U.S. Files Voluntary Petition for industries, including maritime. That truth really hit home on October 19, when SIU-contracted American Classic Voyages filed a voluntary petition to Chapter 11 Reorganization reorganize through Chapter 11 bankruptcy. However, much like the nation itself, SIU-contracted American Classic Voyages, the "We will work with the company in every way American Classic is working to regain its full largest U.S.-flag cruise company, on Oct. 19 possible to get those ships back in operation and to strength. The company will continue to operate announced that it has filed a voluntary petition for help ensure the continued construction of the new reorganization under Chapter 11 of the U.S. deep-sea cruise ships," said SIU Vice President the Delta Queen riverboat, with an SIU crew. Bankruptcy Code in Wilmington, Del. The move was Contracts Augie Tellez. "For the SIU members who Michael Sacco Plans are being made to bring back the driven by the terrorist attacks of Sept. 11 , which have were laid off, this union offers many other opportuni­ Mississippi Queen next year. The hope is that harmed the tourism, entertainment and transportation ties to work aboard ship, especially in the deep sea September 11 's impact on the U.S. cruise indus­ industries more than any others (see story, this page). division." try (and all others, for that matter) is only temporary. Seafarers will continue to sail aboard the Delta Tellez added that the Paul Hall Center's safety Queen riverboat, and the company also announced it school in Hawaii will remain open. It's important to understand that Chapter 11 is a truce, not a is working to reintroduce the Mississippi Queen next "The tragic events of Sept. 11 dealt a devastating surrender. Basically, it gives a company a chance to operate its year. As this issue of the Seafarers LOG went to press, blow to our business that has made it impossible to business while creditors and courts approve plans to repay debts. work had been suspended on the two 1,900-passenger continue our full operations," said Phil Calian, CEO It offers an opportunity to get a company back on its feet and Project America cruise ships being built at Northrop of American Classic Voyages. "We will continue to rebuild. Grumman's Ingalls Shipyard in Pascagoula, Miss. operate on a much reduced scale to focus on our Additionally, American Classic is hardly alone in its predica­ ''Northrop Grumman will continue its efforts with the Mississippi River cruises, which have been the his­ U.S. Maritime Administration to obtain guaranteed toric core of our company." ment. As reported elsewhere on this page, U.S. layoffs since funding for Project America," the shipyard said in an In August, the company had reported increasing September 11 have topped half a million. Chapter 11 is a viable Oct. 25 new release. "Ongoing work on the program per diems and occupancy on its Hawaii ships, prof­ option in some cases, including that of Bethlehem Steel, which [is] subject to Project America's ability to secure itable performance on its Delta Queen vessels and that filed for reorganization four days before American Classic. immediate financing for the balance of the contract." it had successfully reached an agreement with The SIU, of course, will do everything we can to help our American Classic is the parent company of United N ortbrop Grumman on the continuation of construc­ States Lines, The Delta Queen Steamboat Co., tion of the Project America cruise ships. In the four friends at American Classic in returning to full steam. American Hawaii Cruises, and Delta Queen Coastal weeks subsequent to the Sept. 11 terrorist attacks in More importantly, the union is eager and available to help all Voyages. The company said it believes the Chapter 11 New York and Washington, D.C., the company said SIU brothers and sisters who are impacted by the layoff. One of process "will allow us to rebuild our business in the its gross bookings declined 50 percent, its cancella­ the best things about belonging to this union is, there's no short­ aftermath of the Sept. 11 terrorist attacks and contin­ tions increased 30 percent and it faced a weakened age of work. We have many opportunities, and I encourage ue our proud tradition as America's cruise line." cash position with no prospects for additional capital at this time. mariners from the American Classic fleets to contact their nearest For now, the reorganization includes shutting down many of the company's vessels-the ms Patriot The company has established a customer informa­ SIU hall for more information. Please also keep in mind that we and Independence, American Queen, Mississippi tion hotline (800 856-9904) and additional informa­ offer top-notch vocational training at the Paul Hall Center in Queen and Columbia Queen, and the Cape May Light. tion is available on the company's web site at Piney Point, Md., which can help you make the transition from The result is approximately 2, 150 layoffs, including www.amcv.com. Individuals with reservations on passenger ships to cargo vessels. roughly 1,700 shipboard jobs. SIU crew members future American Classic cruises other than the Delta On a personal note, I thank each and every Seafarer for your from those vessels may call the following toll-free Queen steamboat should contact their travel agent, number for information on benefit continuation: 800 their travel insurance company or their credit card professional, mature conduct in the face of the layoffs. As disap­ 252-4674. company for information about obtaining refunds. pointed as we all felt upon hearing the reorganization news, that ,,_. didn't stop the SIU crews from completing your respective voy­ Sector ti.s. Layoffs ages and then departing the ships with class and dignity. You have U.S. Layoffs Top 528,000 my thanks and admiration. Hospitality Just as it will take time, patience and hard work to win the war The United States economy is future layoffs. AFL-CIO research tourism, expenencmg an accelerated shows more than 260,000 in the on terrorism, so too will America need sustained, strong efforts to entertainment 132,545 downturn in the wake of the Sept. transportation and hospitality restore our work force. We have no other choice but to succeed. 11 terrorist attacks. industries, and another 66,000 in Transportation 128,094 Hundreds of thousands of aerospace will join the ranks of workers have lost their jobs, con­ Manufacturing 99,153 In Praise of the RRF the jobless. sumer confidence has plummet­ In New York City, an estimat­ Aerospace 66,535 The ceremonies for the Ready Reserve Force's 25th anniversary ed, sales are down at major retail­ ed 108,500 jobs were lost within I (see page 3) brought lots of encouraging words from high-ranking ers and companies are scaling one month of the Sept. 11 terror­ Communications back on new investments. ist attacks, according to the Fiscal offi cials from the government and military. Clearly, there is & utilities 39,840 Little is expected to change in Policy Institute. recognition, at top levels, of the importance of U.S. sealift capa­ the immediate future, according While Congress and the ad­ Service 33,996 bility. That includes the need to maintain a strong pool of quali­ to Federal Reserve Chairman ministration floated the idea of a fied shipboard manpower-American crews for American ships, Alan Greenspan, who testified $75 billion economic stimulus Finance, insurance, supporting our nation in times of war and peace. Oct. 17 before the Joint Eco­ package for the national econo­ nomic Committee of Congress. my, the New York City comptrol­ real estate 15,764 While the praise for the is well-deserved, it's time to step RRF The Fed chairman indicated that ler estimated Oct. 4 that the attack up efforts to revitalize the U.S. fleet. As I said during the cere­ Public while the fallout from the attacks could cost New York City alone administration 7,033 monies, there are indications that our industry stands on the verge currently has the economy in a $105 billion in damages and lost of a manpower shortage that could threaten our national sealift depressed state, he believes the revenue Retail trade 4,968 resulting damage will only be By sector, the figures in the capacity.