Washington economy hit by sniper

Some people are scared to get out and pump the gas

By Kevin Anderson BBC News Online Washington correspondent

The Washington metro area did not need another blow to the regional economy.

It was still reeling from the telecoms-technology meltdown and the 11 September attacks.

Now fear of the sniper is cutting into business just as business was rebounding after summer lulls.

Schools and tour groups are cancelling trips to Washington, and residents are staying away from shops and stores - all leading to double-digit declines for local businesses.

Business slow

Yanni is a pastry chef at Stella's Bakery along Rockville Pike, just a quarter mile from one of the shootings in Montgomery County Maryland.

Stores in the area report sales off as much as 50%

Rockville Pike is a multilane road lined with strip malls and shopping centres. It is clogged on Saturdays with weekend shoppers.

Business is off by 10% at the bakery which sells luscious European style cakes and pastries.

He is fortunate, some stores in the area report sales off as much as 50%.

Around the corner at a C&C's Framing business has been slow, but steady, says Nadia.

It ground to a halt after the shooting, with parts of the bustling business thoroughfare being closed.

Business is really slow - everybody is complaining

John, C&C's Framing business

Her co-worker John worked on the Saturday of the shooting.

Their business usually picks up in September, and the two weeks before the shooting, business had been brisk, John said.

But in the 10 days after the shooting, "business is really slow. Everybody is complaining," he says.

And John can understand the fear of customers. He is anxious when he leaves the shop to smoke.

Security for customers

Businesses are trying to make customers feel safe.

Local shopping malls have increased security, which they began to do after last years attack on the Pentagon.

Some service stations in the area are pumping petrol for their customers, including an Amoco Station in Washington not far from Chevy Chase Maryland.

People are simply putting off non-essential repairs and purchases due to fear of the sniper

The station has a sign out front. "During these trying times, we will pump your gas for you!"

Many people have taken them up on the offer. "Some of them are simply scared to get out and pump the gas. I understand," said Brahim, a repair manager at the station.

People are still buying petrol. In fact, some petrol stations in Washington are seeing more business even though petrol prices are higher than in the suburbs.

Most of the shootings have taken place in suburbs in Maryland and Virginia, not in Washington, and people feel safer in the city.

But while people are still buying petrol, the service station has seen their repair business fall off a bit, Brahim said.

People are simply putting off non-essential repairs and purchases due to fear of the sniper.

Economy already battered

This is the latest blow to a regional economy reeling from the anxiety of terrorist attacks and the tech meltdown.

Businesses are trying to make customers feel safe

In the wake of the 11 September attacks, the local economy was hard hit, especially those parts of the economy that depend on business travel and tourism.

Taxi drivers, hotel and restaurant staff were laid off in the thousands. It was a staggering blow to these workers, many who worked for minimum wage, living paycheque to paycheque.

The telecoms-technology meltdown devastated what had been a source of great regional pride.

Anchored by America Online, the Dulles Technology corridor in Northern Virginia rivalled Boston and San Jose for start-ups boasting of stratospheric growth.

Now, vacancy rates for office space now stand at 30% in some office buildings thrown up during the height of the tech boom.