US economy breathes easily after 2000 rollover

WASHINGTON, Jan 2: One after another, US industrial sectors gave themselves a clean bill of health Saturday, reporting a smooth transition to the new millennium without year 2000-related computer problems, reports AFP.

Banks and airlines, as well as power, gas and water utilities were quick to announce that their worst fears would no materialise and services would be spared from the computer glitches that had been expected to accompany the millennium rollover.

For months, industrial sectors in the United States have been honing their preparations for the new year, beginning years early to diminish the possibility of systems failures.

They spent billions of dollars upgrading computers that had been designed to read only the last two digits of a date. The systems were considered at risk of collapse as they would fail to recognise the transition to 2000, confusing the new date with 1900.

The electric power industry, considered one of the most vulnerable and also one of the most strategically sensitive sectors, was among the first to declare itself bug-free.

The various local power suppliers across the United States indicated that they had continued to supply power without break throughout the rollover period.

US nuclear power stations that generate electricity also completed a successful transition.

"Nuclear power plants are continuing to supply one-fifth of the nation's electricity needs," said Ralph Beedle, senior vice president and chief nuclear officer at NEI, the nuclear power industry's policy organisation.

"The Y2K computer bug has been rendered harmless," he added.

The American Petroleum Institute (API) reported that the nation's oil and natural gas industry began the new century without any significant Y2K-related problems.

"Essentially 100 per cent of world oil production, natural gas production, and refinery capacity have successfully made the transition to January 1, 2000," API said, adding that preventive measure cost the industry more than two billion dollars.

Air transportation, another sensitive sector, also apparently went on without a hitch, with air traffic control operations and flights continuing without problems, according to the Federal Aviation Administration.

Individual US airlines such as Delta, US Airways and Northwest also issued statements saying they were operating as usual.

"Our goal was to operate normally, safely - our regular daily expectation," said Walter Taylor, Delta vice president of technology and Year 2000 program manager. "We achieved our goal and delivered significant computer improvements to the company at the same time."

He said that thanks in part to the company's efforts to make the system compliant with the year 2000, Delta's computers were in better shape than ever.

And the banking services sector has so far reported no problems with cash machines or credit card transactions.

Visa International said it had processed 48 million card transactions so far on the first day of the new millennium, and increase of 35 per cent compared to the same period of 1999.

The New York Stock Exchange announced that its systems successfully passed their tests on Saturday morning allowing for trading at the start of business Monday, the exchange said in a statement.

The Chicago Board Options Exchange and the Chicago Mercantile Exchange also announced that their systems were ready for trading in the new millennium and will be open for business as usual.

The crucial information technology (IT) sector also reported no major disruptions.

"Initial reporting from global IT associations indicate that the transition to 2000 saw no major disruptions due to computer glitches on New Years' Eve," said Harris Miller, president of the World Information Technology and Services Alliance (WITSA).

But he cautioned that it was still early days and the next test would come Monday on the first working day of the new century, "when computers will face increased usage and stress."