HONOLULU -- Dozens of small business owners met Saturday with Gov. Ben Cayetano to ask what can be done to prevent Hawaii from sliding into recession as a result of the terrorist attacks on the World Trade Center and Pentagon.

Small businesses have not been immune from the drastic slowdown to hit the economy since the Sept. 11 tragedy, which has left the visitor industry reeling.

"We talked about things like deferring payment of the general excise tax ... working with banks so that they can get some financing and loans to get through the period, or if they run into trouble with current loans, working with the banks to get them some flexibility," Cayetano said.

Many parking spaces at Ward Warehouse were uncharacteristically empty Saturday morning, but merchants said that business is slowly starting to pick up.

"They are starting to come in, they are looking, they are being a little more particular so customer service comes in handy," Stephanie Ah Yat of Walking in Paradise said. "But a lot of the tourists aren't here. It's the local customers keeping us going."

Discussion

Can Anything Be Done To Save The Island Economy?

The small business representatives who met with Cayetano had ideas about boosting consumer confidence, and possible government relief for struggling businesses.

"Our focus is on cooperation," Pat McCain of the Restaurant Industry Association said. "We are trying to make sure whatever we do is is constructive and not devisive."

Other ideas included holding a telethon with Japanese stars to let the Japanese market that Hawaii remains a safe place to visit.