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American Morning

Minding Your Business: Which U.S. Firms Do Business in Saudi Arabia?

Aired May 13, 2003 - 08:46   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.


BILL HEMMER, CNN ANCHOR: While the U.S. plans to reduce its military presence in Saudi Arabia -- that was Daryn Kagan -- America's businesses are keeping up with their ties in Riyadh. Which U.S. companies are currently there?
Let's check that with Daryn and Andy Serwer minding our business on that.

ANDY SERWER, "FORTUNE" MAGAZINE: Hey, guys.

DARYN KAGAN, CNN ANCHOR: Absolutely. Good morning.

SERWER: Good morning to you.

I can tell you that all across the country this morning in boardrooms and executive suites business people are getting together and talking about the situation in Saudi Arabia. Dozens and dozens of U.S. companies do business there, the big three being Exxon, Chevron and Boeing. But dozens of others, including Holiday Inn, Kellogg, Ford, Bechtel, they are the big three.

Thirty thousand Americans are there right now residing and working in the kingdom of Saudi Arabia. And, you know, this is raising all sorts of issues about security, about where they live, about how necessary it is for them to be there.

I have actually visited one of those compounds that was blown up.

KAGAN: What's it like?

SERWER: It's very interesting. What it sort of reminds of is kind of an upscale-ish, say, a co-op or a condo area, you know, outside of Atlanta. I mean, it's nice; it's not luxurious.

HEMMER: The security?

SERWER: The security was pretty much nonexistent when I was there. There is a gate, and the guy kind of waves people in.

HEMMER: How long ago were you there?

SERWER: This was about two years ago. So, it's probably been stepped up a bit since then. The pool is kind of the center of the area, obviously very hot there. There are kids running around. People are sort of looking like they're doing their time there, and people look at it like I'm here for three years, then I'm out. But it really is a very isolated part, you know, away from the center of Riyadh. You're really there in your own world, not too many Saudis there.

Obviously, this has really shaken things up dramatically. And like I said, these companies are going to be reassessing their business there as well.

KAGAN: Let's go ahead and check the stock market looking ahead.

SERWER: Yes.

KAGAN: What, about 45 minutes away from the markets opening.

SERWER: A great day yesterday.

HEMMER: Yes.

SERWER: And, you know, the market continues to sneak up on us.

HEMMER: What's going on?

SERWER: We got a little rally here. The four-month high, you can see there. Yesterday, the Dow up 122 points, and we're up on the Nasdaq and the S&P as well. The bombings, though, this morning not doing well by the futures.

However, I do want to point out, Bill, that Cisco, that stock that we watch sometimes, has nearly doubled since October.

HEMMER: Wow!

SERWER: Yes, it's now at 16.67, it was down to 8.60 back in October.

HEMMER: The stocks we used to love to hate.

SERWER: Yes.

KAGAN: Yes.

SERWER: And if you'd only bought it back then, then you'd love it again, right.

HEMMER: Back to loving it again.

KAGAN: But at its height, Cisco was what?

SERWER: Oh, it was $60.

(CROSSTALK)

KAGAN: So, we've got a little bit of ways to go.

SERWER: Right, yes.

KAGAN: Very good.

HEMMER: Good deal. Thank you, Andy.

SERWER: OK, see you later.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com.





Saudi Arabia?>


Aired May 13, 2003 - 08:46   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
BILL HEMMER, CNN ANCHOR: While the U.S. plans to reduce its military presence in Saudi Arabia -- that was Daryn Kagan -- America's businesses are keeping up with their ties in Riyadh. Which U.S. companies are currently there?
Let's check that with Daryn and Andy Serwer minding our business on that.

ANDY SERWER, "FORTUNE" MAGAZINE: Hey, guys.

DARYN KAGAN, CNN ANCHOR: Absolutely. Good morning.

SERWER: Good morning to you.

I can tell you that all across the country this morning in boardrooms and executive suites business people are getting together and talking about the situation in Saudi Arabia. Dozens and dozens of U.S. companies do business there, the big three being Exxon, Chevron and Boeing. But dozens of others, including Holiday Inn, Kellogg, Ford, Bechtel, they are the big three.

Thirty thousand Americans are there right now residing and working in the kingdom of Saudi Arabia. And, you know, this is raising all sorts of issues about security, about where they live, about how necessary it is for them to be there.

I have actually visited one of those compounds that was blown up.

KAGAN: What's it like?

SERWER: It's very interesting. What it sort of reminds of is kind of an upscale-ish, say, a co-op or a condo area, you know, outside of Atlanta. I mean, it's nice; it's not luxurious.

HEMMER: The security?

SERWER: The security was pretty much nonexistent when I was there. There is a gate, and the guy kind of waves people in.

HEMMER: How long ago were you there?

SERWER: This was about two years ago. So, it's probably been stepped up a bit since then. The pool is kind of the center of the area, obviously very hot there. There are kids running around. People are sort of looking like they're doing their time there, and people look at it like I'm here for three years, then I'm out. But it really is a very isolated part, you know, away from the center of Riyadh. You're really there in your own world, not too many Saudis there.

Obviously, this has really shaken things up dramatically. And like I said, these companies are going to be reassessing their business there as well.

KAGAN: Let's go ahead and check the stock market looking ahead.

SERWER: Yes.

KAGAN: What, about 45 minutes away from the markets opening.

SERWER: A great day yesterday.

HEMMER: Yes.

SERWER: And, you know, the market continues to sneak up on us.

HEMMER: What's going on?

SERWER: We got a little rally here. The four-month high, you can see there. Yesterday, the Dow up 122 points, and we're up on the Nasdaq and the S&P as well. The bombings, though, this morning not doing well by the futures.

However, I do want to point out, Bill, that Cisco, that stock that we watch sometimes, has nearly doubled since October.

HEMMER: Wow!

SERWER: Yes, it's now at 16.67, it was down to 8.60 back in October.

HEMMER: The stocks we used to love to hate.

SERWER: Yes.

KAGAN: Yes.

SERWER: And if you'd only bought it back then, then you'd love it again, right.

HEMMER: Back to loving it again.

KAGAN: But at its height, Cisco was what?

SERWER: Oh, it was $60.

(CROSSTALK)

KAGAN: So, we've got a little bit of ways to go.

SERWER: Right, yes.

KAGAN: Very good.

HEMMER: Good deal. Thank you, Andy.

SERWER: OK, see you later.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com.





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