Let freedom ring: NYSE handles record volume

Today’s opening bell at the New York Stock Exchange (NYSE) carried greater significance than usual, both for the nation and for Verizon Communications, which provides both voice and data services to the financial institution.

“It was an important signal to the rest of the world that America was back in business,” said Ivan Seidenberg, Verizon’s co-CEO. “Verizon worked all night and day to assure it would happen.”

By noon, trading volume exceeded 1.3 billion shares, well above normal. Seidenberg indicated there were no glitches and the network would be able to keep pace with what he anticipates will be a record number of transactions.

“We hit a major milestone when the markets opened this morning. We have essentially rebuilt our entire communications network in Lower Manhattan,” said Seidenberg. “Our people have worked tirelessly to restore the damaged cable, fiber optics and electronics that make up the network around the ground-zero site.”

According to Verizon, the company is operating its Broad Street office, which provides about 80% of the voice and data capacity required by the NYSE. Verizon is using portable generators to power the facility, because commercial power is not yet available.

Larry Babbio, vice chairman and president of Verizon’s telecom group, said the company has restored about 14,000 damaged circuits needed by the NYSE (of about 15,000 total circuits that had been damaged or destroyed).

“Even at slightly less than 100%, we are able to handle volumes that are significantly in excess of the normal demand,” he said.

Things are not going as well at 140 West Street, the office directly adjacent to the collapsed 7 World Trade Center. Because of the collapse, Verizon has found it virtually impossible to access the building, which serves 200,000 access lines and provides about 3.5 million circuits. About 2 million of those circuits have been rerouted. The vast majority of the other 1.5 million circuits fed into the World Trade Center and surrounding buildings.

Babbio said much of the steel that fell during the collapse of 7 World Trade Center crushed or cut cable that runs into the building. Also, “five stories of debris” are piled up against the back wall of 140 West Street. The building is completely without power, as its power distribution panel is completely under water, and the company can’t get to its emergency engines, because they too are under water.

Even if Verizon could get power to the building, it wouldn’t be able to start its equipment, which is largely caked with dust and soot from the aftermath of the carnage. The equipment must be meticulously cleaned before it can be connected to a power source, Babbio said.

“The dirt, dust and debris are just phenomenal inside,” he said. “If you’d been to the building, you’d ask yourself, “Why is it still standing?’”

If that wasn’t enough, the collapsed 7 World Trade Center is still smoldering, and New York City firefighting personnel are pouring water on it from the seventh floor of 140 West Street.

“We’re not letting people go into what is still a dangerous situation,” Babbio said.

Nevertheless, Verizon hopes it can restore service to the area within the next 48 hours. It does have some time on its side. The 200,000 customers in the area are split more or less evenly by Broadway, and officials have only let those on the east side of the boulevard return to their residences and businesses. (There are 9000 to 14,000 business in the area, according to Verizon.) The company will begin by restoring essential services to that sector and then prioritize from there, Babbio said.