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Even if the new truce holds, the latest round of fighting has probably ended Beirut's long reign as the commercial queen of the Arab world. At least 25,000 Lebanese, including many prominent businessmen, have taken refuge in Damascus, while others have fled to Athens or other points in Europe. More than 60% of the 1,000 Japanese assigned to Beirut have left the country. The list of American firms that have ordered their personnel or their dependents to leave Lebanon reads like a roll call of U.S. business overseas: General Electric, General Motors, Boeing, Lockheed, FMC Corp., International Harvester, American Cyanamid, Raytheon, First National City Bank, Chase Manhattan, Morgan Guaranty, Irving Trust. "When the banks move out," observed one evacuated businessman last week, "that means the end of Beirut."
Many of the companies have shifted operations to Athens, 700 air miles and 100 minutes away. Many will probably stay on, partly because of Athens' proximity to the Middle East, partly because of a Greek law granting generous tax-free status to foreign companies that have headquarters in Greece but do no business inside the country. There is apparently more than enough space for the corporate refugees from the fighting in the Lebanese capital. Last week, reported TIME'S Dean Brelis from Athens, the companies were rapidly filling up empty offices in a 24-story business building in downtown Athens. The previous tenant was a logistics branch of the U.S. Navy, which was forced to move out when the Greek government ended Sixth Fleet home-porting facilities in protest against American policy on Cyprus.