Tourism may be hit next if Government does not move quickly to stem anti-Bermuda sentiment in the United States as a result of the Patriot Tax Bill discussions, Graeme Outerbridge suggested yesterday.

"The continued negative press directed against Bermuda by the US media has largely gone unchallenged by the Bermuda Government," the National Liberal Party (NLP) vice-chairman said.

"The impact of these negative stories is probably having a negative impact on Bermuda business.

"US citizens are now thinking it is unpatriotic to vacation in Bermuda."

Bermuda had a rough ride in the American media as discussions over the Patriot Tax bill heated up in past months.

The Island has been referred to as the "tax haven of choice" and was the subject of a pithy editorial in the New York Times on Monday headlined `The Bermuda Tax Triangle' on the possible relocation of toolmaker Stanley Works to the Island.

The euphemistically-titled Patriot Tax Bill is a proposal with supporters in both the US Senate and Congress seeking to close American tax loopholes that allow companies to reincorporate overseas as a tax dodge.

"Whether the tax code's treatment of overseas earnings should be revised to level the playing field between American companies and foreign competitors is worth debating," the editorial stated. "But in our democracy, fleeing to Bermuda is not a constructive way of participating in the national dialogue."

Mr. Outerbridge said Bermuda's lobbying efforts in Washington have weakened under the PLP and questioned where the report was from Finance Minister Eugene Cox's "last minute" effort to sway US lawmakers one week ago during two-days of meetings in the US capital.

"There has been no report on the Finance Minister's mission; he may be lost in the beltway if not the infamous triangle. Bermuda is simply no longer on the radar as the bases are gone, along with the connections to key US decision makers."

Mr. Outerbridge suggested it will take a concerted effort from key exempt company personnel and Government to save the country's reputation.

"The continued negative press directed against Bermuda by the US media has largely gone unchallenged," he said.

Mr. Outerbridge continued: "It is clear that we have a double-edged sword cutting away at our economy and there has been very little done to counteract the process in the way of interviews and public relations to promote the Bermuda positions in the American media.

"Principles in the exempt sector better get active and help the Bermuda Government out.

"There has to be an excellent campaign by Bermuda business and Government leaders in the US press to stop the flow of one-sided negative policy and damaging press. Sadly, like most things with the present PLP Government, it will be a reactive process of damage control rather than an active leadership with (a) vision out of the present international morass Bermuda has been placed in."