Daily News from New York, New York • 38

DOW JONES NASDAQ 65.55 21.23 10.5 8,280.23 1,391.01 874.74 Houlihan's menu includes lawsuit oulihan's has left the building. After nearly 20 years in the Empire State Building, the restaurant and bar shut down two weeks ago. abandoned it," said Howard Rubensteln, a spokesman for the building's owners. He declined to comment further. MTA MOVES The Metropolitan Transit Authority is branching out.

Real estate Now Houlihan's and the landlord find themselves adversaries in a lawsuit, and the closing looks permanent. "It is closed," said James Rosenzweig, general counsel of the Riese Organization, the owner of Houlihan's. "There is litigation, THE REAL THING but we don't really comment on pending litigation." The shutting of Houlihan's leaves sources tell the Daily News the MTA is looking for 100,000 square feet of office space I1" IdNffiMn By NANCY DILLON DAILY NEWS BUSINESS WRITER Airline stocks took off yesterday after Senate Majority Leader Bill Frist said he expected Congress to authorize some type of aid for struggling carriers. "I think it is likely," Frist told a group of reporters, "relief will be given, to some extent, to the aviation industry." He said the assistance could be part of President Bush's request for $75 billion in war spending authorization, "or in some other form." Frist spokesman Nick Smith said the senator planned to meet with Republican lawmakers John McCain and Ted Stevens, the Appropriations Committee chairman, either late yesterday or today to discuss "putting together some groundwork" for potential aid. Airlines have begged Washington for up to $10 billion in tax cuts, new loans and direct subsidies in recent weeks.

But legislators were largely noncommittal, even skeptical, until Frist's comments yesterday. American Airlines, the world's largest carrier, jumped 17 cents yesterday to $2.25. Northwest gained 72 cents to $8.08. No. 2 United, which filed the largest bankruptcy in aviation history in December, added 2 cents to close at 85 cents.

"With industry losses rising because of the war and this being the third straight year of horrific industry losses it's vital the government provide some type of bailout," said Jim Corridore, airline empty one of the choicest retail spots in New York City, brokers said with untapped potential in each of its 20,000 square feet. Part of the Houlihan's space occupies the Empire State Building's ground floor, looking out on one of the most heavily-trafficked pedestrian intersec- Senate Majority Leader Bill Frist said it is likely airlines will receive some sort of relief. equity analyst at Standard Poor's. "American is close to bankruptcy, UAL could use government help to avoid liquidation, and most of the major carriers are in really poor financial shape and cannot afford another year like last year." Over the weekend the International Air Transport Association said the conflict in Iraq could add $10 billion to ongoing airline industry losses worldwide. The industry lost $7.7 billion in 2001 and $10 billion last year.

Meanwhile, Delta Air lines said yesterday it expects a wider quarterly loss than a year ago. The No. 3 airline blamed fewer bookings and high costs of fuel, security and employee pensions? Delta said it expected a loss greater than the $397 million, or $3.25 per share, it had a year ago. Cable venture targets African-Americans "A room for about 500 employees to house a new paratransit call center. Paratransit call centers handle requests for van service from disabled commuters.

In February, The News' Greg B. Smith exposed problems with the program, including slow service, fiscal waste, and contracts with a firm that has mob ties. The MTA fields calls from some 71,000 disabled New Yorkers who use the service. The agency claims its 32-story building at 2 Broadway, where it has spent at least $155 million on renovations, doesn't have the space for a call center. "We are looking at a number of sites, and we are in the process of negotiations," said MTA spokesman Tom Kelly.

The agency has tapped broker Brian Waterman of Newmark Co. to find the space. Sources said the MTA has its eye on five different sites, in Manhattan, Brooklyn and Queens. Waterman declined to comment. TIMES SQUARE TORTS First came Cravath, Swaine Moore.

Then came Skadden Arps. Now, law firm Pillsbury Winthrop plans to move its offices to Times Square, an area that's becoming a magnet for law firms. Pillsbury will vacate its home at One Battery Park Plaza and move to former Random House space in the Bertelsmann Building at 1540 Broadway. The firm will lease six floors from the German media giant owner. Mitchell Stelr of Julien J.

Studley negotiated the 15-year deal on Pillsbury's behalf. Michael Lag) nest ra and Michael Geoghegan of InsigniaESG represented Bertelsmann. By PHYLLIS FURMAN DAILY NEWS BUSINESS WRITER BET" boss Bob Johnson, meet your new rival. It's broadcasting veteran Johnathan Rodgers who was yesterday named to head a new cable network set to challenge Johnson's powerful Black Entertainment Television. Rodgers, 57, a 20-year CBS veteran and former boss of cable networks giant Discovery Communications, was tapped to lead the yet unnamed African-American focused channel by its co-owners, cable powerhouse Comcast and ethnic radio broadcaster Radio One.

The new network's expected to launch later this year and will feature dramas, game shows, talk shows, sitcoms, and music videos aimed at adult black viewers. "Ws want to be for African-Ameri cans what Lifetime is to women and ESPN is for sports fans," Rodgers told the Daily News. Others have tried that and failed in the face of tight cable channel space and huge costs. Music impresario Quincy Jones' cable channel New Urban Entertainment Television, for one, lasted just two years. But Rodgers has the backing of powerful partners, who have committed $130 million to the network over four years.

Moreover, Comcast, which merged with Broadband, boasts 22 million subscribers, meaning the network will likely launch into that many homes. Rodgers said he expects the channel to be carried in New York from "day one." He'll also tap Radio One's clout in marketing to blacks starting with a contest on its radio sta- Empire State Building has dark corner with eatery shut. tions in the city 34th Street and Fifth Avenue. Every year, 3.8 million people come just to visit the top of the building. "It's an excellent corner.

It helps anchor a major retail district," said Pet or Rlpka, a broker with Ripco. But the Riese Organization, one of the city's largest owners of franchise restaurants, had trouble with the location. Chairman Dennis Riese told Nation's Restaurant News in 2001 that the Sept. 11 attacks "devastated" business there. A restaurant source said the company stopped paving its rent after the attacks.

"The case is still in court. It appears that Houlihan's has Johnathan Rodgers tions, offering listeners a chance to name the new cable network. After running Discovery for six years, Rodgers brings extensive experience growing niche networks like Animal Planet and the Travel Channel. And he said he learned much about reaching black viewers from his days running CBS-owned stations. "The station in the market that had 'Oprah would have African-American viewers all day long," he said..