The storm system packed 110-mph winds and it was feared would deliver massive damage to New Orleans, However, before making land fall the system weakened and all but missed the city and thankfully never reached the it full potential that Hurricane Katrina did.

The National Hurricane Center in Miami said Gustav hit Cocodrie, about 72 miles southwest of New Orleans, at around 9:30 a.m. The storm weakened from a Category 2 hurricane to Category 1 by the afternoon.

As of 10 last night, the death toll stood at seven, authorities said, including four people killed in Georgia.

In New Orleans, debris was strewn across streets, but there was little major damage or widespread flooding, and the storm brought 3 inches of rain or less to the city. Police made one arrest.

More than 1 million homes were without power. It could be a day or more before oil and natural gas companies can assess the damage.

Water sloshed over the top of the Industrial Canal's floodwall - the same structure that broke during Katrina. Still, city officials and the Army Corps of Engineers expressed confidence the levees would hold.