On July 6, 2003, about 1430 eastern daylight time, a Bellanca 8GCBC, N86985, operated by Island Aerial Ads, of Shirley, New York, was substantially damaged when it struck the ground in Manorville, New York, after a banner pick-up at the Brookhaven Airport, Shirley. The certificated commercial pilot received serious injuries. Visual meteorological conditions prevailed for the banner towing flight. No flight plan had been filed for the local flight that was conducted under 14 CFR Part 91. According to the company owner who witnessed the accident: "...The wind was from the north at approximately 10 knots, density altitude was 2,100 feet, the temperature was around 92 [F]. The banner was set up on runway 6. The banner was 30 ft tall by 100 ft long. The banner pickup was normal, approach speed was good and the airplane [engine] sounded strong. I radioed the pilot after pickup and told him the wind was from his left and to slowly turn left to try to get directly into the wind for better lift. At this point the airplane started to settle. At approximately 250 ft agl [above ground level], the airplane was in a slow descent with a nose high attitude. I radioed him to release the banner. He radioed back that "I'm OK, I got it." I radioed him again to release the banner. At that point he was still nose high and settling. It looked like he released the banner, and the right wing of the airplane dipped slightly and I lost sight and communication with the aircraft...." In a telephone interview, the owner reported that he had trained his pilots so that full power was applied before they pass the poles that hold the pickup rope. He added that his perception was that the airplane was a little slow as it passed the poles, and after completion of the zoom climb that followed engagement of the tow rope, the airplane had slowed further. The owner also said the banner was a popular one and had been flown many times before. However, due to its size, it was necessary to make the pickup under optimum performance conditions, and there was little room for error if the airplane was not on its optimum airspeed. An inspector from the Federal Aviation Administration (FAA) reported that the airplane settled into a wooded area. The landing gear was collapsed, and the wing struts exhibited downward compression bending. The lower part of the fuselage was crushed upward. The airplane was equipped with a 4 point restraint system. According to FAA records, the pilot's total flight experience was reported as 1,600 hours on November 22, 2002.