Letters

Don't miss out on the benefits of sale-and-leaseback deals

The article about the PKF Forum (Caterer, 3 October, page 10) and Forbes Mutch's subsequent Opinion (Caterer, 10 October, page 17) suggest that sale-and-leaseback deals are bad for the hotel business. But dismissing sale and leaseback is both wrong and damaging to the future of the industry.

Any hotel company wishing to raise money in today's market faces severely limited options; the stock market is all but closed to those wishing to obtain fresh investment and the only viable way forward for any hotel company to expand - and expansion is the only option for quoted hoteliers who need growth to satisfy shareholders - has been sale and leaseback.

The deals conducted so far have enabled hoteliers to restructure their property portfolios. In the case of Hilton Group's sale and leaseback to the Royal Bank of Scotland, the transaction provided a solution to two of Hilton's strategic desires: to provide cash for acquisitions (it funded the Scandic deal) and to enable Hilton to reduce the concentration of its property portfolio based in the UK.

A hotel management company that owns its own hotels is in two businesses: operating hotels and holding real estate. To be effective as a real estate business, value must occasionally be realised, and sale-and-leaseback deals provide that opportunity and enable operating companies to retain control of the asset. Hotel companies should own some real estate - just not all of it.

Berek Gammage, Managing Director, Insignia Hotels, London.

Small businesses suffer at the hands of the catering giants

Hardly an issue of Caterer passes without an extensive article featuring some new development at one of the big contract caterers. However, as an independent supplier to one of these companies, I feel I must bring to your readers' attention the lack of consideration that they have for smaller businesses.

We supply temporary staff in the Thames Valley area. One of our customers has been using our services for nearly 18 months. To begin with, we were happy to be dealing with one of the largest companies in the country. However, the firm in question coolly announced in July that we would receive no further payments on our invoices until after their third-quarter accounts in October.

This has placed an immense strain on our cash-flow, not helped by the continually inventive dodges used by the accounts department of this catering giant. (Their latest trick is simply to stop answering the telephone).

I write this letter in the hope that somebody, somewhere in Contract Catering Giants Land will feel ashamed that their company continues to neglect its corporate responsibility to smaller, independent suppliers

Name and address withheld.

Thank you for calling, have a safe journey…

I have followed your articles on motorway food and the plans various large companies have to revamp the type of service they offer. Experts have been called in and chefs of distinction asked for their thoughts. So, can anyone tell me why, on a recent visit to Somerset, travelling on the M6, M5 and M4, I found most of the services overpriced, badly presented and served by staff who couldn't give a damn about customer expectations. In one service station, I arrived at 11am wanting a breakfast - nothing fancy, just two fried eggs, two rashers of bacon, a slice of toast and a coffee. I was told that the breakfast menu was a set item and consisted of one fried egg, bacon, sausage, mushrooms, tomatoes and hash browns and cost £5.96. If I wanted two eggs and two rashers of bacon and a slice of toast, the price would be £1.09 per item, costing £5.45 plus coffee. I walked away feeling hungry but with my wallet intact. Motorway services still have a lot to learn.

John Fullerton, Head of Service, Citywide Services, Salford.

Hospitality Skills has set the standards

I was delighted to read Amanda Afiya's call for skill competitions to raise their standards (Caterer, 3 October, page 17) and for competition organisers to establish and meet a national standard for cookery competitions. Fortunately, a means already exists by which this can be done - and which will make the process transparent to judges, competitors and onlookers alike.

Hospitality Skills is the national body for skill competitions in the hospitality industry. Under the chair of Brian Turner, and with a membership drawn from key industry organisations such as the Hospitality Training Foundation, the Academy of Culinary Arts and the Savoy Educational Trust, Hospitality Skills has partnered with UK Skills to establish a 10-point code of best practice for competitions.

This code underpins the accreditation of any skill competition that meets certain standards: including assessment based on nationally-recognised occupational standards, objective entry criteria, and a transparent judging process with feedback to competitors. Those competitions that are accredited can then use a UK Skills kite mark on all their promotional literature.

I should be pleased to let any competition organiser have details of this accreditation scheme. It is designed to safeguard and enhance the reputation of all those who strive to bring competitions, such as the Knorr National Chef of the Year, up to recognised international standards of excellence.

David Battersby, Hospitality Skills, Kingston-upon-Thames, Surrey.