Slow recovery at Millennium & Copthorne
Business will be better this year than it was in 2001, but recovery in 2003 will remain slow, international hotel group Millennium & Copthorne (M&C) said today.
"We continue to be encouraged by the ongoing trading of the group and remain confident that the group's performance in 2002 will be ahead of last year," the company said today in a trading update.
But it added: "In the context of continued worldwide economic uncertainty and political unrest in the Middle East, we believe that the pace of economic recovery going into 2003 is likely to remain slow."
In the 10 months to 31 October, revenue per available room (revpar) across the 91-strong chain was down by 2% to £45.03. M&C said it had been in "recovery mode" throughout 2002 and was pleased with the overall result.
In London, revpar fell by 8% to £66.67, the result of a 10% drop in average room rate to £79.94 and a 2% increase in occupancy to 83.4%.
M&C said its two hotels at Gatwick airport were still being affected by the drop-off in airline passengers and their combined revpar was down by 26%.
New York fared better, with revpar up by 4% to £99.25. This came on the back of an 11 percentage point increase in occupancy and despite a 9% cut in room rates as the hotels focussed on leisure rather than business customers.
| ! | |
| Millenium Hilton |
