Essential news from around the world…
Profitability tumbles at European hotels for third year Profitability among European hotels tumbled for the third year in row, according to the latest HotelBenchmark survey by Deloitte. In 2003, European hotels converted just 34% of revenue into profit, compared to 39% in 2000. As a result, said the report, profitability per available room has dropped by more than €5,000 (£3,358) since 2000. Discounting to combat a six percentage point fall in occupancy since 2000 has slashed room rates by €8 (£5.37) and revenue per available room by €7,000 (£4,701) on average.
Aramark to cater at Olympic Games for 13th time
Aramark has won the contract to cater for the Olympic Village at this year's Olympic Games in Athens, Greece. It will be the 13th time Aramark has catered at the Olympics. Aramark will work with Greek hospitality and tourism company Daskalantonakis Group to provide two million meals to athletes, coaches and officials throughout the 60 days of the Olympic and Paralympic Games over August and September.
Accor to open first Novotel in Romania
Schlotzsky's restaurant chain ousts senior US management team
The board directors of Schlotzsky's, a Texas-based franchisor and operator of 537 sandwich restaurants in the US, British Columbia and six overseas countries, removed its senior management team at a special meeting. Those ousted included president and chief executive officer John Wooley, senior vice-president Jeffrey Wooley, and chairman Floor Mouthaan. David Coats was elected interim chief executive officer. The group recently revealed it had cut its first-quarter losses to $671,000 (£369,972) from $1.06m (£584,458).
Conrad Hotels to make Middle East debut in Dubai Luxury hotel operator Conrad Hotels is to make its first move into the Middle East with the opening in late 2007 of the Conrad Dubai. The hotel, which is owned by Sheikh Mohamed al Bowardi, will have 220 bedrooms, 130 suites and serviced apartments, 12 meeting rooms, and a health club and spa. It will be sited on the Sheikh Zayed road near the World Trade and International Convention Centres.
May revpar in French hotels shows strongest growth since 2001 French hotels enjoyed their strongest growth in revenue per available room (revpar) in May since the crisis following the 11 September terrorist attacks in 2001, according to the latest research by MKG Consulting. Revpar grew by 8.5%, marking both recovery from last year's drop and a reduced number of holidays this May. Budget hotels continued to increase room rates and reversed recent falls in occupancy. Mid-market hotels improved occupancy at the expense of room rates, while upmarket hotels held in check the drop in rates evident since last year.
Dolce International wins second meeting venue in Berlin
Conference and meetings specialist Dolce International has opened its second German venue after signing a management agreement with Bierwirth & Partners to manage the four-star Parkhotel Berlin MÁ¼ggelsee. The 176-bedroom hotel has 20 meeting and syndicate rooms that will hold up to 800 people.
Radisson to manage first hotel in Macedonia
Radisson SAS Hotels and Resorts has signed a contract to manage its first hotel in Macedonia, south-east Europe. The â¬25m (£16.79m) Radisson SAS Palace hotel will open in March 2006 in the city centre of Ohrid on the north-east coast of Lake Ohrid. It will feature 140 bedrooms, including 12 penthouse suites, two restaurants, a conference centre, six meeting rooms, a health and fitness centre, a spa and retail outlets.
by Angela Frewin
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