Hawaii hotel occupancy drops to record low

Steep discounts, unprecedented incentives not enough to lure tourists

HONOLULU - Despite steep discounting and unprecedented incentives, hotel occupancy in Hawaii continues to slide to new lows because of the slowed global economy, especially on the Big Island where only half of rooms were booked in May, according to a report released Monday.
Hotel occupancy fell 6.9 percentage points to 62 percent in May, marking the worst May on record since Honolulu-based Hospitality Advisors LLC began its monthly survey in 1987.

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http://www.msnbc.msn.com/id/31776541/ns/travel-news/

Ashford Hospitality Trust Remains on Stable Ground

Despite the bankruptcy filing of Extended Stay America a few weeks ago, Ashford Hospitality Trust (AHT) remains on solid footing. As my analysis demonstrated, even if Ashford’s entire mezzanine loan portfolio goes bad, they would still be in good shape. This means being able to meet all debt service requirements, meet all debt covenant requirements, meet the preferred dividend payments, and have plenty of cash on hand for capital expenditures and principal repayments due in 2010 and 2011.
The company sits on $240 million of unrestricted cash.

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http://seekingalpha.com/article/147565-ashford-hospitality-trust-remains-on-stable-ground

Smith Travel Research (STR) dramatically shifts U.S. forecasts

The situation in the hotel industry might be starting to stabilize, but the executives at Smith Travel Research aren’t convinced there’s sunny skies on the immediate horizon. In fact, the usually optimistic STR has joined other prognosticators in releasing a revised forecast and it paints a fairly bleak picture for the rest of 2009.
The revised forecasts for the rest of the summer season, for the remainder of 2009 and for 2010 are part of a new STR program that will update the forecasts each month. Mark Lomanno, STR’s president, said it’s important that forecasts be updated and delivered on a regular basis because it allows the industry to better understand where the numbers come from.

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http://www.hsyndicate.org/news/4042374.html

London restaurants showing signs of recovery from recession

The London restaurant industry is starting to show slight signs of recovery from the recession, with some businesses reporting an increase in profits and bookings for the second quarter of the year.
In a poll of almost 150 London restaurants for Business Link’s monthly Restaurant Barometer, 40 per cent of the capital’s businesses reported an increase in like-for-like custom and profits from April to June this year, while a third experienced a steady trade

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http://www.bighospitality.co.uk/item/3645

Dunkin’ Donuts franchisee files for Ch. 11

GREER, S.C. (July 7, 2009) Kainos Partners Holding Co. LLC, operator of 56 Dunkin’ Donuts locations in New York, South Carolina and Nevada, filed for Chapter 11 bankruptcy protection this week, citing the economic downturn and shrunken consumer spending.
The Greer-based company, which was formed in 2005 and also operates a central manufacturing location to produce doughnuts and baked goods for all Dunkin’ Donuts franchisees in the Buffalo, N.Y., market, has an additional eight stores under construction. It is one of the largest Dunkin’ Donuts franchisees and employs about 700 people

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http://www.nrn.com/article.aspx?id=369470

Class action sought against Synovus

A suit seeking class action against Synovus Financial Corp. has been filed alleging the company and some of its officers and directors lied about the company’s financial exposure through a loan to the Sea Island Co. resort in Georgia.
The case was filed by Coughlin Stoia Geller Rudman & Robbins LLP in the U.S. District Court for the Northern District of Georgia

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http://www.bizjournals.com/atlanta/stories/2009/07/06/daily32.html?

Adelson says Sands considering Macau IPO

SINGAPORE — Cash strapped casino operator Las Vegas Sands Corp. is considering an initial public offering of its Macau assets and the sale of peripheral businesses to raise $3.5 billion to $4.0 billion, chairman Sheldon Adelson said Wednesday.
The company — hit by a funding crunch as the financial crisis unfolded — needs about $2 billion to finish its latest Macau hotel and casino project, and hopes to have the financing in place by September, Adelson said.
"We're actively, aggressively, sincerely looking at an IPO," he said at a news conference in Singapore. "We're talking to investors about putting in large amounts of equity and we're also talking to banks about project financing."

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http://www.chron.com/disp/story.mpl/ap/business/6518980.html

Administrators to sell two Park Inn hotels

Two Park Inn hotels are being sold off by administrators after their holding company - a subsidiary of the WG Mitchell group of companies - was placed into administration.
Administrator Ernst & Young has put the properties in London's Russell Square and St Helen's in Cheshire on the market through Christie & Co following its appointment as administrator to 28 of WG Mitchell's 75 subsidiary companies in April.

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http://www.bighospitality.co.uk/item/3644

Ruby Tuesday, Inc. Reports Fourth Quarter and Annual Fiscal 2009 Results

MARYVILLE, Tenn.--(BUSINESS WIRE)--Ruby Tuesday, Inc. today reported diluted earnings per share of $0.28 on net income of $14.4 million for the Company’s fourth quarter of fiscal 2009, which ended on June 2, 2009. This compares to diluted earnings per share of $0.27 on net income of $13.9 million for the fourth quarter of the prior year.
Same-restaurant sales for the fourth quarter decreased 3.2% and 6.9% at Company-owned and domestic franchise Ruby Tuesday restaurants, respectively. Guest traffic at Company-owned same-restaurants was positive in the quarter.

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http://www.businesswire.com/portal/site/home/permalink/?ndmViewId=news_view&newsId=20090707006294&newsLang=en

Starwood Signs an Agreement to Sell the W San Francisco for $90 Million

WHITE PLAINS, N.Y.--(BUSINESS WIRE)--Starwood Hotels & Resorts Worldwide, Inc. (NYSE: HOT) announced today that the Company has signed an agreement to sell the W San Francisco for $90 million to Keck Seng Investments (Hong Kong) Limited, a hotel investment and property development company listed on the Hong Kong stock market. The sales price is immediately accretive to earnings and represents a multiple of over 14X anticipated 2009 EBITDA. The buyer is well-known to Starwood and currently owns three other Starwood hotels. Additionally, Starwood has retained a long-term management agreement to continue operating the hotel as a W. The W brand continues to grow globally, and is poised to more than double its footprint from 25 hotels today to 60 hotels by 2011. The sale, which is subject to customary closing conditions, is expected to close on July 30, 2009.

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http://www.businesswire.com/portal/site/home/permalink/?ndmViewId=news_view&newsId=20090707006012&newsLang=en

Start Planning your trip to the UK - British Sausage Week 2009 dates announced

The dates have been announced! November 2-8 is officially "Sausage Week" in the UK.

Last year hotels filled up quickly so plan ahead and book early. Some hotels extend an additional discount if you show up, at check-in, wearing a Sausage Costume.

BPEX foodservice trade manager, Tony Goodger, said: "British Sausage Week goes from strength to strength each and every year, which is no surprise given the popularity of this classic menu item. The sheer range of quality sausages now available demonstrates just how much the British love their bangers, making it an opportunity not to be missed. Eye catching point of sale material and new sausage-based recipe ideas will be made available for foodservice establishments, completely free of charge."

Recession Still Devouring Restaurant Margins

recent survey by The National Restaurant Association revealed that the restaurant industry is still facing its toughest times and suggested that the grim outlook would continue unless the economy shows signs of rebound. Consumers are spending less and are dining out seldom.
Rising food and labor costs are eating away a major portion of the restaurant margins. Most companies have either scaled back plans for new units or postponed further unit development. Restaurants that operate in the casual dining segment, like Famous Dave’s of America , Cosi Inc. , BJ’s Restaurants (NasdaqGS: BJRI - News), California Pizza Kitchen (NasdaqGS: CPKI - News) and Red Robin Gourmet Burgers (NasdaqGS: RRGB - News), are experiencing declining same-store sales and traffic counts.

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http://finance.yahoo.com/news/Recession-Still-Devouring-zacks-4187351263.html?x=0&.v=1

Starwood Capital to buy most of Golden Tulip hotels

PARIS, July 7 (Reuters) - U.S. investment company Starwood Capital Group Global LP said it was buying around 240 of the 260 hotels run by loss-making hotel operator Golden Tulip for an undisclosed amount.
Golden Tulip Hospitality Group, which went into voluntary receivership earlier this year, had at one time been discussing a possible merger with Apollo Hotels & Resorts.

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http://www.reuters.com/article/marketsNews/idINL713921020090707?rpc=44

Study shows Myrtle Beach hotel prices better high

In a down economy, many hotels in Myrtle Beach and beyond have been slashing rates to lure customers. But a study released last week says price-cutting doesn't pay.
Although hotels that dropped prices saw an increase in occupancy, that increase was not enough to offset revenue losses caused by the lower rates, according to a study released by The Center for Hospitality Research at Cornell University. In general, the study said keeping prices above the competition is best for the bottom line

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http://www.thesunnews.com/business/story/967176.html

Lodgian Provides Update on Maturing Mortgage Debt

ATLANTA, July 2 /PRNewswire-FirstCall/ -- Lodgian, Inc. (NYSE Alternext US: LGN), one of the nation's largest independent hotel owners and operators, today announced that the company has obtained extensions on $71.6 million of its mortgage indebtedness previously scheduled to mature on July 1, 2009, and remains in negotiations on extension of $45.7 million of mortgage debt which matured on July 1, 2009. The mortgage indebtedness, which was originated in June 2004 by Merrill Lynch and securitized in the collateralized mortgage-backed securities market, has been divided into three pools of indebtedness referred to by the company as the Merrill Lynch Fixed Rate Pools #1, #3 and #4. (The company repaid the Merrill Lynch Fixed Rate Pool #2 in 2007.) In summary, the company has reached agreements with the special servicers of this mortgage indebtedness to provide the following:

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http://ir.lodgian.com/phoenix.zhtml?c=112638&p=irol-newsArticle&ID=1304225&highlight=