EUROPE
Ups and downs of airline caterer
The demand for in-flight catering from scheduled and charter airlines remains depressed, airline catering group Alpha Airports said this week. This situation was partly offset by an increase in the company's on-board retail business, which provides trolley services for low-cost and charter airlines.
Alpha said its retail business, which runs shopping outlets and restaurants at airports in the UK, the USA and Sri Lanka, had continued to benefit from a growth in regional airport passenger numbers, driven by the popularity of low-cost airlines. The group recorded a pre-tax loss of £6.9m in the year to 31 January 2002, against a profit of £5.9m the previous year. It reports its financial results for the 12 months to 31 January 2003 next month.
Accor heads to Japan
French hotel operator Accor has made its first move into Japan with a contract to manage the 250-bedroom Hotel Lets Narita by Tokyo's Narita Airport. The hotel, owned by private equity fund Lone Star group, has been closed for some time and will reopen in the summer after a multimillion-dollar revamp as the Mercure Hotel Narita.
USA
Starwood turns in star figures
Starwood Hotels & Resorts has reported a net profit of $91m (£55m) for the final quarter of 2002 against a loss of $54m (£32.8m) for the same period
the previous year, while turnover grew by 12% to $983m (£596.8m). Full-year profits soared by 145% to $355m (£215.5m), although turnover dropped by 2% to $3.88b ($2.4b). The US-based group forecasts flat profits for 2003.
Hilton issues cautious outlook
US-based Hilton Hotels Corporation has cut its outlook for 2003 despite increasing net profit by 19.3% to $198m (£121m) in the 12 months to 31 December 2002. Turnover, however, fell by 4% to $3.85b (£2.35b). The group said it had cut its forecasts because it expected economic uncertainty to continue to hit trading in 2003.
Earnings up but profits down at Fairmont
North American hotel operator Fairmont Hotels and Resorts boosted fourth-quarter earnings before interest, tax, depreciation and amortisation (Ebitda) by 128% to $32.8m (£19.2m) on turnover 29% ahead at $125.6m (£76.3m). Net profit, however, dropped by 79% to $11m (£6.7m). Over the full year, Ebitda grew by 22% to $198.3m (£120m) and turnover by 10% to $590.6m (£358.5m). A net profit of $92.5m (£55.8m) compared with a net loss of $28.2m (£17m) in 2001.
Frothy times for Starbucks
Seattle-based coffee company Starbucks has posted a 25% increase in turnover to $1b (£611m) in the three months to 29 December 2002. Net profit increased by 17% to $80m (£49m). The company said that, based on current trends, it expected sales in January to increase by more than 7%.
REST OF THE WORLD
Israeli tourist figures plunge
Tourism in Israel plummeted to a 20-year low during 2002, according to the latest figures from the country's Central Bureau of Statistics. The number of visitors fell by 29% against the previous year, to 862,300. It was the lowest figure since 1982, when Israel invaded Lebanon.
Shangri-La signs Maldives contract
Shangri-La Hotels is to manage a spa resort in the Maldives on behalf of Villingili Investments Private. The Shangri-La Maldives, which opens in 2004, is a 252-villa resort made up of four independent villages on Villingili island in Addu Atoll.