It was a rough Easter holiday week for hoteliers in the United States and Canada, according to the latest STR data.
U.S.: The U.S. hotel industry reported decreases in two of the three key performance metrics for the week of 17-23 April 2011.
In year-over-year comparisons, occupancy fell 3.7% to 58.3%, average daily rate ended the week with a 0.8% increase to US$99.02, and revenue per available room dropped 2.9% to US$57.74.
Canada: The Canadian hotel industry, meanwhile, reported decreases in all three metrics during the week.
Occupancy fell 15.2% to 52%, ADR dropped 6.9% to CAD$115.39 (US$121.60), and RevPAR was down 21% to CAD$60.01 (US$63.24).
Bloc Hotels opened its first pod-style property in its hometown of Birmingham, England, reports HotelNewsNow.com’s Stacey Higgins. And the company is already eyeing future development.
Four more deals are close to being signed, three of which are in London, said Olivier Delaunoy, marketing and operations director of Bloc Hotels.
“When you’re a new operator, it’s very difficult and intense to find sites and develop them,” he said. “You have to work harder, do the research. We’re putting feelers out to find gems.”
Host Hotels & Resorts, Starwood Hotels & Resorts Worldwide and Whitbread PLC each reported earnings this morning.
Host: The company said funds from operations rose by 57% to US$77 million, or 11 cents per diluted share, during the quarter. The company’s net loss narrowed to US$60 million, from US$84 million during the same period a year ago. http://www.hotelnewsnow.com/articles.aspx/5437/Host-reports-Q1-FFO-jump
Starwood: The company reported that worldwide, systemwide RevPAR was up 9.1% when adjusted for constant dollars. Net income, however, slipped slightly to US$28 million, or 14 cents per share, from US$30 million, or 16 cents per share, a year earlier.
Whitbread: Total revenue rose by 11.5% while underlying profit before tax was up 6.6%.
The company also said it has reduced year-end net debt by 5% to £487.9 million (US$812.18 million).
For the first time Wednesday afternoon, a U.S. head of the Federal Reserve addressed reporters following a policy meeting. And during the pow-wow with reporters, Ben Bernanke said the U.S. economy still requires monetary support, according to a Bloomberg recap.
“It’s not clear that we can get substantial improvements in payrolls without some additional inflation risk,” Bernanke said to nearly 60 reporters. “Ultimately, if, if inflation persists or if inflation expectations begin to move, then there’s no substitute for action,” he said. “We would have to respond.”
This is the first of four news conferences the Fed will hold, helping achieve Bernanke’s goal of increased transparency.
The advance figure for seasonally adjusted initial unemployment claims increased by 25,000 to 429,000 for the week ending 23 April, according to the U.S. Department of Labor.
The four-week moving average rose by 9,250 to 404,000.
Compiled by Shawn A. Turner.