THE HAWAII TOURISM Authority approved the Hawaii
Visitors and Convention Bureau's 2003 marketing plan, and will
extend the HVCB's contract for both global leisure and corporate
meetings and incentives marketing through Dec. 31, 2003. Marketing
budgets for the coming year were set at $33.15 million for leisure
and $2 million for meetings. The authority late last month shifted
marketing responsibilities for the Hawaii Convention Center from
the HVCB to Philadelphia-based SMG, which manages the center. Its
marketing budget remains at $4 million per year.
IF ALL GOES WELL, Molokai may become a new port
call in December for a few cruise ships passing through the
Islands, continuing through next year. The Statendam would be the
first, arriving for 12 hours on Dec. 28. Other ships calling on
Molokai include the Amsterdam and the Royal Princess. Deep-sea
fishing excursions, scenic tours and a shuttle to Kaunakakai town
will be available. But with nearly 1,000 passengers pouring onto an
island with a population of only 7,000, not everybody is thrilled
with the new itineraries. The survival of the port call will depend
on its success.
MOLD WOES CONTINUE at the Hilton Hawaiian
Village, where mold contamination closed its year-old, 25-story
Kalia Tower in July. The cost of repair work to the tower,
originally estimated at $10 million, has climbed to $40 million --
about 40% of the entire $95 million price tag on the tower build.
All furniture, carpeting and wall coverings in the 453-room Kalia
tower were destroyed by the mold and will be replaced, and
improvements will be made to the Lagoon Tower, where mold has crept
into hallway ceilings. Guest rooms in the Kalia Tower are expected
to open again next spring.
ALOHA AIRLINES asked its 3,000 employees to
take a 10% wage cut during the next three years to save the airline
an estimated $37 million. Aloha recently received conditional
approval for a loan guarantee of $40.5 million from the Air
Transportation Stabilization Board. "Employee groups is only one of
the parties that we're working with to satisfy conditions of the
ATSB," a spokesman for the carrier said.
MEANWHILE, Aloha Airlines is reducing its
interisland flight schedule by about 20% beginning Dec. 2. It will
temporarily return to its current schedule Dec. 20 to accommodate
holiday travel demands. Changes include a decrease in Maui-Honolulu
service from 23 daily flights to 16. A spokeswoman for the airline
said she hopes Aloha can return profitability to the interisland
market -- essential for an island state -- by knowing how many
seats to make available so they don't sit empty. Hawaiian Airlines,
meanwhile, said it would wait until January to implement flight
reductions. Aloha and Hawaiian are operating under a federal
antitrust exemption that allows them to work together on seat
capacity of interisland routes.
HAWAIIAN HOLDINGS, parent of Hawaiian Airlines,
reported third-quarter net income of $6.4 million for the period
ending Sept. 30, compared with $11.3 million in the year-ago
quarter--a drop of more than 40%. President and CEO John W. Adams,
said the company expects that "the resulting weak yield and revenue
environment that has prevailed throughout 2002 [will] continue in
the current quarter and result in losses for the fourth quarter and
the full year of 2002."
RUNAWAY'S 2003 Hawaii catalog is rolling off
the presses, focusing on the honeymoon, spa and family markets. New
hotel partners include the Waikiki Beach Marriott, Cliffs at
Princeville on Kauai and Outrigger's Fairway Villas at Waikoloa on
the Big Island. Call (800) 622-0723 for details or a copy.
ANOTHER VOTE of confidence for Outrigger's
vision: Honolulu's City Council unanimously approved plans and
permits for Outrigger Enterprises' $300 million Waikiki Beach Walk
project. In an effort to revitalize Lewers Street and decrease
congestion in the area, Outrigger will raze six existing buildings
and construct a new 890-room hotel with an entertainment and retail
complex -- incorporating more open space -- over 7.9 acres.
Construction of Phase One is scheduled to begin in early 2004.
Outrigger Enterprises is the parent company of Outrigger Hotels
& Resorts, the largest lodging company in Hawaii.
CLASSIC HAWAII and Embassy Vacation Resort
Kaanapali on Maui are offering two nights free for travelers paying
for five nights. The deal includes use of an economy rental car and
daily buffet breakfast for two. Prices start from $853 per person,
double. For details, contact (800) 221-3949.
WHAT WOULD CHRISTMAS on the Big Island be
without dozens of decorated trees at the Mauna Lani Bay &
Bungalows? For the ninth year, the hotel will invite non-profit and
for-profit organizations to decorate Christmas tress in the hotel's
atrium lobby from Dec. 6 to 25. The four trees voted the best would
receive a $6,000 cash prize, awarded as charitable donations by the
hotel. For-profit organizations must designate a charity to receive
their portion of funds raised. Visitors can vote for their
favorites by purchasing ballots for $1. Extra money collected will
be divided evenly among the non-winning groups. For information,
call (800) 367-2323 or visit www.maunalani.com.