Hotel Room Revenues Drop 10.3% In March

LOS ANGELES— U.S. hotel room revenues fell 10.3% in March, according to Smith Travel Research. The figures capped a quarter marked by an overall 10.5% revenue decline. While these statistics still indicate the industry has not yet recovered from the effects of Sept. 11, they reflect a marked improvement over the fourth quarter when room revenues fell 17.7% in October, 16.3% in November and 12.8% in December. The March decline of 10.3% in room revenues came on the heels of an 8% decline in February and a 12.9% drop in January. The Passover-Easter holiday fell in March this year after coming in April last year. The holiday period is considered a lighter time for hotel room usage. Room revenues were down 5.9% and 4.6% in the first and third weeks of April, respectively, and were actually up 7.2% for the week ended April 13 due to easy comparisons with the holiday week at that time last year, according to Smith Travel Research. Source: Reuters