NEW YORK— The addition of the Rafael Hotel portfolio helped to significantly boost pre-tax profits for Mandarin Oriental Hotels in first half. Profits rose 72.7% for the six months ending July 30 to £6.7 million ($9.6 million) against £3.8 million ($5.4 million) in the year-ago period. Turnover rose to £82.5 million ($118 million) from £65.7 million ($94.2 million) in first-half 2000. According to Mandarins chairman, Simon Keswick, the acquisition of the 21 Rafael Hotels, along with the re-opening of the chains 200-room Mandarin Oriental Hyde Park in London, helped enhance the operators performance. Despite the increases, reports out of the United Kingdom describe Keswick as “cautious about the future,” citing the impact of decreased corporate and leisure travel. The chains two Hong Kong properties posted drops in occupancy. The 887-room Excelsior dropped to 78% occupancy in the first six months of 2001 compared with 86% occupancy in the year-ago period. Similarly, the 541-room Mandarin Oriental Hong Kong dropped to 66% from 76%. Nevertheless, the international operator is on schedule to open the 250-room Mandarin Oriental New York in 2003, and has contracted to manage a new 171-room property set to open in Tokyo in 2006.
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