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The Honolulu Advertiser
Posted on: Wednesday, October 10, 2001

The September 11th attack
Las Vegas deals bring tourists back

Advertiser News Services

LAS VEGAS — Las Vegas hotels were nearly full this past weekend for the first time after the tourism slowdown triggered by the Sept. 11 terrorist attacks.

Norma Isiordia of Los Angeles stops to read messages left at an informal Sept. 11 memorial at the New York New York hotel in Las Vegas. The Las Vegas tourism authority said hotel occupancy rose to normal levels over the weekend.

Associated Press

The Las Vegas Convention and Visitors Authority reported that citywide hotel occupancy was 97 percent over the weekend, considered normal for October, as casino companies used lower room rates and a marketing campaign in nearby states to lure visitors.

Occupancy rose from an average of 67 percent the weekend after the Sept. 11 attacks and was higher than the 94 percent rate typical in October, the Convention Authority said.

The authority had been projecting 84 percent occupancy, but these numbers were boosted by stronger-than-expected walk-up reservations, said Kevin Bagger, senior research analyst for the authority.

"We're definitely seeing improvements," Bagger told the Las Vegas Sun. "People are taking advantage of the deals, and word is getting out about the promotions of the hotels. It seems to be stimulating demand."

MGM Mirage Inc. properties, which includes the MGM Grand and Bellagio, and Harrah's Entertainment Inc.'s Las Vegas casinos, including the Rio, were completely booked for the weekend, the companies said.

Two of the city's largest casino operators, MGM Mirage and Park Place Entertainment Corp., recalled some laid-off workers.

But they cautioned that employment levels will fluctuate with changing and generally weak business conditions.

"Things are starting to turn around," said Saverio Scheri, managing director of White Sand Consulting, who stayed at Park Place Entertainment Corp.'s Caesars casino last week. "I asked to be upgraded to a suite or nicer room. They said 'Unfortunately, we're sold out.' I was surprised to hear that."

As business slowed dramatically last month, MGM Mirage laid off more than 6,000 workers, and Park Place reduced its work force by 1,500.

Both companies say some of those workers are being brought back to work, though neither would specify how many.

The biggest gambling market, which usually gets half its visitors by air, was hurt after the attacks because airlines cut flight schedules by as much as 20 percent and business groups canceled conventions.

To woo guests, hotels and the city have focused on "drive-in" markets such as California.

The authority is spending $13 million for an eight-week television and print advertising campaign in such cities as San Francisco, Dallas and Phoenix.