DFS invests in 'Guam Esplanade'

By Gaynor Dumat-ol Daleno
Pacific Daily News

DFS plans to spend about $5 million to transform 30,000 square feet of retail space in the Guam international airport into a pre-departure shopping area called "Guam Esplanade."

The travel retailer announced its additional investment in Guam at a press conference this week at which the Guam International Airport Authority said that DFS won a bid to continue operating the airport's retail concession area.

The airport's executive manager said DFS and the airport agency still have to negotiate the details of the contract, including whether it will last five, seven or 10 years.

"This contract could mean as much as $70 million to the airport," said airport executive manager Gerald Yingling.

The airport expects to earn money from a share of DFS' concession revenue, but the financial details have yet to be discussed.

The president of DFS' Pacific Group, Bob Coe, who is based in Hawai'i, attended the announcement. Under a DFS restructuring announced earlier this month, Coe added Guam, Saipan and Palau to his responsibilities.

Coe said that although these are challenging times for Guam, the project demonstrates DFS' continuing commitment to the island.

DFS also has challenges of its own. Coe said that after 40-some years, DFS recently had to "resize" and revise its business model.

Earlier this year, DFS Guam fired 50 people who held managerial or supervisory positions, in addition to the 60 people laid off late last year, according to DFS Guam management.