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The Honolulu Advertiser
Posted on: Thursday, May 15, 2003

Travel industry optimistic Memorial Day will lead strong season

By Jonathan D. Salant
Associated Press

If the Travel Industry Association is right, more people will be sunning themselves in Hawai'i this summer like these visitors at the Sheraton Waikiki.

Deborah Booker • The Honolulu Advertiser

WASHINGTON - The economy, the Iraq war and terrorism worries, which have put a damper on Americans' travel plans, won't keep people home this Memorial Day weekend, the traditional start of the summer tourism season, travel industry officials said yesterday.

About the same number of people as last year - 35 million - will travel at least 50 miles from home over Memorial Day, predicted AAA, the former American Automobile Association.

"AAA believes that the rough times for travel may not be over, but that the worst part is definitely in our rearview mirror," said AAA Vice President Sandra Hughes.

Overall, summer tourism should increase slightly over 2002 levels, the Travel Industry Association said. But the declining economy will encourage travelers to stay closer to home and drive to their destinations, the group said.

"The rather dramatic shifts that Americans have made in their travel preferences in the past 20 months, such as more driving trips, closer-to-home travel and more rural destinations are still apparent," said Suzanne Cook, a TIA vice president.

The AAA said 29.4 million travelers will drive over the Memorial Day weekend, May 24-26, a slight increase over last year's 29.3 million. About 3.9 million people will fly, down 2.5 percent from last year's 4 million.

For the airline industry, some encouraging news is on the horizon. Cook said that by the end of the summer, the number of flying passengers should rise by around 1 percent, reversing a decline that began even before the Sept. 11, 2001, terrorist attacks. During the first three months of 2003, 120 million passengers flew on major U.S. airlines, a decline of 1.5 percent over the same period a year earlier, according to the Air Transport Association, which represents major airlines.

Many travelers have yet to book their flights, hotels or rental cars, hoping to take advantage of last-minute, cut-rate deals, Cook said.

"That's certainly part of it," Cook said. "The consumer has discovered the Internet. There are deals available."

Foreign travel is expected to decline, especially to Asia because of SARS, she said.