BIL hotel chain boosts turnover with late run

LONDON - Brierley Investments' 46 per cent-owned British chain Thistle Hotels reported an 8 per cent increase in total turnover for the year ended December 31.

Thistle, a core holding for Brierley, had in September reported a 9 per cent profit fall for the first six months of 2000.

But a strong second half offset a "difficult" start to the year, the company said yesterday.

Total turnover in retained hotels - which included the five hotels sold in 1999 or 2000 - was £324.4 million ($1.023 billion) for the year.

Turnover in the second six months of 2000 increased by 11.9 per cent, while revenue per available room was up 7.3 per cent from the previous year.

The recovery was London-led. There, turnover increased 9.6 per cent to £211 million, with revenue a room up 9.4 per cent. Thistle is London's largest hotelier.

Outside London, turnover climbed 5.2 per cent to £113.4 million, with a slight decline in revenue per room. The second half of the year was stronger than the first, as with London.

Thistle shares rose 3 pence to 134p on the London Stock Exchange, following the announcement.

The shares have underperformed the UK stock market by 32 per cent over the past 12 months after a big selloff last year.

Last June, Brierley chairman Sir Selwyn Cushing said Thistle Hotels had been hit by a downward re-rating of the British hotel industry.

At the time he put Thistle's net tangible asset (NTA) backing at £2.20.

- NZPA