Essential news from around the world...
Strategic sues Marriott over profits
Hotel chain Marriott International has denied accusations that it fraudulently concealed profits from a number of hotels it manages but which are owned by Chicago-based property company Strategic Hotel Capital. Strategic has issued a writ against Marriott claiming that it failed to disclose relevant financial details about the three hotels, all in southern California.
Accor gets into bed with Dorint
French hotel and leisure company Accor has taken a 26% stake in German four- and five-star hotel chain Dorint for an undisclosed sum. The deal will boost Accor’s presence in Germany, where Dorint operates 75 hotels out of its 91-strong portfolio. It has a further 20 hotels under construction or in development. UK-owned Six Continents already has a joint venture with Dorint and had been expected to forge closer ties with the German company.
Hotel workers set to strike in Chicago
Chicago hotel workers are poised to strike at the end of this month in a battle over new contracts. The Hotel Employees and Restaurant Employees International Union is campaigning for wages and conditions in the city to be brought into line with workers in New York, San Francisco and Washington DC. But the demand, which would mean a 100% pay rise, has been rejected by hotels.
Aussie workers protest over meals charge
Australian hotel workers are up in arms over plans by two hotels to charge them A$2 (72p) for meals. The charge introduced by the Marriott Hotel and the Hyde Park Plaza Hotel in Sydney means an A$18 (£6.50) a week pay increase recently agreed “will be whittled down to small change”, said the Australian Liquor, Hospitality and Miscellaneous Workers’ Union.
Shangri-La posts interim loss
Shangri-La Hotels in Malaysia made a loss in the first six months of this year, latest results have shown. Pre-tax losses before one-offs were M$3.6m (£619,000), compared with profits of R$18.1m (£3.1m) at the same point last year. The company blamed higher interest payments and fewer visitors.
English style comes to Bilbao
Spanish hotel chain NH Hoteles is to open a four-star, 96-bedroom hotel in Santurtzi, near Bilbao, in January next year. The Oriol Palace will be an “English-style” hotel and follows the chain’s announcement earlier this month for a €35m (£22m), 200-bedroom hotel and golf course development in the southern Spanish town of Casares.