Ski towns prepare for the worst as vacationers cancel reservations

Ski towns prepare for the worst as vacationers cancel reservations

October 4, 2001

A LONE SKIER descends the Spiral Stairs into Telluride last ski season. Colorado resorts managers are concerned about the upcoming season, because fears about terrorism and the safety of travel, along with the economic recession, have caused reservations to lag severely.

By Robert Weller
Associated Press

DENVER — Some of the West’s most popular ski towns are cutting budgets as a precaution in case visitor numbers decline this winter because of air service cuts, fear of flying after the terrorist attacks or a souring economy.

Resort officials know first-hand how unpredictable scenarios can sink seasons. Many recall how Y2K fears kept skiers away in droves in 1999. Poor snowfall hurt the resorts for two consecutive years before figures rebounded last winter.

Although the situation remains in flux, government leaders figure they should be prepared.

Vail had planned a 3 percent increase in spending this year, but instead plans to spend the same amount as last year. "You never commit to large projects until you know how the season is going," Vail town manager Bob McLauren said.

Steamboat Springs officials plan to convene a retreat to discuss the budget on Tuesday.

"We’re going to take everything into consideration and try to come up with something that will allow us to do what needs to be done, but put off the more expensive parts of the budget, capital expenditures, new hires, replacing vehicles," city manager Paul Hughes said.

"We’re probably doing what everybody is doing, too."

The Sept. 11 terrorist attacks in New York, Washington and Pennsylvania have left some Americans afraid to fly, while others are discouraged by lines at airports because of heightened security measures. In addition, airline industry officials are looking hard at schedules because of financial problems blamed partially on the attacks.

Destination resorts far from metropolitan areas are dependent on air service.

"We have to deal with weather every year. Now we have to deal with whether people will travel. There is heightened concern," said Jackson, Wyo., town manager Michael Parda.

Eagle County, whose airport serves the Vail, Beaver Creek, Aspen and Steamboat Springs, is forecasting a 15 percent decline in sales tax revenue.

Vail Resorts stock hovered around $14 a share Monday, down from $20 a share last summer. Chief executive officer Adam Aron blamed the decline on panic selling in wake of the attacks.

"There is plenty of reason to be concerned about the upcoming ski season. But over the medium- or long-term this isn’t going to change the number of skiers in the United States," he said.

"We’re still optimistic because we have almost three months to go before Christmas time. Hopefully, the traveling public will be more relaxed about air travel then. We certainly have a lot of flights for them, and more than last year."

Eagle County Administrator Jack Ingstad said, "High-end travelers want to go to places like Vail and Aspen. They demand that the airlines fly there."

As the Loveland resort prepared to fire up snowmaking machines this week, there were some encouraging signs.

In Aspen, reservations were up 10 percent from the same time a year ago, said Bill Tomcich, president of Aspen Central Reservations. No flights have been canceled, and Northwest Airlines on Monday introduced a new flight between Aspen and Memphis, Tenn.

Ingstad said he believes the Rockies may fare better than other tourist regions. "I’m hearing that a lot of people want to make a permanent home up in the mountains. People feel sale."