FLIGHTS

Cruise news: There are no 4-sleeper cabins left on SI027 (balcony cabins were sold out long ago), the 22 March 2013 Sinfonia cruise from Durban to the Portuguese Island.

The Purple shall rule! Air Zimbabwe plans to reintroduce flights from Johannesburg to Victoria Falls: "We have set in motion plans to re-introducing the Victoria Falls-Johannesburg route from April. This is because most airlines change their flight patterns in April which coincides with the summer season in Europe. So a plan has been set in motion to re-strategise come April. In terms of aircrafts to be used, we are ready on that front.” said Zimbabwean Government official, Munesu Munodawafa

This follows the hopes that Fresh Air would start Johannesburg to Victoria Falls on the 2nd November 2012 (they were a joint venture with 1time airline).

Views expressed here aren't necessarily those of SouthAfrica.TO's.

The Bottom Line: News from Sun International: "Revenue for the period was 10% ahead of the 6 months ended 31 December 2011 (last year) at R5.2 billion.

In an environment that continues to be challenging, the Hotels and Resorts division achieved revenue of R1.3 billion, 6% up on last year, with an occupancy of 61.3%, 2.0pp below last year (due to the additional room nights available at Wild Coast Sun).

In South Africa, the hotel and resort portfolio (Sun City, Wild Coast Sun and The Table Bay), grew revenues over last year by 8% to R925 million. Room nights sold improved by 2.5% in number but, given the higher number of rooms available in the year, occupancy declined by 3pp to 62%. The ADR improved marginally to R1 192.

Sun City's revenue improved by 3% over the prior year to R653 million. International room nights sold improved by 10%, in line with the international arrivals growth reported by SA Tourism. However, the local conference and meetings business has been disappointing with a decline of 27% in room nights sold to these segments resulting in the overall decline in occupancies. The ADR was ahead of last year due to better room rate yields and an improved accommodation mix.

Wild Coast Sun improved its revenue 29% to R195 million and EBITDA 94% to R33 million. The Wild Coast Sun development was completed by June 2012 increasing the rooms to 396 from 258. Room nights sold increased 40% from 39 510 to 55 419.

Table Bay Hotel improved its performance in the context of another difficult six months as a result of the oversupply of inventory in the Cape Town market. ADR increased as a result of additional international traveller room nights sold and the growth in the local corporate market. Revenue of R77 million was 12% ahead of last year.

The Royal Livingstone and Zambezi Sun have been adversely affected by the introduction of a yellow fever vaccination requirement by South Africa for all travellers to and from this destination. This barrier (along with the associated cost) as well as the generally high cost of this destination (visas, park fees and taxes) is impacting on the competitiveness of Zambia.

Gaborone Sun and the other Botswana operations achieved revenue of R89 million (+4%).

In Nigeria, The Federal Palace generated revenue of R101 million, 17% above last year. The increased revenue was generated by the casino which achieved encouraging revenue growth of 45%. Occupancies declined as a result of the closure of the mainland bridge for three months restricting access to Victoria Island.

The 281 room 4 star Maslow hotel refurbishment in Sandton was completed on schedule in mid December at a cost of R254 million. The Maslow opened to the public on 7 January 2013 and has been well received. Trading to date has been encouraging and the group is optimistic that the hotel will become the preferred choice in Sandton for business and leisure travellers.

Boardwalk: The 140 room 5 star hotel, conference centre, parkade, retail complex and musical water extravaganza were all completed during the period under review. The hotel opened on schedule on 14 December 2012 and has positioned the property as the most desired destination in the Eastern Cape offering premier conferencing facilities."