Hawaii Occupancy Lowest Since September 2001

HONOLULU - February 6 - The occupancy rate for Hawaii's hotels plunged by 10 percentage points in December, to a below 61 percent, the lowest level since just after the September 2001 terrorist attacks.

The figures, while disappointing, are not surprising due to the economic decline in the United States and in Asia. Hawaii has lost Aloha airlines, ATA Arilines and two cruise lines pulled out in 2008 battering the economy in Hawaii.

Joseph Toy, president and CEO of Hospitality Advisors, says though last year began strongly, the bottom dropped out of the market in the third and fourth quarters. He says he's never seen such a steep decline before in nearly 25 years of analyzing hotel occupancy data.

Still, Hawaii ranked fifth highest among in occupancy for U.S. desintaitons behind New York City, San Francisco, Miami and Los Angeles.