Ash Cloud Costs Spanish Hotels $243m

13th May 2010 (Last Updated May 13th, 2010 18:30)

The Spanish Confederation of Hotels and Tourist Accommodation (CEHAT) said that Spain's hotels put their losses at €192m ($243.8m) as a result of the volcanic ash crisis last month. The findings were uncovered during a study commissioned by CEHAT, which reveal 18% of hotel losses w

The Spanish Confederation of Hotels and Tourist Accommodation (CEHAT) said that Spain’s hotels put their losses at €192m ($243.8m) as a result of the volcanic ash crisis last month.

The findings were uncovered during a study commissioned by CEHAT, which reveal 18% of hotel losses were attributed to repatriation and discounts, while 82% was cited for last-minute cancellations.

The Canary Islands was the most affected area with a 60% fall in revenues while The Balearic Islands lost 31%.

Hotels in central and northern Spain were relatively unaffected by the volcanic ash cloud.

CEHAT comprises 64 associations with more than 10,000 hotels.