Outrigger kicks off
tourism campaign

The hotel company is putting up
$1 million to start what it hopes will be
a $20 million, two-year effort

By Russ Lynch
Star-Bulletin

Outrigger Hotels & Resorts wants the airlines serving Hawaii to come up with $10 million over the next two years for a special tourism promotion fund and is putting up $1 million to get the fund started.

Outrigger says the airlines, which are expected to save about $40 million because of a two-year moratorium on Hawaii landing fees announced by Gov. Ben Cayetano last week, should give back some of it.

Airlines said it is too soon to say exactly how they will respond to the landing fee waiver or Outrigger's proposal.

"We have to think through what our approach will be," said Joe Hopkins, a spokesman for the biggest mainland-Hawaii carrier, United Airlines.

United said it will save $10 million over the next two years by not having to pay the landing fees.

Hawaiian Airlines spokesman Keoni Wagner said Carey's concept has been discussed but key executives have been traveling and no decision has been made. Hawaiian has said it stands to gain $6 million a year from the fees moratorium.

The airlines have said they expect to boost their Hawaii promotion in some way.

David Carey, Outrigger president and chief executive officer, announced the new campaign yesterday. He said Outrigger hopes to get others in the local tourism industry to contribute another $9 million and then have the airlines match the total with their $10 million, to create a $20 million fund.

"We think it's a reasonable price, 25 percent of what the airlines are going to save," Carey said.

Cayetano appeared at the Outrigger news conference to add his support. He said the landing fee waiver was intended to support the airlines, who say the Hawaii leisure business is one of their least profitable markets.

The state can't legally ask the airlines to give back money but they have been asked to help promote Hawaii, Cayetano said. "I am confident the airlines are going to come through," he said.

Carey said he wants the money to go into TV commercials promoting all of Hawaii and not to be specific to any tourist business, although contributors would get some credit in the commercials.

Roberta Rinker-Ludloff, marketing vice president of the Hawaii Visitors & Convention Bureau, said any effort to raise money from the private sector to promote the islands is a plus.