SARS  - W H O Press briefing

World Health Organization

Dr David Heymann, Executive Director, Communicable Diseases
Dr Guenael Rodier, Director, Communicable Disease Surveillance and Response
Mr Dick Thompson, Communications Officer

Mr Dick Thompson
This will be an abbreviated press briefing. You will have an opportunity to ask a few questions, but not many. The reason is that they are getting on a flight to attend Carlo Urbani's funeral in Italy.

Statement from Dr David Heymann
Good morning. Thank you for coming this morning. We have two different types of information to offer to you this morning. The first is that China is now a full partner with WHO. The teams have been asked to immediately go to Guangdong. Guangdong has reported the number of cases that have occurred during the month of March, which is 361 cases and 9 deaths, which mean that the epidemic is still going on in Guangdong, and they have promised that later today they will provide all of the information that they have obtained from their national disease surveillance system looking for SARS. So we are very pleased to announce that China is now a full partner with other international partners, in fact with the rest of the world, in collaborating on stopping this epidemic and in finding out the various aspects that we need to find out.

The second [type of information] is that since control measures have begun in Hong Kong, which began on 15 March, just after we made our announcement, and in other parts of the world, control measures have been successful in stopping the disease. For example, in Viet Nam the disease has been stopped we believe. In Singapore and Toronto, activities are going on and they are having good success.

I would like to focus now on Hong Kong, however, where since 15 March there have been 9 people, travellers, tourists or businessmen, from Beijing, from Taiwan, and from Singapore, who have returned home from Hong Kong infected with SARS. In addition in Hong Kong, they have found that transmission does not seem to be only by close contact from person to person. It appears that there is something in the environment that is transferring virus, which is serving as a vehicle to transfer the virus from one person to another. We do not believe this is the air. We believe that it is something else in the environment and we have talked about that in past press conferences. It is possibly an object that people are touching and getting infected from, where there has been a SARS patient who has coughed, or possibly a sewage system or a water system or some type of environmental vehicle that takes the virus from a sick person to others. So we see clusters of cases where there is one case, for example, living in an apartment building, where other people in that apartment building have been infected.

So for these two reasons, because of the fact that we do not completely understand the means of transmission in Hong Kong, and because since the 15 March tourists and businessmen have returned from Hong Kong to their countries with infection, we have decided to make a recommendation that people who are planning travel to both Hong Kong and Guangdong, which as you know is adjacent to Hong Kong, consider postponing their travel until another time. We will be working daily with the Hong Kong authorities, and we have daily conference calls with them and now we will begin also with Guangdong authorities, to determine if there are any reasons that we can stop that recommendation. In other words, the recommendation will be reevaluated every day and we will make a decision every day whether or not that needs to be changed. So now what we have is from all sites where there is a SARS outbreak that is causing chains of transmission, we have requested that tourists or travellers understand about the disease, that airports screen passengers who are returning to their countries from these sites, and now, in addition, we are telling travellers who are planning to go to Hong Kong and Guangdong that they consider postponing their travel. So what we have is a system in place now which will, we hope, stop the spread from the sites where SARS is occurring internationally and at the same time help passengers, tourists or businessmen who are planning to go to Hong Kong or Guangdong decide better whether or not they should go. We are recommending that they reconsider their travel plans and postpone if possible their travel to Hong Kong or Guangdong.

Dr Guenael Rodier
Clearly Guangdong and Hong Kong are the two largest foci for infection, two foci where transmission is documented to be ongoing, and two foci where more investigation is required to get the full picture of what is going on in terms of transmission and the exact size of the event.

Questions and answers.

Q. You say that travellers should consider postponing their travel. Do you have a scale of travel advice for this? Is it code red, code B, code C? Is there an absolute prohibition?

A. Dr David Heymann: WHO has a book of International travel and health and we recommend various ways of preventing disease to passengers or travellers internationally when they go to a country. When they go to a country they look in the book and they decide what to do. Most of the diseases that are in the book have either a vaccine or a drug, so we recommend a vaccine or a drug. This is the first time that we have recommended people avoid an area and this is of course because we do not understand the disease completely, because there’s no vaccine and there’s no drug. So this is the first time that we have made this type of a recommendation in recent years to avoid an area because of a disease.

Q. During your consultation with the Hong Kong authorities, what was their reaction to your decision to declare Hong Kong an area of restriction?

A. Dr David Heymann: We have been discussing on a regular basis with Hong Kong authorities and of course no one wants to have a travel recommendation that recommends people not come to their place. But they have accepted this and they are working very hard now to better understand the situation. As they have been right along. We are very confident that Hong Kong will be able to, in a very few days, understand what is going on and then therefore be better able to control the outbreak there.

Q. You explained the two reasons why you are advising travellers to avoid Hong Kong. But for the second reason, about environmental factors, does that also apply to Guangdong?

A. Dr David Heymann: Guangdong, the recommendation has been made because we do not understand yet what is going on in Guangdong. We have put in a maximum level of recommendations, the same as we have for Hong Kong where we know what is going on. As we understand what is going on in Guangdong, we will know that the epidemic is continuing, we know that there were 361 cases in just the past month. So therefore we do not know anything more than that at present, but because we do not know we are making this recommendation.

Q. How and when will you release this recommendation? Do you have the exact wording?

A. Dr David Heymann: Yes, it will come out later today.

Q. How likely is it now that it spills over into other countries [note added to transcript: or areas] in the region, for example, Taiwan?

A. Dr David Heymann: Taiwan actually has had 1, 2, 3, 4, 5, businessmen [note added to transcript: 4 businessmen and 1 businesswoman] return from Hong Kong since the 19th of March [note added to transcript: 15 March] with what’s been reported as probable cases of SARS, but remember we don’t have a diagnostic test. We have no confirmed cases.

Q. Yes, Dr Heymann, can you explain a little bit about the process prior to issuing this advice? While it probably makes sense from the health perspective, it will have economic, social, political impact in the region. I’m wondering if you have consent from authorities in Guangdong, Hong Kong, or China?

A. Dr David Heymann: We’ve spoken first of all with IATA, which is the International Air Transport Association, and they have understood this and they have acknowledged that this is the recommendation which should be made at this point [for public health reasons]. We’ve discussed with the various different countries in the region, with our regional office and through our regional office, and we find that in those countries there are already much more strict recommendations than this is. For example, in Thailand, the government has announced that all [Thai nationals] returning from Hong Kong will be quarantined. So we understand that there are very serious measures already being taken in many countries. So we made this decision with countries, with WHO and, more importantly, with our expert group of advisers on travel and health. We’ve spoken with many of our advisers, you know we have various advisers around the world, we have talked with them as well. And through all of these discussions, which went on all day yesterday and the day before, we’ve come to this conclusion.

Q. So officially, Guangdong, Hong Kong and perhaps even Beijing – interjection from Dr Heymann: Beijing has no …, we have made no recommendation for Beijing.

Q. (continued) I’m talking about the Chinese government, the Guangdong local officials.

A. Dr David Heymann: Yes, they’ve been informed by our WHO office yesterday that we will be making this, as has Hong Kong.

Q. Historically, can you explain us when was the last time WHO issued such a thing? And on what occasion? And why?

A. Dr David Heymann: I can’t give you that answer right now, if WHO has ever done that, but we will find that out and we’ll let you know. I can’t tell you in the last …, as far as I know, this is the only time that this has ever been done, but I can’t tell you for sure, so I shouldn’t be quoted on that.

Q. In recent years?

A. Dr David Heymann: In recent years, this is the first time that this has been done, at least in the past 12-13 years.

Q. But can we get, I’m sorry, can we get later on today some information on this?

A. Yes.

Q. For those people who have to be in Hong Kong in the next few days, so what would you recommend?

A. Dr David Heymann: Our recommendation is that if it’s possible to postpone, they should consider it. But we don’t make any rules or regulations, that’s up to countries to make. So we are saying that there is still unknown information in Hong Kong, that tourists and businessmen appear to still be getting infected, the most recent on 25th March. And so we are therefore recommending that travel be postponed if it’s possible. If it’s not possible for business reasons, then that will have to go into consideration. But it’s a personal decision.

Q. For foreigners who are already in Hong Kong travelling, do you have any recommendation?

A. Dr David Heymann: No.

Q. How do you react to the Swiss government decision that Asian people cannot participate in the Basle Watch Fair?

A. Dr David Heymann: Those governments …, those decisions are made nationally. All we do is give out recommendations to governments. So I can’t comment on the decision of the Swiss government. You’ll have to ask the Swiss authorities why they’ve made that decision.

Q. Do you find it efficient, or wise or too much?

A. Dr David Heymann: I think that’s up to the government to say.

Closing comments? OK. Thank you.

Wyndham defaults on hotel leases, lessor says

(Reuters) - Hotel operator Wyndham International Inc. failed to pay at least $3.6 million of rent due April 1 on 27 hotels it leases, and as a result is in default, the lessor, Hospitality Properties Trust said on Wednesday.

Wyndham, based in Dallas, did not immediately return calls seeking comment.

Hospitality, a Newton, Massachusetts-based real estate investment trust that owns 251 hotels, said it leases the 27 affected hotels under two combination leases.

One lease covers 15 Summerfield by Wyndham hotels and calls for a minimum monthly rent of $2.1 million, and another covers 12 Wyndham hotels with a $1.5 million minimum monthly rent, it said.

Hospitality said it sent a default notice to Wyndham on Wednesday, stating that Hospitality will retain $33.3 million of lease security deposits against damages it may incur under the leases.

Hospitality said the lessee under each lease is a so-called "bankruptcy remote" unit of Wyndham. This, it said, gives Hospitality the right to rebrand the affected hotels because their franchise and management contracts are subordinate to Wyndham's lease obligations.

The Hongkong and Shanghai Hotels, Limited Posts Profit of HK$308 million as Compared to HK$33 million in 2001; Peninsula Hong Kong and The Peninsula Bangkok Contributed Strongly

The Hongkong and Shanghai Hotels, Limited Annual Results for the Year Ended 31 December, 2002

FINANCIAL HIGHLIGHTS

• Revenue from hotel operations up 14% to HK$1,941 million
• Group operating profit of HK$637 million, an increase of 9% over 2001
• Profit attributable to shareholders increased to HK$308 million, compared to HK$33 million in the same period in 2001
• Shareholders' funds at December 31, 2002 decreased by 2% and stood at HK$11.7 billion or HK$10.03 per share
• Earnings per share increased to 26 cents
• Net borrowings decreased by HK$45 million to HK$5.6 billion
• Proposed final dividend increased to 8 cents per share

Costs controlled, although the figures reflect a full year of operation in Chicago

IMPROVED HOTELS PERFORMANCE BOOSTS HSH OPERATING RESULTS

The Hongkong and Shanghai Hotels, Limited (HSH) achieved a group operating profit of HK$637 million for the year ended December 31, 2002 on better financial results from the hotels. 

After taking into account the adjustments for various non-operating items, profit attributable to shareholders for 2002 amounted to HK$308 million as compared to HK$33 million in 2001. Shareholders' funds stood at HK$11.7 billion or HK$10.03 per share, after incorporating the year-end asset revaluations, a decrease of 2% as compared to 2001.

No interim dividend was paid during the year 2002 (2001: nil). Although the Company has achieved a satisfactory increase in both operating profit and profit attributable to shareholders for 2002, the directors consider it prudent to retain a significant portion of the earnings within the Company, in the light of the group's ongoing capital expenditure requirements as well as the uncertainties arising from the possibility of further conflict in the Middle East. The directors therefore recommend to shareholders that a final dividend of 8 cents per share (5 cents in 2001) be declared out of the earnings of 26 cents per share.

Clement Kwok, HSH's chief executive officer, commented, "In 2002, progress has been made in a number of different areas amidst the continuing difficult environment which our businesses face.

"The group's hotels in Asia performed strongly in 2002 with all hotels other than The Peninsula Manila achieving increases in both turnover and operating profits. In the USA, the operating results were somewhat mixed. The Peninsula Chicago, in its first full year of business, received numerous accolades for the quality of its operation but is still in the process of establishing increased corporate business in a competitive market. The Peninsulas in New York and Beverly Hills both achieved similar RevPAR levels to 2001 whilst retaining their strong reputations for quality." 

The flagship Peninsula Hong Kong and The Peninsula Bangkok, which has firmly established itself as one of the leading hotels in that market, both contributed strongly to the increase in operating profits. The shopping arcades in The Peninsula Hong Kong and The Palace Hotel Beijing, which house many of the top retail brand names, continue to perform well.

With the bulk of the group's properties concentrated in Hong Kong, which has continued to suffer from poor economic sentiment, the property business faces a challenging environment. The largest property asset, comprising around 1 million square feet of luxury residential apartments, is at Repulse Bay where declining expatriate trends in Hong Kong have had a significant, adverse effect on both occupancy levels and rentals.

The office rental market in Hong Kong also continues to suffer, as evidenced by the performance of St John's Building. On the other hand, business has held up well at The Peak Tower and the Peak Tramways, The Landmark in Ho Chi Minh City and the Thai Country Club. 

The Company signed an agreement with Mitsubishi Estate Company Limited to develop The Peninsula Tokyo on a prime site in the prestigious Marunouchi business area of the city, for opening in 2007. 

With the completion of the restructuring of The Palace Hotel, which has given HSH a controlling interest, the Company has embarked on a further phase of its renovation programme that is expected to bring the standards of the hotel in line with other Peninsula products.

Work has recently begun on a renovation programme for Quail Lodge, which, upon completion, is expected to enhance its status as a premier golfing and resort destination in the upmarket Carmel area in California.

Besides these major investments, the Company has continued to place emphasis on maintaining and enhancing the quality and value of existing assets. Guestroom and public area refurbishments continue to take place at a number of the group¡¦s hotels; a new restaurant concept was created in The Peninsula New York and a new Thai restaurant and improved riverside dining are being developed at The Peninsula Bangkok.

On the property side, refurbishments of certain apartments and the clubhouse are taking place at The Repulse Bay. Studies are under way to examine the potential for the possible redevelopment, reconfiguration or re-theming of certain properties where the Company believes these might add value.

"As well as continuing to seek improvements to our operating results through revenue enhancement and cost efficiency initiatives, we are actively seeking opportunities to create additional value for our shareholders," said Mr Kwok. 

"As we continue to look towards an uncertain future, it is reassuring to reflect on the recent launch of the celebrations for the 75th anniversary of The Peninsula Hong Kong. This serves as a strong reminder of how the unending pursuit of quality and integrity will overcome short-term uncertainties and result in the creation of substantial long-term value." 

Incorporated in 1866, The Hongkong and Shanghai Hotels, Limited, formerly The Hongkong Hotel Company, Limited, was one of the first stocks to be listed on the Hong Kong stock exchange. Its principal business comprises the ownership and management of prestigious hotel, commercial and residential properties in key destinations in Asia and the USA; its hotel management arm is The Peninsula Group.

Key Statistics for the Year Ended 31 December, 2002

• Based on available room inventory and seven months occupancy by December 2001

New York and nine sister cities commit to rebuilding international tourism

eTurbo.com  -  During the first ever New York Sister City Summit, Commission for the United Nations, Consular Corps and Protocol Commissioner Marjorie B Tiven, Sister Cities Programme President Ambassador Nancy E Soderberg and NYC & Company President & CEO Cristyne L Nicholas announced  they would jointly promote tourism between New York and its nine sister cities. The two-day summit, entitled Rebuilding International Tourism, was attended by Mayor Gabor Demszky of Budapest, Mayor Amos Masondo of Johannesburg, Mayor Jose Maria Alvarez del Manzano of Madrid, Mayor Roberto Salcedo of Santo Domingo as well as tour operators, tourism officials and delegates representing Cairo, Jerusalem, London, Rome and Tokyo.

The goal of the summit, organised by the New York City Commission for the United Nations, Consular Corps and Protocal, was to help revitalise tourism in New York, in its nine sister cities and around the world. Summit participants discussed ways to restore confidence in the travel and tourism industry and encourage citizens to embrace their right to travel. Summit participants, including key tour operators and professionals in the travel and tourism field, discussed the need for local, state and federal support for tourism, uniform security checks and marketing partnerships between government and tourism officials. In addition, Mayor Bloomberg and Executive Mayor Masondo formalised the New York-Johannesburg relationship by signing a Sister City proclamation.

"This summit affirms our commitment to working together as partners in an effort to rebuild global tourism," said Mayor Bloomberg. "As the world`s second home, New York remains the safest large city in the USA. With your co-operation and friendship we will continue to send that message to the globe and we are pleased to welcome your delegates, our Sister Cities, to New York with open arms.

"The tourism summit underscores the crucial role of the industry in promoting economic development," said Sister Cities Program President Ambassador Nancy E. Soderberg. "We are delighted to have such vibrant partners in this effort."

New York City tourism is responsible for US$25 billion in economic activity, supported nearly 300,000 jobs and generated US$3 billion in city, state and federal taxes. International visitors account for 18 per cent of all city visitors, yet are responsible for 42 per cent of tourism spending. Although New York City specific figures are not yet available (for 2001, believe it or not), 2001 nationwide international visitor numbers reflect an overall 9.4 per cent decline from 50.9 million international visitors to the USA in 2000 to 45.5 million in 2001. As the nation`s number one international visitor destination, New York City lost a significant number of international visitors and their corresponding spending in 2001.

"Although tourism remains a vital component of New York`s economy, the industry in general and especially the lucrative international segment continues to struggle," said NYC & Company President & CEO Cristyne L Nicholas. "The return of international visitors is crucial to the complete recovery of New York`s tourism industry and we are excited about this opportunity to invite residents of our nine Sister Cities to come and enjoy everything the City has to offer at this important time."

The Asian American Hotel Owners Association Annual  Convention & Trade Show Set for April 24-26 in  Long Beach, California

The Asian American Hotel Owners Association (AAHOA) Annual Convention & Trade Show, taking place April 24-26 in Long Beach, Calif., promises to be one of the industry’s premier events.  Keynote speaker Earvin “Magic” Johnson kicks-off the three-day event, which features political forces such as consultant James Carville, who led Former President Bill Clinton to victory in 1992; industry leaders like Jonathan Tisch, chairman and CEO of Loews Hotels and chairman of Travel Business Roundtable (TBR); and Bollywood stars including Preity Zinta, who was named best newcomer at the 1998 Filmfare Awards.

“The AAHOA board of directors and staff have been working hard all year to secure an impre