Ailing Sandals Exuma Seeks Government Help

Wednesday 03rd, October 2012 / 09:06 Published by

Adam Stewart

Sandals Resort International (SRI) hotel group chain has invited the Perry Christie government in The Bahamas to assist with solutions to high costs faced by its Emerald Bay hotel in Exuma, to prevent the closure of the unprofitable resort.

On Friday, Sandals issued a statement which indicated that 600 jobs might be lost unless the government took action.

“It is a fact that the hotel is facing severe difficulty in continuing operations at Emerald Bay because of the multitude of high costs associated with operating from the family islands of The Bahamas. Some of these costs could never have been anticipated and make the Emerald Bay resort unlike any other we operate,” the release said.

“The cost to operate the facility is proving to be unsustainable with the highest utility costs we face as a hotel chain, limited airlifts to the island, the continuing need to subsidise airlifts, high fuel and transportation costs, added to a series of costs associated with overcoming the limited pool of trained professionals on the island…,” said SRI.

The statement also highlighted Sandals’ status as a top local employer.

Sandals Resorts, which is owned by Gordon ‘Butch’ Stewart, operates hotels in six Caribbean countries.

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2 Comments on “Ailing Sandals Exuma Seeks Government Help

  • I have stayed at many Sandals Resorts over the years. I find this upsetting. Anyone planning construction/ operations in the Bahamas knows in advance the pros and Cons. Instead of threats, how about solutions – Solar on all your buildings might be a good start, perhaps generate enough for others on Exuma to offset the high rates THEY pay. Be part of the Community … not a bully.

    Reply
  • Well blow me down…! Butchie, did you just realise that there are costs associated with Out Island hotel operation??
    And your solution is to threaten the government with job losses to extort relief funds or concessions?

    From my untrained point of view, any enterprise seeking to become the big fish in any pond ought to be prepared to assist the local infrastructure by partnering, investment, or co-production, or by providing their own water and electricity.

    It seems unfair to me, when a new large entity, entering an area that requires infrastructure upgrades to accommodate the new entity, does not assist the local government in the expansion needed (as was done in Exuma). After all, any consumer has to pay for connection to the service commensurate with their demand.

    Without any sort of investment other than their hotel, Sandals cannot expect to have it all their way.

    Reply

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