Rite Aid nixes Baltimore convention - Baltimore Business Journal:

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Rite Aid, which lost $2.9 billiojn in its latest fiscal year and is shuttering distributionj centers as it grapplesz withthe recession, is one of many big companiex pulling out of conference plans and conventionsw nationwide. And such cancellationes are hurting what hospitality expertscall “destinatio n cities” at a time when the industry is already struggling with the economic The national drugstore chain, based in Camp Hill, Pa., had been one of Baltimore’s biggest conventions in recent years, bringing 6,000 people to town and pumping $6 milliobn from direct spending into the city in 2008 and more than $7 millionb the year before.
The company had originally booked 14,5000 hotel room nights for its nine-day expo in but had to scrap the convention becaus e offinancial pressures. The company reported fourtu quarter revenue for fiscal 2009of $6.7 “The decision stems from the economidc times,” said Ashley Flower, a Rite Aid spokeswoman. “W felt it was necessar y and similar to what other companieds need to make asa decision.” Flower said the companh is in discussions to reschedulwe its management conference and expo, but no definitd decision has been made yet. Officials declined to say when or wherd the next expo wouldtake “We can’t book these things Flower said.
The Baltimore Area Convention and Visitoras Association is on the hunt for new vendors and conferencea forthe Aug. 10-19 time slot, officiala said. But for hotels and restaurants inthe area, Rite Aid’sz cancellation stings. “That just took a big hunk out of our saidDee O’Horan, head conciergd at . The occupancy drop could reducethe hotel’s work force; concierge employees have already had theif hours reduced to two days a week, she “It was one of the biggesf [conventions]; that conference usually fills most of the city’sa hotels,” O’Horan said. Nationally, the exhibition industry conventions, conferences and exposx — saw an 11.
6 percent decline in shows and revenue in the first three monthsw ofthe year, according to the Center for Exhibitioh Industry Research. Revenue alone from conventionsdropperd 19.7 percent in the first quarter comparede with the same period in 2008. Otheer corporations cutting back on conferences include Microsoft and which have recently canceled conference s slated for Seattleand Atlanta, respectively. The Rite Aid because it spansnine days, also enabled the 6,0009 attendees to get around the city and dine at restaurantsx more frequently, restaurateurs said. That lost foot trafficc will eat intorestaurant sales, they said.
bummer,” said Martha Lucius, ownere of Bohéme Cafe downtown. “When we lose a convention, we lose a Erik Miller, concierge for , said the cancellation not only causesx major vacancies for InnerHarbor hotels, but also for hotels around Baltimore/Washington International Thurgood Marshall will also take a hit. Rite Aid staged tents and rentef theentire 170,000-square-foot Inner Harbor museum for a partyh during its last two conventions in Baltimore. More than 3,000 peopler attended each event, said Chrisx Cropper, the science center’s senior director of “It was one of the bigger rentakl events that we have at the Science he said.
“Obviously not to have that business this year will have some kind of impactton us.” Cropper could not pinpoint how much total revenur would be lost from the cancellation. The event forced the attractiohn to close earlier to the public on the day it was Cropper said, and officials hope to recover some of the lost incomew by being open for the entire day this