Starwood accused of mismanagement in Tahiti

 
Old Jan 11, 2009, 10:55 pm
  #16  
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Originally Posted by gleff
...I would say that Starwood certainly has an obligation to make good on award reservations that it is currently accepting, in cases where it knows full well that the hotel will no longer be affiliated with the brand as of the date of the reservation.....
The precedent for this is that the hotel makes good on the award (or more accurately, Starwood pays the usual revenue and the hotel accepts it). This is what happened when Principe di Savoia left Starwood a few years ago (but that was sold to the Dorchester group which is a very classy operation).
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Old Jan 12, 2009, 7:51 am
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Originally Posted by 3Cforme
It's not clear that we as FlyerTalkers have a reason to care. Properties change management companies all the time. Properties change brand flags all the time.

No journalistic source (WSJ, Bloomberg, Financial Times...) is given in the original posting. How the backroom whinings of these people, presented as an excerpt from a company press release, looking to negotiate a sweeter termination deal with Starwood should belong on FlyerTalk is wholly lost on me.
I have to agree it like the unions and the airlines, I jsut want to either get to x or stay at the hotel.
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Old Jan 12, 2009, 9:02 am
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Any idea how this will impact the St. Regis Bora Bora?

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Old Jan 12, 2009, 10:43 am
  #19  
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Originally Posted by FlyerBeek
Any idea how this will impact the St. Regis Bora Bora?

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Perhaps you should read the thread more carefully before asking a question that is clearly answered by the news article I posted which quotes an SPG press release, huh?
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Old Jan 12, 2009, 10:45 am
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Originally Posted by NJUPINTHEAIR
Perhaps you should read the thread more carefully before asking a question that is clearly answered by the news article I posted which quotes an SPG press release, huh?
It was there indeed as you said:

But the release from the group's White Plains, N.Y., headquarters added, "Starwood will continue to manage three other award-winning properties" in French Polynesia. They are the 90-villa St. Regis Resort Bora Bora, the 150-room Le Mridien Tahiti and the 99-bungalow Le Mridien Bora Bora.
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Old Jan 12, 2009, 11:38 am
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Originally Posted by NJUPINTHEAIR
Perhaps you should read the thread more carefully before asking a question that is clearly answered by the news article I posted which quotes an SPG press release, huh?
I could certainly do without your , admonishment, and assumption that I hadn't fully read the press release you posted.

I was wondering if there was any additional information regarding the St. Regis considering this is also a Louis Wane owned property - unlike the two Le Méridien properties. I haven't seen this raised either on this thread or the original thread covering this issue. Is it not fair to think this might somehow affect Starwood's relationship with the St. Regis considering Wane's somewhat difficult history with Starwood?

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Old Jan 12, 2009, 2:15 pm
  #22  
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Originally Posted by FlyerBeek
I could certainly do without your , admonishment, and assumption that I hadn't fully read the press release you posted.

I was wondering if there was any additional information regarding the St. Regis considering this is also a Louis Wane owned property - unlike the two Le Méridien properties. I haven't seen this raised either on this thread or the original thread covering this issue. Is it not fair to think this might somehow affect Starwood's relationship with the St. Regis considering Wane's somewhat difficult history with Starwood?

-FlyerBeek
Quite the contrary, I think it is fair to say from your bare-bones request of how the above would affect the SR Bora Bora, that you, indeed, had not fully read the above posts before making your inquiry.

As to what other further information you seek, a Google search might be helpful with respect to any additional information and I am sure that you will report back your findings to the rest of us.

Until such further notice, I guess we will have to content ourselves with the above and below:

Tourism : 01/09/2009 at 11:01AM

Owning companies of 3 hotels not satisfied with Sheraton management

(Tahitipresse) - The owning companies of three hotels that the Sheraton group is due to stop managing later this year has announced in the local news media that they were unsatisfied with the management of the Sheraton Hotel Tahiti, the Sheraton Moorea Lagoon and the Bora Bora Nui Resort & Spa.


A statement by the "owning companies" that did not contain the names of the firms emphasizes that it was not the Starwood Group who took the initiative for the Sheraton's departure.

The end of the Sheraton's management contracts sometime during 2009 at a date still not specified by Starwood, Sheraton or the owning companies "is in reality only the result of unsatisfactory performances for the owners of the three hotels", according to the published statement.

However, the statement added, "Under no circumstances should the departure of Starwood be regarded as being related to the tourism industry's difficulties in French Polynesia." This was a reference to 2008, which, through November, was shaping up as Tahiti's worst tourism industry year since 2002.

"Negotiations are underway with a prestigious hotel chain of international renown to take over" the management of the three hotels, the owning companies' statement continued. The name of the hotel chain was not mention, but there have been reliable but unconfirmed reports that the main owner of the hotels, Louis Wane, has been talking with Hilton Hotels.

According to the owning companies' statement, "The hotels will continue operating under a new brand and a new management that has largely proven itself.

"There is no doubt that not only will these three hotels not close, but also that their activity will develop to the great satisfaction of tourists and contribute to French Polynesia's necessary economic vitality," the statement concluded.

Starwood Hotels & Resorts issued a news release on Dec. 30 announcing that the hotel group and Wane had reached a "mutual agreement" for Starwood to no longer manage the three resorts. "The effective date will be during 2009." That release identified Wane as "owner" of the three hotels.

The owning companies' statement noted that the Starwood's departure would be "under amicably negotiated conditions".

But the Starwood Group's release from its White Plains, N.Y., headquarters added, "Starwood will continue to manage three other award-winning properties" in French Polynesia. They are the 90-villa St. Regis Resort Bora Bora, the 150-room Le Méridien Tahiti and the 99-bungalow Le Méridien Bora Bora.

"Starwood has operated both the Sheraton Hotel Tahiti and the Sheraton Moorea since August 2000 . . . and the Bora Bora Nui Resort & Spa since February 2002," the release noted.

The Sheraton Hotel Tahiti has 200 rooms, the Sheraton Moorea Lagoon Resort & Spa has 103 bungalows and the Bora Bora Nui Resort & Spa, which is part of Starwood's Luxury Collection, has 120 suites/villas.


http://www.tahitipresse.pf/index.cfm...e=26419&lang=2

Last edited by NJUPINTHEAIR; Jan 12, 2009 at 2:25 pm
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Old Jan 13, 2009, 11:58 am
  #23  
 
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Originally Posted by gleff
Indeed, where this really hurts is award bookings because of course Starwood continues to take them but whether or how they'll be honored after the changeover remains an open question.

I would say that Starwood certainly has an obligation to make good on award reservations that it is currently accepting, in cases where it knows full well that the hotel will no longer be affiliated with the brand as of the date of the reservation.

In other words, if SPG is accepting reservations that it knows or has reason to know that it will likely be unable to fulfill it seems like there'd be a pretty strong claim by anyone so disadvantaged.
No need to worry. The owner has agreed to honor all existing bookings including those made with SPG Awards. Just received an email from management (and so did everyone who has a reservation):

From email:
"...the owner has agreed to honor all confirmed room rates and reservations including SPG Award redemption bookings."

So, all is well! The only thing that will be affected when you are there is you won't be able to gain Starwood points for the stay. But, I'll plan on taking my Hilton credit card to use for spending at the resorts (dining, spa, etc) and gain those points. Looking forward to my stay at the Moorea Lagoon Resort!

A BIG thank you to the owner, Louis Wane Societes des Hotels Tahitien S.A. for agreeing to honor all reservations!
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Old Jan 14, 2009, 9:13 am
  #24  
 
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An unhappy relationship for all involved is coming to an end. I'm sure Hilton gave this guy a sweetheart deal.
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