[But will such balancing acts work? Analysts are doubtful.] No one is doing a great job, ... It's very difficult to cater to all travelers.

1998 is turning out to be a transition year for the lodging industry, ... After seven consecutive years of occupancy increases we are going to see occupancy in all five price points, price segments decrease this year.

Hotel buyers have to be much smarter now than they did a year or two ago.

[But it doesn't end there.] Guests will pay more for food and beverage and the use of fitness facilities, ... They should also be alert to what these days are called surcharges, which range from housekeeping fees to the use of resort amenities.

What we've seen is demand growing at three and a half to four and a half percent in some recent years. This year it will only grow about two and a half percent.

What will happen, daily, is that the general manager or the director of sales or the representative that deals with that account - the embassy here - will get the call: 'Have you had any cancellations?' .

Everyone is asking for favors, for special consideration.

The economics are extremely compelling. It is good for every reason we can think of.