Hotels may be asked to pay in punts if euro collapses
Published 13/11/2011 | 05:00
ONE of the world's biggest travel operators may ask Irish hotels to sign contracts agreeing to pay it in punts if the euro collapses or Ireland exits the eurozone.
TUI Group runs both LateRooms.com and HotelBeds.com, booking rooms for well-known hotel chains including the Radisson, Clarion and Jurys Inn and tickets for the venues The O2 and Grand Canal Theatre.
The Radisson and Clarion groups said they had not been asked by TUI to commit to any euro collapse disaster plan, but management at both were aware that TUI had asked Greek hotel operators to sign contracts agreeing to pay in drachmas if the euro no longer exists.
"It wouldn't surprise me if TUI took a similar measure here," one hotel chain CEO said. "Given Ireland's economic status and the hotbed of uncertainty in Europe, my bet is TUI will take the same precaution with its Irish business."
The request has caused uproar in Greece, and the head of the Greek tourist board said no hotelier should sign it.
"TUI Travel always seeks to avoid any possibility of being adversely affected by currency and macro-economic situations and plans accordingly," a spokeswoman said. "This may mean that from time to time we seek amendments to contracts with our suppliers."
Sunday Indo Business