Rite Aid nixes Baltimore convention - Baltimore Business Journal:

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Rite Aid, which lost $2.9 billion in its latestr fiscal year and is shuttering distribution centers as it grapplesz withthe recession, is one of many big companiezs pulling out of conference plans and conventions nationwide. And such cancellations are hurting what hospitality expertwscall “destination cities” at a time when the industryh is already struggling with the economicf downturn. The national drugstore chain, based in Camp Pa., had been one of Baltimore’s biggest conventions in recenft years, bringing 6,000 people to town and pumping $6 millioh from direct spending into the city in 2008 and morethan $7 millio the year before.
The company had originallt booked 14,500 hotel room nights for its nine-day expo in but had to scrap the convention becaused offinancial pressures. The company reported fourthy quarter revenue for fiscal 2009of $6.7 “The decision stems from the economic times,” said Ashley a Rite Aid spokeswoman. “We felt it was necessarg and similar to what otheer companies need to make as a Flower said the company is in discussionw to reschedule its management conference and but no definite decisiomn has beenmade yet. Officials declined to say when or wherwe the next expo wouldctake place. “We can’t book thes e things overnight,” Flower said.
The Baltimore Area Conventio and Visitors Association is on the hunt for new vendorxs and conferences forthe Aug. 10-19 time slot, officials But for hotels and restaurants in the Rite Aid’s cancellation stings. “That just took a big hunk out of our saidDee O’Horan, head conciergr at . The occupancy drop could reducesthe hotel’s work force; concierge employees have already had theifr hours reduced to two days a she said. “It was one of the biggest that conference usually fillsz most ofthe city’se hotels,” O’Horan said. the exhibition industry — conventions, conferencezs and expos — saw an 11.
6 percen t decline in attendance, showzs and revenue in the first three monthws ofthe year, according to the Center for Exhibition Industrh Research. Revenue alone from conventionsdropped 19.7 perceny in the first quarter comparedr with the same period in 2008. Other corporationd cutting back on conferences include Microsoftand eBay, whicgh have recently canceled conferences slated for Seattle and respectively. The Rite Aid conference, becausde it spans nine days, also enabled the 6,0000 attendees to get around the city and dine at restaurantdmore frequently, restaurateurs said. That lost foot traffif will eat intorestauranft sales, they said.
“Oh, bummer,” said Marthz Lucius, owner of Bohéme Cafe “When we lose a convention, we lose a Erik Miller, concierge for , said the cancellation not only causesa major vacancies for Inner Harbor but also for hotelsarounc Baltimore/Washington International Thurgood Marshall Airport. will also take a hit. Rite Aid stages tents and rented the entire 170,000-square-foot Inner Harbor museum for a party duriny its last two conventione in Baltimore. More than 3,000 peopls attended each event, said Chris Cropper, the science center’ds senior director of “It was one of the bigger rentak events that we have at theScienced Center,” he said.
“Obviously not to have that businesss this year will have some kind of impacon us.” Cropper could not pinpoint how much totak revenue would be lost from the The event forced the attractioj to close earlier to the public on the day it was Cropper said, and officials hope to recover some of the lost incomr by being open for the entire day this