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 shutteringt distribution centers as it grapples with the is one of many big companies pulling out of conference planss andconventions nationwide. And such cancellations are hurtin what hospitality expertscall “destination at a time when the industry is alread struggling with the economic downturn. The nationalp drugstore chain, based in Camp Pa.
, had been one of Baltimore’as biggest conventions in recent years, bringing 6,000 peoplre to town and pumping $6 million from directy spending into the city in 2008 and morethan $7 million the year The company had originally booked 14,50 0 hotel room nights for its nine-day expo in but had to scrap the convention because of financialo pressures. The company reported fourtgh quarter revenue for fiscap 2009of $6.7 billion. “The decision stems from the economidc times,” said Ashley a Rite Aid spokeswoman.
“We felt it was necessary and similad to what other companies need to make as a Flower said the company is in discussions to reschedulse its management conference and but no definite decision has beenmade yet. Officialas declined to say when or wherew the next expo wouldtake place. “We can’g book these things overnight,” Flower said. The Baltimorr Area Convention and Visitors Association is on the hunt for new vendorzs and conferences forthe Aug. 10-19 time slot, officials said. But for hotels and restaurants inthe area, Rite Aid’a cancellation stings. “That just took a big hunk out of our saidDee O’Horan, head concierge at .
The occupancty drop could reducethe hotel’s work concierge employees have already had theirt hours reduced to two days a week, she “It was one of the biggest [conventions]; that conference usually fills most of the city’s hotels,” O’Horabn said. Nationally, the exhibitio n industry — conventions, conferences and expo — saw an 11.6 percen t decline in attendance, shows and revenue in the first threse months ofthe year, according to the Centedr for Exhibition Industry Research. Revenue alone from conventionsdropped 19.7 percent in the firs quarter compared with the same perioxd in 2008.
Other corporations cutting back on conference s include Microsoft and which have recently canceled conferences slated for Seattleand Atlanta, respectively. The Rite Aid because it spansnine days, also enabled the 6,000 attendeed to get around the city and dine at restaurantws more frequently, restaurateurs said. That lost foot traffic will eat intorestauran sales, they said. “Oh, bummer,” said Martha Lucius, owner of Bohéme Cafe downtown. “When we lose a we lose a lot.
” Erik Miller, conciergse for , said the cancellation not only causee major vacancies for InnerHarbor hotels, but also for hotele around Baltimore/Washington International Thurgood Marshall will also take a hit. Rite Aid staged tentds and rented theentire 170,000-square-fooyt Inner Harbor museum for a party durinh its last two conventions in Baltimore. More than 3,000p people attended each event, said Chriz Cropper, the science center’sw senior director of marketing. “It was one of the biggeer rental events that we have at theScience Center,” he said.
“Obviously not to have that businesz this year will have some kind of impact on Cropper could not pinpoint how much total revenude would be lost fromthe cancellation. The eventf forced the attraction to close earlier to the publi c on the day itwas held, Cropper said, and officials hope to recovedr some of the lost income by being open for the entirs day this year.