Losses widen at Fayed's Paris hotel

Harrods boss Mohamed Al Fayed has seen losses widen and sales slip at his Paris Ritz Hotel, figures showed today.

The exclusive hotel was hit by a slide in business following the September 11 attacks in the United States, it was revealed in accounts filed at Companies House.

Pre-tax losses at the exclusive hotel nearly doubled to €3.7m in the year to December 31, 2001, against €2m the previous year.

Sales also fell, down from €57.7m to €56m.

In the report the company said the average annual occupancy rate at the hotel fell from 83.3% in 2000 to 75.3% in 2001.

It said this was 'as a result of the declining business activity experienced in the luxury hospitality market in France since the beginning of the year and as a consequence of the terrorist attacks in the US on September 11'.