The ski industry already took a hit in the spring when the pandemic struck and many resorts had to close early, leading to $2 billion in losses and causing layoffs or furloughs of thousands of employees, according to the National Ski Areas Association, a trade group. The industry saw its lowest number of visits, 51 million, since the 2011 to 2012 season, the association said.
Now resorts are setting their expectations low for the new ski season, reports Kellen Browning for The New York Times.
Mike Pierce, a spokesman for Mount Rose Ski Tahoe, a resort in western Nevada, said the mind-set was “to just maintain status quo and survive.” He declined to provide any financials, but said, “if we break even, that’s almost considered a success.”
Even before the pandemic, the ski industry was laboring to build interest in the sport. The number of skiers has stagnated in the past decade, according to the National Ski Areas Association.
How the ski resorts do this winter will have a domino effect on tax revenue for state economies. In New Mexico, the truncated ski season last winter and this spring generated $41 million in taxes, but George Brooks, the executive director of the state’s ski association, said he expected no more than 40 percent of that number in the coming months.
Vail Resorts, the world’s largest ski company with 37 resorts around the globe, including 34 in the United States, reported in an earnings call on Dec. 10 that it lost $153 million from August through October, wider than the loss of $106.5 million in the same period a year ago. Rob Katz, chief executive of Vail Resorts, said that season pass sales were up about 20 percent, but he expected fewer visitors and less revenue this winter than in previous seasons.
Source: Read Full Article