would help them immeasurably.

Harmony Club president William Griffith said: "We need Government assistance.

"Facilities should be offered an incentive to maintain and improve the product.'' He praised Government for its latest Budget, which saw the tax on items used for hotels refurbishment cut to zero.

"They have done it with the Refurbishment Act and the zero percent duty,'' he said.

"Hotel owners and Government have had lots of discussions about other taxes such as fuel and telephone costs and I think things are changing.'' With this help in place, he argued, Bermuda's product could be brought up to a world class level.

"We have got to maintain and improve our product. We cannot sustain business otherwise but we cannot have a good product without profit.'' Belmont general manager Gordon Slatford agrees.

Hoteliers are constantly looking at ways to gain duty relief, he said, although the Hotel Refurbishment Act was "fabulous''.

"We made great strides forward in getting a zero duty rate so we could do refurbishments but it needs to be stretched further.'' Hoteliers have looked for duty breaks on liquor and fuel oil used for electricity production.

"We pay so much for electricity,'' said Mr. Slatford.

Pompano Beach Club general manager Lawrence (Larry) Lamb said he would have rather seen the refurbishment tax remain at five percent and Government do something about the taxes hotels had to pay for power.

But Elbow Beach general manager William Shoaf stressed Government could not go further and begin pumping cash into individual property rescue efforts.

"The last thing Bermuda needs to do is subsidise anyone. Government should encourage product improvement but never get in the subsidy game.'' TAXES TAX