A weak European currency is reason behind Bermuda's low tourism arrivals this year, according to Tourism Minister David Allen.

Mr. Allen said the low value of the single European currency, the Euro, was the number one factor behind the shunning of Bermuda by both American and European visitors.

And after disappointing results from its new flight, he slammed airline TWA for not backing the twice-weekly service to Bermuda with the full weight of their marketing expertise.

He said poor numbers on the now-discontinued service from St. Louis were partly to blame on the airline not promoting the flight as he had hoped they would.

"Certainly there were expectations that TWA would bring in more people. TWA didn't go to the lengths to promote it... it didn't get the marketing muscle,'' he said.

TWA decided to cancel the flight after one season, despite Government pumping in cash to support an advertising and promotion blitz during the year.

They had hoped it would tap into potential visitors on the US west coast and midwest, but it failed to capture the public's imagination. Flight numbers were poor, with some flights having less than ten people on board.

It is understood tourism officials were upset that TWA did not support the flight to the same extent as some of its other new services.

The latest set of figures for August showed Bermuda has lost nearly 16,000 air visitors so far this year and 30,000 since 1998.

The loss of 1,000 beds through hotel closures and renovations has hit the numbers but Mr. Allen admitted that it was unlikely his predicted 2.5 percent increase in air arrivals would be realised this year or that numbers would "bottom out''.

He said he "would have expected better'' but said the weak Euro had made a holiday to the east very attractive to US travellers.

"The whole Caribbean is complaining about the bottom dropping out of their business,'' he said.

"Bermuda is no exception, the Euro is a tremendous magnet to US travellers to go to Europe because prices are so low. That has been a huge challenge that I don't think we anticipated.'' Mr. Allen would not say whether next season would see some levelling off of the numbers but said early figures for last month would narrow the deficit.

But he warned that October's figures could be disappointing without the boost of the Jazz Festival this year.

"We have to stay the course and aim for the high-end market that is not so price resistant.'' The Minister said renovations at the Fairmont Hamilton and Southampton Princess, impending work at Elbow Beach and the uncertainty over the future of the Sonesta Beach Resort all had an affect on tourists, who were concerned over construction work and the sale of the Sonesta.