Bermuda, it emerged yesterday.

However the Summer of '97 promotion will not be used as a long-term solution to Bermuda's tourism woes.

The promotion kicked off on June 23 and 7,306 bookings have been made in the three weeks since. This represents a 40 percent increase over the number of bookings made during the same time last year.

Tourism Minister David Dodwell said: "The response from the consumer to this initiative has been instant and has produced very good results.

"We have created a considerable amount of demand for Bermuda.'' Wholesalers and hotels participating in the promotion are considering extending the initiative beyond the original July 31 booking period.

But Mr. Dodwell said the promotion was a short-term project and should not be seen as a long-term business solution.

"We cannot merely promote sales to Bermuda. We have to offer a product that is competitively attractive and gives excellent value for it to stand on its own.'' Mr. Dodwell said that the overriding objective of the promotion was to enhance summer bookings and hotel occupancies.

However it had also demonstrated the power of a good airfare and how regular published airfares could have affected Bermuda bookings for this peak season.

"Obviously the consumer will act on a good deal as far as airfares are concerned, the market is extremely price-sensitive.

"It is reasonable to say that the opposite is also true. A destination can lose the sale if airfares are too high.

"This issue is a top priority in the work currently being done by our Air Transportation Policy Review Committee.'' The Summer of '97 campaign is supported by print and radio ads in Boston, New York, Connecticut and Atlanta. It features $97 each way flights to the Island from key markets.

Taking part from Bermuda are the two Princess hotels, Elbow Beach, the Marriott Castle Harbour, Sonesta Beach, Grotto Bay, Belmont, the Harmony Club and Rosedon.

The deal is based on special air-inclusive trips involving a minimum three-night stay.

Starting price for the special deals are $555 per person, based on two sharing a room. Trips must be booked through a travel agent or a wholesaler, booked by July 31 and completed by September 30.