Tourism received a double boost yesterday as the latest figures showed an increase in air arrivals.

Overall numbers show a rise in March of ten percent, with US visitors rising by 15 percent in the same period -- for the first time since June last year, Tourism Minister David Allen told the House of Assembly yesterday.

The statistics correspond with March, 1998, which showed a 12 percent decrease in air visitors overall and last month when a drop of six percent was recorded. US numbers also for February fell by six percent.

And occupancy predictions for April to June are said to be "encouraging''.

The news came as Mr. Allen revealed that plans to re-open the former Club Med hotel in St. George's are moving forward.

And a deal to secure the future of Marriott's Castle Harbour Resort could become a reality.

Mr. Allen told travel wholesalers on the Island for their annual retreat that a team of architects was to visit the old Club Med hotel next week as part of a due diligence process.

He said it would become an upscale resort, linking up with the Camberley group.

According to the Minister, $100 million of funding was in place for the Marriott -- which is to close its doors for 18 months in November.

A hotel management company, identified as Regent International by The Royal Gazette last week -- and said to be in the top four in the world, is lined up to manage the hotel.

Rooms will be reduced from 400 to 200, with luxury suites and facilities, creating a five star resort, he said.

The rise in air arrivals comes as the new North American advertising campaign is set to kick off.

TV, radio, magazine and newspaper ads are lined up with the message "Bermuda, out of the blue''.

In addition, the Minister unveiled the creation of two new positions within the Tourism Department.

An Assistant Director of corporate tourism and Assistant Director of product development are to be taken on to enhance new areas of business, including the lucrative convention and group travel market.

This year, the Caribbean Hotel Association said there was $100 billion of trade in entertaining business groups and incentive tours in 1998. And this is set to grow by 20 percent in 1999.

Also flagged by Mr. Allen were a direct air service from Miami next year with American Airlines.

But he said although the company had indicated the structure was in place to start, he may have to look at charter flights if nothing comes of the deal with AA.

And he said final negotiations were taking place with an airline to establish a Midwest gateway for Bermuda, starting next year. Two new airlines had also identified Bermuda as a destination from Atlantic City and Dallas, he said.