The war in Iraq has had virtually no effect on hotel bookings, Bermuda Hotel Association (BHA) said yesterday.

Hotels reported American visitors were jittery in early March as the prospect of conflict loomed, but the number of cancellations has been "negligible".

Paul Tormey of the BHA's marketing committee said: "We had a meeting a week ago and everyone felt the effect of the Iraqi situation was minimal. There has been an almost negligible effect in terms of cancellations."

Mr. Tormey, the general manager of the Fairmont Hamilton Princess, said his own hotel had a current occupancy rate of 64 percent now, which was three percent off last year. And he was hoping for high 60s or low 70s for May.

"We've had a couple of small cancellations, really negligible, but nothing of any substance," he said.

"We get extraordinarily late bookings. It's the same story, but what we are seeing with the war is that it has exacerbated that. But the impact has been negligible."

The Island's biggest hotel, the Fairmont Southampton, is half full now and is looking at 57-58 percent occupancy for the month, said manager Allan Trew.

"We've got fairly good occupancy rates and for May we are looking at 85 percent," he said.

"Luckily we have had no effect whatsoever from the war. In fact, if anything our phones are ringing more."

Neal Stephens, the general manager of The Reefs, said: "April is a little soft and we are predicting 69 percent, though hopefully we will finish in the low 70s.

"We budgeted this at the end of September and we predicted that with the state of the economy and the uncertainty that we would not be as busy as the past.

"We're looking at 88 percent for May (compared to 89 percent booked up by this time last year). For June we are 96 percent compared to 90 per last year this time, so June is excellent.

"We lost a few bookings right at the beginning of March, but that's stopped now and we are holding our own.

"The initial stages (of the war build up) kept us a little bit soft, but people have resolved themselves to the conflict and are trying to go about their regular lives in as normal a way as possible.

"What would effect us would be another major terrorism incident, particularly on the East Coast."