despite the Island recording dismal visitor arrival and spending figures in the first quarter of the year.

A total of 47,164 visitors, or 17.5 percent less than last year, arrived in Bermuda by air in the first three months of this year.

As a result "all types of tourist accommodations reported lower occupancy levels with the bigger declines experienced by resort hotels and guest houses,'' the recently-released Bermuda Quarterly Bulletin of Statistics stated.

Air visitors spent an estimated $42.3 million, 21.4 percent less than in the same quarter last year.

Retail sales during the quarter also dropped 5.7 percent, with an estimated gross turnover of $99.8 million.

All store types, except liquor stores, recorded a downturn in quarterly sales receipts.

But Finance Minister the Hon. David Saul said "there is a glimmer of hope.'' He noted that the number of visitors were up last week and retail sales were directly related to visitor arrivals.

However, he admitted that the drop in revenue on duty alone, unless things pick up in the next two quarters, will have an adverse affect on Government.

"So far we're not unduly alarmed,'' Dr. Saul said. "But those two quarters will give a clearer picture.'' Dr. Saul stressed that Bermuda has "got to become more competitive.'' "We've got to care about the tourists and make him and her feel more welcome,'' he said. "After all, they bring in about $450 million a year. We have to show them that we care so they can bring in more revenue.'' Chamber of Commerce president Mr. Louis Mowbray said May and June would be the key months for retailers.

"Original projections for hotel bookings show that it will be 15 to 17 percent down,'' he said. "But I understand that for May, the end result was much better than expected due to last-minute bookings.

"We don't know what the expenditure has been.'' Mr. Mowbray said residents could also help by spending locally.

While noting that residents spent 0.5 percent less or about $3.9 million on goods from abroad during the first quarter of the year, he said: "We hope that people will help the local companies by buying locally.''