Bermuda Hotel Association executive director John Harvey.

He believes hotels will lose some bookings at the beginning of the year because many are closed for major renovations.

But he is confident the spruced-up properties will get strong bookings towards the end of the year.

Mr. Harvey endorsed Tourism Minister David Allen's prediction that the downward spiral in visitor numbers would bottom out in 2000.

The latest figures for last year showed air arrivals for October were down 19 percent to 28,625, although cruise visitors were up 29 percent to 28,865.

Figures for August showed the Island had lost 16,000 air visitors for the year to date and was down 30,000 from 1998.

Mr. Harvey said it was important that potential vacationers from the United States understood that hotels undergoing renovation would be open again in time for the summer season.

He told The Royal Gazette : "It can't be worse than last year. This year is going to be challenging. At the moment we've got some properties undergoing renovation and they will be completed.

"I'm hoping that when they open with a new facade and some oomph behind them they will set up a momentum and there will be more bookings in the second half to negate the first half.

"There is always a bit of spillage in a negative sense when properties undergo renovation.

"Renovations are very good for preparing us for a very competitive market, but we have got to make sure the message goes out loud and clear that we are open again.

"I really believe that Bermuda has met all of its challenges and we've identified those challenges and are at the bottom of it (the visitor slump).''