Overall visitor arrivals rose in the third quarter of 2010 but air arrivals fell as a direct result of Hurricane Igor, Premier Ewart Brown said yesterday.

Persons here for business and to see family and friends comprised the majority of visitors the actual number of persons who travelled here for vacation fell by 2.3 percent.

Dr. Brown presented the latest tourism figures in his final media address as Tourism Minister yesterday.

As part of that he revealed Rosewood Hotels will take over management of Tucker's Point and showed early plans for a water park at Morgan's Point.

And he revealed statistics showing the total visitor arrivals rose almost three percent when compared to the same period last year.

Cruise ship arrivals increased by 5.07 percent and yacht arrivals rose by 9.5 percent.

However total air arrivals fell by just over one percent following a 14 percent drop in September.

"The first two months of the quarter, July and August, both showed increases by visitation by 3.1 percent and two percent respectively," Dr. Brown said.

"The month of September differed, declining by 14 percent as the airport closed for two days while the Island was being battered by Hurricane Igor.

"This resulted in cancelled flights and reservations several days before and after the storm."

Four cruise ships also cancelled visits to the Island due to the hurricane, costing Bermuda around 8,400 visitors.

Fewer hotels are open this year than in 2009; those still in business saw improved occupancy in both July and September.

Average occupancy in July 2010 was 83 percent, compared with 75 percent in 2009. In August 2010, occupation stood at 78 percent compared with 74 percent the previous year.

Small hotels and private clubs benefited most, with 2,294 more air travellers staying in small hotels than during the same quarter last year.

The Premier added that advance bookings are up two percent for November and 16 percent for January, though December bookings are lagging by six percent compared to the same period in 2009.

The United States remains the largest tourism market for the Island, providing three quarters of all the Island's visitors.

Arrivals from the UK and Europe remained steady, accounting for ten percent and three percent of our visitors respectively Canada arrivals have increased and now represent ten percent of the market.

Visitors who arrive by plane are also staying slightly longer on the Island; the average length of stay increased from 6.32 nights to 6.47 nights.

Visitors also spent more money while here between $1,278 and $1,411 on average.

In total, visitor expenditure in the quarter ranged between $100.7 million and $111.2 million, up from $81.1 million and $93.1 million in 2009.

Tourism Department figures revealed the number of visitors who came to the Island for vacation dropped by 2.3 percent.

The number of people visiting friends or family rose by 4.1 percent; the number of business travellers rose by 8.9 percent.

Projects such as the Bermuda Music Festival helped boost figures, Dr. Brown said.

"The objective was to deliver a quality event while reducing the significant infrastructural costs of previous years. The event was delivered with precision and on budget."

He said 220 visitors purchased 343 tickets for the festival through various package programmes, although more visitors may have attended the event.

Dr. Brown also attributed the overall rise in arrivals to tourism events such as the Bermuda Triple Crown Billfish Championship and Mambo Nights.

"Roughly 100 visitors came for Mambo Nights this summer," he said. "Salsa dancing has taken Bermuda by storm, receiving many accolades from visitors who have had the opportunity to dance the night away."

He added: "The tourism turnaround from almost 20 years of decline continues. And while my time as Minister of Tourism and Transport comes to a close, it will be left to a new Premier and a new Minister to build on the record of accomplishment we have left behind."

Dr. Brown said he has not been grooming anyone to fill his ministerial role.

"Whoever is appointed will have at their heart a passion for tourism, Bermuda, and our people. The tourism turnaround will continue until Bermuda is back where it belongs in the market at the top."