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Hotels remain massively in debt

Despite the particular strong performance in October and the positive outlook in the capital after record numbers of overnight stays Austria's hotels remain one of the most heavily in debt branches.

The reason for the debt is because of the need to annually invests according to Gregor Hoch, spokesman in Vorarlberg for the Austrian Hotel Association.

He said that at the moment there was an extremely high standard being set by hotels in Austria which all the other hotels needed to match that was causing large debts.

He said that the hotels that are currently in existence were spending about 3.5 billion euros a year simply to maintain the same high standard. He said that in Vorarlberg alone they were spending around 250 million euros to remain market fit.

The hotel association said that they should get similar advantages to other big industrial firms with a similar level of debt, otherwise a shortfall in income could lead to difficulties.

They also want to get as much as they can in terms of tax advantages as well as legal support and marketing assistance.

Vorarlberg also saw record numbers of visitors in the last winter season and is hoping to improve on that this year, yet despite that the level of debt remains high.

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