TRADING conditions in the hotel business are still erratic and there

are no clear signs of recovery, according to Resort Hotels, despite

reporting an 11% rise in half-year profits.

Richard Strong, chairman of the Brighton-based three-star hotels

operator, said that although the recession continued to bite, it had

provided Resort with chances to snap up individual or small groups of

hotels.

Since the financial year-end last April, the group has added more than

500 bedrooms to its network through acquiring contracts to manage

hotels.

Pre-tax profit for the six months to October 31 was #3.25m, compared

with #2.92m in the corresponding period in 1991.

The interim dividend is maintained at 1.2p while earnings per share

slipped to 2.8p from 3.61p.