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jV nq Over $ 104 million to hoteliers - The Times Hub

Over $ 104 million to hoteliers

Over $ 104 million to hoteliers

Hard hit by the health crisis, hotels have received more than $ 100 million in financial assistance from Quebec since the start of the pandemic.

By the end of November, nearly a hundred hotel companies had received from the Ministry of the Economy more than $ 104 million in loan guarantees as part of the Temporary Concerted Action Program for Companies (PACTE).

The hotel industry has thus received nearly 18% of the approximately $ 595 million in aid allocated by the PACTE as of November 30, indicates a compilation made by The newspaper.

The company that received the most support is Groupe Germain de Québec. With its subsidiary Alt, Germain was entitled to loan guarantees totaling $ 38.3 million. These guarantees cover already existing loans, said yesterday at Newspaper Christiane Germain, co-president of the company.

Christiane Germain
Co-President of Groupe Germain

For its part, the Lixi Group of Montreal, which operates five Super 8 hotels in four regions, the Days Inn Montreal-Trudeau and the Marriott Courtyard of Quebec, received more than $ 6.6 million under the PACTE.

Like other businesses whose revenues have declined significantly, hotels are also eligible for the Canada Emergency Wage Subsidy.

Short summer respite

If the industry had a brief respite this summer, the situation is again difficult since the fall, recalled yesterday Nicolas Dufour, spokesperson for the Association Hôtellerie Québec.

“Even though there were good occupancy rates for some hotels in July and August, it barely covered the losses that had been suffered at the start of the pandemic,” he explained.

“It’s hard, it’s very hard. It takes a steely morale and you have to have confidence, ”said Mme Germain. Its 18 hotels across Canada currently have an overall occupancy rate of less than 20%, she said.

More support needed

Christiane Germain hopes that a semblance of normality will return this summer. Until then, the industry will need another push from the state, she said.

“The measures we currently have are correct, thank you, but it is sure that it will not be enough for the time we have left to do,” said the entrepreneur.

“We hope that at some point, there will be sums of money that will be expressed in ways other than loans,” she added, noting that many hotel companies are already heavily in debt.

The crisis has resulted in thousands of layoffs in the industry. In December, the number of workers in Quebec’s restaurant and hotel sectors was 25% lower than it was a year earlier, according to the Institut de la statistique.

Main beneficiaries of the PACTE

  • Germain Group: $ 38.3M
  • Telecon: $ 36.6M
  • Selection group: $ 35 million
  • Uni-Select: $ 34.5M
  • E. Gagnon and Fils: $ 24.5M
  • Life in pink : $ 21 million
  • Joseph Ribkoff: $ 14M
  • Pelican International: $ 14M
  • Kraft Nordic: $ 11.8M
  • Electric Lion: $ 10.4M
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