Resorts in Nova Scotia Examined

NS: Shadow looms over Digby Pines’ future


DIGBY, NS] — The future of Nova Scotia’s Signature Resorts, including the Digby Pines, is up in the air and options reportedly include its sale.

The NDP government is about to issue a tender for consultant’s services to look at what might be done with the Pines, Keltic Lodge in Cape Breton, and Liscombe Lodge on the Eastern Shore.

All three resorts are icons in Nova Scotia’s tourism industry, and all three are in need of major renovation, according to an official at New Castle Hotels in Halifax.

The Connecticut-based firm took over management in 2002 and last year was the first time since then that the resorts lost money.

The three reported an operating loss of $717,382 for 2009-10 on revenues of $9 million, according to a provincial news report.


Digby Pines Golf Resort and Spa — John DeMings photo

Along with possible sale of the resorts — an issue complicated by federal ownership of the land beneath Keltic Lodge — the consultant is expected to look at other options, including continued government ownership, renovation, and continued use of a management firm, whether New Castle or another operator.

Pines employees are also concerned that closure of the resort is a possibility.

New Castle signed a 10-year management contract in 2002 and that expires after next season. The company’s fee is three per cent of total revenues.

An unofficial source at the Pines says the Digby resort had over $4 million in revenue, and returned about half of that to the region in wages. The main resort building is located within town boundaries and is a contributor to Digby’s tax base.

Yarmouth airline

NS: Airline service postponed as controversy hovers
By Staff, Transcontinental Media

Source: The Vanguard, October 29, 2010

[YARMOUTH, NS] — East Coast Airways has postponed start-up until November 22. The airline originally announced it would begin service, two days a week, between Halifax and Yarmouth on November 2.

Recent news reports concerning the personal financial background of president Jason Hasson were recently addressed by David Rankin, executive director of the Yarmouth International Airport Corporation.

“While the accusations against Mr. Hasson from some American individuals are concerning,” said Rankin, “all the involved airport directors are in discussion with one another. We are working together to ensure passengers and our communities receive the best possible service.”

Earlier this week, CBC News had reported that angry creditors in the U.S. are claiming that Hasson owes hundreds of thousands of dollars.

East Coast Airways is a division of Integra Air of Lethbridge, Alberta, which has been providing air service between that city and the provincial capital, Edmonton, since 1998.
East Coast Airways is operating under Integra Air’s Transport Canada operating certificate, and has been granted a license to sell airline tickets by the Canadian Transportation Agency.

“We’ve done our homework,” Rankin said, “and will continue to apply due diligence in reference to East Coast Airways. The operating agreements among my colleagues at the other airports and East Coast Airways will provide the utmost benefit to Maritimers. They know that this transportation service is vitally important to our region’s economic growth.”