The Refinishing Touch Blog

I live and breathe the hospitality industry. When I'm a guest, I can't stop myself from taking in my surroundings with a critical eye. I guess you could call me a connoisseur.

One of the hotel chains I like and support is Marriott. It has a focus on customer service, it supports and drives green initiatives and provides reassuring consistency of standards for its guests around the globe.

So on Marriott's announcement of a 28 percent drop in net income this fiscal quarter, I naturally feel concerned, not only about the industry, but for the chain itself. Though, like any bad news, you need to first accept it, and then review and understand it.

This announcement is no surprise. I won't go into the state of the economy, we all know that and I shared my thoughts last week. Hotel stocks are, like many others, under siege: Marriott's shares are down 29 percent year-to-date and Starwood's stock has fallen more than 40 percent.

The key concept to remember on taking stock of this news is that the hospitality industry has been around since time immemorial and has weathered many similar, and arguably worse, situations. Service industries need to be ready to meet the needs of the public at all times, even during economic turbulence.

Marriott was founded in 1927, and the Hilton Group was founded in 1919. They made it through the Great Depression, World War II and the economic malaise of the '80s.

Here at The Refinishing Touch, our aim is to help the industry change with the times. Our solution keeps costs down: it's hard fact that re-use and recycling of assets saves money straight at the bottom line. No matter what happens with the economy, people will always have a need to travel, whether it is to do business, to visit loved ones, or for personal pleasure. Hotels will always be there to meet those needs, and we'll be here to help them weather changing times.

Labels: economy, Hospitality, Wall Street

Currently, it's been near impossible to escape the news of our country's financial crisis. Phrases like "financial meltdown" or "the largest bailout since the Great Depression" are constantly the focus of the news. Earlier in the week, the Bush Administration asked Congress to pass a bill allowing Washington to purchase $700 billion in bad mortgage-related assets from U.S. financial institutions throughout the next two years, which, if passed, would push the National debt limit to $11.3 trillion. With Wall Street regressing so quickly, it's easy for people to enter panic mode and try to make decisions hastily. This government "bailout" is being promoted as a rescue effort, with concerns for middle class families trying stay in their homes.

So with all of this financial crisis, where do we stand at The Refinishing Touch? As a self-financed company, we know first-hand that managing existing assets is more important now than it's ever been. For our customers, the same rings true. If you've been borrowing against assets that have been dwindling, you need to be able to make the best of what you have and manage them wisely.

If you're finding yourself struggling because of Wall Street chances are you're not running out to replace all of your old furniture in your home. The industries we serve are feeling the effects as well. With less Americans traveling for leisure, the hospitality industry has to rely on more foreign travelers. Universities are searching for more funding to be able to help middle-class families afford to provide higher education to their children.

We're glad that we're able to provide some help in these troubled times to people and organizations who are looking for improved facilities but who can't push for everything to be brand new. Refinishing desks and chairs in a university dorm or conference tables in a small business instead of buying new pieces allows these organizations to continue to manage assets in the ways that are most important to them. As we continue in a country with financial uncertainty, it's reassuring to know that our efforts go beyond tables and desks to the lives of the people that sit at them.

Labels: economy, finance, self finance, Wall Street