Travel Business Index Shows Strong Finish For Industry In 1997

<B> Travel Business Index Shows Strong Finish For Industry In 1997</B>

The Travel Business Roundtable Index of Leading Economic Indicators showed 1997 closing out on a strong positive note, with a monthly advance of 1.1 percent for December and an annual increase of 7.8 percent.

Strong performance in four economic sectors in particular helped drive the growth rate from December 1996 through December 1997: travel industry employment from Bureau of Labor statistics, consumer confidence from the Conference Board's index, total Airlines Reporting Corp. sales and Smith Travel Research's hotel/motel revenue index. Advances also occurred during the year in the other five sectors that comprise the Index: the hotel/motel occupancy rate from Smith Travel Research, a daily rental car price index, personal consumption expenditures for travel and other discretionary products and services from the Bureau of Economic Analysis, retail sales at eating and drinking establishments from Department of Commerce and Bureau of Census data, and revenue passenger miles from the Air Transport Association.

Designer of the Index, James M. Howell, said its "sharp growth pace" shows the importance of the industry "in keeping the current economic expansion alive.