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Old February 3rd, 2010, 08:35 PM   #61
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Disneyland's problems can be fixed, says park veteran
25 January 2010
SCMP

Hong Kong Disneyland's net losses of HK$4.4 billion in the past three years is at "the high end of the scale", but could be corrected by reinvestment and increased market penetration, a theme park veteran says.

"By the third year a park should be profitable," Darrell Metzger, the International Association of Theme Parks and Attractions' immediate past chairman said in an interview.

Metzger worked in the Disney resorts in California and Tokyo for 10 years before running Ocean Park from 1991 to 1995. He also managed Sentosa Island Resort in Singapore for nearly seven years from 2001.

Based on information revealed by Disneyland last week and a confidential document, which was seen by the South China Morning Post earlier, the theme park's HK$4.4 billion in losses does not include its first year when its loss was believed to be HK$1 billion or more.

"Substantial losses for three years would indicate a more fundamental problem," Metzger said.

He said Hong Kong Disneyland had found it difficult to "steal" loyal clients from Ocean Park and had to rely on broadening the market.

One area Disney had to look at was its hotel occupancy rate, which dropped to 70 per cent last year because of the prevalence of human swine flu.

By comparison, Disney hotels in Orlando and Tokyo usually had occupancy rates of between 80 per cent and 90 per cent.

Metzger said Disney themed hotels required a higher occupancy rate because they had the added costs of providing entertainment such as appearances by Disney characters, which was more expensive than any five-star competitor would dare to spend.

Hong Kong Disneyland last year attracted 4.6 million guests, with each visitor spending an average of HK$552.

Raymond So Wai-man, associate professor of finance at Chinese University, estimated that the park could break even if it boosted either the attendance figure or average spending figure by 50 per cent to HK$828 per capita spending or 6.9 million guests.

"Obviously, it's impossible to achieve that in a year," So said. "Under the most optimistic scenario, the number of guests will surge to 6.9 million visitors by 2014 if the attendance increases by 10 per cent year on year from now on."

Disneyland's management has forecast that it will break even after 2014 when a HK$3.63 billion expansion is completed.

Metzger agrees with this projection, saying the theme park "will be approaching break-even or mild profits in the next five years". Now based in California, he said the challenge to increasing attendance was in luring more visitors during non-peak dates, which required a solid and consistent marketing and sales strategy.

Metzger expects Disneyland to be a must-see Hong Kong attraction for tourists in 10 years.

He believed the park helped enrich Hong Kong as a tourist destination and was "characteristically ahead of the curve" with Singapore opening Universal Studios this month and South Korea in 2014, as well as Shanghai Disneyland opening in several years.

Legislators will discuss Disneyland's performance at today's meeting of the economic development panel.
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Old March 16th, 2010, 03:46 PM   #62
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Tiger traffic set to test borders
8 February 2010
The Standard

Almost nine million people are expected to pass through border control points during the Lunar New Year holiday period _ a rise of about 10 percent on last year.

The government expects about 3.16 million people _ an average of about 263,000 daily _ to pass through the Lo Wu control point during the 12 days from February 11 to 22.

The Immigration Department said Lo Wu will be the busiest for inbound traffic on February 16, the third day of the Year of the Tiger, with about 191,000 arrivals.

Outbound traffic will be heavy on Friday, with 183,000 leaving Hong Kong.

The Lok Ma Chau control point will also be packed with travelers.

Officials say two-way traffic should reach about 1.33 million people, or a daily average of 111,000.

Immigration officials say they are ready for the holiday rush, with extra officers and security staff assigned to various checkpoints.

To monitor the situation, the department, police, Customs and Excise and the MTR Corp will set up a joint command center at the Lo Wu control point.

Lunar New Year fairs across the territory run from today to Lunar New Year Day on February 14 and are expected to be packed.

Hong Kong Disneyland managing director Andrew Kam Min-ho said attendance at the park has climbed in the past two weeks because the mainland school holidays started earlier than last year.

Meanwhile, the Hong Kong Observatory has forecast that temperatures will drop to 15 degrees Celsius on Friday.

The outlook is cloudy and rainy for the weekend.

The drop in temperature is due to a northeast monsoon, which will hit the southern China region on Friday and Saturday, according to senior scientific officer Ma Wai-man.
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Old May 20th, 2010, 09:00 PM   #63
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Asian parks draw fewer visitors but HK Disneyland bucks trend
27 April 2010
SCMP

Major theme parks in Asia were hit harder by the financial downturn than their counterparts in America and Europe. A global survey found that total attendance in Asia dropped 3.5 per cent to 65.5 million last year, compared to a 1.3 per cent fall in the Americas and no change in Europe.

Like most leisure travel, theme park holidays are discretionary purchases that consumers are likely to cut back on in lean times.

In Asia, the economic downturn and fears about the spread of human swine flu led many visitors, including mainlanders, to stay home last year, hurting the attendance of every major theme park in the region except Hong Kong Disneyland and Lotte World in Seoul, according to data compiled by the Themed Entertainment Association and the consultancy, AECOM Economics.

Hong Kong Disneyland recorded attendance growth of about 2 per cent to some 4.6 million last year, making it the 16th most visited theme park in the world, up two places. Local rival Ocean Park suffered a 4.6 per cent drop but still managed to attract 4.8 million visitors, ranking it number 14 in the world, up one spot from the previous year's list.

Both parks are embarking on ambitious expansion plans to add more attractions, a move they say is essential to boosting attendance and the bottom line.

Disney's Magic Kingdom in Florida again topped the rankings. Worldwide, Disney parks dominated the top eight spots on the list with Universal Studios Japan coming in at number nine with 8 million visitors, down 3.6 per cent.

The theme park that enjoyed the biggest improvement last year was De Efteling in the Netherlands, up one-quarter to 4 million visitors. Islands of Adventure at Universal Orlando in Florida saw the biggest drop, with attendance down 13.8 per cent to 4.5 million visitors.

The figures in the report are based on the calendar year. Ocean Park's financial year ends on June 30 while Hong Kong Disneyland's ends on September 30. AECOM uses various sources for its numbers.

"Most operators in Asia were cautiously optimistic for the 2009 season, and that caution was justified. The season turned out to be challenging due to the global financial crisis, outbreak of H1N1 and poor weather conditions in some markets in Asia," Christian Aaen, AECOM's regional director in Asia, said.

"Still, new parks opened in China and key markets in Asia have a significant development pipeline compared to anywhere else in the world." The opening of Universal Studios Singapore this year marked the beginning of a decade in which Asia would dominate in terms of growth for the industry, he said.
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Old May 23rd, 2010, 10:19 AM   #64
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Hong Kong Dinsey land is Crap
best dinesy lands in the world
1 Los Angeles
2 Orlando
3 Paris
4 Tokyo
5 Hong Kong
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Old May 28th, 2010, 10:55 AM   #65
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I found this in Wikipedia and I know Wikipedia is not a credible source, but at least it gives you an idea of what they are doing. Here are their plan:

The park is planning to introduce a 5-year expansion plan in the near future. This will include construction of new themed lands in the area beyond the current railroad track in Adventureland and Fantasyland, which the total land area is about 5 hectares.
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Old August 10th, 2010, 12:52 PM   #66
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Disneyland pins hopes on a busy summer to push it into profit
10 June 2010
SCMP

Hong Kong Disneyland is banking on a busy summer to take it into profit after many visitors stayed away last year because of fears of human swine flu, managing director Andrew Kam Min-ho said.

Merchandise sales have improved, while spending on food has been stable at the theme park, which celebrates its fifth anniversary in September, he said in Shanghai.

But uncertainty about the impact of the World Expo in Shanghai on the number of visitors to Hong Kong during the peak summer period remains a key concern, park insiders say.

Last year Disneyland was profitable until near the end of its financial period, at which point many suppliers were paid, the insiders said. Overall for the year, Ebitda - or earnings before interest, taxes, depreciation, and amortisation - saw a loss of HK$70 million. There are hopes of breaking even or profit this year.

Positive Ebitda is needed for Disney in the United States to earn its management fee from the park, at 6.5 per cent of Ebitda. Its financial year runs from October to September.

The need to rebuild park finances means shifting marketing strategies from one-off promotions to doing more long-term community outreach. Design staff at US-based Walt Disney Imagineering, for example, have expressed interest in helping design an interactive youth centre at the Hong Kong branch of the Savannah College of Art and Design, Kam said. Disney staff will volunteer their time for free.

Kam was coy about the theme park's fifth anniversary plans but said a temporary attraction or structure would be erected.

Toy Story Land would be completed late next year or early 2012, Kam said, then new attractions yearly. This attraction, Grizzly Gulch and Mystic Point would increase the park's size by about five hectares to 27.5 hectares. Seven or eight hectares had also been set aside for more attractions, the insiders said.

The expansion will increase the number of people the park can accommodate at any one time from the current 37,000. By size alone, the five-hectare increase would raise capacity to almost 50,000. With the expansion, Disneyland hopes it will go from being a park that people can visit in a day to a "1.5-day park", they said.

Land is available for up to three more hotels. Depending on demand, one or two more hotels, or about 1,000 rooms, can fit between the Disneyland and Hollywood hotels, and one by the park's pier.
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Old August 11th, 2010, 05:29 AM   #67
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Quote:
Originally Posted by Matthew Lowry View Post
Hong Kong Dinsey land is Crap
best dinesy lands in the world
1 Los Angeles
2 Orlando
3 Paris
4 Tokyo
5 Hong Kong
The fact that you rank Paris above Tokyo, and LA as one of the Disney locations, doesn't give you much credit.

IMO,

1. Orlando
2. SoCal
3. Tokyo
4. Paris
5. Hong Kong
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Old September 8th, 2010, 04:58 PM   #68
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Theme is upbeat as Disneyland eyes a good year
More visitors with looser purse strings augur well for pre-tax profit

6 September 2010
South China Morning Post

Five years after opening, Hong Kong Disneyland is expected to record one of its best years, with higher attendance and greater profitability.

Buoyed by an upsurge in mainland and overseas visitors and their increased spending, the theme park has probably welcomed far more visitors than the 4.57 million reported a year ago, park insiders said.

They said internal studies showed fears that Shanghai's World Expo would hurt attendance figures were unfounded.

Profitability, as measured by ebitda - earnings before interest, taxes, depreciation and amortisation - would also swing back to the black after a HK$70 million loss last year, they said. But after deducting depreciation, amortisation and other finance costs, the park will continue to record a loss.

The improving results bode well for Disney and the government, which own the park under a joint venture. Positive ebitda, which is equal to revenues less costs and expenses, means Disney can resume collecting its management fees, which are now linked to the park's performance.

Last year, the formula for its base management fee was changed from 2 per cent of gross revenue to 6.5 per cent of ebitda, or HK$65 for every HK$1,000 of earnings. Disney is also entitled to a variable management fee of up to 8 per cent of ebitda. In an attempt to shore up the park's finances, Disney agreed to forgo its management fees in 2007-08 and 2008-09. The park makes money from selling tickets, food, merchandise and other goods and services. Disney can still benefit handsomely from a loss-making park as long as people spend on food and merchandise, the source from which it derives most of its royalties.

The government, which is the majority shareholder, is desperate to show that the public's investment in the venture is paying dividends. A HK$3.63 billion expansion to add three new themed areas and more attractions is under way. Toy Story Land is on schedule to open at the end of next year and preliminary infrastructure work to develop the new areas, like building power substations, has started.

"Over the past five years, we have had more than 20 million guests," managing director Andrew Kam Min-ho said. There had also been an 18-percentage-point increase in the occupancy rate at the park's two hotels.

Fifth anniversary celebrations next year would feature temporary and permanent attractions that were new to the region and the world.

Since the park opened in 2005, the number of visitors has see-sawed, reaching about 5.21 million in the first year, then dropping to 4.17 million before rebounding to about 4.45 million in 2007-08 and 4.57 million in 2008-09.

Disney's financial year runs from October to September.

Last year's summer attendance, especially from the mainland, suffered because of fears of human swine flu. Hong Kong Tourism Board data show the number of visitors to the city was up 38.9 per cent year on year in May, 43.5 per cent in June and 31.9 per cent in July. The number of mainland visitors rose by 46.8 per cent in May, 54.5 per cent in June and 40.4 per cent in July.

Between April and June, there was a 35 per cent rise in the number of visitors to the park year on year, mostly from the mainland and overseas, said Jay Rasulo, the Walt Disney Company's senior executive vice-president and chief financial officer.
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Old October 7th, 2010, 11:46 AM   #69
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Disneyland turns five with magic million
The Standard
Monday, September 13, 2010

Hong Kong Disneyland turned five yesterday with more than 4,000 people gathering on Main Street USA for a photo-taking event to mark the milestone.

The resort also announced that the Walt Disney Company will donate HK$1 million to a scholarship fund for 100 students taking up hotel and tourism, and design at the Vocational Training Council.

Andrew Kam Min-ho, managing director of Hong Kong Disneyland Resort, said the scholarship fund "will be instrumental in inspiring students to dream, create and make a difference in the world."

The theme park is committed to nurturing talent in order to contribute to the establishment of Hong Kong as a key tourism and creativity center, Kam added.

Carrie Willis, executive director of the Vocational Training Council, said: "We look forward to working closer with Hong Kong Disneyland on many levels to nurture our next generation."

Among the visitors yesterday was Dallas Lam, 15, who has been to the park more than 500 times. "My parents always encourage me to visit the park so that I can get a break from my schoolwork," Lam said.

Meanwhile, a survey of 1,000 residents found that two-thirds have visited the park since its opening in 2005. On average, they have been about three times.

Space Mountain is rated the best attraction, followed by the fireworks display and parade.
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Old October 10th, 2010, 07:40 AM   #70
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can't believe it has been over a decade since Tung announced the development. time flies.
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Old October 11th, 2010, 08:11 AM   #71
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Time flies, but there were 2 financial crises in a decade ... scary.
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Old October 28th, 2010, 07:21 PM   #72
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Lantau draws urge tourist roads
19 October 2010
The Standard

Three major attractions on Lantau _ AsiaWorld- Expo, Ngong Ping 360 and Hong Kong Disneyland _ have called for an upgrade of the island's road system to improve its standing as a tourist destination. Li Yun-tai, managing director of Ngong Ping 360, said at the Lantau Tourism Forum yesterday that more than 10 major attraction sites on Lantau are accessible by public transport within an hour of Tung Chung.

``However, it takes much longer for tour buses to travel directly between tourist sites because a number of major pathways on Lantau are private roads restricted to residents,'' he said.

James Tien Pei-chun, chairman of the Tourism Board, said one in four travelers to Hong Kong visit Lantau Island, double the number in 2005.

``Lantau is gifted with spectacular scenery and a rich cultural heritage, as well as world-class trade show facilities. We should foster closer partnerships for the sustainable tourism growth of the city's biggest island,'' he said.

Ngong Ping 360, Noah's Ark and Hong Kong Disneyland have launched a joint-attraction ticket offer for the first time in which visitors to any one place receive a 10 percent discount when purchasing one-day admission tickets for any of the other two attractions during November.

Michael Wu Siu-ying, chairman of the Travel Industry Council, said he hopes tourism on Lantau will be further boosted after construction of the Hong Kong-Zhuhai-Macau Bridge, which is due for completion in 2015.

Chau Chuen-heung, a local resident and 10-year district councillor on Lantau, said she supports measures to boost tourism on the island because it would create more job opportunities for residents who cannot afford high transport fees for commuting to work in urban areas.

In 2004, a concept plan for Lantau was drawn up by Financial Secretary Henry Tang Ying-yen to provide an overall planning framework for the island's future development. New attractions including a boutique heritage hotel in Tai O, windsurfing facilities in Mui Wo and mountain bike tracks will be built on Lantau in the next two years.

Meanwhile, Tien said 27 million people visited Hong Kong as of October 10, up 23 percent over last year. Tourists stay in the territory for 3.4 days on average and Tien expects a 20 percent increase in the annual number of visitors by year-end.
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Old November 16th, 2010, 02:24 PM   #73
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Woody and pals make their way to HK
13 November 2010
SCMP

The city's loss-making, government-owned theme park yesterday gave a clearer picture of new attractions that will, hopefully, put the place on a sound financial footing.

Toy Story's Slinky Dog is coming to town to bolster the expansion plan of the five-year-old Hong Kong Disneyland. The dog, in the form of an amusement ride in the new Toy Story Land, was already on a ship heading to the city, park chiefs said.

Almost a year after the resort kick-started a HK$3.63 billion plan to add three new themed areas, one of the three - Toy Story Land - is 15 per cent complete. It was scheduled to open at the end of next year, managing director Andrew Kam Min-ho said.

The section will feature three attractions: a whirling roller coaster called Slinky Dog Spin in which the toy dog chases his own tail, a Toy Soldier Parachute Drop where visitors plunge from a 25-metre tower, and a ride on a U-shaped race track.

A bus ride through the construction site revealed that no new Disney characters had arrived yet. Foundations of the infrastructure and some of the rides have been laid, while those rides manufactured overseas are to arrive in the coming weeks.

A huge figure of Woody - the main character in the Toy Story series - and his companions, all tens of metres tall, would be in place, director Ian Price of The Walt Disney Imagineering Hong Kong said. The human-toy relationship would be reversed: in the face of the giant figures, visitors would appear like toys, Price said.

The other two themed areas - mining town Grizzly Gulch and centre of mysterious forces Mystic Point - are due to be completed in 2014. At Grizzly Gulch, visitors take a mining train through the town and come face to face with an explosion. The train would then travel downhill and backwards, Price said, with sights such as fountains along the way.

Workers have dug trenches six metres deep for building the train tunnels. In comparison, the Mystic Point site was quite bare - construction work was just starting, he said.

Shanghai Disneyland is set to be up and running by the time its Hong Kong counterpart completes its expansion in 2014. Nevertheless, Kam has high hopes for the local resort.

"Two attractions in Hong Kong are exclusive around the world," he said, referring to Grizzly Gulch and Mystic Point. "Another [Toy Story Land] is exclusive in Asia." The other Toy Story Land is in Paris.

China was also big enough to host two Disneyland resorts, he said. "One is in the Pearl River Delta and another is in the Yangtze River Delta. They are quite far away from each other and attract different customers."

Hong Kong Disneyland marked its fifth anniversary in September this year, but major celebrations would not be held until January, when a parade was scheduled.

The rising yuan was not a big problem for the park, he said, but the city's many infrastructure projects were pushing up demand for construction materials including cement and steel. Costs in other areas would be cut so that the expansion budget would not be exceeded. The park had no plans to raise entry fees, he said.

Profitability, as measured by ebitda - earnings before interest, taxes, depreciation and amortisation - was expected to swing back to the black this year after a HK$70 million loss a year ago, park insiders said.
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Old December 15th, 2010, 04:14 AM   #74
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Official video on the expansion progression:
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Old December 15th, 2010, 11:27 AM   #75
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I love that mini model at the end of the clip
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Old December 15th, 2010, 01:06 PM   #76
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They are some big plans and its definately a big construction site.

Looking good HK
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Old December 15th, 2010, 07:55 PM   #77
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image hosted on flickr

Taken by ナギ (nagi)

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Taken by Allenjone
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Old December 20th, 2010, 10:33 AM   #78
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Disneyland out to work Indian magic
The Standard
Tuesday, December 14, 2010

Hong Kong Disneyland aims to tap the Indian tourist market to boost numbers following an 80 percent increase in visitors from that country.

Disney's vice president of sales and distribution marketing Aliana Ho Chan Mei-hung said the growth of visitors from India is the strongest among overseas tourists who make up about two- thirds of total visitors.

It surpassed the 33 percent growth in visitors from the mainland and the 30 percent increase from Taiwan during its fiscal year ending in September.

"India is the most important emerging market for us. We are impressed with the soaring growth. Part of the reason is the increased flights to Hong Kong by two carriers based in India," Ho said. "In addition, Indian travelers have high purchasing power and usually come with a big family group, with more than half of the park visitors staying in our Disney-themed hotels during their visits."

She added restaurants in the resort now offer curry buffets and Indian cuisine with a thick and heavy flavor to suit their tastes.

The figures on visitors' flow and revenue from different regions will be revealed in its annual business report to be released next month, according to Ho.

The park had 4.8 million visitors last year, a 2 percent increase over 2008.

Marking its fifth anniversary in September, the resort has also launched year-long anniversary celebrations and embarked on a new drive to drum up business from the fast-growing outbound travel market.

About 5,000 students from local schools, 80 percent of whom came from kindergartens, attended the park's graduation days during the year.

Students, in Mickey "Mortar Board" graduation hats, received certificates from Mickey in graduation gown and their principals, featured as Grand Marshals, led parades.

Ho also said her department held talks with travel agencies in 12 regional cities, including Osaka, Shanghai and Manila, on package offers in the coming year.

The first phase of expansion in the 126-hectare park, Toy Story Land, will open by the end of next year.
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Old December 25th, 2010, 04:11 PM   #79
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HK Disneyland "cautiously optimistic" about 2011
16 December 2010
Channel NewsAsia

HONG KONG: Hong Kong Disneyland said it is "cautiously optimistic" about the park's prospects in 2011, as it gears up to celebrate its fifth anniversary.

To mark the park's anniversary, Hong Kong Disneyland will launch new year-long attractions, including a brand new parade, and a transformation of Sleeping Beauty Castle. Tinker Bell will also be making her Hong Kong debut.

The theme park said it is "cautiously optimistic" about 2011.

Andrew Kam, Managing Director of the Hong Kong Disneyland Resort, said: "We believe that the fundamental economy in the region is strong. And that will enable the development of tourism. And also another factor is that the Hong Kong dollar relatively speaking, is depreciating relative to other currencies in the region.

"That also stimulates tourism into Hong Kong. So if these factors remain in place, we believe that next year the outlook for our business should be well on track to be good."

However, Disney executives were tight-lipped on how it performed this past financial year, as it will release its report card in January.

The world's smallest Disneyland, the park has been criticized for it's limited attractions-with a lacklustre turnout since its opening. As the majority shareholder, Hong Kong's government is under pressure to show the public the investment was worth it.

In a bid to boost attendance, the park has secured approval for a nearly half-a-billion dollar expansion to add 3 new themed lands by 2014.

Since its opening, Hong Kong Disneyland has attracted over 20 million visitors, though numbers have see-sawed over the past five years. However, with a new land set to open at the end of next year, it is hoping for brighter prospects in 2011.
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Old January 18th, 2011, 11:39 AM   #80
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Hong Kong's Disneyland reports smaller loss in 2010 as more visitors arrive, spend more
18 January 2011

HONG KONG (AP) - Hong Kong's Disneyland theme park failed to turn a profit again last year but said Tuesday its loss narrowed thanks to higher visitor numbers.

The park reported that it lost $718 million Hong Kong dollars ($92.3 million) in 2010. It lost HK$1.315 billion in 2009.

The number of visitors to the park rose 13 percent last year to 5.2 million and each guest spent an average 7 percent more than the year before.

Hong Kong Disneyland opened in 2005 and is a joint venture between The Walt Disney Co. and Hong Kong government, which owns a majority stake. The park did not release attendance figures or disclose how well it performed until 2009.

Set on 126 hectares on Lantau Island, Hong Kong Disneyland is the smallest of the company's theme parks.

Managing Director Andrew Kam said three new attractions slated to open over the next three years would help the park turn a profit, but did not give a date for when he expected that to happen.

The first new attraction, based on the "Toy Story" series of movies, is set to open this year. Two others, "Grizzly Gulch" and "Mystic Mountain" will open in phases through 2014.

"We believe that with the completion of our new attractions, the park will continue to attract more tourists and hence we foresee that the park will turn to profitability fairly soon," Kam told reporters.

Kam said he's not worried about potential rivalry from a Disney theme park planned for Shanghai, which he did not expect to open for another five or six years. The Shanghai park received formal approval from China's economic planning agency in November.

Figures show the park is growing in popularity with visitors from outside of Hong Kong, especially from mainland China. They accounted for the bulk of total visitors in 2010 at 42 percent, up from 36 percent in 2009. Other international visitors edged up to 25 percent from 23 percent in 2009 while local visitors fell to 33 percent from 41 percent.

Kam said Hong Kong's status as a popular destination in Asia will help boost the park's visitor numbers.
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