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Business struggles with war, economy By Jennifer Nitson Ashland Daily Tidings As Ashlanders hope for a quick resolution to the war, local business owners are anxious to see what toll the war will take on the economy. The war is only one of a number of variables that may have a deterrent effect on local consumer spending. A generally sluggish economy, rising gas prices, and tax season have all been cited by local business owners as contributing to a slow spring. Jonathan Warren, owner of the Best Western Windsor Inn and the Best Western Bard's Inn, said bookings at his motels have fallen off by about 30 percent for March. "It seems like things are being affected right now," Warren said. "Business is way off. I don't know if that's because of the war or not. We're still expecting a good year. I don't expect the war to last that long and once it's over it will be business as usual." Warren said that though it seems some people are not in the mood to travel right now, that his motels are already filling up for the summer season. In the meantime, Warren plans to drop rates by about 35 to 40 percent and to offer local specials in order to weather the slow period. At the Cedarwood Inn Motel business has been sluggish this spring as well. "I don't know if it's a combination of the war and gas prices or what," said Cedarwood manager Linda Daniels. "I know something's affecting it." Owen Jones, proprietor of the Columbia Hotel downtown, has noticed no difference. "Things are pretty busy," Owen said. "It's been busy since the festival has started. Things have been pretty normal." Many retail businesses downtown are waiting to see if the war has any effect. Ken Silverman, owner of Nimbus, said business is holding steady, but that the war may make shoppers anxious and unsure. "War is just like anything else as far as how it can affect people's attitudes," Silverman said. "It's an element of uncertainty in people's lives and that's not good for business. People are less likely to spend money. One customer said, 'We're not going to buy anything until we find out about this war.'" At Rare Earth on the Plaza, recent war protests have stifled business for as long as they lasted, but otherwise no immediate effects of the war have been noticed. "It's hard to tell because the economy was so sluggish before the war," said Rare Earth manager Jim Carney. "It's a combination of things, but it's hard to say percentage wise how much this is affecting us right now. I'm sure if it goes on for some time we might see some sort of dynamic happening." Carney said that at this time of year, Rare Earth depends on the busloads of school children that come to Ashland for the Oregon Shakespeare Festival. According to Sandra Slattery, executive director of the Ashland Chamber of Commerce, the number of these school groups coming to Ashland have dropped significantly this year. Slattery negates speculation that this may be because of the war or budget woes, but points out that OSF's plays this year consist primarily of adult themes that may not be suitable for children. "The businesses that offer products that kids would be buying would be impacted," Slattery said. At the recent annual meeting of the OSF board of directors, treasurer Sue Naumes said that advance ticket sales are off by 2 percent this year. "People aren't planning in advance," Naumes said. "They're just waiting." "In the past reservations were usually six months out," Slattery said. "We're not seeing that right now. People have been staying close to home and people have been making plans on about a three week basis." Local travel agents have also noticed a chilling effect of the war on advance planning for trips. Though most with spring break travel plans and reservations have followed through on their trips, advance bookings for summer travel are down. "Our clients are just holding back," said Ingrid Boldt, manager of Lithia Travel. "They're checking the news before they commit to a booking." Shannon Baily, a travel agent at Rogue Travel, said this is usually their busiest time of year for advance summer plans. "We're probably down about 30 or 40 percent for new bookings," Baily said. Owners of local restaurants said they have seen little, if any, reduction in business. Mark Thomas, owner of Louie's Bar and Grill, said that spring break and the beginning of the Festival outweigh any effect the war might have on his business. Thomas also indicated that there has been no drop in French fry sales, referring to the nationwide boycotts of French commodities, or foods with the word French in their name. "We just switched to a brand new French fry this week," Thomas said. "Our French fry sales have been through the roof." Pilaf owner Susan Powell indicated that during protests and demonstrations on the Plaza, business at the restaurant actually picks up a little, but she said some locals may not be going out as much. "I think in general, the whole town has been affected," Powell said. "They're watching CNN. They're staying home, and they don't want to be on the road when anything happens." LINKS: DAILY TIDINGS: Main | News | Sports | Business | Obituaries | Opinion | Columnists | AP News | Subscribe | Archives | Weather | Classifieds | Contact Us | Privacy REVELS: Main | Calendar | Dining | Movies | T.V. OTHER: Road Cams Copyright 2003 Ashland Daily Tidings 541.482.3456. 1661 Siskiyou Blvd., Ashland, OR 97520. Ottaway Newspapers, Inc. - Advertisers -