There is a mixed picture across the Island this festive season as hotels have tried to entice locals and tourists to book up for Christmas and New Year breaks.

Hotels are reporting that locals are booking heavily for New Year's Eve to take advantage of the cheap rooms and various parties being held. But some have also seen a decline in numbers over Christmas as Americans continue to be nervous about travelling in the wake of September 11.

The Island's largest hotel, the Fairmont Southampton Princess, saw Christmas occupancy drop from 40 percent last year to 27 percent this year. General manager Allan Trew said yesterday: "We are still having problems with Americans fearful of travelling." Different restaurants in the hotel are offering New Year dinner and entertainment packages ranging from $75 to $149. Last year all 593 rooms were sold out on New Year's Eve.

This year, two floors are out of operation for refurbishment, but all remaining 368 rooms are booked, "primarily by Bermudians".

The Elbow Beach Hotel is offering rooms for $100 per night over the festive period for residents only. Food and dancing deals at the hotel range from $38 for a New Year's Day brunch, to $80 for a dance and dinner at the Veranda Bar on New Year's Eve, and $120 for a New Year's Eve dinner and dance in the Seahorse Grill. Duty manager Jamie Atkinson said: "We've been fairly busy over December with about 50 percent occupancy on Christmas night and about 80 percent for New Year's Eve. We may be a few percentage points down on last year, but not that much down."

Sonesta Beach Hotel is reporting occupancy at Christmas of about 50 percent, the same as the previous year, and New Year's Eve slightly ahead of last year at 60 percent. General manager Stephan Amesoeder said: "The increase is due largely to the numbers of local clientele who are staying on New Year's Eve. "We're having a dance upstairs and there will be a special menu and an a la carte menu because we found people like the choice."

Michael Winfield, the president of Cambridge Beaches, said: "We were closed last year, but this year compares favourably with two years ago. "For Christmas it has been mainly overseas people, but we've a few locals for New Year's Eve."

The Reefs, which is offering a four course meal, entertainment and drinks at midnight on New Year's Eve, has seen a reverse in normal festive booking patterns with Christmas down and New Year up. Christmas bookings have dropped from 85 percent to 60 percent, but New Year is up at so far at 75 percent. General manager Neal Stephens said: "This year is a complete flip from last year. Maybe people don't feel it is appropriate to celebrate New Year with such gusto and with Christmas more family-orientated more people are spending it with family. We had 14 local couples over Christmas but for New Year we'll sell out to locals."

The Hamilton Princess, which caters mainly to business travellers, is holding a New Year's Eve masquerade party with champagne and hors d'oeuvres for $75. Front office manager Marie-Claude McDuff, said: "We're about the same as last year. Christmas has been about 30-40 percent and New Year's Eve will be 70-80 percent, mainly locals. It's a very slow period for us because we have a lot of business people and they are not doing business this time of year."