that 1993 will be a "watershed'' year for the hotel industry. Mr. Edness is correct but we think it could also be a watershed year for Bermuda's tourism.

If Bermuda hopes to take advantage of America's recovery from the recession, we must tell our customers that Bermuda is prepared to contain prices and provide good value and Bermuda must prove to its customers that they can have an undisturbed quality vacation. If Bermuda does not do that, then the whole Country can begin thinking about how we want to earn our living in the future.

Mr. Edness told the House that hoteliers, trades unions and Government must work together to resolve problems. He is right, of course, because despite indications that the recession may be coming slowly to an end, there are problems in Bermuda's hotel industry which have nothing to do with the recession. Mr. Edness was correct when he told the House that Bermuda's hotel industry had been in decline before the recession.

Bermuda must not be fooled into thinking that the end of the recession signals the end of Bermuda's problems. The end of the recession only means that customers will have the cash to take a vacation. It does not mean they will automatically come to Bermuda nor does it mean that all is automatically well with Bermuda's hotels. Visitors will still be looking for value for money and they will be looking for a warm welcome and good treatment. The recession has taught Americans to shop-around and to question what they are getting for their cash. Bermudians know that because they are doing it themselves. The profligate 1980s are over.

Before the recession Bermuda had a problem with attitudes, with high rates and with decreasing service in the hotels. It also had those problems outside the hotels and, generally, throughout Bermuda. For too long Bermuda had assumed that visitors would come and spend no matter what. The recession taught us a lesson.

We must now use what we learned from that lesson and provide a better Bermuda experience for visitors. If we do not, other resorts will and l993 will be the worst kind of watershed.

We see disturbing indications that Bermuda is preparing to do things the same old way next year. It is essential now that we have what Mr. Edness called "an attitude of mutual; good-will to resolve the problems''. Aside from anything else, we could find ourselves scrambling to keep the Airport open if America decides to close the base.

There is no fat in this economy which can be eaten-up by our own self-indulgences without causing serious problems. Too often we have pleased ourselves at the expense of our visitors and we have not learned the lesson because we plan to do it again with second-hand cars. Tourism, like any other business, takes hard work and sacrifice.