Bermuda's 1998 air arrivals could be the lowest in more than a quarter of a century, The Royal Gazette has learned.

For industry insiders have predicted that 1998 air arrivals may fail to reach the 375,000 mark -- which would be the lowest on record since 1972.

Bermuda recorded 338,500 air arrivals then, and the October year-to-date figure for 1998 was 328,234.

The highest number of air arrivals was in 1980, when around 491,000 people arrived by air for holidays on the Island. Currently, 1992, with 375,000 air arrivals, holds the dubious distinction of being the worst year since 1972.

It is believed, however, a Christmas mini-boom in tourist numbers may have pushed the figure beyond the bleak predictions of late November and early December.

The news came on the eve of an announcement by Tourism David Minister David Allen which could bring a light at the end of the tourism tunnel.

For he is likely to reveal today that local advertising agencies are set to be brought in to give overseas promotional firms a distinctive Bermuda beat to a new-style approach to banging the drum for tourism.

Mr. Allen was last night staying tight-lipped over his fresh approach to selling the Island abroad.

But he confirmed: "There will be new initiatives giving a hitherto unprecedented involvement in the development of Bermuda's new advertising and public relations campaigns.'' And that could mean local advertising companies' knowledge of the Island being wheeled out to complement sophisticated multi-million dollar overseas firms' bids to sell Bermuda.

Mr. Allen said: "We have said we want to give emphasis to talent in Bermuda and we have come up with a formula -- it's quite precedent-breaking and it's never been done in Bermuda before.'' And he added: "It's a given that the people most intimately acquainted with the Bermuda product know it best and how best to do what we have said we would do -- put the Bermuda product in the forefront.'' During the Election campaign last November, Mr. Allen pledged a series of moves to boost Bermuda's flagging tourism industry in the first 100 days of a PLP Government.

He said the advertising and PR budgets -- worth around $13.5 million -- would be put up for review.

Local agencies may get piece of new Tourism campaign But he stressed last night that -- contrary to some reports -- that did not mean that advertising firm DBB Needham and PR firm Porter Novelli -- would be set for the chop.

Mr. Allen said: "That's totally untrue inasmuch as they will have the opportunity to bid for the new contracts along with anyone else. Nobody is being dumped.'' The review is the first for ten years, when the current holders of two contracts beat out the firms which had taken care of the business for 17 years.

The previous UBP Government, however, did review advertising campaigns three years ago, although not the holder.

That resulted in the controversial and ill-fated `Let Yourself Go' campaign, dreamed up after an in-house competition between three teams from DBB Needham.

But Mr. Allen said the entire marketing thrust of the Island was "in the transitional stage'' and that the philosphy behind the selling of Bermuda would not be carved in stone at this early stage of the new Government.

It is understood Mr. Allen will give a "progress report'' on the review of how the Ministry's money is to be spent at a press conference today.

AD PUSH -- David Allen Graphic file name: DALLY