GBTA Research Models Large Hurricane Hitting U.S. East Coast
Business Travel Could See Losses of up to 500,000 Trips and $600 million
ALEXANDRIA, Va., Oct. 26, 2012 /PRNewswire-USNewswire/ -- Hurricane Sandy is threatening the East Coast with forecasters calling the twin threat of winter storm fronts and hurricane conditions a "Frankenstorm." Heavy rain, extreme tides, high winds and possible snow are expected to barrel north Sunday, peaking Tuesday and linger through Halloween. Global Business Travel Association (GBTA) research can provide a picture of what the impact a storm of this magnitude could have on business travel.
GBTA recently quantified the impact of major weather events on business travel. The research used GBTA's Business Travel Quarterly (BTQ) methodology to determine how a theoretical Category-3 hurricane on the East Coast would impact the business travel industry, and the results can be applied to any significant weather event that leads to widespread shutdowns and canceled travel plans, such as Hurricane Sandy.
Disruptions in business travel can have wide-ranging repercussions. In the GBTA model, business travel could lose as much as 514,000 trips and $606 million in spending due to storm related cancellations.
The report also predicts that:
- Interrupted business trips could result in a total GDP loss of about $675 million
- Potential lost federal, state and local tax revenues of $176 million
The eleven East Coast states in the path of the scenario storm could suffer an average business travel spending loss as high as $58 million per day.
The full report is available to media upon request.
SOURCE Global Business Travel Association