Dan Hotels asks for injunction against airport lounge tender

The operator of two travelers' lounges at Ben Gurion Airport objects to a tender for a third lounge.

Dan Hotels Corp. Ltd. (TASE: DANH) subsidiary VIP Lounge Ltd., which operates two travelers' lounges at Ben Gurion Airport's Terminal 3, has petitioned the Tel Aviv District Court for a temporary injunction to block a tender by the Israel Civil Aviation Authority for a third traveler's lounge at the terminal.

Dan Hotels says that the Civil Aviation Authority is trying to force the company to open a third traveler's lounge at the airport, even though there is no need or economic justification for it. The company says that the Civil Aviation Authority decided to publish a tender for the third travelers' lounge, which will severely harm the company.

Published by Globes [online], Israel business news - www.globes-online.com - on October 6, 2008

© Copyright of Globes Publisher Itonut (1983) Ltd. 2008

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