LONG BEACH : Queen Mary Looks to Rebound Rest of Year

The Queen Mary lost about $467,000 in the first three months of 1995, a period in which tourism traditionally is low.

The tourist attraction lost $950,000 in the first three months of 1994 before rebounding later in the year to trim the loss to $540,000.

Officials of RMS Foundation Inc., which operates the Queen Mary, said the loss in the first three months this year was less than expected because the historic ship turned a $44,000 profit in March alone. In March, 1994, the Queen Mary lost nearly $300,000.

“From here on in we fully expect to make money for the rest of the year,” said Joseph F. Prevratil, head of RMS. He said the ship should turn a profit of $1.1 million this year.

In March, Prevratil said, the Queen Mary’s hotel had a 53% occupancy rate, up from about 35% during much of last year. The 340-room hotel needs a 50% occupancy rate to break even.

The Queen Mary lost $4.2 million in 1993. RMS, a nonprofit management group, replaced the Walt Disney Co. as the ship’s operator in February, 1993.

Earlier this year, the foundation received a City Council guarantee that the landmark ship will stay open until the end of RMS’ five-year operating lease, which expires in 1998. The guarantee allowed RMS officials to borrow $3.5 million.

The foundation is currently negotiating with the city for a 20-year lease.

The City Council is expected to review the long-term lease plan later this month.