Even Giant Banks Aren't Safe From Hotel Cancellation Fees
February 4, 2009 at 4:59 PM
Wells Fargo & Co., who received $25 billion in taxpayer bailout money, was all set to send a sizable chunk of employees to Vegas for a corporate retreat that included a four-day employee sales conference. They'd booked 12 nights at Wynn Las Vegas and Encore Las Vegas (what? Was the Excalibur not good enough for them?) but, unsurprisingly, they announced that they'd canceled the whole trip Tuesday night.
After the whole St. Regis ultra-luxe AIG outing disaster last year, financially-struggling corporations have been coming under fire not unfairly for continuing to send employees on lavish and somewhat unnecessary retreats the way they used to do. Wells Fargo made a smart move by canceling this Vegas vacay.
But...not so fast.
Perhaps this wasn't so smart financially. Let's remember that big banks aren't immune to hefty cancellation fees, just like the rest of us: according to the Associated Press, Wells Fargo "suggested" that canceling this retreat may end up costing just as much as going ahead and holding the event would have cost.
This makes sense considering the two Wynn properties had sold the bank a giant block of rooms that are now going right back to being unsold inventory, and hotels are hurting badly enough right now something tells us the Wynn folks aren't going to be giving these guys any breaks.
Well, Wells Fargo: at least you've still got your reputation.