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The Isrotel hotel chain reported half year profits of 7 million shekels, compared to a loss of 53 million shekels for the corresponding period last year. Revenues for the hotel chain totaled 320 million shekels, this compared with 316 million in 2008.

The Isrotel chain, which numbers12 hotels, 8 of which are in Eilat, recorded an increase in profits during the first half of the year as a result of a number of cost saving steps taken at the beginning of 2009 to increase efficiency.  These included requests to suppliers to lower prices as well as reducing salaries and organizing vacations for employees in all of its departments.

Isrotel indicated that despite the positive results, the world financial crisis and for Israel in particular,  effected both incoming and domestic tourism, resulting in a feeling of economic instability that expressed itself in the worsening financial situation of their customers. However the crisis and lower prices of raw materials resulted in lower costs.

In the 2nd quarter, the chain recorded a 34 million shekel profit, this compared to a 37 million shekel profit in the corresponding period last year. Revenues for the year totaled 204 million shekels, this compared to 193 million shekels in 2008.

On the 14th July the controlling shareholder announced a full purchase offer of ordinary shares, however after a month it was announced that the purchase offer had not been accepted after the response was lower than the minimum rate and as a result this offer was withdrawn.