Soldiering on in the teeth of post-July, 1983 challenges

(Excerpted from The Jetwing Story and the life of Herbert Cooray
by Shiromal Cooray)

July 1983 saw the commencement of the darkest era in Sri Lanka’s modern history. Ethnic riots and the escalation of a hitherto low-intensity separatist insurgency caused widespread insecurity and instability, creating an atmosphere of anxiety and tension. The decade saw numerous attacks by the LTTE, the so-called ‘Tamil Tigers, on public landmarks and infrastructure, including the destruction of several aircraft belonging to the national airline, Air Lanka. Tourism all but collapsed. Sri Lanka’s magnificent east coast was rendered nearly inaccessible as Tigers and a short-lived Indian ‘peacekeeping force’ jockeyed for the upper hand.

As if this was not bad enough, in the late 80’s, the south of the country was soon terrorized by a second insurgency, mounted by a nationalist/communist group, the JVP (Janatha Vimukthi Peramuna). There were more assassinations, reprisals, local, regional or even national lock-downs and forced closures of private businesses. Implacably opposed to all things foreign, the JVP militants visited hotels and demanded their closure, or simply robbed the management and guests of their money and belongings at gunpoint. Finally, the chairman of the Tourist Board took an unusual step and requested foreign tour operators to repatriate their clients from Sri Lanka, effectively bringing the industry to a standstill.

In the vacuum that followed this decision, the industry was forced into severe retrenchment. With almost no tourists arriving from overseas, the competition for a few wealthy local customers and resident expatriates became fierce. Revenues plummeted as hotels and travel agencies began undercutting one another. War stories in the international media and citizen travel advisories by European countries kept the tourists away- airlines and air charter operators pulled out of the country, while trained and experienced Sri Lankan hotel and travel professionals were snapped up by overseas employers. Replacing them was almost impossible: educated young people no longer saw any future in a career in the tourism sector.

By the mid- 1990s, however, a recovery seemed to be underway. The trickle of visitors was growing and investment in tourism began to pick up again. Hostilities continued in the north and east, but the rest of the country seemed to be safe for travelers. In 2002, the government and the Tigers negotiated a ceasefire and began negotiating terms of peace. To the tourism industry, this was a much needed present – hopes soared.

Herbert with Minister Lakshman Kadiragamar

They were only too soon dashed. First came 9/11, with its chilling effect on air travel and tourism worldwide. Then, at home, the peace negotiations ended in acrimony. Soon the country was back at war. The final blow came on 26 December 2004, when the Asian tsunami devastated almost the entire littoral of the island. It also all but killed the slowly reviving tourism industry. The country was in mourning and shock.

Jetwing was among the operators most severely affected by the Boxing Day tsunami; its south coast property, Yala Safari Beach Hotel, was utterly destroyed. Thirty-three people died, including the senior management of the hotel. Among the survivors were 40 other employees, who continued to be retained on the company payroll despite the total loss of their jobs, along with their workplace.

Herbert Cooray never let his people down. The families of those who perished were also taken care of, in spite of the severe financial loss to the company. It is not by accident that the senior managers of the hotel lingered to ensure the other colleagues and the clients were sent off, then costing them their lives, they lived the philosophy of customer care which is so sacred to Jetwing.

Through those dark difficult and challenging days, Herbert never lost his faith in Sri Lanka. His conviction that the country had the potential and resources to be a world-leading tourism destination never faltered. He had a strong belief that a leader will emerge one day to unite the country, and that we needed to be patient until then. His hand-picked team at Jetwing shared his belief. But to realize that potential, a new approach would be needed. It was time to take stock, consolidate resources, and plan for the future.

Keeping in mind Baron de Rothschild’s famous advice to investors, Herbert took the view that the best time to invest and expand was during a downturn. With tourism in a slump, land prices in scenic locations with tourist potential were relatively low, and there were numerous opportunities. Whenever one came his way, Herbert would snap it up. During this time, he also invested heavily in training the team, laying the foundations for an improved offering when tourism began to pick up again.

Herbert and Josephine with their parents

Little of this activity was justified by forecasts, feasibility studies and specialist advice; the years of insecurity had taught him that such prognostications mean very little. Ignoring the short-term pickings over which so many operators were squabbling, he set out to build the best travel and tourism product and team in Sri Lanka.

During this period, he drove himself hard, expending much time and physical energy as well as extending his financial resources to the limit -striking complicated deals, overflowing with creative ideas. Though profitable, the family owned company often paid no dividends, while Herbert himself received no salary. Profits, instead, were ploughed back into the business.

His sharp mind and the reputation he had earned for himself – as well as that he had built for Jetwing – continued to stand him in good stead with business associates and lenders. It was a point of honour with him that all financial commitments should be discharged on time, whether it was to a bank, an associate or a supplier.

An important element in the growth of Jetwing during those years was Herbert Cooray’s friendship with the doyen of Sri Lankan architects, Geoffrey Bawa. In the genius of Bawa, Herbert saw one of the unique differences that would set Jetwing Hotels apart from other Sri Lankan competitors. Though the architect had built hotels for others, and would do so in the future, Herbert saw to it that the name of Geoffrey Bawa would forever be associated with Jetwing.

He was also greatly impressed with one of Bawa’s pupils, Vinod Jayasinghe. With this young architect, he travelled to Bali, where Bawa, Donald Friend and others had first developed the modern Asian resort hotel style during the 1960’s – looking, listening and learning and also nurturing and developing talent.

The lessons they drew from their travels would later inform the style and atmosphere of Bawds and Jayasinghe’s hotels for Jetwing.

Learning about resort architecture was just one more facet of the curiosity that Herbert brought to everything he did. Always eager to learn and experiment with new ideas, he not only travelled widely but read voraciously too, immersing himself in books and periodicals on hoteliering, construction, management, designing and interiors, landscaping and numerous other technical subjects.

The story of Jetwing Lighthouse, Jetwing’s flagship luxury hotel in Galle, illustrates the innovative, independent-minded approach that set the group and its founder apart. Despite its well-preserved and scenic Dutch fort, beautiful nearby beaches and numerous other attractions, Galle, was not thought of as a tourist destination in 1995. There was only one good hotel in the town and most travel agents thought of the city as no more than a one night stopover – that is, if they thought of it at all. A more unlikely prospect for a five-star resort hotel could hardly have been thought of.

Herbert was sure the conventional wisdom was wrong. Already, he reasoned, the spread of tourism down the west coast from Colombo had reached as far as Hikkaduwa, not even ten miles north of Galle. Most centers near-Colombo were already fully developed; even Negombo, which Herbert had once struggled to persuade tour operators and government bureaucrats would make a suitable destination, had been transformed. Surely Galle could not be far behind?

Convinced that his intuition was to be trusted, Herbert Cooray began building his Galle hotel, not without difficulty. He even persuaded his then partners in tourism, Hayleys, to invest in it. Industry experts predicted doom, but Herbert was not deterred. This scenic promontory just north of Galle, where the main road skirted a small sandy inlet of the sea- had always intrigued and attracted him; on boyhood family holidays in the south, he had often admired it in passing, and he had got it as soon as he had seen it advertised. Years before he put a cent in to the Lighthouse project, Herbert had already been committed, he dared to dream.

Things got off to an inauspicious start; on the eve of the groundbreaking ceremony, a huge LTTE bomb destroyed the Central Bank building in Colombo, killing about 150 people and further dampening hopes of a tourist revival. But despite this unfortunate omen, construction proceeded smoothly and the hotel opened in August 1997. From inception, Jetwing Lighthouse broke even and was enjoying regular occupancy rates in excess of 80%. And yet again, Herbert’s vision turned out to be prophetic; with the turn of the century, the Galle Fort began to gain popularity as a residential location for European jet-setters.

The expats seeded an economic and cultural revival in the town. Today, Galle is one of Sri Lanka’s principal destinations for high-end tourism. As for Jetwing Lighthouse, which has had another 20 rooms added in December, 2013, it currently enjoys a market capitalization of Rs.3.2 billion.

In the years that have followed, Herbert Cooray’s vision has become part of the culture and operating ethos of Jetwing. His commitment to innovation, to creating an attractive destination experience out of less than promising material, is strongly visible at Jetwing Vil Uyana, a Jetwing hotel situated near the ancient, mysterious rock fortress of Sigiriya in central Sri Lanka.

Here on a formerly unremarkable plot of land surrounded by rice-fields and scrub jungle, Jetwing has created a tropical wetland- more properly, a water-garden – on which thirty luxurious villas seem to float. The design of the property incorporates several innovative methods to minimize environmental impact, and Jetwing Vil Uyana has become a case study for those working to harmonize the demands of tourism with those of environmental protection and biodiversity promotion.

It has also been hailed as one of the 25 Best Eco Lodges in the World by National Geographic in 2013, a two-time PATA (Pacific Asia Travel Association) Grand Award Winner, and the winner of the Environment Award at the Tourism for Tomorrow Awards organized by the World Travel & Tourism Council.

Here, as elsewhere, the Jetwing philosophy – Herbert Cooray’s philosophy – is not just to be different, but to create a meaningful difference. There are hotel chains that specialize in offering their guests a familiar, predictable experience. That was never Herbert’s way. Instead, Jetwing strives to provide every guest with a surprising, unique experience in a unique setting. Jetwing is all about creating spaces that will suit your mood and situation in life at any moment, and spaces in which to experience the best Sri Lanka has to offer.

Every Jetwing hotel is different, yet all share a common commitment to the highest values of hospitality, service and comfort. To quote Herbert again from Business Today, “Each hotel is special. Each has its own concept, a concept we follow closely. There are characteristics which are unique to each hotel. But I want to ensure that the quality of service provided to all our guests reached a common high standard.”