The number of visitors traveling to Hawai'i dropped in February for the 12th month in a row, equaling the string of declines in visitor arrivals during the tourism slump that followed the September 2001 terrorist attacks.

Visitor arrivals by air and cruise ship fell to 527,222 in February, a 12.7 percent decline from the same month a year earlier, according to the state Department of Business, Economic Development and Tourism.

Visitor expenditures also took a hit, with those who arrived by air cutting their spending by 15.9 percent to $852.5 million.

The last time arrivals fell for 12 straight months was from September 2001 through August 2002.

The tourism decline has rippled through the local economy, with several retailers and restaurants closing their doors as a result of the drop-off in both visitors and local residents.

NikeTown, the last tenant in the King Kalakaua Plaza retail complex in Waikiki, recently announced plans to close at the end of May. In January, Banana Republic closed its Hawai'i flagship store in the same complex after 11 years in business. Both retailers relied heavily on tourists for sales.

While the bad news keeps rolling in, some in the industry say they are seeing modest improvement in their annual spring break business.

Donn Takahashi is president of Prince Resorts Hawaii Inc., which includes hotels on three islands: Mauna Kea Beach Hotel and Hapuna Beach Prince Hotel on the Big Island; the Maui Prince Hotel; and the Hawaii Prince Hotel Waikiki and Golf Club.

While he's happy about the spring break bump, he said it's not going to be enough for a complete turnaround for March or April. "It's been very good," Takahashi said, "but it's a blip."

Takahashi said low airfares and good hotel deals helped boost business. He said that visitors appear to be keeping an eye on a vacation budget. "Instead of staying five nights, they'll be here four," he said.

State tourism liaison Marsha Wienert said another factor is that visitor arrivals and spending were exceptionally strong during the first quarter of 2008. That makes this year look particularly bad by comparison. Also, there was one more day of business in February 2008 because it was a leap year.

"It is not surprising that we are so far below 2008 results," Takahashi said. "We are trending to be 11 to 13 percent below last year in general." But bargain airfares available from the Mainland and interisland are helping dim the memory of higher airfares a year ago, he added.

Wienert said the next few months will likely prove challenging with group travel in decline. "There is concern for May and June since booking pace is slowing for these two months," she said. "It's tough out there right now."

Average daily visitor spending totaled $175 per person in February, down from $180 a year earlier.

"The reduced per person per day spending and the overall decrease in visitor expenditures can be partially attributed to the great value packages being offered," Wienert said.

Japanese visitor spending on shopping, however, increased by $9.27 per person per day. In addition, more Japanese honeymooners continued to visit, rising 6.2 percent in February and a combined 23.4 percent for the first two months of the year.

The average length of stay by all visitors was 9.44 days, compared with 9.51 days last year.

Arrivals fell in all of the top four visitor markets: U.S. West down 14.9 percent; U.S. East down 15.8 percent; Japan down 5.5 percent; and Canada, down 6.3 percent.

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