Rumours of the demise of Rocky Mountaineer Vacations (RMV) are absolutely untrue, according to officials with the company.

Speculation began to swirl earlier this week that the rail tour was in receivership due to the economic slowdown.

“There is absolutely no foundation for that rumour,” said Ian Robertson, executive director of corporate communications for RMV.

“It’s quite unfortunate this rumour is being circulated.”

Robertson has been contacted by various media outlets and another tour operator who had also heard the company was in trouble.

He said he’s not sure where or how the rumour originated, noting RMV is working to find the source.

RMV, which just finished its 19th season, offers three rail routes for travellers, two of which make overnight stops in Kamloops.

The company also spent millions investing in its rail yard in Kamloops, with $1 million being directed to a new locomotive pit, while the city spent $300,000 to pave the Lorne Street parking lot where RMV unloads its passengers.

Robertson said RMV completed the 2008 season with flat growth, but maintained that, given the tough economic times the tourism industry is facing, “it’s not bad at all.”

While the company hasn’t gone off the rails, RMV is expecting to see a slower season in 2009.

Robertson noted RMV is in the middle of its booking cycle for the oversees market and is experiencing slow sales in the Australian and British markets.

“It does look like we’re going to have a challenging year, but so is everyone in the industry,” Robertson said.

In an effort to counter the challenge, RMV is investing in its marketing and sales team to aggressively promote the tour as part of its long-term strategic plan for growth.