A preliminary survey by the U.S. Travel Association said the hotel industry suffered about $1 billion in cancellations in January and February, a decline the industry attributed in part to restrictions on companies like Northern Trust Corp. and Wells Fargo & Co. that received federal bailout funds.

Hotel industry executives said their business began to suffer after President Obama warned Feb. 9 that companies receiving bailout money "can't go take a trip to Las Vegas or go down to the Super Bowl on the taxpayers' dime." Sen. Christopher Dodd, D-Conn., sponsored an amendment to the $787 billion stimulus package requiring companies that received funds from the Troubled Asset Relief Program to curb "excessive or luxury expenditures."

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