Timeshare Consumer Guide
Monthly News Letter

August 2005

Welcome to the August edition of the Timeshare Consumer Guide monthly newsletter. The aim of the newsletter is to provide current information that may be of interest not only to buyers, owners and sellers of timeshare but to the consumer in general. We aim to provide information regarding exchanges, resorts and up to date OTE News and other reliable sources.

IN THIS EDITION

•  Sunterra cuts staff in “streamline” operation (If you are a Sunterra owner this may be of interest to you)

•  Tallinn , the Estonian Capital to be the home of planned city spa hotel

•  Info-For Timeshare buyers waiting to invest in the Baltic Area.

•  Timeshare in London

•  Big name brands log record timeshare sales

•  Annual OTE conference – Prague - expected record turnout

•  Timeshares of interest and outstanding quality - Cameron House, Scotland

SUNTERRA CUTS STAFF IN “STREAMLINE” OPERATION

Sunterra Corporation has unveiled plans to streamline their operations in Europe, “reflecting market conditions in Europe”. Sunterra have closed in on specific areas of business, the main concern is UK telemarketing operations. By consolidating Sunterra aim “to reduce volume in less profitable marketing channels and focus on the company's most profitable sales centres”.

As part of Sunterra's wide-ranging cost reduction programme it has “reduced management and staff headcount levels in several areas”. Timeshare sales are to be supported by new measures, including new membership products.

Savings estimates for the fiscal year ending 30 September 2006 are approximately $ 3million. For Sunterra, the European Market for timeshare has been under significant pressure. This is believed to be related to package tour changes and the ‘buy to let' markets in parts of Europe where Sunterra have significant operations.

Nicolas Benson, president and chief executive officer said

“This will result inn our European revenues for fiscal 2005 being approximately 20 per cent below our previous expectation while North American revenues will be largely in line with our expectations. We believe this difficult period is temporary and in the long term very healthy for our business. The overall demographic composition of Europe is compelling and our product is consistent with typical vacationing patterns. We expect that these actions will better position our European business to resume healthy growth in the future.”

In the light of the recent performance of European operations and its cost-cutting measures, Sunterra currently expects to report consolidated vacation interest revenues for the fiscal year to 30 september 2005 in the range of $265million to $275million, consolidated total revenues of $400million to $415million, net income of $18million to $20million and adjusted earnings before interest, taxes, depreciation and amortisation of $68million to $70million.

Sunterra has stressed that the cost-cutting measures would have no impact on its European members or their interests in Club Sunterra. Sunterra consider their European presence to be “key” and a long-term strategic asset.

•  Tallinn , the Estonian Capital to be the home of planned city spa hotel.

Construction is due to begin this Autumn on a joint venture involving Holiday Club Finland. The plans of the joint venture are to build a new spa hotel and resort in Tallinn . The project will produce 90 timeshare apartments.

Arco Vara, an Estonian property developer is set to fund the investment and implement the construction programme.

Key features of the new development include the biggest water park in Estonia, a large treatment section, a shopping area, modern conference facilities and a restaurant section with extensive outdoor terraces. In addition to the 90 Timeshare apartments there will be 363 hotel rooms.

Vesa Tengman, managing director of Holiday Club, said “The city spa hotel in Tallinn is the first facility built abroad according to the city concept of Holiday Club. Our city spa hotels are combinations of high-class spa hotel and a timeshare facility. In particular, we are pleased with the very central location of the property close to the harbour terminals and the helicopter landing spot, with excellent traffic connections.”

His company is also studying possibilities for expanding its network of city spa hotels to other Baltic cities.

ANNUAL OTE CONFERENCE – PRAGUE - EXPECTED RECORD TURNOUT

The Organisation for Timeshare in Europe (OTE) plans to boost its membership numbers, even though its members already represent a large majority of the industry in Europe. The determination of the OTE shows how the industry is being cleaned up, consumers can buy and sell with confidence from an OTE member. Travel & Leisure Group an international resale organisation will be one of the sponsors at the conference along with many other OTE members.

OTE promotes the growth and development of the timeshare industry. Through a variety of tools, OTE is:

The trade body for the vacation ownership industry throughout Europe , representing and promoting best practice and excellence in the business.

Through its Code of Conduct, OTE is committed to high standards in the marketing of timeshare products and services that all members are adhering.

Promoting and communicating the overall benefits of timeshare ownership.

Representing the best of European timeshare, OTE works to foster and promote the growth of the industry through a range of programmes – education; public relations and communications; governmental affairs; membership development; consumer relations and a dedication to excellence and fair trading.

Becoming the seal of approval for the consumers by ensuring the delivery of consumer relations and proper information.

In the event of disputes with member companies that cannot be resolved amicably, OTE even now offers consumers an independent arbitration service, devised by the Chartered Institute of Arbitrators. OTE also addresses cross-border disputes through an independent organisation, the Vacation Owners' Independent Coalition in Europe (VOICE).

GOOD NEWS FOR THE FUTURE OF TIMESHARE IN LONDON

Proposals to convert a three-storey warehouse into a 17-storey hotel-timeshare complex in Wembley, North London, have been submitted to regional planning authorities.

Under consideration are plans for a 120-bed hotel, 108 timeshare apartments, a public viewing gallery and restaurant on the 16 th floor and car parking in the basement.

The development is close by the new Wembley Stadium, a multi-million pound project that will open next year and co-host the Olympic Games in 2012.

A much needed expansion of timeshare developments in London, a high demand location for buyers and exchange users.

NEW LODGES OFFICIALLY OPENED AT HILTON DUNKELD IN SCOTLAND.

Hilton International Grand Vacations Company (HIGVC) has welcomed the first guests to six new timeshare lodges at Hilton Dunkeld in Perthshire, bringing the total number available to 22. The resort – part of a 280-acre estate and 50 miles from the Scottish capital, Edinburgh – was once the Highland retreat of the Duke of Atholl.

BIG NAME BRANDS LOG RECORD TIMESHARE SALES

The Timeshare industry has changed their image with the arrival of large hotel groups that saw the benefits of Timeshare. Burgeoning timeshare sales by Hilton Hotels and Starwood Hotels & Resorts in the second-quarter of 2005 have been highlighted in news reports published by Financial Times of London.

Hilton Hotels reported a 39 per cent increase in revenues to $136million from timeshare operations, due largely to sales in Orlando, las Vegas and Hawaii. The company is likely to build a timeshare resort on 112 acres of land it purchased in Hawaii for $65million during the second-quarter.

Like Hilton, Starwood has also raised its forecast for 2005 based on strong timeshare sales and higher room rates. It is also considering converting more of its hotels to timeshares or condominiums “as aging baby boomers continue to drive strong business” in holiday homes.

TIMESHARES OF INTEREST AND OUTSTANDING QUALITY - CAMERON HOUSE, SCOTLAND

A fine example of the advantages of owning Timeshare.

Loch Lomond
Alexandria
Dunbartonshire    G83 8QZ
SCOTLAND
Phone: 01389-755625

Just 30 minutes' drive from Glasgow – Cameron House has everything you could wish for. Situated amidst fascinating woodland and bordered by Loch Lomond , Cameron House offers a quiet retreat from the fast paced normality of life.

The Marina at Cameron House is the home of Celtic Warrior, their own luxury cruiser and berths for 128 more boats. Loch Lomond is the largest stretch of fresh water in Britain , and is open for boat trips.

The accommodation at Cameron House include small groups of Lodges, each are decorated and equipped to a very high standard.

Unit Amenities
Carpet (All Units)
Dishwasher (All Units)
Fireplace - Unit (Some Units)
Kitchen (All Units, Full)
Microwave (All Units)
Washer/Dryer (All Units

Accommodations
1 Bedroom (Maximum Occupancy 4 / Privacy Occupancy 4)
2 Bedroom (6 / 6)
3 Bedroom (8 / 8)
4 Bedroom (8 / 8)

When staying at Cameron House you can enjoy complimentary membership of the resorts Leisure Club which is fully air-conditioned with views of the grounds to the Loch.

Whatever the age, there is something for all. Children have a themed pool, a pool with a corkscrew flume and a paddling pool.

For the whole family;

Boating
Child Care
Children's Pool
Exercise Equipment
Fishing
Games Room
Golf
Health Club
Lake
Laundry
Restaurant
Sauna
Squash
Swimming Pool (Indoor)
Telephone
Tennis
Water Skiing
Whirlpool/Hot Tub

Each of the subjects in this publication are based on various facts provided by trusted sources including the OTE.

Editor: David James

Previous Editions:
July 2005 Newsletter
June 2005 Newsletter