A report into the state of the travel industry by Thomas Cook has found three new types of holidaymaker and a growing demand for experiences.

According to the operator’s Customer Challenge report out today there are three new types of holidaymakers - the Babymooners, Grand Travellers and Phoneymooners.

Consultants have said they are seeing more Babymooners - people taking their last holiday before the birth of their first child - and Grand Travellers - grandparents who take their grandchildren away for a break.

The report also found that couples choosing not to get married - dubbed Phoneymooers - are still taking exotic and romantic trips to destinations such as the Maldives, Mexico and Sri Lanka.

Thomas Cook also found that customers increasingly look for memorable experiences rather than a traditional holiday, and that their choice of location is influenced by television programmes - such as Big Cat Diary and Egyptian Journeys - and by the weather in the UK.

Thomas Cook Holidays executive director Ian Derbyshire said he believes package holidays have evolved in recent years to offer more choice for the consumer.

He said: “There are so many sources of travel inspiration today, and we are working hard to be able to match people’s expectations and fulfil their dreams. The customer is at the heart of all the new developments in travel, as our latest report shows.”

Security queues may be unavoidable at Heathrow, Gatwick and Stansted this Easter and at peak times this summer despite airports operator BAA recruiting 900 additional security staff and expanding security areas.

BAA chief executive Stephen Nelson said he could not guarantee there would be no problems. “Will there be an end to marquees outside Heathrow at Christmas? I can’t guarantee that,” he said.

But he pledged 95% of passengers at Heathrow would be moving through security within five minutes outside of peak times this summer, when the number of additional security staff would hit 1400. Hitting the same target at Gatwick and Stansted would take longer, he said.

Nelson made the pledge with BAA facing a double referral to the Competition Commission. The Civil Aviation Authority was due to submit a review of its airport pricing regime this week, and the Office of Fair Trading is also expected to make a referral on competition grounds within days.

BAA argues a new pricing regime must allow charges high enough to pay for improvements. Nelson said: “We are ready to free the travelling public from congestion for a few extra pounds per passenger.”

The Timeshare business is making incredible gains as consumers continue to embrace its various products. And that palpable excitement is being felt down here in sunny Florida as timeshare executives meet and mingle at the annual ARDA conference.


These folks have good reason to celebrate. According to a study conducted by PricewaterhouseCoopers for the ARDA International Foundation (AIF) and released in conjunction with the ARDA conference, the U.S timeshare industry contributed an estimated $62 billion in consumer and business spending to the national economy in 2005, according to a study.


Combined direct, indirect, and fiscal impacts in 2005 by the U.S. timeshare industry totaled an estimated $92 billion, including $62 billion in consumer and business spending, 565,300 full- and part-time jobs, $21.5 billion in salaries and wages, and $8.5 billion in tax revenue. There are over 1,600 timeshare resorts in the U.S., attracting 4.1 million households to vacation ownership.


“We are in a sweet spot,” Howard Nussbaum, ARDA’s president told conference goers, citing years of double digit growth and soaring customer approval ratings over traditional hotel products. “We have integrated into the mainstream and are becoming a global industry. The culture we have in our world is one that the hotel industry is looking to emulate.”


Outgoing ARDA chairman Raymond L. “Rip” Gellein, Jr., ARDA Chairman and president of the Global Development Group of Starwood Hotels & Resorts Worldwide, Inc., agreed. “This is an amazing business. Other thing we underestimate is how much consumers love the product. There is a huge market for both the independents and the brands. The highest customer satisfaction of any product in any brand is our vacation ownership product. My friends at other companies say the same is true there.”


In fact, the timeshare business as a whole has enjoyed 15 straight years of growth, achieving an average of more than 15 percent gains every year. During this time there was only one down quarter, which came during the period of uncertainty directly after the 2001 terrorist attacks on U.S. soil.


In 2005, timeshare owners and guests spent an estimated $22.6 billion on purchases of new timeshare, maintenance fees, and other purchases during timeshare vacations. Additionally, timeshare owners took approximately 5.7 million timeshare vacations, spending an average of $1,768 each trip, which translates to about $10 billion. Nine billion of which was spent in the region where the timeshare resort is located.


Part of the reason for the industry’s success, said Gellein was lessons learned during the last two decades. During that time a regulatory framework was put into place to protect the business and consumers. Additionally, changes in how timeshare sales people handle consumers has pushed the experience into more positive territory when it comes to sales & marketing, reservations, and onsite tours. “We have continued to raise the bar. Not too many people wake up and want to go on a timeshare tour, but they wake up wanting to go on vacation,” he said.


The last three years have been particularly robust. Since 2002, the industry’s output increased 23.7 percent with $11.8 billion in additional output; timeshare employment increased 11.5 percent with 58,200 new jobs; while salaries, wages and related income increased 24.4 percent with $4.2 billion in additional income.


In the future, Nussbaum stressed to conference attendees the importance of utilizing existing customers to help further the cause of the timeshare business. He used an example of a 25 year Maui timeshare owner who was angered by the state’s increase of taxes on his two weeks of usage by 400 percent. The owner said taxes are onerous and create an environment where it’s cheaper to simply abandon the timeshare product, putting the communities these products are in into financial jeopardy because of fleeing owners. “Sometimes we forget owners are our best advocates. We need to keep them as part of the process,” he said


A non scientific poll conducted by ARDA on conference attendees showed 39 percent of conference attendees were developers while 16 percent were marketers. Also, 52 percent were from public and private based US companies and 48 percent were from outside the United States.

Hilton Hotels Corp. will build 250 timeshare units at Lake Las Vegas Resort in Henderson, Nev., the company said Monday.

Most of the Lake Las Vegas units will be Hilton-branded but 50 will be branded in the Waldorf=Astoria Collection. This year-old brand, based on the famous New York hotel, has a property in Maui as well as in La Quinta, Calif., Phoenix and Jeddah, Saudi Arabia.


The new Las Vegas area project will be developed on a 17.5 acre lakefront parcel overlooking the 17th hole and 18th tee of the Jack Nicklaus-designed Reflection Bay Golf Course. Development is in the design phase, with groundbreaking targeted for early 2008 and opening projected for fall 2009.

Beverly Hills-based Hilton's (NYSE: HLT) Hilton Grand Vacations subsidiary will be responsible for the sale of ownership interests and property management of the new project, 17 miles from the Vegas Strip. Orlando-based Hilton Grand Vacations Co. has 114,000 club members.

British Airways is considering a £1 billion bid for its rival British carrier bmi.

Sir Michael Bishop, the chairman and a 50 per cent shareholder of bmi, is understood to have received a number of approaches from airlines looking to buy his stake.

Sir Michael, 65, is holding out and refusing to sell, but potential bidders have said that they believe he will sell this year.

BA is understood to be monitoring the situation closely and would consider a bid if and when Sir Michael sells. The airline is understood to have raised the issue with him already.

Lufthansa, the German airline, will have first say in any sale of bmi as it holds 30 per cent and has an option to buy out Sir Michael.

However, Lufthansa is understood to be one of three final bidders for Alitalia, the Italian flag carrier, and is also said to be interested in Iberia, of Spain. It is not thought to want to extend its holding in bmi, which would open the way for another bidder.

BA is an obvious suitor, as bmi would be a strategically vital addition after last week’s “open skies” ruling.

The liberalisation of air travel between Europe and the United States agreed by transport ministers last week will enable any carrier to operate out of Heathrow. At present, only BA, Virgin Atlantic, United Airlines and American Airlines can fly the lucrative Heathrow-to-New York route.

BA has 40 per cent of Heathrow slots. Acquiring bmi would give it 53 per cent. Competitors would struggle to acquire other slots, which would allow BA to maintain its stranglehold on transatlantic travel.

Open skies could also allow BA to overcome competition concerns because any European airline can offer services within and to the UK.

BA hopes to consolidate its position at Heathrow ahead of open skies, part of which involves moving all its operations to Terminal 5, which will open in exactly a year’s time.

Bmi’s Heathrow slots are also attracting interest from other potential bidders. Private equity groups and Middle Eastern carriers such as Etihad and Emirates are thought to be eyeing the British carrier. These bidders may break up the airline, keeping the Heathrow slots and then selling the rest.

About a third of bmi’s slots could be used for transatlantic flights and these are likely to fetch about £10 million each. Other slots at less favourable times would cost in the region of £5 million.

However, Sir Michael may refuse to sell if he thinks that bmi will be broken up. He joined in 1964 and was instrumental in turning it into a viable competitor to BA in the British market.

BA refused to comment and bmi said that it planned to be an acquirer rather than acquired.

A first class British Airways passenger got short shrift from cabin crew after expressing his displeasure at waking up to find them manoeuvering a corpse into the seat next to him, the Daily Mirror reports.

The elderly woman had apparently died shortly after take-off, and was quickly upgraded from economy to first class

Building firm boss Paul Trinder, who'd stumped £3,000+ for the Boeing 747 flight from Delhi to London, recounted: "I woke up to see the crew manoeuvering what looked like a sack of potatoes into the seat. But slowly through the darkness I realised it was a body. The corpse was strapped into the seat but because of turbulence it kept slipping down on to the floor. It was horrific. The body had to be wedged in place with lots of pillows.

"Then the relatives were allowed to sit in First Class and spent the next five hours wailing and weeping. When I complained, I was told to 'get over it'. I was also told BA's corpse policy would remain 'unless I've got any better ideas'. In future, if I have a choice of airlines on a particular route I'll choose anyone but BA."

BA told the Daily Mirror: "We apologise, but our crew were working in difficult circumstances and chose the option they thought would cause least disruption."

The UK Government appears ready to accept a deal to liberalise air travel between the European Union and US, despite last-minute lobbying by British Airways for a rejection.

European transport ministers are due to vote on an open-skies agreement tomorrow, with the UK Government alone in raising objections. Tony Blair was reported ready to intervene personally today to seek concessions.

But the Government signalled it would not oppose the agreement, having earlier said the deal gives too many advantages to US airlines without comparable rights for European carriers.

The deal would open access to US services from Heathrow, which are currently limited to four airlines – British Airways, Virgin Atlantic, American Airlines and United Airlines. It would also allow US airlines to fly between European airports, but not grant reciprocal rights to EU carriers.

BA and Virgin Atlantic oppose the relaxation, but other EU governments and airlines and most US carriers are in favour, as are UK airlines such as BMI and Silverjet.

If EU ministers ratify the agreement tomorrow, it will go to a meeting of US and European Commission representatives on April 20. However, it might still be scuppered by growing opposition within the US.

A pilot scheme involving two major charter carriers has shown the potential to recycle 14 million drinks cans a year dumped from UK holiday flights to Spain.


The cans currently go to landfill sites or are incinerated along with 3,000 tonnes of other waste produced by passengers on UK outbound flights to Spain – an average of 40kg per flight.


But a winter-season trial with First Choice Airways and Thomas Cook Airlines on flights to Palma de Mallorca and the Canary Islands suggests recycling the cans could save enough aluminium to build a Boeing 747 and electricity to power 560 homes for a year.


Organised by sustainable tourism charity the Travel Foundation, and with the help of Spanish airport authority AENA, the project required the cooperation of passengers and careful handling of rubbish by staff.

A Travel Foundation spokesman said: "There is no reason for other airlines flying to Spain to continue to dispose of drinks cans by dumping or incinerating."


First Choice mainstream holidays managing director Dermot Blastland said: "It’s important the UK aviation industry shows its commitment to sustainability."

As many as 12% of travel customers chose not to book a holiday last year because of concerns about its effect on the environment.

An online survey of nearly 1,000 British web users commissioned by VisitBritain revealed the degree to which consumers are actively discriminating against operators who they believe do not have green credentials.

Launching the Sustainable Tourism 2007 report at the British Travel Trade Fair, VisitBritain quality development executive Jason Freezer said companies are going to have to move quickly if they are to keep pace with the changing demands of customers.

He added: "I think the 12% represents the deep greens at the moment but I would expect the figure to as much as double in the next two years because consumer awareness is only going to increase."

While the number of people steering clear of companies with poorly perceived environmental records is significant, the proportion of consumers actively choosing greener breaks is still much smaller.

Just 2% said they had taken a sustainable holiday abroad in 2006 while 3% had taken one in the UK.

A further 6% said they had chosen a break because of its low environmental impact while 8% took a holiday that had a positive impact on the destination's local community.

In contrast, 69% said they had not taken or did not know if they had taken an environmentally friendly holiday.

Freezer added the trade should prepare for a growth of holidays taken in the UK and nearby countries after 13% of respondents said they had used public transport to go on holiday in a deliberate attempt to cut their carbon footprint.

He said this figure will grow rapidly, adding: "The 2012 London Olympics will only see the public transport links improve."

The enlarged TUI Travel group has slammed speculation that the merger of Thomson and First Choice will lead to mass closure of high-street agencies.

Thomson UK managing director Peter Rothwell said there is little overlap of the two companies’ shop networks with only 200 of its 1,100 retail outlets competing with each other in the same high street.

He dismissed assumptions the First Choice brand would be dumped with Thomson’s ‘powerbrand’ strategy being pursued.

Rothwell admitted there would be some shop closures but retaining the two brands would keep that to a minimum, with the majority of the £100 million annual savings coming from other areas of business.

“The majority of the savings will not come from closing high-street shops,” he said. “There will be some closures, but we will preserve both brands.”

First Choice chief executive Peter Long insisted both high street brands would remain: “You do not have to compartmentalise and put things in neat boxes; if the economics of having more than one shop in one town make sense then that’s what we will do.”

However, industry experts believed the enlarged TUI group could have its hand forced by European competition authorities and dump the First Choice brand.

Former MyTravel boss Steve Endacott said Brussels could make approval dependent on it getting rid of shops.

“It’s the retail estates where it holds the real power. Dual branding of retail estates never lasts long. The high street will be dominated by Thomson and Thomas Cook,” he said.

Triton director and former managing director of Lunn Poly, now Thomson, John McEwan also expected a single brand strategy to be pursued.

“When two companies join together they ultimately end up with one brand and Thomson is the strongest brand on the high street.” he said.

One senior industry analyst claimed up to half the enlarged group’s shop network could be closed over the next three years.

Hyatt International Hotels and Resorts' outbound sales from the Middle East are up 20% on last year's figures, according to Europe-based executives with the leading global hospitality brand.



Strong regional marketing and greater customer awareness of Hyatt's product segmentation and varied offering have been identified as key contributors to the sharp sales increase, said Allan Edgar, Hyatt's Vice President of Marketing for the Europe, Middle East, and Africa (EMEA) region, ahead of the annual Arabian Travel Market (ATM), taking place in Dubai from 1-4 May 2007.

"ATM 2007 in Dubai will be our biggest and strongest ever. More than 20 Hyatt representatives from America, Asia, Europe, and the Middle East will be present to talk about their properties and what they have to offer regional guests who choose to stay them. In addition, key Global Hyatt Corporation executives will be in attendance to meet with select attendees."

Edgar added: "We intend to use ATM as a platform to reveal some very interesting news about regional guest preferences, as well as our own exciting plans for Middle East expansion and brand development."

Known best around the world for its Park, Grand, Regency, and Resort brands, Global Hyatt Corporation is an industry innovator in hospitality products and services.

"As more Middle East-based travellers come to learn about Hyatt and our selection of brands, they will begin to further appreciate the extent to which we stand apart from other global hospitality companies. Hyatt properties are not only different, they offer guests an experience that best suits their preferences - from dramatic architecture in stunning city centre locations to modern luxury presented with a European boutique hotel touch," concluded Edgar.

A LOCAL councillor has objected to a £1 million-plus proposed development at Murrayshall House Hotel, near Scone.

In a letter to the council, Councillor John Lloyd has taken issue with five separate planning applications in the vicinity of the premises. The main project proposed is a 70 timeshare bedroom development.

Mr Lloyd commented: “The area has been used for generations by walkers, horse riders and cyclists, not only by residents of Scone and Perth but from further afield. It is Scone’s Green Lung.

“I recognise the benefits that this at present brings to the local tourist economy, however, the landscape capacity has already been reached and these five applications will constitute over-development and detract from the landscape qualities.

“I, along with many of my ward constituents, believe that the exiting road system cannot safely accommodate the additional traffic generated by these applications.

“My colleague Bill Paterson measured the width of the road and it simply won’t withstand an increase in traffic. Drivers are already avoiding it because of the amount of near misses.”


The Independent councillor, who represents the Dunsinnan Ward, has objected to five applications in total, including the erection of 12 houses next to Bonhard Nursery and a 17-bedroom suite accommodation, including a public lounge, planned on the present garden and tennis courts.

Wyndham Worldwide Corporation (NYSE: WYN) today announced joint transactions whereby it will invest in and manage the 600-room luxury Rio Mar Beach Golf Resort & Spa in Rio Grande, Puerto Rico, under the Wyndham brand and develop an adjacent 26-acre tract as a Wyndham Vacation Ownership timeshare resort.
Wyndham Hotel Management Inc. will operate the resort --currently a Westin -- under a 20-year agreement. The hotel will remain a Westin until May 10 when it will be reflagged as the Wyndham Rio Mar ? A Wyndham Grand Resort. Wyndham Vacation Ownership expects to develop and market luxury timeshare units on the adjacent tract over the next several years.

Wyndham Worldwide is purchasing a partial ownership interest in the resort, owned by Rio Mar Associates L.P. S.E., which is led by affiliates of Tishman Realty Corporation, one of the world's premier developers and asset managers of first-class hotel and resort properties. Tishman Realty affiliates originally developed and built the resort, which opened in 1996, and continue to co-own it.

The Wyndham Rio Mar is situated on 500 acres along a mile-long section of tropical beach adjacent to the Caribbean National Rain Forest of El Yunque and the Mameyes River. It features 48,000 square feet of function space; a 7,000-square-foot casino; two world-class, 18-hole golf courses; 7,000-square-foot spa and fitness center; 11 restaurants, lounges and entertainment venues; tennis center; water sports center; and two beach-front pools.

As a result of these transactions, Rio Mar Associates plans a multimillion-dollar redevelopment including a complete overhaul of the casino and an upgrade of the golf courses, hotel lobby and guest rooms. Each room will be equipped with signature brand elements designed by the acclaimed architecture firm Michael Graves & Associates.

The work will bolster capital improvements completed during the last two years including construction of the Mandara Spa and fitness center, guest room renovations, enhancement of the pool deck, improved access to the property's semiprivate beach and the addition of private cabanas. The property improvements and timeshare development are expected to expand employment on a long-term basis.

"We are proud to welcome the Wyndham Rio Mar to our collection of high-quality Wyndham properties," said Steven A. Rudnitsky, Wyndham Hotel Group president and chief executive officer, adding that the Wyndham Rio Mar represents the largest single addition to the brand since 2005.

Wyndham Worldwide will work closely with the government of Puerto Rico and the commonwealth's tourism officials to develop Rio Mar into a world-class destination that will "attract thousands of travelers to Rio Grande every year, introducing them to the island's true spirit of hospitality while sustaining high-quality, fulfilling jobs for several hundred area residents," Rudnitsky said.

Franz Hanning, Wyndham Vacation Ownership president and chief executive officer, said the development of timeshare facilities at Rio Mar during the next few years will create an "exciting, new destination for Wyndham timeshare owners in the highly popular Caribbean market.

"We are committed to expanding the Wyndham Vacation Ownership system of timeshare resorts throughout the world to provide our owners with the broadest choice of high-quality vacation opportunities in the most desirable and exciting locations, including this beautiful resort in Puerto Rico."

Rudnitsky added that the joint transactions demonstrate Wyndham Worldwide's ability to apply the combined resources of Wyndham Hotel Group and Wyndham Hotel Management with Wyndham Vacation Ownership to develop mixed-use projects "that more fully leverage the value of existing properties."

The Marco Island Planning Board on Friday raised substantial questions about a proposal made by the Marriott Vacation Club International to convert a former beachfront hotel to timeshares.

Although the proposal is still expected to receive approval, the planning board took issue with construction noise, architectural design and the timetable for a public beach access point required if the Marriott is to receive conditional use to increase the number of units on the property.

A unanimous vote tabled the issue to a special-called meeting to be held next Friday.

Ten architects, designers and attorneys made an hourlong presentation at the meeting. Plans have been in development for almost a year to convert the former Radisson Hotel, 600 S. Collier Blvd., to four buildings of Marriott timeshares. Marriott officials are asking for a conditional use permit that would increase the number of units on the site from 196 to 219 and increase the building’s height from 100 feet to 150 feet.

Planning board members saved their most significant scorn for the architectural design.

Board member Brian Moss called it "a box on the beach." Fellow board member Monte Lazarus compared the design to a "Khrushchev-era housing project from St. Petersburg."

City staff said they would work with the architects to plan mosaics or other designs in compliance with city code for the buildings’ exterior.

Community Development Director Steve Olmsted said there’s some suggestion that noise relating to ongoing demolition of the Radisson structure, which began in January, has been "raised to a nuisance." Marriott officials advised that was a meeting with the company’s demolition team later Friday afternoon to develop a specific plan for noise and dust as demolition of the Radisson and construction of the timeshares moved forward.

Planning board members also expressed dismay that the required 20-foot-wide public beach access point would not be ready for use until the completion of the entire project in 2013. Marriott officials and city staff raised concerns that construction phasing would make the planned access point unsafe until that time. Marriott’s local counsel, Marco Island-based attorney Craig Woodward, said the company could better address these issues next Friday.

Although the Marriott is aiming to receive formal approval on their plans now, the largest hurdle was likely cleared last summer. The Marco Island City Council voted 4-3 in August to amend the city’s land development code to allow for such a project to move forward.

Marriott Vacation Club International operates 49 similar properties in seven countries, but this will be its first on Florida’s Southwest Coast.

Anaheim Garden Walk, a mixed-use complex planned near the city's Disneyland theme park, has received $210 million in construction financing. The development (pictured) will include 440,000 square feet of retail, restaurant and entertainment space a transportation center, a 3,200-space parking facility, 387 timeshare units and three hotels.
George Smith Partners arranged the loan to the project's developer, Anaheim GW II L.L.C., which is a partnership between Excel Realty Holdings L.L.C. and Pacific Coast Capital Partners L.L.C.

George Smith Partners' Scott Bottles, who arranged the financing, said in a statement that the project was in a good position to serve as the centerpiece of Anaheim's transition into an urban center. The development will take advantage of its positioning between Disneyland, Disney's California Adventure theme park and a soon to be built third park.

Currently, Garden Walk is 60 percent pre-leased, with tenants including retailers Harley Davidson, Banana Republic, Kay Jewelers, Cheesecake Factory and PF Chang's.

Excel principal William Stone said that he expected the project to become the area's premier destination for shopping, dining and entertainment, as well as a gateway to Anaheim's other attractions.

In addition to Bottles, George Smith Partners principal/managing director Gary Mozer and assistant vice president David Bierman assisted in extending the financing.

The Internal Revenue Service is challenging most of the roughly $1 billion in deductions that Bethesda hotel giant Marriott International took for fiscal years 2000 through 2002 related to its employee stock ownership plan, Marriott officials said in a filing March 2 with the U.S. Securities and Exchange Commission.

The IRS is ‘‘proposing substantial excise taxes and penalties,” and company officials believe that the IRS’ proposed adjustments are incorrect and plan to ‘‘vigorously defend our positions,” the filing says.
Thomas Marder, a company spokesman, said the transactions being questioned by the IRS ‘‘have been in existence for more than 30 years.”

‘‘Other companies have employed them,” Marder said. ‘‘We’re not the first to do so.”

Marriott formed the employee stock ownership plan in 2000. The company claimed about $1 billion in federal income tax deductions for the forgiven principal and interest on the debt over that period, the filing says.

Marriott reported revenues of $12.16 billion in 2006, up from $11.55 billion in 2005. Net income fell, however, to $608 million from $669 million.

The results included a $109 million after-tax charge related to a change in timeshare accounting rules.

A Myrtle Beach man was arrested and charged with tax evasion on Thursday.

Christopher Miracle, 31, was booked at J. Reuben Long Detention Center on four counts of tax evasion. His bond was set as $45,000, and he posted bail at 11:12 a.m., jail officials said.

Miracle didn't file an income tax return from 2002 to 2005, failing to report more than $220,000 of income over that span, the state Department of Revenue said in a release.

Miracle, who works as a timeshare manager, could be sentenced to 20 years and fined $40,000 if convicted, the release states.

The situation for Legend Resort and Country Club’s 1,400 timeshare owners is bad and getting worse, representatives of Legends Owners United told the Vernon council on Monday.

Timeshare owners said that the decay of Legends gives new meaning to the Latin saying, “Caveat emptor,” (Let the buyer beware), and called on Vernon officials to send inspectors to look at the health and safety violations the owners say abound in the massive former Playboy Hotel on Route 517.

Today, the hotel could serve as a set for a Stephen King film. Ceilings are green with mildew, dead weeds grow in the cracks of the tennis courts, swimming pools are murky, doors are sprayed with graffiti, sinks have fallen off the walls, abandoned cars decorate the parking lot, and nails protrude from walls and floorboards.

And timeshare owners are outraged.

One of them, Valerie Seufert, a vice-president and senior loan officer at the Sussex Bank in Franklin, showed the council a collection of photographs that documented conditions that she described as “unsafe and deplorable.” Seufert also said that she had written a letter on March 2 to Vernon Mayor Janet Morrison describing the conditions at Legends and asking for help from the township.

“We’re tired of being lied to and ripped off by Hillel Meyers of the Metairie Corp., who now owns Legends,” said Robin Barron of Sussex. “Legends Owners United is now about 130 strong and growing, and we’ve reached out to everyone who owns a timeshare unit at Legends.”

The association, she said, has filed a class-action lawsuit against Metairie for fraud through the Morristown law firm of McElroy, Deutsch, Mulvaney & Carpenter.

Hugh Hefner built the 600-room hotel in 1971 and sold it in the late 1980s. The hotel never fulfilled its promise of glory days when Hefner’s hoped-for gambling license failed to come through. In subsequent years, the hotel passed through several owners until the Metairie Corp. bought the property in 1998, after the Seasons Hotel went into bankruptcy.

The company turned 28 suites into studios and one- or two-bedroom units. People purchased the units for between $8,000 and $18,000, generating some $15 million in revenues for Metairie. Drawn by the promise of timeshare exchange privileges with resorts at the Jersey shore or elsewhere in the network, unit-owners expected the resort to make good on promises of an array of amenities on site, including a children’s pool, indoor and outdoor pools and a whirlpool, plus conference facilities, a games room, golf, a hairdresser, health club, playground, restaurant and more.

Over the years, timeshare owners have paid many thousands of dollars in yearly maintenance fees, but haven’t seen much, if any, maintenance going on.

Although timeshare owners say they had been troubled for years to see the resort growing more and more shabby, they trusted the owners to make good on their promise of repairs and renovations.

But in August 2005 timeshare owners discovered that their exchange privileges were worthless when RCI, the company that had been managing the timeshare exchanges for Legends, backed out of the agreement, citing the need for multiple repairs and renovations.

What’s more, owners have gone for help to the N. J. Real Estate Commission, which began regulating time shares in August 2006 after the state passed a new regulatory system for time shares, removing them from the jurisdiction of the Department of Community Affairs.

Real Estate Commission spokesman Marshall McKnight said that by policy the commission wouldn’t comment on or confirm ongoing investigations until administrative action is taken. Metairie Chief Operations Officer Al Warrington didn’t return telephone calls.

To add to the timeshare owners’ confusion, the township council included the resort in its move last November to make the McAfee area of Vernon part of the municipality’s redevelopment plan. In formulating the plan, no one from the town talked to the timeshare owners.

The revitalization of Legends is part of the municipality’s vision to turn Vernon into a four-season destination; despite the property’s bumpy history, Vernon officials say that Metairie already has drafted preliminary site plans to renovate the hotel, build an ice skating rink where derelict tennis courts now stand, transform the cabaret in the hotel into a movie theater, and reopen the existing boutiques.

In addition, local development magnate Eugene Mulvihill has proposed building an indoor “waterpark larger than anyone alive has ever seen” on property abutting the hotel.

Although township officials agreed to send inspectors, Township Attorney Joseph Ragno told the timeshare owners that the town couldn’t intervene on their behalf with Metairie. The township, Ragno added, can’t comment on conditions that relate to that or to any lawsuit between private parties.

The timeshare owners’ lawsuit will be one more in the welter of legal actions involving the resort.

The most recent legal case was brought against the township and its zoning board in November by Spring Creek over the board’s denial of an application to build 372 resort homes near the property.

Sunterra Corporation (PINKSHEETS: SNRR) today announced it has entered into a definitive agreement with an affiliate of privately held Diamond Resorts, LLC, based in Las Vegas. Under the terms of the agreement, Diamond Resorts' affiliate will commence a tender offer within the next five business days for all of Sunterra's issued and outstanding common stock at a purchase price of $16.00 per share in cash (the "Offer"), a 35% premium over the March 8th closing price of Sunterra's common stock, the day before rumors of the acquisition entered the marketplace. The total value of the transaction is approximately $700 million, including $375 million of existing Sunterra debt.

The Offer will be open for 40 calendar days following commencement of the Offer. The debt financing supporting the Offer will be financed by a bank group led by Credit Suisse, which has provided a definitive financing commitment to Diamond Resorts.

John D. Ziegelman, Chairman of Sunterra, said, "Both our management team and our Board of Directors believe that, following a detailed review of strategic alternatives, the Diamond Resorts Offer is the best approach to maximize shareholder value and is in the best interests of Sunterra's stockholders, customers and employees. We look forward to working with Diamond Resorts to effect a smooth transition."

The Sunterra board of directors has unanimously approved the acquisition. Consummation of the Offer is subject to customary conditions and is not subject to financing. The parties expect Diamond Resorts' acquisition of Sunterra to be completed during the second calendar quarter of 2007. Following the Diamond Resorts affiliate's acquisition of at least 90% of Sunterra's outstanding shares, the Diamond Resorts affiliate will merge with and into Sunterra, with any shares not tendered in the tender offer being converted into the right to receive $16.00 per share in cash. Sunterra will remain headquartered in Las Vegas.

The Sunterra board of directors has received opinions from its financial advisors, Merrill, Lynch, Pierce, Fenner and Smith, Inc. and Duff & Phelps, LLC, that the consideration to be paid to Sunterra stockholders in the transaction is fair from a financial point of view. Weil Gotshal & Manges LLP and Neuberger, Quinn, Gielen, Rubin & Gibber, P.A. are acting as legal counsel to Sunterra.

Important Notice to Investors: The tender offer for the outstanding common stock of Sunterra Corporation has not yet commenced. This document is neither an offer to purchase nor solicitation of an offer to sell securities. At the time the Offer is commenced an affiliate of Diamond Resorts LLC will file a tender offer statement on Schedule TO with the U.S. Securities and Exchange Commission ("SEC"), and Sunterra will file a solicitation/recommendation statement on Schedule 14D-9 with respect to the Offer. The tender offer statement (including an offer to purchase, a related letter of transmittal and other offer documents) and the solicitation/recommendation statement will contain important information that should be read carefully before any decision is made with respect to the tender offer. Those materials will be made available to Sunterra's stockholders at no expense to them. In addition, all of those materials (and all other offer documents filed with the SEC) will be available at no charge on the SEC's web site: www.sec.gov.

Sunterra expects to hold a conference call with investors within a short period following the filings of the above documents with the SEC.

FRAUDSTERS running scams across Europe that cost Brits alone £2.4billion a year face a crackdown from a new squad of international enforcers.

The co-ordinated network of national authorities, launched yesterday, have the power to swoop on organisers of stings ranging from bogus lottery wins to phoney holiday clubs and miracle cures.

Many of them operate in one country but prey on people in another, which has in the past made it difficult for authorities to shut them down.

Meglena Kuneva, the EU's new Consumer Affairs Commissioner, said: "Fraudsters are clever, taking advantage of different legal systems across the EU.

"Their crafty schemes, such as personalising letters and making them look professional, are costing EU consumers millions of pounds.

"In the UK alone, more than three million adults fall victim to scams each year, costing each an average of £1000.


"The new EU-wide network of national watchdogs will help to stop unscrupulous traders in their tracks, by ensuring they can no longer evade consumer protection authorities."

The network will use the new EU enforcement co-operation regulation to take on crooks who defraud victims in one country but operate in another.

They will have the power to impose fines, take court action and freeze assets. The aim is to make it harder to switch addresses, and even countries, to avoid existing consumer protection laws.

The network, based in Brussels, will also have powers to tackle misleading advertising and abuses of consumer rights in the package holiday, timeshare and distance-selling markets.

Office of Fair Trading research estimates UK consumers lose £1.2billion each year to bogus holiday clubs, £500million to investment scams, £420million to pyramid sales and £260million to fake lotteries.

The OFT advise consumers tempted by offers that seem too good to be true to "stop, think and be sceptical".

They found the catch in most scams is obvious - a "something for nothing" deal invariably involves sending money first.

The highest average losses are estimated to be from investment scams (£5600), property frauds (£4250), bogus holiday clubs (£3000) and lottery fiddles (£1900).

THE TOP 5 SCAMS

BOGUS HOLIDAY CLUBS
These often involve scratch cards that say you have won a "free" holiday and are invited to a presentation to collect the prize. What follows is a high-pressure sales pitch for a holiday club, which usually involves plenty of hidden costs and no free holiday.


INTERNATIONAL LOTTERY AND SWEEPSTAKE PRIZES
A letter informs you of a massive lottery win in a draw in another country. It looks genuine, with names, phone numbers and addresses, often in Spain. All you have to do to become a millionaire is send personal and bank details plus a registration or administration fee to a foreign bank account. The prize never arrives.


CLAIRVOYANT PREDICTIONS
A "psychic" sends a warning from a deceased relative about looming danger. Help is offered in the form of a talisman, such as a crystal, in return for a fee. Alternatively a psychic claims to have information that will change your life. Again, a fee is required for more details.


MIRACLE HEALTH CURES AND SLIMMING AIDS
Pills, lotions and creams offering cures for everything from baldness to heart disease and impotence are offered through the post. Often the products are ineffective and, in some cases, potentially dangerous.


FOREIGN MONEY OFFERS
Millions of people get letters and emails offering vast sums of money for help moving even bigger sums out of a foreign country. The first step is to give bank details - then the account is emptied. One UK victim who went to South Africa to complete a deal was kidnapped - his wife was sent a £20,000 ransom demand.

As part of its scams awareness month the OFT is warning consumers about the dangers of signing up to bogus holiday clubs. Every year 400,000 UK consumers fall victim to these clubs at a cost of over £1 billion, by deceiving and pressurising them into membership.

Today members of the OFT Scambusters team will be leafleting holiday makers at Cardiff, Gatwick and Stansted airports as they jet off, warning them of the tactics used by bogus holiday clubs and how to avoid being taken in by them.

Holiday clubs are marketed as a flexible alternative to timeshare, promising a lifetime of discounted holidays anywhere in the world, but they often promise far more than they deliver. After spending thousands of pounds many consumers find that they have bought little more than access to an internet booking service.

Many consumers are approached whilst they are already on holiday, when they are more receptive to tempting holiday offers, by a 'scratchcard tout'. The card will always be a winner but to collect your prize you will need to attend a presentation to learn more about a new holiday venture.

The presentation will be held at a professional looking sales 'deck' where you will be made to feel as if you are joining an exclusive club offering exciting and great value holidays all over the world in top class accommodation. The truth is that, more often than not, you could obtain the same holidays at the same price via the Internet or at your local travel agency.

The OFT is working with the Spanish European Consumer Centre to warn consumers of the slick sales techniques used to persuade unwary consumers to sign up. As part of Scams Awareness Month and assisted by relevant Local Authority Trading Standards Services we are taking our consumer education message to consumers boarding flights bound for Spain at Cardiff International, Stanstead and Gatwick airports.

Techniques used by bogus holiday clubs include:

-presentations that last so long you are tempted to sign up just because you are desperate to leave,
-you are not left alone to discuss anything with your partner and you are given a very limited time to view the contract,
-they tell you they have made you a special discounted offer which is only valid for that day placing you under pressure to sign on the spot.

Mike Haley, Head of Scambusters at the OFT says:

'Unscrupulous holiday club companies often don't deliver what they promise and leave consumers thousands of pounds out of pocket. Our advice is to be wary of the scratchcard tout when you are on holiday. If you do go along to a presentation ask the company three simple questions: Do you give cooling off rights? Is everything you promised in the presentation in the contract? Can I take away the contract to consider at my leisure? If the answer to any of these questions is no, then simply walk away.'

Beaver Creek Resort recently opened as the first luxury resort in the Bancroft tourist region of Ontario.

The Bancroft tourist region of Ontario has long been regarded as unspoiled, beautiful wilderness and a sportsman's rugged playground paradise. However, with the recent opening of Beaver Creek Resort, the Bancroft region and North Hastings County area has become the ideal location for a luxury vacation with superior accommodations, fine dining, and upscale amenities.

Over the last several years, there seems to be a new trend in the Ontario resort industry. In the past, small to mid-size cottage resort properties dominated the vacation resort industry in Ontario, populating many Ontario lakes and rivers and offering vacationers an opportunity to live the cottage lifestyle. These cottage resorts were often quite rustic, with few luxuries and appealed especially to families looking for an inexpensive vacation.

Conversely, there are very few new Ontario cottage resorts being built today, and many long established cottage resorts have shut down. Some have been demolished completely to make way for the construction of new private waterfront homes or for large-scale commercial developments. Some cottage resorts have been upgraded and then marketed and sold as an interval ownership, timeshare-style properties.

Decidedly, today's vacationer requires a whole lot more than a rustic cottage in the woods for their Ontario resort vacation. Tourists are looking for a vacation experience that includes superior accommodations with all the modern conveniences and amenities. As well, they want their Ontario vacation to include a wide variety of recreational activities to keep them busy. In response to the desires of many tourists, Beaver Creek Resort, a new luxury cottage, has been built and recently opened for business in Gilmour, Ontario.

Beaver Creek Resort (http://www.beavercreekresort.ca) is brand new from the ground up. This Ontario resort offers charming and luxurious log cottage accommodations with a gourmet dining room and a wilderness location in the Bancroft area that is second to none. Beaver Creek Resort is a full-service cottage resort that delivers everything that today's vacationer has come to expect. Because tourists to this area desired more luxurious accommodations, Beaver Creek cottages were designed in a way that would attract up-scale tourists. This Canadian resort boasts features such as soaring cathedral ceilings, cozy fireplaces, and either an indoor sauna or personal deck-side cedar hot tub. These attractive log cottages also contain many first class amenities that would normally be found in a typical five star hotel such as hairdryers, plush terry robes, and entertainment units with TV, VCR and DVD players, fridges and microwaves ovens.

Olga Peicheva, Beaver Creek Resort's Sales Manager states that "Beaver Creek is unique among Ontario resorts. Our vision for Beaver Creek Resort was to create a full service resort that combined superior accommodations with gourmet-quality fine dining and a wealth of available outdoor activities in a beautiful natural setting. I think we have achieved just the right balance."

Beaver Creek Resort's location in central Ontario's North Hastings County ensures its guests' peaceful seclusion in a wilderness locale. Its close proximity to Highway 62 means that it is also very convenient to all the many attractions the region has to offer including golf courses, restaurants, museums and galleries.

Study reveals 41% increase in economic impact over three-year period as one million timeshare visitors vacationed in Nevada in 2005

The Nevada timeshare industry contributed $2.8 billion to the statewide economy in 2005, according to a study conducted by PricewaterhouseCoopers and released today by the ARDA International Foundation (AIF), the research and educational arm of the American Resort Development Association (ARDA). Undertaken to analyze the impact of timeshare developers and owners and their value to Nevada’s economy, the study was distributed last week to Nevada Legislators during the ARDA-Nevada Legislative Luncheon in Carson City.

The combined direct and indirect economic impacts the timeshare industry had on the Nevada economy increased 41 percent from the $1.9 billion reported for 20021. The Nevada timeshare industry directly supported 15,910 full- and part-time jobs (almost 35 percent more than the 11,820 in 2002), $640 million in salaries, wages, and related income (a 48 percent increase from 2002), and $363 million in tax revenue during 2005 (a 44 percent increase over 2002).

Senate Majority Leader William J. Raggio (R-Washoe) introduced ARDA-Nevada Chairman Foster Mullen, head of Sparks-based QM Corp., along with ARDA staff members Stephany Madsen and Keith Stephenson during recognition of the ARDA Legislative Day in the State Senate. Following the introductions, Senator Michael Schneider (D-Clark) of Las Vegas said: “Timesharing is a booming part of the Nevada economy, particularly in Southern Nevada, as Las Vegas is one of timeshare owners’ most sought-after destinations.”

Nevada Lieutenant Governor Brian K. Krolicki, who attended the ARDA luncheon, told industry representatives that he expected “Timeshare development in Las Vegas to give Orlando a run for its money in the very near future.”

Timeshare owners’ spending generates dollars for Nevada

Nevada’s 60 timeshare resorts (representing a seven percent increase from 2002) and 7,600 timeshare units (representing a 52 percent increase from 2002 and five percent of the current U.S. total), provide accommodations for a significant number of annual travelers. During 2005, one million timeshare owners, their guests, and renters visited Nevada:

• with a typical traveling party of 3.6 people,

• spending an average 7.4 nights in the resort area,

• and spending an average of $2,307 per trip, 30 percent higher than the U.S. average,

• with 92 percent of their trip expenditures at businesses outside the resorts, such as casinos, shows, restaurants and other area attractions.

New and existing owners:

• Spent approximately $850 million on purchases of new Nevada timeshares (nearly 10 percent of the $8.6 billion of U.S. sales),

• and contributed $200 million toward maintenance fees for existing units during 2005 with a combined total of $1.7 billion in purchases.

"The economic impact of the timeshare industry does not end with the initial purchase," said Howard C. Nusbaum, president and chief executive officer of ARDA. "Timeshare purchases, combined with other expenditures and owner and guest spending during vacation, generate tremendous income as well as a ripple effect through other parts of Nevada’s economy."

Direct resort impacts on the Nevada economy were substantial and grew significantly over the three-year period in part due to the 45 percent jump in the number of employees at resorts, corporate offices, call centers, and off-site sales offices, to 8,560 in 2005 earning $370 million from 5,890 in 2002 earning $230 million. Direct resort construction impacts, which occurred as the industry expanded existing resorts and built new ones to keep pace with sales, supported approximately 1,930 jobs (compared to 1,530 in 2002) and $100 million in salaries, wages and related income (compared to $80 million in 2002).

The positive ripple effect the Nevada timeshare industry had via indirect impacts on the state economy in 2005 resulted in an estimated $1.1 billion of purchases, 10,240 jobs, and $400 million in salaries, wages and related incomes as timeshare employees spent their disposable income and as timeshare companies purchased good and services from other businesses. These indirect impacts compare favorably to 2002, when the industry generated $810 million in purchases, 7,880 jobs, and $290 million in income.


Study Methodology

The study results are based on the survey responses of 56 timeshare entities in the U.S., covering 391 timeshare resorts, approximately 50,700 timeshare units and approximately $5.2 billion of timeshare sales nationally. The sample size represents 24 percent of existing timeshare units in the U.S. The response base in Nevada included resorts representing over 3,300 units and survey responses from almost 300 households. In addition to Nevada, PwC conducted a national study of the economic impact of the timeshare industry for AIF and state-specific studies in Florida, California, Arizona, Hawaii, South Carolina, and Tennessee.