The timeshare industry in Nevada made a $1.4 billion economic impact in 2002, according to a study issued today by the ARDA International Foundation (AIF), the research and education arm of the American Resort Development Association ( ARDA ). The study was conducted for AIF by PricewaterhouseCoopers (PwC) to analyze the impact of timeshare developers and owners, and their value to Nevada 's economy.

Combined direct and indirect economic impacts as well as fiscal contributions for the industry totaled $1.4 billion of output, 14,800 full- and part-time jobs, $480 million in payroll and related income, and $197 million in tax revenue during 2002.

"This Nevada study details timeshare's significant economic contributions to the state and growing presence within the state's hospitality sector,� said Howard Nusbaum , president and chief executive officer of ARDA . �The areas with timeshare resorts, such as Las Vegas , benefit from the generation of a loyal base of repeat visitors, new jobs, and consumer expenditures, as well as the industry's elevated occupancy rates and overall stability."

The study is the largest and most comprehensive the industry has undertaken, and reveals that Nevada had 56 timeshare resorts with 5,000 individual units at the end of 2002. According to ARDA , there were 1,590 timeshare resorts nationwide with a total of 132,000 units as of January 1, 2003.

"The economic impact of the timeshare industry does not end with the initial purchase," said Scott Berman, a PricewaterhouseCoopers partner. "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 the state's economy."

Timeshare owners' unique vacation habits and commitment to travel generate dollars

In examining direct industry output, the study showed timeshare owners: � took 180,000 Nevada timeshare vacations during 2002 � spent an average of $2,340 per trip � yielding total estimated spending of

$420 million Prospective and existing owners: � spent approximately $420 million on purchases of new Nevada timeshares (representing 8% of the $5.5 billion of U.S. sales) � contributed $110 million toward maintenance fees for existing units during 2002 � with a combined total of $950 million in purchases representing direct industry output.

Survey respondents reported that during their most recent Nevada timeshare vacation, their traveling party consisted of an average of 3.4 people. The timeshare vacation includes the full length of the timeshare stay, plus additional time spent in the resort area before or after the timeshare stay. On average, respondents spent 7.1 nights in the resort area at timeshare resorts, including bonus time and timeshare rentals. In addition, respondents reported staying one night on average in other accommodations, including hotels, recreational vehicle (RV) parks, and the homes of friends and family.

Jobs, payroll, and taxes bolster Nevada economy

Specifically, the industry's total direct impact in 2002 included $950 million of output, 9,600 jobs, and $290 million of income. Direct resort impacts were substantial, as timeshare resorts, corporate offices, call centers, and off-site sales offices employed an estimated 4,600 people who earned $150 million in payroll and related income or labor income. Direct resort construction impacts, which occurred as the industry expanded existing resorts and built new ones to keep pace with sales, supported approximately 700 jobs and $40 million in payroll and related income.

The indirect output of the timeshare industry resulting from the disposable income of industry employees and the purchase of goods and services by companies includes $490 million in purchases, 5,200 jobs and $100 million in income during 2002.

The complete fiscal impact totaled $197 million in tax revenue for the year, with timeshare property and occupancy taxes representing $14 million, timeshare employee taxes accounting for $36 million and taxes on activities in other industries totaling $148 million.

The American Resort Development Association is the Washington D.C.-based professional association representing the vacation ownership and resort development industries. Established in 1969, ARDA today has nearly 1,000 members ranging from privately-held firms to publicly traded companies and international corporations with interests in timeshare resorts, community development, fractional ownership, and resort communities.

The ARDA International Foundation (AIF) is ARDA's research and education arm with the mission to �support, conduct and disseminate research and technical studies that will enhance and improve knowledge for the public and the industry, and develop educational resources that will optimize value, operations, acceptance and service for the industry and the public.�

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Media Contact: Howard Glassroth +1-202-371-6700 hglassroth@arda.org