24 September 2008
IHG and The Family of Orange Lake Resorts Announce Strategic Alliance to Create a New Timeshare Brand, Holiday Inn Club Vacations
LONDON (September 24, 2008) - IHG (InterContinental Hotels Group) [LON: IHG, NYSE: IHG (ADRs)], the world's largest hotel group by number of rooms, announces today the formation of a strategic alliance with The Family of Orange Lake Resorts (Florida, USA) to create a new timeshare brand, Holiday Inn Club Vacations.
Holiday Inn Club Vacations will launch in December 2008 with Orange Lake's flagship 2,412 villa property in Orlando, Florida - the largest single site timeshare resort in the world. This marks IHG's first move into the timeshare market, one of the fastest growing segments of the U.S. holiday and vacation industry. [Source: American Resort Development Association (ARDA)]
The conversion of the remaining Orange Lake resorts in Ascutney, Vermont (60 villas), Lake Geneva, Wisconsin (68 villas) and Panama City, Florida (18 villas) are scheduled to follow shortly after.
This alliance allows IHG to enter the timeshare industry, through an exclusive licensing and marketing agreement. Orange Lake, which is owned by the Wilson family, the founders of Holiday Inn, will continue to own, operate and develop these timeshare resorts.
"This deal reinforces the strength of the Holiday Inn brand as we are able to move into the timeshare market with a good partner who knows the business well," said Andy Cosslett, Chief Executive, IHG. "We believe that timeshare is a natural progression for Holiday Inn due to our scale and customer base in North America. This comes at a time when the $1 billion global relaunch of Holiday Inn is progressing well. This agreement fits well with our business model as we are able to introduce the Holiday Inn brand to a new set of customers without the need for capital investment. With both companies focused on growth, the alliance brings with it the opportunity to expand into major North American destinations."
The flagship resort in Orlando, located next to the new north entrance of Walt Disney World® Resort, has 2,412 villas set in over 1,400 acres and includes:
- 4 championship golf courses
- 7 swimming pools including a 12-acre outdoor entertainment complex
- 80 acre lake for water sports
- Five dining options
- Retail and pro shops
"This is a great opportunity for our two companies because we share the same heritage and founder, Kemmons Wilson," said Don Harrill, President and Chief Executive Officer for The Family of Orange Lake Resorts. "It was Kemmons' vision that changed the landscape for family vacations through his creation of the Holiday Inn hotel brand in 1952. With the re-launch of Holiday Inn and the continued growth of our company, we are prepared to reach new heights for our customers-and together write the next exciting chapter in our history. We believe this alliance will set the new standard by re-defining ‘quality time' for families and for the timeshare industry today."
The marketing and licensing agreement also includes:
- The construction of a Holiday Inn Resort hotel on the Orange Lake site in Orlando
- The marketing and rental of timeshare villas through IHG's extensive reservation system and distribution channels, including Priority Club Rewards, the world's largest hotel loyalty programme with over 39 million members
- The formation of the Holiday Inn Club exchange programme which allows members of Holiday Inn Club Vacations to exchange timeshare weeks for hotel nights at IHG's portfolio of over 4,000 hotels.
IHG Corporate Communications
+44 (0) 1895 512 425
IHG Corporate Communications
+44 (0) 1895 512 275
Notes to Editors:
About The Family of Orange Lake Resorts
The Family of Orange Lake Resorts has evolved from a "best-kept secret" as the world's largest single-site timeshare resort to a multi-site network of over 2,400 villas in its portfolio. New resort additions in Wisconsin, Vermont and Florida have added vacation flexibility for a great number of owners who want to experience shorter getaways to nearby destinations. Orange Lake's flagship property, located next to Walt Disney World Resort in Orlando, was established in 1982 by Holiday Inn® Founder, Kemmons Wilson. The company plans to continue the expansion of their flagship resort to 4,500 villas. The Family of Orange Lake Resorts continues to be the "home-away-from-home" to more than 120,000 owners from all 50 U.S. states and more than 120 countries.
About Holiday Inn
With nearly 1,400 hotels worldwide, Holiday Inn Hotels and Resorts is the most widely recognized lodging brand in the world. In fact, Holiday Inn was one of the first international hotel brands to establish a presence in China in 1984. Holiday Inn Hotels and Resorts provides the services that business travelers need, while also offering a comfortable atmosphere where all people can relax and enjoy amenities such as restaurants and room service, swimming pools, fitness centers and comfortable lounges. The casual atmosphere and amenities such as meeting and on-site business facilities, KidSuites rooms, Kids Eat and Stay Free programs, and the ability to earn Priority Club Rewards points that can be redeemed for great merchandise, airline miles or free room nights, demonstrate the long-standing commitment of Holiday Inn Hotels and Resorts to serving travelers and have helped to establish the brand as "America's Favorite Hotel." For more information about Holiday Inn Hotels and Resorts or to book reservations, call 1-800-HOLIDAY or visit http://www.holidayinn.com/.
The $1 billion relaunch of the Holiday Inn brand family (comprising Holiday Inn Hotels and Resorts, Holiday Inn Express and Express by Holiday Inn) will bring improved consistency and service levels, as well as a more contemporary brand image and identity, to almost 3,200 hotels worldwide. The global relaunch was announced in October 2007 and is expected to be completed by the end of 2010. To find out more about the relaunch, click here to read the news release on our corporate website, or visit the site at http://www.ihgplc.com/.
InterContinental Hotels Group (IHG) [LON:IHG, NYSE:IHG (ADRs)] is the world's largest hotel group by number of rooms. IHG owns, manages, leases or franchises, through various subsidiaries, over 4,000 hotels and more than 590,000 guest rooms in nearly 100 countries and territories around the world. The Group owns a portfolio of well recognized and respected hotel brands including InterContinental® Hotels & Resorts, Crowne Plaza® Hotels & Resorts, Holiday Inn® Hotels and Resorts, Holiday Inn Express®, Staybridge Suites®, Candlewood Suites® and Hotel Indigo®, and also manages the world's largest hotel loyalty program, Priority Club® Rewards with over 39 million members worldwide.
IHG has more than 1,700 hotels in its development pipeline, which will create 150,000 jobs worldwide over the next few years.
InterContinental Hotels Group PLC is the Group's holding company and is incorporated in Great Britain and registered in England and Wales.
IHG offers information and online reservations for all its hotel brands at www.ihg.com and information for the Priority Club Rewards program at www.priorityclub.com. For the latest news from IHG, visit our online Press Office at www.ihg.com/media