We are a leading global vacation company that offers vacation ownership, exchange, rental and resort and property management, along with related businesses, products and services.
−Removed: We are the exclusive worldwide developer, marketer, seller and manager of vacation ownership and related products under the Marriott Vacation Club, Grand Residences by Marriott, Sheraton, Westin, and Hyatt Residence Club brands, as well as under Marriott Vacation Club Pulse, an extension of the Marriott Vacation Club brand.
+Added: As the first hospitality-branded vacation ownership company, Marriott Vacations Worldwide helped establish the industry and was the first major pure-play independent, public company in the field.
+Added: Today we are more than a vacation ownership company;
+Added: we are about vacation experiences.
+Added: We are a global leader in vacation ownership with some of the most iconic brands in the industry.
+Added: We are the exclusive worldwide developer, marketer, seller and manager of vacation ownership and related products under the Marriott Vacation Club, Grand Residences by Marriott, Sheraton Vacation Club, Westin Vacation Club, and Hyatt Residence Club brands, as well as under Marriott Vacation Club Pulse, an extension of the Marriott Vacation Club brand.
We are also the exclusive worldwide developer, marketer and seller of vacation ownership and related products under The Ritz-Carlton Destination Club brand, and have the non-exclusive right to develop, market and sell whole ownership residential products under The Ritz-Carlton Residences brand.
1 unchanged sentence
Regis brand for specified fractional ownership products.
+Added: In addition, as part of our acquisition of Welk Resorts, we intend to rebrand all Welk resorts as Hyatt-branded resorts once all necessary approvals are obtained.
+Added: In the exchange arena, Interval International is our high-quality membership brand that serves as the gateway to unparalleled vacation experiences around the world, including access to its affiliated resorts.
Our business operates in two reportable segments:
Vacation Ownership and Exchange & Third-Party Management.
−Removed: We were incorporated in Delaware in June 2011 and have been an independent public company since our November 2011 spin-off from Marriott International (the “Marriott Spin-Off”).
+Added: We have been an independent public company since our November 2011 spin-off from Marriott International (the “Marriott Spin-Off”).
($ in millions) Segment Revenue % of Segment Revenue
2 unchanged sentences
Total Segment Revenue $ 3,859 100%
−Removed: Impact of COVID-19 Pandemic
−Removed: Our results of operations from 2020 include impacts related to the COVID-19 pandemic, which have been significantly adverse for our business and our industry.
−Removed: We continue to closely monitor and actively manage the ongoing effects of the COVID-19 pandemic on our business and operations, and to adapt our operations.
−Removed: Vacation Ownership
−Removed: We experienced an adverse impact on occupancy in our Vacation Ownership business beginning in mid-March 2020, which quickly accelerated later that month and continued throughout the remainder of 2020.
−Removed: In response to quickly evolving travel restrictions and restrictions on business operations, we closed all of our sales centers in March 2020, and beginning on March 25, 2020, we closed our resorts for rental guests with stays at our branded North America vacation ownership resorts.
−Removed: Due to low occupancy rates and based on various governmental mandates and advisories, we completely closed several of our resorts and reduced operations and amenities at our resorts that remained open.
−Removed: The closure of our sales centers and low occupancy levels led to a material decrease in contract sales and rental revenues from our vacation ownership business beginning in the second quarter.
−Removed: In late-May, as many government restrictions were beginning to be relaxed, owner occupancy at our resorts began to grow and we began reopening resorts to rental guests;
−Removed: over 95 percent of our vacation ownership resorts had reopened to owners and rental guests by December 31, 2020.
−Removed: We reopened certain sales centers in June and opened additional sales centers in July and throughout the rest of the year.
−Removed: As of December 31, 2020, over 80 percent of our sales centers had re-opened.
−Removed: Extended or further closures of our sales centers may be required if demand declines again or if we are again impacted by government regulations requiring resort closures or restricting travel.
−Removed: Exchange & Third-Party Management
−Removed: In our Exchange & Third-Party Management business, the closures of certain affiliated resorts and managed properties had a significant adverse impact on our business beginning at the end of the first quarter of 2020.
−Removed: A large number of resorts closed or ceased taking reservations, leading to a decrease in management and exchange revenues.
−Removed: As of December 31, 2020, over 90 percent of those affiliated resorts and managed properties had reopened or resumed taking reservations.
−Removed: Our Aqua-Aston business was materially adversely affected by travel restrictions, as most of its managed properties are located in Hawaii.
−Removed: Further resort and property closures may be required if demand declines again or if we are again impacted by government regulations requiring resort closures or restricting travel.
−Removed: Starting at the end of the first quarter of 2020, the COVID-19 pandemic depressed, and continues to depress, the demand for vacation rentals due to “stay-at-home” recommendations or requirements, quarantines, and the reluctance of consumers to travel.
−Removed: In late-March 2020, we drew down the remaining capacity of our $600 million Revolving Corporate Credit Facility (as defined in Footnote 17 “Debt” to our Financial Statements).
−Removed: We issued $500 million of senior secured debt in May 2020, which we used to repay amounts outstanding on our Revolving Corporate Credit Facility.
−Removed: As of December 31, 2020, we had $524 million in cash and cash equivalents on hand, and $597 million of availability under our Revolving Corporate Credit Facility.
−Removed: Subsequent to the end of 2020, we issued $575 million of convertible senior notes in order to help finance our recently announced acquisition of Welk Resorts.
−Removed: Other Measures
−Removed: In addition to accessing the capital markets, we also bolstered our liquidity through cost reduction.
−Removed: These efforts included reducing capital expenditures;
−Removed: suspending hiring and salary increases;
−Removed: reducing executive and other associate salaries;
−Removed: implementing furloughs and reduced work weeks for most of our associates;
−Removed: and modifying vendor and supplier payment terms where possible.
−Removed: Certain of these cost reduction efforts are still in place and we continue to implement these and other cost saving measures as the situation evolves.
−Removed: As a result of the COVID-19 pandemic, in September 2020 a workforce reduction plan was approved.
−Removed: Approximately 3,000 associates were impacted beginning in November 2020.
−Removed: During 2020 we incurred $25 million in restructuring and related charges, primarily related to employee severance and benefit costs, excluding a portion that is included in cost reimbursements, and expect to incur an additional $5 million to $10 million in 2021.
−Removed: Additionally, we implemented temporary adjustments to our cancellation policies for near-term travel for customers who were unable or unwilling to travel due to the COVID-19 pandemic during the first quarter of 2020 and continued these adjustments throughout the remainder of 2020.
−Removed: Health and Safety Measures
−Removed: In response to the pandemic, we implemented a comprehensive, enhanced cleaning protocol entitled “Next Level of Clean” beginning in 2020 across our seven vacation ownership brands throughout the U.S., Caribbean, Europe, and Asia.
−Removed: The protocol utilizes enhanced cleaning materials and technologies, including electrostatic sprayers, micro-misting sanitation machines, and hospitality grade supplies.
−Removed: Our enhanced cleaning protocols reflect elevated cleanliness standards, cleaning frequency, and hospitality norms across our vacation ownership brands.
−Removed: Our new enhanced cleaning program was a result of collaboration with leaders in cleaning, hygiene, air purification and infection prevention services.
−Removed: These protocols also extend to our sales galleries for our vacation ownership brands, where, in addition to implementation of the new cleanliness standards and protocols, new practices have been implemented to provide presentations in a manner to allow for social distancing.
−Removed: Additionally, we established safe work environment protocols for all associates across all brands and businesses.
−Removed: For associates, the guidelines establish protocols that implement a work environment that takes into account the health and well-being of our associates and regulations, laws, and recommendations from government authorities and health officials.
−Removed: Associates across all brands and businesses go through daily temperature screens and are given personal protective equipment, including facemasks, which are required to be worn in common areas and when social distancing is not possible.
−Removed: Acquisition of ILG
−Removed: On September 1, 2018, we completed the acquisition of ILG.
−Removed: The businesses acquired that are currently operated by the Company as part of its Vacation Ownership business include Hyatt Vacation Ownership (“HVO”) and Vistana Signature Experiences (“Vistana”), which includes vacation ownership products branded as Sheraton or Westin.
−Removed: The businesses acquired that are currently operated by the Company as part of its Exchange & Third-Party Management business include Aqua-Aston Hospitality, Interval International, Trading Places International, and Vacation Resorts International.
+Added: COVID-19 Pandemic Update
+Added: The COVID-19 pandemic has caused significant disruptions in international and U.S.
+Added: economies and markets.
+Added: Our results of operations from 2021 and 2020 reflect significantly adverse impacts related to the COVID-19 pandemic.
+Added: At this time, our businesses continue to recover, and nearly all of our sales centers, resorts, and other properties have reopened.
+Added: While financial results for certain areas of our business remain below pre-pandemic levels, we continued to experience significant sequential improvement during each quarter of 2021, with certain fourth quarter 2021 results exceeding pre-pandemic levels.
+Added: We expect improvement to continue across our businesses during 2022 as urban markets continue to recover, international travel restrictions subside, and we continue to strengthen our digital infrastructure, grow online tour packages, and enhance customer experiences.
+Added: Because demand for our products and services has increased and we expect it to continue to increase, in mid-year 2021, we ceased our workforce reduction plans and instead implemented workforce recalls, attraction and retention plans.
+Added: We discuss the COVID-19 pandemic and its current and potential future implications in this report;
+Added: however, the COVID-19 pandemic, and any recovery therefrom, continues to evolve and its further potential impacts on our business in the future remain uncertain.
+Added: We continue to closely monitor and seek to manage the ongoing effects of the COVID-19 pandemic on our business and operations, and to adapt our operations.
The Vacation Ownership Industry
4 unchanged sentences
For many purchasers, vacation ownership provides an attractive alternative to traditional lodging accommodations (such as hotels, resorts and condominium rentals).
−Removed: In addition to avoiding the volatility in room rates to which traditional lodging customers are subject, vacation ownership purchasers also enjoy accommodations that are, on average, more than twice the size of traditional hotel rooms and typically have more features, such as kitchens and separate living areas.
−Removed: Purchasers who might otherwise buy a second home find vacation ownership a preferable alternative because it is more affordable and reduces maintenance and upkeep concerns.
+Added: In addition to avoiding the volatility in room rates to which traditional lodging customers are subject, vacation ownership purchasers enjoy accommodations that are, on average, more than twice the size of traditional hotel rooms and typically have more features, such as kitchens and separate living areas.
+Added: Purchasers who might otherwise buy a second home find vacation ownership a preferable alternative because it is more affordable and reduces maintenance and upkeep concerns, and because they are interested in buying a lifetime of vacations.
Typically, developers sell vacation ownership interests for a fixed purchase price that is paid in full at closing or financed with a loan.
Many vacation ownership companies provide financing or facilitate access to third-party bank financing for customers.
−Removed: Vacation ownership resorts are often operated by a nonprofit property owners’ association of which owners of vacation ownership interests are members.
−Removed: Most property owners’ associations are governed by a board of directors that includes owners and which may include representatives of the developer.
+Added: Vacation ownership resorts are often operated by a nonprofit owners’ association of which owners of vacation ownership interests are members.
+Added: Most owners’ associations are governed by a board of directors that includes owners and which may include representatives of the developer.
Some vacation ownership resorts are held through a trust structure in which a trustee holds title and manages the property.
−Removed: The board of the property owners’ association, or trustee, as applicable, typically delegates much of the responsibility for managing the resort to a management company, which is often affiliated with the developer.
+Added: The board of the owners’ association, or trustee, as applicable, typically delegates much of the responsibility for managing the resort to a management company, which is often affiliated with the developer.
After the initial purchase, most vacation ownership programs require the owner of the vacation ownership interest to pay an annual maintenance fee.
6 unchanged sentences
To enhance the flexibility and appeal of their products, many vacation ownership developers affiliate their projects with vacation ownership exchange service providers so that owners may exchange their rights to use the developer’s resorts in which they have purchased an interest for accommodation at other resorts in the exchange service provider’s broader network of properties.
−Removed: The two leading exchange service providers are Interval International, our subsidiary, and RCI, LLC, a subsidiary of Travel + Leisure Co.
−Removed: (formerly known as Wyndham Destinations, Inc.) (“RCI”).
−Removed: Interval International’s network includes nearly 3,200 resorts, and RCI’s network includes over 6,000 affiliated resorts, as identified on RCI’s website.
+Added: The two leading exchange service providers are our subsidiary Interval International, and RCI, LLC, a subsidiary of Travel + Leisure Co.
+Added: Interval International’s network includes nearly 3,200 affiliated resorts, and RCI’s network includes over 7,000 affiliated resorts, as identified on RCI’s website.
According to the American Resort Development Association (“ARDA”), a trade association representing the vacation ownership and resort development industries, as of December 31, 2020, the U.S.
5 unchanged sentences
License Agreements and Intellectual Property
−Removed: In connection with the Marriott Spin-Off, we entered into a License, Services, and Development Agreement (the “Marriott License Agreement”) with Marriott International and a License, Services, and Development Agreement (the “Ritz-Carlton License Agreement”) with The Ritz-Carlton Hotel Company, a subsidiary of Marriott International.
−Removed: Under these long-term license agreements that expire in 2090, we are granted the exclusive right, for the terms of the license agreements, to use certain Marriott and Ritz-Carlton marks and intellectual property in our vacation ownership business, the exclusive right to use the Grand Residences by Marriott marks and intellectual property in our residential real estate business, and the non-exclusive right to use certain Ritz-Carlton marks and intellectual property in our residential real estate business.
−Removed: In connection with our acquisition of ILG, we became the exclusive licensee for the Sheraton and Westin brands in vacation ownership.
+Added: Our long-term license agreements include a License, Services, and Development Agreement (the “Marriott License Agreement”) with Marriott International and a License, Services, and Development Agreement (the “Ritz-Carlton License Agreement”) with The Ritz-Carlton Hotel Company, a subsidiary of Marriott International.
+Added: Under these long-term license agreements, we are granted the exclusive right, for the terms of the license agreements, to use certain Marriott and Ritz-Carlton marks and intellectual property in our vacation ownership business, the exclusive right to use the Grand Residences by Marriott marks and intellectual property in our residential real estate business, and the non-exclusive right to use certain Ritz-Carlton marks and intellectual property in our residential real estate business.
+Added: We are also the exclusive licensee for the Sheraton and Westin brands in vacation ownership.
Our license agreements for these brands grant us the exclusive right, for the terms of the license agreements, to use certain Sheraton and Westin marks and intellectual property in our vacation ownership business, and the right to use the St.
1 unchanged sentence
In addition, we assumed a license agreement with Hyatt that grants us the exclusive global use of the Hyatt brand in connection with the Hyatt Vacation Ownership business.
−Removed: Our license agreement with Hyatt was amended and restated effective January 2020.
+Added: As part of the Welk Acquisition, we acquired a short-term license to use the Welk brand in connection with the continued operations of the Welk business.
+Added: We intend to rebrand all Welk resorts as Hyatt-branded resorts once all necessary approvals are obtained.
We operate in a highly competitive industry and our brand names, trademarks, service marks, trade names and logos are very important to the marketing and sales of our products and services.
6 unchanged sentences
Our strategic goal is to further strengthen our leadership position in the vacation ownership industry.
−Removed: To achieve this goal, we are pursuing the following initiatives:
+Added: To achieve this goal, we are pursuing the following initiatives, as we continue to focus in the years ahead on further enhancing the vacation experience to help our members and owners live their lives to the fullest:
Drive profitable revenue growth
−Removed: We intend to continue to generate growth in vacation ownership sales by leveraging our globally recognized brand names and targeting high-quality inventory that allows us to add desirable new destinations to our systems with new on-site sales locations.
+Added: We intend to continue to generate growth in vacation ownership sales by leveraging our powerful mix of trusted hospitality brands and membership programs and targeting high-quality inventory that allows us to add desirable new destinations to our systems with new on-site sales locations.
We expect to continue to generate growth through our integrated platform that provides exclusive access to the world-class loyalty programs of Marriott International and Hyatt.
−Removed: We will also continue to focus on our over 650,000 owner families around the world.
+Added: We will also continue to focus on our approximately 700,000 owner families around the world.
We are concentrating on growing our tour flow cost effectively as we seek to grow first-time buyer tours through our strategy that emphasizes new sales locations and new marketing channels, including digital and social media marketing.
4 unchanged sentences
Financing revenues are relatively stable as the majority of these revenues generated in any given year come from prior year note originations.
+Added: Additionally, we plan to drive revenue growth by focusing on younger customers and by accessing a wider array of vacationers through new membership programs in our exchange businesses.
Maximize cash flow and optimize our capital structure, including by selectively pursuing capital efficient vacation ownership deal structures
2 unchanged sentences
In addition, we reacquire previously sold vacation ownership interests at lower costs than would be required to develop new inventory which increases margins on our sales of vacation ownership interests.
+Added: Our business model is characterized by steady, consistent cash flow, which is driven in part by our “asset-light” capital efficient framework.
We expect to maintain an attractive leverage profile.
3 unchanged sentences
A key area of focus for us is the expansion of digital tools to drive more efficient digital marketing and enhance user experience for our owners and members of our exchange and other membership programs.
−Removed: We intend to build efficiencies in our cost of delivery of marketing and to enhance the experience of our owners by seeking new data driven approaches and enhancing digital tools.
+Added: We believe there is much more innovation and growth to come, and we intend to build efficiencies in our cost of delivery of marketing and to facilitate access to our portfolio of brands with new digital tools.
Focus on the satisfaction of our owners, members, and guests as well as the engagement of our associates
2 unchanged sentences
Because our owners, members, and guests are our most cost-effective vacation ownership sales channels, we intend to continue to leverage our strong customer satisfaction to drive higher margin sales volumes.
−Removed: We intend to provide innovative offerings in new destinations to meet the needs of current and future customers and intend to develop new offerings to attract the next generation of travelers looking for a greater variety of experiences with the high quality standards expected from brands they trust.
−Removed: Engaging our associates in the success of our business continues to be one of our long-term core strategies.
−Removed: We understand the connection between the engagement of our associates and the satisfaction and engagement of our owners, members, and guests.
−Removed: At the heart of our culture is the belief that if we take care of our associates, they will take care of our owners, members, and guests and the owners, members, and guests will return again and again.
−Removed: Transform our business in connection with the integration of the ILG Acquisition
−Removed: As we continue to further integrate the ILG businesses, we are simultaneously working to develop new growth channels and streamline our business processes through technology.
+Added: From our earliest days, we have sought to create a culture that emphasizes warm and welcoming customer service and authentic care for our associates.
+Added: At Marriott Vacations Worldwide, these characteristics are two sides of the same coin.
+Added: They give meaning to our vision of helping our customers and associates live their lives to the fullest.
+Added: Our caring culture unites our associates across a wide range of backgrounds, geographies and experiences.
+Added: It is this very diversity that make us “Better Together” and that has allowed us to grow and prosper over the years.
+Added: Transform our business in connection with the integration of the ILG and Welk Acquisitions
+Added: Perhaps no aspect of our business has changed more over the years than the range of diverse vacation experiences we provide.
+Added: The dramatic shift was made possible by the ILG Acquisition in 2018 and enhanced by the Welk Acquisition in 2021.
+Added: Interval International has been our valued exchange partner since 1988 and became part of the Marriott Vacations Worldwide family as a result of the ILG Acquisition.
+Added: As we continue to further integrate the ILG and Welk businesses, we are simultaneously working to develop new growth channels and streamline our business processes through technology.
We are focused on integrating functions, leveraging strengths across our businesses, and pursuing transformational opportunities that can further differentiate us from our competitors.
−Removed: We intend to advance our company analytics to encourage greater points utilization and usage of our exchange and travel products, provide enhanced resort experiences, and create more relevant and high value targeted leads for tour offers and vacation options.
−Removed: This is a multi-year process that is designed to achieve cost savings synergies and increase revenue opportunities.
+Added: We intend to continue advancing our company analytics to encourage greater points utilization and usage of our exchange and travel products, provide enhanced resort experiences, and create more relevant and high value targeted leads for tour offers and vacation options.
+Added: This is a multi-year process that is designed to achieve cost savings and increase revenue opportunities that we expect will continue into 2022.
Selectively pursue compelling new business opportunities
−Removed: We are positioned to explore new business opportunities, such as the continued enhancement of our exchange programs, new management affiliations, and acquisitions of existing vacation ownership and related businesses.
+Added: We are positioned to explore new business opportunities, such as the continued enhancement of our exchange programs, new management affiliations, acquisitions of existing vacation ownership and related businesses, and the creation of new innovative travel-related products that are outside of our core vacation ownership and exchange company offerings.
We intend to selectively pursue these types of opportunities, focusing on those opportunities that drive recurring revenue and profit streams.
−Removed: Prior to entering into any new business opportunity, we will evaluate its strategic fit and assess whether it is complementary to our current business, has strong expected financial returns and complements our existing competencies.
+Added: Prior to entering into any new business opportunity, we will evaluate its strategic fit and assess whether it is complementary to our current business, has strong expected financial returns and complements our existing culture and competencies.
Competitive Strengths
−Removed: A leading global vacation ownership company
+Added: A leading global vacation ownership and exchange company
We are one of the world’s largest vacation ownership companies, based on number of owners, members, number of resorts and revenues.
+Added: Since becoming a standalone public company 10 years ago, our vacation ownership business has nearly doubled in size, from 64 vacation ownership resorts and approximately 420,000 owners to over 120 vacation ownership resorts and approximately 700,000 owner families as of the end of 2021.
+Added: Our exchange networks and membership programs are comprised of nearly 3,200 affiliated resorts and almost 1.4 million members, and we also provide management services to over 150 other resorts and lodging properties, as of the end of 2021.
We believe our scale and global reach, coupled with our renowned brands and development, marketing, sales, exchange and management expertise, help us achieve operational efficiencies and support future growth opportunities.
1 unchanged sentence
We also believe our size helps us obtain better financing terms from lenders, achieve operational cost savings from our increased scale, and attract talented management and associates.
−Removed: Our Interval International network includes members and resorts from our Marriott, Westin, Sheraton and Hyatt clubs that can attract developers and homeowners associations to affiliate with the network and provide an opportunity for their owners to exchange into our branded resorts, as well as other member resorts that are a part of the quality international network.
+Added: In the exchange arena, Interval International is the high-quality membership brand that serves as the gateway to unparalleled vacation experiences.
+Added: Our Interval International network includes members and resorts from our Marriott, Westin, Sheraton and Hyatt clubs, as well as other high quality branded and independent resorts, that can attract developers and owners’ associations to affiliate with the network and provide exchange opportunities for their owners.
The breadth and depth of our operations enables us to offer a variety of products and to continue to adapt those products to the ever changing needs and preferences of our existing and future customers.
−Removed: For example, in addition to traditional resort experiences, our Marriott Vacation Club Pulse brand extension features unique properties that embrace the spirit and culture of their urban locations, creating an authentic sense of place while delivering easy access to local interests, attractions and transportation.
+Added: For example, the tapestry of vacation experiences we offer includes not only traditional resort experiences but also urban experiences at our Marriott Vacation Club Pulse locations, which are unique properties that embrace the spirit and culture of their urban locations.
Premier global brands with access to expansive customer bases
−Removed: We believe that our exclusive licenses with Marriott International and Hyatt for premier global brands in the vacation ownership business provide us with a meaningful competitive advantage.
−Removed: Through seven brands that we license from Marriott International for use in vacation ownership, we benefit from exclusive long-term access to the 147 million members in the Marriott Bonvoy loyalty program as of December 31, 2020.
−Removed: Through our relationship with Hyatt, we benefit from access to members of the World of Hyatt loyalty program, which includes over 25 million members as of December 31, 2020.
+Added: Each of our owned or licensed brands - from Marriott Vacation Club to Hyatt Residence Club, from Interval International to Aqua-Aston, from Sheraton Vacation Club to Westin Vacation Club - is a highly respected and widely trusted leader in the travel and hospitality industry.
+Added: We are creating distinct lanes for our brands to grow within.
+Added: This careful segmentation is designed to allow each of our brands to reach its full potential, while also giving us diverse paths to growth.
+Added: Each brand has a unique history and heritage that has enriched our company immeasurably and that we are building upon to better serve our owners, members, guests, and associates.
+Added: Through the brands we license from Marriott International for use in vacation ownership, we benefit from exclusive long-term access to members in the Marriott Bonvoy loyalty program, which includes over 160 million members as of December 31, 2021.
+Added: Similarly, through our relationship with Hyatt Corporation, we benefit from access to members of Hyatt’s award-winning guest loyalty program, the World of Hyatt, which includes approximately 30 million members as of December 31, 2021.
We believe our access to guests with an affinity for our brands aids our marketing efforts and significantly enhances our ability to drive future sales, as we predominantly generate vacation ownership interest sales through brand loyalty-affiliated sales channels.
−Removed: We expect to continue to leverage our exclusive call transfer arrangements, on-site marketing at Marriott branded hotels, and use of certain exclusive marketing rights to increase sales across all of our Marriott-affiliated vacation ownership properties.
+Added: We expect to continue to leverage our exclusive call transfer arrangements, on-site marketing at Marriott and Hyatt branded hotels, and use of certain exclusive marketing rights to increase sales across all of our Marriott-affiliated and Hyatt-affiliated vacation ownership properties, respectively.
Loyal, highly satisfied customers
We have a large, highly satisfied customer base.
−Removed: Owner and member satisfaction is evidenced both by positive historical survey responses and higher than industry average historical resort occupancy for our Vacation Ownership segment.
+Added: Owner and member satisfaction is evidenced both by positive historical survey responses, high levels of engagement that we see in the many customer and associate care stories shared on social media sites, and higher than industry average historical resort occupancy for our Vacation Ownership segment.
We believe that strong customer satisfaction and brand loyalty result in more frequent use of our products, increase in member retention, and encourage owners to purchase additional products and to recommend our products to friends and family, which in turn generates higher revenues.
Capital efficient business model providing strong free cash flow and financial flexibility
−Removed: We believe that our scale, recurring revenue fee streams and enhanced margin profile will enable us to maintain flexibility for continued organic growth, strategic acquisitions and debt repayment.
−Removed: The proportion of our total revenue excluding cost reimbursements derived from sources other than the sale of vacation ownership interests has increased and
−Removed: continues to increase.
+Added: We believe that our scale, recurring revenue fee streams and enhanced margin profile will enable us to maintain flexibility for continued organic growth, strategic acquisitions, debt repayment, and return of capital to shareholders.
+Added: Our total revenue excluding cost reimbursements derived from sources other than the sale of vacation ownership interests has increased and continues to increase.
Our Exchange & Third-Party Management businesses also create ample opportunities to realize recurring higher-margin, fee-based revenue streams with modest required capital expenditures, enhancing our margins and free cash flow generation over time.
+Added: We were also among the first of the major hospitality brands to move from a fixed-week, fixed-unit operating model to a points-based system.
+Added: This critical transition responded directly to consumer demand for greater flexibility and allowed us to tap into the broader membership opportunity afforded by the industry’s exchange businesses.
Our points-based vacation ownership products allow us to utilize capital efficient structures and maintain long-term sales locations without the need to construct additional units at each location.
3 unchanged sentences
We have been a pioneer in the vacation ownership industry since 1984, when Marriott International became the first company to introduce a lodging-branded vacation ownership product.
+Added: The story of Marriott Vacations Worldwide is one of growth driven by innovation and exceptional vitality.
+Added: Since our early days, we have sought to create a culture that emphasizes authentic care for associates.
Our seasoned management team is led by Stephen P.
1 unchanged sentence
Weisz has served as our Chief Executive Officer since 2011, and as our President from 1996 through December 2020.
−Removed: Weisz has over 48 years of combined experience at Marriott International and Marriott Vacations Worldwide.
+Added: Weisz has almost 50 years of combined experience at Marriott International and Marriott Vacations Worldwide.
Shaw, the Chairman of our Board of Directors, is the former Vice Chairman, President and Chief Operating Officer of Marriott International and spent nearly 37 years with Marriott International.
−Removed: Our ten executive officers have an average of nearly 28 years of total combined experience at Marriott Vacations Worldwide, our subsidiary companies, and Marriott International.
+Added: Our eleven executive officers have an average of nearly 29 years of total combined experience at Marriott Vacations Worldwide, our subsidiary companies, and Marriott International.
We believe our management team’s extensive public company and vacation ownership industry experience has enabled us to achieve solid operating results and will enable us to continue to respond quickly and effectively to changing market conditions and consumer trends.
−Removed: Our management’s experience in the highly regulated vacation ownership industry also provides us with a competitive advantage in expanding existing product forms and developing new ones.
+Added: Our management’s experience in the highly regulated vacation ownership industry also provides us with a competitive advantage in expanding existing product forms and developing new ones that include more non-perpetual products.
Engaged associates delivering high levels of customer service driving repeat customers
5 unchanged sentences
We have historically ranked highly compared to other companies participating in such surveys.
+Added: Our caring culture contributes to the long tenure of associates at both leadership and operational levels.
+Added: We use the results of our annual engagement surveys to improve the experience of our associates and to help chart their career progression.
+Added: To this end, we provide a learning-rich environment with many training and career advancement opportunities.
VACATION OWNERSHIP SEGMENT
−Removed: Our Vacation Ownership segment develops, markets, sells, rents, and manages vacation ownership and related products under our licensed brands.
+Added: Our Vacation Ownership segment develops, markets, sells, finances, rents, and manages vacation ownership and related products under our licensed brands.
Our vacation ownership resorts typically combine many of the comforts of home, such as spacious accommodations with one, two and three bedroom options, living and dining areas, in-unit kitchens and laundry facilities, with resort amenities such as large feature swimming pools, restaurants and bars, convenience stores, fitness facilities and spas, as well as sports and recreation facilities appropriate for each resort’s unique location.
−Removed: As of December 31, 2020, our Vacation Ownership segment had more than 100 resorts and over 650,000 owner families.
−Removed: The Vacation Ownership segment represented 88 percent of our consolidated revenue for 2020.
+Added: As of December 31, 2021, our Vacation Ownership segment had over 120 resorts and approximately 700,000 owner families.
+Added: The Vacation Ownership segment represented 91% of our consolidated revenue for 2021.
($ in millions) 2021
6 unchanged sentences
TOTAL REVENUES $ 3,539
−Removed: We design, build, manage and maintain our properties at upper upscale and luxury levels primarily under the following brands:
−Removed: Marriott Vacation Club is a collection of upper upscale vacation ownership programs with a diverse portfolio of resorts and timeshare villas and other accommodations throughout the U.S., Caribbean, Europe, Asia, and Australia.
−Removed: Marriott Vacation Club provides owners and their families with the flexibility to enjoy a wide variety of vacation experiences that are characterized by the consistent high quality and warm hospitality for which the Marriott name has become known.
+Added: Built upon a single hospitality brand at the time of our founding, Marriott Vacations Worldwide has grown into a multi-branded organization with a broad, diverse portfolio of immersive vacation and leisure destinations.
+Added: Our portfolio includes a rich tapestry of some of the world’s most iconic, widely recognized and respected hospitality and travel brands.
+Added: We design, build, manage and maintain properties at upper upscale and luxury levels primarily under the following brands:
+Added: Marriott Vacation Club is a collection of upper upscale vacation ownership resorts featuring timeshare villas and other accommodations throughout the U.S., Caribbean, Europe, Asia, and Australia.
+Added: It’s about vacations with a sense of place and belonging, providing owners and their families with the flexibility to enjoy a wide variety of vacation experiences that are characterized by the consistent high quality and warm hospitality for which the Marriott name is known.
Marriott Vacation Club Pulse, a brand extension of Marriott Vacation Club, offers properties in the heart of vibrant cities, including San Francisco and New York City, among others.
Because of their urban locations, Marriott Vacation Club Pulse properties typically offer limited on-site amenities and may include smaller guest rooms without separate living areas and kitchens.
−Removed: Sheraton Vacation Club provides enriching and unexpected vacation experiences in fun family destinations like Florida, South Carolina and Colorado.
−Removed: This collection of Sheraton-branded upper upscale vacation ownership resorts allows owners and guests to relax, play and experience what the world has to offer.
−Removed: Sheraton Vacation Club resorts are part of the Vistana Signature Network.
−Removed: Westin Vacation Club is a collection of Westin-branded upper upscale vacation ownership resorts located in some of the most sought-after destinations and designed with well-being in mind.
−Removed: From the world-renowned Heavenly Bed to an energizing WestinWORKOUT and revitalizing Heavenly Spa treatments, every element of a vacation stay is created to leave owners and guests feeling better than when they arrived.
−Removed: Westin Vacation Club resorts are part of the Vistana Signature Network.
+Added: Sheraton Vacation Club provides enriching and unexpected vacation experiences in fun family destinations like Florida, South Carolina and Colorado, with activities that emphasize building and strengthening relationships.
+Added: This collection of vacation ownership resorts builds on an iconic legacy of trusted hospitality, and brings to life a warm, energetic haven for families to gather and nurture their most precious relationships by allowing owners and guests to relax, play and experience what the world has to offer.
+Added: Sheraton Vacation Club upper upscale vacation ownership resorts are part of the Vistana Signature Network.
+Added: Westin Vacation Club is a collection of vacation ownership resorts located in some of the most sought-after destinations and designed with living well in mind.
+Added: From the world-renowned Heavenly Bed to an energizing WestinWORKOUT and revitalizing experiences, every element of a vacation stay is created to leave owners and guests feeling better than when they arrived.
+Added: Westin Vacation Club upper upscale vacation ownership resorts are part of the Vistana Signature Network.
Grand Residences by Marriott provides vacation ownership through fractional real estate and whole ownership offerings.
1 unchanged sentence
The accommodations for this brand are similar to those we offer under the Marriott Vacation Club brand, but the duration of the vacation ownership interest is longer, ranging between three and thirteen weeks.
−Removed: The Ritz-Carlton Destination Club is a vacation ownership program that provides luxurious vacation experiences for members and their families commensurate with the legacy of The Ritz-Carlton brand.
+Added: The Ritz-Carlton Destination Club is a collection of vacation ownership resorts that provide luxurious vacation experiences for members and their families commensurate with the legacy of The Ritz-Carlton brand.
The Ritz-Carlton Destination Club resorts include luxury villas and resort amenities that offer inspirational vacation lifestyles tailored to every member’s needs and expectations.
6 unchanged sentences
On-site management and services are provided by The Ritz-Carlton Hotel Company.
−Removed: Regis Residence Club and The Luxury Collection offer luxury real estate and distinctive privileges to members who embrace the art of living in unforgettable destinations.
+Added: Regis Residence Club and The Luxury Collection offer fractional interests in luxury real estate and distinctive privileges to members who embrace the art of living in unforgettable destinations.
For connoisseurs who desire the finest in luxury living, magnificent residences exude the timeless grandeur and glamour synonymous with the illustrious past of the St.
Regis brand .
−Removed: Hyatt Residence Club is a vacation ownership program that provides flexible access to global travel experiences through a diverse portfolio of boutique upper upscale residential-style retreats.
+Added: Hyatt Residence Club is a collection of vacation ownership resorts with a diverse portfolio of boutique upper upscale residential-style retreats.
Set in unique destinations from Maui, Carmel and Aspen to Sedona, San Antonio and Key West, Hyatt Residence Club resorts deliver genuine Hyatt care.
+Added: In addition, as part of the Welk Acquisition, we intend to rebrand all Welk resorts as Hyatt-branded resorts once all necessary approvals have been obtained.
Points-Based Vacation Ownership Products
We sell the majority of our products through points-based ownership programs, including Marriott Vacation Club Destinations, Sheraton Flex, Westin Flex, Westin Aventuras, and the Hyatt Residence Club Portfolio Program.
+Added: Our points-based systems and exchange networks enable owners and members to access virtually any kind of vacation experience they want.
While the structural characteristics of each of our points-based programs differ, in each program, owners receive an annual allotment of points representing owners’ usage rights, and owners can use these points to access vacation ownership units across multiple destinations within their program’s portfolio of resort locations.
Each program permits shorter or longer stays than a traditional weeks-based vacation ownership product and provides for flexibility with respect to check-in days and size of accommodations.
−Removed: In addition to traditional resort stays, the programs enable our owners to exchange their points for a wide variety of innovative
−Removed: vacation experiences, which may include cruises, airline travel, guided tours, safaris and other unique vacation alternatives.
−Removed: Members of our points-based programs typically pay annual fees in exchange for the ability to participate in the program.
+Added: In addition to traditional resort stays, the programs enable our owners to exchange their points for a wide variety of innovative vacation experiences, which may include cruises, airline travel, guided tours, safaris and other unique vacation alternatives.
+Added: Owners who are members of our points-based programs typically pay annual fees in exchange for the ability to participate in the program.
In addition to points-based ownership programs that allow owners to access multiple destinations within a single program, we offer points programs at certain resorts, such as in St.
1 unchanged sentence
Our points programs allow owners to bank and borrow their annual point allotments, access other locations through the applicable internal exchange programs that we operate, and access Interval International’s network of nearly 3,200 affiliated resorts.
−Removed: Owners can also trade their vacation ownership usage rights for Marriott Bonvoy points or World of Hyatt points, as applicable, which can be used to access participating hotels or redeemed for airline miles or other merchandise offered through such customer loyalty program.
+Added: Owners can trade their vacation ownership usage rights for Marriott Bonvoy points or World of Hyatt points, as applicable, which can be used to access participating hotels or redeemed for airline miles or other merchandise offered through such customer loyalty program.
+Added: Through our points systems and exchange networks, owners can also use points toward vacation experiences such as a bicycle tour, a culinary journey, an adventure cruise or a once-in-a-lifetime trip to a major sporting event.
Our points-based products offer usage in perpetuity or for a term of years and may consist of real estate interests or a contractual right-to-use.
4 unchanged sentences
Our weeks-based vacation ownership products in the United States and select Caribbean locations are typically sold as fee simple deeded real estate interests at a specific resort representing an ownership interest in perpetuity, except where restricted by leasehold or other structural limitations.
−Removed: We sell vacation ownership interests as a right-to-use product subject to a finite term in Asia Pacific and Europe.
+Added: We sell vacation ownership interests as a contractual right-to-use product subject to a finite term in Asia Pacific and Europe.
Global Exchange Opportunities
−Removed: All of our vacation ownership products are affiliated with the Interval International network.
+Added: Most of our vacation ownership products, including our Marriott-, Sheraton-, Westin-, and Hyatt-branded products, are affiliated with the Interval International network, the high-quality membership brand that serves as the gateway to unparalleled vacation experiences.
We offer our existing Marriott Vacation Club owners who hold weeks-based products the opportunity to participate, on a voluntary basis, in Marriott Vacation Club Destinations (“MVCD”), an exchange program through which many of MVCD’s vacation experiences are offered.
1 unchanged sentence
Owners who elect to participate in the exchange program receive the ability to trade their weeks-based interval usage for vacation club points usage each year, typically subject to payment of an initial enrollment fee and annual club dues.
−Removed: As of the end of 2020, approximately 182,000 weeks-based owners have enrolled approximately 287,000 weeks in MVCD’s exchange program since its launch in 2010, with more than 236,000 total owners able to use points.
+Added: As of the end of 2021, approximately 177,000 weeks-based owners have enrolled approximately 279,000 weeks in MVCD’s exchange program, with more than 239,000 total owners able to use points.
The Vistana Signature Network (“VSN”) provides Westin Vacation Club and Sheraton Vacation Club owners access to its affiliated resorts as well as the opportunity to exchange their points through the Marriott Bonvoy program to Marriott resorts, through the Interval International network, or for a cruise.
Based on the point value of the home resort interest owned, customers can choose other VSN affiliated resorts, the type of villa, the date of travel and the length of stay.
−Removed: VSN members have a four-month period in which they have exclusive occupancy rights at the related resort or points program without competition from other network members.
+Added: VSN members have a priority period in which they have exclusive reservation rights for the related resort or points program without competition from other network members.
During this home resort period, they can reserve occupancy based on the season and unit type purchased.
17 unchanged sentences
We generate revenue from rentals of inventory that we hold for sale as interests in our vacation ownership programs or as residences, or inventory that we control because our owners have elected alternative usage options permitted under our vacation ownership programs.
−Removed: By using Marriott.com and other direct booking channels to rent available inventory, we are able to reach potential new members who may already have an affinity for and loyalty to the Marriott, Ritz-Carlton, Sheraton and Westin brands and introduce them to our products.
+Added: By using Marriott.com and other direct booking channels to rent available inventory, we are able to reach potential new members who may already have an affinity for and loyalty to the Marriott, Sheraton, Westin and Ritz-Carlton brands and introduce them to our products.
+Added: Similarly, by using Hyatt.com and other direct booking channels to rent available inventory, we are able to reach potential new members who may already have an affinity for and loyalty to the Hyatt brand and introduce them to our products.
Marketing and Sales Activities
1 unchanged sentence
Our vacation ownership interests are currently marketed for sale throughout the United States and in over 30 countries around the world, targeting customers who vacation regularly with a focus on family, relaxation and recreational activities.
−Removed: In 2020, over 90 percent of our vacation ownership contract sales originated at sales centers that are co-located with one of our resorts.
+Added: In 2021, over 90% of our vacation ownership contract sales originated at sales centers that are co-located with one of our resorts.
We maintain a range of different off-site sales centers, including our central telesales organization based in Orlando and our network of third-party brokers in Latin America and Europe.
2 unchanged sentences
We solicit our existing owners primarily while they are staying in our resorts, but also offer our owners the opportunity to make additional purchases through direct phone sales, owner events and inquiries from our central customer service centers located in Salt Lake City, Utah, Orlando, Florida, and Palm Springs, California.
−Removed: In 2020, approximately 73 percent of our vacation ownership contract sales were to our existing owners.
+Added: In 2021, approximately 70% of our vacation ownership contract sales were to our existing owners.
In addition, we are concentrating on growing our tour flow cost effectively as we seek to generate more first-time buyer tours through our strategy that emphasizes adding new sales locations and new marketing channels.
1 unchanged sentence
We market extensively to guests in Marriott International or Hyatt hotels that are located near one of our sales locations.
−Removed: We also market through call transfer arrangements with Marriott International pursuant to which callers to certain of its reservation centers are asked if they would like to be transferred to one of our representatives that can tell them about our products.
+Added: We also market through call transfer arrangements with Marriott International pursuant to which callers to certain of its reservation centers are asked if they would like to be transferred to one of our representatives who can tell them about our products.
In addition, we operate other local marketing venues in various high-traffic areas.
−Removed: A significant part of our direct marketing activities are focused on prospects in the Marriott and Hyatt customer loyalty program databases and our in-house databases of qualified prospects.
+Added: A significant part of our direct marketing activities is focused on prospects in the Marriott and Hyatt customer loyalty program databases and our in-house databases of qualified prospects.
We offer guests who do not buy a vacation ownership interest during their initial tour the opportunity to purchase a return package for a future stay at our resorts.
1 unchanged sentence
One of our key areas of focus is expanding our use of social media and digital marketing channels.
−Removed: We are focused on building stronger brand reputation associations via social media audience growth, community engagement, and data driven content marketing.
+Added: We are focused on building stronger brand reputation associations via social media audience growth and data driven content marketing.
Our sales tours are designed to provide our guests with an overview of our company and our products, as well as a customized presentation to explain how our products and services can meet their vacationing needs.
−Removed: Our sales force is highly trained in a consultative sales approach designed to ensure that we meet customers’ needs on an individual basis.
+Added: From a single week at a fixed location to today’s abundance of getaway options, our vacation experience has undergone a remarkable metamorphosis.
+Added: The vacation experience we provide today isn’t just about a visit to a resort.
+Added: It can be a bicycle tour, a culinary journey, an adventure cruise, or a once-in-a-lifetime trip to a major sporting event.
+Added: That’s why our sales force is highly trained in a consultative sales approach designed to ensure that we meet customers’ needs on an individual basis.
We hire our sales executives based on stringent selection criteria.
5 unchanged sentences
Inventory and Development Activities
−Removed: We secure inventory by building additional phases at our existing resorts, repurchasing previously sold inventory in the secondary market, repurchasing inventory as a result of owner loan or maintenance fee defaults, or developing or acquiring inventory at resorts in strategic markets.
+Added: We secure inventory by building additional phases at our existing resorts, reacquiring previously sold inventory in the secondary market, reacquiring inventory as a result of owner loan or maintenance fee defaults, or developing or acquiring inventory at resorts in strategic markets.
We proactively buy back previously sold vacation ownership interests under our repurchase programs at lower costs than would be required to develop new inventory.
2 unchanged sentences
These capital efficient vacation ownership deal structures may include working with third parties to develop new inventory or to convert previously built units to be sold to us close to when we need such inventory.
−Removed: Approximately a quarter of our Vacation Ownership segment resorts are co-located with same-branded hotel properties.
+Added: Approximately 20% of our Vacation Ownership segment resorts are co-located with same-branded hotel properties.
Co-location of our resorts with same-branded hotels can provide several advantages from development, operations, customer experience and marketing perspectives, including sharing amenities, infrastructure and staff, integration of services, and other cost efficiencies.
3 unchanged sentences
Our on-site access to hotel customers, including customer loyalty program members, who are visiting co-located hotels also provides us with a cost-effective marketing channel for our vacation ownership products.
−Removed: Co-located resorts require cooperation and coordination among all parties and are subject to cost sharing and integration agreements among us, the applicable property owners’ association and managers and owners of the co-located hotel.
+Added: Co-located resorts require cooperation and coordination among all parties and are subject to cost sharing and integration agreements among us, the applicable owners’ association and managers and owners of the co-located hotel.
Our license agreements with Marriott International and Hyatt allow for the development of co-located properties in the future, and we intend to opportunistically pursue co-located projects with them.
2 unchanged sentences
When an owner purchases a vacation ownership interest directly from us or a resale on the secondary market, the owner receives certain entitlements that are tied to the underlying vacation ownership interest, such as the right to reserve a resort unit that underlies their vacation ownership interest in order to occupy that unit or exchange its use for use of a unit at another resort through an external exchange service provider, as well as benefits that are incidental to the purchase of the vacation ownership interest.
−Removed: However, the purchaser on the secondary market may not be entitled to receive certain incidental benefits such as full access to our internal exchange programs or the right to trade their usage rights for Marriott Bonvoy points.
+Added: However, the purchaser on the secondary market may not be entitled to receive certain incidental benefits such as full access to our internal exchange programs or the right to trade their usage rights for customer loyalty program points.
Additionally, many of our vacation ownership interests provide us with a right of first refusal on secondary market sales.
We monitor sales that occur in the secondary market and exercise our right of first refusal when it is advantageous for us to do so, whether due to pricing, desire for the particular inventory, or other factors.
−Removed: All owners, whether they purchase directly from us or on the secondary market, are responsible for the annual maintenance fees, property taxes and any assessments that are levied by the relevant property owners’ association, as well as any exchange service membership dues or service fees.
+Added: All owners, whether they purchase directly from us or on the secondary market, are responsible for the annual maintenance fees, property taxes and any assessments that are levied by the relevant owners’ association, as well as any exchange service membership dues or service fees.
Management Activities
−Removed: We enter into a management agreement with the property owners’ association or other governing body at our resorts and, when a trust holds interests in resorts, with the trust’s governing body.
+Added: We enter into a management agreement with the owners’ association or other governing body at our resorts and, when a trust holds interests in resorts, with the trust’s governing body.
In exchange for a management fee, we typically provide owner account management (reservations and usage selection), housekeeping, check-in, maintenance and billing and collections services.
3 unchanged sentences
The terms of our management agreements generally range from three to ten years and are generally subject to periodic renewal for one to five year terms.
−Removed: Many of these agreements renew automatically unless either party provides advance notice
−Removed: of termination before the expiration of the term.
+Added: Many of these agreements renew automatically unless either party provides advance notice of termination before the expiration of the term.
When our management agreement for a branded resort is not renewed or is terminated, the resort loses the ability to use the brand and trademarks.
1 unchanged sentence
The Ritz-Carlton Hotel Company manages the on-site operations for The Ritz-Carlton Destination Club and The Ritz-Carlton Residences properties in our portfolio under separate management agreements with us.
−Removed: We provide property owners’ association governance and vacation ownership program management services for The Ritz-Carlton Destination Club and co-located The Ritz-Carlton Residences properties, including preparing association budgets, facilitating association meetings, billing and collecting maintenance fees, and supporting reservations, vacation experience planning and other off-site member services.
+Added: We provide owners’ association governance and vacation ownership program management services for The Ritz-Carlton Destination Club and co-located The Ritz-Carlton Residences properties, including preparing association budgets, facilitating association meetings, billing and collecting maintenance fees, and supporting reservations, vacation experience planning and other off-site member services.
We and The Ritz-Carlton Hotel Company typically split the management fees equally for these resorts.
−Removed: If a management agreement for a resort expires or is terminated, the resort loses the ability to use the Ritz-Carlton name and trademarks.
−Removed: The owners at such resorts also lose their ability to access other usage benefits, such as access to accommodations at other The Ritz-Carlton Destination Club resorts, preferential access to Ritz-Carlton hotels worldwide and access to our internal exchange and vacation travel options.
−Removed: Each management agreement requires the property owners’ association, trust association or other governing body to provide sufficient funds to pay for the vacation ownership program and operating costs.
+Added: If a management agreement for a resort expires or is terminated, the resort loses the ability to use the Ritz-Carlton brand and trademarks.
+Added: The owners at such resorts also lose their ability to access other usage benefits, such as the ability to exchange occupancy for customer loyalty points, access to accommodations at other The Ritz-Carlton Destination Club resorts, preferential access to Ritz-Carlton hotels worldwide and access to our internal exchange and vacation travel options.
+Added: Each management agreement requires the owners’ association, trust association or other governing body to provide sufficient funds to pay for the vacation ownership program and operating costs.
To satisfy this requirement, owners of vacation ownership interests pay an annual maintenance fee.
2 unchanged sentences
As the owner of completed but unsold vacation ownership inventory, we also pay maintenance fees in accordance with the legal requirements of the jurisdictions applicable to such resorts and programs.
−Removed: In addition, in early phases of development at a resort, we sometimes enter into subsidy agreements with the property owners’ associations under which we agree to pay costs that otherwise would be covered by annual maintenance fees associated with vacation ownership interests or units that have not yet been built.
−Removed: These subsidy arrangements help keep maintenance fees at a reasonable level for owners who purchase in the early stages of development.
−Removed: If an owner defaults in payment of maintenance fees or other assessments, the property owners’ association typically has the right to foreclose on or revoke the defaulting owner’s vacation ownership interest.
−Removed: We have arrangements with several property owners’ associations to assist in reselling foreclosed or revoked vacation ownership interests in exchange for a fee, or to reacquire such foreclosed or revoked vacation ownership interests from the property owners’ associations.
+Added: In addition, in early phases of development of a resort, we sometimes enter into subsidy agreements with the owners’ associations under which we agree to pay costs that otherwise would be covered by annual maintenance fees associated with vacation ownership interests or units that have not yet been built or committed to a timeshare plan.
+Added: These subsidy arrangements help keep maintenance fees at a reasonable level for owners who purchase, especially in the early stages of development.
+Added: If an owner defaults in payment of maintenance fees or other assessments, the owners’ association typically has the right to foreclose on or revoke the defaulting owner’s vacation ownership interest.
+Added: We have arrangements with several owners’ associations to assist in reselling foreclosed or revoked vacation ownership interests in exchange for a fee, or to reacquire such foreclosed or revoked vacation ownership interests from the owners’ associations.
Consumer Financing
3 unchanged sentences
We generally do not face competition in our consumer financing business to finance sales of vacation ownership products.
−Removed: In 2020, our financing propensity was 51 percent and the average loan originated by us for vacation ownership products totaled approximately $26,100, which represented 75 percent of the average purchase price.
−Removed: We require a minimum down payment of 10 percent of the purchase price, although down payments and interest rates are typically higher for applicants with credit scores below certain levels and for purchasers who do not have credit scores, such as non-U.S.
−Removed: The average interest rate for originated loans in 2020 was 13.1 percent and the average term was 12 years.
+Added: In 2021, our financing propensity was 53% and the average loan originated by us for vacation ownership products totaled approximately $27,800, which represented 71% of the average purchase price.
+Added: For financing on the majority of our brands, we require a minimum down payment of 10% of the purchase price, although down payments and interest rates are typically higher for applicants with credit scores below certain levels and for purchasers who do not have credit scores, such as non-U.S.
+Added: The average interest rate for originated loans in 2021 was 12.9% and the average term was 12 years.
Interest rates are fixed and a loan fully amortizes over the life of the loan.
1 unchanged sentence
We do not impose any prepayment penalties.
−Removed: In 2020, approximately 94 percent of our loans were used to finance U.S.-based products.
−Removed: In our North America business, we perform a credit investigation or other review or inquiry to determine the purchaser’s credit history before originating a loan.
+Added: In our vacation ownership business, in many of our markets, we perform a credit investigation or other review or inquiry to determine the purchaser’s credit history before originating a loan.
The interest rates on the loans we provide are based primarily upon the purchaser’s credit score, the size of the purchase, and the term of the loan.
4 unchanged sentences
citizens or residents who financed a vacation ownership purchase was 732;
−Removed: 69 percent had a credit score of over 700, 87 percent had a credit score of over 650 and 96 percent had a credit score of over 600.
+Added: 69% had a credit score of over 700, 87% had a credit score of over 650 and 96% had a credit score of over 600.
We use other information to determine minimum down payments and interest rates applicable to loans made to purchasers who do not have a credit score or who do not reside within the United States, such as regional historical default rates and currency fluctuation risk.
5 unchanged sentences
In a vacation ownership notes receivable securitization, various classes of debt securities issued by a special purpose entity are generally collateralized by a single tranche of transferred assets, which consist of vacation ownership notes receivable.
−Removed: During 2020, we completed one securitization transaction, which is discussed in detail in Footnote 16 “Securitized Debt” to our Financial Statements.
+Added: During 2021, we completed two securitization transactions, which are discussed in detail in Footnote 15 “Securitized Debt” to our Financial Statements.
On an ongoing basis, we have the ability to use our Warehouse Credit Facility to securitize eligible consumer loans derived from certain branded vacation ownership sales.
2 unchanged sentences
We retain the servicing and collection responsibilities for the loans we securitize, for which we receive a servicing fee.
−Removed: As of December 31, 2020, our portfolio consisted of more than 100 properties with over 20,000 vacation ownership villas, also referred to as units, and over 30,000 keys in the following locations.
+Added: As of December 31, 2021, our vacation ownership portfolio consisted of over 120 properties with over 22,000 vacation ownership villas, also referred to as units, and over 31,000 keys in the following locations.
A “key” is the lowest increment for reporting occupancy statistics based upon the mix of non-lock-off and lock-off villas.
3 unchanged sentences
# of Resorts # of Keys # of Resorts # of Keys # of Resorts # of Keys
−Removed: Arizona 5 1,189 Massachusetts 1 84 South Carolina 10 1,864
−Removed: California 14 5,264 Missouri 1 216 Texas 1 195
−Removed: Colorado 13 1,037 Nevada 2 1,172 Utah 2 634
−Removed: Florida 23 7,989 New Jersey 1 180 Virginia 1 276
−Removed: Hawaii 12 4,768 New York 2 228 Washington, D.C.
+Added: Arizona 5 1,189 Missouri 2 479 Texas 1 195
+Added: California 20 6,264 Nevada 2 1,172 Utah 2 634
+Added: Colorado 14 1,036 New Jersey 1 180 Virginia 1 276
+Added: Florida 23 7,989 New Mexico 1 16 Washington, D.C.
+Added: Hawaii 12 4,768 New York 2 228
+Added: Massachusetts 1 84 South Carolina 10 1,864
Caribbean and Mexico
−Removed: # of Resorts # of Keys # of Resorts # of Keys
−Removed: Aruba 2 1,211 U.S.
+Added: # of Resorts # of Keys # of Resorts # of Keys # of Resorts # of Keys
+Added: Aruba 2 1,211 Puerto Rico 1 164 Mexico 4 1,561
+Added: Bahamas 1 392 U.S.
Virgin Islands 3 512
−Removed: Bahamas 1 392 West Indies 1 88
−Removed: Puerto Rico 1 164 Mexico 3 1,456
+Added: Costa Rica 1 48 West Indies 1 88
Europe and Asia Pacific
11 unchanged sentences
Hyatt Residence Club 15 1,399
+Added: Other, including Welk 13 1,975
Sheraton Kauai Resort Kauai, HI
2 unchanged sentences
Hyatt Highlands Inn Carmel, CA
+Added: Welk Resorts Branson Hotel Branson, MO
EXCHANGE & THIRD-PARTY MANAGEMENT SEGMENT
−Removed: Our Exchange & Third-Party Management segment includes exchange networks and membership programs comprised of nearly 3,200 resorts in over 90 nations and over 1.7 million members, as well as management of over 160 other resorts and lodging properties.
+Added: Our Exchange & Third-Party Management segment includes exchange networks and membership programs comprised of nearly 3,200 affiliated resorts in over 90 nations and nearly 1.4 million members, as well as provision of management services to over 150 other resorts and lodging properties.
We provide these services through a variety of brands including Interval International, Trading Places International, Vacation Resorts International and Aqua-Aston.
−Removed: The segment revenue generally is fee-based and derived from membership, exchange and rental transactions, property and owners’ association management, and other related products and services.
−Removed: The Exchange & Third-Party Management segment represented 11 percent of our consolidated revenue for 2020.
+Added: The segment revenue generally is fee-based and derived from membership, exchange and rental transactions, owners’ association management, and other related products and services.
+Added: The Exchange & Third-Party Management segment represented 8% of our consolidated revenue for 2021.
($ in millions) 2021
8 unchanged sentences
Generally, individuals are enrolled by resort developers in connection with their purchase of vacation ownership interests from such resort developers, with initial membership fees being paid on behalf of members by the resort developers.
−Removed: Members may also enroll directly, for instance, when they purchase a vacation ownership interest through resale or owners’ association affiliation at a resort that participates in the Interval International network.
+Added: Members may also enroll directly, for instance, when they purchase a vacation ownership interest through resale or an owners’ association at a resort that participates in the Interval International network.
Interval International has established multi-year relationships with resort developers, including leading independent developers and our branded vacation ownership programs, under exclusive affiliation agreements, which typically provide for continued resort participation following the agreement’s term.
−Removed: Our traditional Interval International network members have the option, after their initial membership period ends, to renew their memberships for terms ranging from one to five years and paying their own membership fees directly to us.
−Removed: Alternatively, some resort developers incorporate the Interval International network membership fee into certain annual fees they charge to owners of vacation ownership interests at their resorts or vacation ownership clubs.
−Removed: As a result, membership in the Interval International network and, where applicable, the Interval Gold or Interval Platinum program (as described below), for these corporate members is automatically renewed through the period of their resort’s or club’s participation in the Interval
−Removed: International network.
−Removed: As of December 31, 2020, 55 percent of total Interval International network members were traditional members and 45 percent were corporate members.
+Added: Our traditional Interval International network members have the option, after their initial membership period ends, to renew their memberships for terms ranging from one to five years and by paying membership fees directly to us.
+Added: Alternatively, some resort developers incorporate the Interval International network membership fee into certain annual fees they charge to
+Added: owners of vacation ownership interests at their resorts or vacation ownership clubs.
+Added: As a result, membership in the Interval International network and, where applicable, the Interval Gold, Club Interval, or Interval Platinum program (as described below), for these corporate members is automatically renewed through the period of their resort’s or club’s participation in the Interval International network.
+Added: As of December 31, 2021, approximately 60% of total Interval International network members were traditional members and approximately 40% were corporate members.
Interval International recognizes certain of its eligible Interval International network resorts as either a “Select Resort,” a “Select Boutique Resort,” a “Premier Resort,” a “Premier Boutique Resort,” an “Elite Resort” or an “Elite Boutique Resort” based upon the satisfaction of qualifying criteria, inspection, member feedback, and other resort-specific factors.
−Removed: Over 40 percent of Interval International network resorts were recognized as a Select, Select Boutique, Premier, Premier Boutique, Elite or Elite Boutique Resort as of December 31, 2020.
+Added: Over 40% of Interval International network resorts were recognized as a Select, Select Boutique, Premier, Premier Boutique, Elite or Elite Boutique Resort as of December 31, 2021.
Products and Services
10 unchanged sentences
Club Interval members also receive all of the benefits of Interval Gold and can upgrade to Interval Platinum.
+Added: Non-Exchange Products
+Added: Interval International’s subsidiary, Worldwide Vacation & Travel, offers two programs, Leisure Time Passport and Dream Vacation Week.
+Added: Leisure Time Passport is a travel membership program which provides members with a variety of travel and leisure benefits, including savings on resort accommodations, hotel stays, cruise vacations and more.
+Added: The Leisure Time Passport membership program is used by resort developers as a trial membership program for potential purchasers of vacation ownership products as well as by non-developer clients, as an addition to their own product(s), which provides ongoing value and customer engagement.
+Added: Dream Vacation Week is a certificate program which provides the recipient with access to book discounted resort accommodations and is used as a marketing premium, sales incentive, or enhancement to an existing program.
Sales and Marketing Support for Interval International network resorts
2 unchanged sentences
These materials, many of which are available in multiple languages, include brochures, publications, sales-office displays, resort directories and Interval HD, an online video channel featuring resort and destination overviews.
−Removed: In addition, we offer programs, including our Leisure Time Passport program, that resort developers use as a trial membership program for potential purchasers of vacation ownership interests.
Operational Support for Interval International network resorts
4 unchanged sentences
Trading Places International provides exchange services to owners at certain of our managed timeshare properties as well as other direct-to-consumer exchanges that do not require a membership fee.
−Removed: For an annual fee, vacation owners may choose to join the upgraded Trading Places Prime program with additional benefits.
+Added: For an annual fee, vacation interest owners may choose to join the upgraded Trading Places Prime program with additional benefits.
Exchanges in these Trading Places programs are based on like value and upgrades are available upon payment of additional fees.
1 unchanged sentence
Our exchange businesses maintain corporate and consumer business development departments that are responsible for signing up new resorts, resort developers, and other businesses and implementing marketing strategies.
−Removed: We also develop printed and digital materials to promote membership participation, exchange opportunities and other value-added services to existing members, as well as for the Interval International business to secure new relationships with resort developers, owners’ associations and resorts, to obtain and retain members, and with other affinity partners, to provide value added travel benefits to their customers.
−Removed: Our consumer marketing efforts revolve around the deepening of new and existing customer relationships and increasing engagement and loyalty of members through a number of channels including direct mail, telemarketing, and digital distribution as well as utilizing social media channels like Facebook and Instagram to inspire vacations, share stories and promote the vacation ownership lifestyle.
+Added: We also develop materials to promote membership participation, exchange opportunities and other value-added services to existing members, as well as for the Interval International business to secure new relationships with resort developers, owners’ associations and resorts, to obtain and retain members, and with other affinity partners, to provide value added travel benefits to their customers.
+Added: Our consumer marketing efforts revolve around the deepening of new and existing customer relationships and increasing engagement and loyalty of members through a number of channels including digital distribution utilizing social media channels to inspire vacations, share stories and promote the vacation ownership lifestyle, as well as direct mail and telemarketing.
Interval International also markets products and services to resort developers and other parties in the vacation ownership industry through a series of business development initiatives.
5 unchanged sentences
Our services may include day-to-day operations of the resorts, maintenance of the resorts, preparation of reports, budgets, owners’ association administration, quality assurance and employee training.
−Removed: As of December 31, 2020, we provided third-party management services to over 160 resorts.
+Added: As of December 31, 2021, we provided third-party management services to over 150 resorts and lodging properties.
Vacation Resorts International and Trading Places International provide management services to vacation ownership resorts pursuant to agreements with terms generally ranging from one to ten years, many of which are automatically renewable.
−Removed: Generally, our management fees are paid by the owners’ association and funded from the annual maintenance fees paid by the individual owners to the association.
+Added: Generally, our management fees are paid by the owners’ association and funded from the annual maintenance fees paid by the individual vacation ownership interest owners to the association.
These maintenance fees represent each owner’s allocable share of the costs of operating and maintaining the resorts, which generally includes personnel, property taxes, insurance, a capital asset reserve to fund refurbishment and other related costs.
2 unchanged sentences
We also offer vacation rental services to these owners’ associations.
−Removed: These rentals are made online directly to consumers through our websites, www.vriresorts.com, and www.tradingplaces.com, through third-party online travel agencies, and through Interval International’s Getaways program.
+Added: These rentals are made online directly to consumers through our websites and through third-party online travel agencies, and through Interval International’s Getaways program.
Aqua-Aston provides management and rental services for condominium owners, hotel owners, and owners’ associations.
4 unchanged sentences
Management fees consist of a base management fee and, in some instances for hotels or condominium resorts, an incentive management fee which is generally a percentage of operating profits or improvement in operating profits.
−Removed: Service fee revenue is based on the services provided internally or through third-party providers to owners including reservations, sales and marketing, property accounting and information technology services.
−Removed: The success and continued growth of the Aqua-Aston business depends largely on our ability to source vacationers interested in booking vacation properties made available through our rental services.
−Removed: Our sales and marketing team in Honolulu, Hawaii, utilizes a variety of sales, marketing, revenue management and digital marketing initiatives to attract consumers and additional properties to Aqua‑Aston.
−Removed: The team in Hawaii utilizes many channels of distribution including traditional wholesale through tour operators and travel partners, online travel agencies and global distribution systems.
+Added: Service fee revenue is based on the services provided internally or through third-party providers to owners including reservation services, sales and marketing, property accounting and information technology services.
+Added: The success and continued growth of the Aqua-Aston business, which is concentrated in Hawaii, depends largely on our ability to source vacationers interested in booking vacation properties made available through our rental services.
+Added: Our in market sales and marketing team utilizes a variety of sales, marketing, revenue management and digital marketing initiatives to attract consumers and additional properties to Aqua‑Aston.
+Added: We utilize many channels of distribution including traditional
+Added: wholesale through tour operators and travel partners, online travel agencies and global distribution systems.
In addition, Aqua‑Aston focuses on driving direct business through brand websites and our central reservations office.
2 unchanged sentences
CORPORATE AND OTHER
−Removed: Corporate and Other consists of results not allocable to our segments, including company-wide general and administrative costs, corporate interest expense, ILG acquisition-related costs, and provision for income taxes.
−Removed: In addition, Corporate and Other includes the revenues and expenses relating to property owners’ associations consolidated under the relevant accounting guidance (“Consolidated Property Owners’ Associations”), which are not included in operating segment resource allocation decision-making.
+Added: Corporate and Other consists of results that are not allocable to our segments, including company-wide general and administrative costs, corporate interest expense, transaction and integration costs, and (provision for) benefit from income taxes.
+Added: In addition, Corporate and Other includes the revenues and expenses relating to owners’ associations consolidated under the relevant accounting guidance (“Consolidated Property Owners’ Associations”), which are not included in operating segment resource allocation decision-making.
Our revenue is influenced by the seasonal nature of travel.
−Removed: Within our Vacation Ownership segment, our sales and financing business experiences a modest impact from seasonality, with higher sales volumes during the traditional vacation periods.
−Removed: Our vacation ownership management businesses generally do not experience significant seasonality, with the exception of our resort operations revenue, which tends to be higher in the first quarter.
+Added: Within our Vacation Ownership segment, our sale of vacation ownership business experiences a modest impact from seasonality, with higher sales volumes during the traditional vacation periods.
+Added: COVID-19 has impacted, and may continue to impact, our typical seasonal patterns.
+Added: In addition, business at properties in some locations may experience a greater impact from seasonality than those in other locations.
Within our Exchange & Third-Party Management segment, we recognize exchange and Getaways revenue based on confirmation of the vacation;
1 unchanged sentence
Remaining rental revenue is recognized based on occupancy.
−Removed: Competition in the vacation ownership industry is driven primarily by the quality, number and location of vacation ownership resorts, the quality and capability of the related property management program, trust in the brand, pricing of product offerings and the availability of program benefits, such as exchange programs and access to affiliated hotel networks.
+Added: Competition in the vacation ownership industry is driven primarily by the quality, number and location of vacation ownership resorts, the quality and capability of the related property management program, trust in the brand, pricing of product offerings, cost of ownership (i.e., ongoing maintenance and other fees) and the availability of program benefits, such as exchange programs and access to affiliated hotel networks.
We believe that our focus on offering distinctive vacation experiences, combined with our financial strength, well-established and diverse market presence, strong brands, expertise and well-managed and maintained properties, will enable us to remain competitive.
5 unchanged sentences
Our luxury vacation ownership products compete with vacation ownership products offered by Four Seasons, Exclusive Resorts, Timbers Resorts and several other smaller independent companies.
−Removed: In addition, the vacation ownership industry competes generally with other vacation rental options (such as hotels, resorts and condominium rentals) offered by the lodging industry as well as alternative lodging marketplaces such as Airbnb and HomeAway, which offer rentals of homes and condominiums.
+Added: In addition, the vacation ownership industry competes generally with other vacation rental options (such as hotels, resorts and condominium rentals) offered by the lodging industry as well as alternative lodging marketplaces such as Airbnb, VRBO, and HomeAway, which offer rentals of homes and condominiums.
Innovations that impact the industry may also lead to new products and services that could disrupt our business model and create new and stronger competitors.
22 unchanged sentences
We believe that, over time, our vacation ownership products and services helped improve the public perception of the vacation ownership industry.
−Removed: Some laws, regulations and policies may impact multiple areas of our business, such as securities, anti-discrimination, anti-fraud, data protection and security and anti-corruption and bribery laws and regulations or government economic sanctions, including applicable regulations of the Consumer Financial Protection Bureau, the U.S.
+Added: Some laws, regulations and policies may impact multiple areas of our business, such as securities, anti-discrimination, anti-fraud, data protection and security and anti-corruption and bribery laws and regulations or government economic sanctions, including applicable regulations of the Consumer Financial Protection Bureau (the “CFPB”), the U.S.
Department of the Treasury’s Office of Foreign Asset Control and the U.S.
−Removed: Foreign Corrupt Practices Act (“FCPA”).
+Added: Foreign Corrupt Practices Act (the “FCPA”).
The FCPA and similar anti-corruption and bribery laws in other jurisdictions generally prohibit companies and their intermediaries from making improper payments to government officials for the purpose of obtaining or generating business.
4 unchanged sentences
lending activities;
−Removed: and resort management activities.
+Added: resort management activities, and exchange and travel activities.
Real Estate Development Regulation
19 unchanged sentences
Laws in many jurisdictions in which we sell vacation ownership interests grant the purchaser of a vacation ownership interest the right to cancel a purchase contract during a specified rescission period following the later of the date the contract was signed or the date the purchaser received the last of the documents required to be provided by us.
−Removed: In recent years, regulators in many jurisdictions have increased regulations and enforcement actions related to telemarketing operations, including requiring adherence to the federal Telephone Consumer Protection Act (the “TCPA”) and similar “do not call” legislation.
+Added: Regulators in many jurisdictions have increased regulations and enforcement actions related to telemarketing operations, including requiring adherence to the federal Telephone Consumer Protection Act (the “TCPA”) and similar “do not call” legislation.
These measures have significantly increased the costs and reduced the efficiencies associated with telemarketing.
2 unchanged sentences
Lending Regulation
−Removed: Our lending activities are subject to a number of laws and regulations including those of applicable supervisory, regulatory and enforcement agencies such as, in the United States, the Consumer Financial Protection Bureau, the FTC, and the Financial Crimes Enforcement Network.
+Added: Our lending activities are subject to a number of laws and regulations including those of applicable supervisory, regulatory and enforcement agencies such as, in the United States, the CFPB, the FTC, and the Financial Crimes Enforcement Network.
These laws and regulations, some of which contain exceptions applicable to the timeshare industry or may not apply to some of our products, may include, among others, the Real Estate Settlement Procedures Act and Regulation X, the Truth In Lending Act and Regulation Z, the Federal Trade Commission Act, the Equal Credit Opportunity Act and Regulation B, the Fair Credit Reporting Act, the Fair Housing Act and implementing regulations, the Fair Debt Collection Practices Act, the Electronic Funds Transfer Act and Regulation E, unfair, deceptive or abusive acts or practices regulations and the Consumer Protection Act, the USA PATRIOT Act, the Right to Financial Privacy Act, the Gramm-Leach-Bliley Act, the Servicemembers Civil Relief Act and the Bank Secrecy Act.
2 unchanged sentences
Our resort management activities are subject to laws and regulations regarding community association management, public lodging, food and beverage services, labor, employment, health care, health and safety, accessibility, discrimination, immigration, gaming, and the environment (including climate change).
−Removed: In addition, many jurisdictions in which we manage our resorts have statutory provisions that limit the duration of the initial and renewal terms of our management agreements for property owners’ associations and/or permit the property owners’ association for a resort to terminate our management agreement under certain circumstances (for example, upon a super-majority vote of the owners), even if we are not in default under the agreement.
+Added: In addition, many jurisdictions in which we manage our resorts have statutory provisions that limit the duration of the initial and renewal terms of our management agreements for owners’ associations and/or permit the owners’ association for a resort to terminate our management agreement under certain circumstances (for example, upon a super-majority vote of the owners), even if we are not in default under the agreement.
+Added: Exchange and Travel Regulations
+Added: Many jurisdictions regulate businesses engaged in timeshare exchange activity, typically requiring annual filing of prescribed disclosures with regulatory agencies.
+Added: Such disclosure must be provided to persons enrolling in a timeshare exchange program prior to completion of enrollment.
+Added: The disclosure generally provides information on the terms and conditions of membership as well as audited key operating statistics of the exchange program.
+Added: In connection with our exchange businesses, we also offer other travel-related products and services that are subject to regulation in certain jurisdictions, including requirements that we register as a “seller of travel” and comply with applicable bonding and disclosure requirements.
+Added: Additionally, operation of our travel membership programs can trigger requirements that we register as a discount buying organization.
+Added: Other products and services we offer (e.g., travel insurance) are subject to regulations imposed on our suppliers, and as a result we are subject to travel reseller requirements and licensing in certain jurisdictions.
Environmental Compliance and Awareness
9 unchanged sentences
The Audubon partnership is just one of several programs incorporated into our green initiatives.
−Removed: We have more than 20 years of energy conservation experience that we have put to use in implementing our environmental strategy across all of our segments.
+Added: We have more than 20 years of energy conservation experience that we have put to use in implementing our environmental strategy across each of our segments.
This strategy includes further reducing energy and water consumption, expanding our portfolio of green resorts, including LEED (Leadership in Energy & Environmental Design) certification, educating and inspiring associates and guests to support the environment, and embracing innovation.
6 unchanged sentences
• promoting an inclusive and diverse workplace, where all individuals are respected regardless of their age, race, notional origin, gender, religion, disability, or sexual orientation.
−Removed: As of December 31, 2020, we had a global workforce consisting of approximately 18,000 associates, of which almost 15,500 were based in the United States and approximately 2,500 were based in international locations.
−Removed: In September 2020 we announced a workforce reduction plan that was expected to impact approximately 3,300 associates worldwide as a result of the adverse impact that the COVID-19 pandemic has had on demand for the Company’s products and services.
−Removed: Since November 2020, approximately 3,000 associates have been impacted by the workforce reduction plan.
−Removed: We expect that fewer associates than originally anticipated will be impacted due to the increasing demand for our products and services in our Florida and Hawaii vacation ownership resort locations.
+Added: As of December 31, 2021, we had a global workforce consisting of approximately 20,300 associates, of which approximately 16,800 were based in the United States and approximately 3,500 were based in international locations.
Inclusion and Diversity
1 unchanged sentence
Like our customers, our associates come from diverse backgrounds, offering invaluably distinct perspectives.
−Removed: Women comprise 53.7 percent of our worldwide workforce and men comprise 46.3 percent.
−Removed: Within the United States, people of color comprise 43.1 percent of our management level positions and women comprise 45.2 percent of our management level positions.
−Removed: We are striving to make progress with recruiting efforts related to the placement of women and people of color in management roles.
−Removed: In 2020, our executive officers participated in an Inclusion and Diversity executive leadership course facilitated by an industry expert.
−Removed: Following this course, we committed to launching an Executive Inclusion Council, which is comprised of approximately 20 senior leaders dedicated to enabling and championing Inclusion and Diversity initiatives throughout the organization.
+Added: Women comprise 54% of our worldwide workforce and men comprise 46%.
+Added: Within the United States, people of color comprise 41% of our management level positions and women comprise 46% of our management level positions.
+Added: We are implementing recruiting efforts focused on placing women and people of color in management roles.
+Added: In 2021, we launched an Executive Inclusion Council, which is comprised of approximately 20 senior leaders dedicated to enabling and championing Inclusion and Diversity initiatives throughout the organization.
Top priorities include providing guidance regarding our Inclusion and Diversity strategy, increasing leaders’ ability to discuss and be held accountable for driving Inclusion and Diversity outcomes, and increasing awareness and impact of initiatives.
+Added: With the support of the Executive Inclusion Council, we completed an internal review of our Inclusion and Diversity practices and programs as well as external benchmarking to refine our Inclusion and Diversity strategic framework and ongoing areas of focus.
+Added: This work led us to establish a framework rooted in our core values and supported by a newly developed Inclusion and Diversity Commitment Statement (included below).
+Added: MVW is committed to advancing and cultivating inclusion and diversity in all aspects of our business.
+Added: We provide treasured vacation experiences to our customers around the world, and foster an inclusive, diverse, and caring work environment for our associates.
+Added: We support a life fulfilled for all individuals and embrace that we are better together.
Associate Development
−Removed: We seek to cultivate a learning-rich environment where associates are prepared to succeed and are motivated to serve our Owners, Members, and guests.
−Removed: Our Global Learning and Performance team develops and deploys programs and resources for all our associates.
−Removed: Our learning programs are designed to help ensure our company is a desirable place to start and maintain a fulfilling career, with increased opportunities for growth.
−Removed: In light of the COVID-19 pandemic, a key training focus in 2020 was to provide curriculum on returning to work safely and supporting our associates’ overall health and well-being.
−Removed: Our Global Learning and Performance team is also committed to providing our leaders with the opportunity to develop their leadership skills.
−Removed: With a curriculum of approximately 15 distinct courses, the Leadership Development Program provides associates the tools, resources, and practice we believe are important to becoming successful leaders.
−Removed: In 2020 we converted many of our classroom training offerings to virtual courses to support training in a socially distant manner.
+Added: We seek to cultivate a learning-rich environment where associates are prepared to succeed, are encouraged to grow their careers, and are motivated to serve our owners, members, and guests.
+Added: Our Global Talent Management team develops and deploys programs and resources for all our associates.
+Added: Our learning programs are designed to help ensure our company is a desirable place to start and cultivate a fulfilling career, with increased opportunities for growth.
+Added: In light of the COVID-19 pandemic, a key training focus in 2021 was to provide courses on returning to work safely and supporting our associates’ overall health and well-being.
+Added: Our Global Talent Management team is also committed to providing our leaders with the opportunity to develop their leadership skills and equip leaders with the skills they need to create a positive work environment for all associates.
+Added: With a curriculum of approximately 15 distinct courses, the Leadership Development Program provides associates the tools, resources, and practices we believe are important to becoming successful leaders and strengthening our diverse talent pipeline.
+Added: In 2021, we continued to deliver virtual learning courses to support leadership development training in a socially distant manner.
+Added: We also adapted in-classroom practices to accommodate live, instructor-lead training for select courses.
+Added: Our efforts helped us continue to support leaders in building leadership skills for the future.
Collective Bargaining Agreements
−Removed: We are party to collective bargaining agreements in the United States and Mexico primarily with regard to employees working in food service, laundry, and hospitality and tourism.
+Added: We are party to collective bargaining agreements in the United States, Spain, and Mexico primarily with regard to employees working in food service, laundry, and hospitality and tourism.
We maintain a Human Rights Policy that aligns with government, business, and public concerns about issues such as human trafficking and the exploitation of children.
We do not recruit child labor, and we support programs and partnerships that help at-risk young people and their families prepare for and find meaningful employment.
+Added: Our Human Rights Policy is available on our website at (www.marriottvacationsworldwide.com) under the “Investor Relations” tab.
Available Information
−Removed: Our investor relations website address is www.marriottvacationsworldwide.com/investor-relations.
+Added: Our investor relations website address is www.ir.mvwc.com.
Our Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K, proxy statements, and any and all amendments thereto are available free of charge through our investor relations website as soon as reasonably practicable after they are filed or furnished to the Securities and Exchange Commission (the “SEC”).
6 unchanged sentences
Weisz has served as our Chief Executive Officer since 2011, and as our President from 1996 through December 2020.
−Removed: he has also been a member of our Board of Directors since 2011.
+Added: Weisz has also been a member of our Board of Directors since 2011.
Weisz joined Marriott International in 1972.
1 unchanged sentence
Weisz is a past Chairman of the Board of Directors of the American Resort Development Association and also a past Chairman of the Board of Trustees of Children’s Miracle Network.
−Removed: President and Chief Financial Officer
−Removed: has served as President and Chief Financial Officer since January 2021.
+Added: President 54 John E.
+Added: has served as our President since October 2021.
+Added: From January 2021 to October 2021, he served as our President and Chief Financial Officer.
From January 2018 to January 2021, he served as our Executive Vice President and Chief Financial and Administrative Officer.
1 unchanged sentence
Geller joined Marriott International in 2005 as Senior Vice President and Chief Audit Executive and Information Security Officer.
−Removed: President, Exchange and Third-Party Management 64 Jeanette Marbert has served as our President, Exchange and Third-Party Management since October 2018.
−Removed: She served as President and Chief Executive Officer for the Exchange and Rental Segment of ILG, Inc.
−Removed: from November 2017 until September 2018, and as Executive Vice President from June 2009 until November 2017.
−Removed: She was Chief Operating Officer of ILG, Inc.
−Removed: from August 2008 to November 2017, and served as a Director of ILG, Inc.
−Removed: from February 2015 to May 2016.
−Removed: Marbert joined Interval in 1984.
−Removed: President, Vacation Ownership 57 Brian E.
−Removed: Miller has served as our President, Vacation Ownership since October 2020.
−Removed: From October 2018 to September 2020, he served as our Executive Vice President and Chief Marketing, Sales and Service Officer.
−Removed: From November 2011 to September 2018, he served as our Executive Vice President and Chief Sales and Marketing Officer.
−Removed: Prior to that time, he had served as our Senior Vice President, Sales and Marketing and Service Operations since 2007.
−Removed: Miller joined our company in 1991.
+Added: Name and Title Age Business Experience
Lee Cunningham
5 unchanged sentences
Cunningham joined Marriott International in 1982.
−Removed: Name and Title Age Business Experience
+Added: As reported in a Current Report on Form 8-K filed on January 12, 2022, Mr.
+Added: Cunningham announced his decision to retire as our Executive Vice President and Chief Operating Officer - Vacation Ownership in April 2022;
+Added: Cunningham subsequently announced that he would instead retire in May 2022.
+Added: Executive Vice President and Chief Financial Officer 54 Anthony E.
+Added: Terry has served as our Executive Vice President and Chief Financial Officer since October 2021.
+Added: From July 2005 to September 2021, he served as our Senior Vice President, Global Operational Finance.
+Added: From October 2001 to June 2005, he served as our Vice President of Product Supply Management.
+Added: Terry began his career with the Company in 1996.
Lori Gustafson
14 unchanged sentences
Kane-Hanan joined our company in 2000.
+Added: President, Exchange and Third-Party Management 65 Jeanette Marbert has served as our President, Exchange and Third-Party Management since October 2018.
+Added: She served as President and Chief Executive Officer for the Exchange and Rental Segment of ILG, Inc.
+Added: from November 2017 until September 2018, and as Executive Vice President from June 2009 until November 2017.
+Added: She was Chief Operating Officer of ILG, Inc.
+Added: from August 2008 to November 2017, and served as a Director of ILG, Inc.
+Added: from February 2015 to May 2016.
+Added: Marbert joined Interval in 1984.
+Added: President, Vacation Ownership 58 Brian E.
+Added: Miller has served as our President, Vacation Ownership since October 2020.
+Added: From October 2018 to September 2020, he served as our Executive Vice President and Chief Marketing, Sales and Service Officer.
+Added: From November 2011 to September 2018, he served as our Executive Vice President and Chief Sales and Marketing Officer.
+Added: Prior to that time, he had served as our Senior Vice President, Sales and Marketing and Service Operations since 2007.
+Added: Miller joined our company in 1991.
Executive Vice President and Chief Information Officer 61 Dwight D.
2 unchanged sentences
Smith joined Marriott International in 1988.
+Added: Name and Title Age Business Experience
Executive Vice President and Chief Human Resources Officer 63 Michael E.
3 unchanged sentences
Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.