Layoffs at Wyndham Timeshare as Wyndham Worldwide Shares Drop
Saturday, October 18, 2008
Wyndham Worldwide hotel and Wyndham timeshare company underwent several significant changes this week; none of them seemingly positive, at least on the surface. Monday’s stock trading saw shares of Wyndham Worldwide Corp drop and settle at $11.83 a share after hitting a low of $11.05 earlier in the day.
WFTV.com (Orlando) reported that, on Wednesday, approximately 200 people were laid off from Wyndham’s timeshare division, including marketing directors, managers, and financial analysts.
According to an article published in Forbes, “Wyndham expects to post pretax charges of $7 million, or 2 cents per share, in the third quarter for job cuts and restructuring … The company expects fourth-quarter charges to range from $10 million to $15 million and charges in the first quarter of 2009 to range from $5 million to $10 million.” Moreover, Wyndham “anticipates recouping its investment by the end of 2010.” The company plans to release its third quarter business report on October 30.
Timeshare Resales Aren’t Facing the Same Problems
Despite the downturn economy, many timeshare resales company, including Sell My Timeshare NOW, find themselves in a growth and expansion period. Unlike a timeshare developer, Sell My Timeshare NOW does not finance the sale of timeshare; instead, we advertise and market timeshare for sale or rent on a by-owner basis.
In a timeshare resale transaction, no one is trying to entice a timeshare buyer to buy timeshare he or she cannot afford. Instead, in a simple, straightforward way, timeshare owners attempt to sell timeshare they currently own; they are selling vacation property or vacation club points, but they are not trying to sell you a financing deal.
e big picture for Wyndham timeshare, Marriott timeshare, Westgate Resort timeshare, and other large development companies will probably turn out fine. They have hit a time of slowed growth and are burdened with more debt, and uncollectable debt than they can handle in the short term. But these companies are cornerstones in the hospitality industry. The derive income from many areas besides hotel room nights or timeshare sales. Most of these companies will be able to trim the fat, cut back, take a few hits, and move forward. 2009 may not be their most profitable year, but like the forest that flourishes after the fire, we should expect them to soon be back, stronger than ever.
Other recent The Timeshare Authority blog posts about Wyndham timeshare: