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Strategies & Market Trends : Timeshare Companies - OWN FFD TWRI VSTN SVR BXG

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To: Dr. Microcap who wrote (32)8/4/1999 11:34:00 AM
From: KS   of 55
 
August 04, 1999 11:12

Sunterra Corporation and Home Shopping Network
Team up to Market Vacation Ownership on Cable TV,
Internet

ORLANDO, Fla., Aug. 4 /PRNewswire/ -- Sunterra Corporation (NYSE: OWN), the world's largest vacation ownership company, has formed an exclusive partnership
with Short Shopping, a division of Home Shopping Network, to market and sell Club
Sunterra trial memberships and resort vacations to consumers.

The innovative marketing partnership creates a new distribution channel for both the
rental of condominium-style resort accommodations and trial programs in Club
Sunterra. Club Sunterra is Sunterra Corporation's member- based vacation club
that offers accommodations at Sunterra Resorts around the world as well as other
leisure related products and services.

The marketing programs with Short Shopping include the development of multiple
media channels, including long and short form direct selling television formats,
traditional TV commercials and interactive marketing using the Internet.

Currently some 4 million U.S. households participate in vacation ownership. The
industry has experienced a 15 percent compounded growth rate over the past 20
years using traditional industry marketing programs that have only penetrated
limited segments of qualified consumer households. This new agreement between
Sunterra and Short Shopping opens new and broader channels of distribution for
Sunterra's vacation ownership products while communicating the experience of a
Sunterra resort vacation in a visually compelling way.

"Sunterra Corporation -- with its development of Club Sunterra -- has been an
industry leader in evolving vacation ownership into a very sophisticated product that
provides owners with a myriad of vacation choices and related leisure
opportunities," said L. Steven Miller, president and CEO Sunterra Corporation.
"Now we are leading the industry in exploring new distribution channels.

"All market research indicates that today's consumer wants the benefits of vacation
ownership that include larger accommodations, flexibility and the services of
personal travel consultants," continued Miller. "The partnership with Short Shopping
provides the venue of offer consumers both a detailed visual image and explanation
of the vacation ownership concept, as well as the opportunity to test-drive the
product for themselves."

"Vacation ownership has been among the fastest-growing segments of travel and
leisure over the past few years and it has achieved that performance without a
mass-market communication vehicle," commented, Dave Williams, Short
Shopping. "With Sunterra's industry-leading products and Short Shopping's ability
to reach the consumer, we are confident of achieving broad market saturation and
sustaining interest in experiencing the product."

Consumers will begin seeing the marketing of Club Sunterra memberships this
month. Home Shopping Network's Short Shopping Division will handle the scripting
and production of all media applications. Among its media partners and clients are
Turner Broadcasting, TNN, Media One, USA Networks (Nasdaq: USAI), plus
regional and national publications.

Home Shopping Network (www.hsn.com ), pioneered the electronic retailing
industry in 1977. Its live 24-hour programming reaches 70 million U.S. households
through broadcast, cable and satellite dishes. HSN continued its tradition of
innovation in 1998 with the launch of Short Shopping, a division that produces
direct selling commercials for various broadcasting partners. The Company holds
interests in shopping channels in Germany and Japan; and produces Home
Shopping en Espanol, a joint venture with Univision. HSN has been designated the
official electronic retailer Times Square 2000.

Sunterra Corporation is the world's largest vacation ownership company, with 89
resort locations throughout North America, Europe, the Caribbean, Hawaii, Latin
America and Asia. Sunterra also manages over 22 condominiums and hotels in
Hawaii and operates Club Sunterra; the world's most extensive points-based
vacation ownership program.

Sunterra Corporation became a publicly traded company in 1996 and has
subsequently grown from nine resorts to its current worldwide network of company
owned and managed resorts. In addition, during this period its member base has
expanded from 25,000 owners to 250,000 owners and members.

SOURCE Sunterra Corporation

/CONTACT: Gayle MacIntyre or Caroline Craig, both of Bates Travel &
Tourism, 404-237-8618, email, gmacintyre@batesww.com , for Sunterra
Corporation, or Peter Shoobridge, Vice President, Business Development of
Sunterra Corporation, 407-532-1000/

/Web site: hsn.com /
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