Dr.Thomas E. Martin III, PhD

Wyndham Worldwide Corporation Q3 2009 Earnings Call Transcript

On May 28th, Wyndham Worldwide sold $225 million dollars worth of notes backed by their timeshare assets to Parsippany, a New Jersey based company. Because of the sale, Wyndham stocks gained 26 points, or 2.3 percent, rising to $11.54 a share during afternoon trading on the 29th. The stock plummeted to only $2.55 months ago, and the highest it has been at in the past year was $22.28 a share.

Each note that was sold is backed by vacation ownership that are properties of Wyndham and its subsidiaries. For the past year the market for timeshare-backed securities has basically been closed, with little if any investor interested in purchasing them. So it was a great deal for Wyndham to be able to make this sale. The timeshare business has always been particularly reliant on timeshare based securities to fund new timeshare developments, and so Wyndham was very happy about the sale. Many financial analysts are heralding the sale to Parsippany as a marker of a revival in the market for asset-backed securities.

While this is good news for Wyndham in the short term, in the long run, timeshare ownership is still a rather risky investment, and that is exactly because of the timeshare market’s high reliance on asset-based securities. Thus, the deal with Parsippany is not necessarily the safest way of securing Wyndham’s future and stability.

Asset-based securities are one of the least financially-sound types of investments, and have proved in the past few years to be really dangerous to the economy as a whole. In 2002, there was an odd financial situation in which there were many investors willing to lend out money, but few businesses that needed the extra cash. Because of this, many of these investors sought out new markets to invest in, some of which yielded high interest rates, but were high risk. This is how asset-based security investments were developed.

One market investors could invest in was the sub-prime housing market. The recent deregulation and liberalization of banking and financial institutions was allowing people, who never would have qualified previously, to get loans. Investors split the risk of lending to these less creditworthy borrowers by slicing up and recombining these loans with other investments. That way, when people defaulted on their loans, the loss was split between several different investors instead of hugely burdening one investor. At the time, many fund managers and leaders of investment firms were under a lot of pressure to meet quarterly targets and find areas in which to invest. This focus on short-term gains led many to make investing decisions that were actually detrimental to the company’s sustainable growth in the long-term. And in the long run, many of these investments have gone sour with countless home buyers defaulting on their loans and experiencing bankruptcy.

Asset-based securities have largely contributed to the financial problems that the United States and countries throughout the world are experiencing today. So for Wyndham to choose to continue to attempt to appeal to these types of investors is merely prolonging the larger problem. It is obvious that Wyndham is hoping that their decision to sell notes backed by timeshare assets will gain them positive press, and create more hope in investors in the short term. In such a dreary market, companies are doing anything they can in order to appear like business is growing instead of failing. This is obvious by the fact that Wyndham was able to announce to its Board of Directors that there was a cash dividend of $0.04 per share on its common stock, payable to shareholders June 12, 2009.

After all, with all of the drama in the boardroom several months ago with Wyndham stockholders trying to replace the Chairman by an Independent Director and the company’s CEO taking a 17% cut on his bonuses, the company is doing everything they can to keep investors and stockholders from bailing. And for most people, this short-term fix with Parsippany should help a little.

But, if you are looking into investing in timeshares, you should re-think your plans. Choose an investment with more moderate returns that is safer. Any part of the market that relies so hugely on securitization is going to be less stable and experience problems generating long-term growth. If no changes are made in the government to regulate and reform the way that banking institutions can use people’s money, requiring them to have a certain amount of the money backed up, insecure trading ventures such as asset-based securities will continue to cause larger and larger problems later. And the timeshare market, heavily dependent on asset-based securities, will always be a sector of the market that will fall fastest and hardest as a result of these problems.


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About the Author: The timeshare experts at Apex Professionals, LLC, concentrate on helping disillusioned timeshare holders to rid themselves of unwanted maintenance fees, unnecessary assessment costs, and to do away with those annoying high-interest mortgages by offering to take over unwanted timeshare agreements instantly.

One comment for “Timeshare Report: Wyndhams Dismal 3rd Quater”
I am calling on Select Wyndham top representatives to tell the truth! The weak lodging industry is NOT to blame for the noticeable decrease in revenue. The truth is the feds & banks tightened the lending rules and regs, which in turn has now made it somewhat difficult for select WVO top employees to demonstrate :

1. Inflating personal APG/VPG and closing % sales numbers. (e.g. Most Profitable and Non Profitable lead source time and location "knowledge" stemming from Wyndham Marketing could now be moot??)

2. Select groups of WVO employees willfully make misleading and false entries in the company books and records attempting to obtain BOA credit card loans and upfront commissions.

3. Favoritism and the appearance of impropriety.

4. Deliberate attempts to circumvent/manipulate the company process.

THE TRUTH WILL SET YOU FREE!!


Posted by Thomas E. Martin III, PhD | November 21, 2009, 3:49 pm

Cramer's Mad Money - Is the Game Over? (4/6/09)

Timeshare Report: Wyndhams Dismal 3rd Quater
By Apex Professionals LLC ⋅ October 28, 2009 ⋅ Post a comment

Wyndham WorldWide
As vacationers start spending less during recessions, Wyndham Worldwide (NYSE: WYN) also began spending less money and energy towards improving and sustaining their timeshare business; resulting in a negative report for their third quarter profits.

It was announced earlier this year that Wyndham would begin cutting back their marketing efforts by closing sales offices and spending less money on advertising, which resulted in a 35 percent decline in timeshare sales.

In one year, Wyndham’s earnings fell 27 percent from $142 million to $104 million and 80 cents per share to 57 cents per share. However, earnings were reported at 58 cents a share which topped analysts’ predictions by 2 percent.

Wyndham’s decision to cut spending towards their timeshare business has reflected in their revenue report as well. They announced that revenue had declined 17 percent from $1.23 billion down to $1.02 billion. Representatives of Wyndham stated that the weak lodging industry is to blame for the noticeable decrease in revenue.

Wyndham Exchange and Rentals, also known as Group RCI, reported that revenue decreased by 8 percent along with the Wyndham Hotel group which fell 14 percent.

It seems that Wyndham is not the only one showing a decrease in both earning, sales, and revenue, rather the entire lodging industry is struggling to find vacationers who want to spend money during these tough economic times. Potential timeshare buyers are choosing to save their money and cut back on luxury vacations.


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About the Author: The timeshare experts at Apex Professionals, LLC, concentrate on helping disillusioned timeshare holders to rid themselves of unwanted maintenance fees, unnecessary assessment costs, and to do away with those annoying high-interest mortgages by offering to take over unwanted timeshare agreements instantly.

One comment for “Timeshare Report: Wyndhams Dismal 3rd Quater”
I am calling on Select Wyndham top representatives to tell the truth! The weak lodging industry is NOT to blame for the noticeable decrease in revenue. The truth is the feds & banks tightened the lending rules and regs, which in turn make it somewhat difficult for select WVO top employees to continue demonstrating :

1. Inflating personal APG/VPG and closing % sales numbers. (e.g. Most Profitable and Non Profitable lead source times and locations knowledge from Wyndham Marketing could now be moot??)

2. Select groups of WVO employees willfully making misleading and false entries in the company books and records attempting to obtain BOA loans and upfront commissions.

3. Favoritism and the appearance of impropriety.

4. Deliberate attempts to circumvent/manipulate the company process.

THE TRUTH WILL SET YOU FREE!!


Posted by Thomas E. Martin III, PhD | November 21, 2009, 3:49 pm

Wyndham Worldwide's Surprisingly Solid Earnings Report

OMG..If the WYN employees and 1099 non employees STOP the securities activity could the WYN stock hit bottom..Could the WYN leadership bid rig to maintain control ??

EXAMPLE:
08/03/09 4 Statement of changes in beneficial ownership of securities Wargotz Michael H
08/03/09 4 Statement of changes in beneficial ownership of securities MULRONEY BRIAN
08/03/09 4 Statement of changes in beneficial ownership of securities RICHARDS PAULINE
08/03/09 4 Statement of changes in beneficial ownership of securities BIBLOWIT MYRA J
08/03/09 4 Statement of changes in beneficial ownership of securities BUCKMAN JAMES E
08/03/09 4 Statement of changes in beneficial ownership of securities HERRERA GEORGE
07/29/09 8-K Report of unscheduled material events or corporate event
07/10/09 SC 13G A statement of beneficial ownership of common stock by certain persons FMR LLC
06/22/09 11-K An annual report of employee stock purchase, savings and similar plans

Earnings Preview: Wyndham Worldwide Corp.

CAN YOU SAY DRUNKEN SAILOR SPENDING..The executives and sales managers @ WYNDHAM VACATION OWNERSHIP just do not get it. The WYN stock price hits 2.98 per share low and last week the top executives and sales managers spent 4 days at an "all inclusive" spa and golf resort in AZ. These guys @ WYndham spend money like drunken sailors!!! Someone NEEDS to educate the executives @ Wyndham on CONSERVATION OF BUSINESS AND PERSONAL NET WORTH..!


SIncerely,

T.Martin III, PhD
Business and Personal Net Worth Doctor

DRUNKEN SAILOR SPENDING = 52wk low: 4.22
52wk high: 30.85
EPS: 2.17
PE: 1.40
Dividend: 0.16
Yield: 5.30
Market Cap: 536.03 m
Exchange: NYE

Wyndham Worldwide Corporation Q2 2008 Earnings Call Transcript

I am offering the Wall Street Bankers/ Real Estate/ Vacation Ownership mentors collective wisdom on how to be more successful. Not information on how to manage the business, but how to build it, how to grow it. I offer an unparalleled opportunity to learn many of the essential sales, marketing, and Business Net Worth skills you've wanted to learn but didn't know who to ask..
I have 20 years of combined major industry Professional Tool and Equipment marketing, extending open credit terms, sales, co op advertising, and Business Net Worth planning. In Addition, I am a graduate of an Online University in both Business and Physical Education. In 2002, I completed the Series 7, 6, and 63 as well as Life and Health Insurance CE credits.

Earnings Preview: Wyndham Worldwide

New= Conservation of Net Worth VS False Sense of Urgency & 3rd party lies

For the past several years I have faced False sense of urgency company POLITICS as I continue to innovate LOGIC into top heavy emotion based Real Estate and Vacation Ownership sales and marketing depts.. We need CONGRESS to pass SUITABILITY LENDING ACT across the board to stablize our economy over the long term!!!

Earnings Preview: Wyndham Worldwide

It is time we change the company masters mindset in timeshare and Real Estate!!

"Suitability" Vacation Ownership Example:

Medical Exam vs. Vacation Ownership Analysis

Medical Checkup vs. Vacation Ownership Checkup

Medical History vs Fact Finding
Symptoms vs Goals and Concerns
Tests vs Vacation Calculations
Diagnose the Problem vs Diagnose the Need
Prescribe Treatment vs Suggest Solutions
Follow up vs Review

Vacation ownership professionals should follow the same method of inquiry and resolution as medical professionals.

* Doctors ask for a medical history -
Vacation professionals gather facts
* Doctors observe and record symptoms -
Vacation professionals record client’s concerns and goals
* Medical Tests are performed -
Vacation calculations are performed
* Doctors diagnose the problem -
Vacation professionals help determine needs and wants
* Doctors prescribe a treatment -
Vacation professionals present a solution
* Patients return to the doctor for a follow up Vacation professionals periodically review their client’s situation

Created By,
Thomas E. Martin III, PhD (09/11/2008)


INTRODUCTION TO CHANGE

SKILL TRANSFER LOGIC EXERCISES FOR LEARNING TO IMPACT THE PRIVATE BUSINESS OWNER AND AFFLUENT AND NON AFFLUENT MARKETS.



This overview is the initial level of the scheme and is very much aimed at the mentors and new hire trainers employed in banking and investments and insurance and real estate and timeshare sic codes.

AIM

The outline is aimed at the mentors and trainers who are attempting to market and sell needs based products and services to the private business owners and affluent and non affluent consumers. The logic system aims to provide each new and existing employee with a body of knowledge and practical expertise that has proven to enable employees to progress into the private business owner sic codes as well as reach new customers.

OBJECTIVES

1. To give the employee a very basic understanding of the principles on which the logic system is based.


2. To ensure that the employee understands the principles and fundamentals of the logic system.


3. Business Owners and Employees will have a full understanding of the safety and precautions when presenting the logic system.


4. To give to employees a working knowledge of the rules so that he or she does not misrepresent the products and services.


5. To ensure the employee is familiar with the basic principles of the logic system as they apply to the private industry and affluent consumers.


BASIC TEACHING PRINCIPLES

In business training, all mentors and trainers are to an extent teachers and the principle used by the teacher to produce an environment for learning, effectively impart information and produce meaningful and result-producing activity have much to commend them.


EFFECTIVE DESCRIPTION

Many trainers and mentors use their enthusiasm to convey their knowledge can easily over-elaborate their description of the business products and services to the public and private sectors. WARNING The enthusiasm as well as the emotion could easily trick the consumers to make an unsuitable purchase based on the consumers monthly budget.


RE-INFORCEMENT AND ENCOURAGEMENT

Nothing puts a new hire and existing employee off more than being told, “Don’t do this, or don’t do that!” or emphasizing what they are doing wrongly. Be a positive mentor or trainer and back this attitude up by positive re-inforcement – “Do this, and do that,” is much more encouraging and confidence building for an employee. Put emphasis on what they are doing correctly. Praise brings far more results than criticism.

Example: REAL ESTATE & TIMESHARE VACATION OWNERSHIP POINTS (SUITABLILITY MATCH/FIT CLOSE NEW SOLUTION PRESENTATION).
1. Meet and Greet
2. General Warm-up (Break the Pact)
3. Specific Warm-up
4. Overview
5. Trouble Shoot for cash flow problem areas
6. Demo Budget
7. Demo Cash Flow Management skills toward ownership
8. Asset – Liability = Net Worth ( DEED Vs. RECIEPT )
9. COnservation of Net Worth + or - = Personal Choice.
10. Demo Timeshare Points lodging ownership plan.
11. Rent Vs. Own use Life Expectancy Chart & CPI Inflation Chart
12. Commitment = Break The Financial Hardship Cycle.
13. Suitability Close =Match DEED or UDI to the consumers Budget. This system protects the consumers as well as reduces the loan default rates. Find the “set point” budget number for the consumer and help the consumer work upward as time moves forward. CHANGE=The current mentors teach reps top heavy emotion selling techniques. They teach the reps to sell from the top loan package downward! We must change the system in order to stabilize our economy!!!

… 2006 Copyright@Martin Consulting DBA Thomas E. Martin III, PhD

Earnings Preview: Wyndham Worldwide Corp.

Suitability Vacation Ownership Marketing and Sales Example:

Medical Exam vs. Vacation Ownership Analysis

Medical Checkup Vacation Ownership Checkup

Medical History Fact Finding
Symptoms Goals and Concerns
Tests Vacation Calculations
Diagnose the Problem Diagnose the Need
Prescribe Treatment Suggest Solutions
Follow up Review

Vacation professionals should follow the same method of inquiry and resolution as medical professionals.

* Doctors ask for a medical history -
Vacation professionals gather facts
* Doctors observe and record symptoms -
Vacation professionals record client’s concerns and goals
* Medical Tests are performed -
Vacation calculations are performed
* Doctors diagnose the problem -
Vacation professionals help determine needs and wants
* Doctors prescribe a treatment -
Vacation professionals present a solution
* Patients return to the doctor for a follow up Vacation professionals periodically review their client’s situation

Created By,
Thomas E. Martin III, PhD (09/11/2008)


INTRODUCTION TO CHANGE

SKILL TRANSFER LOGIC EXERCISES FOR LEARNING TO IMPACT THE PRIVATE BUSINESS OWNER AND AFFLUENT AND NON AFFLUENT MARKETS.



This overview is the initial level of the scheme and is very much aimed at the mentors and new hire trainers employed in banking and investments and insurance and real estate and timeshare sic codes.

AIM

The outline is aimed at the mentors and trainers who are attempting to market and sell needs based products and services to the private business owners and affluent and non affluent consumers. The logic system aims to provide each new and existing employee with a body of knowledge and practical expertise that has proven to enable employees to progress into the private business owner sic codes as well as reach new customers.

OBJECTIVES

1. To give the employee a very basic understanding of the principles on which the logic system is based.


2. To ensure that the employee understands the principles and fundamentals of the logic system.


3. Business Owners and Employees will have a full understanding of the safety and precautions when presenting the logic system.


4. To give to employees a working knowledge of the rules so that he or she does not misrepresent the products and services.


5. To ensure the employee is familiar with the basic principles of the logic system as they apply to the private industry and affluent consumers.


BASIC TEACHING PRINCIPLES

In business training, all mentors and trainers are to an extent teachers and the principle used by the teacher to produce an environment for learning, effectively impart information and produce meaningful and result-producing activity have much to commend them.


EFFECTIVE DESCRIPTION

Many trainers and mentors use their enthusiasm to convey their knowledge can easily over-elaborate their description of the business products and services to the public and private sectors. WARNING The enthusiasm as well as the emotion could easily trick the consumers to make an unsuitable purchase based on the consumers monthly budget.


RE-INFORCEMENT AND ENCOURAGEMENT

Nothing puts a new hire and existing employee off more than being told, “Don’t do this, or don’t do that!” or emphasizing what they are doing wrongly. Be a positive mentor or trainer and back this attitude up by positive re-inforcement – “Do this, and do that,” is much more encouraging and confidence building for an employee. Put emphasis on what they are doing correctly. Praise brings far more results than criticism.

Example: REAL ESTATE & TIMESHARE POINTS (SUITABLILITY MATCH/FIT CLOSE NEW SOLUTION PRESENTATION).
1. Meet and Greet
2. General Warm-up
3. Specific Warm-up
4. Overview
5. Trouble Shoot for cash flow problem areas
6. Budget
7. Cash Flow management skills
8. Asset – Liability = Net Worth ( DEED Vs. RECIEPT )
9. Net Worth + or - = Personal Choice.
10. Timeshare Points lodging ownership plan.
11. Rent Vs. Own use Life Expectancy Chart & CPI Inflation Chart
12. Commitment = Break The Financial Hardship Cycle.
13. Suitability Close =Match DEED or UDI to the consumers Budget. This system protects the consumers as well as reduces the loan default rates. Find the “set point” budget number for the consumer and help the consumer work upward as time moves forward. CHANGE=The current mentors teach reps top heavy emotion selling techniques. They teach the reps to sell from the top loan package downward! We must change the system in order to stabilize our economy!!!

… 2006 Copyright@Martin Consulting DBA Thomas E. Martin III, PhD

Wyndham Worldwide Corporation Q1 2008 Earnings Call Transcript

INFLATION is pushing consumers to work inside a points ownership travel plan. The ownership plan demo 5 star quality over the long term.. The timeshare product is hot because consumers are forced to make adjustments in order to keep up with INFLATION!! Timeshare Default is happening because the managers and representatives are trained to sell DEEDS strictly from emotion... The tours take 4-5hrs long.. (e.g. 3rd party emotion stories)
IF the timeshare SUPERIORS desire to reduce DEED defaults they must create a budget for the consumer in turn match the clients misc vacation spending habits to a package. In closing, The consumer must KNOW BUDGET NUMBER AND WORK WAY UP!!! SUITABILITY DEED CLOSE IS A WIN WIN FOR ALL PARTIES!!!!!

Jim Cramer's Stop Trading! 4/8/08: Much Ado about WaMu

Lets face it the Insurance and Timeshare and Investment Banking mentors teach their reps bad habits. The mentors and representatives in Insurance and Investment banking and Timeshare think what they do is normal because the company masters live in a bubble as they only promote from within the sic code....The majority of babyboomers holding the assets as well as the private business owners think Insurance and Timeshare and Investment Banking mentors and representatives are nuts.... Go Figure.. The majority of US population is NOT buying into emotion!...

Earnings Preview: Wyndham Worldwide Corp.

I am concerned about the Wyndham declining stock price and the employee turnover in the Wyndham Worldwide Vacation ownership marketing and sales departments. Over the last year, the average length of employment has been four months. Since an employee's first two months are spent learning the product and service, we only benefit from an average of two months of steady work. Clearly, we must find a solution to this problem. As time moves forward, Inflation and Inducement costs put a major strain on the company general assets.

First of all, I suggest that when interviewing applicants, Wyndham recruiters be very specific about the type of commitment we expect from our employees. Let the applicants know that we only want to hire those who can make at least a one-year commitment to the company. Also, perhaps we should consider how stable an applicant's employment history has been. Secondly, I would consider a “3,5,7 yr vesting schedule” inside the Wyndham 401K, which in turn would provide golden handcuffs on key producers as well as reduce the future inducement cost, etc. Lastly, I would introduce 21st century comprehensive planning tools into the Wyndham vacation ownership employee training classes. Please contact me @ [e-mail] for more detail.

Sincerely,

Thomas E. Martin III, PhD
Martin Consulting

Earnings Preview: Wyndham Worldwide Corp.

Dear BOD,

I am concerned about the Wyndham declining stock price and the employee turnover in the Wyndham Worldwide Vacation ownership marketing and sales departments. Over the last year, the average length of employment has been four months. Since an employee's first two months are spent learning the product and service, we only benefit from an average of two months of steady work. Clearly, we must find a solution to this problem. As time moves forward, Inflation and Inducement costs put a major strain on the Wyndham company general assets.

First of all, I suggest that when interviewing applicants, recruiters be very specific about the type of commitment we expect from our employees. Let the applicants know that we only want to hire those who can make at least a one-year commitment to the company. Also, perhaps we should consider how stable an applicant's employment history has been. Secondly, I would consider a “3,5,7 yr vesting schedule” inside the Wyndham 401K, which in turn would provide golden handcuffs on key producers as well as reduce the future inducement cost, etc. Lastly, I would introduce 21st century comprehensive planning tools into the Wyndham vacation ownership employee marketing and sales training classes. Please contact me @[e-mail] for more detail.




Sincerely,


Thomas E. Martin III, PhD
Martin Consulting

Wyndham Worldwide, Corp. Q3 2007 Earnings Call Transcript

Wyndham BOD
Seven Sylvan Way
Parsippany, NJ 07054

Dear Board of Directors,

I am concerned about the Wyndham declining stock price and the employee turnover in the Wyndham Worldwide Vacation ownership marketing and sales departments. Over the last year, the average length of employment has been four months. Since an employee's first two months are spent learning the product and service, we only benefit from an average of two months of steady work. Clearly, we must find a solution to this problem. As time moves forward, Inflation and Inducement costs put a major strain on the Wyndham company general assets.

First of all, I suggest that when interviewing applicants, you be very specific about the type of commitment we expect from our employees. Let the applicants know that we only want to hire those who can make at least a one-year commitment to the company. Also, perhaps we should consider how stable an applicant's employment history has been. Secondly, I would consider a “3,5,7 yr vesting schedule” inside the Wyndham 401K, which in turn could provide golden handcuffs on key producers as well as reduce the future inducement cost, etc. Lastly, I would introduce 21st century comprehensive planning tools into the Wyndham vacation ownership employee training classes. Please feel free to contact me for more detail.

Sincerely,


Thomas E. Martin III, PhD
Martin Consulting
[e-mail]

Wyndham Worldwide, Corp. Q3 2007 Earnings Call Transcript

home.comcast.net/~tm3phd/autotravelind...

Wyndham Worldwide, Corp. Q3 2007 Earnings Call Transcript

Dear Wyndham BOD,

I'm a former financial advisor now working inside wyndham vacation ownership as a vacation counselor. In 2005, I introduced NET WORTH and INFLATION and CASH FLOW MANAGEMENT SKILLS to the consumers on tour as well as top Wyndham and RCI VPs and managers and directors at the Myrtle Beach, SC and recently the Las Vegas corporate site. My closing numbers demo #1 in the Wyndham Worldwide company scorecard however I'm NOT able to break through the top rank and file POLITICS at WYNDHAM.. Lastly, I can NOT believe WYNDHAM does NOT incorporate vesting schedules into the new hire process which in turn reduces INDUCEMENT COST,etc,etc.. The strain on the WYNDHAM general assets combined with Inflation forces negative outcomes at time moves forward...! I'm attempting to reach out to the right people with this e-mail. Please contact me if I may assist you further @[e-mail]..

Sincerely,

Thomas E. Martin III, PhD
WW SALES ID 16757