Friday, July 19, 2024
Hawai'i Free Press

Current Articles | Archives

Saturday, September 24, 2011
Disney Re-starts some Aulani sales after Hawaii approves 33% fee increase
By Selected News Articles @ 1:04 AM :: 8967 Views :: Maui County, Education K-12, Energy, Environment, National News, Ethics

Error leads to 33% fee increase for Disney's Aulani time shares

by Jason Garcia, Orlando Sentinel 9-22-11 (excerpt)

The Walt Disney Co. has been given permission to raise its fees by 33 percent for those who buy time shares at its new, $850 million resort in Hawaii, as the company attempts to fix a financial error that cost three Central Florida executives their jobs.

The approval, granted Thursday by Hawaiian state regulators, clears the way for Disney to resume time-share sales at Aulani, a massive hotel and time share that opened Aug. 29 west of Honolulu on the island of Oahu.

"We have resumed closing sales for Aulani in Hawaii and hope to follow suit in our other sales locations shortly," said Rena Langley, a spokeswoman for Disney Vacation Club, the company's Celebration-based time-share arm.

Disney must now submit updated consumer-disclosure materials to regulators and other states. The company will begin with Florida, California, New York and Illinois, its most-important sales markets....

Disney suspended Aulani time-share sales on July 9 after an internal investigation found that executives had underestimated the annual dues it needed to charge time-share buyers to cover the resort's operating expenses. The discovery sparked concerns within Disney that Aulani would eventually face an operating loss or would have to jack up its dues in later years, potentially alienating customers.

Disney said the error was the result of an unintentional miscalculation. Still, the company fired three people over the mistake: Jim Lewis, the former president of Disney Vacation Club, and two finance executives who had previously worked in the time-share unit.

Documents approved Thursday by Hawaii revealed for the first time the magnitude of the error. Disney initially set dues at $4.31 for every time-share "point" purchased by a customer. (Disney Vacation Club sells points that can be redeemed at various times of the year and at different destinations, rather than specific units and time intervals.)

Now, however, Disney will charge $5.73 per point — a 33 percent increase.

The increase works out to about $180 more per year for someone who buys just enough points to spend a week in a studio unit at Aulani during the slowest time of the year. It would add almost $850 more a year for someone who buys enough points for a week in a two-bedroom, ocean-view room during the busiest parts of the year….

Related: Disney Halts Sales at Aulani, Fires top Execs

read … 33% Increase

Links

TEXT "follow HawaiiFreePress" to 40404

Register to Vote

2aHawaii

Aloha Pregnancy Care Center

AntiPlanner

Antonio Gramsci Reading List

A Place for Women in Waipio

Ballotpedia Hawaii

Broken Trust

Build More Hawaiian Homes Working Group

Christian Homeschoolers of Hawaii

Cliff Slater's Second Opinion

DVids Hawaii

FIRE

Fix Oahu!

Frontline: The Fixers

Genetic Literacy Project

Grassroot Institute

Habele.org

Hawaii Aquarium Fish Report

Hawaii Aviation Preservation Society

Hawaii Catholic TV

Hawaii Christian Coalition

Hawaii Cigar Association

Hawaii ConCon Info

Hawaii Debt Clock

Hawaii Defense Foundation

Hawaii Family Forum

Hawaii Farmers and Ranchers United

Hawaii Farmer's Daughter

Hawaii Federation of Republican Women

Hawaii History Blog

Hawaii Jihadi Trial

Hawaii Legal News

Hawaii Legal Short-Term Rental Alliance

Hawaii Matters

Hawaii Military History

Hawaii's Partnership for Appropriate & Compassionate Care

Hawaii Public Charter School Network

Hawaii Rifle Association

Hawaii Shippers Council

Hawaii Together

HiFiCo

Hiram Fong Papers

Homeschool Legal Defense Hawaii

Honolulu Navy League

Honolulu Traffic

House Minority Blog

Imua TMT

Inouye-Kwock, NYT 1992

Inside the Nature Conservancy

Inverse Condemnation

July 4 in Hawaii

Land and Power in Hawaii

Lessons in Firearm Education

Lingle Years

Managed Care Matters -- Hawaii

MentalIllnessPolicy.org

Missile Defense Advocacy

MIS Veterans Hawaii

NAMI Hawaii

Natatorium.org

National Parents Org Hawaii

NFIB Hawaii News

NRA-ILA Hawaii

Obookiah

OHA Lies

Opt Out Today

Patients Rights Council Hawaii

Practical Policy Institute of Hawaii

Pritchett Cartoons

Pro-GMO Hawaii

RailRipoff.com

Rental by Owner Awareness Assn

Research Institute for Hawaii USA

Rick Hamada Show

RJ Rummel

School Choice in Hawaii

SenatorFong.com

Talking Tax

Tax Foundation of Hawaii

The Real Hanabusa

Time Out Honolulu

Trustee Akina KWO Columns

Waagey.org

West Maui Taxpayers Association

What Natalie Thinks

Whole Life Hawaii