Hilton Grand Vacations Co. Announces Ground-Breaking of the New Hilton Grand Vacations Club at the Las Vegas Hilton

Business Wire, August 20, 1998

LAS VEGAS--(BUSINESS WIRE)--Aug. 20, 1998--Hilton Grand Vacations Co. Thursday announced the ground-breaking of the 232-suite Hilton Grand Vacations Club(R) at the Las Vegas Hilton.

Located adjacent to the Las Vegas Hilton, the resort is slated for completion in August 1999 and will bring the company's total portfolio of vacation-ownership properties to 20.

According to Don Harrill, chief executive officer of Hilton Grand Vacations Co., "The growing popularity of Las Vegas as a travel destination, combined with the success of the Hilton Grand Vacations Club product in the market, has prompted the development of our second HGVClub property in Las Vegas."

Hilton Grand Vacations Co.'s flagship vacation-ownership resort, Hilton Grand Vacations Club at the Flamingo Hilton-Las Vegas, opened in 1993 and is projected to be completely sold out this summer; at that time, preopening membership sales of the new Hilton Grand Vacations Club at the Las Vegas Hilton will commence.

The 16-story resort will feature one- and two-bedroom suite accommodations. In keeping with the Hilton Grand Vacations Club standard of creating a "welcome-home" environment, each suite features an extensive variety of amenities, including fully equipped kitchens, washers and dryers, spacious living and dining areas, and private master bedrooms.

Ideally positioned adjacent to the Las Vegas Hilton, HGVClub will offer immediate proximity to the extensive recreation facilities, restaurants and amenities of the hotel, including the new attraction STAR TREK(R): THE EXPERIENCE(TM) and the famed Las Vegas Strip, just one block away.

"We are proud to strengthen Hilton's leadership presence in the Las Vegas market," said Harrill. "The thriving success of the vacation-ownership industry and the demand for the flexible membership benefits available exclusively through Hilton Grand Vacations Club encourage our strategic development in select markets.

"As our membership of approximately 50,000 owners continues to grow, we are committed to developing additional resorts and distinctive services to enhance the value of membership in Hilton Grand Vacations Club."

Hilton Grand Vacations Co. is a wholly owned subsidiary of Hilton Hotels, recognized internationally as the pre-eminent gaming and hospitality company. Hilton Hotels develops, owns, manages or franchises hotel-casinos, resorts, and vacation-ownership and hotel properties.

Hilton Grand Vacations Co. currently manages 16 beachfront resorts in Florida, and has built vacation-ownership resorts in Orlando at Sea World International Center and in Las Vegas at the Flamingo Hilton. Construction of the 26-villa Hilton Grand Vacations Club at South Beach is currently under way in Miami Beach, Fla., with opening slated for late 1998.

The company also operates an innovative club-membership program, Hilton Grand Vacations Club, providing exclusive exchange, leisure- travel and reservation services for its members.

http://www.hilton.com

    CONTACT: Hilton Grand Vacations Co., Orlando
              Elena H. Valadez, 407/521-3178
                                407/521-3177 (fax)
                                evaladez@hgvc.com