June 2016

Marriott’s Club Son Antem Holiday Owners, It is my pleasure to present Marriott’s Club Son Antem Chairman’s Letter in English and in German. In this issue, you'll learn about the latest developments taking place at your home away from home in Mallorca, Spain. Best regards, Martin Divenosa General Manager

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Son Antem Resort Advisory Board’s Newsletter

June 2016Dear Fellow Son Antem Owners,

Have you ever visited our wonderful resort in April or May? Looking at our resort now, whilst I write this letter, I like the way it looks and presents itself. The locations are tidy, the rooms convenient and well equipped, the welcome is very friendly thanks to our motivated and well trained staff and everybody can choose his preferred activity and/or location. Those who like it quiet can go for a walk around the golf resort or read a book at the villa; those who wish to work off-site are able to enjoy the benefit of a good working and communications infrastructure.

Positive also is the motivated and knowledgeable Management and good welcome routines, including 3+ for honourable core owners, the owners’ cocktail and the La Terrassa Restaurant which has greatly improved and enjoys a reasonably good standard for a golf and resort restaurant on the island. The cocktails are well attended and allow for an effective exchange amongst owners. Do not hesitate to show your appreciation to Christian Martinez, Christian Saiu and Anja Slowik and their colleagues in charge of Reception and Housekeeping.

The gardens are a delight, the many flowers, especially now in spring enrichment and the landscaping service is effective and complementary to our needs. Be it at the villa as regards housekeeping, be it in the resort, in the restaurant or in the activity centre and we have a good functional golf shop with great goods and a little resort, The MarketPlace for daily needs. The two golf courses are in much better shape and we appreciate the efforts done by Yago Gonzales, Javier Nunez and our Marriott Vacation Club staff to constantly improve the status of them. (Reverse Osmosis Plant for better water, improvement of greens, fairways etc.).

Last week we had our annual Board spring meeting. We looked at the numbers, dealt with ABOD issues and the forthcoming elections:

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The projects which the Management has undertaken during the last months have mostly been successful, due in part to the fact that we have MartinDivenosa, a new, energetic, Spanish speaking General Manager, who takes the time to communicate with us between the official meetings as well as having both acumen and charm when dealing with people and resort issues. He is ably supported by Jan Vogdt, a strong and enterprising Operations Manager and engaged teams that have proven valuable in many areas of this extensiveproperty. A good example of property betterment is the newly renovated oldwell with recreation area, nearby Villa block 7. It can be booked for family or group events with our reception.

(Picture of historic well, plus sitting area)

We have undergone a partial soft goods villa renovation, which unfortunatelyleads to many questions from our owners. Naturally everybody knows best what has to be done in his home and some of our owners tend to forget, that they are guests and users of timeshare and not of the property itself. The blue chairs and the sofa bed in Son Antem stand out in as much as they are not sufficiently ergonomical and their colour and texture seem too bold in a villa room environment which is rather marked by soft, accompanying colours. We have expressed our wish to see them altered and local Management will respond to it. We also have our questions, whether some goods are durable enough to last for the average 5 – 8 year period that seems to be the benchmark for restoration at the resort. Neither did we have a show villa in time nor was the architect in our ranks of the ABOD used in a proactive way into the process. Fortunately we had the opportunity during the meeting to discuss how this can be done better next time, as considerable costs are

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involved. A good forward looking step was done on site and villa renovation visit during the meeting and we have, which I am glad about, been able to identify the issues for improvement together with the Management!

As your Chairman and Finance Team Responsible for the ABOD for the last number of years, I am drawn between the conflict about the cost increase, as seen in the maintenance fee and the requirement to feed the reserve fund and the resultant betterment at the resort. The peaks and the troughs in that process have become more demanding and we are facing higher numbers, especially for reserve fund and extraordinary cost developments. We need to have this under control as we are accountable towards our owners! The new Finance Team presented their concerns over these maintenance fees and reserve fund expectations for the next 5 years up to 2021 and made a strong plea on behalf of all owners but particularly those in or approaching retirement. Let us work together with the Resort Management here, but also aim for a fair cost sharing in our resort which is particularly exposed to share cost development within the Home Owners Association (HOA), both for reasons of size of the property. Also the unexpected development as regards the nearby Be Live Hotel Property and Management has to be taken into account. We believe that this can still be better thought through at all levels of responsibility at the Marriott Vacation Club group.

As already reported in autumn 2015, it is a further objective to save energy in the resort and the villas through our new villa energy project and a number of additional ECO - Savings initiatives, presented to the ABOD by Management. Conclusive tests for the various initiatives should be available in time for the October 2016 meetings. In consequence the Resort Budget for 2016 and beyond foresees considerable energy savings through reduced Utility costs. This needs some discipline from villa owners to equally show their will to preserve energy during the hot summer months and all Owners are requested to contribute by diligently using aircon, heating facilities, light and computer equipment in their villas!

The Election Process is under way and you should have received the suggestion for registration if you wish to serve on the ABOD starting in spring 2017 from

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MVCI Association Services. If you submit your candidacy please do so in English, summarised in 150 words and in time, thanks.

The La Terassa, our Golf and Spa Resort Restaurant is a great meeting place.There is a wonderful breakfast now and lunch and dinner meals are light and there is a variety for different tastes. Please express your thanks to themotivated staff, including Javier Caballero, F&B Manager, and Tanja Vidal, the new Chef from Llucmajor.

(Pictures from La Terassa entrée plate and blossoms in villa garden)

Marriott Vacation Club International Europe, responsible for managing Resale issues in Europe, plans to buy back the following 60 – 80 weeks during the 2016 Repurchase plan:

Weeks Units

2 Bed Platinum 20-25

2 Bed Gold 20-25

2 Bed Silver 20-25

3 Bed Platinum 0- 5

The pricing will be mainly in line with 2015 with 2 bed platinum price is a little lower, but that enables them to offer a little more to the 2 bed gold owners and to offer to repurchase silver inventory for the first time. Up to 35 weeks will be purchased in the 1st half year, 35 weeks in the 2nd half year 2016.

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The Advisory Board cannot assist owners who wish to sell weeks, nor are we entitled to comment on adequacy of pricing of sales and resales through Marriott Vacation Club International.

Please speak to the Sales Office in Son Antem, if you wish to learn more about it including the proposed 2016 pricing and/or contact a representative in Owner Services in Cork. They speak a number of languages and are very supportive! European.services@vacationclub.com can tell you about the current repurchase price of Marriott Vacation Club International inventory.

Did you know, that 2 Marriott Brands, according to the London’s Brand Finance‘ Marketing Firm are under the top 10 most precious Hotel Brands in the World namely Courtyard‘ number 6: 2,845 Bio. USD and Marriott‘, number 2: 5,315 Bio. USD, Sheraton‘ number 4: 3,404 Bio. USD will soon also belong to the Group, as Marriott International has taken over Starwood this spring. The most valuable brand in the world still is Hilton‘ with 7,819 Bio. USD value.

Let the Advisory Board know, if you have a question or a comment: mailto:ownerboard.mallorca@vacationclub.com. Please feel free to contact us, or the webpage1 if you have a comment.

With my best personal regards,

Dr. Christoph Sievers, Chairman

1 Access to the Son Antem Owners page website:

1. Go to Internet page www.marriottvacationclub.com

2. Log on to your account using your name and Password.

3. Click on “Browse for Resorts”

4. Click on “Europe”

5. Click on “Marriott’s Club Son Antem Resort Page”

6. Click on “Weeks Owners”

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Advisory Board Son Antem 2016