ILX Premiere Vacation Club files for bankruptcy

[rikkis_playpen Diamond Club Contributor Find all posts View Profile Close rikkis_playpen]

Neither ILX Resorts or Premiere Vacation Club ("PVC") has declared bankruptcy. The bullet points below explain the situation at Rancho Manana Resort.

Welcome and thank you for the info!

I look forward to any future contributions you can make! This is a great community of timeshare fans- and I hope you'll stay involved in these discussions!

[katiemack Super Moderator Find all posts View Profile Close katiemack]

Losing $$$

A Link that might seem relevant:

ILX Loses over $7 million

[rikkis_playpen Diamond Club Contributor Find all posts View Profile Close rikkis_playpen]

Resort operator ILX Inc. files for bankruptcy

Looks like the next domino in the ILX chain has fallen!


Resort operator ILX Inc. files for bankruptcy

by Dawn Gilbertson - Mar. 3, 2009 12:00 AM
The Arizona Republic

Timeshare resort operator ILX Inc., stung by plunging timeshare sales and a surge in buyers' loan delinquencies, filed for Chapter 11 bankruptcy reorganization Monday.

The small Phoenix-based company, best known for its Los Abrigados Resort in Sedona, also blamed a recent "unanticipated reduction" in its financing due to instability in the financial markets.

The company's stock will continue to trade on the American Stock Exchange. But it could end up worthless, as stockholders last in line for repayment in bankruptcy reorganizations. Shares fell 9.4 percent Monday to 48 cents. ILX stock had been as high as $6 a share in the past year.

ILX, which operates eight timeshare resorts in Arizona, one each in Colorado and Indiana and one in San Carlos, Mexico, said it expects the Chapter 11 filing to enable the company and its resorts to continue business as usual.

Timeshare operators, like hotels, airlines and other travel businesses, are hurting because consumers have less disposable income in this weak economy. That means less money to spend on a timeshare or, in the case of those who already own a week or two at a timeshare resort, to pay off their loan.

ILX has not filed its financial results for the fourth quarter ended Dec. 31. In the nine months through Sept. 30, it reported a net loss of $8.1 million, compared with a loss of $801,194 a year earlier. Revenue plunged in the same period to $17.8 million, one-half the level of a year earlier. The biggest culprit: ILX's estimated uncollectible revenue, which is deducted from total revenue, ballooned to $15.2 million from $839,097 in the first nine months of 2007 as it reviewed past-due accounts and the likelihood of collecting from customers who were current on their loans or had just purchased a timeshare.

Timeshare sales fell 19 percent in the nine-month period, to $14.9 million from $18.4 million. The average sales price fell 3.5 percent to $17,157.

[kapish Super Moderator Find all posts View Profile Close kapish]

More news on Yahoo Finance:
ILX RESORTS INC Share Price Chart | ILX - Yahoo! Finance UK
ILX Resorts Files for Chapter 11 Reorganization: Financial News - Yahoo! Finance

“Dramatic challenges in the economy and recent unanticipated reductions in our credit facilities caused by disruption and instability in the capital markets have necessitated that we seek reorganization protection to preserve resources for an orderly restructuring of the Company,” said Joe Martori, Chairman and CEO.

The Company expects that Chapter 11 protection will enable the company to conduct its business operations as usual. To that end, the Company is seeking approval from the court in order to continue managing its operations in the ordinary course.

[BklynNative Junior Member Find all posts View Profile Close BklynNative]

ILX files Chapter 11

ILX files Chapter 11


on 02-03-2009 13:22
Sedona Red Rock News, Sedona, AZ Classifieds, Jobs, News, Sports, Weather - ILX files Chapter 11


By Greg Ruland

One of Sedona's largest private employers filed for reorganization under Chapter 11 of the U.S. Bankruptcy Code today, March 2, ILX Resorts Chief Financial Officer Margaret Eardley announced.

The filing came after ILX, a publicly traded company, was unable to negotiate an extension for payments on a $5 million promissory note owed to Textron Financial Corporation, according to documents filed with the Securities Exchange Commission.

About $4.57 million in principal is still outstanding, ILX reported.

The loan was due to be paid off Dec. 31, 2008, but ILX negotiated two extensions on the payment, the last of which expired Sunday, Feb. 28.

ILX and Textron "have been unable to reach a mutally acceptable longer term extension of the loan," ILX reported.

The loan is secured by an assignment of a promissory note owed to ILX and a "Deed of Trust from an affiliated limited liability company securing approximately 14 acres of land in Sedona."

The company and several of its subsidiaries filed under Chapter 11 in the U.S. Bankruptcy Court in Phoenix.

""Dramatic challenges in the economy and recent unanticipated reductions in our credit facilities caused by disruption and instability in the capital markets have necessitated that we seek reorganization protection to preserve resources for an orderly restructuring of the Company,” Joe Martori, ILX Chairman and CEO, stated in a press release.


ILX expects Chapter 11 protection will "enable the company to conduct its business operations as usual. To that end, the Company is seeking approval from the court in order to continue managing its operations in the ordinary course," Eardley stated.

"I can't comment any further," she said.

Susan Johnson contributed to this report.

[dmbrand Member Find all posts View Profile Close dmbrand]

Would you still choose an exchange into an ILX resort?

As I search exchanges, I come across many ILX units available. Are these resorts still operating as usual? Would you consider exchanges into 2010 as too risky?

[katiemack Super Moderator Find all posts View Profile Close katiemack]

Depends on where the resort is located. If it is in Arizona, should be safe for the most part, but there are better resorts to choose from. As for Mexico or Las Vegas, I am not sure....ILX is one of the biggest employers in the Sedona area, and the Sedona newspaper used to have a lot of employment ads from them, but these are non-existent, except for timeshare sales positions .... these are still being advertised, go figure.

[dmbrand Member Find all posts View Profile Close dmbrand]

I had seen the Sedona - Abrigados units listed as available in spring 2010, and thought maybe my parents would like to go. I thought I had read that they were nice, maybe I am confusing them with others.

[rikkis_playpen Diamond Club Contributor Find all posts View Profile Close rikkis_playpen]

Resort operator ILX Inc. files for bankruptcy

News report says ILX Inc. files for Chapter 11 Bankruptcy on Monday... Didn't that already happen?

[bbeck7 Junior Member Find all posts View Profile Close bbeck7]

ILX chapter 11

I'm an owner at Los Abrigados and the outcome and relevance to me is still a mystery.The court actions are listed at the ILX website.I called the resort this morning and there was not much helpful info except that the corporation would likely be sold to Diamond Resorts in the near future and that the effect on the timeshare owners is anybodies guess.If anyone hears anything new please contact me.I stayed at the resort 6-10-1- to 6-17-10 and it seemed to be business as usual.Thanks