Travel + Leisure (TNL) 8-K Wyndham Worldwide Reports Solid Second Quarter 2008 Results

Exhibit 99.1

Wyndham Worldwide Reports Solid Second Quarter 2008 Results

Net revenues increased 3% to $1.1 billion
EBITDA growth in all three businesses
Adjusted EPS up 8% to $0.53

PARSIPPANY, N.J. (July 31, 2008)— Wyndham Worldwide Corporation (NYSE:WYN) today announced results for the three months ended June 30, 2008.

SECOND QUARTER 2008 HIGHLIGHTS:

• Second quarter 2008 revenues were $1.1 billion, an increase of 3% from second quarter 2007.

• System-wide revenue per available room (RevPAR) increased 1.4% in the second quarter of 2008 compared to the second quarter of 2007.

• Average number of vacation exchange members increased 5%, or 176,000 members, compared to the second quarter of 2007, reaching nearly 3.7 million members.

• Average net price per vacation rental increased 15% for the second quarter of 2008 compared to the second quarter of 2007, or 5% in constant currency.

• Gross Vacation Ownership Interest sales increased 2% compared to the second quarter of 2007.

• Second quarter reported EPS grew by 6%, or 8% on an adjusted basis. Second quarter 2008 net income was $98 million or $0.55 diluted earnings per share. Adjusted net income excluding legacy items was $94 million or $0.53 adjusted diluted earnings per share.

• As previously announced, the Company completed two securitization transactions involving the issuance of investment grade asset-backed notes in the amount of $200 million by Sierra Timeshare 2008-1 Receivables Funding, LLC and $450 million by Sierra Timeshare 2008-2 Receivables Funding, LLC.

• The Company completed the acquisition of the Microtel Inns & Suites^® and Hawthorn Suites^® hotel brands for a purchase price of $131 million.

“We delivered solid earnings this quarter despite a challenging global economic environment, reflecting the strength and resilience of our business model,” said Stephen P. Holmes, Wyndham Worldwide chairman and chief executive officer. “While we continue to experience pressure in our industry, the diversity and flexibility of our business model allows us to tailor and execute on our sales and marketing initiatives to navigate this difficult environment. I remain confident in our growth prospects.”

SECOND QUARTER 2008 OPERATING RESULTS

Revenues for the second quarter of 2008 were $1.1 billion, up 3% compared to the second quarter of 2007. The Company also reported EBITDA growth in each of its three business units during the second quarter of 2008, compared to the second quarter of 2007.

Net income for the second quarter of 2008 was $98 million or $0.55 diluted earnings per share, compared to $96 million or $0.52 diluted earnings per share for the second quarter of 2007.

Excluding $4 million in after-tax net benefit from the resolution of, and adjustment to, certain legacy items, adjusted net income for the second quarter of 2008 would have been $94 million, or $0.53 adjusted diluted earnings per share, an 8% increase compared to $89 million, or adjusted diluted earnings per share of $0.49 in the second quarter of 2007. Adjusted net income in the second quarter of 2007 excluded $4 million in after-tax separation and related costs and $11 million in after-tax net benefit from the resolution of, and adjustment to, certain legacy items.

On May 1, 2008, the Company provided second quarter EPS guidance of $0.46-0.48, which assumed $25-$35 million in percentage-of-completion (POC) related deferred revenue. Actual results included $5 million in POC related deferred revenue.

BUSINESS UNIT RESULTS

Lodging (Wyndham Hotel Group)
Revenues increased 8% to $200 million in the second quarter of 2008 compared with the second quarter of 2007, reflecting higher international revenues, incremental property management reimbursable revenues and increased revenue generated by the Company’s loyalty program.

System-wide RevPAR increased 1.4% in the second quarter of 2008, reflecting strong international growth of 15.2%, or 8.4% in constant currency, and a decline in domestic RevPAR of 3.7%. Comparable RevPAR increased 0.6% over the prior year period.

Property management reimbursable revenues were $26 million and marketing/reservation revenues, including Wyndham Rewards revenues, were $77 million in the second quarter of 2008, compared to $22 million and $75 million, respectively, in the second quarter of 2007; these items contribute little, if any, EBITDA.

Second quarter 2008 EBITDA grew to $62 million compared to $59 million in the second quarter of 2007.

As of June 30, 2008, the Company’s hotel system consisted of approximately 6,560 properties and 551,500 rooms, of which 20% were international, with a development pipeline of approximately 930 hotels and approximately 109,000 rooms, of which 50% were new construction and over 40% were international.

Vacation Exchange and Rentals (Group RCI)
Revenues increased to $314 million in the second quarter of 2008, a 9% increase compared with the second quarter of 2007, reflecting growth in the average number of members and an increase in the average net price per vacation rental, including favorable currency translations. In constant currency, revenues increased 4% compared to the second quarter of 2007.

Vacation rentals revenues were $153 million, up 12% compared to the second quarter of 2007, or a 3% increase in constant currency. These results reflect a 15% increase in the average net price per vacation rental, or 5% in constant currency, primarily due to favorable mix, and the conversion of an existing Landal park from franchised to a managed property. The gains in the average net price per vacation rental were partially offset by a 2% decline in rental transaction volume which we believe is due to customers booking their vacations closer to the actual travel dates.

Annual dues and exchange revenues were $119 million, up 2% compared to the second quarter of 2007, or a 1% increase in constant currency. The increase was primarily driven by a 5% increase in the average number of members, partially offset by a 3% decrease in the average revenue per member.

Other ancillary revenues were $42 million, up 17% compared to the second quarter of 2007. The increase was primarily due to an adjustment recorded during the second quarter of 2007 that reduced Asia Pacific consulting revenue by $5 million and EBITDA by $6 million.

Second quarter 2008 EBITDA was $54 million, compared to second quarter 2007 EBITDA of $49 million. In constant currency, EBITDA increased $5 million compared to the second quarter of 2007.

Vacation Ownership (Wyndham Vacation Ownership)
Gross Vacation Ownership Interest sales were $532 million for the second quarter of 2008, up 2% compared to the second quarter of 2007. This increase was primarily driven by a 3% increase in tour flow.

Consumer finance revenues increased $16 million to $104 million in the second quarter of 2008, up 18% compared to the second quarter of 2007, reflecting continued growth in the portfolio due to higher gross VOI sales.

Reported revenues were $621 million in the second quarter of 2008, down 1% compared to the second quarter of 2007, reflecting a higher provision for loan losses. Deferred revenue under the POC method of accounting was $5 million during both the 2008 and 2007 periods.

EBITDA for the second quarter of 2008 was $112 million, compared to $100 million in the second quarter of 2007, which included $5 million of separation and related costs.

Other Items
Interest expense for the second quarter of 2008 was $18 million, unchanged from the second quarter of 2007. Interest income for the quarter was $3 million, up $1 million from the comparable prior year period. Depreciation and amortization increased $5 million to $46 million reflecting increased capital investments over the past two years.

Balance Sheet Information as of June 30, 2008:

• Cash and cash equivalents of approximately $240 million compared to approximately $210 million at December 31, 2007

• Vacation ownership contract receivables, net, of $3.1 billion compared to $2.9 billion at December 31, 2007

• Vacation ownership and other inventory of approximately $1.3 billion compared to $1.2 billion at December 31, 2007

• Securitized vacation ownership debt of $2.1 billion, unchanged since December 31, 2007

• Other debt of $1.6 billion, compared to $1.5 billion at December 31, 2007

A schedule of debt is included in the financial tables section of this press release.

Share Repurchase
The Company repurchased approximately 108,000 shares of stock during the second quarter of 2008 at an average price of $19.74. At June 30, 2008, approximately $155 million remained under the Company’s previously announced share repurchase program.

Outlook
For the third quarter 2008, the Company expects EPS of $0.80 — $0.82 based on weighted average shares of approximately 178 million.

The Company is updating the full-year 2008 guidance as follows:

• Revenues of $4,525 — $ 4,625 million

• Adjusted* EBITDA of $900 — $920 million

• Depreciation and amortization expense of $175 — $185 million

• Interest expense, net of $75 — $85 million

• Adjusted* net income of $388 — $414 million

• Adjusted* EPS of $2.18 — $2.32 based on weighted average shares of approximately 178 million

•	Deferred POC revenue of $70 — $100 million
*	All guidance excludes legacy items, which may have a positive or negative impact on reported results, and rebranding charges.

Presentation of Financial Information
Financial information discussed in this press release includes both GAAP and non-GAAP measures, which include or exclude certain items. These non-GAAP measures differ from reported results and are intended to illustrate what management believes are relevant period-over-period comparisons. A complete reconciliation of reported GAAP results to the comparable non-GAAP information appears in the financial tables section of this press release.

Conference Call Information
Wyndham Worldwide Corporation will provide a webcast of its conference call to discuss the Company’s second quarter 2008 financial results and outlook for the remainder of 2008 on Thursday, July 31, 2008 at 8:30 a.m. EDT. Listeners may access the webcast live through the Company’s Web site atwww.wyndhamworldwide.com/investors/. An archive of this webcast will be available at the Web site for approximately 90 days beginning at noon EDT on July 31. The conference call also may be accessed by dialing (888) 395-6878 and providing the pass code “Wyndham.” Listeners are urged to call at least 10 minutes prior to the scheduled start time. A telephone replay will be available at (888) 402-8740 beginning at noon EDT on July 31 until 5 p.m. EDT on August 4.

About Wyndham Worldwide
As one of the world’s largest hospitality companies, Wyndham Worldwide offers individual consumers and business-to-business customers a broad suite of hospitality products and services across various accommodation alternatives and price ranges through its premier portfolio of world-renowned brands. Wyndham Hotel Group encompasses approximately 6,560 franchised hotels and approximately 551,500 hotel rooms worldwide. Group RCI offers its nearly 3.7 million members access to more than 67,000 vacation properties located in approximately 100 countries. Wyndham Vacation Ownership develops, markets and sells vacation ownership interests and provides consumer financing to owners through its network of approximately 145 vacation ownership resorts serving over 800,000 owners throughout North America, the Caribbean and the South Pacific. Wyndham Worldwide, headquartered in Parsippany, N.J., employs more than 33,000 employees globally.

For more information about Wyndham Worldwide, please visit the Company’s web site atwww.wyndhamworldwide.com.

Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, conveying management’s expectations as to the future based on plans, estimates and projections at the time the

Company makes the statements. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. The forward-looking statements contained in this press release include statements related to the Company’s revenues, earnings and related financial and operating measures, financing transactions and the number of hotel rooms the Company intends to add in future periods.

You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. Factors that could cause actual results to differ materially from those in the forward looking statements include general economic conditions, the performance of the financial markets, the economic environment for the hospitality industry, the impact of war and terrorist activity, operating risks associated with the hotel, vacation exchange and rentals and vacation ownership businesses, as well as those described in the Company’s 2007 Annual Report on Form 10-K, filed with the SEC on February 29, 2008. Except for the Company’s ongoing obligations to disclose material information under the federal securities laws, it undertakes no obligation to release publicly any revisions to any forward-looking statements, to report events or to report the occurrence of unanticipated events.

# # #

Investor contact:	Press contact:
Margo C. Happer	Betsy O’Rourke
Senior Vice President,	Senior Vice President,
Investor Relations	Marketing and Communications
Wyndham Worldwide Corporation	Wyndham Worldwide Corporation
(973) 753-6472	(973) 753-7422
Margo.Happer@wyndhamworldwide.com	Betsy.O’Rourke@wyndhamworldwide.com

Table 1

Wyndham Worldwide Corporation
OPERATING RESULTS OF REPORTABLE SEGMENTS
(In millions)

In addition to other measures, management evaluates the operating results of each of its reportable segments based upon net revenues and “EBITDA,” which is defined as net income before depreciation and amortization, interest expense (excluding interest on securitized vacation ownership debt), interest income and income taxes, each of which is presented on the Company’s Consolidated Statements of Income. The Company’s presentation of EBITDA may not be comparable to similarly-titled measures used by other companies.

The following tables summarize net revenues and EBITDA for reportable segments, as well as reconcile EBITDA to net income for the three and six months ended June 30, 2008 and 2007:

	Three Months Ended June 30,
	2008						2007
	Net Revenues			EBITDA			Net Revenues			EBITDA		(e)
Lodging	$	200		$	62		$	186		$	59
Vacation Exchange and Rentals		314			54			288			49
Vacation Ownership		621			112			629			100
Total Reportable Segments		1,135			228			1,103			208
Corporate and Other(a) (b)		(3	)		(7	)		(3	)		3
Total Company	$	1,132		$	221		$	1,100		$	211
Reconciliation of EBITDA to Net Income
EBITDA				$	221					$	211
Depreciation and amortization					46						41
Interest expense					18						18
Interest income					(3	)					(2	)
Income before income taxes					160						154
Provision for income taxes					62						58
Net income				$	98					$	96
	Six Months Ended June 30,
	2008						2007
	Net Revenues			EBITDA			Net Revenues			EBITDA		(e)
Lodging	$	370		$	108		$	338		$	104
Vacation Exchange and Rentals		654			147			601			134
Vacation Ownership		1,124			120	(d)		1,178			162
Total Reportable Segments		2,148			375			2,117			400
Corporate and Other(a) (c)		(4	)		(24	)		(5	)		2
Total Company	$	2,144		$	351		$	2,112		$	402
Reconciliation of EBITDA to Net Income
EBITDA				$	351					$	402
Depreciation and amortization					90						79
Interest expense					37						35
Interest income					(5	)					(5	)
Income before income taxes					229						293
Provision for income taxes					89						111
Net income				$	140					$	182

(a)	Includes the elimination of transactions between segments.
(b)	Includes $7 million and $17 million of a net benefit during the three months ended June 30, 2008 and 2007, respectively, related to the resolution of and adjustment to certain contingent liabilities and assets.
(c)	Includes $4 million and $30 million of a net benefit during the six months ended June 30, 2008 and 2007, respectively, related to the resolution of and adjustment to certain contingent liabilities and assets.
(d)	Includes an impairment charge of $28 million due to the Company’s initiative to rebrand its vacation ownership trademarks to the Wyndham brand.
(e)	Includes separation and related costs of $5 million and $2 million for Vacation Ownership and Corporate and Other, respectively, during the three months ended June 30, 2007 and $8 million and $5 million for Vacation Ownership and Corporate and Other, respectively, during the six months ended June 30, 2007.

Table 2

Wyndham Worldwide Corporation
CONSOLIDATED STATEMENTS OF INCOME
(In millions, except per share data)

	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2008			2007			2008			2007
Net revenues
Vacation ownership interest sales	$	414		$	443		$	708		$	816
Service fees and membership		424			387			876			790
Franchise fees		136			137			249			251
Consumer financing		104			88			203			169
Other		54			45			108			86
Net revenues		1,132			1,100			2,144			2,112
Expenses
Operating		465			447			905			853
Cost of vacation ownership interests		80			104			140			195
Marketing and reservation		218			207			427			404
General and administrative(a)		152			124			298			245
Separation and related costs(b)		—			7			—			13
Trademark impairment (c)		—			—			28			—
Depreciation and amortization		46			41			90			79
Total expenses		961			930			1,888			1,789
Operating income		171			170			256			323
Other income, net		(4	)		—			(5	)		—
Interest expense		18			18			37			35
Interest income		(3	)		(2	)		(5	)		(5	)
Income before income taxes		160			154			229			293
Provision for income taxes		62			58			89			111
Net income	$	98		$	96		$	140		$	182
Earnings per share
Basic	$	0.55		$	0.53		$	0.79		$	0.98
Diluted		0.55			0.52			0.79			0.98
Weighted average shares outstanding
Basic		177			181			177			185
Diluted		178			183			178			186

(a)	Includes $7 million and $17 million of a net benefit during the three months ended June 30, 2008 and 2007, respectively, and $4 million and $30 million of a net benefit during the six months ended June 30, 2008 and 2007, respectively, related to the resolution of and adjustment to certain contingent liabilities and assets.
(b)	Represents costs that the Company incurred in connection with the execution of its separation from its former parent, Cendant (now Avis Budget Group, Inc.). Such amounts, net of tax, were $4 million and $8 million during the three and six months ended June 30, 2007, respectively.
(c)	Represents an impairment charge due to the Company’s initiative to rebrand its vacation ownership trademarks to the Wyndham brand. Such amount, net of tax, was $17 million during the six months ended June 30, 2008.

Table 3
(1 of 2)

Wyndham Worldwide Corporation
OPERATING STATISTICS

	Year		Q1		Q2		Q3		Q4		Full Year
Lodging(a)
Number of Rooms (b)		2008		551,100		551,500		N/A		N/A		N/A
		2007		539,300		541,700		540,900		550,600		N/A
		2006		525,500		535,900		533,700		543,200		N/A
		2005		519,300		516,000		512,000		532,700		N/A
RevPAR		2008	$	32.21	$	38.87		N/A		N/A		N/A
		2007	$	31.35	$	38.35	$	43.10	$	33.09	$	36.48
		2006	$	30.45	$	36.97	$	40.82	$	31.41	$	34.95
		2005	$	25.53	$	31.91	$	36.86	$	29.72	$	31.00
Royalty, Marketing and Reservation Revenue (in 000s)		2008	$	104,162	$	127,238		N/A		N/A		N/A
		2007	$	105,426	$	129,453	$	146,290	$	107,870	$	489,041
		2006	$	102,741	$	125,409	$	138,383	$	104,505	$	471,039
		2005	$	84,704	$	104,281	$	119,829	$	99,804	$	408,620
Vacation Exchange and Rentals
Average Number of Members (in 000s)		2008		3,632		3,682		N/A		N/A		N/A
		2007		3,474		3,506		3,538		3,588		3,526
		2006		3,292		3,327		3,374		3,429		3,356
		2005		3,148		3,185		3,233		3,271		3,209
Annual Dues and Exchange Revenue Per Member		2008	$	150.84	$	128.91		N/A		N/A		N/A
		2007	$	155.60	$	132.33	$	131.38	$	124.59	$	135.85
		2006	$	152.10	$	130.37	$	132.31	$	128.13	$	135.62
		2005	$	159.12	$	134.98	$	125.64	$	124.05	$	135.76
Vacation Rental Transactions (in 000s)		2008		387		319		N/A		N/A		N/A
		2007		398		326		360		293		1,376
		2006		385		310		356		293		1,344
		2005		367		311		344		278		1,300
Average Net Price Per Vacation Rental		2008	$	412.74	$	477.63		N/A		N/A		N/A
		2007	$	349.73	$	415.71	$	506.78	$	426.93	$	422.83
		2006	$	312.51	$	374.91	$	442.75	$	356.16	$	370.93
		2005	$	331.37	$	363.14	$	412.66	$	325.62	$	359.27
Vacation Ownership
Gross Vacation Ownership Interest Sales (in 000s)		2008	$	458,000	$	532,000		N/A		N/A		N/A
		2007	$	430,000	$	523,000	$	552,000	$	488,000	$	1,993,000
		2006	$	357,000	$	434,000	$	482,000	$	469,000	$	1,743,000
		2005	$	281,000	$	354,000	$	401,000	$	360,000	$	1,396,000
Tours		2008		255,000		314,000		N/A		N/A		N/A
		2007		240,000		304,000		332,000		268,000		1,144,000
		2006		208,000		273,000		312,000		254,000		1,046,000
		2005		195,000		250,000		272,000		217,000		934,000
Volume Per Guest (VPG)		2008	$	1,668	$	1,583		N/A		N/A		N/A
		2007	$	1,607	$	1,596	$	1,545	$	1,690	$	1,606
		2006	$	1,475	$	1,426	$	1,434	$	1,623	$	1,486
		2005	$	1,349	$	1,284	$	1,349	$	1,507	$	1,368

Note:Full year amounts may not foot across due to rounding.
(a)	Quarterly drivers in the Lodging segment include the acquisitions of Wyndham Hotels and Resorts (October 2005) and Baymont Inn & Suites (April 2006) from their acquisition dates forward. Therefore, the operating statistics are not presented on a comparable basis.
(b)	Numbers include affiliated rooms from the fourth quarter of 2006 forward.

Table 3
(2 of 2)

Wyndham Worldwide Corporation
OPERATING STATISTICS

GLOSSARY OF TERMS

Lodging

Number of Rooms: Represents the number of rooms at lodging properties at the end of the period which are either (i) under franchise and/or management agreements, (ii) properties affiliated with Wyndham Hotels and Resorts brand for which we receive a fee for reservation and/or other services provided or (iii) properties managed under the CHI Limited joint venture.

Average Occupancy Rate: Represents the percentage of available rooms occupied during the period.

Average Daily Rate (ADR): Represents the average rate charged for renting a lodging room for one day.

RevPAR: Represents revenue per available room and is calculated by multiplying average occupancy rate by ADR. Comparable RevPAR represents RevPAR of hotels which are included in both periods.

Royalty, Marketing and Reservation Revenues: Royalty, marketing and reservation revenues are typically based on a percentage of the gross room revenues of each hotel. Royalty revenue is generally a fee charged to each franchised or managed hotel for the use of one of our trade names, while marketing and reservation revenues are fees that we collect and are contractually obligated to spend to support marketing and reservation activities. Marketing and reservation fees are also included in Table 4 within Marketing, Reservation and Wyndham Rewards Revenues.

Vacation Exchange and Rentals

Average Number of Members: Represents members in our vacation exchange programs who pay annual membership dues. For additional fees, such participants are entitled to exchange intervals for intervals at other properties affiliated with our vacation exchange business. In addition, certain participants may exchange intervals for other leisure-related products and services.

Annual Dues and Exchange Revenue Per Member: Represents total revenues from annual membership dues and exchange fees generated for the period divided by the average number of vacation exchange members during the period.

Vacation Rental Transactions: Represents the gross number of transactions that are generated in connection with customers booking their vacation rental stays through us. In our European vacation rentals businesses, one rental transaction is recorded each time a standard one-week rental is booked; however, in the United States, one rental transaction is recorded each time a vacation rental stay is booked, regardless of whether it is less than or more than one week.

Average Net Price Per Vacation Rental: Represents the net rental price generated from renting vacation properties to customers divided by the number of rental transactions.

Vacation Ownership

Gross Vacation Ownership Interest Sales: Represents gross sales of vacation ownership interests (including tele-sales upgrades, which are a component of upgrade sales) before deferred sales and loan loss provisions.

Tours: Represents the number of tours taken by guests in our efforts to sell vacation ownership interests.

Volume per Guest (VPG): Represents revenue per guest and is calculated by dividing the gross vacation ownership interest sales, excluding tele-sales upgrades, which are a component of upgrade sales, by the number of tours.

General

Constant Currency: Represents comparison eliminating the effects of foreign exchange rate fluctuations between periods.

Table 4

Wyndham Worldwide Corporation
ADDITIONAL DATA

	Year		Q1			Q2			Q3			Q4			Full Year
Lodging(a)
Number of Properties (b)		2008		6,550			6,560			N/A			N/A			N/A
		2007		6,450			6,460			6,460			6,540			N/A
		2006		6,300			6,440			6,420			6,470			N/A
		2005		6,400			6,380			6,350			6,350			N/A
Marketing, Reservation and Wyndham Rewards Revenues (in 000s) (c)		2008	$	62,200		$	76,507			N/A			N/A			N/A
		2007	$	61,369		$	74,575		$	84,820		$	65,208		$	285,973
		2006	$	58,572		$	70,931		$	78,856		$	61,135		$	269,495
		2005	$	45,066		$	56,558		$	65,812		$	58,053		$	225,491
Property Management Reimbursable Revenue (in 000s) (d)		2008	$	27,128		$	26,326			N/A			N/A			N/A
		2007	$	15,624		$	22,338		$	25,612		$	28,414		$	91,987
		2006	$	15,732		$	19,935		$	17,210		$	16,263		$	69,142
		2005	$	—		$	—		$	—		$	17,291		$	17,291
Vacation Ownership
Deferred Revenues (in 000s) (e)		2008	$	(81,716	)	$	(5,240	)		N/A			N/A			N/A
		2007	$	3,906		$	(4,908	)	$	506		$	(21,092	)	$	(21,588	)
		2006	$	12,708		$	(221	)	$	(23,491	)	$	(10,675	)	$	(21,679	)
		2005	$	492		$	(9,150	)	$	(5,856	)	$	(2,022	)	$	(16,536	)
Provision for Loan Losses (in 000s)(f)		2008	$	82,344		$	112,669			N/A			N/A			N/A
		2007	$	60,869		$	75,032		$	85,762		$	83,644		$	305,307
		2006	$	61,242		$	55,872		$	63,213		$	78,680		$	259,007
		2005	$	24,652		$	27,754		$	44,050		$	31,644		$	128,101

Note:Full year amounts may not foot across due to rounding.
(a)	Information includes the acquisitions of Wyndham Hotels and Resorts (October 2005) and Baymont Inn & Suites (April 2006) from their acquisition dates forward. Therefore, the data is not presented on a comparable basis.
(b)	Numbers include affiliated hotels from the fourth quarter of 2006 forward.
(c)	Marketing and reservation revenues represent fees we receive from franchised and managed hotels that are to be expended for marketing purposes or the operation of a centralized, brand-specific reservation system. These fees are typically based on a percentage of the gross room revenues of each hotel. Marketing and reservation fees are also included in the above table within royalty, marketing and reservation revenues. Wyndham Rewards revenues represent fees we receive relating to our loyalty program.
(d)	Primarily represents payroll costs in our hotel management business that we incur and pay on behalf of property owners and for which we are reimbursed by the property owners.
(e)	Represents the revenue that is deferred under the percentage of completion method of accounting. Under the percentage of completion method of accounting, a portion of the total revenue from a vacation ownership contract sale is not recognized if the construction of the vacation resort has not yet been fully completed. This revenue will be recognized in future periods in proportion to the costs incurred as compared to the total expected costs for completion of construction of the vacation resort. Positive amounts represent the recognition of previously deferred revenues.
(f)	Represents provision for estimated losses on vacation ownership contract receivables originated during the period. Beginning January 1, 2006, the Company recorded such provision as a contra revenue to vacation ownership interest sales on the Consolidated and Combined Statements of Income, as required by Statement of Financial Accounting Standards No. 152, ''Accounting for Real Estate Time-Sharing Transactions.’’ Prior to January 1, 2006, the Company recorded such provision, net of estimated inventory recoveries, as a separate expense line item on the Combined Statements of Income and thus 2005 amounts are not comparable to 2006, 2007 and 2008 amounts.

Table 5

Wyndham Worldwide Corporation
SCHEDULE OF DEBT
(In millions)

	June 30,		March 31,		December 31,		September 30,		June 30,
	2008		2008		2007		2007		2007
Securitized vacation ownership debt
Term notes	$	1,727	$	1,278	$	1,435	$	1,148	$	1,322
Bank conduit facility(a)		354		841		646		777		491
Securitized vacation ownership debt(b)		2,081		2,119		2,081		1,925		1,813
Less: Current portion of securitized vacation ownership debt		284		268		237		304		242
Long-term securitized vacation ownership debt	$	1,797	$	1,851	$	1,844	$	1,621	$	1,571
Debt:
6.00% Senior unsecured notes (due December 2016)(c)	$	797	$	797	$	797	$	797	$	797
Term loan (due July 2011)		300		300		300		300		300
Revolving credit facility (due July 2011)(d)		145		95		97		133		215
Vacation ownership bank borrowings		196		181		164		148		130
Vacation rentals capital leases		162		165		154		153		147
Other		13		14		14		14		14
Total debt		1,613		1,552		1,526		1,545		1,603
Less: Current portion of debt		207		193		175		159		140
Long-term debt	$	1,406	$	1,359	$	1,351	$	1,386	$	1,463

(a)	This 364-day vacation ownership bank conduit facility has availability of $1,200 million and expires in October 2008.
(b)	This debt is collateralized by $2,723 million, $2,667 million, $2,596 million, $2,428 million and $2,288 million of underlying vacation ownership contract receivables and related assets at June 30, 2008, March 31, 2008, December 31, 2007, September 30, 2007 and June 30, 2007, respectively.
(c)	The balance at June 30, 2008 represents $800 million aggregate principal less $3 million of unamortized discount.
(d)	The Company’s revolving credit facility has a borrowing capacity of $900 million. At June 30, 2008, the Company has $67 million of outstanding letters of credit and a remaining borrowing capacity of $688 million.

Table 6
(1 of 2)

Wyndham Worldwide Corporation
HOTEL BRAND SYSTEMS DETAILS

	As of and For the Three Months Ended June 30, 2008
										Average
					Average			Average		Revenue Per
	Number of		Number of		Occupancy			Daily Rate		AvailableRoom
Brand	Properties		Rooms		Rate			(ADR)		(RevPAR)
Wyndham Hotels and Resorts		82		22,412		65.4	%	$	128.99	$	84.40
Wingate Inn		156		14,289		65.8	%	$	92.79	$	61.09
Ramada		865		107,272		55.4	%	$	84.75	$	46.98
Baymont		210		18,067		51.7	%	$	65.40	$	33.82
AmeriHost Inn		15		954		50.2	%	$	73.75	$	37.02
Days Inn		1,876		152,892		53.3	%	$	65.70	$	35.05
Super 8		2,095		129,738		57.3	%	$	59.83	$	34.31
Howard Johnson		470		45,256		49.4	%	$	65.12	$	32.18
Travelodge		490		36,666		50.9	%	$	68.83	$	35.03
Knights Inn		290		19,544		43.8	%	$	43.45	$	19.03
Unmanaged, Affiliated and Managed, Non-Proprietary Hotels (*)		14		4,367		N/A			N/A		N/A
Total		6,563		551,457		54.6	%	$	71.20	$	38.87

	As of and For the Three Months Ended June 30, 2007
										Average
					Average			Average		Revenue Per
	Number of		Number of		Occupancy			Daily Rate		AvailableRoom
Brand	Properties		Rooms		Rate			(ADR)		(RevPAR)
Wyndham Hotels and Resorts		75		19,945		62.7	%	$	118.17	$	74.06
Wingate Inn		154		14,172		69.9	%	$	91.30	$	63.84
Ramada		859		105,299		57.8	%	$	78.11	$	45.12
Baymont		169		14,986		55.4	%	$	69.77	$	38.63
AmeriHost Inn		54		3,673		49.7	%	$	67.16	$	33.35
Days Inn		1,862		150,984		56.3	%	$	62.63	$	35.24
Super 8		2,054		126,450		59.1	%	$	58.17	$	34.39
Howard Johnson		468		44,667		50.7	%	$	65.05	$	32.99
Travelodge		496		37,284		51.4	%	$	66.25	$	34.04
Knights Inn		252		18,019		43.3	%	$	43.75	$	18.93
Unmanaged, Affiliated and Managed, Non-Proprietary Hotels (*)		19		6,197		N/A			N/A		N/A
Total		6,462		541,676		56.5	%	$	67.86	$	38.35

NOTE:A glossary of terms is included in Table 3 (2 of 2).
(*)	Represents 1) affiliated properties for which we receive a fee for reservation services provided and 2) properties managed under the CHI Limited joint venture. These properties are not branded; as such, certain operating statistics (such as average occupancy rate, ADR and RevPAR) are not relevant.

Table 6
(2 of 2)

Wyndham Worldwide Corporation
HOTEL BRAND SYSTEMS DETAILS

	As of and For the Six Months Ended June 30, 2008
										Average
					Average			Average		Revenue Per
	Number of		Number of		Occupancy			Daily Rate		AvailableRoom
Brand	Properties		Rooms		Rate			(ADR)		(RevPAR)
Wyndham Hotels and Resorts		82		22,412		63.7	%	$	123.38	$	78.62
Wingate Inn		156		14,289		62.0	%	$	92.35	$	57.28
Ramada		865		107,272		52.8	%	$	82.35	$	43.46
Baymont		210		18,067		48.9	%	$	65.52	$	32.06
AmeriHost Inn		15		954		45.5	%	$	67.98	$	30.93
Days Inn		1,876		152,892		49.6	%	$	63.98	$	31.73
Super 8		2,095		129,738		52.9	%	$	58.43	$	30.93
Howard Johnson		470		45,256		46.6	%	$	64.18	$	29.91
Travelodge		490		36,666		48.0	%	$	68.29	$	32.81
Knights Inn		290		19,544		40.9	%	$	42.27	$	17.28
Unmanaged, Affiliated and Managed, Non-Proprietary Hotels (*)		14		4,367		N/A			N/A		N/A
Total		6,563		551,457		51.1	%	$	69.53	$	35.55

	As of and For the Six Months Ended June 30, 2007
										Average
					Average			Average		Revenue Per
	Number of		Number of		Occupancy			Daily Rate		AvailableRoom
Brand	Properties		Rooms		Rate			(ADR)		(RevPAR)
Wyndham Hotels and Resorts		75		19,945		65.1	%	$	113.69	$	74.05
Wingate Inn		154		14,172		66.6	%	$	89.62	$	59.64
Ramada		859		105,299		54.0	%	$	76.51	$	41.32
Baymont		169		14,986		52.3	%	$	66.30	$	34.68
AmeriHost Inn		54		3,673		46.0	%	$	64.99	$	29.87
Days Inn		1,862		150,984		51.7	%	$	61.28	$	31.70
Super 8		2,054		126,450		54.2	%	$	56.37	$	30.53
Howard Johnson		468		44,667		47.1	%	$	63.38	$	29.84
Travelodge		496		37,284		48.7	%	$	63.33	$	30.86
Knights Inn		252		18,019		40.8	%	$	41.88	$	17.07
Unmanaged, Affiliated and Managed, Non-Proprietary Hotels (*)		19		6,197		N/A			N/A		N/A
Total		6,462		541,676		52.6	%	$	66.29	$	34.87

NOTE:A glossary of terms is included in Table 3 (2 of 2).
(*)	Represents 1) affiliated properties for which we receive a fee for reservation services provided and 2) properties managed under the CHI Limited joint venture. These properties are not branded; as such, certain operating statistics (such as average occupancy rate, ADR and RevPAR) are not relevant.

Table 7
(1 of 2)

Wyndham Worldwide Corporation
NON-GAAP RECONCILIATIONS
(In millions, except per share data)

	Three Months Ended						Six Months Ended
	March 31, 2008			June 30, 2008			June 30, 2008
Reported EBITDA	$	130		$	221		$	351
Resolution of and adjustment to contingent liabilities and assets(a)		3			(7	)		(4	)
Trademark impairment (b)		28			—			28
Adjusted EBITDA	$	161		$	214		$	375
Reported PreTax Income	$	70		$	160		$	229
Resolution of and adjustment to contingent liabilities and assets(a)		3			(7	)		(4	)
Trademark impairment (b)		28			—			28
Adjusted PreTax Income	$	101		$	153		$	253
Reported Tax Provision	$	(28	)	$	(62	)	$	(89	)
Resolution of and adjustment to contingent liabilities and assets(c)		—			3			3
Trademark impairment (c)		(11	)		—			(11	)
Adjusted Tax Provision	$	(39	)	$	(59	)	$	(97	)
Reported Net Income	$	42		$	98		$	140
Resolution of and adjustment to contingent liabilities and assets		3			(4	)		(1	)
Trademark impairment		17			—			17
Adjusted Net Income	$	62		$	94		$	156
Reported Diluted EPS	$	0.24		$	0.55		$	0.79
Resolution of and adjustment to contingent liabilities and assets		0.01			(0.02	)		(0.01	)
Trademark impairment		0.10			—			0.10
Adjusted Diluted EPS	$	0.35		$	0.53		$	0.88
Diluted Shares		178			178			178

Note:Amounts may not foot due to rounding.
(a)	Relates to the net (benefit)/expense from the resolution of and adjustment to certain contingent liabilities and assets.
(b)	Represents an impairment charge due to the Company’s initiative to rebrand its vacation ownership trademarks to the Wyndham brand.
(c)	Relates to the tax effect of the adjustments.

Table 7
(2 of 2)

Wyndham Worldwide Corporation
NON-GAAP RECONCILIATIONS
(In millions, except per share data)

	Three Months Ended
							Six Months Ended
	March 31, 2007			June 30, 2007			June 30, 2007
Reported EBITDA	$	192		$	211		$	402
Separation and related costs(a)		6			7			13
Resolution of and adjustment to contingent liabilities and assets(b)		(13	)		(17	)		(30	)
Adjusted EBITDA	$	185		$	201		$	385
Reported PreTax Income	$	139		$	154		$	293
Separation and related costs(a)		6			7			13
Resolution of and adjustment to contingent liabilities and assets(b)		(13	)		(17	)		(30	)
Adjusted PreTax Income	$	132		$	144		$	276
Reported Tax Provision	$	(53	)	$	(58	)	$	(111	)
Separation and related costs (c)		(2	)		(3	)		(5	)
Resolution of and adjustment to contingent liabilities and assets(c)		4			6			10
Adjusted Tax Provision	$	(51	)	$	(55	)	$	(106	)
Reported Net Income	$	86		$	96		$	182
Separation and related costs		4			4			8
Resolution of and adjustment to contingent liabilities and assets		(9	)		(11	)		(20	)
Adjusted Net Income	$	81		$	89		$	170
Reported Diluted EPS	$	0.45		$	0.52		$	0.98
Separation and related costs		0.02			0.02			0.04
Resolution of and adjustment to contingent liabilities and assets		(0.05	)		(0.06	)		(0.10	)
Adjusted Diluted EPS	$	0.43		$	0.49		$	0.91
Diluted Shares		190			183			186

Note:Amounts may not foot due to rounding.
(a)	Represents the costs incurred in connection with the Company’s separation from Cendant (now Avis Budget Group).
(b)	Relates to the net benefit from the resolution of and adjustment to certain contingent liabilities and assets.
(c)	Relates to the tax effect of the adjustments.

Table 8
(1 of 4)

Wyndham Worldwide Corporation
NON-GAAP FINANCIAL INFORMATION
(In millions, except per share data)

	Three Months Ended June 30, 2008
				Legacy
	As Reported			Adjustments			As Adjusted
Net revenues
Vacation ownership interest sales	$	414					$	414
Service fees and membership		424						424
Franchise fees		136						136
Consumer financing		104						104
Other		54						54
Net revenues		1,132			—			1,132
Expenses
Operating		465						465
Cost of vacation ownership interests		80						80
Marketing and reservation		218						218
General and administrative		152			7	(a)		159
Depreciation and amortization		46						46
Total expenses		961			7			968
Operating income		171			(7	)		164
Other income, net		(4	)					(4	)
Interest expense		18						18
Interest income		(3	)					(3	)
Income before income taxes		160			(7	)		153
Provision for income taxes		62			(3	) (b)		59
Net income	$	98		$	(4	)	$	94
Earnings per share
Basic	$	0.55		$	(0.02	)	$	0.53
Diluted		0.55			(0.02	)		0.53
Weighted average shares outstanding
Basic		177			177			177
Diluted		178			178			178

Note:EPS amounts may not foot across due to rounding.
(a)	Relates to the net benefit from the resolution of and adjustment to certain contingent liabilities and assets.
(b)	Relates to the tax effect of the adjustment.

Table 8
(2 of 4)

Wyndham Worldwide Corporation
NON-GAAP FINANCIAL INFORMATION
(In millions, except per share data)

	Six Months Ended June 30, 2008
				Legacy			Trademark
	As Reported			Adjustments			Impairment			As Adjusted
Net revenues
Vacation ownership interest sales	$	708								$	708
Service fees and membership		876									876
Franchise fees		249									249
Consumer financing		203									203
Other		108									108
Net revenues		2,144			—			—			2,144
Expenses
Operating		905									905
Cost of vacation ownership interests		140									140
Marketing and reservation		427									427
General and administrative		298			4	(a)					302
Trademark impairment		28						(28	) (b)		—
Depreciation and amortization		90									90
Total expenses		1,888			4			(28	)		1,864
Operating income		256			(4	)		28			280
Other income, net		(5	)								(5	)
Interest expense		37									37
Interest income		(5	)								(5	)
Income before income taxes		229			(4	)		28			253
Provision for income taxes		89			(3	) (c)		11	(c)		97
Net income	$	140		$	(1	)	$	17		$	156
Earnings per share
Basic	$	0.79		$	(0.01	)	$	0.10		$	0.88
Diluted		0.79			(0.01	)		0.10			0.88
Weighted average shares outstanding
Basic		177			177			177			177
Diluted		178			178			178			178

Note:EPS amounts may not foot across due to rounding.
(a)	Relates to the net benefit from the resolution of and adjustment to certain contingent liabilities and assets.
(b)	Represents an impairment charge due to the Company’s initiative to rebrand its vacation ownership trademarks to the Wyndham brand.
(c)	Relates to the tax effect of the adjustments.

Table 8
(3 of 4)

Wyndham Worldwide Corporation
NON-GAAP FINANCIAL INFORMATION
(In millions, except per share data)

	Three Months Ended June 30, 2007
				Separation and
				Related			Legacy
	As Reported			Adjustments			Adjustments			As Adjusted
Net revenues
Vacation ownership interest sales	$	443								$	443
Service fees and membership		387									387
Franchise fees		137									137
Consumer financing		88									88
Other		45									45
Net revenues		1,100			—			—			1,100
Expenses
Operating		447									447
Cost of vacation ownership interests		104									104
Marketing and reservation		207									207
General and administrative		124						17	(b)		141
Separation and related costs		7			(7)	(a)					—
Depreciation and amortization		41									41
Total expenses		930			(7	)		17			940
Operating income		170			7			(17	)		160
Interest expense		18									18
Interest income		(2	)								(2	)
Income before income taxes		154			7			(17	)		144
Provision for income taxes		58			3	(c)		(6	) (c)		55
Net income	$	96		$	4		$	(11	)	$	89
Earnings per share
Basic	$	0.53		$	0.02		$	(0.06	)	$	0.49
Diluted		0.52			0.02			(0.06	)		0.49
Weighted average shares outstanding
Basic		181			181			181			181
Diluted		183			183			183			183

Note:EPS amounts may not foot across due to rounding.
(a)	Represents the costs incurred in connection with the Company’s separation from Cendant (now Avis Budget Group).
(b)	Relates to the net benefit from the resolution of certain contingent liabilities.
(c)	Relates to the tax effect of the adjustments.

Table 8
(4 of 4)

Wyndham Worldwide Corporation
NON-GAAP FINANCIAL INFORMATION
(In millions, except per share data)

	Six Months Ended June 30, 2007
				Separation and
				Related			Legacy
	As Reported			Adjustments			Adjustments			As Adjusted
Net revenues
Vacation ownership interest sales	$	816								$	816
Service fees and membership		790									790
Franchise fees		251									251
Consumer financing		169									169
Other		86									86
Net revenues		2,112			—			—			2,112
Expenses
Operating		853									853
Cost of vacation ownership interests		195									195
Marketing and reservation		404									404
General and administrative		245						30	(b)		275
Separation and related costs		13			(13)	(a)					—
Depreciation and amortization		79									79
Total expenses		1,789			(13	)		30			1,806
Operating income		323			13			(30	)		306
Interest expense		35									35
Interest income		(5	)								(5	)
Income before income taxes		293			13			(30	)		276
Provision for income taxes		111			5	(c)		(10	) (c)		106
Net income	$	182		$	8		$	(20	)	$	170
Earnings per share
Basic	$	0.98		$	0.04		$	(0.11	)	$	0.92
Diluted		0.98			0.04			(0.10	)		0.91
Weighted average shares outstanding
Basic		185			185			185			185
Diluted		186			186			186			186

Note:EPS amounts may not foot across due to rounding.
(a)	Represents the costs incurred in connection with the Company’s separation from Cendant (now Avis Budget Group).
(b)	Relates to the net benefit from the resolution of certain contingent liabilities and assets.
(c)	Relates to the tax effect of the adjustments.