Trendwest Resorts Begins Construction On Lake Tahoe Resort

Press Release: Trendwest Resorts, Inc.
August 15, 2001
REDMOND, WA -- Trendwest Resorts, Inc. (Nasdaq:TWRI) yesterday announced that it will expand its resort family with a new destination resort near South Lake Tahoe, Nevada. This latest Trendwest resort will be nestled on 11 wooded acres in the pristine Sierra Nevada Mountains near the southern shore of Lake Tahoe.

``The Lake Tahoe resort is particularly exciting because of its close proximity to the lake and mountains. This location offers many recreational activities, including skiing, woodland hikes and golf, and is a great complement to the WorldMark resort family,'' commented Gary Olmeim, Vice President of Resort Development. ``The project allows us to offer a limited number of units for sale through the Trendwest Fractional Interest program. The remaining units will be assigned to WorldMark, The Club.''

The first phase of the 110-unit year-round resort is scheduled to open in spring 2002. This phase includes a lodge with check-in area, workout facility and owner amenities, and six residential resort buildings. Built with an alpine mountain character, the resort will also feature an outdoor pool and multiple spas.

Trendwest Resorts, Inc., headquartered in Redmond, Washington, is a leader in the vacation ownership industry. Through its exclusive relationship with WorldMark, The Club, and WorldMark South Pacific Club, the Company provides a flexible vacation ownership system, based on the use of Vacation Credits. At June 30, 2001, Trendwest had 45 sales offices, and 128,000 WorldMark and WorldMark South Pacific owners enjoyed over 2,350 condominium units at 44 resort locations in the United States, British Columbia, Mexico, Fiji and Australia. For more information, visit Trendwest and WorldMark at www.trendwestresorts.com and www.worldmarktheclub.com.

Statements herein contain forward-looking information concerning the Company's future prospects and other forecasts and statements of expectations. Actual results may differ materially from those expressed in the forward-looking statements made by the Company due to, among other things, the Company's ability to complete development in a timely manner, find acceptable debt or equity capital to fund such development, achieve planned sales levels, as well as other risk factors described in the Company's SEC reports and filings.

---------------------------------------------

Contact: 

     Trendwest Resorts, Inc.
     Gary Olmeim, 425/498-2675
     or
     Investor and Media Relations:
     Pat Peckol, 425/498-2549