VISTANA'S REVENUE GROWS IN 4th QUARTER

Press Release: Vistana

February 15, 199
Vistana, Inc. (Nasdaq:VSTN), a leading developer and operator of vacation ownership resorts, reported significant growth in revenues and net income for the fourth quarter and year ended December 31, 1998.

Fourth Quarter Operating Results
For the fourth quarter of 1998, revenues were $61.5 million, an increase of 36.4% over the $45.1 million recorded in the fourth quarter 1997. Vacation ownership interest (VOI) sales for the fourth quarter of 1998 increased 41.0% to $45.4 million from $32.2 million in the comparable period in 1997. The number of VOI's sold during the fourth quarter 1998 increased 52.2% to 4,671 from 3,069 in the fourth quarter 1997. The average sales price per interval was $9,794, an increase of 2.0% from $9,603 during the corresponding period in 1997, reflecting the addition of product with higher price points offset by increased sales of alternate year VOI's. Annualizing alternate year VOI sales, the number of VOI's sold during the fourth quarter 1998 increased to 3,782 from 2,580, and the average sales price per interval increased to $12,098 from $11,421, over the fourth quarter 1997.

During its second year as a public company, Vistana continued to deliver strong growth in revenues, net income, and earnings per diluted share. Their consistent growth continues to demonstrate the outstanding
opportunities available in the timeshare industry as they leverage their brand relationships and the increasing quality and scale of their business.

The Company's sales and marketing expense as a percentage of vacation ownership sales was 49.7% for the fourth quarter 1998 and 48.1% for the full year 1998. Sales and marketing expense for both periods was increased by the off-site operations of the Company's international subsidiary, which were adversely affected by economic and weather conditions in South and Central America and hurricane damage in the Caribbean basin. If the Company's international subsidiary had achieved sales and marketing expense as a percentage of VOI sales as budgeted, the Company's sales and marketing expense as a percentage of VOI sales would have been 45.2% for the fourth quarter 1998 and 45.7% for the full year 1998. The Company has closed several of its off-site offices in South and Central America and is evaluating other action intended to reduce the sales and marketing costs of its off-site international business.

Headquartered in Orlando, Florida, Vistana, Inc. operates nine vacation ownership resorts, four in Florida, three in Colorado, one in South Carolina and one in Arizona. Vistana's tenth resort, Embassy Vacation
Resort at Scottsdale, began pre-opening sales during the second quarter of 1998 and is scheduled to open in the first quarter of 1999. Resorts in the planning/development stage include the PGA Vacation Resort by Vistana in Port St. Lucie, Florida, Harborside at Atlantis on Paradise Island in The Bahamas, and a successor to Vistana Resort in Orlando. Founded in 1980, the Company has over 1,800 units in operation and an ownership base of approximately 79,000 owners residing in over 100 countries. The Company's common stock is traded on the NASDAQ National Market under the symbol VSTN.