can a hotel company make money selling notes receivable absolutely in 2005 dallas ba 691611

Can a hotel company make money selling notes receivable? Absolutely. In 2005, Dallas based Silver leaf Resorts, Inc., reported a net income of $12.9 million in its third quarterly report. Included in that figure is a gain of sale in its notes receivable of $5.8 million. Together with other adjustments, its third quarter adjusted net income was $5.0 million. This also holds true for Hilton Grand Vacations in June 2002, when Hilton’s timeshare segment sold approximately $52 million of its timeshare notes receivable to a subsidiary of GE Capital, resulting in a gain of approximately $2 million in the second quarter. Starwood Hotel and Resorts also reported gains from the sales of notes receivable of $25 million and $14 million in 2005 and 2004, respectively, primarily owing to the sale of approximately $221 million and $113 million of vacation ownership receivables during the years ended December 31, 2005 and 2004.