The demand for timeshares has dropped as consumers become more apprehensive about discretionary spending. As a result, Marriott will take a $760 million charge in its third quarter.

The company will now downsize its timeshare operations by changing the direction of some timeshare development projects.

To combat the unfavorable market conditions, Marriott will lower its prices and remain consistent in promoting its timeshare offers.

Despite the poor performance in the third quarter, the company remains optimistic that the cash-flow will be positive at the end of the year.