NEW YORK, September 13 /PRNewswire/ --

- Recent Poll Indicates Consumers with Net Worth Under US$10M are Cutting
Back, While Those with Net Worth Over US$10M Continue to Spend

Elite Traveler / Prince & Associates (http://www.elitetraveler.com) has
just released the results of a new pulse poll of over 866 rich consumers
(US$500K - US$25M+ Net Worth) on how the current market volatility is 
affecting them. Elite Traveler is the luxury magazine of the private jet 
lifestyle distributed to over 500,000 readers aboard private jets in over 
90 countries.

(Logo: http://www.newscom.com/cgi-bin/prnh/20070716/AQM088LOGO )

The poll, conducted September 5-7, 2007, looks at the responses of
participants in five ranges of Net Worth (US$500K-US$1M; US$1-5M; US$5-10M; 
US$10-25M; US$25M+) to 11 questions on how market volatility is impacting 
their lifestyle and spending habits in 2007.

"We conducted this pulse poll to determine how the rich and super rich
are reacting to the volatility in the market," says Doug Gollan,
editor-in-chief of Elite Traveler. "We noted some interesting break points in
spending behavior. Households with a Net Worth of US$10 million or more are
much less likely to be cutting back and continue to spend on high fashion,
watches, jewelry, travel and other luxury products and services. According to
the research, respondents with US$5-10 million Net Worth are anxious and 
making cutbacks in discretionary spending. Those households with a Net Worth 
of US$5 million or less are actively 'trading down' to a less expensive
lifestyle."

Gollan continued, "This survey is the latest sign that luxury spending by
merely affluent consumers is grinding to a halt. Increasingly, the super rich
are the most valuable consumers when it comes to high-end goods -- and the
ones luxury marketers should keep their sights firmly focused on."

"Extreme Concern" About Market Volatility

Findings indicate that those with a Net Worth of US$25M+ are likely to
continue to spend on luxury products and services as usual through the end of
the year, with only 4.5% expressing "extreme concern" over the impact of the
market on their finances. Those with a Net Worth of US$10-25M indicated that
while they are likely to continue to spend in many categories, their "extreme
concern" about market volatility rose to 19.2%. This concern increased
dramatically for those with a Net Worth below US$10M: up to 52.4% of US$5-10M 
Net Worth and 90.8% of US$500K-US$1M Net Worth. An overall average of 
62.2% of participants were "extremely concerned."

Cutbacks in Discretionary Spending

The same basic pattern applied to those who had already cut back on
discretionary spending: 2.3% of US$25M+ Net Worth; 3.8% of US$10-25M Net 
Worth; 18.5% of US$5-10M Net Worth; 48.6% of US$1-5M Net Worth, and 67.6% of 
US$500K-1M Net Worth. On average, 38.9% of survey respondents cut back on 
discretionary spending.

Making Major Lifestyle Changes

While only 9.1% of the US$25M+ Net Worth group stated they would need to
make "major lifestyle changes" if the market deteriorates, the percentages
rose to 24% of US$10-25M Net Worth; 67.3% of US$5-10M Net Worth; 77.9% of 
US$1-5M Net Worth; and 94% of US$500K-US$1M Net Worth. The overall average 
indicated 67.7% would need to make major changes, casting a large shadow on 
how luxury marketers need to assess their customer segments.

New Break Point: Net Worth of US$10M and Up Still Spending Big

Break points in spending patterns appeared at US$10M+ Net Worth, where
spending is projected to remain strong throughout the end of the year. With
all the buzz about the housing market, it was those at a break point of 
US$10M Net Worth that answered they are still likely to purchase a non-
primary residence by the end of the year: 13.6% of US$25M+ Net Worth, and 
7.7% of US$10-25M Net Worth. Below US$10M, responses fell below 1%.

The sweet spot for luxury marketers was clearly confirmed at consumers
with a US$25 million + Net Worth:

-- 98.9% of respondents said they will spend at least US$10,000 on fine
       jewelry before the end of the year;
    -- 100% said they will spend at least US$30,000 on leisure travel;
    -- 100% said they would spend at least US$10,000 on fashion and
       accessories;
    -- 43.2% said they would spend at least US$10,000 on home electronics;
       and
    -- 38.6% said they would spend at least US$10,000 on watches.



Throughout, those with a Net Worth above US$10M were more comfortable 
that their lifestyle would continue, while those with a Net Worth below 
US$10M were already tightening their belts and expecting to tighten them even 
further.

Pulse Poll results and key findings are at http://www.elitetraveler.com.

About Elite Traveler

Established in 2001, Elite Traveler is the private jet lifestyle
magazine. Its award-winning format brings to life the latest in travel,
fashion and private jet lifestyle for its wealthy readers. Elite Traveler has
worldwide distribution aboard private jets and mega-yachts. Elite Traveler
has a BPA audited circulation with a readership of over 500,000 readers per
issue in more than 90 countries; its readers are wealthy and influential,
with an average household income of US$5.3 million. 
http://www.elitetravler.com

About Prince & Associates, Inc.

Prince & Associates, Inc. is the leading research and consulting firm to
the high-net-worth and their advisors. Russ Alan Prince, President of Prince
& Associates, Inc. is the author of more than 35 books on private wealth and
is a highly sought counselor to elite financial practitioners.

Media Contact: Valerie Geiss / Natalie Martinez, MMG Mardiks
                   Tel: +1-212-219-7560, ext. 6777 / 6774
                   vgeiss@mmgmardiks.com / nmartinez@mmgmardiks.com


                 Elite Traveler / Prince & Associates Pulse Poll
                Survey of Households with Net Worth $500K - $25M+
                          (All amounts in US dollars)

    Net Worth            $500K-$1M   $1-5M   $5-10M   $10-25M   $25M+ Overall
    -------------------------------------------------------------------------
                                                                
    I am extremely                                                       
    concerned about the                                                  
    impact of the market                                                 
    volatility on my                                                     
    personal finances.     90.8%     76.1%    52.4%     19.2%    4.5%   62.2%

    Because of market                                                    
    conditions, I have                   
    cut back on                                                          
    discretionary                                                        
    spending.              67.6%     48.6%    18.5%      3.8%    2.3%   38.9%
                                                 
    Because of market                                                    
    conditions, I have                                                   
    opted for less                       
    expensive versions of                                                
    products and                                                         
    services.              69.7%     50.9%    38.1%      1.9%      0%   43.5%
                                                    
    I will need to make a                                                
    major lifestyle                        
    change if the market                                                 
    deteriorates.            94%     77.9%    67.3%       24%    9.1%   67.7%
                                               
    I am likely to                                                       
    purchase a non-                        
    primary residence by                                                 
    the end of this year.    .7%       .5%       0%      7.7%   13.6%    2.7%  
                                                              
    I am likely to spend                                                 
    US$10,000 or more on                    
    jewelry by the end of                                                
    the year.               4.2%     11.7%    30.4%     88.5%   98.9%   30.9%

                                                 
    I am likely to spend                                                 
    US$10,000 or more on                     
    watches by the end of                                                
    this year.               .7%       .5%    18.5%     44.2%   38.6%   13.2%
                                                 
    I am likely to spend                                                 
    US$100,000 or more on                                                  
    redecorating by the                     
    end of the year.          0%        0%     1.2%      3.8%  13.60%    2.1%
                                         
    I am likely to spend                                                 
    US$30,000 or more on                                                   
    leisure travel by the                 
    end of the year.        1.1%       .9%    26.2%     87.5%    100%   26.3%
                                            
    I am likely to spend                                                 
    US$10,000 or more on                                                   
    fashion and                          
    accessories by the                                                   
    end of the year.        5.6%     24.8%    73.8%     87.5%    100%   43.2%

                                            
    I am likely to spend                                                 
    US$10,000 or more on                                                   
    home electronics by                   
    the end of the year.    2.1%      6.3%    20.2%     47.1%   43.2%   16.3% 

    Web site: http://www.elitetravler.com