Private Club at Phillips Point to Re-launch

Under New Operation By The Breakers Palm Beach

. October 14, 2008

PAM BEACH, FL, August 20, 2008. Effective August 1, Flagler System Inc. - owner/operator of the legendary Breakers Palm Beach resort - took over the former Governors Club, located atop the Phillips Point building's East Tower in downtown West Palm Beach, in the form of a long-term lease transaction.

Colonnade Properties, the building ownership for Phillips Point, approached The Breakers to operate the private club, which has been under the helm of ClubCorp for more than 20 years.

After the Governors Club's last day of operation on July 4, The Breakers management team will implement a full-scale renovation and make significant enhancements to unveil a completely transformed club, called the Phillips Point Club by The Breakers. The new venture will re-emerge in October 2008, as one of the finest, city club experiences in the region, and at a level of quality commensurate with the premium club, food and beverage, and catering operations of The Breakers.

The "new" Phillips Point Club will remain affiliated with the ClubCorp network, so members will continue to enjoy reciprocity privileges with other ClubCorp Associate Clubs and Resorts around the country. The new membership program will include many enhanced benefits, such as dining privileges at select Breakers restaurants and limited access to The Breakers Rees Jones(R) Golf Course.

During the interim period of closure this summer, current members of the Governors Club will be accommodated with special courtesies at The Breakers, its off-site restaurant, Echo; and The Breakers Rees Jones(R) Course in West Palm Beach.

Located in the heart of West Palm Beach, Phillips Point has achieved stature as the premier corporate headquarters for leaders in the Palm Beach County business and political community. The Club facility atop Phillips Point is renowned for its stunning, panoramic views from all sides of the Intracoastal Waterway, the Atlantic Ocean and Palm Beach.

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