UTAG ELECTS NEW BOARD FOR NEXT PHASE OF DEVELOPMENT

The UTAG Travel Group has introduced a new board structure to take the company forward into its next stage of development following the successful internal float in June.

The new, smaller board was announced at the UTAG Travel Annual General Meeting and conference at the Hyatt Regency Coolum on Queensland’s Sunshine Coast after a national postal ballot of UTAG Travel members and shareholders.

Under the new structure, five board members have been elected to represent agents in New South Wales / Australian Capital Territory, Victoria/Tasmania, South Australia/Northern Territory, Queensland and Western Australia. Previously there were two representatives for each State, or combinations of States and Territories.

A sixth director will represent corporate agents, and two external directors may be appointed at a later date. UTAG Travel Managing Director Mr Bob Steel is also on the new board.

Mr Allan Maher of Universal World Travel in Perth has been returned as Chairman and Western Australian Director while Victorian agent Mr Tod Collins of Echuca Travel has been re-elected Vice Chairman and Director for Victoria and Tasmania.

Mr David Pearce of Figtree Travel in Wollongong has been returned as Director for New South Wales and Australian Capital Territory and Mr Stephen Peters of Oxford Travel in Adelaide has been returned as the Director representing South Australia and the Northern Territory.

In Queensland, Mr Stan Klinakis of Pulse Travel in Brisbane is the only new Director to be elected to the Board.

The Corporate Agency delegate to the Board is Mr Tom Goldman of Voyager Travel Corporation in Sydney and Melbourne, who was appointed in June to represent corporate agents, pending election in the postal ballot.

UTAG Travel was reconstituted from 1 July when it transformed from being purely a purchasing and management company to a full risk-sharing partnership with its members.

The float was oversubscribed as UTAG agents rushed to secure investor category shares, which now account for 70 per cent of voting rights.

The remaining 30 per cent of voting rights is held by member class shareholders, many of whom are currently on a waiting list to invest in the new enterprise.

“There are considerable benefits for all concerned in the newly restructured UTAG Travel Group,” said the Chairman, Mr Allan Maher.

“With all UTAG agents now becoming UTAG shareholders, there is a significantly greater commitment to strengthen and grow our group.

“Now, more than ever, the success of UTAG is directly linked to the earnings and the efforts of our members.”

The Chairman said direct shareholding encouraged members to work harder to sell preferred products, which increased their own income.

In addition, increased sales added to the profits of the UTAG Group, and ultimately the shareholders themselves in the form of increased dividends and reinvestment in the group.

“In due course, the Board will appoint two directors outside of the organisation whom we want to bring fresh ideas and general business experience to UTAG Travel,” said Mr Maher.

“I am confident that this new strategy will help us to achieve our target of increasing the number of our member agencies from the current 420 in the foreseeable future.”