Do you remember the outrage a year and a half ago when the CEOs of Ford, Chrysler, and GM flew to Washington, D.C. in private jets to ask for $25 billion in taxpayer money to avoid bankruptcy? Not that selling off private jets would have covered the $25 billion these guys were asking for – but it would have been a nice start.

It’s unfortunate that we see this kind of arrogance and greed in the Corporate world. Millions of people were laid off from thousands of companies while big wigs like these CEO’s live in the lap of luxury. You saw very little about any CEO taking a pay cut during the turmoil this country went through during the latter part of 2008 and 2009. Instead, they cut out the jobs of average American’s while keeping their pay and perks intact.

Most CEO’s have a lucrative bonus plan in place – including the Founders of YTB. The difference between our Founders and the CEO’s of other companies is that Coach, Scott, and Kim’s bonus is based in part on the performance of the company. Some based on pay or salary, while another chunk is based on stock options. Unlike other CEO’s or companies (like the Big Three in Detroit) our three founders forfeited 355,000 shares in options each of the last two years because the company didn’t meet the performance goals they wrote down to achieve that would trigger each bonus.

In case your wondering – that’s called accountability.

While there were some riffs about the forfeiture of options from critics, I would have loved to see the outrage over actual shares being awarded. It’s one of those “damned if you do – damned if you don’t” scenarios we enjoy from Zealots who flip flop depending on how it furthers their own agenda.

Regardless of which side of the fence you sit on, the fact is our Founders aren’t the type who take big pay days when the company isn’t performing as promised. The buck stops with them so to speak – which goes back to their AL Williams days as “Reps”. (Not to mention its just good business.)

To further illustrate our Founders desire to create a healthy, viable company they’ve restructured their compensation based on overall performance rather than acting like the fat and happy Executives we see in traditional corporate models. The company announced the new pay structure in a press release on Tuesday:

In order to ensure the Company continues its best practices related to executive compensation, YTB is transitioning to a performance-based incentive compensation program. Effective for the 2010 fiscal year, certain Company executives are entitled to incentive compensation if the Company achieves growth in the number of Business Owners at fiscal year end compared to the beginning of the fiscal year; if the Company meets or exceeds certain financial objectives established at the beginning of the fiscal year; or if the executives meet or exceed certain personal or departmental financial and budgetary objectives established at the beginning of each fiscal year.

Nothing like taking personal responsibility and holding yourself accountable for the overall health of your company now is there? If our Founders and Executives don’t perform to acceptable standards – they’re not paid that handsome bonus other CEO’s are paid. Instead they created an incentive to meet or exceed goals which could compensate them above and beyond their previous pay structure.

Because YTB is a public company obviously all this was filed with the SEC and you can find details of the new compensation package along with a breakdown of objectives that are now required from the Executive Team. Compensation now rides on and includes the growth of business owners (or IBC’s), cash flow and available cash on hand, bottom line earnings reported to stock holders, and other discretionary objectives for each department.

Based on the Press Release that was issued – and the terms of the new compensation that were filed with the SEC – simple logic would have you conclude that the Founders and Executives are at the very least willing to do their part for the overall health of the company.

That being said – not everyone who read the filing was able to comprehend or discern what went down. In a very comical and incredibly bizarre “Google Alert” – some jack ass laid claim that our Founders could be getting ready to resign after landing a sweetheart deal.

I’m not kidding – our self-proclaimed “YTB Expert” thinks you can quit (or resign) AND collect severance to boot. His focus – a two year deal that’s structured under the old compensation package that he claims will enable Coach, Scott and Kim to ride off into the sunset. While they haven’t resigned (yet) according to this dolt – we all need to be cautious of this severance stipulation.

Typical.

For the record, the clause he didn’t “copy and paste” on his blog stated otherwise:

Accordingly, a beneficiary under no circumstances would receive any payment under the Program if he left YTB without good reason or was terminated for cause.

It’s not that a clause like this is really necessary. Can you imagine walking into the Boss’s office sitting yourself down and stating “I’d like to resign – what kind of severance can you offer me?”

You’d either be thrown out and most likely fired “with cause” (for being stupid) or suffer the brunt of company jokes for years to come. (Again – for being stupid.)

You might be wondering if this idiot wrote this out of desperation or due to sheer stupidity. While I’m certainly not a mind reader and I hate having words put in my mouth (like he does with me) I’m pretty certain that this zealot thinks we’re the suckers due to the growing number of YTB’ers (including myself) that make it into his “Dumbass Den”.

In his own arrogant and self-righteous way, our lack of intelligence can’t possibly uncover the obvious error because those in MLM aren’t smart enough. We’re beneath the almighty professionals who pick – poke – and pry at anything and everything our company does.

On the other hand: If you think Coach, Scott and Kim have even the slimmest chance of quitting and having the Board of Directors approve a single dime of the two year severance package that was written – you DO belong in a “Dumbass Den”.

Likewise, for those who are reading up on the internet about ZamZuu or YTB at this time – go back to Tuesday’s article and the statement that John is helping us weed out those that aren’t intelligent or responsible enough to uncover fact or truth. Seriously – If a big old red flag doesn’t come up warning you that nobody gets a severance package when they resign – how could they even be considered a viable prospect?

See my point?

Are his statements ridiculous, absurd, bizarre? Sure they are – that’s what we’ve all come to know, but not quite love about John. But trust me, there’s no way you’re going to convince an arrogant pompous ass like John Frenaye that he’s wrong. His ego is just too big and overpowering to allow anyone to knock any logic or sense in that brain of his. (That – or there’s just not enough room down there.)

At this point, the best you can do is smirk (or laugh out loud like I did) and be thankful and grateful that you’re not as desperate (or stupid) – nor are you likely to run into anyone who is because John’s pretty much got a lock on weeding out any bottom feeders for us.

Instead, turn it around and be thankful. If for nothing else – for ability to read and comprehend the English language.

Then you can move on and be thankful that our Founders are willing to do what it takes to provide a viable, profitable, and respectable business opportunity for those of us who see things for what they really are.

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The week before the Convention Scott Tomer joined our team on a conference call. I remember Scott telling the group that he couldn’t put his finger on the exact moment or particular event that shifted the momentum back to YTB. He (like me) could sense a change, a shift in direction after all the baseless attacks and bantering going on concerning our company. Back in April, YTB announced Robert Van Patten as their new Co-CEO. Mr. Van Patten brought 25 years of senior management experience to the company and had been charged to oversee many of the administrative, accounting and corporate governance issues of the company.

Few people realize that YTB and Mr. Van Patten agreed to terms the very day word came of the tentative settlement of the civil lawsuit filed in California. As I thought about today’s topic I remembered both the e-mail that came in about the tentative settlement, and the conference call that followed with news of both the pending settlement and Mr. Van Patten’s appointment as Co-CEO.

One of Van Pattens first orders of business was an internal audit and review of YTB International. We’ve seen many changes in the company since Van Pattens arrival. If you looked at the Q2 financials that were released a week ago, you’ll see Roberts fingerprints all through that document with cutbacks, cost cutting, even the disposal of nonperforming subsidiaries. (A traditional Brick and Mortar model.)

I can also assure you that Van Patten had a hand in the newly appointed Board Members who add a tremendous amount of business savvy to our Board of Directors. Our new Board was introduced to everyone at the Convention and I had an opportunity to catch up with Robert and our CFO John Clagg after Friday afternoons general session to thank him for all the hard work and difficult choices he’s made to ensure that YTB comes out the other side of the economic slump. When you combine the economy with the bizarre accusations and constant obsession of our critics on the internet, that’s not an easy task.

Day before yesterday, I got word from Mr. Van Patten regarding the company appointment of Damian Jones as Director of Corporate Affairs. Damian starts his new roll today at the home office, however, he’s no stranger to the company. I met Damian back in February and learned that he was instrumental in the development of YTB Golf and the creation of this viable niche site for our Travel Store Owners who love the game. Damian spent several years with Perry Golf, a premier golf destination travel company we offer on the site. Damian was also instrumental in the introduction of Proam Golf for golf equipment, and Worldwide Golf Vacations for golf resorts and spas now offered on our site. His background also includes management of construction projects as well as business development and legal affairs. (He’s a graduate of Louisiana State University with a degree in architecture and he received his law degree from Tulane University.)

According to Robert Van Patten:

In the role of Director of Corporate Affairs, Damian will first develop a new Company Business Plan, incorporating the franchise concept the Company is moving towards.  Also, he will work with staff to develop a communication protocol so that all home office personnel are aware of new and changing programs that take place in the field.

Both of these issues were the top two concerns of key management personnel during the internal audit review that took place earlier this year. After these assignments are well underway and/or completed, Damian will assist me in managing the legal issues of the Company, including the registration of the franchise model that will be rolled out in all states at the start of 2010.

I wrote back in April about the Master Mind Group that was highlighted in the classic book “Think and Grow Rich”. The idea of the Master Mind is to tap into the expertise of others in order to help the overall good of the group. (Or in this case company.)

Since the implementation of the 2020 Vision Group that was formed from the idea in the book, the Master Mind concept been one of the most significant changes in the history of YTB. Damian’s appointment as Director of Corporate Affairs is yet another example of YTB’s commitment to put the ball in the hands of play makers who can effect change and make things happen. He not only brings experience and knowledge to the role, but a passion I’ve witnessed personally. In my opinion, (among others I’ve talked to over the last few days) this is a perfect fit.

Please welcome Damian to our staff and wish him much success in this new opportunity with YTB International.

PS - If you're involved with YTB, sign up for our FREE Newsletter. As a Website Owner or Website Seller, we'll keep you up to date with all the latest news, acquisitions, and developments with YTB.

PPS - Subscribe to the Just Picture It Now RSS feed, (including e-mail) for all the latest posts and updates found right here!

Doug & Ronda Bauknight AKA: TravelPro Travel Agent / Networker Phone: 678.458.5812

Learn How To Become A Travel Agent

Book Your Travel & Vacations With

Do You ZamZuu?

TSO #588629