UNIGLOBE Travel SA (Pty) Ltd commenced operations in October 1999, following the sale of the rights to the Southern Africa Region from UNIGLOBE Travel International Inc, headquartered in Vancouver, Canada. UNIGLOBE Travel SA operates under a Master Franchising Plan in which UNIGLOBE Travel International Inc. is the owner and developer of all the rights, trademarks and systems that comprise the UNIGLOBE program. As the Master Franchisor, UNIGLOBE Travel International is responsible for the appointment, development and support of the UNIGLOBE Regional Sub-Franchisors (or Regions) worldwide.

Each UNIGLOBE Travel agency franchise is independently owned and operated, enabling it to more closely identify and work with the community it services. UNIGLOBE Travel is currently the only travel agency franchise group in Southern Africa with proven systems to be able to support emerging entrepreneurs to start-up travel agency businesses.

UNIGLOBE Travel’s key role is the training, coaching, support and motivation of these entrepreneurs, who acquire its franchise license, and hence the brand, intellectual property and systems.

UNIGLOBE delivers Systems, Training, Image, Clout and Support, which have been developed over its 28 years of experience in travel business format franchising.

UNIGLOBE Travel International was ranked in the top 50 franchises in the world by the authoritative Franchise Times. UNIGLOBE Travel is the only travel franchise in South Africa accredited by the DTI in terms of the NAMAC Development Initiative and recognized by the Franchisee Association of Southern Africa as a Leading Developer of Emerging Entrepreneurs. UNIGLOBE Travel is unquestionably a leading genuinely empowered travel agency group in South Africa. The Group already has policies and procedures in place to effectively empower Historically Disadvantaged Individuals at all levels.

From an Ownership and Management perspective, UNIGLOBE continues to prove its capability of assisting entrepreneurs who have no travel industry background to successfully start up and operate their own travel agency businesses. This has enabled individuals who previously would not have had access to the travel industry to become serious contenders to the bigger players in this previously exclusive industry dominated by the large well established travel groups. No other travel company in South Africa is able to do this. More than 75% of our franchisees are Black owned and managed and more than 80% of those are owned by Black women. Throughout the UNIGLOBE Travel Group in Africa, currently 66% of employees are Black (90% HDI), and 63% of management positions are Black (90% HDI).

At the same time, through our internship and learnership programmes, UNIGLOBE is assisting young newcomers, particularly those with financially challenged backgrounds, to enter the travel industry. These students will become a primary source of staffing of UNIGLOBE and other travel agencies in the future. Job creation is a priority, and as UNIGLOBE Travel grows in South Africa, more jobs will become available to the successful participants in our education programmes. UNIGLOBE Travel is committed to genuine, tangible empowerment, at all levels of our operation.

At the franchisor level we we are actively committed to ensuring that we will be fully compliant with BEE goals for our sector well before the required time deadlines. UNIGLOBE Travel (S A) will be the leading travel franchise system in SubSaharan Africa, setting the standard not only for professionalism, reliability and service excellence, but also by reflecting through its franchisee and area development partners, the rich cultural heritage of this dynamic and diverse region.

GENERAL

UNIGLOBE Travel is committed to being an equal opportunity organisation, and to the upliftment of disadvantaged individuals, always keeping our major criteria to the fore, i.e. that of business competence, dedication, enthusiasm and the ability to focus on and meet the needs of our clients.

UNIGLOBE Travel fully subscribes to BBBEE affirmative action as a necessary means of addressing the imbalances of the past and opportunities of the future. Where possible, opportunities are created within the franchised travel agencies to employ, train and promote people from historically disadvantaged backgrounds, so that they can grow and develop into positions where they can play a meaningful part in the management and direction of the companies within the Group. Strict criteria are set regarding merit, quality and excellence, to ensure that people from disadvantaged backgrounds gain respect and unquestionable capability in their jobs.

Travel and Tourism is one of the single biggest sectors of the South African economy, and one of the greatest economic facilitators for growth and alleviation of poverty and unemployment. UNIGLOBE Travel, with its global links, and growing presence in developing countries such as those in the African continent and South Asia, can put people who have historically been disadvantaged, into business to compete effectively against those who historically enjoyed the benefits of their exclusion from the industry.

As of September 2006 we have 41 franchises and 60 Outlets.

By the end of 2006, UNIGLOBE Travel will have at least 80 full service outlets in South Africa, of which approximately 75% will be black owned or controlled.

We will maintain our ratio of over 90% of the personnel being from the historically disadvantaged sector, however black personnel and management should account for over 75% by 2009.

Our combined gross sales in Africa are approximately R600 million and it is estimated by the end of 2007 will be over R1 billion. Globally our sales exceed $2billion

To meet the objectives detailed above, the UNIGLOBE Group has already implemented the following.

• UNIGLOBE Travel encourages franchisees and their employees to further their education to enhance their job-related skills. As part of the support offered by the franchise system, UNIGLOBE Travel (SA) has a fully equipped training centre, in which on average seven days of training is delivered monthly – over 800 man-days p0f training annually. Courses focus on sales, business operations, customer service and financial matters, and all levels of experience are catered for.

  All UNIGLOBE staff members are expected to attend regular training. In 2005 we delivered almost 500 man-days of training and was evaluated by over 80% of course participants to have exceeded expectations. The Tourism Enterprise Program has accredited and funded certain training initiatives.

• The costs of external training courses for their employees are reimbursed by UNIGLOBE Travel franchisees if these courses are recognised as being necessary for the development of the employee. In addition, through our centralised facility, UNIGLOBE staff members have been granted THETA ‘employed learner’ government funded learnerships to achieve National Qualifications.
• Employees are eligible for local and international educational trips after six (6) months of employment in an UNIGLOBE agency. This provides employees with a valuable insight into various tourist destinations. The UNIGLOBE agency covers a large portion of the costs, and up to seven paid working days per year away from the office.
• The UNIGLOBE Group partakes in one-on-one on the job training sessions and workshops and forums for managers and employees.
• UNIGLOBE Travel has an international staff exchange scheme. Subject to an employee meeting certain Group requirements, agency staff may apply to work in a UNIGLOBE agency elsewhere in the world for a period of between one and three months to gain exposure to international business practices.

Strategies For The Future:

UNIGLOBE Travel will continue to select franchisees who reflect the demographics of its territory and show aa burning desire and ability to be their own boss in this growing and demanding Travel and Tourism sector. Strategies include:

• Sourcing of and supporting loans to be made available on terms not easily accessible from normal banking institutions from IDC, Business Partners and other. To date 6 franchisees have been financed from this source and we expect to do 10 per year
• Funding through ECI on behalf of the Business Trust for additional training and development and business planning/ consulting
• Promotion of internal employee equity and incentive plans
• Initiatives to provide international exposure for franchisees and employees throughout the UNIGLOBE Group internationally
• Lobbying business to support development initiatives

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