The founders of YTB learned direct sales from Art Williams and built one of the largest organizations in his company. We know how to build a successful sales force that will stand the test of time and the facts supporting this claim are easy to substantiate. 27 years later, my brother still operates a very successful business inside what is now known as Primerica Financial Services.

We know how to recruit, build a sales force and sell products and services using the direct sales or network marketing approach. We are convinced this is the best marketing system ever created and we are ABSOLUTELY COMMITTED to continuing the use of this system with YTB. While there will be changes to the process as it relates to the sale of franchises, the downline genealogy and network marketing division will remain intact.

Our commitment to becoming a world class travel company will be supported in the franchise system with additional tools and training for those who choose to actively pursue the travel business. The operations manual available to franchisees will provide details of the critical aspects of how to successfully operate their franchise.

We believe a franchise model of our existing business will be easier to comprehend and more readily accepted by the general public. Since franchising is recognized as a traditional business

model in virtually all developed countries, YTB’s timeline for global expansion will be accelerated. Additionally, franchising will allow us to rapidly diversify the products and services offered by our franchisees. This will enable YTB to more quickly attain our goal of becoming a major distribution channel for products and services sold in the U.S. and abroad.

Now let’s discuss how this will affect our existing RTAs. We anticipate everything that currently exists for RTAs will be in the franchise model and any additional products offered through the franchise will be available to RTAs should they elect to become franchisees.

We also anticipate providing favorable terms to those RTAs who convert to the franchise model although we have not decided on those details as of this date. If RTAs elect not to become franchisees, they will be able to continue with no change to their status with all income opportunities and privileges they currently enjoy.

I acknowledge outsiders will question this decision. We’ve been questioned before. Many so called industry experts doubted our ability to sell travel, but they can’t argue with the fact that we sold $414 million of it last year.

We became a publicly traded company in 2004 and the skeptics said we would never make it. People said we were crazy to introduce a Reps’ "Bill of Rights" at the 2005 "Your Time to Build" national convention. It was unheard of in our industry. No one had ever guaranteed earnings for its Reps prior to the 2006 "Business of Champions" YTB convention, but that didn’t stop us from introducing the Success from Home Magazine program with its $6,000 Guarantee. We became members of the Direct Sales Association in 2007 and added the "First Amendment to the Bill of Rights" at the "Cleared for Take Off" National Convention to the dismay of our detractors.

We’ve never asked nor do I care about the opinion of our competitors and skeptics. Let them say what they will. So what if they don’t agree with what we do. While it disturbs me that they make inaccurate, deceitful, slanderous and outright fraudulent statements about YTB in an attempt to recruit people, I refuse to respond. What I do know is this. YTB is responsible for more travel sales through YTB Travel Network than all of the other network marketing companies selling travel combined. I stand on our record of Rep and RTA protections and challenge any of them to step up and compete.

We’re building a company for the ages and I am proud to be in business with you.