YTB Restructures Founder/Executive Compensation | Just Picture It Now

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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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Doug & Ronda Bauknight

AKA: TravelPro

Travel Agent / Networker

Phone: 678.458.5812