Aqua Avia Socy seeks outstanding fees

Press, 14 July 1982, Page 3

Aqua Avia Socy seeks outstanding fees

The Aqua Avia Society will employ a debt-collecting agency to collect outstanding membership fees frommembers who do not respond to the society's personal approach. The society's New Zealand travel manager. Mr Jos Boswinkel. said yesterday that the society had debts of $200,000. The society has obtained a stay of proceedings from the creditors until September 30. Mr Boswinkel said that between $BOO,OOO and $1 million was owed to the society by members who had not paid "the full amount of their life membership, or who owed annual subscriptions. The society has about 35.000 members. 7000 of whom are in the Canterbury area. ■‘Ail the members who. according to ' our records, haven't fully paid subscriptions ... will get a letter requiring them to pay membership fees outstanding or due “’at the moment;" Mr Boswinkel said. "If only we could get part of that in. with $lOO,OOO in the bank we would have saved ourselves." he said. "We are considering taking it to a collection agency to have it done for" us." Mr Boswinkel said. "We are approaching members telling them that if we don't do the collection then our creditors will do it later on." About 16.000 of the society's members are life members, with the remainder being annual or five-year members. The life members who joined the society last year were required to pay a deposit when they signed the contract. Mr Boswinkel said. They were-supposed to pay the remainder within 28 days of receiving their membership card. Mr Boswinkel said that about 3000 life members each owed the society $lOO

"and the others' subscriptions are due this year anyway." "There is a lot you could do for the members if you had that money." Mr Boswinkel said. "You could start building motels, holiday resorts, or anything the members would like to see."

The society has done some belt-tightening of its own by reducing overheads from $350,000 a year to $40,000 and included the salaries of two persons, the society’s secretary. Mr Brian Shackelton. and an office girl who maintained the society’s rolls’.

Asked how the society could justify calling on members to pay outstanding fees, Mr Boswinkel emphasised the benefits in arranging international travel through the society. The travel side of the society's business has been handed over to Jetsave, a tour operator and retail chain which has been working with the society for the last six months.

Jetsave handles all the ticketing for Aqua Avia. Mr Boswinkel said that Jetsave had been very keen to take over the society's business "because it has a captive audience. They have agreed to pay salaries (of travel staff) ’ and rent, telephone bills, apd electricity and have taken a bigger percentage of the commission," he said.

Jetsave was also acting as Skybus agent, Mr Boswinkel said.

Within New Zealand Aqua Avia members are eligible for a discount at 35 motels.

"We think we have really got something to offer members." Mr Boswinkel said, although he agreed that those members who had joined in the hope of cheap

domestic travel had been disappointed. “Those who have joined for domestic travel haven't received anything at all. We are not in a position to do anything except motels and it 'might be difficult to get your money's worth." he said. Mr Boswinkel said that the society stood for low cost travel". “According to surveys over the last six to eight months 83 per cent of people joined for international travel." he said. He estimated that a “few thousand people" had taken advantage of overseas travel arrangements made through the society, which had resulted in a travel turnover of about $1 million. Mr Boswinkel said that he had been using contacts throughout the world to get into transatlantic charters for members. He said it was a highly competitive market where fares could be sold for what they cost. Examples of fares available to members were: Los Angeles to Australia $249. Singapore to London $4OO-5500. and a return peak season fare to Europe of between $2lOO and $2200, with unlimited stopovers. Travel to Australia made up about 45 per cent of the total overseas market, he said, and the return fare charged by Jetsave to society members was $330 return.

A spokesman for Air NewZealand gave comparable prices for flights booked through its airline. The lowest price from Los Angeles to either Sydney. Melbourne, or Brisbane would be an epic low fare costing $lOB7. An all-year-round Singapore to London flight would cost $847. A high season excursion

return fare from Auckland to London would cost $2720 with no stopovers. Stopovers cost more but the spokesman said that an unlimited stopover fare was not offered by Air New Zealand and it was impossible to calculate an average cost as fares were calculated on a mileage basis. A return Auckland to Sydney fare would cost $330 (epic), $394 (shoulder), or $470 (high). The society was still working on the domestic market. Mr Boswinkel said, but it was a lot more difficult than the overseas market. Air New Zealand was very difficult to break through, he said. "It has offered us a licence on the Auckland-Whakatane route." There had been more negotiations with third level operators, he said, and two had indicated that they were prepared to offer up to 25 per cent as a -discount to members. He said these operators were bound by air tariff regulations. "All international airlines get round it so domestic airlines should - it is just an administrative matter." The head of the Securities Commission. Mr C. I. Patterson. who previously warned people to think carefully before joining the society, said yesterday that they should think again before paying any outstanding fees. He said members should consider whether they were being asked to pay what they agreed to when they signed. Mr Patterson said that if the members had agreed to pay outstanding dues when the society began flying its own aircraft, “I shouldn't think the society has met that condition."