KPMG is­sues Ex­cite FAQ

Travel Daily - - News -

SPE­CIFIC con­cerns of travel agents im­pacted by the col­lapse of Ex­cite Hol­i­days (TD 10 Jan) are be­ing ad­dressed in a new document re­leased by the com­pany’s Ad­min­is­tra­tors from ac­count­ing firm KPMG overnight.

In par­tic­u­lar, the Ad­min­is­tra­tors have con­firmed that not all for­ward bookings have been paid for by Ex­cite Hol­i­days, and agents whose bookings are fully paid will be in­di­vid­u­ally no­ti­fied.

The document also ex­plains that the Ad­min­is­tra­tors were ap­pointed “be­cause Ex­cite Hol­i­days in Aus­tralia is un­able to meet its fi­nan­cial com­mit­ments”.

The Ad­min­is­tra­tors are now in con­trol of the Aus­tralian com­pa­nies used by Ex­cite, and are con­duct­ing an ur­gent as­sess­ment of their fi­nances.

“Due to the Group’s fi­nan­cial po­si­tion, the Ad­min­is­tra­tors had no choice but to im­me­di­ately cease op­er­a­tions in Aus­tralia upon ap­point­ment on 10 Jan 2020,” the document notes.

The ap­point­ment of Vol­un­tary Ad­min­is­tra­tors is only to the Aus­tralian en­ti­ties at this stage, with the ur­gent re­view also as­sess­ing the po­si­tion in re­la­tion to non-Aus­tralian busi­nesses - in­clud­ing some in Athens, Bangkok & Sin­ga­pore (see p1).

“To the ex­tent that Ex­cite Hol­i­days has not paid the sup­plier for a book­ing you have paid for, you may be a cred­i­tor,” how­ever at this stage it is un­clear whether agents will be cred­i­tors of an over­seas en­tity, or one of the Aus­tralian com­pa­nies - and that also ap­plies to any com­mis­sions, re­funds or re­bates ow­ing.

Agents will not re­ceive re­funds if they can­cel ex­ist­ing Ex­cite Hol­i­days bookings, be­cause “all amounts ow­ing are cur­rently frozen pend­ing the out­come of the Vol­un­tary Ad­min­is­tra­tion”.

In the case of pre-ex­ist­ing bookings, travel agents will con­tinue to be able to log into the Ex­cite Hol­i­days plat­form to check on the sta­tus.

Bookings will be clas­si­fied as: - Con­firmed (un­paid), mean­ing the agent has not paid Ex­cite Hol­i­days, in which case ser­vice providers should be con­tacted to can­cel the book­ing;

- Con­firmed (paid), mean­ing the agent has paid Ex­cite, and the ser­vice provider should be con­tacted to con­firm if pay­ment has been re­ceived or not;

- Can­celled, mean­ing the agent re­quested can­cel­la­tion and the re­quest has been pro­cessed; and

- Can­cel­la­tion Pend­ing, mean­ing the agent has asked that a book­ing be can­celled but the re­quest has not been pro­cessed, and the ser­vice provider should be con­tacted to con­firm de­tails.

The Ad­min­is­tra­tors say the re­turn to cred­i­tors is un­cer­tain at this stage, with the po­ten­tial out­come to be de­tailed in a re­port due to be sent to cred­i­tors early next month.

The full FAQ is avail­able for down­load by CLICK­ING HERE.

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