Further shifts in US trade association infrastructure
Earlier this week, the Amusement and Music Operators Association, which forms part of the Fun Expo ownership consortium Leisure Entertainment Trade Shows (LETS), said the group would allow IAAPA to assume 50 per cent ownership of the FEC trade show if it consummates a merger with IALEI.
AMOA, IALEI and the American Amusement Machine Association set up LETS to administer Fun Expo in 2000, co-sponsored by the three associations. Under the accord, IALEI owns 50 per cent of Fun Expo, while AMOA and AAMA own 25 per cent each.
The tabled offer includes a four-year ‘non-compete’ clause that could have applied to IAAPA if it had assumed IALEI’s interest in Fun Expo. However, the group of Fun Expo owners has now reportedly agreed to modify certain terms of the LETS agreement.
It was announced at the start of July that the boards of both IALEI and IAAPA had voted in support of the agreed merger, contingent on the resolution of several contractual matters. A dedicated transition team was formed to finalise these details, and information packets containing the full merger proposal details have now been passed to association members.
The IAAPA and IALEI transition teams are now working to finalise the details of the contingent items for the merger, and on July 15 ballots and information packets containing specific details of the combination proposal will be distributed to all IALEI members so they can vote on the final agreement.