Issue Date: Vol. 49, No.7, July 2009, Posted On: 7/25/2009
AMOA, AAMA Approve Possible IAAPA Ownership In Fun Expo
by Staff Reporter
American Amusement Machine Association, International Association of Amusement Parks and Attraction, Leisure Entertainment Trade Shows, International Association for the Leisure and Entertainment Industries, Amusement and Music Operators Association, AMOA, coin-op, coin machine trade show
CHICAGO -- The umbrella group that owns Fun Expo will allow the International Association of Amusement Parks and Attraction to assume 50% ownership of the FEC trade show if IAAPA consummates a merger with the International Association for the Leisure and Entertainment Industries. The announcement was made last week by the Amusement and Music Operators Association, which is part of the Leisure Entertainment Trade Shows, or LETS, the owner of Fun Expo.
AMOA, IALEI and the American Amusement Machine Association set up LETS to administer Fun Expo, cosponsored by the three associations. Under the accord, IALEI owns 50% of Fun Expo, while AMOA and AAMA own 25% each. It was inked in 2000.
The agreement includes a four-year noncompete clause that could have applied to IAAPA if it had assumed IALEI's interest in Fun Expo. However, the group of Fun Expo owners agreed to modify certain terms of the LETS agreement, according to AMOA.
The directorates of both IALEI and IAAPA have agreed to a merger and IALEI's membership will vote on it in August. Sources close to the associations said the LETS agreement will expire in December 2010 and member associations are required to disclose any intent to terminate the agreement by April. So the approval of AMOA and AAMA removes a potential objection to the IAAPA-IALEI merger; and since the LETS agreement must be renewed in 2010, any such objection would be moot.