2 December 2008 - Chairman's Annual Report  2007-08

The 2007/08 financial year has seen yet another substantial increase in calls to 131008. Total calls to 131008 increased by 15.45% and successful calls increased by 6.76%. As in previous years, a significant portion of this increase has been generated by regional taxi services, which have opted to promote 131008 as their only taxi booking phone number. The year saw the growth of digital dispatch systems and regional call centers specifically serving the taxi industry. As a result, many regional taxi services have chosen to outsource their call management facilities. 131008’s ability to deliver calls to anywhere in Australia at no cost to its members makes such business decisions economically feasible by minimizing telecommunication costs. Our metropolitan taxi services also continue to generate significant call growth to the 131008 service.

The company continues to maintain its policy of generating low profits, primarily by returning revenues to its members via decreased licence fees. The year saw a reduction in licence fees to nominal amounts in the range of $100.00 per annum for small taxi services to $500.00 for the major taxi services. With the minimum cost of maintaining a basic “13” service being around $12,000.00 annually, and very likely much more than that, 131008 offers excellent value for money to its members on that front alone. The net profit for the company last financial year was $16,481.00, which is slightly higher than in previous years, but still quite low, and an indication of the continued policy of keeping fees to a minimum.

The end of the last financial year saw the departure of Richard Quilty as the company’s Executive Officer, a role he filled since the company’s inception in 1992. I would like to take this opportunity to formally acknowledge Richard’s contribution to the success of 131008. Richard’s vision of a national taxi booking phone number was born in 1992 when “13” phone numbers were first introduced in Australia. At that time, many people in the industry doubted that the concept would become a reality. Now in 2008, 131008 accounts for about half of all taxi booking calls nationally – a success story by anyone’s standards. Richard is now engaged in other, less stressful pursuits, outside the taxi industry and I and the board wish him well in his semi-retirement.

Paul Mifsud was appointed as the company’s Executive Officer following Richard’s departure. Paul’s background is in commercial software development. He has served the last five years as the company’s Network Manager where he gained in-depth knowledge of the company’s workings and the taxi industry in general. With the industry now recognizing the advantages of recent developments in telecommunications, his IT and telecommunications background will serve the company well moving forward into the next decade.

On behalf of the board, I also wish to acknowledge the contribution of Murray Spence to the company, whose five-year tenure as a Director of the company will come to an end today. Murray has always acted independently and in the best interests of the Queensland taxi services, large and small, which he represented on this board.

The year also saw the advent of rival “13” services in the taxi phone booking market. Whilst these competitors may seem attractive in the short term, this company has considerable doubts about their methods and their intentions. Unlike Taxi 131008 Limited, these new players are likely to be seeking to generate huge profits, which may ultimately see money taken out of the taxi industry and into the hands of a few individuals.

The last financial year saw the company’s share register expand to include taxi services in Mount Isa and Glasshouse Mountains in Queensland, Sunbury and surrounds in Victoria, and Launceston in Tasmania. The share register remains open, and the company continues to encourage new entrants, primarily as a means of securing long-term access to the 131008 service in their taxi district.

The company continues to research and monitor new marketing services which are beneficial to all areas of the national number both for the regional and the major city taxi companies. I thank all services for their support in the last year and look forward to the continuing loyalty to our number from all shareholders.

Garrie Woolford

Chairman

28 November 2008

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