FAIR TRADING AGREEMENT - BAKERS COACH HOLIDAYS 2005 Our Fair Trading Agreement and holiday information sets out clearly and simply the responsibility which we, Bakers Holidays, have to you and which you in turn have to us when a contract is made between us. The contract is made when you make a booking and we accept it by written confirmation on the terms set out in the brochure. When signing the Booking Form for your holiday you will sign on behalf of yourself and the others named in your party that you have read, understood and have accepted this Fair Trading Agreement and the Holiday information provided in this brochure. Your obligation is to pay the price of the holiday and recognise your liabilities if you wish to alter the holiday or have to make a cancellation. On our part we have the obligation to provide you with the holiday you have booked. Our specification of that holiday and our terms are clearly stated in this brochure. Your holiday contract is entered into with Guideissue Limited T/A Bakers Holidays whose registered office is Spring Grove, Congleton Road, Biddulph, Stoke-on-Trent, ST8 7RQ. This Fair Trading Agreement applies to all Holidays sold from this brochure.

YOUR CONTRACT WITH US 1. YOU PAY A DEPOSIT. When making your holiday you must complete a booking form accepting on behalf of all your party the terms of this Fair Trading Agreement and pay a deposit of £30 per person on all UK coach holidays and £40 per person on all continental coach holidays. All monies paid to your Travel Agent are held by them on your behalf until you receive our confirmation. Thereafter the travel agent holds the monies on our behalf. 2. HOLIDAY INSURANCE. It is a condition of your contract with us that you should take out insurance to cover you in the event of illness, personal injury or death during the course of your holiday. We recommend that you take out our insurance details of which are contained in this brochure on page 18 but you may choose to take an alternative insurance cover in which case the policy number and insurance company must be entered on the booking form. 3. YOU PAY THE BALANCE. The balance of the holiday cost must be paid to the office at which you made the booking at least 4 weeks before the holiday departure date. If you book within the applicable balance due period you must pay the full holiday cost at the time of booking. If the balance is not paid in time we reserve the right to cancel your holiday, retain your deposit and apply the cancellation charges set out in paragraph 5 "If You Cancel Your Holiday." 4. IF YOU CHANGE YOUR BOOKING. If after our confirmation has been issued you wish to change to another of our 2005 holidays or change departure date we will do our utmost to make the changes provided that written notification is received at our offices from the person who signed the Booking Form or their Travel Agent not later than the date on which the balance of the original holiday cost was due for payment. This must be accompanied by a payment of £15 to cover administration costs. Any alteration other than those set out hereafter made by you later than the original balance due date will be treated as a cancellation of the original booking and will be subject to the cancellation charges set out below. Other alterations such as the addition of requests change of pick up point or name change that require a reconfirmation to be issued must be notified & accompanied by payment of £5 to cover administration costs. 5. IF YOU CANCEL YOUR HOLIDAY. You or any members of your party may cancel your holiday at any time provided that the cancellation is made by the person signing the booking form and is communicated to us in writing via the office at which you made your booking. As this incurs administrative costs we will retain your deposit and in addition apply cancellation charges up to the maximum shown below: Period before departure within written cancellation is received / Amount of cancellation charge as % of notice of holiday price: More than 28 days/ Deposit; 28 to 15 days / 45%; 14 to 08 days/ 60%; 07 to 01 days / 90%; Departure date or after / 100%. Note: You may be able to reclaim this charges if the reason for the cancellation is covered under the terms of an insurance policy. 6. IF YOU HAVE A COMPLAINT. If you have a complaint during your holiday please inform our driver/courier, representative or the hotelier who will do his/her utmost to resolve the problem immediately. If the matter cannot be put right on the spot you should telephone us on (01782) 522101 as soon as possible at the head office with details of your complaint. On your return from holiday you should then write within 28 days to the Tours Manager, Bakers Holidays, Spring Grove, Congleton Road, Biddulph, Stoke on Trent, ST8 7RQ. You must quote your booking reference, destination, and departure date. Failure to establish your complaint immediately in accordance with the above procedure may affect the outcome of it. 7. STATUTORY AUTHORITIES. This brochure is issued subject to applicable Acts of Parliament and Government Regulations and the company reserves the right to modify itineraries to conform with requests from the competent authorities in the United Kingdom and any other sovereign state through which the tours run. 8. CONDITIONS OF CARRIAGE. When you travel on a ship the conditions of carriage of that carrier apply and are subject to national and international conditions which may limit or exclude liability. Your contract made under the terms of this Fair Trading Agreement is subject to English law and jurisdiction. Some coach journeys may be operated by vehicles other than those owned by Bakers Coaches and the specification may be different to that detailed in this brochure. The Public Service Vehicle (Conduct of Drivers Conductors & Passengers) Regulations as amended 1990 apply to all coaches throughout any holiday in the UK. 9. OTHER TERMS. On holiday you may not: (a) bring a pet or any other animal (other than Guide Dogs in the UK and Eire only by arrangement). (b) Play a radio or cassette player on a coach. Bakers holidays reserves the right to refuse a booking or terminate a client's holiday in the event of unreasonable conduct which in our opinion is likely to cause damage, distress, danger, or annoyance to other clients, employees, property, or to any third party. If you are prevented from travelling or continuing your holiday by such a termination Bakers Holidays' responsibility for your holiday thereupon ceases. Full cancellation charges will apply and we will be under no obligation for any refund, compensation, or loss that you may incur. You are responsible for ensuring that you are at the correct departure point at the correct time and we cannot be liable for any loss or expense suffered by passengers because of their late arrival at any departure point. Excursions are included in the price of most holidays and refunds cannot be made for passengers not wishing to go on these excursions. Admission fees to buildings, grounds, use of guides etc are not included in the price of the holiday unless otherwise stated in the brochure.

OUR PROMISE TO YOU 1. WE RESERVE YOUR HOLIDAY. When you have ascertained or your travel agent has provisionally confirmed that we have available space on the holiday of your choice, a confirmation/invoice will be forwarded to you normally within three weeks of receipt of your signed booking form and the contract is made between us when you receive this confirmation. In the event that a holiday was sold through any travel agent who defaulted we guaranteed your holiday on production of an adequate documentation and our confirmation to establish the sale. 2. YOUR HOLIDAY PRICE. Coach Holiday prices per person include all coach travel, hotel accommodation, and meals as specified in the holiday description, service of driver/ courier, and VAT at the current rate where applicable. Morning coffee, afternoon tea and other refreshments are not included. Some hotels may make a small additional charge for porterage and tea and coffee served after lunch and dinner. Gratuities to the hotel staff and driver/courier are discretionary. UK HOLIDAYS The price of your holiday is guaranteed and will not be subject to any surcharges except for those resulting from fuel, government action including additional bonding or licensing requirements and VAT. In all cases we reserve the right to pass these amounts on in full. EUROPEAN HOLIDAYS The price of your holiday is guaranteed except for government action. We guarantee that the price of your holiday will not be subject to any surcharge except for those resulting from government action including additional bonding or licensing requirements, currency devaluation and VAT. Even in this case (except for VAT where increases will be passed on in full) we will absorb an amount equivalent to 2% of the holiday price which excludes insurance premium and any amendment charges. Only amounts in excess of this 2% will be surcharged but where a surcharge is payable there will be an administration charge of 50p per person together with an amount to cover agent's commission. Surcharges will not be imposed within 30 days of departure. Calculation of surcharges - revised changes to any given variable will be calculated by taking the total change in the variable element concerned to each passenger. This amount will then be added to or deducted from the original holiday price exclusive of VAT. The revised VAT will then be added to the new VAT exclusive price to arrive at the revised VAT inclusive price. If this means paying more than 10% of the holiday price you will be entitled to cancel your holiday with a full refund of all money paid except for any premium paid to us for insurance and amendment charges. Should you decide to cancel because of this you must exercise your right to do so within 14 days of the surcharge invoice date. Whatever happens to the value of the pound the price of your holiday will not be subjected to any currency surcharges except for government devaluation. The price of your holiday is subject to surcharges on the following items: government action including VAT and devaluation. 3A. IF WE CHANGE YOUR HOLIDAY. The arrangements for holidays in this brochure are made many months in advance and changes are sometimes unavoidable. Most of these changes are likely to be minor and we or our representatives will endeavour to keep you informed. However where before departure we have to alter significantly an essential term of this contract such as price, location of resort, quality of main hotel (not including single overnight hotels on touring holidays) or tour itinerary changes involving a destination being eliminated, we will notify you of the change as soon as possible. In such circumstances you will be given the following options: (a) to accept changes to the contract as set out in a rider to it specifying the changes and their impact (if any) on the price or (b) to take a substitute holiday of equivalent or superior quality if we are able to offer you one or (c) to take a substitute holiday of lower quality if we are able to offer you one and to recover from us the difference between the price of the original holiday and that of the substitute holiday or (d) to have repaid to you as soon as possible all the monies paid to you under the contract. If you choose (a) (b) or (c) we will pay you compensation on the scale below. If you choose (d) we will refund all monies paid by you plus compensation as below (no other claim for compensation or expenses will be considered.) Period before departure within which a "significant change" is notified to you or your travel agent and respective compensation per person: More than 28 days - Nil; 28-15 days - £10.00; 14-08 days - £15.00; 07-0 days - £20.00. 3B. IF WE CANCEL YOUR HOLIDAY. It is necessary for there to be a minimum number of passengers in order to operate a tour. If this minimum number is not achieved before the balance due date the tour could be cancelled. In certain circumstances therefore we may have to cancel your holiday and if this should occur we will return to you all the money you have paid to us or offer you a suitable alternative. However, we will only cancel your holiday: (a) immediately prior to the departure date if you have not paid for your holiday in full. If we do cancel your fully paid holiday you will be entitled to either a comparable holiday or a full refund. (b) After the balance due date as a result of hostilities, political unrest, or other circumstances amounting to force majeure. If we cancel your holiday at any time we are liable for any monies you may have paid to us at the time of cancellation and for compensation payments as detailed in paragraph 3 above. 4A. SHORT NOTICE TOURS. From time to time we may offer special short notice low priced tours which will not be advertised more than six weeks before departure. On these tours there will be no compensation paid in the event of our cancellation. If for any reason insurance is not taken out full payment is required at the time of booking.

4B.WHAT HAPPENS TO COMPLAINTS? All the complaints that we receive are thoroughly investigated and customers are kept informed at each stage of the investigation. Sometimes the investigators can take time when awaiting a response from the hoteliers. We can normally agree an amicable settlement of the few serious complaints we receive if the complaint is found to be genuine. Check other paragraph "If you have a Complaint" (which is above - 6). Arbitration Conditions: Disputes arising out of or in connection with this contract which cannot be amicably settled may (if the customer so wishes) be referred to arbitration under a special scheme which though devised by arrangement by the Confederation of Passenger Transport is administered quite independently by the Chartered Institute of Arbitrators. This scheme (details of which will be supplied on request) provides for simple and inexpensive method arbitration on documents alone with restricted liability on the customer in respect of costs. The Scheme does not apply to claims for an amount greater than £1500 per Person. There is also a limit of £7500 per booking form. Neither does it apply to claims which are solely or mainly in respect of physical injury or illness or the consequence of such injury or illness. (There is a time limit of 9 months from the date of return.) Please note that correspondence received between June and September may take us longer to respond to. 5. OUR RESPONSIBILITY TO YOU. We accept responsibility for ensuring that all component parts of your holiday as described in this brochure are supplied to you at a reasonable standard and this includes Optional Excursions purchased through our employees or agents. If any such part is not provided in the advertised manner we will pay you reasonable compensation unless the non-provision was due to circumstances which we could not predict and which were beyond our control such as adverse weather, road, or traffic conditions or the matters referred to in paragraph 4 (b). (i)Please remember that some amenities (e.g. hotel lifts, swimming pools, etc) require servicing and cleaning and may not therefore be available at all times. Some services may be affected by weather conditions and their availability is entirely at the discretion of the provider of the service. Entertainment (particularly live entertainment) provided by hotels is frequently subject to demand and its nature and/or frequency may be varied if there is lack of demand or insufficient numbers staying in the hotel. (ii) Some excursions itineraries include the use of ferries and other forms of transport that can be affected by inclement weather and may have to be cancelled or arrangements changed. Whenever possible a suitable alternative excursion will be offered. (iii) The published running times of services are estimates only and we will not be liable for any loss (howsoever caused) arising from delay or failure to operate services in accordance with published timings. 6. PERSONAL INJURY (whilst participating in arrangements made by us). We have taken all reasonable and proper steps to ensure that proper arrangements have been made for all the holidays which are advertised in this brochure including Optional Excursions offered by our employees or agents and that the suppliers of all the services are efficient, safe, and reputable and that they comply with local and national laws and regulations of the country in which they provided those services (note: Laws, Regulations and Standards of other countries may differ from those in the UK.) Whilst we have no direct control over the provision of services to you by suppliers we will pay to our clients the equivalent of such damages as they would be entitled to receive under English Law in an English Court for any personal injury to the client Including illness or death caused by the failure to perform or the improper performance of such services by the servants or agents of ourselves or any of our suppliers contracted or sub-contracted by us to provide any part of the arrangements for your holiday as described in this brochure where such failure or improper performance is due to the fault of such person and not an event which such person could not foresee or forestall even if they had taken all due care. NOTE: We will make payments as stated above provided: (a) that claims for personal injury are notified to us within 3 months of the return from holiday; (b) the injured client(s) assign to Bakers Holidays any rights against a supplier or any other person or party they may have relating to the claim; (c) they agree to co-operate fully with us should we or our insurers wish to enforce those rights which have been assigned to us or to which we are subrogated and (d) such payment is limited in the case of transport by water or air to a maximum of such sums as would be obtained under the provisions of the appropriate International Conventions. This assignment is necessary to enable us to try and recover from suppliers any compensation we have paid to clients and associated costs arising from personal injury to clients caused by fault of those suppliers. If we recover more than such compensation and costs any excess will be paid to the injured clients. 8. PERSONAL INJURY (Unconnected with arrangements made by us) Where appropriate and subject to our reasonable discretion we will afford general assistance to clients who through misadventure will suffer illness, personal injury, or death whilst travelling on a Bakers Holidays holiday arising out of an activity which does not form part of the advertised itinerary nor part of an excursion offered through the company and which is the responsibility of a third party. 9. OUR DELAY POLICY. Should delays occur please ensure you have sufficient funds to pay for any additional expenses as these are your responsibility. However we will do everything possible to assist clients faced with delayed departures but we cannot accept liability. All clientsare strongly advised to take out the insurance over offered in this brochure as it contains a comprehensive Delay Protection Section offering financial compensation for delayed departures extending beyond 12 hours.

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