Hars enters into agreement with Pegasus Systems
Hars Systems Inc HSS
Shares issued 15,796,296 Jul 28 close $0.61
Thu 29 Jul 99 News Release
Ms. Vicky Alberto reports
Hars Systems, through its wholly owned subsidiary, VIP International
Corporation, has entered into an agreement with Dallas, Texas, based
Pegasus Systems, Inc., a leading provider of e-commerce services to the
hotel industry, for the distribution of VIP's 1,600 hotels through Pegasus'
Travelweb travel site (www.travelweb.com). Pegasus processed in excess of
860,000 Internet reservations in the first six months ending June 30, 1999,
which equates to more than $170-million in hotel room revenue. Given the
ratio of revenue generated for Pegasus' other hotel chains, VIP should
generate in excess of $10-million in hotel room revenue annually through
Travelweb . Today VIP generates more than $9-million of hotel room and car
rental revenue through Internet derived bookings. The company expects this
number to reach $18-million by the year 2000 and $40-million by 2001.
As a result of the Pegasus agreement, VIP has also gained access to Preview
Travel's travel site (www.previewtravel.com). "Preview Travel could hold as
much potential for VIP as the Travelweb site," said Anita Chan, VIP's
director of marketing and electronic distribution. "We are very excited
about the Pegasus agreement. It completes our distribution of hotel
portfolio through the mega-travel sites and with the launch of our own
proprietary site in September of 1999, it completes phase one of our
e-commerce strategy," she continued. VIP now distributes its 3,100 hotels
and car rental locations through Microsoft's Expedia (www.expedia.com),
WorldRes (www.placestostay.com), Travelocity (www.travelocity.com),
Travelweb (www.travelweb.com), LeisurePlanet (www.leisureplanet.com),
Priceline.com (www.priceline.com), and more than twenty other travel
related sites.
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