Here is the sordid news!!!
Monday March 26, 2:59 pm Eastern Time
Press Release
800 Travel Systems Reports Fourth-Quarter 2000 and Full-Year 2000 Financial Results
Fourth Quarter Gross Reservations Increase 16.3% Over Fourth Quarter 1999; - Full- Year Gross Reservations Increase 14% to $88.3 million
TAMPA, Fla.--(BUSINESS WIRE)--March 26, 2001-- 800 TRAVEL SYSTEMS, INC. (Nasdaq:IFLY - news; Nasdaq:IFLYW - news), a leading provider of travel-related products and services through its websites www.LowAirfare.com, www.CruiseBrokers.com, www.TourBrokers.com, and its call centers, today announced results for the fourth quarter and year ended December 31, 2000.
800 Travel Systems reported gross reservations for the fourth quarter increased by 16.3%, rising to $20,049,257 from $17,240,851 in the same period during the prior year. For the fourth quarter, revenues totaled $3,118,192, an increase of 12.0% from revenues reported for the fourth quarter of 1999. The company reported a net loss of $1,027,135 for the fourth quarter of 2000, compared to a net loss of $158,407 for the same period in 1999. The net loss per diluted share for the fourth quarter of 2000 was $(0.13) compared to a net loss per diluted share of $(0.02) for the comparable period of last year.
800 Travel Systems reported gross reservations for the 12 months ended December 31, 2000 totaled $88,311,292, an increase of 14.0% from the $77,436,613 booked in the prior year. For the fiscal year ended December 31, 2000, revenues totaled $13,142,066, an increase of 7.8% from the fiscal year ended 1999. The company experienced a net loss of $1,916,197 for the year, compared to the net income of $58,955 for the same period in 1999. The net loss per diluted share was $(0.25) for the year ended December 31, 2000, compared to net income of $0.01 earned in 1999.
Robert B. Morgan, Chief Financial Officer, commented, ``800 Travel Systems has spent the last two quarters of 2000 making significant investments in new management, marketing, technology, and professional services, associated with the continued implementation of our growth strategy which has resulted in additional expenses of approximately $908,000.'' Morgan continued, ``The Company has also accrued a one time charge of $214,000 pursuant to the initial litigation settlement agreement recently entered into with First London Securities.''
Peter M. Sontag, Chairman and CEO, added, ``The investments we have made during this past year have resulted in a metamorphosis for the Company. We have transformed 800 Travel from a one dimensional airline ticket distributor into a Company that continues to broaden its customer base. We now offer our customers a full menu of travel related products and services including cruises, tours, hotels and car rentals. Additionally, we are providing Internet and telephonic fulfillment services for a growing number of businesses. Our expanding customer base includes non-travel based organizations as well as other travel companies.'' Sontag concluded, ``We are currently experiencing an increase in our sales as a result of some of the investments and improvements we have made over the last six months.''
About 800 Travel Systems:
800 Travel Systems is a leading provider of low-priced travel related products and services through its nationally recognized lowairfare.com Website and through its easy to remember toll free numbers ``800-LOW-AIRFARE'' (800-569-2473) AND ``800-FLY-4-LESS'' (800-359-4537). A distinguishing feature of the www.LowAirfare.com Website is its ability to connect live reservation agents directly with on-line travel consumers in an instant messaging format that allows consumers to book air travel, on-line, in real time. 800 Travel Systems is headquartered in Tampa, Florida and employs more than 400 people, combined, in the Company 's 33,000 square-foot reservations and communications center in Tampa and a similar 12,000 square-foot center in San Diego, California. The Company also operates CruiseBrokers.com (www.CruiseBrokers.com), which specializes in discount cruise vacations; TourBrokers.com (www.TourBrokers.com), which specializes in discount tour vacations; Prestige Travel Club (www.prestigetravelclub.com), which offers discount travel services on cruises, tours, air, and other travel related services to individuals, businesses and not-for profit organizations and Prestige Travel Systems (www.ptstravel.com), which comprises a network of approximately 1,500 full service independent remote travel agents.
Forward-looking and cautionary statements
This press release contains statements which may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. This press release may include forward-looking statements that do not refer strictly to historical results or actions, which although believed to be reasonable, are inherently uncertain and difficult to predict. Such statements are subject to certain risks and uncertainties inherent in 800 Travel Systems' business and investors and prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties and that actual results may differ materially from those projected as a result of various factors as set forth from time to time in the Company's filings with the SEC. The Company undertakes no obligation to publicly update or revise the forward-looking statements made in this press release to reflect events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.
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Contact:
800 Travel Systems, Tampa
Investor Relations:
Carlo Louis-Jacques, 646/365-3300
E-mail: IFLYINFO@800TravelSystems.com
or
YP&B, Orlando, Fla.
Public Relations:
Rod Caborn, 407/875-1111
E-mail: rod_caborn@ypb.com
Web site: www.ypb.com |
