Wednesday December 1, 12:02 am Eastern Time
Company Press Release
Amazon.com Announces Multi-Million Dollar Marketing and Strategic Alliance With and Minority Investment in Ashford.com
SEATTLE and HOUSTON--(BUSINESS WIRE)--Dec. 1, 1999--Amazon.com (Nasdaq:AMZN - news), the leading online retailer and Ashford.com (Nasdaq:ASFD - news), the leading Internet retailer of luxury and premium products, today announced a multi-million dollar marketing initiative and a strategic alliance in a number of luxury product categories, including diamonds, watches, sunglasses, and writing instruments.
The companies also today announced that Amazon.com will make a minority investment in Ashford.com. In exchange for the investment and the marketing relationship, Amazon.com will hold approximately 16.6% of Ashford.com's outstanding common stock upon the closing of the transaction.
As part of the marketing alliance, Ashford.com will offer Amazon.com's customers a wide selection of products through December 31, 2000, which will include the 1999 and 2000 holiday seasons. Ashford.com will offer special promotions and unique benefits to Amazon.com's 13 million customers, who may be interested in buying luxury and premium products online.
The Ashford.com luxury retail site carries a vast selection of diamonds and more than 12,000 watches, designer jewelry, leather accessories, sunglasses, fragrance, bath and body products, ties, scarves, and writing instruments. The selection represents more than 300 leading and well-known brands, such as TAG Heuer, Omega, and Montblanc, as well as new, hot brands such as Lambertson Truex, Lisa Jenks, and Killer Loop.
''We continue to develop relationships that bring great value to our business and our customers,'' said Jeff Bezos, founder and CEO of Amazon.com. ''By forming alliances that expand access to quality products, we make it easier for customers to find whatever they want online. We chose to work with Ashford.com, because it offers customers an excellent online experience, outstanding value and a great selection of watches, jewelry, leather goods and other luxury items.''
''We are honored to be working with the leader in e-commerce, who shares our commitment to quality and excellent customer service,'' said Kenny Kurtzman, CEO of Ashford.com. ''Now Amazon.com customers will have easy access to our selection of well-known luxury brands in time for this holiday season.''
In connection with the agreement, Amazon.com will make an equity investment of $10 million in Ashford.com. The agreement is subject to the satisfaction of standard closing conditions.
About Ashford.com
Ashford.com (Nasdaq:ASFD - news) is the leading Internet retailer of luxury and premium products and is the Internet's No. 1 retailer of watches and jewelry. The company's e-commerce site, located at ashford.com, offers a vast selection of diamonds and more than 12,000 styles of new and vintage watches, designer jewelry, fragrance, bath and body products, leather accessories, ties, scarves, sunglasses, and writing instruments from more than 300 leading brands.
Dedicated to creating a comfortable and safe shopping environment, Ashford.com offers customers the Ashford.com Protection Plus(TM) policy, which provides industry leading warranties, privacy and security. Ashford.com is headquartered in Houston, Texas. |
