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Exhibit 99.1
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LOWAIRFARE.COM(R)
800 TRAVEL SYSTEMS' SUBSIDIARY MERGES WITH PRESTIGE TRAVEL
MERGER EXPECTED TO ADD $12 MILLION IN GROSS RESERVATIONS OVER NEXT
12 MONTHS EXPANDS PRODUCT LINE TO CRUISES AND TOURS AND ADDS ACCESS
TO 1,200 REMOTE AGENTS
TAMPA, FL, AUGUST 14, 2000 - 800 TRAVEL SYSTEMS, INC. (NASDAQ: IFLY, IFLYW), a
leading provider of travel-related products and services through its website
www.LowAirfare.com and call centers, today announced the merger of a newly
formed, wholly owned subsidiary of the Company with Prestige Travel Systems,
Inc. Prestige is a full service travel company headquartered in Tampa, FL with
a nationwide network of over 1,200 independent remote travel agents which
operates www.CruiseBrokers.com specializing in discount cruise vacations. As
part of the transaction, the owners of Prestige Travel will receive a
combination of cash and stock from 800 Travel Systems.
Peter Sontag, CEO of 800 Travel Systems, commented, "This merger reflects the
execution of our strategic plan to expand 800 Travel's services by offering
cruises and tours in addition to discount airfares. Prestige and its
predecessors achieved approximately $12 million in gross reservations for the
1999 fiscal year. We believe the many cross marketing opportunities this
transaction creates will enable us to increase our gross reservations by at
least that amount over the next twelve months."
Mr. Sontag continued, "We are especially pleased that Prestige's three
principals will be joining 800 Travel's subsidiary pursuant to employment
agreements that include incentive stock options in the Company. They have
developed an extensive network of remote agents as well as the technology and
infrastructure that enable the agents to sell travel products over their own
web sites. Their expertise will help us in our endeavor to become a premier
Internet travel company."
Ron LaScala, Vice President of Prestige Travel Systems, added, "We have been
growing our travel business for 12 years and are very proud of our reputation
for providing quality service, the best value, and a proven record of
reliability and trust. This merger will provide us with additional resources to
better serve our increasing number of online customers and to grow the business
in the future."
The principals of Prestige Travel Systems (www.ptstravel.com) have operated a
network of home-based travel agents since 1988. They also operate Prestige
Travel Club (www.prestigetravelclub.com), which offers travel services,
discounts, cruises, air travel and travel related services to individuals,
businesses and not-for-profit organizations, as well as CruiseBrokers.com
(www.CruiseBrokers.com), which specializes in discount cruise vacations.
Prestige Travel Systems has 22 employees.
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ABOUT 800 TRAVEL SYSTEMS
800 Travel Systems is a leading provider of low-priced travel related products
and services through its nationally recognized http://www.LowAirfare.com web
site and through its easy to remember toll free numbers "800-LOW-AIR FARE"
(800-569-2473) AND "800-FLY-4-LESS" (800-359-4537). A distinguishing feature of
the www.LowAirfare.com web site 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 350 people,
combined, in the Company's 33,000 square-foot data communications center in
Tampa and a similar center in San Diego, California.
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.
INVESTOR RELATIONS: PUBLIC RELATIONS:
Lisa Lettieri Rod Caborn
Lippert/Heilshorn & Associates YP&B
(212) 838-3777 (407) 875-1111
lisa@lhai.com rod_caborn@ypb.com
www.lhai.com www.ypb.com
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