800 Travel Systems, Inc. (IFLYQ.PK)

800 Travel Systems, Inc. is a direct marketer of travel-related services, focused primarily on providing leisure air and cruise reservation services. The Company provides low-priced air and cruise line tickets for domestic and international leisure travel to its customers through its toll-free numbers, through its Websites on the World Wide Web, at LowAirfare.com and CruiseBrokers.com, and through its nationwide network of approximately 1,500 independent remote travel agents. In March 2002, the Company filed a voluntary petition for reorganization under Chapter 11 of the United States Bankruptcy Code. On May 3, 2002, the Company entered into an Asset Purchase Agreement with Resort Reservations Network, Inc. (Resort). The Company, as debtor in possession, has agreed to sell substantially all of its assets, including its wholly owned subsidiary, Prestige Travel Systems, Inc. to Resort.

For the nine months ended 9/30/01, total revenues rose 9% to $11 million. Net loss totaled $3.7 million, up from $889 thousand. Revenues reflect an increase in the volumes of air tickets sold due to Prestige merger. Net loss suffered from $898 thousand in restructuring costs and $547 thousand in goodwill impairment.