travelbyus.com ltd. Announces Letter of Intent to Acquire Bell Travel Systems
WHITE ROCK, British Columbia, Feb. 11 /PRNewswire/ -- travelbyus.com ltd. (TSE: TBU; Frankfurt Stock Exchange:TVB) is pleased to announce it has entered into an agreement to purchase Bell Travel Systems (``BTS Travel''), a privately held travel company, based in Scotts Valley, California. BTS Travel currently has 1,200 travel agency members. The agreed purchase price is US$3.8 million. Half of the purchase price will be in cash and the other half in common shares of travelbyus.com based on C$4.00 per share.
Bill Kerby, CEO of travelbyus.com, said, ``Once again, we are acquiring a profitable company, but, more importantly, one which brings us another step closer to having a nationwide 'clicks and mortar' presence in the U.S.''.
Mr. Kerby continued, ``travelbyus.com's competitive edge over other Internet travel companies such as Expedia, Preview Travel and Travelocity is that it is the only 3C company -- 'Click, Call, or Come In'. When the acquisition of Bell Travel Systems is completed, travelbyus.com will have 2,700 travel agencies across America. This distribution system will include Bell Travel Systems, Cruise Shoppes of America, International Tours and Galaxsea Cruise. These agencies combined handle over C$8 billion in travel transactions and have a trailing twelve month unaudited earning (EBIT) in excess of C$3 million. This is an integral part of the 'Come In' piece of our business model. travelbyus.com will be integrating its agencies into the Company's website beginning in April, pending the completion of the sites content.''
Jack Bell, founder of Bell Travel Systems, said, ``Our members are very pleased with this announcement because they are now part of one of the best travel Web sites and the unique 1-800-i-TRAVEL marketing program.'' Mr. Bell continued, ``In today's travel industry, size is important. With travelbyus.com, we are now one of the dominant players. I look forward to a long relationship with travelbyus.com as this means more profit for my members and I am happy about this.''
travelbyus.com is an Internet based travel company that is integrating some carefully selected traditional travel companies to give it a significant competitive advantage on the Web utilizing its Web site www.travelbyus.com.
SOURCE: travelbyus.com ltd.