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[SKYMALL(R) LOGO]
Exhibit 99.1
CONTACTS:
Christine Aguilera Budd Zuckerman 1520 East Pima St.
SkyMall, Inc. Genesis Select Corporation Phoenix, AZ
(602) 528-3249 (303) 357-6565 (602) 254-9777
[email protected] [email protected] www.skymall.com
FOR IMMEDIATE RELEASE
SKYMALL AND RITEK FORM DISC VENTURE VALUED AT $50 MILLION
STRATEGIC INVESTMENT LAUNCHES SKYMALL MEDIA VENTURES - A NEW COMPANY FOCUSING ON
BROADBAND
PHOENIX -- JUNE 20, 2000 -- SkyMall, Inc., (NASDAQ: SKYM) the
multi-channel specialty retailer, today formally announced an investment
agreement in which MRT Technology, LLC, the North American subsidiary of Ritek
Corporation, the world's leading manufacturer of optical media, including
compact discs (CDs) and digital video discs (DVDs), plans to invest as much as
$15 million into a newly formed SkyMall(R) subsidiary, SkyMall Media Ventures,
Inc., in return for up to 30% of the equity of the new subsidiary.
SkyMall Media Ventures, Inc. intends to develop interactive media content
in cooperation with participants from numerous industries, including retail,
entertainment and services. Through an exclusive agreement with SkyMall, Inc.,
SkyMall Media Ventures intends to distribute optical media, consisting of CDs
and DVDs, at no cost to the consumer, across SkyMall's coveted distribution
channels which reach approximately 500 million consumers annually. SkyMall's
agreement to distribute the discs in its channels, as well as its management
expertise in this area, was the principal basis for SkyMall's 70% interest in
the new venture.
"We are pleased to have the world's leading storage media and optical disc
visionaries, Ritek/MRT, as an equity partner in this new endeavor," said Thomas
C. Edwards, President of SkyMall Ventures, Inc. "Through this new venture, we
look forward to introducing a
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compelling Web-connected, interactive new media that we believe will facilitate
tremendous one-to-one marketing opportunities."
(more)
ABOUT SKYMALL, INC.
Founded in 1989, SkyMall(R) is a multi-channel specialty retailer that provides
a large selection of premium-quality products and services to consumers from a
wide variety of merchants and partners. SkyMall is best known for its in-flight
catalog, which is available on more than 70% of all domestic airlines, reaching
approximately 500 million domestic airline passengers annually. Through its
skymall.com, inc. subsidiary, SkyMall offers an expanded selection of products
and services to online shoppers. SkyMall Ventures, Inc. a SkyMall, Inc.
subsidiary, provides a merchandise redemption program for a number of loyalty
programs, allowing consumers to purchase SkyMall merchandise with loyalty points
earned in other programs. Through Durham & Company, a SkyMall subsidiary,
SkyMall offers high-quality logo merchandise via its catalogs, workplace
initiatives and the durham.skymall.com Web site. SkyMall's new subsidiary,
SkyMall Media Ventures, Inc., plans to produce interactive CDs and DVDs, which
will provide shopping, entertainment and services through SkyMall's airline seat
pocket distribution. For further information and prior press releases, please
visit SkyMall's Web site at www.skymall.com.
This news release includes statements that may constitute forward-looking
statements made pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. This information may involve risks and
uncertainties that could cause actual results to differ materially from the
forward-looking statements. Factors that would cause or contribute to such
differences include, but are not limited to the acceptance of optical media,
including but not limited to CDs and DVDs, by consumers, the ability to secure
third party sponsors for the discs, the ability of Ritek Corporation and MRT
Technology, LLC to meet the production demands of the SkyMall Media Ventures
program, the continued functionality of the Company's Web site and information
technology infrastructure, the technical ability to meet the demands of changing
consumer needs and managing a growing business, the ability of SkyMall to
implement the program described herein, as well as those factors detailed by
SkyMall, Inc. in its filings with the Securities and Exchange Commission.
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Note to Editors: SkyMall(R), skymall.com(R) and skymalltravel.com(R) are
Registered Trademarks of SkyMall, Inc.
