Dallas, 7 AUGUST 1996, Texas-based Pegasus Systems, Inc., parent company of TravelWeb, Inc., debuted TravelWeb's (www.travelweb.com) newest online travel booking service: the ability to check air fares and purchase airline tickets 24 hours a day from anywhere in the world via the Internet.

This added feature makes TravelWeb the only site on the World Wide Web that combines real-time, direct hotel reservations capability with the ability to reserve and purchase a flight on more than 300 airlines around the world.

Just seven months ago, TravelWeb launched its hotel reservations capability and has quickly become the world's leading online hotel reservations and information system. In a recent online survey conducted by U.K.-based magazine /travmag/, 71.5 percent of 3,000 respondents said that TravelWeb was the travel gateway they used most.

TravelWeb's monthly online sales attest to its growing popularity. Just since March 1996, the site has seen hotel room sales increase an average of approximately 40 percent monthly. "We expect to see similar growth in our airline ticket sales," said John F. Davis III, president and CEO of Pegasus Systems. "Our users have been requesting this capability for months. They like the ease and security of booking a hotel through TravelWeb and want similar capabilities in reserving the air portion of their trips. Our new online airline reservations service provides just that."

Davis continued, "And, when we add online booking for the world's largest car rental company – Hertz – which is expected for later this year, TravelWeb will be the perfect site for the book-it-yourself traveler to 'bookmark' for 'one-stop' travel reservations," Davis said.

Using TravelWeb, one can quickly and easily display the airlines and flights that are available for any date or time of desired travel. Once the preferred flights are chosen, the system automatically seeks the lowest available fare. Once the preferred flights are chosen, the system automatically seeks the lowest available fare. The user can then try different flight times or dates to compare fares, and only after the user selects the "Make a Reservation" button is he or she required to provide information necessary for ticketing such as name and credit card number. Once this information is submitted, TravelWeb immediately processes the reservation and provides a confirmation while the user is still online. TravelWeb then follows up within minutes with an email confirmation with all pertinent details.

The airline ticket is delivered to the traveler anywhere in the world via Federal Express within 72 hours. The user does not incur any extra fees for reserving an airline seat or hotel room through TravelWeb.

A TravelWeb customer service center staffed with multi-lingual agents, which is located in Seattle, Wash., is available 24 hours a day for users that might need assistance.

"The advantage TravelWeb brings to 'cyber travelers' can be simply put: It's simple. That's its beauty. Like our hotel reservations capability, one can zip through the system and book a flight in minutes if need be," Davis said. "It's not graphics intensive nor is one required to remember a password or create a profile to go in and shop. It's quick, it's fast, it's real-time and it's accurate. And, since it can only be accessed using a secure browser such as Netscape Navigator or Microsoft Internet Explorer, it's safe. Users can transmit their credit card numbers with confidence."

As with TravelWeb's hotel booking capability, only Internet browsers that support Secure Sockets Layer (SSL) encryption can be used to book a reservation. TravelWeb's intent is to provide the outmost in security for all credit card transactions.

The airlines available for booking through TravelWeb are all of those listed on the System One AMADEUS global distribution system (GDS).

Company Background

System One AMADEUS, headquartered in Houston, Texas, and maintaining an operations facility in Miami, Fla., also develops travel management software for travel agencies and corporations. The company is owned equally by AMADEUS, EDS and Continental Airlines.

Pegasus Systems, Inc. was created in 1995 as the parent company of three established and successful companies: TravelWeb, Inc., THISCO(R) and HCC. Owned by 15 of the world's largest hotel and travel companies, Pegasus recently sold $7.5 million in stock to investment company Trident Capital, whose largest investor is Dun & Bradstreet.

Shareholders of Pegasus Systems:

Anasazi, Inc.

Best Western International

Choice Hotels International

Forte Hotels

Hilton Hotels Corp.

Hospitality Franchise Systems, Inc.

Hyatt Hotels Corp.

Inter-Continental Hotels

ITT Sheraton Corp.

La Quinta Inns. Inc.

Marriott Hotels Corp.

Promus Hotel Corp.

Reed Travel Group

Trident Capital – Information Associates Funds

Utell International

Westin Hotels & Resorts

Dallas-based TravelWeb(SM) (www.travelweb.com) enables consumers to reserve and purchase airline tickets and make credit card-guaranteed reservations at more than 8,000 hotels in more than 125 countries worldwide, including 57 different hotel brands and 12 of the world's largest hotel chains. On TravelWeb, the "book-it-yourself traveler" can shop for the ideal hotel and airline flight and make a secure credit card-guaranteed reservation or purchase and receive a confirmation within seconds. Rental car booking capabilities are expected to be added to the site later this year. TravelWeb users in more than 90 countries access more than two million pages per month.

Since its founding in 1989, THISCO(R) (The Hotel Industry Switch Company) and its UltraSwitch(R) have dramatically increased the marketing of hotel rooms through the computerized global distribution systems (GDSs). THISCO connects 70 hotel chains with every major GDS to facilitate hotel reservations by travel agents worldwide. THISCO also provides the technology that enables hotels and other travel suppliers to accept real-time direct bookings through TravelWeb.

HCC (Hotel Clearing Corp.) (www.hccnet.com), also a Pegasus Systems company, processed in excess of $74 million in commissions in 1995, a 124 percent growth over 1994. More than 45,000 travel agencies in 90 countries are currently enrolled in HCC's automated commission network, including 76 percent of the top 100 travel agencies. In addition, 42 hotel companies participate, representing nearly 18,000 contracted properties.

For advertising/sponsorship opportunities: Charles Zug, 214/523-0120.

TRADEMARKS: TravelWeb is a service mark of TravelWeb, Inc. Netscape and Netscape Navigator are trademarks of Netscape Corporation. Pegasus Systems, Inc. disclaims any proprietary interest in the trademarks or names of companies listed.

Karin Wacaser, 214.523.0129