It might be time to buy those “iPhone Binoculars” from SkyMall’s in-flight catalog before it’s too late. The magazine’s parent company Xhibit Corp. announced Friday it had filed for Chapter 11 bankruptcy protection the day before. The company intends to sell its online retail arm and blamed in-flight Internet access for contributing to its downfall. Fewer people are browsing the company’s magazines as they surf the Internet instead.
“We are extremely disappointed in this result and are hopeful that SkyMall and the iconic ‘SkyMall’ brand find a home to continue to operate as SkyMall has for the last 25 years,” said Scott Wiley, Xhibit’s chief financial officer and acting CEO. He said that while a buyer could continue the publication, there is a risk that the catalog could cease to exist. The publishing company is working with the bankruptcy court to sell its assets, according to papers filed with the U.S. Bankruptcy Court in Phoenix.
“With the increased use of electronic devices on planes, fewer people browsed the SkyMall in-flight catalog,” Wiley said in the court papers, according to the Wall Street Journal. He also said that a “crowded, rapidly evolving and intensely competitive” retail environment contributed to the company’s financial woes, listing Amazon and eBay as SkyMall’s direct competitors with greater resources and more customers… see more
source: ibtimes
Tags: business, SkyMall Files For Bankruptcy
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