Question-and-Answer Session
Operator
(Operator Instructions) Our first question comes from Ed Woo of Wedbush.
Edward Woo - Wedbush Morgan Securities
I have two questions, one of which is have you decided what you are going to do with the cash from the Asia business? I think that’s about $3.6 million. And the second question I have is can you give us any updates on how fly.com is doing? If you can’t give specifics, maybe just qualitatively? Thank you.
Holger Bartel
Wayne will address the first question and then I will talk a little bit more about fly.com.
Wayne Lee
Although we don’t have specific plans for the cash from the pending sale of the Asia-Pacific business, this does give us the opportunity should we choose in the future to increase our subscriber acquisition spending or increase our spending on trying to grow the fly.com business.
Holger Bartel
So with regard to fly.com, it’s still a relatively new business. Keep in mind we just launched it eight months ago and as you have seen through the presentation, we have really started quite a number of businesses over the last four to five years if you consider each operation in these international markets as a new business that we start. And there is always an investment phase, so it’s not that different with fly.com.
As I pointed out earlier, fly.com added over $1.5 million in additional expenses to our P&L in Q3 2009. However, what is really different and what is unique with fly.com is that we can leverage the Travelzoo audience that we have already built to drive traffic to the fly.com site and to promote the brand. This is a strategy that we have actually been employing and that is working very well for us so far. So while we actually reduce marketing spend on fly.com from Q2 to Q3, we still had over 4 million visitors to the site during Q3.
Edward Woo - Wedbush Morgan Securities
Thank you.
Operator
We will take our next question from Melinda Davies with Susquehanna.
Melinda Davies - Susquehanna Investments
I have a follow-up question to Ed’s on fly.com -- I’m wondering what are the biggest investments you are making there? Is it more keyword advertising? You did say that you are leveraging your user base already but I’m wondering, keyword advertising versus servers or other kind of technology investments, if you could help us understand that. Thanks.
- To read the full transcript on Seeking Alpha, click here »



