Notice: Trying to access array offset on value of type null in /home/lighthousenews/public_html/wp-content/plugins/really-simple-facebook-twitter-share-buttons/really-simple-facebook-twitter-share-buttons.php on line 318
The magazines have struggled to reach air passengers who have turned to using tablets and smartphones while on their flights.
SkyMall LLC filed documents with the U.S. Bankruptcy Court located in Phoenix. The company stated that it evaluated the alternatives it had and determined that filing for bankruptcy protection was in the best interest of both the business as well as its creditors.
American Airlines, Delta Airlines as well as US Airways are listed amongst the company’s creditors holding the 20 biggest unsecured claims.
In the court documents, SkyMall estimated that its assets totaled between $1 million and $10 million, while it listed liabilities as between $10 million and $50 million.
The in-flight catalog is estimated to reach an audience of 650 million annually. In 2013, the company lost $3.2 million between May and September, as reported by Xhibit, Corp, its parent company, a marketing business in Arizona.
SkyMall has struggled to deal with an increased use of mobile electronic handsets on flights. These provide possible customers plenty of distractions besides looking at their catalog.
In 2013, restrictions were eased by the Federal Aviation Administration over the use of electronic devices onboard, allowing air passengers to keep tablets and smartphones on during both take offs and landings.
In addition, the majority of passengers can also access wireless Internet while on board.
This past April, then-CEO Kevin Weiss of SkyMall said he wanted to invest more in sales online.
He said at the time, like nearly everything else, the company needed to evolve.
In November, Weiss presented his resignation.
To increase its online sales, SkyMall planned to spend over $2.5 million on improvements in technology over the upcoming few years.
That expense included upgrading its website and designing an app that would let users point the camera of their smartphone at a product in their catalog and buy it with the phone.