American Airlines Mends Ties With Expedia

ADVERTISEMENT

NEW YORK (MainStreet)  — You can restart your travel search engines: American Airlines (Stock Quote: AMR) has resumed posting its fares on Expedia (Stock Quote: EXPE) and its subsidiary Hotwire, effectively ending a three-month long dispute over booking fees.

As we have previously reported, the companies had been estranged since January after American ended a similar partnership with Orbitz (Stock Quote: OWW), which had refused to adopt the airline’s new Direct Connect system to book reservations at lower commission rates.

Expedia in turn stopped posting American’s fares on both of its sites in a show of solidarity, arguing essentially that the Direct Connect system would be expensive to implement and difficult to use.

While the specific terms of the new agreement are not being disclosed, the two companies seemed to have forged a compromise that involves using a hybrid of both systems. A joint statement issued on Monday said that Expedia will now access American's fares, schedules and customized travel services “via American's Direct Connect link by using aggregation technology provided by a global distribution system (GDS).”

American has yet to reach a similar agreement with Orbitz and its fares are still missing from travel site.

Earlier this week, Enterprise Holdings, which owns Enterprise Rent-a-Car, Alamo Rent-A-Car and National Car Rental, said it would also end its relationship with Orbitz over “unacceptable commission rates.”

—For the best rates on loans, bank accounts and credit cards, enter your ZIP code at BankingMyWay.com.

Show Comments

Back to Top