RealTime IT News

Expedia Allies With Continental

Online travel operation Expedia Inc., scrambling to work deals with the airlines in the wake of copy-cat decisions across the industry to scale back or eliminate commissions paid for ticket sales, signed another one, this time with Continental Airlines Inc.

Bellevue, Wash.-based Expedia , which signed a marketing deal with Delta Air Lines on March 21, said it has entered into "an enhanced marketing and financial relationship with Continental .

Expedia rival Travelocity.com signed a similar marketing deal with Delta on March 13.

The nation's airlines, struggling to recover from the travel slump that occurred after the terrorist attack on America last September, have been steadily cutting or halting commissions in order to save money. And some of the larger travel sites are fighting back.

Expedia said its newest marketing agreement includes Continental's participation in Expedia Vacations, as well as special promotional offers for Expedia customers. Financial details were not disclosed.

Delta began the latest push to eliminate commissions, in mid-March. Other airlines quickly followed suit. However, most of the airlines left themselves an out when it comes to deals with large travel sites.