Expedia Buys Vacation Wholesaler

[afang]

Expedia Buys Vacation Wholesaler
Online travel merchant Expedia Inc. bolstered its vacation line by acquiring a vacation wholesaler from Classic Vacation Group Inc. for $52 million in cash and stock.

Classic Custom Vacations is a CLV unit that wholesales vacation packages to Hawaii, Mexico, North America, Europe and the Caribbean. The deal enhances Expedia's custom vacation package business. CLV will be liquidated after the purchase.

Bellevue, Wash.-based Expedia said the deal involves payment of $5 million in cash and the retirement of about $47 million of Classic Vacation Group debt using Expedia common stock while assuming net liabilities of about $30 million.

Expedia stock was up $1.45 on the news, to $44.66 in mid-day trading.

Expedia said CCV expects to report a profitable 2001, with approximately $300 million in gross travel sales.

http://ecommerce.internet.com/news/n...960381,00.html

[afang]

Expedia Buys Vacation Wholesaler
Online travel merchant Expedia Inc. bolstered its vacation line by acquiring a vacation wholesaler from Classic Vacation Group Inc. for $52 million in cash and stock.

Classic Custom Vacations is a CLV unit that wholesales vacation packages to Hawaii, Mexico, North America, Europe and the Caribbean. The deal enhances Expedia's custom vacation package business. CLV will be liquidated after the purchase.

Bellevue, Wash.-based Expedia said the deal involves payment of $5 million in cash and the retirement of about $47 million of Classic Vacation Group debt using Expedia common stock while assuming net liabilities of about $30 million.

Expedia stock was up $1.45 on the news, to $44.66 in mid-day trading.

Expedia said CCV expects to report a profitable 2001, with approximately $300 million in gross travel sales.

http://ecommerce.internet.com/news/n...960381,00.html