eLong and Expedia Expand Global Travel Partnership
BEIJING and BELLEVUE, Wash., Sept. 27, 2012
BEIJING and BELLEVUE, Wash., Sept. 27, 2012 /PRNewswire/ -- Two leading online
travel companies - eLong, Inc. (NASDAQ: LONG) and Expedia, Inc. (NASDAQ:
EXPE), today announced a new agreement that expands global hotel booking
options for consumers.
"We believe this new agreement strengthens our relationship with our largest
shareholder, and look forward to closer cooperation with Expedia to provide
world-class products and services to our customers in support of our online
hotel focused strategy. 'Book Hotel, Use eLong'," said Guangfu Cui, Chief
Executive Officer of eLong.
"We are strong believers in the eLong team and their ability to grow and
continue to gain share in China. The Chinese travel market is expected to
reach over US$105 billion by 2013 with only about 15% of Chinese consumers
transacting online, providing a long runway for growth for eLong and
Expedia. We are just getting started," said Dara Khosrowshahi, President and
Chief Executive Officer of Expedia.
The agreement outlines terms for enhanced collaboration between eLong and
Expedia, more extensive best practice and knowledge sharing as well as
strategic cooperation on potential merger and acquisition activity.
The agreement also allows Expedia to increase its presence in the Chinese
market by amending certain non-competition provisions previously entered into
in connection with Expedia's investment in eLong. Under the agreement, Expedia
will make an initial payment of $7 million and a subsequent payment to eLong
in November 2015 based on a revenue-sharing arrangement between the parties.
The agreement was approved by the Independent Directors of eLong.
Safe Harbor Statement Under the Private Securities Litigation Reform Act of
This release contains "forward-looking statements" within the meaning of the
Private Securities Litigation Reform Act of 1995. These statements are not
guarantees of future performance. These forward-looking statements are based
on management's expectations as of September 27, 2012 and assumptions which
are inherently subject to uncertainties, risks and changes in circumstances
that are difficult to predict. The use of words such as "believes," "intends"
and "expects," among others, generally identify forward-looking statements.
However, these words are not the exclusive means of identifying such
statements. In addition, any statements that refer to expectations,
projections or other characterizations of future events or circumstances are
forward-looking statements and may include statements relating to future
revenues, profitability and the prospects for future growth of eLong's or
Actual results and the timing and outcome of events may differ materially from
those expressed or implied in the forward-looking statements for a variety of
reasons, including, among others: competitive risks; international financial,
political or economic crises; a slowdown in the PRC economy; declines or
disruptions in the travel industry generally and the travel industry in China
in particular; risks associated with Expedia's majority ownership interest and
Tencent's shareholding in eLong; changes in relationships and contractual
agreements with travel suppliers or travel distribution partners; increases in
the costs of maintaining and enhancing brand awareness; Expedia's ability to
expand successfully in international markets, including China; changing laws,
rules and regulations and legal uncertainties relating to eLong's or Expedia's
business; the risk that infrastructure and technology are damaged, fail or
become obsolete; unfavorable new, or adverse application of or failure to
comply with existing, laws, rules or regulations; and other risks detailed in
eLong's or Expedia's public filings with the SEC, including Expedia's annual
report on Form 10-K for the year ended December 31, 2011 and subsequent
quarterly reports on Form 10-Q as well as eLong's annual report on Form 20-F
for the year ended December 31, 2011 and subsequent quarterly reports on Form
Except as required by law, eLong and Expedia undertake no obligation to update
any forward-looking or other statements in this release, whether as a result
of new information, future events or otherwise.
About eLong, Inc.
eLong, Inc. is a leading online travel service provider in China.
Headquartered in Beijing, eLong empowers consumers to make informed travel
decisions by providing convenient online, mobile (via iPhone, iPad, Android
and Windows Phone applications) and 24-hour customer service center hotel and
air ticket booking services as well as easy to use tools such as maps,
destination guides, photographs, virtual tours and user reviews. eLong offers
consumers the largest directly-bookable hotel product portfolio in China with
a selection of over 32,000 hotels in China and almost 155,000 international
hotels in more than 100 countries worldwide, as well as the ability to fulfill
domestic and international air ticket reservations across China. eLong's
largest shareholders are Expedia, Inc. and Tencent Holdings Ltd. (HKSE: 0700).
eLong operates websites including www.elong.com, www.elong.net and
About Expedia, Inc.
Expedia, Inc. is thelargestonline travel companyin the world, with an
extensive brand portfolio that includes some of the world's leading online
travel brands, including:
oExpedia.com^®, the world's largest full service online travel agency,
with localized sites in 30 countries
oHotels.com^®, the hotel specialist with sites in more than 60 countries
oHotwire^®, a leading discount travel site that offers opaque deals in
nine countries on its eight sites in North America and Europe
oEgencia^®, the world's fifth largest corporate travel management
oeLong^™, the second largest online travel company in China
oVenere.com^®, the online hotel reservation specialist in Europe
oExpedia Local Expert^®, a provider of in-market concierge services,
activities and experiences in 18 markets worldwide
oClassic Vacations^®, a top luxury travel specialist
The company delivers consumers value in leisure and business travel,
drivesincremental demandand direct bookings totravel suppliers, and
provides advertisers theopportunityto reacha highly valuable audience
ofin-market travel consumers through Expedia^® Media Solutions. Expedia also
powers bookings for some of the world's leading airlines and hotels, top
consumer brands, high traffic websites, and thousands of active affiliates
through Expedia^® Affiliate Network.For corporate and industry news and
views, visit us at www.expediainc.com or follow us on Twitter @expediainc.
Trademarks and logos are the property of their respective owners. © 2012
Expedia, Inc. All rights reserved. CST: 2029030-50
 PhoCusWright, June 2012 – China Online Travel Overview Fifth Edition, The
Giant Has Awoken
SOURCE Expedia, Inc.
Contact: Expedia, Inc. Investor Relations, +1-425-679-3555, firstname.lastname@example.org;
eLong, Inc. Investor Relations, +86-10-6436-7570, email@example.com; Expedia,
Inc. Communications, +1-425-679-4317, firstname.lastname@example.org
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