September 22, 2017 9:07 PM ET

Internet and Direct Marketing Retail

Company Overview of Travelocity, Inc.

Company Overview

Travelocity, Inc. provides online travel services to leisure and business travelers in the United States and Canada. It allows customers to find various travel deals, such as vacation packages, flights, hotels, cars, cruises, and airline tickets; and plan and book tours to various destinations in Asia, Africa, the United States, Canada, South America, Europe, Australia and South Pacific, Mexico and Central America, and the Caribbean. The company was founded in 1996 and is based in Southlake, Texas. As of January 23, 2015, Travelocity, Inc. operates as a subsidiary of Expedia Inc.

3150 Sabre Drive

Southlake, TX 76092

United States

Founded in 1996

1,554 Employees





Key Executives for Travelocity, Inc.

Senior Vice President and General Counsel
Senior Vice President of International
Senior Vice President of Global Partner Services
Chief Marketing Officer of Lastminute.Com
Senior Editor
Compensation as of Fiscal Year 2017.

Travelocity, Inc. Key Developments

The State of Hawaii Announces Final Judgments against Online Travel Companies for $53.1 Million in General Excise Taxes

The State of Hawaii has recovered $53.1 million in general excise taxes, penalties and interest from online travel companies including Travelocity.Com, LLP, Expedia, Inc., Orbitz, LLC, and Priceline.Com, LLP from tax litigation that began in 2011. Online travel companies derive substantial profits from the sale of hotel rooms, rental cars and other services in Hawaii. The importance of the Hawaii Supreme Court ruling is the precedent it establishes. People or companies who provide goods and services through the Internet that are used or consumed in Hawaii are subject to Hawaii taxation, despite being domiciled in other states. The Tax Appeal Court previously ruled that the companies owed general excise taxes but not the State's transient accommodations tax that is assessed on operators of transient accommodations, like hotels. The State and the companies appealed to the Hawaii Supreme Court from these rulings. On March 17, 2015, the Hawaii Supreme Court upheld the Tax Appeal Court's ruling that the companies are subject to Hawaii's general excise tax, but concluded that they are taxable only on their net receipts from the sale of hotel rooms in Hawaii, not their gross receipts. The Court ruled that the companies receive the benefit of an income splitting provision that applies to travel agents in chapter 237, Hawaii Revised Statutes. The Court rejected the companies' argument that they were not doing business in Hawaii. The Court stated in its opinion, the companies are not passive sellers of services to Hawai'i consumers. The companies actively solicit customers for Hawai'i hotel rooms and actively solicit hotels to contractually provide the right to sell on their website the right of occupancy of hotel rooms. The Court remanded the case to the Tax Appeal Court to re-determine the amount of general excise taxes, penalties and interest the companies owe to the State News Release 2015-40 of Hawaii. On September 22, 2015, the Tax Appeal Court entered final stipulated judgments setting out the amounts owed by the companies and the amounts that the State needed to refund from the State's litigated claims fund.

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