Expedia Drops American Airlines Ticket Sales From Website

Expedia Inc. (EXPE) has dropped tickets for American Airlines flights from its listings, according to a statement on the airline's website, the latest development in a feud between the airline and online travel agencies.

The new model is “anti-consumer and anti-choice,” making it harder to compare American ticket prices and options with those of other airlines, the online travel agency said in an e- mailed statement.

On Dec. 23, Expedia omitted American fares from prime search displays on its site, though customers could still buy tickets. This drove consumers to other ticket sites, Mikolasik said today.

The move by Expedia widens the conflict between online travel agencies and airlines, such as American, that seek to drive more consumers to their own websites. Fort Worth, Texas- based American, owned by AMR Corp., has developed a system called Direct Connect that provides fare pricing and options directly to larger online travel agencies.

Last month, American pulled its listings off Orbitz Worldwide Inc., while Delta Air Lines Inc. notified three online travel sites CheapOAir.com, OneTravel.com and BookIt.com that it terminated them as authorized travel agents.

American spokesman Mikolasik said that while consumers can’t buy American tickets on Expedia anymore, the airline’s fares and schedules remain on Egencia, Expedia’s corporate travel website.

Expedia, based in Bellevue, Washington, fell 19 cents to $25.09 in Nasdaq Stock Market trading yesterday, while AMR rose 3 cents to $7.79 in New York Stock Exchange composite trading.