Industry Update
Supplier News26 March 2002

Hotel Reservations Network Launches Hotels.com - Company believes that hotels.com will become the world's largest specialized website for booking hotels, vacation rentals, condominiums, timeshares, and other types of lodging.

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Hotels.com

DALLAS - Hotel Reservations Network ROOM, the leading specialized provider of discount hotel accommodations worldwide, today launched a major new online travel brand, hotels.com, and an entirely new state-of-the-art website, www.hotels.com. The company believes that hotels.com will become the world's largest specialized website for booking hotels, vacation rentals, condominiums, timeshares, and other types of lodging. Customers may book online at www.hotels.com, and also by calling HRN's new toll-free number, 1-800-2-HOTELS.

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"The big winner with hotels.com is the consumer," said Bob Diener, president and co-founder of HRN. "Instead of the time-consuming and frustrating process of calling many hotels directly, our customers can simply visit hotels.com or call 1-800-2-HOTELS. We've already done all the negotiating for them at thousands of hotels around the world. With only one click, consumers have access to the guaranteed lowest rates and a wide variety of hotels in every major city. In addition, the site offers many advanced features including optional personalization, new mapping functions, numerous search options, enhanced customer service, the ability to store and retrieve favorite hotels, and much more. The superior technology and improved tools make the booking process fast and simple."

David Litman, chairman, chief executive officer and co-founder of HRN, said: "In the history of our company, there have been three major milestones: the founding of HRN in 1991, our move to the Internet in 1996, and now the launch of hotels.com. We firmly believe that hotels.com will change the way that consumers book hotel rooms."

National Advertising Campaign Begins Today

New York City is the starting point of a national advertising and marketing campaign, which is designed to create broad consumer awareness of the new hotels.com brand. Electronic ads will appear on the Panasonic Ultravision billboard in Times Square, and over 100 taxicabs will sport the hotels.com name throughout New York City. The campaign will continue with national television ads on programs such as "60 Minutes," as well as local network TV ads in major markets such as New York, Los Angeles, San Francisco and Dallas. Cable TV ads will appear on USA, CNN, MSNBC, FOX Newschannel and the Travel Channel. Print advertising will include many major newspapers and magazines, and radio ads will run in key markets including Chicago, Miami, Ft. Lauderdale and Washington, D.C. The television and radio commercials feature the founders, Bob Diener and Dave Litman, and the campaign's message: "hotels.com - The Best Prices at The Best Places...Guaranteed!"

About Hotel Reservations Network

Hotel Reservations Network ROOM, a majority-owned subsidiary of USA Networks, Inc.'s USAI Interactive Group, is the largest specialized provider of discount hotel accommodations worldwide, providing service through its own websites (www.hotels.com, www.hoteldiscount.com, , www.condosaver.com, www.travelnow.com, and ), more than 24,000 affiliated websites, and three toll-free call centers (1-800-2-HOTELS). HRN provides accommodations to travelers at over 5,300 properties in over 200 markets in North America, Europe, the Caribbean and Asia. The company offers a one-stop shopping source for hotel pricing, amenities and availability, and also specializes in providing travelers with accommodations for sold-out periods.

Contact
Molly Branch
Phone: 214/361-7311, ext. 1331
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