Expedia.com Expedia, Inc. to Acquire Activity World

BELLEVUE, Wash. – March 30, 2004 – Expedia, Inc. today announced it would acquire Activity World, one of the largest resellers of tours and activities in Hawaii. With the acquisition, Expedia will significantly expand the destination services offerings available through its Web sites and will become the first online travel company to offer customers the option of booking in-destination activities online or on location at their vacation property. Activity World will be a wholly managed subsidiary of Expedia, Inc. Terms of the deal are confidential and the transaction is expected to close in early April, 2004.

Founded in 1986, Activity World is a Maui, Hawaii-based company that operates more than two dozen kiosks in hotels and other locations on Maui. At these locations, travelers can choose dozens of popular tours and activities such as luaus, helicopter sightseeing tours, and snorkeling excursions. With more than 80 employees, Activity World provides upwards of 154,000 destination service packages per year in the multi-million dollar destination services market in Hawaii.

“The average vacationer to Hawaii spends $209 per trip on tours and activities, according to Hawaii Visitors and Conventions Bureau, and the large majority of this spending is captured in the destination. Expedia is investing in Activity World to expand our destination services strength in one of the most popular vacation spots in the world, and to offer our customers the best tours and activities no matter when or how they want to plan and purchase them,