Ryanair terminates Expedia hotel deal
Published: 16 Oct 2008: Ryanair has decided to terminate its hotel deal with Expedia owing to the online travel agency's "failure to honour payment terms", according to the airline.
The airline confirmed that it has given 30 days notice to Expedia that its hotel contract will end following Expedia´s failure to honour payment terms.
Ryanair entered into the agreement with Travelscape LLC (the parent of Expedia) in March last year. This agreement gave Expedia exclusive rights to sell hotel accommodation on Ryanair.com and gave Expedia online access to Ryanair´s 58m annual passengers.
According to Ryanair, while the contract operated satisfactorily in its early stages, "Expedia has been in breach of a number of its payment obligations in recent months and despite strenuous efforts on Ryanair´s part to resolve the situation, particularly to regularise the agreed payments, Expedia has failed to remedy its defaults or honour these contractual obligations. Consequently, Ryanair has now given Expedia notice of its intention to end this contract with effect from the 8th November 2008."
Ryanair´s Michael Cawley, said: "Our attempts in recent months to get Expedia to resolve these breaches, have failed so we now have no alternative but to give them notice. We have already received approaches from a number of other hotel providers across Europe and expect to have a replacement partner up and running before the end of the year so that hotel accommodation can continue to be available (on Ryanair site). Should Expedia remedy its breach within the 30-day period, Ryanair will continue the partnership."