The ratings on Priceline.com Inc. reflect the online travel agency's significant supplier concentration in airlines and hotels, low profit margins, acquisition-driven growth strategy, and the likely decrease in global distribution systems incentive fees. These factors are only partially offset by the company's leading position in the consumer bid-based travel business; good cash balances, which provide some cushion; and growing retail operations. Norwalk, Conn.-based Priceline.com is a provider of bid-based and retail travel services in the areas of airline tickets, hotel rooms, rental cars, vacation packages, cruises, and travel insurance. Reduced seat capacity and high load factors at legacy airlines have limited the availability of discounted airline tickets. Furthermore, as discount airlines proliferate, they have reduced the potential savings to consumers
