The rating on Priceline.com Inc. reflects our expectation that the company's healthy revenue and EBITDA growth will continue, supported by its strong competitive position in European hotel bookings (through Booking.com) and accompanied by ongoing moderate leverage. The rating also considers highly competitive conditions in the online travel agency market, some supplier concentration among airlines and hotels, and lower incentive fees from travel service processors. Priceline.com's performance was not significantly affected by the recession, and it continues to gain market share against larger rivals. Priceline.com's European hotel operation, Booking.com, is a key reason for the company's strong operating performance. Through Booking.com, Priceline.com established an early lead in many secondary and tertiary tourist destinations in Europe. In turn, Priceline.com has benefited from
