PRICELINE.COM (PCLN)

Consumers say they're finding that vacation costs are up this year, but it doesn't seem to be affecting their travel plans. According to a new e-mail poll conducted by priceline.com® (Nasdaq: PCLN), 75% of consumers said that the price of a vacation seems more expensive this year compared to last. However, 84% said they were still going to take a vacation and 52% said they would charge the vacation to their credit cards. 40% said they would pay with a debit card, check or cash. The poll, conducted after Memorial Day, generated 775 responses from priceline.com customers.

The poll also indicated that travelers may find the nation's highways a bit less crowded this summer due to record gasoline prices, which reached a national average of $3.20 a gallon for the week of May 28, according to the Federal Energy Information Administration. Only 20% of consumers responding to the priceline.com survey said they planned to drive to their vacation destination this year. Most consumers (62%) said they would fly instead to their vacation destination.

Correspondingly, consumers said they planned to travel far from home on their next vacation. 73% said they would travel more than 500 miles each way. 13% said they would travel between 300 and 500 miles, 7% said they would travel less than 300 miles and 3% said they would just stay home.

Opting for a long-distance trip doesn't mean blowing the budget. 73% of consumers who planned to book their upcoming trips through an online travel reservation service said that they'll use the service that gives them the best price. That compares to 7% who said they will use the reservation service that gives them the most choices and 3% who said they'll use the service that provides the most information.

?Consumers who come to priceline.com will find that, in many cases, it is cheaper to fly than drive this summer,? said priceline.com's Chief Marketing Officer Brett Keller. For example, for a traveler driving a 20 mpg Ford Explorer at $3.20 a gallon, it would cost $348 in gas and 34 hours behind the wheel to drive round-trip from New York to Orlando. A round-trip airline ticket from Newark to Orlando next month would cost $185 per person. At these prices, two people could fly to Orlando for almost the cost of driving. Added Keller, ?Priceline.com is known for negotiating the best travel deals for our customers. In addition to affordable airline tickets, priceline.com helps budget-minded leisure travelers save money on hotel rooms, rental cars, vacation packages and cruises.?

All of priceline.com's travel services can now be purchased on a published-price basis, where customers can easily compare itineraries, brands and prices and choose the exact travel product that works for them. For customers who want to save even more, there is priceline.com's famous Name Your Own Price® travel service that can save up to 50% on hotel rooms, 40% on airline tickets and 30% on rental cars compared to the published prices shown on major travel reservation services. Priceline.com's NameYour Own Price® service is unique and different from fixed price travel sites. With priceline.com's Name Your Own Price® service, important details about your itinerary are shown only after purchase.

About Priceline.com® Incorporated

Priceline.com Incorporated (Nasdaq: PCLN) operates priceline.com, a leading U.S. online travel service for value-conscious leisure travelers, and Priceline Europe, a leading European online hotel reservation service.

In the U.S., priceline.com gives customers more ways to save on their airline tickets, hotel rooms, rental cars, vacation packages and cruises than any other Internet travel service. In addition to getting the best published prices, leisure travelers can narrow their searches using priceline.com's TripFilter? advanced search technology, create packages to save even more money, and take advantage of priceline.com's famous Name Your Own Price® service, which can deliver the lowest prices available.

Priceline Europe operates one of Europe's fastest growing hotel reservation services through its Booking.com network of hotel reservation services, Activehotels.com and priceline.co.uk. Priceline Europe operates in 54 countries in 15 languages and offers its customers in Europe and the U.S. access to approximately 34,000 participating European hotels.

Priceline.com also operates the following travel websites: Travelweb.com, Lowestfare.com, RentalCars.com and BreezeNet.com. Priceline.com also has a personal finance service that offers home mortgages, refinancing and home equity loans through an independent licensee. Priceline.com licenses its business model to independent licensees, including priceline mortgage and certain international licensees.

For more information about priceline.com:

To book flights: http://www.priceline.com/flights/

To book hotels: http://www.priceline.com/hotels/

To book rental cars: http://www.priceline.com/rentalcars/

To book a vacation package: http://www.priceline.com/vacationpackages/

To book a cruise: http://www.pricelinecruiseoutlet.com

To see our PriceBreakers deals: http://www.priceline.com/pricebreakers

To check our travel guides:
http://travela.priceline.com/travelguides/

To watch our TV ads:
http://www.priceline.com/promo/shatner_pcln_negotiator.asp

Other priceline.com affiliated sites include:

General travel information and trip planning:
http://www.mytravelguide.com

Travel reservations: http://www.lowestfare.com
                     http://www.travelweb.com

Rental cars: http://www.RentalCars.com
             http://www.BreezeNet.com

European hotels: http://www.booking.com
                 http://www.priceline.co.uk