Priceline Says Recovering Faster Than Expected

Online travel firm Inc. said on Tuesday it sees third-quarter revenues toward the high end of its range of $280 million to $300 million, and said demand for its products was recovering faster than expected after the the Sept. 11 attacks on the United States.

Wall Street analysts, on average, had expected the company to post revenues of $287 million, according to Thomson Financial/First Call. A year earlier, the company posted revenues of $341 million.

The name-your-own price Internet company's shares have taken a beating as travel bookings have plummeted in the wake of the attacks on the Pentagon and New York.

Separately, the company said it plans to buy a majority stake in Europe Ltd., which holds the rights to develop the company's business in Europe. The purchase will reduce quarterly pro forma operating results by about a penny a share for the next several quarters.