Orbitz’s First-Quarter Loss Widens

Orbitz Worldwide reported a net loss of $15 million in the first quarter of 2008, compared with $10 million in the year-ago first quarter.

The company’s operating expenses increased 8.4 percent, to $220 million. Orbitz said the increase was due to a higher level of chargebacks at one of its international locations early in 2008, higher marketing expenses and higher staffing levels.

Orbitz said it is building its hotel sourcing team and has hired finance and legal personnel to do jobs formerly done by Travelport employees. Travelport spun off Orbitz Worldwide a year ago.

Orbitz’s gross bookings were $2.9 billion, equal to the first quarter of 2007. International gross bookings were $488 million, an increase of 41 percent (28 percent after adjusting for the impact of foreign currency fluctuations).

Domestic gross bookings declined 6 percent, to $2.4 billion, with price increases more than offset by declines in transaction levels for air and non-air bookings, Orbitz said. Net revenue for the first quarter of 2008 was $219 million, an increase of 3 percent.