Marriott International (MAR) - Get Report and Expedia Group (EXPE) - Get Report signed a new multiyear contract for the hotel chain's listings to appear on Expedia's travel websites, the two companies confirmed Thursday.
In a joint statement, the companies said they "have reached mutually beneficial economic terms that advance each company's strategic objectives."
The deal marks their first agreement since Marriott bought Starwood for $13 billion in 2016. The existing Expedia-Marriott contract expired last November, but the two parties extended the arrangement during what was reported as tense negotiations.
In addition to maintaining their distribution relationship, Expedia will get an expanded role in powering flights and hotel packages on Marriott Vacations. Marriott also will use Expedia technology "for an innovative distribution arrangement beyond transient retail bookings."
Expedia in February reported adjusted quarterly earnings of $1.24 a share, above analysts' forecasts. The company said total gross bookings in the quarter rose 11% to $21.96 billion. Marriott, meantime, reported fourth-quarter earnings last month of $1.44 an adjusted share, above analysts' estimates of $1.39.
Shares of Marriott International opened up 80 cents to $133.55 on the New York Stock Exchange on Thursday, while Expedia shares opened up 61 cents at $124.77 on the Nasdaq Stock Market.