DALLAS - March 24, 2004 - Increasing access to quality hotel accommodations at discounted prices, AAA and Travelweb announced today a distribution agreement to provide AAA members access to Travelweb�s net-rate inventories from more than 12,000 hotels worldwide.  Through the agreement, AAA members can now book some of AAA�s preferred partner hotels at more competitive rates.

Travelweb is helping AAA increase its member benefits by giving the travel organization a broader selection of world-class hotels and resorts at discounted rates including many of AAA�s two-, three-, four- and five-diamond hotels.  Included in the thousands of hotels available through Travelweb are the chains and properties of Travelweb�s owners  - Hilton, Hyatt, InterContinental, Marriott and Starwood hotels.  

The agreement with Travelweb began in late 2003 and complements AAA�s already expansive array of products and services for travelers while broadening its product offering, strengthening its online capabilities, and increasing revenue potential. 

�When our members take to the road or air for vacations they look for quality accommodations at affordable prices.  Teaming with Travelweb gives those members real-time access to the most competitive rates at hotels from Seattle to Miami and everywhere in between,� said Lee Granger, Managing Director of Travel Technology for AAA.  

�Travelweb�s seamless distribution network gives AAA the opportunity to offer its members and agents great deals on popular hotels in the top vacation destinations worldwide,� said Jaynne Allison, Chief Operating Officer for Travelweb LLC. �It�s important to us to team with online distributors like AAA that are well respected by consumers and can deliver the booking volume that all of our participating hotels deserve.�

Travelweb also offers AAA�s travel agencies access to properties in virtually every destination, increasing travel agents� ability to secure accommodations for their customers without losing them to other online discounters.  

Travelweb Distribution Partners benefit from:

• Competitive rates
• Enhanced website value
• Easy implementation
• Broader product offering
• Available in multiple currencies
• Guaranteed commissions

About AAA
As North America�s largest motoring and leisure travel organization, AAA (www.aaa.com) provides its 47 million members with travel, insurance, financial and automotive-related services.  Since its founding in 1902, the not-for-profit, fully tax-paying AAA has been a leader and advocate for the safety and security of all travelers.

About Travelweb LLC 
Travelweb LLC is a travel distribution company. Owned by Hilton Hotels Corporation (NYSE: HLT), Hyatt Corporation, Marriott International (NYSE: MAR), InterContinental Hotels Group (NYSE: IHG), Starwood Hotels (NYSE: HOT), priceline.com (Nasdaq: PCLN) and travel technology provider Pegasus Solutions, Inc. (Nasdaq: PEGS), Travelweb pioneered the seamless merchant distribution model which is credited for returning yield and revenue management capabilities back to hoteliers and for broadening their distribution options.  Travelweb automates the distribution of discounted rooms and brings new cost and time efficiencies to the market.  Travelweb's private label offerings distributed through Travelweb.com and leading third-party Internet partners such as Lowestfare.com, aavacations.com, Continental.com and Orbitz, give consumers access to a the largest selection of hotel accommodations at discounted rates online. Travelweb LLC is a private company headquartered in Dallas and can be found on the internet at www.travelweb.com.

Justin McNaull
AAA
202.942.2079
[email protected]