(Corrects 1st and 5th paragraphs and headline to make clear
that PAR Capital is one of Orbitz's largest shareholders, not
Aug 13 Orbitz Worldwide Inc said PAR
Capital Management, one of its largest shareholders, sold 8.1
million of the 24.6 million shares it owned in the online travel
agency, and the stock dropped 11.8 percent on Tuesday.
In a statement from Orbitz, PAR President Paul Reeder said
the Boston investment management firm sold the shares in an
effort to "better diversify our portfolio."
Reeder said PAR Capital was "optimistic" about the future of
Orbitz, which last week reported second-quarter earnings that
topped analysts' average estimates and raised its 2013 revenue
"We are especially excited about the accelerating growth
that we are seeing in the company's hotel business," Reeder
PAR Capital had a 23 percent stake in Orbitz at the end of
June, according to Orbitz data. The company's largest
shareholder is Travelport, with a stake of 49 percent as of the
end of the June, Orbitz said.
Shares of Orbitz were down $1.39 to $10.35 in morning
trading. Even with Tuesday's slide, the shares have increased
nearly fourfold so far this year.
(Reporting by Karen Jacobs in Atlanta; Editing by Jeffrey