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Company Priceline.com declared that is compelled to close the

				
				
				
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     Company Priceline.com declared that is compelled to close the
Branch on sale of gasoline and grocery goods WebHouse. Such
In the image, to lots of problems of the company, which action have fallen more than
Twice for the last some weeks, were added one more, and very much
The serious. The market has instantly reacted to a new problem: actions
Priceline have fallen for a day on 38 % to a mark in $5-13/16, that
Is catastrophically low level, especially if to consider, that
In April, 1999 the price for actions reached $162. Only
Several weeks ago the founder and vice-chairman Priceline Dzhej
Walker (Jay Walker) has sold a part of actions Priceline that
To enclose $125 million in WebHouse. Now Walker declares, that could not
To find there is enough means for continuation of activity WebHouse,
In spite of the fact that some hundreds millions dollars have been collected.
     WebHouse - affiliated company Priceline, used the same price and
Business model, as the parent company, specialising on gasoline
And products, and sales occurred through site Priceline. WebHouse
Had 2 million clients and about 7 million transactions this year. Now
The company will be closed within three months, on it will go
Remained $70 million working capital.
     Analyst Hit Terri (Heath Terry) from Credit Suisse First Boston
Considers, that closing WebHouse brings an attention to the question on, whether is applicable
In general invented Priceline model of sales "name the price" to
To the cheap goods, such as gasoline and products. In its opinion, sale
Air tickets and numbers in hotels (the most popular goods on Priceline)
Under this scheme differs radically from other goods in connection with
The big price difference.
     RIA "RosBusinessConsulting" 2000.10.06.
//* an information Source: п п п п я я п?п?п?i п iя я i, 7.10.00
//* Reg. Nom. - 4101000070.52-------------------------------------------