Expedia Inc. said on Friday its debt could rise by a factor of eight because of borrowing related to its planned buyback of more than one-third of its shares.

In a filing with the U.S. Securities and Exchange Commission, the top online travel company said its debt would rise to about $4.1 billion if it completed the buyback at the top of the range it set. That compares with its debt of about $500 million as of June 15.

"This indebtedness could adversely affect Expedia's ability to raise additional capital to fund its operations and react to changes in the economy or our industry," the company said in the filing.

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