Expedia.com today said it would place its ad account in review.

Sources said the decision to hold a review is based at least in part on the company's recent lackluster financial performance. Expedia declined comment on the circumstances leading to the review.

Responding to the company's first quarter 2006 financials released last week—which showed Expedia down 51 percent in net income compared to the same period last year despite a 14 percent increase in gross bookings and 2 percent rise in revenue—Barry Diller, Expedia chairman, said, "While we anticipated negative growth in the first half of 2006, our performance this quarter was far below those expectations."

At that time, Dara Khosrowshahi, Expedia CEO, said then that he was disappointed with Expedia's financial performance and was "focused on tactical actions—including a shift of our marketing approach—to drive improvement in our results for the balance of the year."

"We've decided to tap some new creative outlets," said a company representative today, who added that Expedia plans to conduct the search internally, without engaging an outside consulting company. Donna Wells, senior vice president of of marketing at the client, will lead the review process.

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