Online travel sites like Orbitz and Expedia are seeing demand stabilize as low airfares and reduced hotel rates entice consumers to book travel. The downside is that the value of bookings has dropped, forcing sites to keep costs low while the global recession continues to temper travel and leisure spending.

Expectations are high for priceline.com, which is reporting second-quarter earnings on Monday, since both Orbitz and Expedia surpassed the Street's estimates.

On July 30, Expedia said booking declines improved from the first quarter although the value fell 5%, to $5.6 billion. On Wednesday, Orbitz also said the number of transactions improved but values were 12% lower.

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