Yahoo! took new steps Nov. 14 to give its FareChase comparative shopping engine greater prominence within its travel offerings, putting a FareChase tab on the Yahoo! Travel homepage for the first time.

And, on the same day, in a turnaround for FareChase, the Yahoo! meta-search player began searching the American Airlines Web site,, for schedules and fares, through a direct-connect using XML technology.

Yahoo!’s decision to tighten the integration of FareChase into Yahoo! Travel at and elsewhere in elsewhere in Yahoo! Travel came after Travelocity and Yahoo! renegotiated their contract in July.

Travelocity is still the exclusive booking engine for air, car and hotel reservations on Yahoo! Travel, and the agreement was extended one year, until Dec. 31, 2006. However, speaking at the PhoCusWright Executive Conference in Orlando, Travelocity CEO Michelle Peluso said the online agency today has become less reliant on the bookings it gets through partnerships with Yahoo and America Online.

Get the full story at Travel Weekly (free registration required)