Orbitz 2008 Annual Report Download - page 49

Download and view the complete annual report

Please find page 49 of the 2008 Orbitz annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 146

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146

international gross bookings of $97 million was primarily driven by increased hotel volume at ebookers, HotelClub and RatesToGo.
Net Revenue—See discussion of net revenue in the Results of Operations section.
Comparison of the year ended December 31, 2006 to the year ended December 31, 2005
Gross Bookings
For our domestic business, which is comprised principally of Orbitz, CheapTickets and Orbitz for Businesses, gross bookings increased $2,414 million, or
38%, during the year ended December 31, 2006 from the year ended December 31, 2005. Of the $2,414 million increase, $1,888 million was due to an increase
in domestic air gross bookings. Higher air transactions and a higher average price per transaction drove this increase in gross bookings. Non-air and other gross
bookings increased $526 million, or 33%, during the year ended December 31, 2006 from the year ended December 31, 2005. Increased transaction volume for
dynamic packaging and hotels primarily drove this growth.
For our international business, which is comprised principally of ebookers, HotelClub and RatesToGo, gross bookings increased $149 million, or 17%,
during the year ended December 31, 2006 from the year ended December 31, 2005. Foreign currency fluctuations reduced growth by a net of $4 million due to a
reduction in air gross bookings of $6 million and an increase in non-air and other of $2 million. Excluding this impact, international gross bookings increased
$153 million due to a $143 million increase in air gross bookings and a $10 million increase in non-air and other gross bookings. The ebookers acquisition
occurred in February 2005 and the inclusion of a full year of its online business for the year ended December 31, 2006 contributed substantially to the increase in
gross bookings. This growth was partially offset by a decrease in ebookers' offline business.
Net Revenue—See discussion of net revenue in the Results of Operations section.
42
Source: Orbitz Worldwide, In, 10-K/A, August 28, 2008