Travelzoo 2010 Annual Report Download - page 85

Download and view the complete annual report

Please find page 85 of the 2010 Travelzoo 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 101

  • 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

Outstanding options at December 31, 2010 were as follows:
Exercise Price
Shares
Outstanding
and
Exercisable
Options Outstanding
Weighted-
Average
Remaining
Contractual
Life
Weighted-
Average
Exercise
Price
Shares
Outstanding
and
Exercisable
Options Exercisable
Weighted-
Average
Remaining
Contractual
Life
Weighted-
Average
Exercise
Price
$2.00 ......... 12,725 0.83 years $ 2.00 12,725 0.83 years $2.00
$3.00 ......... 5,000 1.25 years $ 3.00 5,000 1.25 years $3.00
$14.97 ........ 300,000 8.89 years $14.97 —
317,725 8.44 years $14.26 17,725 0.95 years $2.28
(8) Segment Reporting and Significant Customer Information
The Company manages its business geographically and has two operating segments: North America and
Europe. North America consists of the Company’s operations in Canada and the U.S. Europe consists of the
Company’s operations in France, Germany, Spain, and the U.K. The Company began operations in Europe in May
2005.
Management relies on an internal management reporting process that provides revenue and segment operating
income (loss) for making financial decisions and allocating resources. Management believes that segment revenues
and operating income (loss) are appropriate measures of evaluating the operational performance of the Company’s
segments.
The following is a summary of operating results and assets (in thousands) by business segment:
Year Ended December 31, 2010: North America Europe Elimination Consolidated
Revenues from unaffiliated customers....... $87,661 $25,123 $ — $112,784
Intersegment revenues . . . ............... 197 107 (304) —
Total net revenues ..................... 87,858 25,230 (304) 112,784
Operating income (loss) . . ............... 24,998 (1,489) 3 23,512
Year Ended December 31, 2009: North America Europe Elimination Consolidated
Revenues from unaffiliated customers....... $77,707 $16,266 $ — $93,973
Intersegment revenues . . . ............... 260 73 (333) —
Total net revenues ..................... 77,967 16,339 (333) 93,973
Operating income (loss) . . ............... 19,227 (5,463) (56) 13,708
Year Ended December 31, 2008: North America Europe Elimination Consolidated
Revenues from unaffiliated customers ....... $71,245 $ 9,572 $ — $80,817
Intersegment revenues .................. 94 51 (145) —
Total net revenues ..................... 71,339 9,623 (145) 80,817
Operating income (loss) ................. 21,118 (7,809) 3 13,312
As of December 31, 2010: North America Europe
Discontinued
Operations Elimination Consolidated
Long-lived assets: .......... $ 4,329 $ 154 $— $ — $ 4,483
Total assets ............... 85,658 10,490 — (30,146) 66,002
58
TRAVELZOO INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)