TripAdvisor 2012 Annual Report Download - page 103

Chinese Credit Facilities
In addition to our borrowings under the Credit Agreement, we maintain our Chinese Credit Facilities. As of
December 31, 2012 and 2011, we had $32.1 million and $16.7 million of short term borrowings outstanding,
respectively.
Certain of our Chinese subsidiaries entered into a RMB 138,600,000 (approximately $22 million), one-year
revolving credit facility with Bank of America (the “Chinese Credit Facility—BOA”) that is currently subject to
review on a periodic basis with no specific expiration period. During the year ended December 31, 2012, this
credit line was increased to RMB 189,000,000 (approximately $30 million). We currently have $21.8 million of
outstanding borrowings from this credit facility as of December 31, 2012. Our Chinese Credit Facility—BOA
currently bears interest based at 100% of the People’s Bank of China’s base rate and was 5.6% as of
December 31, 2012.
In addition, during April 2012, certain of our Chinese subsidiaries entered into a RMB 125,000,000
(approximately $20 million) one-year revolving credit facility with J.P. Morgan Chase Bank (“Chinese Credit
Facility-JPM”). We currently have $10.3 million of outstanding borrowings from this credit facility as of
December 31, 2012. Our Chinese Credit Facility—JPM currently bears interest based at 100% of the People’s
Bank of China’s base rate and was 5.6% as of December 31, 2012.
NOTE 9: INCOME TAXES
The following table presents a summary of our domestic and foreign income before income taxes:
Year Ended December 31,
2012 2011 2010
(In thousands)
Domestic ....................................................... $133,361 $121,100 $121,964
Foreign ........................................................ 148,614 150,794 102,451
Total .......................................................... $281,975 $271,894 $224,415
The following table presents a summary of the components of our provision for income taxes:
Year Ended December 31,
2012 2011 2010
(In thousands)
Current income tax expense:
Federal ....................................................... $55,877 $49,736 $42,568
State ......................................................... 5,927 7,818 13,490
Foreign ....................................................... 30,543 37,480 30,056
Current income tax expense ........................................... 92,347 95,034 86,114
Deferred income tax (benefit) expense:
Federal ....................................................... (3,113) 216 972
State ......................................................... (347) 148 (215)
Foreign ....................................................... (1,500) (1,295) (1,410)
Deferred income tax (benefit) expense: .................................. (4,960) (931) (653)
Provision for income taxes ............................................ $87,387 $94,103 $85,461
For all periods presented, current and deferred tax expense has been computed using our stand-alone
effective rate. As of December 31, 2012, our current income tax receivable and income tax payable balances
represent amounts that we will receive and pay, respectively, to the Internal Revenue Service and other tax
authorities.
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