Expedia 2006 Annual Report Download - page 33

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required by local ordinance. The complaint purports to assert claims for violation of the local ordinance, as
well as claims for declaratory judgment, conversion, and demand for an accounting. The deadline for
defendants to respond to the lawsuit has not yet been established.
Buncombe County Litigation. On February 1, 2007, Buncombe County, North Carolina filed a lawsuit in
state court against a number of internet travel companies, including Hotels.com, Hotwire, and Expedia
Washington. See Buncombe County v. Hotels.com, et al., 7 CV 00585 (General Court of Justice, Superior
Court Division, Buncombe County, North Carolina). The complaint alleges that the defendants have failed to
pay the county hotel accommodation taxes as required by local ordinance. The complaint purports to assert
claims for violation of the local ordinance, as well as claims for declaratory judgment. The deadline for
defendants to respond to the lawsuit has not yet been established.
Dare County, North Carolina Litigation. On January 26, 2007, Dare County, North Carolina filed a
lawsuit in state court against a number of internet travel companies, including Hotels.com, Hotwire, and
Expedia Washington. See Dare County v. Hotels.com, L.P., et al., 07 CVS 56 (General Court of Justice,
Superior Court Division, Dare County, North Carolina). The complaint alleges that the defendants have failed
to pay the county hotel accommodation taxes as required by local ordinance. The complaint purports to assert
claims for violation of the local ordinance, as well as claims for declaratory judgment, injunction, conversion,
constructive trust, accounting, unfair and deceptive trade practices and agency. The deadline for defendants to
respond to the lawsuit has not yet been established.
The Company believes that the claims in all of the lawsuits relating to hotel occupancy taxes lack merit
and will continue to defend vigorously against them.
Worldspan Litigation. On July 26, 2006, Expedia filed a lawsuit against Worldspan, L.P. in state court
in Washington seeking a declaratory judgment, and other relief, regarding the rights and obligations of Expedia
and Worldspan under the parties’ June 2001 Amended and Restated Development Agreement and the parties’
CRS Marketing, Services and Development Agreement and all amendments thereto. See Expedia. Inc. v.
Worldspan, L.P., (King County Superior Court). Worldspan answered the lawsuit on August 15, 2006, denying
the allegations. Discovery is ongoing.
Part I. Item 4. Submission of Matters to a Vote of Security Holders
There were no matters submitted to a vote of our security holders during the fourth quarter of 2006.
Part II. Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Pur-
chases of Equity Securities
Market Information
Our common stock has been quoted on NASDAQ under the ticker symbol “EXPE” since August 9, 2005.
Prior to that time, there was no public market for our common stock. Our Class B common stock is not listed
and there is no established public trading market. As of February 15, 2007, there were approximately
5,591 holders of record of our common stock and the closing price of our common stock was $22.30 on
NASDAQ. As of February 15, 2007, there were six holders of record of our Class B common stock, each of
which is an affiliate of Liberty.
The following table sets forth the intra-day high and low prices per share for our common stock during
the periods indicated:
High Low
Year ended December 31, 2006
Fourth Quarter .................................................. $21.29 $15.55
Third Quarter ................................................... 17.28 12.87
Second Quarter .................................................. 20.55 13.36
First Quarter .................................................... 27.55 17.42
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