Expedia 2010 Annual Report Download - page 100

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Accumulated Other Comprehensive Income (Loss)
Accumulated other comprehensive income (loss), net of tax for 2010 and 2009 is primarily comprised of
accumulated foreign currency translation adjustments.
Other Comprehensive Income (Loss)
The following table presents the changes in the components of other comprehensive income (loss), net of
tax:
For the Year Ended December 31,
2010 2009 2008
(In thousands)
Net income (loss) ................................... $425,560 $303,623 $(2,520,670)
Other comprehensive income (loss)
Currency translation adjustments ..................... (11,996) 19,635 (36,088)
Unrealized gains (losses) on available for sale securities,
net of taxes:
Unrealized holding gains, net of tax effect of $(191) . . . 356 — —
Less: reclassification adjustment for net gains recognized
during the period, net of tax effect of $15 ........... (27) — —
Unrealized gains (losses) on derivatives, net of taxes:
Unrealized holding gains (losses), net of tax effect of
$(2,058) ..................................... — — 3,614
Less: reclassification adjustment for net gains recognized
during the period, net of tax effect of $2,255 ........ — — (3,953)
Comprehensive income (loss) .......................... 413,893 323,258 (2,557,097)
Less: Comprehensive income attributable to
noncontrolling interests ......................... (4,575) (4,351) (364)
Comprehensive income (loss) attributable to Expedia, Inc. . . . $409,318 $318,907 $(2,557,461)
Noncontrolling Interests
In 2010, we acquired additional interests in certain majority owned subsidiaries for $78 million in cash.
Amounts paid in excess of the respective noncontrolling interests were recorded to additional paid-in capital.
NOTE 12 — Earnings Per Share
Basic Earnings Per Share
Basic earnings per share was calculated for the years ended December 31, 2010, 2009 and 2008 using the
weighted average number of common and Class B common shares outstanding during the period excluding
restricted stock and stock held in escrow. As of December 31, 2010 and 2009, we had 751 shares of preferred
stock outstanding, the impact of which on our earnings per share calculation is immaterial.
Diluted Earnings Per Share
For the years ended December 31, 2010, 2009 and 2008, we computed diluted earnings per share using
(i) the number of shares of common stock and Class B common stock used in the basic earnings per share
calculation as indicated above (ii) if dilutive, the incremental common stock that we would issue upon the
assumed exercise of stock options and stock warrants and the vesting of RSUs using the treasury stock method,
and (iii) other stock-based commitments.
F-29