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Expedia, Inc.
Form 10-K
For the Year Ended December 31, 2011
Part I. Item 1. Business
We refer to Expedia, Inc. and its subsidiaries collectively as “Expedia,” the “Company,” “us,” “we” and
“our” in this Annual Report on Form 10-K.
Forward-Looking Statements
This Annual Report on Form 10-K contains “forward-looking statements” within the meaning of the Private
Securities Litigation Reform Act of 1995. These forward-looking statements reflect the views of our
management regarding current expectations and projections about future events and are based on currently
available information. Actual results could differ materially from those contained in these forward-looking
statements for a variety of reasons, including, but not limited to, those discussed in the section entitled “Risk
Factors” as well as those discussed elsewhere in this report. Other unknown or unpredictable factors also could
have a material adverse effect on our business, financial condition and results of operations. Accordingly, readers
should not place undue reliance on these forward-looking statements. The use of words such as “anticipates,”
“estimates,” “expects,” “intends,” “plans” and “believes,” among others, generally identify forward-looking
statements; however, these words are not the exclusive means of identifying such statements. In addition, any
statements that refer to expectations, projections or other characterizations of future events or circumstances are
forward-looking statements. These forward-looking statements are inherently subject to uncertainties, risks and
changes in circumstances that are difficult to predict. We are not under any obligation and do not intend to
publicly update or review any of these forward-looking statements, whether as a result of new information, future
events or otherwise, even if experience or future events make it clear that any expected results expressed or
implied by those forward-looking statements will not be realized. Please carefully review and consider the
various disclosures made in this report and in our other reports filed with the Securities and Exchange
Commission (“SEC”) that attempt to advise interested parties of the risks and factors that may affect our
business, prospects and results of operations.
Management Overview
General Description of our Business
Expedia, Inc. is an online travel company, empowering business and leisure travelers with the tools and
information they need to efficiently research, plan, book and experience travel. We seek to grow our business
through a dynamic portfolio of travel brands featuring the world’s broadest supply portfolio – including over
145,000 hotels in 200 countries, 300 airlines, packages, rental cars, cruises, as well as destination services and
activities. Travel suppliers distribute and market products via our sites, our private label business and our call
centers in order to reach our extensive, global audience, including the 60 million unique visitors that visit our
sites on a monthly basis.
Our portfolio of brands includes:
• Expedia.com®, a full service online travel agency with sites in over 25 countries;
• Hotels.com®, a hotel-only booking service with more than 75 sites worldwide;
• Hotwire.com®, a discount travel provider with sites in nine countries;
• Expedia®Affiliate Network (“EAN”), which powers travel for some of the world’s largest travel
and non-travel brands, as well as more than 10,000 active affiliates worldwide;
• Luxury travel specialist, Classic Vacations®;
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