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ORBITZ WORLDWIDE, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
16. Related Party Transactions
Related Party Transactions with Travelport and Subsidiaries
The following table summarizes the related party balances with Travelport and its subsidiaries as of December 31, 2007 and 2006, reflected in our
consolidated balance sheets:
Successor
December 31, 2007
December 31, 2006
(in millions)
Due to Travelport, net(a) $ 8 —
Due from Travelport — $ 100
Due to Travelport, non-current — 205
(a)
Subsequent to our IPO, we net settle amounts due to and from Travelport on a monthly basis.
The following table summarizes the related party transactions with Travelport and its subsidiaries for the year ended December 31, 2007 and for the periods
August 23, 2006 to December 31, 2006 and January 1, 2006 to August 22, 2006 and for the year ended December 31, 2005, reflected in our consolidated
statements of operations:
Year ended
December 31, 2007
Successor
Period from
August 23, 2006 to
December 31, 2006
Successor
Period from
January 1, 2006 to
August 22, 2006
Predecessor
Year ended
December 31, 2005
Predecessor
(in millions)
Net revenue(a) $ 126 $ 29 $ 65 $ 37
Cost of revenue — 1 — —
Selling, general and administrative
expense 11 4 — 1
Interest expense 48 4 — —
(a)
These amounts include net revenue related to bookings sourced through Donvand Limited and OctopusTravel Group Limited (doing business as
Gulliver's Travel Associates, "GTA") for the periods presented.
In connection with our IPO, we paid a dividend to Travelport in the amount of $109 million. Any future determination to pay dividends would require the
prior consent of Travelport, until such time as Travelport no longer beneficially owns at least 33% of the votes entitled to be cast by our outstanding common
shares.
Capital Contributions
Prior to our IPO, we received capital contributions from Travelport for operational funding and certain acquisitions.
Corporate Related Functions
Our consolidated statements of operations reflect an allocation from Travelport of both general corporate overhead expenses and direct billed expenses
incurred on our behalf prior to our IPO.
108
Source: Orbitz Worldwide, In, 10-K/A, August 28, 2008