Orbitz 2010 Annual Report Download - page 110

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18. Related Party Transactions
Related Party Transactions with Travelport and its Subsidiaries
The following table summarizes the related party balances with Travelport and its subsidiaries as of
December 31, 2009 and December 31, 2008, reflected in our consolidated balance sheets. We net settle
amounts due to and from Travelport.
December 31, 2009 December 31, 2008
(in millions)
Due from Travelport, net ............................ $3 $10
We also purchased assets of $1 million from Travelport and its subsidiaries during the year ended
December 31, 2008, which are included in property and equipment, net in our consolidated balance sheets.
The following table summarizes the related party transactions with Travelport and its subsidiaries for the
years ended December 31, 2009, December 31, 2008 and December 31, 2007, reflected in our consolidated
statements of operations:
2009 2008 2007
Years Ended December 31,
(in millions)
Net revenue (a) ................................... $122 $149 $126
Cost of revenue ................................... 1 — —
Selling, general and administrative expense .............. — 3 11
Interest expense................................... 4 3 48
(a) These amounts include net revenue related to our GDS services agreement and bookings sourced through
Donvand Limited and OctopusTravel Group Limited (doing business as Gullivers Travel Associates,
“GTA”) for the periods presented.
In 2007, in connection with the 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.
Stock Purchase Agreement
On November 4, 2009, the Company entered into a Stock Purchase Agreement with Travelport pursuant
to which Travelport agreed to purchase 9,025,271 shares of the Company’s common stock for approximately
$50 million in cash (see Note 8 — Exchange Agreement and Stock Purchase Agreement). This transaction
closed on January 26, 2010.
Net Operating Losses
In December 2009, as permitted under the U.K. group relief provisions, we surrendered $17 million of
net operating losses generated in 2007 to Donvand Limited, a subsidiary of Travelport (see Note 12 — Income
Taxes).
Capital Contributions
In 2007, prior to the IPO, we received capital contributions from Travelport for operational funding.
110
ORBITZ WORLDWIDE, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)