Orbitz 2010 Annual Report Download - page 87
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Finite-lived intangible assets consisted of the following at December 31, 2009 and December 31, 2008:
Gross
Carrying
Amount
Accumulated
Amortization
Net
Carrying
Amount
Weighted
Average
Useful Life
Gross
Carrying
Amount
Accumulated
Amortization
Net
Carrying
Amount
Weighted
Average
Useful Life
December 31, 2009 December 31, 2008
(in millions) (in years) (in millions) (in years)
Finite-Lived Intangible Assets:
Customer relationships (a) ....... $66 $(50) $16 4 $68 $(37) $31 4
Vendor relationships and other .... 5 (2) 3 7 4 (1) 3 7
Total Finite-Lived Intangible Assets . . $71 $(52) $19 5 $72 $(38) $34 5
(a) During the year ended December 31, 2008, we recorded a non-cash impairment charge of $13 million
related to our customer relationships (see Note 3 — Impairment of Goodwill and Intangible Assets).
For the years ended December 31, 2009, December 31, 2008 and December 31, 2007, we recorded
amortization expense related to finite-lived intangible assets in the amount of $17 million, $18 million and
$20 million, respectively. These amounts are included in depreciation and amortization expense in our
consolidated statements of operations.
The table below shows estimated amortization expense related to our finite-lived intangible assets over
the next five years:
Year (in millions)
2010............................................................... $11
2011............................................................... 3
2012............................................................... 2
2013............................................................... 2
2014............................................................... 1
Total............................................................. $19
6. Accrued Expenses
Accrued expenses consisted of the following:
December 31, 2009 December 31, 2008
(in millions)
Employee costs (a) ................................. $33 $13
Advertising and marketing ........................... 18 29
Tax sharing liability, current .......................... 17 15
Rebates ......................................... 6 6
Customer service costs .............................. 6 5
Contract exit costs (b)............................... 5 4
Technology costs .................................. 4 7
Professional fees................................... 4 4
Unfavorablecontracts,current......................... 3 3
Facilities costs .................................... 3 4
Other........................................... 14 16
Total accrued expenses ............................ $113 $106
(a) At December 31, 2009, the employee costs line item includes amounts accrued related to our Perfor-
mance-Based Annual Incentive Plan. At December 31, 2008, based on Company performance, no
such amounts were accrued.
87
ORBITZ WORLDWIDE, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)