Orbitz 2010 Annual Report Download - page 96

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December 31, 2009 and December 31, 2008, there were $1 million and $2 million of bank guarantees
outstanding, respectively.
Financing Arrangements
We are required to issue letters of credit to certain suppliers and non-U.S. regulatory and government
agencies. The majority of these letters of credit were issued by Travelport on our behalf under the terms of the
Separation Agreement (as amended) entered into in connection with the IPO. The letter of credit fees were
$4 million, $3 million and $2 million for the years ended December 31, 2009, December 31, 2008 and
December 31, 2007, respectively. At December 31, 2009 and December 31, 2008, there were $59 million and
$67 million of outstanding letters of credit issued by Travelport on our behalf, respectively (see Note 18 —
Related Party Transactions). In addition, at December 31, 2009, there was the equivalent of $5 million of
outstanding letters of credit issued under the Revolver, which were denominated in Pounds Sterling. There
were no outstanding letters of credit issued under the Revolver at December 31, 2008.
12. Income Taxes
Pre-tax (loss) for U.S. and non-U.S. operations consisted of the following:
2009 2008 2007
Years Ended December 31,
(in millions)
U.S. ...................................................... $(275) $(124) $ (6)
Non-U.S. ................................................... (53) (177) (35)
Loss before income taxes ....................................... $(328) $(301) $ (41)
The provision (benefit) for income taxes consists of the following:
2009 2008 2007
Years Ended December 31,
(in millions)
Current
U.S. federal and state ......................................... $ 1 $ — $ —
Non-U.S. .................................................. 1 2 5
225
Deferred
U.S. federal and state ......................................... — 1 6
Non-U.S. .................................................. 7 (5) 32
7 (4) 38
Provision (benefit) for income taxes ................................ $ 9 $ (2) $ 43
The results of operations of Travelport for the period from January 1, 2007 to February 7, 2007 were
included in the consolidated U.S. federal and state income tax returns for the year ended December 31, 2007
filed by Orbitz Worldwide, Inc. and its subsidiaries. However, the provision for income taxes was computed as
if we filed our U.S. federal, state and foreign income tax returns on a Separate Company basis without
including the results of operations of Travelport for the period from January 1, 2007 to February 7, 2007.
For the years ended December 31, 2009 and December 31, 2008, the provision for U.S. federal, state and
foreign income taxes and the calculation of the deferred tax assets and liabilities were based solely on the
96
ORBITZ WORLDWIDE, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS — (Continued)