Travelzoo 2005 Annual Report Download - page 71

Item 9. Changes in and Disagreements With Accountants on Accounting and Financial Disclosure
None.
Item 9A. Controls and Procedures
As of December 31, 2005, we carried out an evaluation, under the supervision and with the participation
of the Company's management, including the Company's President, Chief Executive OÇcer and Chief
Financial OÇcer along with the Company's Controller (Chief Accounting OÇcer), of the eÅectiveness of the
design and operation of our disclosure controls and procedures pursuant to Exchange Act Rule 13a-15(e).
Based upon that evaluation, the Company's President, Chief Executive OÇcer and Chief Financial OÇcer
along with the Company's Controller (Chief Accounting OÇcer) concluded that our disclosure controls and
procedures were eÅective in timely alerting them to material information relating to the Company (including
its consolidated subsidiaries) required to be included in our periodic SEC Ñlings as of December 31, 2005.
During the quarter ended December 31, 2005, there was no change in our internal control over Ñnancial
reporting (as deÑned in Exchange Act Rule 13a-15(f) that materially aÅected, or is reasonably likely to
materially aÅect, the Company's internal control over Ñnancial reporting.
Management's Report on Internal Control Over Financial Reporting
Travelzoo's management is responsible for establishing and maintaining adequate internal control over
Ñnancial reporting for Travelzoo Inc. Travelzoo's internal control over Ñnancial reporting is a process designed
to provide reasonable assurance regarding the reliability of Ñnancial reporting and the preparation of Ñnancial
statements for external purposes in accordance with U.S. generally accepted accounting principles.
Travelzoo's internal control over Ñnancial reporting includes those policies and procedures that (i) pertain to
the maintenance of records that, in reasonable detail, accurately and fairly reÖect the transactions and
dispositions of the assets of Travelzoo; (ii) provide reasonable assurance that transactions are recorded as
necessary to permit preparation of Ñnancial statements in accordance with generally accepted accounting
principles, and that receipts and expenditures of Travelzoo are being made only in accordance with
authorizations of management and directors of Travelzoo; and (iii) provide reasonable assurance regarding
prevention or timely detection of unauthorized acquisition, use, or disposition of Travelzoo's assets that could
have a material eÅect on the Ñnancial statements.
Because of its inherent limitations, internal control over Ñnancial reporting may not prevent or detect
misstatements. Also, projections of any evaluation of eÅectiveness to future periods are subject to the risk that
controls may become inadequate because of changes in conditions, or that the degree of compliance with the
policies or procedures may deteriorate.
Travelzoo's management assessed the eÅectiveness of Travelzoo's internal control over Ñnancial reporting
as of December 31, 2005, utilizing the criteria set forth by the Committee of Sponsoring Organizations of the
Treadway Commission (COSO) in Internal Control Ì Integrated Framework. Based on the assessment by
Travelzoo's management, we determined that Travelzoo's internal control over Ñnancial reporting was
eÅective as of December 31, 2005. Travelzoo management's assessment of the eÅectiveness of Travelzoo's
internal control over Ñnancial reporting as of December 31, 2005 has been audited by KPMG LLP,
Travelzoo's independent registered public accounting Ñrm, as stated in their report which appears in Part II,
Item 8 of this Annual Report on Form 10-K.
/s/ R ALPH B ARTEL
Ralph Bartel
Chairman of the Board, Chief Executive OÇcer,
and Chief Financial OÇcer
March 15, 2006
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