XML 26 R19.htm IDEA: XBRL DOCUMENT v2.4.0.6
Guarantor and Non-Guarantor Consolidating Condensed Financial Statements
3 Months Ended
Mar. 31, 2012
Guarantor and Non-Guarantor Consolidating Condensed Financial Statements [Abstract]  
Guarantor and Non-Guarantor Consolidating Condensed Financial Statements

13. Guarantor and Non-Guarantor Consolidating Condensed Financial Statements

The Company’s long-term debt is guaranteed by certain wholly-owned subsidiaries incorporated in the US. The guarantees are full, unconditional, joint and several.

The following consolidating condensed financial statements presents the Company’s consolidating condensed statements of operations for the three months ended March 31, 2012 and 2011, the consolidating condensed statements of comprehensive income for the three months ended March 31, 2012 and 2011, consolidating condensed balance sheets as of March 31, 2012 and December 31, 2011, and the consolidating condensed statements of cash flows for the three months ended March 31, 2012 and 2011 for: (a) Travelport Limited (“the Parent Guarantor”); (b) Waltonville Limited and TDS Investor (Luxembourg) S.à.r.l. (together, “the Intermediate Parent Guarantor”); (c) Travelport LLC and Travelport Inc. (from August 18, 2010) (together, “the Issuer”); (d) the guarantor subsidiaries; (e) the non-guarantor subsidiaries; (f) elimination and adjusting entries necessary to combine the Parent and Intermediate Parent Guarantor with the guarantor and non-guarantor subsidiaries; and (g) the Company on a consolidated basis. Certain entities previously reported as guarantor subsidiaries within the Company’s consolidating condensed statements of operations for the three months ended March 31, 2011 and the consolidating condensed statements of cash flows for the three months ended March 31, 2011 have been re-presented as non-guarantor subsidiaries.

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF OPERATIONS

For the Three Months Ended March 31, 2012

 

                                                         
(in $ millions)   Parent
Guarantor
    Intermediate
Parent
Guarantor
    Issuer     Guarantor
Subsidiaries
    Non-Guarantor
Subsidiaries
    Eliminations     Travelport
Consolidated
 

Net revenue

                      239       311             550  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Costs and expenses

                                                       

Cost of revenue

                      142       180             322  

Selling, general and administrative

    6             5       31       63             105  

Depreciation and amortization

                      41       16             57  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total costs and expenses

    6             5       214       259             484  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operating (loss) income

    (6           (5     25       52             66  

Interest expense, net

                (66     (1                 (67

Equity in (losses) earnings of subsidiaries

    (5     (47     24                   28        
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

(Loss) income from continuing operations before income taxes and equity in losses of investment in Orbitz Worldwide

    (11     (47     (47     24       52       28       (1

Provision for income taxes

                            (8           (8

Equity in losses of investment in Orbitz Worldwide

          (3                             (3
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net (loss) income from continuing operations

    (11     (50     (47     24       44       28       (12

Net loss attributable to non-controlling interest in subsidiaries

                            1             1  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net (loss) income attributable to the Company

    (11     (50     (47     24       45       28       (11
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF COMPREHENSIVE INCOME

For the Three Months Ended March 31, 2012

 

                                                         
(in $ millions)   Parent
Guarantor
    Intermediate
Parent
Guarantor
    Issuer     Guarantor
Subsidiaries
    Non-Guarantor
Subsidiaries
    Eliminations     Travelport
Consolidated
 

Net (loss) income

    (11     (50     (47     24       44       28       (12
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Other comprehensive (loss) income, net of tax

                                                       

Currency translation adjustment, net of tax

                            2             2  

Unrealized actuarial loss on defined benefit plans, net of tax

                                         

Unrealized loss on equity investment, net of tax

          (2                             (2
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Other comprehensive (loss) income, net of tax

          2                   2              
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Comprehensive (loss) income

    (11     (52     (47     24       46       28       (12

Comprehensive loss attributable to non-controlling interest in subsidiaries

                            1             1  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Comprehensive (loss) income attributable to the Company

    (11     (52     (47     24       47       28       (11
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF OPERATIONS

For the Three Months Ended March 31, 2011

 

                                                         
(in $ millions)   Parent
Guarantor
    Intermediate
Parent
Guarantor
    Issuer     Guarantor
Subsidiaries
    Non-Guarantor
Subsidiaries
    Eliminations     Travelport
Consolidated
 

Net revenue

                      237       294             531  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Costs and expenses

                                                       

Cost of revenue

                      143       174             317  

Selling, general and administrative

    2             (3     19       61             79  

Depreciation and amortization

                      39       17             56  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total costs and expenses

    2             (3     201       252             452  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Operating (loss) income

    (2           3       36       42             79  

Interest expense, net

                (76     (1                 (77

Equity in (losses) earnings of subsidiaries

    (21     (44     29                   36        
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

(Loss) income from continuing operations before income taxes and equity in losses of investment in Orbitz Worldwide

    (23     (44     (44     35       42       36       2  

Provision for income taxes

                      (3     (8           (11

Equity in losses of investment in Orbitz Worldwide

          (5                             (5
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net (loss) income from continuing operations

    (23     (49     (44     32       34       36       (14

Loss from discontinued operations, net of tax

                      (3     (7           (10
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net (loss) income

    (23     (49     (44     29       27       36       (24

Net loss attributable to non-controlling interest in subsidiaries

                            1             1  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net (loss) income attributable to the Company

    (23     (49     (44     29       28       36       (23
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF COMPREHENSIVE INCOME

For the Three Months Ended March 31, 2011

 

                                                         
(in $ millions)   Parent
Guarantor
    Intermediate
Parent
Guarantor
    Issuer     Guarantor
Subsidiaries
    Non-Guarantor
Subsidiaries
    Eliminations     Travelport
Consolidated
 

Net (loss) income

    (23     (49     (44     29       27       36       (24
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Other comprehensive income (loss), net of tax

                                                       

Currency translation adjustment, net of tax

                            30             30  

Realization of loss on cash flow hedges, net of tax

                2                         2  

Unrealized actuarial loss on defined benefit plans, net of tax

                      (1                 (1
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Other comprehensive income (loss), net of tax

                2       (1     30             31  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Comprehensive (loss) income

    (23     (49     (42     28       57       36       7  

Comprehensive loss attributable to non-controlling interest in subsidiaries

                            1             1  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Comprehensive (loss) income attributable to the Company

    (23     (49     (42     28       58       36       8  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED BALANCE SHEETS

As of March 31, 2012

 

                                                         
(in $ millions)   Parent
Guarantor
    Intermediate
Parent
Guarantor
    Issuer     Guarantor
Subsidiaries
    Non-Guarantor
Subsidiaries
    Eliminations     Travelport
Consolidated
 

Assets

                                                       

Current assets:

                                                       

Cash and cash equivalents

                49       1       59             109  

Accounts receivable, net

                      80       148             228  

Deferred income taxes

                            3             3  

Other current assets

                24       28       149             201  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total current assets

                73       109       359             541  

Investment in subsidiary/intercompany

    (975     (1,841     1,268                   1,548        

Property and equipment, net

                      349       62             411  

Goodwill

                      846       140             986  

Trademarks and tradenames

                      190       124             314  

Other intangible assets, net

                      247       414             661  

Cash held as collateral

                137                         137  

Investment in Orbitz Worldwide

          72                               72  

Non-current deferred income tax

                            6             6  

Other non-current assets

                90       40       94             224  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total assets

    (975     (1,769     1,568       1,781       1,199       1,548       3,352  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities and equity

                                                       

Current liabilities:

                                                       

Accounts payable

                1       46       58             105  

Accrued expenses and other current liabilities

    5       2       45       161       266             479  

Current portion of long-term debt

                25       14                   39  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total current liabilities

    5       2       71       221       324             623  

Long-term debt

                3,331       45                   3,376  

Deferred income taxes

                      38       4             42  

Other non-current liabilities

                7       209       61             277  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities

    5       2       3,409       513       389             4,318  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total shareholders’ equity/intercompany

    (980     (1,771     (1,841     1,268       796       1,548       (980

Equity attributable to non-controlling interest in subsidiaries

                            14             14  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total equity

    (980     (1,771     (1,841     1,268       810       1,548       (966
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities and equity

    (975     (1,769     1,568       1,781       1,199       1,548       3,352  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED BALANCE SHEETS

As of December 31, 2011

 

                                                         
(in $ millions)   Parent
Guarantor
    Intermediate
Parent
Guarantor
    Issuer     Guarantor
Subsidiaries
    Non-Guarantor
Subsidiaries
    Eliminations     Travelport
Consolidated
 

Assets

                                                       

Current assets:

                                                       

Cash and cash equivalents

                84             40             124  

Accounts receivable, net

                      75       105             180  

Deferred income taxes

                            3             3  

Other current assets

                19       29       120             168  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total current assets

                103       104       268             475  

Investment in subsidiary/intercompany

    (967     (1,829     1,283                   1,513        

Property and equipment, net

                      362       69             431  

Goodwill

                      846       140             986  

Trademarks and tradenames

                      190       124             314  

Other intangible assets, net

                      256       425             681  

Cash held as collateral

                137                         137  

Investment in Orbitz Worldwide

          77                               77  

Non-current deferred income tax

                            6             6  

Other non-current assets

                99       45       93             237  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total assets

    (967     (1,752     1,622       1,803       1,125       1,513       3,344  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Liabilities and equity

                                                       

Current liabilities:

                                                       

Accounts payable

                      48       40             88  

Accrued expenses and other current liabilities

    3       2       99       161       220             485  

Current portion of long-term debt

                35       15                   50  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total current liabilities

    3       2       134       224       260             623  

Long-term debt

                3,309       48                   3,357  

Deferred income taxes

                      38       4             42  

Other non-current liabilities

                8       210       61             279  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities

    3       2       3,451       520       325             4,301  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total shareholders’ equity/intercompany

    (970     (1,754     (1,829     1,283       787       1,513       (970

Equity attributable to non-controlling interest in subsidiaries

                            13             13  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total equity

    (970     (1,754     (1,829     1,283       800       1,513       (957
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total liabilities and equity

    (967     (1,752     1,622       1,803       1,125       1,513       3,344  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF CASH FLOWS

For the Three Months Ended March 31, 2012

 

                                                         
(in $ millions)   Parent
Guarantor
    Intermediate
Parent
Guarantor
    Issuer     Guarantor
Subsidiaries
    Non-Guarantor
Subsidiaries
    Eliminations     Travelport
Consolidated
 

Operating activities of continuing operations

                                                       

Net (loss) income from continuing operations

    (11     (50     (47     24       44       28       (12

Adjustments to reconcile net (loss) income from continuing operations to net cash (used in) provided by operating activities of continuing operations:

                                                       

Depreciation and amortization

                      41       16             57  

Equity based compensation

    2                                     2  

Amortization of debt finance costs

                9                         9  

Non-cash interest on payment-in-kind debt

                3                         3  

Gain on interest rate derivative instruments

                (2                       (2

Gain on foreign exchange derivative instruments

                (6                       (6

Equity in losses of investment in Orbitz Worldwide

          3                               3  

Equity in losses (earnings) of subsidiaries

    5       47       (24                 (28      

FASA liability

                      (3                 (3

Defined benefit pension plan funding

                      (2                 (2

Changes in assets and liabilities:

                                                       

Accounts receivable

                      (5     (42           (47

Other current assets

                2       1       (14           (11

Accounts payable, accrued expenses and other current liabilities

                24       2       (6           20  

Other

          1             5       12             18  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net cash (used in) provided by operating activities of continuing operations

    (4     1       (41     63       10             29  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Investing activities

                                                       

Property and equipment additions

                      (15                 (15

Net intercompany funding

    5       (1     33       (43     6              
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net cash provided by (used in) investing activities

    5       (1     33       (58     6             (15
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Financing activities

                                                       

Repayment of revolver borrowings

                (35                       (35

Proceeds from revolver borrowings

                25                         25  

Repayment of capital lease obligations

                      (4                 (4

Payments on settlement of derivative contracts

                (16                       (16

Net share settlement for equity based compensation

    (1                                   (1

Contribution from non-controlling interest shareholders

                            2             2  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net cash used in financing activities

    (1           (26     (4     2             (29
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Effects of changes in exchange rates on cash and cash equivalents

                                         
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net (decrease) increase in cash and cash equivalents

                (34     1       18             (15

Cash and cash equivalents at beginning of period

                83             41             124  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Cash and cash equivalents of continuing operations at end of period

                49       1       59             109  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF CASH FLOWS

For the Three Months Ended March 31, 2011

 

                                                         
(in $ millions)   Parent
Guarantor
    Intermediate
Parent
Guarantor
    Issuer     Guarantor
Subsidiaries
    Non-Guarantor
Subsidiaries
    Eliminations     Travelport
Consolidated
 

Operating activities of continuing operations

                                                       

Net (loss) income

    (23     (49     (44     29       27       36       (24

Loss from discontinued operations, net of tax

                      3       7             10  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net (loss) income from continuing operations

    (23     (49     (44     32       34       36       (14

Adjustments to reconcile net (loss) income from continuing operations to net cash (used in) provided by operating activities of continuing operations:

                                                       

Depreciation and amortization

                      39       17             56  

Amortization of debt finance costs

                3                         3  

Loss on interest rate derivative instruments

                2                         2  

Gain on foreign exchange derivative instruments

                (3                       (3

Equity in losses of investment in Orbitz Worldwide

          5                               5  

Equity in losses (earnings) of subsidiaries

    21       44       (29                 (36      

FASA liability

                      (5                 (5

Changes in assets and liabilities:

                                                       

Accounts receivable

                      (6     (46           (52

Other current assets

                      1       (6           (5

Accounts payable, accrued expenses and other current liabilities

          30             (52     90             68  

Other

                      32       (26           6  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net cash (used in) provided by operating activities of continuing operations

    (2     30       (71     41       63             61  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net cash provided by (used in) operating activities of discontinued operations

                      3       (12           (9
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Investing activities

                                                       

Property and equipment additions

                      (18     (3           (21

Net intercompany funding

    2       (30     142       (21     (93            
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net cash provided by (used in) investing activities

    2       (30     142       (39     (96           (21
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Financing activities

                                                       

Repayment of capital lease obligations

                      (2                 (2

Repayment of term loans

                (3                       (3
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net cash used in financing activities

                (3     (2                 (5
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Effects of changes in exchange rates on cash and cash equivalents

                            4             4  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net increase (decrease) in cash and cash equivalents

                68       3       (41           30  

Cash and cash equivalents at beginning of period (including cash of discontinued operations)

                36       2       204             242  
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Cash and cash equivalents at end of period

                104       5       163             272  

Less: cash of discontinued operations

                      (4     (94           (98
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Cash and cash equivalents of continuing operations at end of period

                104       1       69             174