Guarantor and Non-Guarantor Consolidating Condensed Financial Statements (Tables)

6 Months Ended

Jun. 30, 2014

Organization Consolidation And Presentation Of Financial Statements [Abstract]

Consolidating Condensed Statements of Operations

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF OPERATIONS

For the Three Months Ended June 30, 2014

(in $ millions)	Parent Guarantor			Intermediate Parent Guarantor			Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations		Travelport Consolidated
Net revenue	$	—		$	—		$	—		$	215		$	336		$	—	$	551
Costs and expenses
Cost of revenue		—			—			—			138			199			—		337
Selling, general and administrative		12			(1	)		—			82			4			—		97
Depreciation and amortization		—			—			—			40			17			—		57
Total costs and expenses		12			(1	)		—			260			220			—		491
Operating (loss) income		(12	)		1			—			(45	)		116			—		60
Interest expense, net		—			—			(85	)		(2	)		—			—		(87	)
Loss on early extinguishment of debt		—			—			(9	)		—			—			—		(9	)
Gain on sale of shares of Orbitz Worldwide		—			52			—			—			—			—		52
Equity in earnings (losses) of subsidiaries		16			(144	)		(50	)		—			—			178		—
Income (loss) before income taxes and share of earnings in equity method investments		4			(91	)		(144	)		(47	)		116			178		16
Provision for income taxes		—			—			—			(3	)		(9	)		—		(12	)
Share of earnings in equity method investments		—			1			—			—			—			—		1
Net income (loss)		4			(90	)		(144	)		(50	)		107			178		5
Net income attributable to non-controlling interest in subsidiaries		—			—			—			—			(1	)		—		(1	)
Net income (loss) attributable to the Company	$	4		$	(90	)	$	(144	)	$	(50	)	$	106		$	178	$	4

TRAVELPORT LIMTED

CONSOLIDATING CONDENSED STATEMENTS OF OPERATIONS

For the Three Months Ended June 30, 2013

(in $ millions)	Parent Guarantor			Intermediate Parent Guarantor			Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations		Travelport Consolidated
Net revenue	$	—		$	—		$	—		$	205		$	332		$	—	$	537
Costs and expenses
Cost of revenue		—			—			—			115			211			—		326
Selling, general and administrative		8			—			12			33			53			—		106
Depreciation and amortization		—			—			—			35			14			—		49
Total costs and expenses		8			—			12			183			278			—		481
Operating (loss) income		(8	)		—			(12	)		22			54			—		56
Interest expense, net		—			—			(101	)		(3	)		—			—		(104	)
Loss on early extinguishment of debt		—			—			(49	)		—			—			—		(49	)
Equity in (losses) earnings of subsidiaries		(97	)		(143	)		18			—			—			222		—
(Loss) income before income taxes and share of earnings (losses) in equity method investments		(105	)		(143	)		(144	)		19			54			222		(97	)
Provision for income taxes		—			—			1			(1	)		(6	)		—		(6	)
Share of earnings (losses) in equity method investments		—			—			—			—			—			—		—
Net (loss) income		(105	)		(143	)		(143	)		18			48			222		(103	)
Net income attributable to non-controlling interest in subsidiaries		—			—			—			—			(2	)		—		(2	)
Net (loss) income attributable to the Company	$	(105	)	$	(143	)	$	(143	)	$	18		$	46		$	222	$	(105	)

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF OPERATIONS

For the Six Months Ended June 30, 2014

(in $ millions)	Parent Guarantor			Intermediate Parent Guarantor			Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations		Travelport Consolidated
Net revenue	$	—		$	—		$	—		$	425		$	698		$	—	$	1,123
Costs and expenses
Cost of revenue		—			—			—			274			416			—		690
Selling, general and administrative		15			(3	)		(1	)		85			89			—		185
Depreciation and amortization		—			—			—			94			19			—		113
Total costs and expenses		15			(3	)		(1	)		453			524			—		988
Operating (loss) income		(15	)		3			1			(28	)		174			—		135
Interest expense, net		—			—			(166	)		(4	)		—			—		(170	)
Loss on early extinguishment of debt		—			—			(14	)		—			—			—		(14	)
Gain on sale of shares of Orbitz Worldwide		—			52			—			—			—			—		52
Equity in earnings (losses) of subsidiaries		(10	)		(217	)		(38	)		—			—			265		—
(Loss) income before income taxes and share of losses in equity method investments		(25	)		(162	)		(217	)		(32	)		174			265		3
Provision for income taxes		—			—			—			(6	)		(16	)		—		(22	)
Share of losses in equity method investments		—			(3	)		—			—			—			—		(3	)
Net (loss) income		(25	)		(165	)		(217	)		(38	)		158			265		(22	)
Net income attributable to non-controlling interest in subsidiaries		—			—			—			—			(3	)		—		(3	)
Net (loss) income attributable to the Company	$	(25	)	$	(165	)	$	(217	)	$	(38	)	$	155		$	265	$	(25	)

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF OPERATIONS

For the Six Months Ended June 30, 2013

(in $ millions)	Parent Guarantor			Intermediate Parent Guarantor			Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations		Travelport Consolidated
Net revenue	$	—		$	—		$	—		$	417		$	668		$	—	$	1,085
Costs and expenses
Cost of revenue		—			—			—			253			406			—		659
Selling, general and administrative		16			—			8			55			121			—		200
Depreciation and amortization		—			—			—			74			27			—		101
Total costs and expenses		16			—			8			382			554			—		960
Operating (loss) income		(16	)		—			(8	)		35			114			—		125
Interest expense, net		—			—			(169	)		(5	)		—			—		(174	)
Loss on early extinguishment of debt		—			—			(49	)		—			—			—		(49	)
Equity in (losses) earnings of subsidiaries		(99	)		(198	)		28			—			—			269		—
(Loss) income before income taxes and share of earnings in equity method investments		(115	)		(198	)		(198	)		30			114			269		(98	)
Provision for income taxes		—			—			—			(2	)		(15	)		—		(17	)
Share of earnings in equity method investments		—			2			—			—			—			—		2
Net (loss) income		(115	)		(196	)		(198	)		28			99			269		(113	)
Net income attributable to non-controlling interest in subsidiaries		—			—			—			—			(2	)		—		(2	)
Net (loss) income attributable to the Company	$	(115	)	$	(196	)	$	(198	)	$	28		$	97		$	269	$	(115	)

Consolidating Condensed Statements of Comprehensive Income (Loss)

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

For the Three Months Ended June 30, 2014

(in $ millions)	Parent Guarantor		Intermediate Parent Guarantor			Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Travelport Consolidated
Net income (loss)	$	4	$	(90	)	$	(144	)	$	(50	)	$	107		$	178		$	5
Other comprehensive income (loss), net of tax
Currency translation adjustment, net of tax		—		—			—			—			1			—			1
Realization of losses on cash flow hedges, net of tax		—		—			5			—			—			—			5
Unrealized loss on equity investment, net of tax		—		(3	)		—			—			—			—			(3	)
Equity in other comprehensive income of subsidiaries		3		5			—			—			—			(8	)		—
Other comprehensive income (loss), net of tax		3		2			5			—			1			(8	)		3
Comprehensive income (loss)		7		(88	)		(139	)		(50	)		108			170			8
Comprehensive income attributable to non-controlling interest in subsidiaries		—		—			—			—			(1	)		—			(1	)
Comprehensive income (loss) attributable to the Company	$	7	$	(88	)	$	(139	)	$	(50	)	$	107		$	170		$	7

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

For the Three Months Ended June 30, 2013

(in $ millions)	Parent Guarantor			Intermediate Parent Guarantor			Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations		Travelport Consolidated
Net (loss) income	$	(105	)	$	(143	)	$	(143	)	$	18		$	48		$	222	$	(103	)
Other comprehensive income (loss), net of tax
Currency translation adjustment, net of tax		—			—			—			—			(5	)		—		(5	)
Unrealized actuarial loss on defined benefit plans, net of tax		—			—			—			(1	)		—			—		(1	)
Unrealized gain on equity investment, net of tax		—			6			—			—			—			—		6
Equity in other comprehensive loss of subsidiaries		—			(1	)		(1	)		—			—			2		—
Other comprehensive income (loss), net of tax		—			5			(1	)		(1	)		(5	)		2		—
Comprehensive (loss) income		(105	)		(138	)		(144	)		17			43			224		(103	)
Comprehensive income attributable to non-controlling interest in subsidiaries		—			—			—			—			(2	)		—		(2	)
Comprehensive (loss) income attributable to the Company	$	(105	)	$	(138	)	$	(144	)	$	17		$	41		$	224	$	(105	)

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

For the Six Months Ended June 30, 2014

(in $ millions)	Parent Guarantor			Intermediate Parent Guarantor			Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Travelport Consolidated
Net (loss) income	$	(25	)	$	(165	)	$	(217	)	$	(38	)	$	158		$	265		$	(22	)
Other comprehensive income (loss), net of tax
Currency translation adjustment, net of tax		—			—			—			—			2			—			2
Realization of losses on cash flow hedges, net of tax		—			—			4			—			—			—			4
Unrealized loss on equity investment, net of tax		—			(4	)		—			—			—			—			(4	)
Equity in other comprehensive income of subsidiaries		2			4			—			—			—			(6	)		—
Other comprehensive income (loss), net of tax		2			—			4			—			2			(6	)		2
Comprehensive (loss) income		(23	)		(165	)		(213	)		(38	)		160			259			(20	)
Comprehensive income attributable to non-controlling interest in subsidiaries		—			—			—			—			(3	)		—			(3	)
Comprehensive (loss) income attributable to the Company	$	(23	)	$	(165	)	$	(213	)	$	(38	)	$	157		$	259		$	(23	)

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

For the Six Months Ended June 30, 2013

(in $ millions)	Parent Guarantor			Intermediate Parent Guarantor			Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations		Travelport Consolidated
Net (loss) income	$	(115	)	$	(196	)	$	(198	)	$	28		$	99		$	269	$	(113	)
Other comprehensive income (loss), net of tax
Currency translation adjustment, net of tax		—			—			—			—			(8	)		—		(8	)
Unrealized actuarial loss on defined benefit plans, net of tax		—			—			—			(1	)		—			—		(1	)
Unrealized gain on equity investment, net of tax		—			11			—			—			—			—		11
Equity in other comprehensive income (loss) of subsidiaries		2			(1	)		(1	)		—			—			—		—
Other comprehensive income (loss), net of tax		2			10			(1	)		(1	)		(8	)		—		2
Comprehensive (loss) income		(113	)		(186	)		(199	)		27			91			269		(111	)
Comprehensive income attributable to non-controlling interest in subsidiaries		—			—			—			—			(2	)		—		(2	)
Comprehensive (loss) income attributable to the Company	$	(113	)	$	(186	)	$	(199	)	$	27		$	89		$	269	$	(113	)

Consolidating Condensed Balance Sheets

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED BALANCE SHEETS

As of June 30, 2014

(in $ millions)	Parent Guarantor			Intermediate Parent Guarantor			Issuer			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Travelport Consolidated
Assets
Current assets:
Cash and cash equivalents	$	—		$	—		$	29		$	5	$	59	$	—	$	93
Accounts receivable, net		—			—			—			4		211		—		215
Deferred income taxes		—			—			—			—		1		—		1
Other current assets		2			—			3			20		87		—		112
Total current assets		2			—			32			29		358		—		421
Investment in subsidiary/intercompany		(1,081	)		(1,266	)		1,851			—		—		496		—
Property and equipment, net		—			—			—			390		23		—		413
Goodwill		—			—			—			960		40		—		1,000
Trademarks and tradenames		—			—			—			313		1		—		314
Other intangible assets, net		—			—			—			554		115		—		669
Cash held as collateral		—			—			70			—		—		—		70
Investment in Orbitz Worldwide		—			10			—			—		—		—		10
Deferred income tax		—			—			—			—		5		—		5
Other non-current assets		—			—			35			27		52		—		114
Total assets	$	(1,079	)	$	(1,256	)	$	1,988		$	2,273	$	594	$	496	$	3,016
Liabilities and equity
Current liabilities:
Accounts payable	$	—		$	—		$	—		$	37	$	21		—	$	58
Accrued expenses and other current liabilities		9			—			91			136		319		—		555
Deferred income taxes		—			—			—			24		—		—		24
Current portion of long-term debt		—			—			16			30		—		—		46
Total current liabilities		9			—			107			227		340		—		683
Long-term debt		—			—			3,142			68		—		—		3,210
Deferred income taxes		—			—			—			19		5		—		24
Other non-current liabilities		—			—			5			108		55		—		168
Total liabilities		9			—			3,254			422		400				4,085
Total shareholders’ equity (deficit) / intercompany		(1,088	)		(1,256	)		(1,266	)		1,851		175		496		(1,088	)
Equity attributable to non-controlling interest in subsidiaries		—			—			—			—		19		—		19
Total equity (deficit)/intercompany		(1,088	)		(1,256	)		(1,266	)		1,851		194		496		(1,069	)
Total liabilities and equity	$	(1,079	)	$	(1,256	)	$	1,988		$	2,273	$	594	$	496	$	3,016

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED BALANCE SHEETS

As of December 31, 2013

(in $ millions)	Parent Guarantor			Intermediate Parent Guarantor			Issuer			Guarantor Subsidiaries		Non-Guarantor Subsidiaries		Eliminations		Travelport Consolidated
Assets
Current assets:
Cash and cash equivalents	$	—		$	—		$	25		$	51	$	78	$	—	$	154
Accounts receivable, net		—			—			—			51		126		—		177
Deferred income taxes		—			—			—			—		1		—		1
Other current assets		—			—			7			26		101		—		134
Total current assets		—			—			32			128		306		—		466
Investment in subsidiary/intercompany		(1,315	)		(1,426	)		1,991			—		—		750		—
Property and equipment, net		—			—			—			405		23		—		428
Goodwill		—			—			—			960		26		—		986
Trademarks and tradenames		—			—			—			313		1		—		314
Other intangible assets, net		—			—			—			577		94		—		671
Cash held as collateral		—			—			79			—		—		—		79
Investment in Orbitz Worldwide		—			19			—			—		—		—		19
Deferred income tax		—			—			—			—		5		—		5
Other non-current assets		—			—			48			35		37		—		120
Total assets	$	(1,315	)	$	(1,407	)	$	2,150		$	2,418	$	492	$	750	$	3,088
Liabilities and equity
Current liabilities:
Accounts payable	$	—		$	—		$	—		$	45	$	27	$	—	$	72
Accrued expenses and other current liabilities		15			1			104			124		296		—		540
Deferred income taxes		—			—			—			24		—		—		24
Current portion of long-term debt		—			—			16			29		—		—		45
Total current liabilities		15			1			120			222		323		—		681
Long-term debt		—			—			3,450			78		—		—		3,528
Deferred income taxes		—			—			—			14		4		—		18
Other non-current liabilities		—			—			6			113		53		—		172
Total liabilities		15			1			3,576			427		380		—		4,399
Total shareholders’ equity (deficit) / intercompany		(1,330	)		(1,408	)		(1,426	)		1,991		93		750		(1,330	)
Equity attributable to non-controlling interest in subsidiaries		—			—			—			—		19		—		19
Total equity (deficit)/ intercompany		(1,330	)		(1,408	)		(1,426	)		1,991		112		750		(1,311	)
Total liabilities and equity	$	(1,315	)	$	(1,407	)	$	2,150		$	2,418	$	492	$	750	$	3,088

Consolidating Condensed Statements of Cash Flows

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF CASH FLOWS

For the Six Months Ended June 30, 2014

(in $ millions)	Parent Guarantor			Intermediate Parent Guarantor			Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Travelport Consolidated
Operating activities
Net (loss) income	$	(25	)	$	(165	)	$	(217	)	$	(38	)	$	158		$	265		$	(22	)
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:
Depreciation and amortization		—			—			—			94			19			—			113
Amortization of customer loyalty payments		—			—			—			11			26			—			37
Gain on sale of shares of Orbitz Worldwide		—			(52	)		—			—			—			—			(52	)
Amortization of debt finance costs		—			—			6			—			—			—			6
Accrual of repayment fee and amortization of debt discount		—			—			5			—			—			—			5
Loss on early extinguishment of debt		—			—			14			—			—			—			14
Payment-in-kind interest		—			—			12			—			—			—			12
Share of losses in equity method investments		—			3			—			—			—			—			3
Equity-based compensation		9			—			—			—			—			—			9
Deferred income taxes		—			—			—			5			—			—			5
Pension liability contribution		—			—			—			(3	)		—			—			(3	)
Customer loyalty payments		—			—			—			(22	)		(23	)		—			(45	)
Changes in assets and liabilities:
Accounts receivable		—			—			—			9			(47	)		—			(38	)
Other current assets		(2	)		—			4			6			1			—			9
Accounts payable, accrued expenses and other current liabilities		6			1			12			(4	)		(37	)		—			(22	)
Other		—			—			7			13			(9	)		—			11
Net cash (used in) provided by operating activities		(12	)		(213	)		(157	)		71			88			265			42
Investing activities
Property and equipment additions		—			—			—			(52	)		(2	)		—			(54	)
Proceeds from sale of shares of Orbitz Worldwide		—			54			—			—			—			—			54
Purchase of non-controlling interest in a subsidiary		—			—			—			—			(65	)		—			(65	)
Business acquired		—			—			—			—			(10	)		—			(10	)
Purchase of equity method investment		—			—			—			—			(10	)		—			(10	)
Net intercompany funding		12			159			164			(50	)		(20	)		(265	)		—
Net cash provided by (used in) investing activities		12			213			164			(102	)		(107	)		(265	)		(85	)

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF CASH FLOWS

For the Six Months Ended June 30, 2014

(in $ millions)	Parent Guarantor		Intermediate Parent Guarantor		Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations		Travelport Consolidated
Financing activities
Proceeds from revolver borrowings		—		—		50			—			—			—		50
Repayment of revolver borrowings		—		—		(50	)		—			—			—		(50	)
Repayment of capital lease obligations		—		—		—			(15	)		—			—		(15	)
Release of cash provided as collateral		—		—		9			—			—			—		9
Repayment of term loans		—		—		(8	)		—			—			—		(8	)
Payment related to early extinguishment of debt		—		—		(3	)		—			—			—		(3	)
Other		—		—		(1	)		—			—			—		(1	)
Net cash used in financing activities		—		—		(3	)		(15	)		—			—		(18	)
Net increase (decrease) in cash and cash equivalents		—		—		4			(46	)		(19	)		—		(61	)
Cash and cash equivalents at beginning of period		—		—		25			51			78			—		154
Cash and cash equivalents at end of period		—		—	$	29		$	5		$	59			—	$	93

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF CASH FLOWS

For the Six Months Ended June 30, 2013

(in $ millions)	Parent Guarantor			Intermediate Parent Guarantor			Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries			Eliminations			Travelport Consolidated
Operating activities
Net (loss) income	$	(115	)	$	(196	)	$	(198	)	$	28		$	99		$	269		$	(113	)
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities:
Depreciation and amortization		—			—			—			74			27			—			101
Amortization of customer loyalty payments		—			—			—			8			21			—			29
Amortization of debt finance costs and debt discount		—			—			19			—			—			—			19
Accrual of repayment fee and amortization of debt discount		—			—			1			—			—			—			1
Loss on early extinguishment of debt		—			—			49			—			—			—			49
Payment-in-kind interest		—			—			9			—			—			—			9
Share of earnings in equity method investments		—			(2	)		—			—			—			—			(2	)
Equity-based compensation		2			—			—			—			—			—			2
Equity in losses (earnings) of subsidiaries		99			198			(28	)		—			—			(269	)		—
Customer loyalty payments		—			—			—			(8	)		(28	)		—			(36	)
Changes in assets and liabilities:
Accounts receivable		—			—			—			(25	)		(40	)		—			(65	)
Other current assets		—			—			—			7			(11	)		—			(4	)
Accounts payable, accrued expenses and other current liabilities		—			—			19			28			(56	)		—			(9	)
Other		—			—			21			21			(11	)		—			31
Net cash (used in) provided by operating activities		(14	)		—			(108	)		133			1			—			12
Investing activities
Property and equipment additions		—			—			—			(44	)		(2	)		—			(46	)
Other		—			—			—			(6	)		—			—			(6	)
Net intercompany funding		20			—			35			(75	)		20			—			—
Net cash provided by (used in) investing activities		20			—			35			(125	)		18			—			(52	)

TRAVELPORT LIMITED

CONSOLIDATING CONDENSED STATEMENTS OF CASH FLOWS

For the Six Months Ended June 30, 2013

(in $ millions)	Parent Guarantor			Intermediate Parent Guarantor		Issuer			Guarantor Subsidiaries			Non-Guarantor Subsidiaries		Eliminations		Travelport Consolidated
Financing activities
Proceeds from revolver borrowings		—			—		53			—			—		—		53
Repayment of revolver borrowings		—			—		(73	)		—			—		—		(73	)
Repayment of capital lease obligations		—			—		—			(8	)		—		—		(8	)
Release of cash provided as collateral		—			—		137			—			—		—		137
Repayment of term loans		—			—		(1,659	)		—			—		—		(1,659	)
Proceeds from new term loans		—			—		2,169			—			—		—		2,169
Repurchase of Senior Notes		—			—		(413	)		—			—		—		(413	)
Cash provided as collateral		—			—		(93	)		—			—		—		(93	)
Debt finance costs		—			—		(55	)		—			—		—		(55	)
Distribution to a parent company		(6	)		—		—			—			—		—		(6	)
Other		—			—		(4	)		—			—		—		(4	)
Net cash provided by (used in) financing activities		(6	)		—		62			(8	)		—		—		48
Effect of changes in exchange rates on cash and cash equivalents		—			—		—			(1	)		—		—		(1	)
Net (decrease) increase in cash and cash equivalents		—			—		(11	)		(1	)		19		—		7
Cash and cash equivalents at beginning of period		—			—		51			3			56		—		110
Cash and cash equivalents at end of period		—			—	$	40		$	2		$	75		—	$	117