Summary
Expedia, Inc. (EXPE) filed this Form 8-K on November 16, 2015, to disclose a change in its segment reporting structure, effective January 1, 2015. The company realigned its operations into four reportable segments: Core Online Travel Agencies (Core OTA), trivago, Egencia, and eLong. This change resulted in the disaggregation of the previously reported "Leisure" segment into three distinct segments to better reflect the unique market dynamics of eLong and trivago. This filing specifically recasts previously reported financial information for the three years ended December 31, 2014, to align with the new segment structure. It's important to note that this filing does not restate previously issued financial statements but rather provides updated segment disclosures. Investors should refer to subsequent Form 10-Q filings for developments after the 2014 Form 10-K, including the disposal of the eLong segment in May 2015.
Key Highlights
- 1Expedia has changed its segment reporting structure, effective January 1, 2015, from two segments (Leisure and Egencia) to four (Core OTA, trivago, Egencia, eLong).
- 2The "Leisure" segment has been disaggregated into Core OTA, trivago, and eLong to provide more granular insights into these distinct businesses.
- 3The primary purpose of this 8-K is to recast historical financial data for the three years ended December 31, 2014, according to the new segment reporting.
- 4This filing is an informational update and does not constitute a restatement of previously issued financial statements.
- 5The filing includes updated exhibits (99.1, 99.2, 99.3) that provide revised segment information from the 2014 Form 10-K.
- 6Subsequent events, such as the disposal of the eLong segment in May 2015, are not covered in this filing and should be sought in Form 10-Q filings.