Travelport Limited, a leading provider of critical transaction processing for the global travel industry, today announces its financial results for the second quarter ended June 30, 2011.

Financial Summary for Second Quarter 2011:
($ in millions)
*  Net Revenue – Q2 2011: $530 (2010: $520)
*  Operating Income – Q2 2011: $66 (2010: $82)
*  Adjusted EBITDA – Q2 2011: $136 (2010: $153)

Financial Summary for First Half 2011:
($ in millions)
*  Net Revenue – H1 2011: $1,061 (2010: $1,056)
*  Operating Income – H1 2011: $145 (2010: $154)
*  Adjusted EBITDA – H1 2011: $283 (2010: $295)
*  Net cash provided by operating activities of continuing operations – H1 2011: $98 (2010: $106)

Operational Highlights:
*  Announced numerous supplier agreements
*  Grew Low Cost Carrier segments
*  Further developed our product and service offering
*  Completed the sale of GTA

Post Quarter End Highlights:
*  Launched Travelport Rooms and More

Commenting on the performance for the First Half 2011, Gordon Wilson, President and CEO of Travelport, said:
“I am pleased to report a first half performance in line with management expectations, which was achieved despite the impact of extraneous global events in the earlier part of the year. 

“We continue to make significant progress on our business objectives and look forward confidently to the remainder of the year, with the knowledge that we have further developments to unveil over the coming months.”

Travelport’s main business is its global distribution system (GDS), which includes the Worldspan and Galileo brands and the Company’s Airline IT Solutions business.

Travelport’s Net Revenue of $530 million for the second quarter of 2011 represented a $10 million increase compared to the corresponding period in the prior year. Operating Income and EBITDA were $66 million and $123 million, respectively, for the second quarter of 2011, with a decrease of 20% in Operating Income and a decrease of 10% in EBITDA compared to 2010. Adjusted EBITDA was $136 million for the second quarter of 2011, an 11% decrease compared to 2010. Net Revenue was $10 million higher than last year as a result of a $6 million increase in transaction processing revenue due to increases in Europe and Asia Pacific, partially offset by decreases in the Americas and the Middle East and Africa. Airline IT Solutions revenue increased by $4 million to $54 million. Operating Income declined $16 million (20%) and Adjusted EBITDA declined $17 million (11%) due to an increase in cost of revenue, partially offset by a reduction in selling, general and administrative costs.
Second quarter 2011 interest costs of $72 million were $9 million higher than 2010 due to higher interest rates arising from amendments made to our senior secured credit agreement in the fourth quarter of 2010 partially offset by a reduction as a result of the early repayment in May 2011 of $655 million in term loans following the sale of GTA.

Travelport’s Net Revenue of $1,061 million for the first half of 2011 represented a $5 million increase compared to the corresponding period in the prior year. Operating Income and EBITDA were $145 million and $258 million, respectively, for the first half of 2011, with a decrease of 6% in Operating Income and an increase of 1% in EBITDA compared to 2010. Adjusted EBITDA was $283 million for the first half of 2011, a 4% decrease compared to 2010. Net Revenue increased compared to last year due to $5 million incremental Airline IT Solutions revenue.

Transaction processing revenue remained flat compared to the prior year, with an increase in transaction processing revenue in Europe and Asia Pacific offset by decreases in the Americas and the Middle East and Africa. Operating Income declined $9 million (6%) due to an increase in cost of revenue, partially offset by a reduction in selling, general and administrative costs.

Interest costs of $149 million were $20 million higher for the first half of 2011 than for 2010 due to higher interest rates arising from amendments made to our senior secured credit agreement in the fourth quarter of 2010 partially offset by a reduction as a result of the early repayment of $655 million in term loans following the sale of GTA.

During the six months ended June 30, 2011, Travelport generated $98 million in net cash provided by operating activities of continuing operations, an $8 million decrease from 2010, resulting from higher cash interest paid and improved operating working capital.

On May 5, 2011, Travelport completed the sale of its Gullivers Travel Associates (“GTA”) business to Kuoni Travel Holdings Limited (“Kuoni”).  Proceeds from the sale, together with existing cash, were used to repay $655 million of indebtedness outstanding under our senior secured credit agreement. As a result, Travelport’s net debt was reduced to $2,816 million as of June 30, 2011, which comprised debt of $3,241 million less $288 million in cash and cash equivalents and less $137 million of restricted cash provided as collateral.
Conference Call/Webcast

The Company’s second quarter 2011 earnings conference call will be accessible to the media and general public via live Internet webcast on Thursday, August 4, 2011, beginning at 1100hrs (EDT) and through a limited number of dial-in conference lines. The webcast and conference call details are available through the Investor Center section of the Company’s website (www.travelport.com/investor.aspx), where pre-registration for the event is required.