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Quarterly report pursuant to Section 13 or 15(d)

Investments In Affiliates Accounted For Using The Equity Method

v2.3.0.15
Investments In Affiliates Accounted For Using The Equity Method
9 Months Ended
Sep. 30, 2011
Investments In Affiliates Accounted For Using The Equity Method Ìý
Investments In Affiliates Accounted For Using The Equity Method
Investments in Affiliates Accounted for Using the Equity Method
Liberty has various investments accounted for using the equity method. The following table includes Liberty's carrying amount and percentage ownership of the more significant investments in affiliates at SeptemberÌý30, 2011 and the carrying amount at DecemberÌý31, 2010:
Ìý
SeptemberÌý30, 2011
Ìý
DecemberÌý31,
2010

Ìý
Percentage
ownership
Ìý
Market
value
Ìý
Carrying
amount
Ìý
Carrying
amount
Ìý
Ìý
Ìý
dollars in millions
Expedia
25
%
Ìý
$
1,782

Ìý
$
795

Ìý
710

Other
various

Ìý
N/A

Ìý
271

Ìý
239

Ìý
Ìý

Ìý
Ìý

Ìý
$
1,066

Ìý
949


The following table presents Liberty's share of earnings (losses) of affiliates:

Ìý
Three months
ended
Ìý
Nine months
ended
Ìý
SeptemberÌý30,
Ìý
SeptemberÌý30,
Ìý
2011
Ìý
2010
Ìý
2011
Ìý
2010
Ìý
amounts in millions
Expedia
$
56

Ìý
43

Ìý
104

Ìý
85

Other
6

Ìý
(7
)
Ìý
15

Ìý
8

Ìý
$
62

Ìý
36

Ìý
119

Ìý
93



Expedia
Summarized unaudited financial information for Expedia is as follows:
Expedia Consolidated Balance Sheets
Ìý
SeptemberÌý30,
2011

Ìý
DecemberÌý31,
2010

Ìý
amounts in millions
Current assets
$
2,598

Ìý
1,702

Property and equipment, net
341

Ìý
277

Goodwill
3,653

Ìý
3,642

Intangible assets
779

Ìý
798

Other assets
306

Ìý
232

Total assets
$
7,677

Ìý
6,651

Current liabilities
$
2,616

Ìý
1,889

Deferred income taxes
258

Ìý
248

Long-term debt
1,645

Ìý
1,645

Other liabilities
120

Ìý
132

Noncontrolling interest
140

Ìý
64

Equity
2,898

Ìý
2,673

Total liabilities and equity
$
7,677

Ìý
6,651



Expedia Consolidated Statements of Operations
Ìý
Nine months
ended
Ìý
SeptemberÌý30,
Ìý
2011
Ìý
2010
Ìý
amounts in millions
Revenue
$
2,987

Ìý
2,540

Cost of revenue
(586
)
Ìý
(517
)
Gross profit
2,401

Ìý
2,023

Selling, general and administrative expenses
(1,745
)
Ìý
(1,415
)
Amortization
(23
)
Ìý
(25
)
Restructuring charges and other
(8
)
Ìý
—

Operating income
625

Ìý
583

Interest expense
(95
)
Ìý
(68
)
Other income (expense), net
12

Ìý
(9
)
Income tax (expense) benefit
(138
)
Ìý
(152
)
Net earnings (loss)
404

Ìý
354

Less net earnings (loss) attributable to noncontrolling interests
(2
)
Ìý
(4
)
Net earnings (loss) attributable to Expedia,ÌýInc.Ìý
$
402

Ìý
350