Booking (BKNG) 8-K Other events

Exhibit 99.1

priceline.com Incorporated

CONSOLIDATED BALANCE SHEETS

(In thousands, except per share data)

	June 30, 2004			December 31, 2003
	(unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	156,306		$	93,732
Restricted cash	23,502			22,485
Short-term investments	206,360			151,736
Accounts receivable, net of allowance for doubtful accounts of $1,038 and $794 at June 30, 2004 and December 31, 2003, respectively	23,733			10,782
Prepaid expenses and other current assets	6,156			4,778
Total current assets	416,057			283,513
Property and equipment, net	15,474			16,524
Intangible assets, net	13,570			7,053
Goodwill	32,837			8,779
Other assets	16,674			21,915
Total assets	$	494,612		$	337,784
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	49,380		$	25,061
Accrued expenses	22,680			21,031
Deferred merchant bookings	8,867			—
Other current liabilities	3,340			3,522
Total current liabilities	84,267			49,614
Other long-term liabilities	1,763			1,069
Minority interest	691			—
Long-term debt	223,348			124,524
Total liabilities	310,069			175,207
SERIES B MANDATORILY REDEEMABLE  PREFERRED STOCK	13,470			13,470
Stockholders’ equity
Common stock	315			306
Treasury stock	(350,628		)	(350,628		)
Additional paid-in capital	2,062,613			2,055,607
Deferred compensation	(1,516		)	(1,408		)
Accumulated deficit	(1,539,712		)	(1,555,444		)
Accumulated other comprehensive income	1			674
Total stockholders’ equity	171,073			149,107
Total liabilities and stockholders’ equity	$	494,612		$	337,784

priceline.com Incorporated

CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands, except per share data, unaudited)

	Three Months Ended					Six Months Ended
	June 30, 2004			June 30, 2003		June 30, 2004			June 30, 2003
Merchant revenues	$	249,860		$	236,943	$	466,871		$	435,551
Agency revenues	8,747			1,476		15,195			2,481
Other revenues	782			1,147		1,454			2,021
Total revenues	259,389			239,566		483,520			440,053
Cost of merchant revenues	205,610			199,072		386,367			366,572
Cost of agency revenues	—			—		—			—
Cost of other revenues	—			—		—			—
Total costs of revenues	205,610			199,072		386,367			366,572
Gross profit	53,779			40,494		97,153			73,481
Operating expenses:
Advertising	16,366			10,774		31,771			21,872
Sales and marketing	9,096			7,790		15,802			14,653
Personnel	7,783			7,546		16,018			15,059
General and administrative, including option payroll taxes	4,454			2,744		7,963			5,563
Information technology	2,455			2,604		4,969			4,971
Depreciation and amortization	2,565			2,787		4,785			6,699
Stock based compensation	112			70		218			70
Restructuring charge/(reversal)	(12		)	—		(12		)	—
Warrant costs	—			—		—			6,638
Total operating expenses	42,819			34,315		81,514			75,525
Operating income (loss)	10,960			6,179		15,639			(2,044		)
Other income:
Interest income	1,029			405		2,139			897
Interest expense	(566		)	—		(1,132		)	—
Equity in income (loss) of investees, net	(35		)	1,105		(161		)	1,105
Other	13			—		19			—
Total other income	441			1,510		865			2,002
Net income (loss)	11,401			7,689		16,504			(42		)
Preferred stock dividend	—			—		(772		)	(297		)
Net income (loss) applicable to common stockholders	$	11,401		$	7,689	$	15,732		$	(339	)
Net income (loss) applicable to common stockholders per basic common share	$	0.30		$	0.20	$	0.42		$	(0.01	)
Weighted average number of basic common shares outstanding	38,076			37,635		37,822			37,556
Net income (loss) applicable to common stockholders per diluted common share	$	0.29		$	0.20	$	0.41		$	(0.01	)
Weighted average number of diluted common shares outstanding	39,932			39,284		38,778			37,556