SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) August 10, 2009
priceline.com Incorporated
(Exact name of registrant as specified in its charter)
Delaware |
| 0-25581 |
| 06-1528493 |
(State or other Jurisdiction of |
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800 Connecticut Avenue, Norwalk, Connecticut |
| 06854 | ||
(Address of principal office) |
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N/A | ||||
(Former name or former address, if changed since last report) | ||||
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 2.02. Results of Operations and Financial Conditions
On August 10, 2009, priceline.com announced its financial results for the 2nd quarter ended June 30, 2009. A copy of priceline.com’s consolidated balance sheet at June 30, 2009, consolidated statement of operations for the three and six months ended June 30, 2009 and consolidated statement of cash flows for the three months ended June 30, 2009 are included in the financial and statistical supplement attached to the press release attached as Exhibit 99.1 to this Current Report on Form 8-K. The consolidated balance sheet at June 30, 2009, consolidated statement of operations for the three and six months ended June 30, 2009 and consolidated statement of cash flows for the three months ended June 30, 2009 shall be treated as “filed” for purposes of the Securities Exchange Act of 1934, as amended.
Item 7.01. Regulation FD Disclosure
On August 10, 2009, priceline.com announced its financial results for the 2nd quarter ended June 30, 2009. A copy of priceline.com’s press release announcing these financial results is attached as Exhibit 99.1 to this Current Report on Form 8-K.
The company noted that average daily rates for hotel room night reservations had decreased year-over-year during the 2nd quarter 2009 approximately 9% internationally and approximately 11% domestically. The company also noted that the year-over-year growth in domestic hotel room night reservations had accelerated in the 2nd quarter 2009 compared to the 1st quarter 2009, and that total hotel room night reservations had accelerated in the 2nd half of the 2nd quarter compared to the 1st half.
With respect to 3rd quarter 2009 guidance, the company announced that it expected consolidated advertising expenses of approximately $122 to $125 million in the 3rd quarter 2009 and expected approximately 94% of that amount to be spent “on-line.” Priceline.com estimated that sales and marketing expenses in the 3rd quarter 2009 would be between $24.5 and $25.5 million. Priceline.com stated that it estimated that personnel costs, excluding stock-based compensation expense, would be approximately $41.5 to $42.5 million in the 3rd quarter 2009. With respect to 3rd quarter 2009, priceline.com stated it estimated that general and administrative expenses would be approximately $16.5 to $17.5 million, information technology expenses would be approximately $5.5 million, and depreciation and amortization expenses, excluding acquisition related amortization, would be approximately $4 million. Priceline.com said it expected expenses of approximately $1.7 million in the 3rd quarter 2009 primarily associated with foreign exchange hedging expense and net interest expense. Priceline.com estimated that it would have cash income tax expense of approximately $36 million to $39 million in the 3rd quarter 2009 comprised of additional income taxes in Europe and alternative minimum tax in the United States.
The company noted that its forecast for the remainder of the 3rd quarter 2009 assumed, among other things, that the Euro/U.S. Dollar exchange rate would be 1.42 U.S. dollars per Euro, that the British Pound/U.S. Dollar exchange rate would be 1.67 U.S. Dollars per British Pound and that the rate of decline in hotel average daily rates would be flat to slightly improved. Priceline.com said it was forecasting international hotel room night reservations growth in the 3rd quarter 2009 that was similar to the percentage growth rate in the 2nd quarter 2009. The company noted that its “pro forma” financial guidance was based upon a “pro forma” diluted share count of approximately 50 million shares (which includes a calculation of the assumed economic dilutive impact of the company’s outstanding convertible notes and stock options, net of the favorable economic impact of the hedges associated with the company’s outstanding convertible notes), which is based on the company’s August 7, 2009 closing stock price of $131.32 per share.
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The company noted that the worldwide recession continued to add a great deal of uncertainty to the company’s forecast and that, as a result, there was greater potential variability to the company’s forecast that there had been in the past.
This Form 8-K contains forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict; therefore, actual results may differ materially from those expressed, implied or forecasted in any such forward-looking statements. Expressions of future goals and similar expressions including, without limitation, “goal,” “believe(s),” “intend,” “expect(s),” “will,” “may,” “should,” “could,” “plan(s),” “anticipate(s),” “estimate(s),” “predict(s),” “potential,” “target(s),” or “continue,” reflecting something other than historical fact are intended to identify forward-looking statements. For a detailed discussion of the factors that could cause the company’s actual results to differ materially from those described in the forward-looking statements, please refer to the company’s most recent Form 10-Q, Form 10-K and Form 8-K filings with the Securities and Exchange Commission. Unless required by law, the company undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.
Item 9.01. Financial Statements and Exhibits
(d) Exhibits
99.1 | Press release (which includes a financial and statistical supplement and related information) issued by priceline.com Incorporated on August 10, 2009 relating to, among other things, its 2nd quarter ended June 30, 2009 earnings. The consolidated balance sheet at June 30, 2009 and consolidated statement of operations for the three and six months ended June 30, 2009 and consolidated statement of cash flows for the three and six months ended June 30, 2009 shall be treated as “filed” for the purposes of the Securities and Exchange Act of 1934, as amended, and the remaining information shall be treated as “furnished.” |
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| PRICELINE.COM INCORPORATED | |
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| By: | /s/ Daniel J. Finnegan |
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| Name: Daniel J. Finnegan. |
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| Title: Chief Financial Officer |
Date: August 10, 2009
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EXHIBIT INDEX
Exhibit No. |
| Description |
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99.1 |
| Press release (which includes a financial and statistical supplement and related information) issued by priceline.com Incorporated on August 10, 2009 relating to, among other things, its 2nd quarter ended June 30, 2009 earnings. The consolidated balance sheet at June 30, 2009 and consolidated statement of operations for the three and six months ended June 30, 2009 and consolidated statement of cash flows for the three and six months ended June 30, 2009 shall be treated as “filed” for the purposes of the Securities and Exchange Act of 1934, as amended, and the remaining information shall be treated as “furnished.” |
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