Delaware 20-2705720 (State or Other Jurisdiction of (I.R.S. Employer Incorporation or Organization) Identification No.)

Expedia Group, Inc.
10-K
02/08/2019
EXPEDIA GROUP, INC.
Delaware 20-2705720
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
____________________________
Created by Morningstar Document Research.
http://documentresearch.morningstar.com/
Expedia Group, Inc.
10-K
02/08/2019
Securities registered pursuant to Section 12(b) of the Act:
Title of each class: Name of each exchange on which registered:

Common stock, $0.0001 par value The Nasdaq Global Select Market
Expedia Group, Inc. 2.500% Senior Notes New York Stock Exchange
due 2022
____________________________
Expedia Group, Inc.
10-K
02/08/2019
None
Large accelerated filer ? Accelerated filer ?

Non-accelerated filer ? Smaller reporting company ?
Emerging growth company ?
____________________________
Expedia Group, Inc.
10-K
02/08/2019
None
Class Outstanding Shares at January 25, 2019

were approximately,
Common stock, $0.0001 par value per share 134,390,305 shares
Class B common stock, $0.0001 par value 12,799,999 shares
per share
____________________________
Expedia Group, Inc.
10-K
02/08/2019
Contents
Part I
Item 1 Business 1
Item 1A Risk Factors 10
Item 1B Unresolved Staff Comments 26
Item 2 Properties 27
Item 3 Legal Proceedings 27
Item 4 Mine Safety Disclosures 33
Part II
Item 5 Market for Registrant?s Common Equity, 34
Related Stockholder Matters and Issuer
Purchases of Equity Securities
Item 6 Selected Financial Data 36
Item 7 Management?s Discussion and Analysis 36
of Financial Condition and Results of Operations
Item 7A Quantitative and Qualitative Disclosures 56
About Market Risk
Item 8 Consolidated Financial Statements and 58
Supplementary Data
Item 9 Changes in and Disagreements with Accountants 58
on Accounting and Financial Disclosure
Item 9A Controls and Procedures 58
Item 9B Other Information 60
Part III
Item 10 Directors, Executive Officers and Corporate 60
Governance
Item 11 Executive Compensation 60
Item 12 Security Ownership of Certain Beneficial 60
Owners and Management and Related Stockholder
Matters
Item 13 Certain Relationships and Related Transactions, 60
and Director Independence
Item 14 Principal Accountant Fees and Services 60
Part IV
Item 15 Exhibits, Consolidated Financial Statements 60
and Financial Statement Schedules
Item 16 Form 10-K Summary 65
Signatures 66
____________________________
Expedia Group, Inc.
10-K
02/08/2019
Dividend Policy
Declaration Date Dividend

Per Share
Year ended December 31, 2018:
February 7, 2018 $0.30
April 24, 2018 0.30
July 23, 2018 0.32
October 19, 2018 0.32
February 7, 2017 $0.28
April 26, 2017 0.28
July 26, 2017 0.30
October 25, 2017 0.30
____________________________
Record Date Total Amount Payment Date
(in millions)
March 8, 2018 $46 March 28, 2018

May 24, 2018 45 June 14, 2018
August 23, 2018 47 September 13, 2018
November 15, 2018 48 December 6, 2018
March 9, 2017 $42 March 30, 2017

May 25, 2017 43 June 15, 2017
Expedia Group, Inc.
10-K
02/08/2019
Issuer Purchases of Equity Securities
Period Total Number of Average Price Total Number of

Shares Purchased Paid Per Share Shares
Purchased as
Part of Publicly
Announced
Plans or
Programs
(In thousands, except per share data)
October 1-31, 2018 252 $129.35 252
November 1-30, 2018 1,128 119.41 1,128
December 1-31, 2018 1,145 117.46 1,145
Total 2,525 2,525
____________________________
tal Number of Maximum
ares Number of
rchased as Shares that
rt of Publicly May Yet Be
nounced Purchased
ans or Under Plans or
ograms Programs
14,496
13,368
12,223
Expedia Group, Inc.
10-K
02/08/2019
Income Statement
Year Ended December 31,

7/10/1905 7/9/190
(in millions, except per share data)
Consolidated Statements of Operations
Data:
Revenue $11,223 $10,060
Operating income 714 625
Net income attributable to Expedia Group, 406 378
Inc. (1)
Earnings per share attributable to Expedia
Group, Inc. available to common stockholders:
Basic $2.71 $2.49
Diluted 2.65 2.42
Shares used in computing earnings per share:
Basic 149,961 151,619
Diluted 152,889 156,385
Dividends declared per common share $1.24 $1.16
December 31,
7/10/1905 7/9/190
Consolidated Balance Sheet Data:
Working deficit ($2,863) ($2,339)
Total assets 18,033 18,516
Senior notes debt (2) 3,717 4,249
Non-redeemable non-controlling interest (3) 1,547 1,606
Total stockholders? equity 5,651 6,129
____________________________
7/9/1905 7/8/1905 7/7/1905 7/6/190
$8,774 $6,672 $5,763

462 414 518
282 764 398
$1.87 $5.87 $3.09

1.82 5.70 2.99
150,367 130,159 128,912

154,517 134,018 133,168
$1.00 $0.84 $0.66
7/9/1905 7/8/1905 7/7/1905 7/6/190
($2,677) ($2,950) ($1,263)

15,778 15,486 9,012
3,159 3,183 1,739
1,561 65 109
5,693 4,930 1,894
7/6/1905
7/6/1905
Expedia Group, Inc.
10-K
02/08/2019
Gross Bookings and Revenue Margin
Year ended December 31,

7/10/1905 7/9/1905 7/8/1905
($ in millions)
Gross Bookings
Core OTA $80,320 $72,701 $66,063
trivago (1) - - -
HomeAway 11,449 8,746 5,980
Egencia 7,958 6,963 6,368
Total gross bookings $99,727 $88,410 $78,411
Revenue Margin
Core OTA 10.90 % 10.80 % 10.70 %
trivago (1) N/A N/A N/A
HomeAway 10.20 % 10.40 % 11.50 %
Egencia 7.60 % 7.50 % 7.30 %
Total revenue margin 11.30 % 11.40 % 11.20 %
____________________________
% Change
2018 vs 2017 vs
10 % 10 %
N/A N/A
31 % 46 %
14 % 9 %
13 % 13 %
Expedia Group, Inc.
10-K
02/08/2019
Revenue

7/10/1905 7/9/1905
($ in millions)
Revenue by Segment
Core OTA $8,760 $7,881
trivago (Third-party revenue) 691 752
HomeAway 1,171 906
Egencia 601 521
Total revenue $11,223 $10,060
____________________________
% Change
7/8/1905 2018 vs 2017 vs
$7,084 11 % 11 %
539 (8) % 40 %
689 29 % 32 %
462 16 % 13 %
$8,774 12 % 15 %
Expedia Group, Inc.
10-K
02/08/2019
Revenue

7/10/1905 7/9/1905
($ in millions)
Revenue by Service Type
Lodging $7,712 $6,851
Air 881 784
Advertising and media (1) 1,092 1,073
Other 1,538 1,352
____________________________
% Change
7/8/1905 2018 vs 2017 vs
$6,021 13 % 14 %
778 12 % 1 %
807 2 % 33 %
1,168 14 % 16 %
$8,774 12 % 15 %
Expedia Group, Inc.
10-K
02/08/2019
Revenue

7/10/1905 7/9/1905
($ in millions)
Revenue by Business Model
Merchant $5,950 $5,394
Agency 3,010 2,687
Advertising and media 1,092 1,073
HomeAway 1,171 906
____________________________
% Change
7/8/1905 2018 vs 2017 vs
$4,853 10 % 11 %
2,425 12 % 11 %
807 2 % 33 %
689 29 % 32 %
$8,774 12 % 15 %
Expedia Group, Inc.
10-K
02/08/2019
Cost of Revenue

7/10/1905 7/9/1905 7/8/1905
($ in millions)
Customer operations $874 $767 $727
Credit card processing 508 506 508
Data center, cloud and other 583 484 362
Total cost of revenue $1,965 $1,757 $1,597
% of revenue 17.50 % 17.50 % 18.20
____________________________
% Change
7/8/1905 2018 vs 2017 vs
$727 14 % 5 %
508 - % - %
362 21 % 34 %
$1,597 12 % 10 %
18.20 %
Expedia Group, Inc.
10-K
02/08/2019
Selling and Marketing

7/10/1905 7/9/1905 7/8/1905
($ in millions)
Direct costs $4,670 $4,360 $3,530
Indirect costs 1,097 938 837
Total selling and marketing $5,767 $5,298 $4,367
% of revenue 51.40 % 52.70 % 49.80
____________________________
% Change
/8/1905 2018 vs 2017 vs
7 % 24 %
17 % 12 %
9 % 21 %
%
Expedia Group, Inc.
10-K
02/08/2019
Technology and Content

7/10/1905 7/9/1905
($ in millions)
Personnel and overhead $796 $667
Depreciation and amortization of technology 495 445
assets
Other 326 275
Total technology and content $1,617 $1,387
% of revenue 14.40 % 13.80 %
____________________________
% Change
7/8/1905 2018 vs 2017 vs
$600 19 % 11 %
362 11 % 23 %
273 18 % 1 %
$1,235 17 % 12 %
14.10 %
Expedia Group, Inc.
10-K
02/08/2019
General and Administrative

7/10/1905 7/9/1905 7/8/190
($ in millions)
Personnel and overhead $520 $453 $411
Professional fees and other 288 223 267
Total general and administrative $808 $676 $678
% of revenue 7.20 % 6.70 % 7.70
____________________________
% Change
7/8/1905 2018 vs 2017 vs
$411 15 % 10 %
267 29 % (17) %
$678 20 % - %
7.70 %
Expedia Group, Inc.
10-K
02/08/2019
Amortization and Impairment of Intangible Assets

7/10/1905 7/9/1905
($ in millions)
Amortization of intangible assets $283 $275
Impairment of intangible assets 42 -
____________________________
% Change
7/8/1905 2018 vs 2017 vs 2
$317 3 % (13) %
35 N/A N/A
Expedia Group, Inc.
10-K
02/08/2019
Legal Reserves, Occupancy Tax and Other

7/10/1905 7/9/1905
($ in millions)
Legal reserves, occupancy tax and other ($59) $25
____________________________
% Change
7/9/1905 7/8/1905 2018 vs 2017 2017 vs
$27 N/A (4) %

Expedia Group, Inc.
10-K
02/08/2019
Operating Income

7/10/1905 7/9/1905 7/8/1905
($ in millions)
Operating income $714 $625 $462
% of revenue 6.40 % 6.20 % 5.30 %
____________________________
% Change
2018 vs 2017 vs
14 % 35 %
Expedia Group, Inc.
10-K
02/08/2019
Adjusted EBITDA by Segment

7/10/1905 7/9/1905
($ in millions)
Core OTA $2,305 $2,057
trivago 16 5
HomeAway 288 202
Egencia 107 95
Unallocated overhead costs (Corporate) (746) (646)
Total Adjusted EBITDA (1) $1,970 $1,713
____________________________
% Change
7/8/1905 2018 vs 2017 vs
$1,956 12 % 5 %
35 186 % (84) %
175 43 % 15 %
81 13 % 18 %
(631) (15) % (3) %
$1,616 15 % 6 %
Expedia Group, Inc.
10-K
02/08/2019
Interest Income and Expense

7/10/1905 7/9/1905 7/8/1
($ in millions)
Interest income $71 $34 $20
Interest expense (190) (182) (173)
____________________________
% Change
7/8/1905 2018 vs 2 2017 vs
$20 108 % 73 %
(173) 5 % 5 %
Expedia Group, Inc.
10-K
02/08/2019
Other, Net

7/10/1905 7/9/1905
(In millions)
Foreign exchange rate gains (losses), $3 ($46)
net
Losses on minority equity investments, (111) (14)
net
Other (2) -
Total other, net ($110) ($60)
____________________________
7/8/1905
($15)
(12)
(5)
($32)
Expedia Group, Inc.
10-K
02/08/2019
Provision for Income Taxes

7/10/1905 7/9/1905 7/8/1905
($ in millions)
Provision for income taxes $87 $45 $16
Effective tax rate 18.10 % 10.90 % 5.50
____________________________
% Change
/8/1905 2018 vs 2017 vs 2
94 % 196 %
%
Expedia Group, Inc.
10-K
02/08/2019
Definition and Reconciliation of Adjusted EBITDA

7/10/1905 7/9/1905
(In millions)
Net income attributable to Expedia Group, $406 $378
Inc.
Net loss attributable to non-controlling (8) (6)
interests
Provision for income taxes 87 45
Total other expense, net 229 208
Gain (loss) on revenue hedges related to 25 8
revenue recognized
Restructuring and related reorganization - 17
charges, excluding stock-based compensation
Legal reserves, occupancy tax and other (59) 25
Stock-based compensation 203 149
Amortization of intangible assets 283 275
Impairment of goodwill 86 -
Depreciation 676 614
Adjusted EBITDA $1,970 $1,713
____________________________
7/9/1905 7/8/1905
$282
(21)
16
185
462
13
43
27
242
317
-
35
477
$1,616
Expedia Group, Inc.
10-K
02/08/2019
Financial Position, Liquidity and Capital Resources

7/10/1905 7/9/1905
(In millions)
Cash provided by (used in) operations:
Operating activities $1,975 $1,845
Investing activities (559) (1,581)
Financing activities (1,489) 688
Effect of foreign exchange rate changes (139) 147
on cash and cash equivalents
____________________________
$ Change
7/9/1905 7/8/1905 2018 vs 2017 2017 vs 2016
$1,549 $130 $296

(718) 1,022 (863)
(691) (2,177) 1,379
(35) (286) 182
6
Expedia Group, Inc.
10-K
02/08/2019
Financial Position, Liquidity and Capital Resources

7/10/1905 7/9/1905
Number of shares repurchased 7.7 million 2.3 million
Average price per share $117.02 $127.04
Total cost of repurchases (in millions) (1) $903 $294
____________________________
7/9/1905 7/8/1905
4.0 million
$109.64
$436
Expedia Group, Inc.
10-K
02/08/2019
Contractual Obligations and Commercial Commitments
By Period
Total Less than
1 year
(In millions)
Senior notes debt (1) $4,723 $161
Property leases (2) 919 156
Purchase obligations (3) 683 352
Guarantees (4) 59 59
Letters of credit (4) 28 13
Total (5) $6,412 $741
____________________________
1 to 3 years 3 to 5 years More than
5 years
$1,028 $959 $2,575

235 167 361
266 65 -
- - -
11 - 4
$1,540 $1,191 $2,940
Expedia Group, Inc.
10-K
02/08/2019
Exhibits
Exhibit Filed Incorporated

No. Exhibit Description Herewith Form
1.10 Underwriting Agreement, dated Expedia, 8-K
Inc., as Issuer, the Guarantors party thereto,
and BNP Paribas, Goldman, Sachs & Co., J.P.
____________________________
Exhibit 4.6)
Incorporated by Reference
SEC File No. Exhibit Filing Date
000-51447 1.10 6/3/2015
Expedia Group, Inc.
10-K
02/08/2019
Exhibits
2.10 Share Purchase Agreement, dated as of December 21,

2012, by and among Expedia, Inc., trivago
GmbH, a wholly owned subsidiary of Expedia
and the shareholders of trivago GmbH party
thereto.
2.20 Shareholders Agreement, dated as of December 21,
2012 by and among trivago GmbH, Expedia,
Inc., a wholly owned subsidiary of Expedia
and certain shareholders of trivago GmbH.
2.30 Purchase and Sale Agreement (Cruise),
dated March 10, 2015, by and between Immunex
Corporation and Cruise, LLC
2.40 First Amendment to Purchase and Sale, dated
March 25, 2015, by and between Immunex Corporation
and Cruise, LLC
2.50 Share Purchase Agreement, dated May 22,
2015, by and among Expedia, Inc., Expedia
Asia Pacific - Alpha Limited, Ctrip.com
International, Ltd., C-Travel International
Limited, Luxuriant Holdings Limited,
Keystone Lodging Holdings Limited and
Plateno Group Limited
3.10 Restated Certificate of Incorporation
of Expedia Group, Inc.
3.20 Expedia Group, Inc. General By-Laws Amended
and Restated as of March 26, 2018
4.10 Indenture, dated as of August 5, 2010, among
Expedia, Inc., as Issuer, the Subsidiary
Guarantors from time to time parties thereto
and The Bank of New York Mellon Trust Company,
N.A., as Trustee, governing Expedia, Inc.?s
5.95% Senior Notes due 2020
4.20 Ninth Supplemental Indenture, dated as
of September 30, 2016, among Expedia, Inc.,
as Issuer, the Subsidiary Guarantors party
thereto and The Bank of New York Mellon Trust
Company, N.A., as Trustee
4.30 Indenture, dated as of August 13, 2014,
among Expedia, Inc., as Issuer, the Subsidiary
and The Bank of New York Mellon Trust Company,
N.A., as Trustee
4.40 First Supplemental Indenture, dated as
of August 18, 2014, among Expedia, Inc.,
the Subsidiary Guarantors party thereto
and The Bank of New York Trust Company, N.A.,
as Trustee, governing Expedia, Inc.?s
4.50 Fourth Supplemental Indenture, dated
as of June 3, 2015, among Expedia, Inc.,
as Issuer, the Subsidiary Guarantors party
thereto and The Bank of New York Mellon Trust Company,
N.A., as Trustee, governing Expedia, Inc.?s
4.60 Indenture, dated as of December 8, 2015,
among Expedia, Inc., as Issuer, the Subsidiary
____________________________
8-K 000-51447 2.10 12/21/2012
8-K 000-51447 2.20 12/21/2012
8-K 000-51447 10.10 4/2/2015
8-K 000-51447 10.20 4/2/2015
8-K 000-51447 2.10 5/22/2015
8-K 000-51447 3.20 3/27/2018
8-K 000-51447 3.30 3/27/2018
8-K 000-51447 4.10 8/10/2010
8-K 001-37429 4.10 10/3/2016
8-K 000-51447 4.10 8/18/2014
8-K 000-51447 4.20 8/18/2014

8-K 000-51447 4.20 6/3/2015
8-K 001-37429 4.10 12/8/2015

Expedia Group, Inc.
10-K
02/08/2019
Exhibits
4.70 Indenture, dated as of September 21, 2017,

among Expedia, Inc., the guarantors party
thereto and U.S. Bank National Association
10.10 Amended and Restated Governance Agreement
among Expedia, Inc., Liberty Interactive
Corporation and Barry Diller, dated as
of December 20, 2011
10.20 Assignment and Assumption of Governance
Agreement, among Liberty Expedia holdings,
Inc., LEXE Marginco, LLC, LEXEB, LLC, Liberty
Interactive Corporation, Barry Diller
and Expedia, Inc., dated as of November
4, 2016
10.30 Amended and Restated Stockholders Agreement
between Liberty Interactive Corporation
and Barry Diller, dated as of December 20,
7/3/1905
10.40 Assignment and Assumption of Stockholders
Agreement, by and among Liberty Expedia
Holdings, Inc., Liberty Interactive Corporation
and Barry Diller, dated November 4, 2016
10.50 Amendment No. 1 to Stockholders Agreement,
by and between Liberty Expedia Holdings,
Inc. and Barry Diller, dated November 4,
7/8/1905
10.60 Letter Agreement, dated as of March 6, 2018,
by and among Liberty Expedia Holdings,
Inc., Liberty Interactive Corporation,
Barry Diller, John C. Malone and Leslie
Malone.
10.70 Amended and Restated Transaction Agreement,
by and among Liberty Interactive Corporation,
Liberty Expedia Holdings, Inc., Barry
Diller, John C. Malone and Leslie Malone,
dated as of September 22, 2016
10.80 Assignment Agreement, by and between Barry
Diller and Liberty Expedia Holdings, Inc.,
dated November 4, 2016
10.90 Tax Sharing Agreement by and between Expedia,
Inc. and TripAdvisor, Inc., dated as of
December 20, 2011
10.10 Services Agreement by and between HomeAway.com,
Inc. and Keystone Strategy LLC, dated April
1, 2017
10.11 Amended and Restated Credit Agreement
dated as of September 5, 2014, among Expedia,
Inc., a Delaware corporation, Expedia,
Inc., a Washington corporation, Travelscape,
LLC, a Nevada limited liability company;
Hotwire, Inc., a Delaware corporation,
the Lenders party hereto, JPMorgan Chase
Bank, N.A., as Administrative Agent, and
J.P. Morgan Europe Limited, as London Agent
10.12 First Amendment, dated as of February 4,
2016, among Expedia, Inc., a Delaware corporation,
Expedia, Inc., a Washington corporation,
____________________________
JPMorgan Chase Bank, N.A., as Administrative
Agent, and J.P. Morgan Europe Limited,
as London Agent
8-K 001-37429 4.10 9/21/2017
8-K 000-51447 10.10 12/27/2011
8-K*? 001-37938 10.60 11/7/2016
10-K 000-51447 10.11 2/10/2012
8-K*? 001-37938 10.70 11/7/2016
8-K*? 001-37938 10.80 11/7/2016
8-K*? 001-37938 10.10 3/7/2018
S-4/A*? 333-210377 10.13 9/23/2016
8-K*? 001-37938 10.10 11/7/2016
8-K 000-51447 10.20 12/27/2011
10-Q 001-37429 10.10 7/28/2017

8-K 000-51447 10.10 9/11/2014
8-K 001-37429 10.10 2/8/2016

Expedia Group, Inc.
10-K
02/08/2019
Exhibits
10.24* Form of Expedia, Inc. Restricted Stock 10-Q

Unit Agreement (Directors)
10.25* Form of Expedia, Inc. Restricted Stock 10-K
Unit Agreement
10.26* Form of Expedia Group, Inc. Restricted 10-Q
Stock Unit Agreement
10.27* Form of Expedia, Inc. Stock Option Agreement 10-K
10.28* Form of Expedia Group, Inc. Stock Option 10-Q
Agreement
10.29* Form of Expedia, Inc. 2018 Performance-Based 10-Q
Stock Option Agreement
10.30* Amended and Restated Expedia, Inc. Non-Employee 10-K
Director Deferred Compensation Plan,
effective as of January 1, 2009
10.31* Amended and Restated Expedia, Inc. Executive 10-K
Deferred Compensation Plan, effective
as of January 1, 2009
10.32* First Amendment of the Executive Deferred 10-K
Compensation Plan, effective as of December 31,
7/6/1905
10.33* Employment Agreement between Mark Okerstrom 8-K/A
and Expedia, Inc., effective September
15, 2017
10.34* Expedia, Inc. Stock Option Agreement for 8-K
Mark D. Okerstrom, dated as of March 7, 2016
Mark D. Okerstrom, dated as of March 7, 2016
(Performance Options)
10.36* Stock Option Agreement between Mark Okerstrom 8-K/A
15, 2017 (Performance Options)
10.37* Stock Option Agreement between Mark D. 10-Q
Okerstrom and Expedia, Inc., effective
as of March 2, 2018 (Performance-Based
Options)
10.38* Employment Agreement between Alan Pickerill 8-K/A
15, 2017
10.39* Stock Option Agreement between Alan R. 10-Q
Pickerill and Expedia, Inc., effective
as of March 2, 2018 (Performance-Based
Options)
10.40* Amended and Restated Employment Agreement 8-K
between Robert J. Dzielak and Expedia,
Inc., effective March 3, 2018
10.41* Stock Option Agreement between Robert 10-Q
J. Dzielak and Expedia, Inc., effective
March 2, 2018 (Performance-Based Options)
10.42* Stock Option Agreement between Robert 10-Q
J. Dzielak and Expedia, Inc., effective
March 2, 2018 (Cliff Vest Options)
10.43* Equity Treatment Agreement between Dara 8-K/A
Khosrowshahi and Expedia, Inc., effective
September 20, 2017
Dara Khosrowshahi, dated as of March 31,
2015 (Performance Options)
10.45* Expedia Group, Inc. Restricted Stock Unit X
Agreement between Peter M. Kern and Expedia
Group, Inc., dated as of August 17, 2018
10.46* Form Expedia, Inc. Stock Option Agreement X
21 Subsidiaries of the Registrant X
____________________________
000-51447 10.10 8/1/2014
001-37429 10.22 2/10/2017
001-37429 10.10 4/27/2018
001-37429 10.23 2/10/2017

001-37429 10.20 4/27/2018
001-37429 10.30 4/27/2018
000-51447 10.13 2/19/2009
000-51447 10.17 2/19/2009
000-51447 10.20 2/6/2015
001-37429 10.10 9/21/2017
001-37429 10.20 3/9/2016
001-37429 10.30 3/9/2016
001-37429 10.20 9/21/2017
001-37429 10.40 4/27/2018
001-37429 10.30 9/21/2017
001-37429 10.50 4/27/2018
001-37429 10.10 3/7/2018

001-37429 10.60 4/27/2018
001-37429 10.70 4/27/2018
001-37429 10.40 9/21/2017
000-51447 10.30 4/1/2015

Expedia Group, Inc.
10-K
02/08/2019
Exhibits
* Indicates a management contract or compensatory

plan or arrangement.
*? Indicates reference to filing of Liberty
Expedia Holdings, Inc.
*** Furnished herewith
____________________________
Expedia Group, Inc.
10-K
02/08/2019
INDEX TO CONSOLIDATED FINANCIAL STATEMENTS, SCHEDULES AND EXHIBITS
Consolidated Financial Statements
Report of Independent Registered Public F- 2

Accounting Firm
Consolidated Statements of Operations F- 3
Consolidated Statements of Comprehensive F- 4
Income
Consolidated Balance Sheets F- 5
Consolidated Statements of Changes in F- 6
Stockholders? Equity
Consolidated Statements of Cash Flows F- 8
Notes to Consolidated Financial Statements F- 9
____________________________
Expedia Group, Inc.
10-K
02/08/2019
Income Statement

7/10/1905 7/9/190
(In millions, except for per share data)
Revenue $11,223 $10,060
Costs and expenses:
Cost of revenue (1) 1,965 1,757
Selling and marketing (1) 5,767 5,298
Technology and content (1) 1,617 1,387
General and administrative (1) 808 676
Amortization of intangible assets 283 275
Legal reserves, occupancy tax and other (59) 25
charges (1)
Other income (expense):
Interest income 71 34
Interest expense (190) (182)
Other, net (110) (60)
Total other expense, net (229) (208)
Income before income taxes 485 417
Provision for income taxes (87) (45)
Net income 398 372
Net loss attributable to non-controlling 8 6
interests
Inc.
Basic $2.71 $2.49
Diluted 2.65 2.42
Shares used in computing earnings per share
(000's):
Basic 149,961 151,619
Diluted 152,889 156,385
____________________________
7/9/1905 7/8/1905
$8,774
1,597
4,367
1,235
678
317
-
35
27
56
462
20
(173)
(32)
(185)
277
(16)
261
21
$282
$1.87
1.82
150,367
154,517
Expedia Group, Inc.
10-K
02/08/2019
CONSOLIDATED STATEMENTS OF OPERATIONS
(1) Includes stock-based compensation

as follows:
Cost of revenue $11 $10
Selling and marketing 44 40
Technology and content 61 55
General and administrative 87 44
Restructuring and related reorganization - -
charges
____________________________
$11
47
63
108
13
Expedia Group, Inc.
10-K
02/08/2019
Income Statement

7/10/1905 7/9/19
(In millions)
Net income $398 $372
Other comprehensive income (loss), net
of tax
Currency translation adjustments, net (86) 189
of taxes
Unrealized losses on available for sale - (7)
securities, net of taxes
Other comprehensive income (loss), net (86) 182
of tax
Comprehensive income 312 554
Less: Comprehensive income (loss) attributable (26) 45
to non-controlling interests
Comprehensive income attributable to $338 $509
Expedia Group, Inc.
____________________________
7/9/1905 7/8/1905
$261
(10)
(10)
251
(29)
$280
Expedia Group, Inc.
10-K
02/08/2019
Balance Sheet
December 31,
7/10/1905 7/9/19
(In millions, except per share data)
ASSETS
Current assets:
Cash and cash equivalents $2,443 $2,847
Restricted cash and cash equivalents 259 69
Short-term investments 28 468
Accounts receivable, net of allowance 2,151 1,866
of $34 and $31
Income taxes receivable 24 21
Prepaid expenses and other current assets 292 269
Total current assets 5,197 5,540
Property and equipment, net 1,877 1,575
Long-term investments and other assets 778 845
Deferred income taxes 69 18
Intangible assets, net 1,992 2,309
Goodwill 8,120 8,229
TOTAL ASSETS $18,033 $18,516
LIABILITIES AND STOCKHOLDERS? EQUITY
Current liabilities:
Accounts payable, merchant $1,699 $1,838
Accounts payable, other 788 698
Deferred merchant bookings 4,327 3,219
Deferred revenue 364 326
Income taxes payable 74 33
Accrued expenses and other current liabilities 808 1,265
Current maturities of long-term debt - 500
Total current liabilities 8,060 7,879
Long-term debt, excluding current maturities 3,717 3,749
Deferred income taxes 69 329
Other long-term liabilities 506 408
Commitments and contingencies
Redeemable non-controlling interests 30 22
Stockholders? equity:
Common stock $.0001 par value - -
Authorized shares: 1,600,000
Shares issued: 231,493 and 228,467
Shares outstanding: 134,334 and 138,939
Class B common stock $.0001 par value - -
Authorized shares: 400,000
Shares issued and outstanding: 12,800
and 12,800
Additional paid-in capital 9,549 9,163
Treasury stock - Common stock, at cost (5,742) (4,822)
Shares: 97,159 and 89,528
Retained earnings 517 331
Accumulated other comprehensive income (220) (149)
(loss)
Total Expedia Group, Inc. stockholders? 4,104 4,523
equity
Non-redeemable non-controlling interests 1,547 1,606
Total stockholders? equity 5,651 6,129
TOTAL LIABILITIES AND STOCKHOLDERS? EQUITY $18,033 $18,516
____________________________
7/9/1905
Expedia Group, Inc.
10-K
02/08/2019
Shareholders' Equity
Common stock
Shares
Balance as of December 31, 2015 220,383,124
Net income (excludes $23 of net loss attributable
to redeemable non-controlling interest)
of taxes
Payment of dividends to stockholders (declared
at $1.00 per share)
Proceeds from exercise of equity instruments 3,413,505
and employee stock purchase plans
Withholding taxes for stock options
Issuance of common stock in connection 513,140
with acquisitions
Treasury stock activity related to vesting
of equity instruments
Common stock repurchases
Impact of adoption of new accounting guidance
related to stock-based compensation
Adjustment to the fair value of redeemable
non-controlling interests
Change in ownership of non-controlling
interest related to trivago initial public
offering ("IPO")
Transfer from redeemable non-controlling
interests
Proceeds related to trivago IPO, net of
fees and expenses
Stock-based compensation expense
Other
Net income (excludes $3 of net income attributable
of taxes
at $1.16 per share)
with acquisitions
Other changes in non-controlling interests
Other
____________________________
Class B
common stock
Amount Shares Amount

$- 12,799,999 $-
- 12,799,999 -
-
$- 12,799,999 $-
Additional Treasury stock
paid-in
capital
Shares Amount
$8,697 82,923,771 ($4,055)
141
(1)
-
174,378 (20)
3,979,170 (436)
10
(344)
(32)
125
196
2
8,794 87,077,319 (4,511)
228
(9)
-
133,319 (17)
2,317,617 (294)
3
148
(1)
$9,163 89,528,255 ($4,822)
Retained Accumulated Non-redeemable
earnings other non-controlling
(deficit) comprehensive interest
income (loss)
$508
282 2
(1) -
(150)
(7)
(504)
6 26
1,381
85
2
129 (280) 1,561
378 (9)
131 51
(176)
3
$331 ($149) $1,606

Total
($285) $65
284
(1)
(150)
141
(1)
-
(20)
(436)
3
(848)
1,381
210
196
4
5,693
369
182
(176)
228
(9)
-
(17)
(294)
6
148
(1)
$6,129
$4,930
Expedia Group, Inc.
10-K
02/08/2019
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS EQUITY
Common stock
Shares
Net income (excludes $1 of net income attributable
of taxes
at $1.24 per share)
with acquisitions
Proceeds from issuance of treasury stock
Adjustment to the fair value of redeemable
non-controlling interests
Purchase of remaining interest in Air Asia
Other changes in non-controlling interests
Impact of adoption of new accounting guidance
Other
____________________________
Class B
common stock
Amount Shares Amount
$- 12,799,999 $-
Additional Treasury stock
paid-in
capital
Shares Amount
166
(2)
-
179,783 (20)
7,720,194 (904)
27 (269,646) 4
-
(5)
(7)
208
(1)
$9,549 97,158,586 ($5,742)
Retained Accumulated Non-redeemable
earnings other non-controlling
(deficit) comprehensive interest
income (loss)
406
(68) (18)
(186)
(3)
(57)
25
(31) (3)
$517 ($220) $1,547

Total
(9)
(86)
(186)
166
(2)
-
(20)
(904)
31
(3)
(62)
18
208
(34)
(1)
$5,651
397
Expedia Group, Inc.
10-K
02/08/2019
Cash Flows
December 31,
7/10/1905 7/9
(In millions)
Operating activities:
Net income $398 $372
Adjustments to reconcile net income to
net cash provided by operating activities:
Depreciation of property and equipment, 676 614
including internal-use software and website
development
Amortization of stock-based compensation 203 149
Amortization and impairment of intangible 325 275
assets
Deferred income taxes (308) (103)
Foreign exchange (gain) loss on cash, restricted 111 (79)
cash and short-term investments, net
Realized (gain) loss on foreign currency (31) (6)
forwards
Loss on minority equity investments, net 111 14
Other 22 (30)
Changes in operating assets and liabilities,
net of effects from acquisitions:
Accounts receivable (282) (456)
Prepaid expenses and other assets (29) (71)
Accounts payable, merchant (134) 316
Accounts payable, other, accrued expenses 196 257
and other current liabilities
Tax payable/receivable, net 102 (30)
Deferred merchant bookings 489 593
Deferred revenue 40 30
Net cash provided by operating activities 1,975 1,845
Investing activities:
Capital expenditures, including internal-use (878) (710)
software and website development
Purchases of investments (1,803) (1,811)
Sales and maturities of investments 2,137 1,096
Acquisitions, net of cash and restricted (53) (169)
cash acquired
Other, net 38 13
Net cash used in investing activities (559) (1,581)
Financing activities:
Payment of long-term debt (500) -
Proceeds from issuance of long-term debt, - 990
net of issuance costs
Payment of HomeAway Convertible Notes - -
Purchases of treasury stock (923) (312)
Proceeds from issuance of treasury stock 31 -
Payment of dividends to stockholders (186) (176)
Proceeds from exercise of equity awards 166 229
and employee stock purchase plan
Changes in controlled subsidiaries, net (62) (18)
Other, net (15) (25)
Net cash provided by (used in) financing (1,489) 688
activities
Effect of exchange rate changes on cash, (139) 147
cash equivalents and restricted cash and
cash equivalents
Net increase (decrease) in cash, cash equivalents (212) 1,099
and restricted cash and cash equivalents
Cash, cash equivalents and restricted 2,917 1,818
cash and cash equivalents
at beginning of year
Cash, cash equivalents and restricted $2,705 $2,917
cash and cash equivalents at end of year
Supplemental cash flow information
Cash paid for interest $196 $163
Income tax payments, net 282 174
____________________________
7/9/1905 7/8/1905
$372 $261
614 477
149 242
275 352
-
(103) (14)
(79) 16
(6) 53
14 12
(30) (4)
(456) (276)
(71) (45)
316 184
257 79
(30) (100)
593 261
30 51
1,845 1,549
(710) (749)
(1,811) (45)
1,096 61
(169) (1)
13 16
(1,581) (718)
-
990 (2)
(401)
(312) (456)
-
(176) (150)
229 141
(18) 208
(25) (31)
688 (691)
147 (35)
1,099 105
1,818 1,713
$2,917 $1,818
$163 $154
174 124
Expedia Group, Inc.
10-K
02/08/2019
Cash, Restricted Cash, and Cash Equivalents
December 31, December 31,

7/10/1905 7/9/190
(in millions)
Cash and cash equivalents $2,443 $2,847
Restricted cash and cash equivalents 259 69
Restricted cash included within long-term 3 1
investments and other assets
Total cash, cash equivalents and restricted $2,705 $2,917
cash and cash equivalents in the consolidated
statement of cash flow
____________________________
,
7/9/1905
Expedia Group, Inc.
10-K
02/08/2019
Shareholders' Equity
Balance at December 31, 2 Adjustments

(in millions)
Current and long-term assets:
Accounts receivable, net $1,866 ($40)
Prepaid expenses and other current assets 269 (1)
Long-term investments and other assets 845 (3)
Current and long-term liabilities:
Deferred merchant bookings 3,219 619
Accrued expenses and other current liabilities 1,265 (564)
Deferred income taxes 329 (3)
Stockholders' equity:
Retained earnings 331 (8)
____________________________
justments Balance at January 1, 201
($40) $1,826
(1) 268
(3) 842
619 3,838
(564) 701
(3) 326
(8) 323
Expedia Group, Inc.
10-K
02/08/2019
2018 Acquisition and Other Investment Activity
Goodwill $31
Intangibles with definite lives (1) 24
Deferred tax liabilities, net (1)
Total (2) $54
____________________________
Expedia Group, Inc.
10-K
02/08/2019
2017 Acquisition Activity
Goodwill $124
Intangibles with definite lives (1) 76
Net assets and non-controlling interests 15
acquired (2)
Deferred tax liabilities (21)
Total (3) $194
____________________________
Expedia Group, Inc.
10-K
02/08/2019
NOTE 4 Fair Value Measurements
Total Level 1
(In millions)
Assets
Cash equivalents:
Money market funds $35 $35
Time deposits 624 -
Derivatives:
Foreign currency forward contracts 22 -
Investments:
Time deposits 28 -
Marketable equity securities 119 119
Total assets $828 $154
____________________________
Level 2
$-
624
22
28
-
$674
Expedia Group, Inc.
10-K
02/08/2019
NOTE 4 Fair Value Measurements
Total Level 1
(In millions)
Assets
Cash equivalents:
Money market funds $16 $16
Time deposits 552 -
Derivatives:
Foreign currency forward contracts 6 -
Investments:
Time deposits 469 -
Marketable equity securities 264 264
Total assets $1,307 $280
____________________________
Level 2
$-
552
469
-
$1,027
Expedia Group, Inc.
10-K
02/08/2019
NOTE 5 Property and Equipment, Net
December 31,
7/10/1905 7/9/1905
(In millions)
Capitalized software development $2,643 $2,111
Computer equipment 597 658
Furniture and other equipment 94 85
Buildings and leasehold improvements 435 283
Land 129 129
3,898 3,266
Less: accumulated depreciation (2,552) (2,056)
Projects in progress 531 365
Property and equipment, net $1,877 $1,575
____________________________
Expedia Group, Inc.
10-K
02/08/2019
NOTE 6 Goodwill and Intangible Assets, Net
December 31,
7/10/1905 7/9/1905
(In millions)
Goodwill $8,120 $8,229
Intangible assets with indefinite lives 1,400 1,479
Intangible assets with definite lives, 592 830
net
$10,112 $10,538
____________________________
7/9/1905
Expedia Group, Inc.
10-K
02/08/2019
Goodwill.
Core OTA trivago

(In millions)
Balance as of January 1, 2017 $4,703 $516
Additions 124 -
Foreign exchange translation and other 13 72
Balance as of December 31, 2017 4,840 588
Additions - -
Impairment charge (86) -
Foreign exchange translation and other (13) (27)
Balance as of December 31, 2018 $4,741 $561
____________________________
HomeAway Egencia Total
$2,591 $132 $7,942

- - 124
65 13 163
2,656 145 8,229
31 - 31
- - (86)
(5) (9) (54)
$2,682 $136 $8,120
Expedia Group, Inc.
10-K
02/08/2019
Intangible Assets with Definite Lives.
December 31, 2018

Cost Accumulated Net
Amortization
(In millions)
Customer relationships $659 ($419) $24
Supplier relationships 650 (426) 22
Technology 544 (510) 3
Domain names 159 (83) 7
Other 450 (432) 1
Total $2,462 ($1,870) $59
____________________________
December 31, 2017
t Cost Accumulated Net
Amortization
$240 $665 ($304) $36

224 655 (368) 28
34 532 (441) 9
76 132 (70) 6
18 452 (423) 2
$592 $2,436 ($1,606) $83
t
$361
287
91
62
29
$830
Expedia Group, Inc.
10-K
02/08/2019
Intangible Assets with Definite Lives.
7/11/1905 $185
7/12/1905 143
7/13/1905 97
7/14/1905 73
7/15/1905 39
2024 and thereafter 55
Total $592
____________________________
Expedia Group, Inc.
10-K
02/08/2019
NOTE 7 Debt
December 31,
7/10/1905 7/9/1905
(In millions)
7.456% senior notes due 2018 $- $500
5.95% senior notes due 2020 748 748
2.5% (?650 million) senior notes due 2022 740 775
Total debt (1) 3,717 4,249
Current maturities of long-term debt - (500)
Long-term debt, excluding current maturities $3,717 $3,749
____________________________
7/9/1905
Expedia Group, Inc.
10-K
02/08/2019
Long-term Debt
December 31,
7/10/1905 7/9/190
(In millions)
7.456% senior notes due 2018 $- $516
2.5% (?650 million) senior notes due 2022 (1) 771 828
____________________________
7/9/1905
Expedia Group, Inc.
10-K
02/08/2019
NOTE 9 Stock-Based Awards and Other Equity Instruments
Options Weighted Average

Exercise Price
(In thousands)
Balance as of January 1, 2016 17,055 $71.77
Granted 5,670 105.37
Exercised (2,686) 47.57
Cancelled (1,198) 91.62
Balance as of December 31, 2016 18,841 84.07
Granted 3,618 124.08
Exercised (3,422) 62.67
Cancelled (3,384) 96.86
Granted 5,342 104.72
Exercised (2,098) 71.36
Cancelled (1,197) 107.26
Exercisable as of December 31, 2018 7,192 88.02
Vested and expected to vest after December 17,700 100.11
31, 2018
____________________________
Remaining Aggregate
Contractual Life Intrinsic Value
(In years) (In millions)
4.30 $261
2.90 185
4.30 261
Expedia Group, Inc.
10-K
02/08/2019
7/10/1905 7/9/1905
Risk-free interest rate 2.47 % 1.58 %
Expected volatility 32.81 % 32.47 %
Expected life (in years) 3.80 3.65
Dividend yield 1.11 % 0.92 %
Weighted-average estimated fair value $24.97 $30.17
of options granted during the year
____________________________
7/8/1905
0.97 %
39.06 %
3.59
0.91 %
$29.48
Expedia Group, Inc.
10-K
02/08/2019
RSUs Weighted Average

Grant-Date Fair
Value
(In thousands)
Balance as of January 1, 2016 1,396 $119.20
Granted 691 109.38
Vested (516) 118.71
Cancelled (222) 117.84
Granted 1,350 123.24
Vested (492) 115.29
Granted 1,821 107.37
Vested (615) 118.41
____________________________
Expedia Group, Inc.
10-K
02/08/2019
NOTE 10 Income Taxes

7/10/1905 7/9/1905 7/8/1905
(In millions)
U.S. $32 ($45) ($47)
Foreign 453 462 324
Total $485 $417 $277
____________________________
Expedia Group, Inc.
10-K
02/08/2019
Provision for Income Taxes

7/10/1905 7/9/1905
(In millions)
Current income tax expense:
Federal $186 $12
State 42 6
Foreign 167 130
Current income tax expense 395 148
Deferred income tax (benefit) expense:
Federal (273) (94)
State (25) (1)
Foreign (10) (8)
Deferred income tax (benefit) expense: (308) (103)
Income tax expense $87 $45
____________________________
7/8/1905
($41)
6
65
30
(5)
(3)
(6)
(14)
$16
Expedia Group, Inc.
10-K
02/08/2019
Deferred Income Taxes
December 31,
7/10/1905 7/9/1
(In millions)
Deferred tax assets:
Provision for accrued expenses $87 $44
Deferred loyalty rewards 166 131
Net operating loss and tax credit carryforwards 123 122
Stock-based compensation 67 52
Property and equipment 55 -
Other 68 52
Total deferred tax assets 566 401
Less valuation allowance (80) (76)
Net deferred tax assets $486 $325
Deferred tax liabilities:
Goodwill and intangible assets (486) (499)
Property and equipment - (131)
Other - (6)
Total deferred tax liabilities ($486) ($636)
Net deferred tax liability $- ($311)
____________________________
7/9/1905
$44
131
122
52
52
401
(76)
$325
(499)
(131)
(6)
($636)
($311)
Expedia Group, Inc.
10-K
02/08/2019
Reconciliation of U.S. Federal Statutory Income Tax Rate to Effective Income Tax Rate

7/10/1905 7/9/19
(In millions)
Income tax expense at the federal statutory $102 $146
rate of 21% for 2018 and 35% for 2017 and 2016
Foreign tax rate differential (42) (82)
Federal research and development credit (23) (16)
Excess tax benefits related to stock-based (10) (60)
compensation
Unrecognized tax benefits and related 23 27
interest
Change in valuation allowance 8 4
Return to provision true-ups (7) 1
trivago stock-based compensation 7 5
State taxes 11 3
Non-deductible goodwill impairment 16 -
Tax Act transition tax - 144
U.S. statutory tax rate change - (158)
Global intangible low-taxed income 13 -
Foreign-derived intangible income (38) -
Other, net 27 31
Income tax expense $87 $45
____________________________
7/9/1905 7/8/1905
s)
$97
(67)
(15)
(40)
33
(14)
(14)
17
-
-
-
-
-
-
19
$16
Expedia Group, Inc.
10-K
02/08/2019
Unrecognized Tax Benefits and Interest
7/10/1905 7/9/1
(In millions)
Balance, beginning of year $261 $220
Increases to tax positions related to the 24 35
current year
Increases to tax positions related to prior 2 4
years
Decreases to tax positions related to prior - (1)
years
Reductions due to lapsed statute of limitations (2) (3)
Settlements during current year - (1)
Interest and penalties 8 7
Balance, end of year $293 $261
____________________________
7/9/1905 7/8/1905
n millions)
$220 $171
35 43
4 8
(1) (2)
(3) (5)
(1) -
7 5
$261 $220
Expedia Group, Inc.
10-K
02/08/2019
NOTE 11 Redeemable Non-controlling Interests

7/10/1905 7/9
(In millions)
Balance, beginning of the period $22 $-
Acquisition of redeemable non-controlling - 20
interest
Purchase of subsidiary shares at fair value - -
Net income (loss) attributable to non-controlling 1 3
interests
Fair value adjustments 3 -
Currency translation adjustments (2) -
Other 6 (1)
Transfer to non-redeemable non-controlling - -
interest
Balance, end of period $30 $22
____________________________
7/9/1905 7/8/1905
$658
20 -
(7)
3 (23)
849
(89)
(1) (7)
(1,381)
$22 $-
Expedia Group, Inc.
10-K
02/08/2019
Share Repurchases

7/10/1905 7/9/1905
Number of shares repurchased 7.7 million 2.3 million
Average price per share $117.02 $127.04
Total cost of repurchases (in millions) (1) $903 $294
____________________________
7/9/1905 7/8/1905
4.0 million
$109.64
$436
Expedia Group, Inc.
10-K
02/08/2019
Dividends on our Common Stock
Declaration Date Dividend

Per Share
February 7, 2018 $0.30
April 24, 2018 0.30
July 23, 2018 0.32
October 19, 2018 0.32
February 7, 2017 $0.28
April 26, 2017 0.28
July 26, 2017 0.30
October 25, 2017 0.30
February 8, 2016 $0.24
April 26, 2016 0.24
July 27, 2016 0.26
October 24, 2016 0.26
____________________________
Record Date Total Amount Payment Date
(in millions)
March 8, 2018 $46 March 28, 2018

May 24, 2018 45 June 14, 2018
March 9, 2017 $42 March 30, 2017

May 25, 2017 43 June 15, 2017
March 10, 2016 $36 March 30, 2016

May 26, 2016 36 June 16, 2016
Expedia Group, Inc.
10-K
02/08/2019
Accumulated Other Comprehensive Income (Loss)
December 31,
7/10/1905 7/9/1905
(In millions)
Foreign currency translation adjustments, ($220) ($142)
net of tax (1)
Net unrealized loss on available for sale - (7)
securities, net of tax (2)
Accumulated other comprehensive loss ($220) ($149)
____________________________
7/9/1905
Expedia Group, Inc.
10-K
02/08/2019
Non-redeemable Non-controlling Interests
7/10/1905 7/9/190
Inc.
Transfers (to) from the non-controlling
interest due to:
Net decrease in Expedia Group, Inc.?s paid-in (5) -
capital related to Air Asia
Net decrease in Expedia Group, Inc.?s paid-in - -
capital related to trivago IPO
Other (7) 3
Net transfers from non-controlling interest (12) 3
Change from net income attributable to $394 $381
Expedia Group, Inc. and transfers from
non-controlling interest
____________________________
7/9/1905 7/8/1905
$282
(32)
-
(32)
$250
Expedia Group, Inc.
10-K
02/08/2019
Diluted Earnings Per Share

7/10/1905 7/9/190
(In millions, except share and per share
data)
Inc.
Basic $2.71 $2.49
Diluted 2.65 2.42
Weighted average number of shares outstanding
(000's):
Basic 149,961 151,619
Dilutive effect of:
Options to purchase common stock 2,317 4,218
Other dilutive securities 611 548
Diluted 152,889 156,385
____________________________
7/9/1905 7/8/1905
$282
$1.87
1.82
150,367
3,874
276
154,517
Expedia Group, Inc.
10-K
02/08/2019
Other, net
For the Year Ended December 31,

7/10/1905 7/9/1905
(In millions)
Foreign exchange rate gains ( losses), $3 ($46)
net
Losses on minority equity investments, (111) (14)
net
Other (2) -
Total ($110) ($60)
____________________________
7/9/1905 7/8/1905
($15)
(12)
(5)
($32)
Expedia Group, Inc.
10-K
02/08/2019
Letters of Credit, Purchase Obligations and Guarantees
By Period
Total Less than 1 to 3
1 year years
(In millions)
Purchase obligations $683 $352 $266
Guarantees 59 59 -
Letters of credit 28 13 11
$770 $424 $277
____________________________
to 3 3 to 5 More than
ars years 5 years
$266 $65 $-
- -
11 - 4
$277 $65 $4
Expedia Group, Inc.
10-K
02/08/2019
Lease Commitments
Year ending December 31,

7/11/1905 $156
7/12/1905 129
7/13/1905 106
7/14/1905 93
7/15/1905 74
2024 and thereafter 361
$919
____________________________
Expedia Group, Inc.
10-K
02/08/2019
NOTE 18 Segment Information
Year ended December 31, 2018

Core OTA trivago
(In millions)
Third-party revenue $8,760 $691
Intersegment revenue - 393
Revenue $8,760 $1,084
Adjusted EBITDA $2,305 $16
Depreciation (344) (15)
Amortization of intangible assets - -
Impairment of goodwill - -
Impairment of intangible assets - -
Stock-based compensation - -
Legal reserves, occupancy tax and other - -
charges
Realized (gain) loss on revenue hedges (24) -
Operating income (loss) $1,937 $1
Other expense, net
Income before income taxes
Provision for income taxes
Net income
Net loss attributable to non-controlling
interests
Net income attributable to Expedia Group,
Inc.
____________________________
HomeAway Egencia Corporate &
Eliminations
$1,171 $601 $-
- - (393)
$1,171 $601 ($393)
$288 $107 ($746)
(66) (47) (204)
- - (283)
- - (86)
- - (42)
- - (203)
- - 59
- - -
(1) - -
$221 $60 ($1,505)
Total
s
$11,223
-
$11,223
$1,970
(676)
(283)
(86)
(42)
(203)
59
-
(25)
714
(229)
485
(87)
398
8
$406
Expedia Group, Inc.
10-K
02/08/2019

Core OTA trivago
(In millions)
Revenue $7,881 $1,166
charges
Operating income (loss) $1,739 ($04)
Other expense, net
Net income
interests
Inc.
____________________________
HomeAway Egencia Corporate & Eliminations
$906 $521 $-
- - (414)
$906 $521 ($414)
$202 $95 ($646)
(40) (41) (214)
- - (275)
- - (149)
- - (25)
- - (17)
- - -
$162 $54 ($1,326)
Eliminations Total
$10,060
-
$10,060
$1,713
(614)
(275)
(149)
(25)
(17)
(8)
625
(208)
417
(45)
372
6
$378
Expedia Group, Inc.
10-K
02/08/2019

Core OTA trivago
(In millions)
Revenue $7,084 $836
charges, excluding stock-based compensation
Operating income (loss) $1,687 $28
Other income, net
Net income
interests
Inc.
____________________________
HomeAway Egencia Corporate & Eliminations
$689 $462 $-
- - (297)
$689 $462 ($297)
$175 $81 ($631)
(18) (31) (165)
- - (317)
- - (35)
- - (242)
- - (27)
- - (43)
- - -
$157 $50 ($1,460)
Eliminations Total
$8,774
-
$8,774
$1,616
(477)
(317)
(35)
(242)
(27)
(43)
(13)
462
(185)
277
(16)
261
21
$282
Expedia Group, Inc.
10-K
02/08/2019
Revenue by Business Model and Service Type

7/10/1905 2017 (1) 2016 (1)
(In millions)
Business Model
Merchant $5,950 $5,394 $4,853
Agency 3,010 2,687 2,425
Advertising and media 1,092 1,073 807
HomeAway 1,171 906 689
Total revenue $11,223 $10,060 $8,774
Service Type
Lodging $7,712 $6,851 $6,021
Air 881 784 778
Advertising and media 1,092 1,073 807
Other (2) 1,538 1,352 1,168
Total revenue $11,223 $10,060 $8,774
____________________________
16 (1)
$4,853
2,425
807
689
$8,774
$6,021
778
807
1,168
$8,774
Expedia Group, Inc.
10-K
02/08/2019
Geographic Information

7/10/1905 7/9/1905 7/
(In millions)
Revenue
United States $6,202 $5,542 $5,043
All other countries 5,021 4,518 3,731
$11,223 $10,060 $8,774
____________________________
7/8/1905
$5,043
3,731
$8,774
Expedia Group, Inc.
10-K
02/08/2019
Geographic Information
As of December 31,
7/10/1905 7/9/1905
(In millions)
Property and equipment, net
United States $1,571 $1,331
All other countries 306 244
$1,877 $1,575
____________________________
Expedia Group, Inc.
10-K
02/08/2019
NOTE 19 Valuation and Qualifying Accounts
Description Balance at Charges to

Beginning of Earnings
Period
(In millions)
7/10/1905
Allowance for doubtful accounts $31 $27
Other reserves $22
7/9/1905
Other reserves 24
7/8/1905
Other reserves 30
____________________________
Charges to Deductions Balance at End
Other of Period
Accounts (1)
($08) ($16) $34

$19
$1 ($14) $31
22
($03) ($11) $25

24
Expedia Group, Inc.
10-K
02/08/2019
NOTE 20 Quarterly Financial Information (Unaudited)
Three Months Ended

December 31 September 30
(In millions, except per share data)
Revenue $2,559 $3,276
Operating income (loss) 96 672
Net income (loss) attributable to Expedia 17 525
Group, Inc. (1)
Basic earnings (loss) per share (2) $0.11 $3.51
Diluted earnings (loss) per share (2) 0.11 3.43
Revenue $2,319 $2,966
Operating income (loss) 114 481
Net income (loss) attributable to Expedia 55 352
Group, Inc.
Basic earnings (loss) per share (2) $0.36 $2.32
Diluted earnings (loss) per share (2) 0.35 2.23
____________________________
0 June 30 March 31
$2,880 $2,508
111 (165)
1 (137)
$0.01 ($0.91)
0.01 (0.91)
$2,586 $2,189
103 (73)
57 (86)
$0.37 ($0.57)
0.36 (0.57)
Expedia Group, Inc.
10-K
02/08/2019
Year Ended December 31, 2018
Parent Guarantor
Subsidiaries
(In millions)
Revenue $- $8,650
Costs and expenses:
Cost of revenue - 1,436
Selling and marketing - 4,153
Technology and content - 1,143
General and administrative - 515
Amortization of intangible assets - 174
Impairment of goodwill - -
Impairment of intangible assets - 42
Legal reserves, occupancy tax and other - (60)
Intercompany (income) expense, net - 808
Operating income - 439
Equity in pre-tax earnings of consolidated 549 209
subsidiaries
Other, net (187) (81)
Total other income, net 362 128
Provision for income taxes 44 (12)
Net income 406 555
Net loss attributable to non-controlling - 2
interests
Inc.
Expedia Group, Inc.
____________________________
Non-Guarantor Eliminations Consolidated
s Subsidiaries
$2,973 ($400) $11,223
550 (21) 1,965

1,993 (379) 5,767
474 - 1,617
293 - 808
109 - 283
86 - 86
- - 42
1 - (59)
(808) - -
275 - 714
- (758) -
39 - (229)
39 (758) (229)
314 (758) 485
(119) - (87)
195 (758) 398
6 - 8
$201 ($758) $406
$103 ($562) $338

d
Expedia Group, Inc.
10-K
02/08/2019
Parent Guarantor
Subsidiaries
(In millions)
Revenue $- $7,662
Costs and expenses:
Technology and content - 991
Legal reserves, occupancy tax and other - 25
charges
subsidiaries
Other, net (179) (60)
Total other income, net 314 276
Net income 378 506
Net loss attributable to non-controlling - 1
interests
Inc.
Expedia Group, Inc.
____________________________
s Subsidiaries
$2,817 ($419) $10,060
431 (17) 1,757

1,985 (402) 5,298
396 - 1,387
267 - 676
93 - 275
- - 25
12 - 17
(695) - -
328 - 625
- (829) -
31 - (208)
31 (829) (208)
359 (829) 417
(42) - (45)
317 (829) 372
5 - 6
$322 ($829) $378
$564 ($1,262) $509

d
Expedia Group, Inc.
10-K
02/08/2019
Parent Guarantor
Subsidiaries
(In millions)
Revenue $- $6,807
Costs and expenses:
Technology and content - 904
Legal reserves, occupancy tax and other - 27
charges
subsidiaries
Other, net (163) (21)
Total other income (expense), net 221 265
Net income 282 392
Net loss attributable to non-controlling - -
interests
Inc.
Expedia Group, Inc.
____________________________
s Subsidiaries
$2,268 ($301) $8,774
346 (13) 1,597

1,584 (288) 4,367
331 - 1,235
249 - 678
68 - 317
35 - 35
- - 27
26 - 56
(656) - -
285 - 462
- (670) -
(1) - (185)
(1) (670) (185)
284 (670) 277
(27) - (16)
257 (670) 261
21 - 21
$278 ($670) $282
$238 ($612) $280

d
Expedia Group, Inc.
10-K
02/08/2019
December 31, 2018
Parent Guarantor
Subsidiaries
(In millions)
ASSETS
Total current assets $402 $5,261
Investment in subsidiaries 10,615 3,425
Intangible assets, net - 1,520
Goodwill - 6,366
Other assets, net - 1,840
TOTAL ASSETS $11,017 $18,412
Total current liabilities $1,649 $7,396
Long-term debt, excluding current maturities 3,717 -
Other long-term liabilities - 320
Redeemable non-controlling interests - 17
Stockholders? equity 5,651 10,679
____________________________
s Subsidiaries
$2,137 ($2,603) $5,197

- (14,040) -
472 - 1,992
1,754 - 8,120
913 (29) 2,724
$5,276 ($16,672) $18,033
$1,618 ($2,603) $8,060

- - 3,717
284 (29) 575
13 - 30
3,361 (14,040) 5,651
$5,276 ($16,672) $18,033
d
Expedia Group, Inc.
10-K
02/08/2019
December 31, 2017
Parent Guarantor
Subsidiaries
(In millions)
ASSETS
Total current assets $359 $3,493
Investment in subsidiaries 10,265 4,249
Intangible assets, net - 1,736
Goodwill - 6,366
Other assets, net 5 1,677
TOTAL ASSETS $10,629 $17,521
Total current liabilities $751 $6,798
Long-term debt, excluding current maturities 3,749 -
Other long-term liabilities - 494
Redeemable non-controlling interests - 9
Stockholders? equity 6,129 10,220
____________________________
s Subsidiaries
$2,263 ($575) $5,540

- (14,514) -
573 - 2,309
1,863 - 8,229
775 (19) 2,438
$5,474 ($15,108) $18,516
$905 ($575) $7,879

- - 3,749
262 (19) 737
13 - 22
4,294 (14,514) 6,129
$5,474 ($15,108) $18,516
d
Expedia Group, Inc.
10-K
02/08/2019
Parent Guarantor
Subsidiaries
(In millions)
Net cash provided by operating activities $- $1,248
Capital expenditures, including internal-use - (752)
Purchases of investments - (1,720)
Sales and maturities of investments - 2,063
Acquisitions, net of cash and restricted - (53)
cash acquired
Transfers (to) from related parties - (86)
Other, net - 35
Net cash used in investing activities - (513)
Payment of long-term debt (500) -
Purchases of treasury stock (923) -
Proceeds from issuance of treasury stock 31 -
Payment of dividends to stockholders (186) -
Proceeds from exercise of equity awards 166 -
Changes in controlled subsidiaries, net - -
Transfers (to) from related parties 1,415 (785)
Other, net (3) (10)
Net cash used in financing activities - (795)
Effect of exchange rate changes on cash, - (71)
cash equivalents, and restricted cash
and cash equivalents
Net decrease in cash, cash equivalents, - (131)
Cash, cash equivalents, and restricted - 1,321
cash and cash equivalents at beginning
of year
Cash, cash equivalents, and restricted $- $1,190
____________________________
Non-Guarantor Consolidated
s Subsidiaries
$727 $1,975
(126) (878)
(83) (1,803)
74 2,137
- (53)
86 -
3 38
(46) (559)
- (500)
- (923)
- 31
- (186)
- 166
(62) (62)
(630) -
(2) (15)
(694) (1,489)
(68) (139)
(81) (212)
1,596 2,917
$1,515 $2,705
Expedia Group, Inc.
10-K
02/08/2019
Parent Guarantor
Subsidiaries
(In millions)
Net cash provided by operating activities $- $1,312
Purchases of investments - (1,222)
Sales and maturities of investments - 875
Acquisitions, net of cash and restricted - (168)
cash acquired
Other, net - 7
Net cash used in investing activities - (1,059)
Proceeds from issuance of long-term debt, 990 -
net of debt issuance costs
Transfers (to) from related parties (725) 605
Other, net (5) (15)
Net cash provided by financing activities - 590
Effect of exchange rate changes on cash, - 36
cash equivalents
Net increase in cash, cash equivalents, - 879
Cash, cash equivalents, and restricted - 442
of year
Cash, cash equivalents, and restricted $- $1,321
____________________________
Non-Guarantor Consolidated
s Subsidiaries
$533 $1,845
(164) (710)
(589) (1,811)
221 1,096
(1) (169)
5 -
6 13
(522) (1,581)
- 990
- (312)
- (176)
1 229
(18) (18)
120 -
(5) (25)
98 688
111 147
220 1,099
1,376 1,818
$1,596 $2,917
Expedia Group, Inc.
10-K
02/08/2019
Parent Guarantor
Subsidiaries
(In millions)
Net cash provided by operating activities $- $939
Purchases of investments - -
Sales and maturities of investments - 38
Acquisitions, net of cash acquired - -
Other, net - (50)
Net cash provided by (used in) investing - (820)
activities
Proceeds from issuance of long-term debt, (2) -
net of debt issuance costs
Payment of HomeAway Convertible Notes - (401)
Transfers (to) from related parties 468 (118)
Other, net (1) (2)
Net cash used in financing activities - (521)
Effect of exchange rate changes on cash, - (15)
cash equivalents
Net increase (decrease) in cash, cash equivalents, - (417)
Cash, cash equivalents, and restricted - 859
of year
Cash, cash equivalents, and restricted $- $442
____________________________
arantor Non-Guarantor Consolidated
bsidiaries Subsidiaries
$939 $610 $1,549
(635) (114) (749)
(45) (45)
38 23 61
(1) (1)
(173) 173 -
(50) 66 16
(820) 102 (718)
- (2)
(401) - (401)
- (456)
- (150)
- 141
208 208
(118) (350) -
(2) (28) (31)
(521) (170) (691)
(15) (20) (35)
(417) 522 105
859 854 1,713
$442 $1,376 $1,818

Expedia Group, Inc.
10-K
02/08/2019
As of December 31, 2018
U.S. Subsidiaries Jurisdiction
Classic Vacations, LLC United States - NV
Cruise, LLC United States - WA
EAN.com, LP United States - DE
Egencia LLC United States - NV
EXP Global Holdings, Inc. United States - DE
Expedia, Inc. United States - WA
HomeAway Holdings, Inc. United States - DE
HomeAway.com, Inc. United States - DE
Hotels.com GP, LLC United States - TX
Hotwire, Inc. United States - DE
HRN 99 Holdings, LLC United States - NY
Interactive Affiliate Network, LLC United States - DE
Orbitz Travel Insurance Services, LLC United States - DE
Orbitz Worldwide, Inc. United States - DE
Orbitz Worldwide, LLC United States - DE
Orbitz, Inc. United States - DE
Orbitz, LLC United States - DE
SilverRail Technologies, Inc* United States - DE
Travelscape, LLC United States - NV
Trip Network, Inc. United States - DE
Foreign Subsidiaries Jurisdiction

AAE Travel Pte. Ltd. Singapore
Ebookers Limited United Kingdom
Egencia France SAS France
Egencia UK Ltd. United Kingdom
EXP Holdings Luxembourg S.A. Luxembourg
Expedia Asia Holdings Mauritius Mauritius
Expedia do Brasil Agencia de Viagens e Turismo Brazil

Ltda.
Expedia Lodging Partner Services S?rl Switzerland
Expedia Southeast Asia Pte. Ltd. Singapore
Expedia.com Limited United Kingdom
HomeAway Netherlands Holding B.V. Netherlands
HomeAway UK Ltd. United Kingdom
____________________________
Expedia Group, Inc.
10-K
02/08/2019
As of December 31, 2018
Foreign Subsidiaries (continued) Jurisdiction
HotelClub Pty Ltd Australia
HomeAway Sarl Switzerland
HomeAway Spain SL Spain
Orbitz Worldwide (UK) Limited United Kingdom
trivago N.V.* Netherlands
WWTE Travel S.? r.l. Luxembourg
____________________________

Delaware 20-2705720 (State or Other Jurisdiction of (I.R.S. Employer Incorporation or Organization) Identification No.)

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Expedia Group, Inc.

EXPEDIA GROUP, INC.

Securities registered pursuant to Section 12(b) of the Act:

Title of each class: Name of each exchange on which registered:

Large accelerated filer ? Accelerated filer ?

Class Outstanding Shares at January 25, 2019

Declaration Date Dividend

March 8, 2018 $46 March 28, 2018

March 9, 2017 $42 March 30, 2017

Issuer Purchases of Equity Securities

Period Total Number of Average Price Total Number of

Year Ended December 31,

$8,774 $6,672 $5,763

$1.87 $5.87 $3.09

150,367 130,159 128,912

7/9/1905 7/8/1905 7/7/1905 7/6/190

($2,677) ($2,950) ($1,263)

Gross Bookings and Revenue Margin

Year ended December 31,

Year ended December 31,

Year Ended December 31,

Year ended December 31,

Year ended December 31,

Selling and Marketing

Year ended December 31,

Technology and Content

Year ended December 31,

General and Administrative

Year ended December 31,

Amortization and Impairment of Intangible Assets

Year ended December 31,

Legal Reserves, Occupancy Tax and Other

Year ended December 31,

$27 N/A (4) %

Year ended December 31,

Adjusted EBITDA by Segment

Year ended December 31,

Interest Income and Expense

Year ended December 31,

Year ended December 31,

Provision for Income Taxes

Year ended December 31,

Definition and Reconciliation of Adjusted EBITDA

Year ended December 31,

Financial Position, Liquidity and Capital Resources

Year ended December 31,

$1,549 $130 $296

Financial Position, Liquidity and Capital Resources

Year ended December 31,

Contractual Obligations and Commercial Commitments

$1,028 $959 $2,575

Exhibit Filed Incorporated

2.10 Share Purchase Agreement, dated as of December 21,

8-K 000-51447 2.20 12/21/2012

8-K 000-51447 10.10 4/2/2015

8-K 000-51447 10.20 4/2/2015

8-K 000-51447 2.10 5/22/2015

8-K 000-51447 3.20 3/27/2018

8-K 000-51447 3.30 3/27/2018