trivago N.V. confirms its full-year guidance after Expedia releases second quarter results - Seite 2

For more details, refer to Expedia's second-quarter report, which is available on the Securities and Exchange Commission's website (http://www.sec.gov). A recording of Expedia's webcast is also available on the Investor Relations section of its corporate website (http://ir.expediainc.com).

About trivago
Founded in 2005 and headquartered in Düsseldorf, Germany, trivago is a global hotel search platform, focused on reshaping the way travelers search for and compare hotels. trivago's mission is to "be the traveler's first and independent source of information for finding the ideal hotel at the lowest rate." As of June 30, 2017, trivago's global hotel search platform offered access to over 1.8 million hotels in over 190 countries. trivago's platform can be accessed globally via 55 localized websites and apps in 33 languages.

Media Contact
Sydney Burdick
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IR Contact
Matthias Tillmann
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*Non-GAAP Financial Measures

Adjusted EBITDA is a non-GAAP financial measure. We define adjusted EBITDA as net income plus:

1. benefit (provision) for income taxes,
2. total other income (expense), net,
3. depreciation of property and equipment, including amortization of internal use software and website development.
4. amortization of intangible assets, and
5. share-based compensation.

Adjusted EBITDA margin is adjusted EBITDA expressed as a percentage of total revenue.

Adjusted EBITDA for the year ended December 31, 2016 excluded total share-based compensation expense amounting to €53.7 million. There were certain shares held by trivago employees, which were originally awarded in prior years in the form of share-based options pursuant to the trivago employee option plan and subsequently exercised by such employees. During the second quarter of 2016, Expedia, Inc. exercised a call right on these shares and elected to do so at a premium to fair value, the aggregate payment of which, €62.5 million, was recorded as a Contribution from Parent in Members' Equity. The exercise resulted in an incremental share-based compensation charge of approximately €43.7 million in the second quarter of 2016 pursuant to liability award treatment. The differential between the cash settlement amount and the incremental share-based compensation charge reflects share-based compensation expense recorded on these awards in previous periods. For the full year 2016, €51.0 million of expense was due to the mark-to-market treatment.