Amadeus IT Holding, S.A. and Subsidiaries - Investor relations at ...

AMADEUS IT HOLDING, S.A. AND SUBSIDIARIES
DIRECTORS’ REPORT FOR THE YEAR ENDED DECEMBER 31, 2011
2.3.3 Pre-tax operating cash flow
Pre-tax operating cash flow in the fourth quarter of 2011 amounted to €128.8 million
(excluding extraordinary IPO costs), or €40.1 million below that of the same period of 2010.
The decrease was driven by the higher capex of the period, together with a lower cash inflow
from change in working capital as factoring was not used in December 2011, as explained
above. These negative effects were partially offset by an increase in EBITDA.
For the full year, Pre-tax operating cash flow amounted to €810.5 million or €19.0 million
lower than that of 2010. The higher cash from EBITDA and the collection from United was
offset by a lower cash inflow from change in working capital, as well as the higher capex in
the year.
2.3.4 Taxes
Taxes paid in the fourth quarter of 2011 amounted to €81.3 million, compared to €4.3 million
in the same period in 2010. This significant increase was mainly driven by (i) a low base of
comparison, as tax paid in the fourth quarter of 2010 benefitted from the positive impact of
certain extraordinary IPO costs, which were tax deductible, and (ii) a change in the Spanish
tax regulation, which requires higher tax prepayments.
Payments for the full year 2011 amounted to €123.3 million, compared to €71.5 million. The
increase was mainly due to the low base of comparison in 2010, driven by the tax
deductibility of certain extraordinary IPO costs, which only partially benefitted the cash
payments in 2011.
2.3.5 Equity investments
Equity investments amounted to €399.2 million in 2011. This cash inflow mainly corresponds
to the proceeds from the sale of Opodo and 27% of our equity stake in Topas.
The cash outflow in the fourth quarter of 2011 was mainly driven by the purchase of shares of
Amadeus IT Group, S.A. to minority shareholders.
2.3.6 Cash flow from extraordinary items
Extraordinary items in 2011 mainly refer to a partial payment to employees in relation to the
Value Sharing Plan incentive scheme. In 2010, extraordinary items mainly referred to
payments related to the IPO.
2.3.7 Interest and financial fees received / (paid)
Interest payments under our debt arrangements fell by 66.6% in the fourth quarter of 2011
and by 20.3% in the full year 2011. This significant decrease is due to lower payment of
interest expenses, given the lower amount of debt outstanding after debt repayments in 2010
and 2011 and the lower cost of debt after the debt refinancing.
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