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HOUSE_OVERSIGHT_014906

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(FX-neutral). The STR data reflects a continued gradual deceleration in US RevPAR growth and a more recovery in European RevPAR growth as the region laps terrorist attacks and geopolitical uncertainty. Table 13: US and European RevPAR Y/Y Change Mar- US Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 17* 1016 2016 3Q16 4Q16 1017 Occupancy 0.3% 0.8% 04% 2.2% 05% 0.3% -1.0% 04% 16% 03% 25% -0.1% 0.5% -05% 16% | 05% 07% 01% 07% 05% ADR 2.8% 3.6% 3.2% 28% 24% 35% 3.6% 25% 3.9% 19% 34% 24% 3.2% 1.7% 26% 3.2% 29% 33% 26% 25% RevPAR 24% 2.8% 27% 5.0% 19% 38% 25% 2.1% 5.6% 16% 5.9% 23% 38% 1.2% 4.2% 27% 36% 34% 33% 3.0% Europe Occupancy 14% 15% 0.3% 35% 0.3% -07% 04% -15% 0.8% 04% 4.2% 45% 5.1% 2.9% 1.1% 0.8% -0.4% 28% 4.0% ADR A3% -27% 25% 3.2% 0.3% 4.5% -0.7% 48% -18% -8.6% 5.3% 5.0% -21% -3.1% 15% 0.3% -24% 63% -2.6% RevPAR 2.9% 13% 28% 6.8% 0.1% 5.1% —-1.1% 6.2% 1.0% 9.0% 1.3% 0.7% 2.9% -3.1% 0.5% 05% -28% -37% 0.1% Europe in Euros Jan-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16 Juli6 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 1Q16 2Q16 3Q16 4Q16 1Q17 Occupancy 14% 15% 0.3% 35% 0.3% -07% 0.4% -15% 0.8% 04% 4.2% 45% 5.1% 2.9% 1.1% 0.8% -0.4% 28% 4.0% ADR 0.0% -0.2% -17% -0.1% -0.9% -4.4% -27% -46% -16% -85% 5.4% -15% 0.9% 0.2% 0.7% -1.8% -3.0% 5.2% 04% RevPAR 14% 12% -14% 3.3% -1.2% 5.0% =—-3.1% ~=—-6.0% }~— 0.9% 8.9% ~=—-14% = 2.9% 94.2% ~— 3.0% 04% —--1.0% 3.3% = --2.4% ~~ 3.6% Source: Smith Travel Research (STR), BofA Merrill Lynch Global Research estimates; Note: **March data is month to date Estimates vs. Consensus: In-line 1Q revenue and EPS We expect 1Q revenue/EPS of $2.13bn/S0.07 vs. the Street at $2.14bn/$0.06 driven by 8% core OTA growth, 48% Trivago growth (in USD), 2% Egencia growth, and 16% HomeAway growth. We expect room night growth to remain stable at 16% in 1Q’17 before accelerating on easier comps in 2Q/3Q. Expedia guided 2017 EBITDA growth to 10-15% and our 2017 EBITDA forecast

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