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Just as your pulse is checked during a routine physical, free cash flow is used as an indicator of a company's health. It equals the cash brought in from operations minus the money needed to pay the bills. Think about leftover money in your checking account after you pay this month's bills.
Investors and analysts see this leftover money as a gauge of a company's ability to perform. It is available for transactions such as handing out dividends and working on new products.
Some argue free cash flow is wrongly overshadowed by the emphasis often placed on earnings. Earnings numbers can be manipulated and don't always tell the whole story -- and earnings don't mean much if there's nothing left over after a company pays its expenses. Even if you bring in a six-figure salary, but no money left after paying the bills, are you in great financial shape?
You don't have to be Einstein to figure out free cash flow. To calculate the number, subtract the company's expenditures and dividends from its operating cash flow.
If the free cash flow is written in red ink, it doesn't necessarily signal curtains. This is common for young companies looking to grow. It also could be a result of heavy investments, which in the long run could be worth a standing ovation.
Home / Markets / Industries / Industrials
Thursday, October 02, 2008
Travelers Advantage Launches Enhanced Benefits
Comtex
NORWALK, Conn., Oct 02, 2008 /PRNewswire via COMTEX/ ----Leading national travel company unveils user-friendly Home & Abroad service
Travelers Advantage, a leading national travel company, has launched a user-friendly new service called Home and Abroad, adding innovative new benefits to its robust menu of popular services.
(Photo: http://www.newscom.com/cgi-bin/prnh/20071212/NYWFNS2 )
Travelers Advantage's Home and Abroad is a next generation, one-stop travel service that offers a variety of new enhancements to its already diverse benefits serving leisure travelers around the globe. In addition to air travel, cruise, car rental and hotel accommodations, Travelers Advantage now offers:
-- A Comprehensive Trip Planner - allowing members to build custom itineraries for thousands of destinations worldwide. Simply pick destination, rank attractions (galleries, beaches, museums, etc.) and interests (art, fashion, music, sports) - and a suggested day-by-day itinerary of what to see and do is created, complete with detailed map to show you where to go. -- Personal Shopper - Know the best stores and popular retailers wherever you land with recommendations that fit your taste and lifestyle. Find guides, maps, books, DVDs and more about your destination. -- Activity Recommender - an enterprising travel companion that provides a wealth of destination activities, adventures and popular places. Members can select from numerous categories (action/adventure, music, art history, etc.) and a customized itinerary is developed for that specific category and destination. -- Trip Checklist - a destination-specific tool that offers real-time reminders for hotel, restaurant, and airplane reservations, as well as a roadmap to the best guide books, packing tips and other helpful guidelines to make the perfect trip for even the most organized world traveler. -- Dream Itineraries - written by local tourism officials and experts, these must-see recommendations are a user-friendly and quick way to grab a trip on the go. Pick a destination and choose from pre-set itineraries developed by local travel experts. Discover a wealth of information from those in the know.
"Travel is a very important part of my life, and as a movie star, actress and author, this new Home and Abroad service will take exotic travel destinations to a whole new level," said Mariel Hemingway, Travelers Advantage spokesperson.
Other leading-edge services offered through Travelers Advantage include an online reservation center, low-price guarantee, a five percent cash bonus on all booked trips, half-price hotels at more than 5,000 participating establishments and a hotel savings network where members save five to 20 percent at more than 10,000 participating hotels.
"Our new Home and Abroad service further establishes Travelers Advantage on the leading edge of the travel industry, and offers appealing new and valuable services in a competitive industry and anemic economy," said Leslie Downey, director of communication for Travelers Advantage and TravelersAdvantage.com. "Now more than every, travelers are seeking savings and value, and we continue to deliver."
Travelers Advantage was recently ranked No. 9 among leisure travel agencies in the 2008 Travel Weekly Power List, a prestigious annual ranking that selects the top 50 companies in the travel industry based on total annual sales revenue. Travelers Advantage shares the spotlight with such industry luminaries as American Express, Expedia, Travelocity, AAA Travel, Orbitz and Priceline. Last year, the company placed No. 10 among leisure agencies, and No. 19 overall.
There are more than 20,000 agencies in the $1.3 trillion travel and tourism industry.*
Since 1985, Travelers Advantage has established itself on the leading edge of the leisure travel market in the United States, serving millions of members, and delivering millions in cash bonuses to travelers worldwide.
Travel and Tourism generates $1.3 trillion in economic activity in the U.S. every year, according to the Travel Industry Association of America. That equates to $3.4 billion a day, $148 million an hour, $2.4 million a minute and $40,000 a second. There were 1.16 billion person trips (one person traveling 50 miles - one way or more away from home and/or overnight) in 2005, and a full 81 percent of those trips were for leisure travel. Top travel activities are shopping, attending social and/or family event and outdoor activities.
About Travelers Advantage
Members of Travelers Advantage (www.travelersadvantage.com or 1-800-548-1116) can save money on air travel, cruises, car rentals and accommodations, as well as earn five percent cash back on eligible travel booked with preferred providers through the service. Membership in Travelers Advantage can be enjoyed during the first month for only $1. The trial membership can be canceled at any time during the one-month trial period by calling toll free and owing nothing further. Unless the member calls to cancel during the trial, the membership will be extended automatically for an entire year at the $119.99 annual fee and automatically renewed annually upon expiration at the then-current annual fee, billed to a credit card account, without the member having to do anything further. Additionally, members may call toll free to cancel at any time and receive a pro-rata refund of their then current membership fee. Travelers Advantage is offered by Affinion Group, a leader in the membership, insurance and loyalty marketing businesses, providing products and services that touch the lives of millions of Americans.
About Affinion Group
As a global leader with nearly 35 years of experience, Affinion Group (www.affinion.com) enhances the value of its partners' customer relationships by developing and marketing valuable loyalty, membership, checking account, insurance and other compelling products and services. Leveraging its expertise in product development and targeted marketing, Affinion helps generate significant incremental revenue for more than 5,300 affinity partners worldwide, including many of the largest and most respected companies in financial services, retail, travel, and Internet commerce. Based in Norwalk, Conn., the company has approximately 3,300 employees throughout the United States and in 10 countries across Europe, and markets in 14 countries globally. Affinion holds the prestigious ISO 27001 certification for the highest information security practices, is PCI compliant and Cybertrust certified. For more company and investor information visit http://www.affinion.com.
* There are more than 20,000 travel agencies in the American Society of Travel Agents and its affiliated organizations. The travel and tourism industry is a $1.3 trillion industry, according to the Travel Industry Association of America.
Available Topic Expert(s): For information on the listed expert(s), click appropriate link.
Mariel Hemingway
https://profnet.prnewswire.com/Subscriber/ExpertProfile.aspx?ei=68025
SOURCE Travelers Advantage
http://www.affinion.com
Copyright (C) 2008 PR Newswire. All rights reserved
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