Sabre Corporation (SABR)
NASDAQ: SABR · Real-Time Price · USD
1.810
+0.060 (3.43%)
Apr 24, 2026, 3:55 PM EDT - Market open
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AGM 2018

May 23, 2018

Speaker 1

18 Annual Meeting of Stockholders. I'm Larry Kellner, Sabre's Chairman of the Board and Chairman of this meeting. With me are Sean Minkie, Sabre's President, CEO and a Director and Steve Milton, Sabre's Corporate Secretary and Secretary of today's meeting. Also attending today's meeting are members of our Board of Directors in addition to Sean and myself. These directors are George Provante, Herve Coutiere, Renee James, Gary Cousin, Judy Odom, Joe Osnos, Carl Peterson and Zane Rowe.

Greg Mondre is attending via teleconference due to personal reasons. You should have found on your chairs a copy of today's agenda and a few rules for this meeting. As you will see from the agenda, we'll first cover the legal requirements for the meeting, and then we will address the proposals included in the proxy statement.

Speaker 2

After that, Sean will provide a brief business update.

Speaker 1

Finally, we will have a report on the results of the voting on today's proxy statement proposals. The items properly submitted for consideration at this meeting are the proposal for the election of 4 directors named in Sabre's proxy statements, approval of our independent auditors, approval of amendments to our amended and restated script of incorporation to increase the maximum size of the Board of Directors to 13 directors and to declassify the Board of Directors and the advisory vote on our named executive officers' compensation. Now Steve, will you please give us your report as to the call of the meeting, the inspectors report us to the presence of a quorum and the rules for the meeting.

Speaker 3

Thank you, Larry. We provided the following materials to each stockholder of record as of the record date March 26, 2018. Proper notice of this meeting and access to copies of the 2018 proxy statement and 2017 Annual Report. More than 90% of the company's common stock is represented at this meeting either by in person or by proxy. As a result, this meeting is properly convened and a quorum is present.

Affidavits confirming these matters as well as the certified list of stockholders are available for examination. The materials will also be filed with the records of this meeting. The following Inspector of Election has been appointed: David Carey, Senior Relationship Manager, American Stock Transfer and Trust Company. As Larry mentioned, the ground rules for today's meetings are included with the agenda placed on your chair. In order to provide a fair and informative meeting, we have established these rules and we appreciate your cooperation.

We'll introduce each of the 5 proposals set forth in the proxy statement and identified on the agenda. After all the proposals have been presented, we'll open the floor for discussion and general comments and questions. We will then vote on all proposals at the same time. If you are a stockholder and you wish to speak on a matter on the agenda, please raise your hand once the floor has been open for discussion and wait to be recognized. When you are recognized, that microphone will be brought to you.

Then please identify yourself, the number of shares that you represent, and the proposal on which you wish to speak. As described in the rules, individuals recognized to speak on any matter will be limited to 3 minutes. If you gave us your proxy or voted by telephone or on the Internet, your shares will be voted by the proxy committee as you've directed. If you have not voted your shares yet or if you wish to change your vote on any matter, please raise your hand and a ballot will be brought to you. We will collect the ballots later during the meeting when the polls are declared open.

Are there any ballots that need a ballot? Finally, during today's meeting, we will make forward looking statements based on management's expectations of future events and actual results may differ materially from the forward looking statements. For more information about the risks that could cause this to happen, please refer to the risk factors in a cautionary note regarding forward looking statements sections in our 2017 Form 10 ks and Q1 2018 Form 10 Q as well as our other filings with the SEC. In addition, we'll be presenting certain non GAAP financial measures. The most directly comparable GAAP measures and reconciliations are available in the appendix of the slides

Speaker 2

as well as in

Speaker 3

our earnings releases and other documents that are posted on our website at investors. Sabre.com.

Speaker 2

And now, I'll turn it over

Speaker 3

to Sean Minkie, our President and Chief Executive Officer.

Speaker 2

Great. Thank you, Steve, and welcome everybody to our 2018 Annual Meeting of Stockholders. We will first consider and vote on the proposals in our proxy statement. I will then provide a few comments on our business, and finally, Steve will report on the results of today's vote. Each of the 5 proposals on the ballot today has been described in detail in our 2018 proxy statement.

The first proposal in the proxy statement is the election of Herve Couthiere, Larry Kellner, Judy Odom and Carl Peterson as Directors. On behalf of the Board and its governance and nomination committee, I declare that each of these 4 individuals has been properly nominated for a 3 year term expiring at the 2021 Annual Meeting of Stockholders. The next order of business is Proposal 2, ratification of the Audit Committee selection of Ernst and Young as the company's independent registered public accounting firm to audit the company's 2018 financial statements. Marty McKinnon, Gabe Stagner and Libby Whitehead from Ernst and Young are with us today. The next order of business is proposal 3, to amend the company's amended and restated certificate of incorporation to increase the maximum size of the Board of Directors to 13 directors.

The next order of business is Proposal 4, to amend the company's amended and restated certificate of incorporation to declassify the Board of Directors. The next order of business is Proposal 5, an advisory non binding vote on the 2017 compensation of our named executive officers. We will now open the floor for general discussion. Is there any discussion on any of the proposals or any other questions or comments? If you wish to ask a question, please raise your hand and wait to be recognized.

Once recognized, please wait for a microphone, then state your name, the number of shares you own or represent and the proposal on which you will comment. Also, please remember to limit your comments to 3 minutes each to ensure others have opportunity to speak. Any questions or comments? There being no questions, I declare that the polls are now open. Please raise your hand if you would like to cast a ballot from the floor and someone will come and collect it from you.

I now declare that the polls are closed. While the inspectors of the elections complete the vote tabulation, I will comment briefly on our business performance in 2017. Looking back on 2017, it was a transformational year for Sabre. We infused our leadership team with fresh ideas, evolved our technology, enhanced our customer engagement strategies and realized efficiencies in our SG and A and total technology investments. We delivered full year results that were consistent with our guidance and demonstrated a strong foundation.

Total revenue was $3,600,000,000 an increase of 7%. Total adjusted EBITDA was $1,080,000,000 an increase of 3%. Full year adjusted earnings per share increased 7 percent to $1.40 per share. And finally, free cash flow totaled 362,000,000 dollars a decrease of 3%. Each of our business units contributed to the solid full year results and delivered commercial and operational progress consistent with our strategies.

In travel network, we increased revenue 7% and grew bookings in every region. We expanded into higher value regions as we began ramping up Flight Centre, a key travel agency in Asia Pacific. We successfully launched the new Sabre Red Workspace, our travel agency booking tool, with several major customers and progressed on our road map to continue customers worldwide. And finally, we moved our shopping complex to a private cloud environment to support growth and increase cost efficiency. In Airline and Hospitality Solutions, we increased revenue 5% and signed and successfully implemented solutions with a range of airlines and hotel customers from AirSERBIA and Aeromexico to Wyndham.

In Airline Solutions, revenue growth was more modest at 3% with solid passenger boarded growth on a consistent carrier basis. Over the year, we focused investments in Drovever to improve our leading Airline Solutions product portfolio with an extensive review, identifying opportunities to increase flexibility and speed to market, enhanceability to cross sell and up sell, reduce cost and increase stability of our systems. At Hospitality Solutions, we grew revenue 15% and completed the industry's largest single instance property management system in operations with Wyndham and successfully migrated several Wyndham brands to our SynXis central reservation system. Our teams around the world are energized, aligned and engaged to execute our strategy. Although our work isn't done, I'm very proud and would once again like to thank them for the great focus and collaboration across the business that led to our solid 2017 performance.

Thank you so much for your participation today. I'd like to turn the call back over to Steve.

Speaker 3

Thank you, Sean. First, let me say that the results I'm about to announce are preliminary. We'll file the final results with the SEC on a Form 8 ks within 4 business days. Inspector of Election has advised me that each of the 4 nominees for Director was elected for a 3 year term. The selection of Ernst and Young as the company's independent registered public accounting firm was ratified.

Both amendments to the company's amended and restated certificate of incorporation were approved and the advisory vote to approve our named executive officers' compensation was approved. With that, I will turn it over to Larry to adjourn the meeting.

Speaker 1

Thank you, Steve. On behalf of the Board, I'd like to thank Sean and the entire management team for what they're doing for Sabre and

Speaker 2

for their efforts. I'd like

Speaker 1

to thank you for your tenants today and your continued support of Sabre. With that, we'll adjourn the meeting. Thank you very much.

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