Cover
Cover - shares | 9 Months Ended | |
Sep. 30, 2022 | Oct. 14, 2022 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2022 | |
Document Transition Report | false | |
Entity File Number | 1-8400 | |
Entity Registrant Name | American Airlines Group Inc. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 75-1825172 | |
Entity Address, Address Line One | 1 Skyview Drive, | |
Entity Address, City or Town | Fort Worth, | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 76155 | |
City Area Code | (682) | |
Local Phone Number | 278-9000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 649,900,887 | |
Entity Central Index Key | 0000006201 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2022 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Common Stock, $0.01 par value per share | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Common Stock, $0.01 par value per share | |
Trading Symbol | AAL | |
Security Exchange Name | NASDAQ | |
Preferred Stock Purchase Rights | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Preferred Stock Purchase Rights | |
American Airlines, Inc. | ||
Document Information [Line Items] | ||
Entity File Number | 1-2691 | |
Entity Registrant Name | American Airlines, Inc. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 13-1502798 | |
Entity Address, Address Line One | 1 Skyview Drive, | |
Entity Address, City or Town | Fort Worth, | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 76155 | |
City Area Code | (682) | |
Local Phone Number | 278-9000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Non-accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 1,000 | |
Entity Central Index Key | 0000004515 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Operations - American Airlines Group Inc. - USD ($) shares in Thousands, $ in Millions | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Operating revenues: | ||||||||
Operating revenues | $ 13,462 | $ 8,969 | $ 35,783 | $ 20,455 | ||||
Operating expenses: | ||||||||
Aircraft fuel and related taxes | 3,847 | 1,952 | 10,369 | 4,596 | ||||
Salaries, wages and benefits | 3,384 | 3,018 | 9,773 | 8,611 | ||||
Regional expenses | 1,174 | 887 | 3,298 | 2,148 | ||||
Maintenance, materials and repairs | 685 | 548 | 1,949 | 1,383 | ||||
Other rent and landing fees | 710 | 694 | 2,081 | 1,950 | ||||
Aircraft rent | 347 | 358 | 1,045 | 1,064 | ||||
Selling expenses | 495 | 318 | 1,331 | 745 | ||||
Depreciation and amortization | 491 | 480 | 1,486 | 1,439 | ||||
Special items, net | 37 | (990) | 189 | (3,986) | ||||
Other | 1,362 | 1,109 | 4,037 | 2,784 | ||||
Total operating expenses | 12,532 | 8,374 | 35,558 | 20,734 | ||||
Operating income (loss) | 930 | 595 | 225 | (279) | ||||
Nonoperating income (expense): | ||||||||
Interest income | 70 | 5 | 107 | 13 | ||||
Interest expense, net | (499) | (476) | (1,430) | (1,332) | ||||
Other income, net | 157 | 82 | 274 | 241 | ||||
Total nonoperating expense, net | (272) | (389) | (1,049) | (1,078) | ||||
Income (loss) before income taxes | 658 | 206 | (824) | (1,357) | ||||
Income tax provision (benefit) | 175 | 37 | (148) | (296) | ||||
Net income (loss) | $ 483 | $ 476 | $ (1,635) | $ 169 | $ 19 | $ (1,250) | $ (676) | $ (1,061) |
Earnings (loss) per common share: | ||||||||
Basic (in dollars per share) | $ 0.74 | $ 0.26 | $ (1.04) | $ (1.65) | ||||
Diluted (in dollars per share) | $ 0.69 | $ 0.25 | $ (1.04) | $ (1.65) | ||||
Weighted average shares outstanding (in thousands): | ||||||||
Basic (in shares) | 650,586 | 648,564 | 650,145 | 642,432 | ||||
Diluted (in shares) | 715,985 | 721,142 | 650,145 | 642,432 | ||||
Passenger | ||||||||
Operating revenues: | ||||||||
Operating revenues | $ 12,396 | $ 7,957 | $ 32,438 | $ 17,682 | ||||
Cargo | ||||||||
Operating revenues: | ||||||||
Operating revenues | 279 | 332 | 970 | 973 | ||||
Other | ||||||||
Operating revenues: | ||||||||
Operating revenues | $ 787 | $ 680 | $ 2,375 | $ 1,800 |
Condensed Consolidated Statem_2
Condensed Consolidated Statements of Operations - American Airlines, Inc. - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Operating revenues: | ||||
Operating revenues | $ 13,462 | $ 8,969 | $ 35,783 | $ 20,455 |
Operating expenses: | ||||
Aircraft fuel and related taxes | 3,847 | 1,952 | 10,369 | 4,596 |
Salaries, wages and benefits | 3,384 | 3,018 | 9,773 | 8,611 |
Regional expenses | 1,174 | 887 | 3,298 | 2,148 |
Maintenance, materials and repairs | 685 | 548 | 1,949 | 1,383 |
Other rent and landing fees | 710 | 694 | 2,081 | 1,950 |
Aircraft rent | 347 | 358 | 1,045 | 1,064 |
Selling expenses | 495 | 318 | 1,331 | 745 |
Depreciation and amortization | 491 | 480 | 1,486 | 1,439 |
Special items, net | 37 | (990) | 189 | (3,986) |
Other | 1,362 | 1,109 | 4,037 | 2,784 |
Total operating expenses | 12,532 | 8,374 | 35,558 | 20,734 |
Operating income (loss) | 930 | 595 | 225 | (279) |
Nonoperating income (expense): | ||||
Interest income | 70 | 5 | 107 | 13 |
Interest expense, net | (499) | (476) | (1,430) | (1,332) |
Other income, net | 157 | 82 | 274 | 241 |
Total nonoperating expense, net | (272) | (389) | (1,049) | (1,078) |
Income (loss) before income taxes | 658 | 206 | (824) | (1,357) |
Income tax provision (benefit) | 175 | 37 | (148) | (296) |
Net income (loss) | 483 | 169 | (676) | (1,061) |
Passenger | ||||
Operating revenues: | ||||
Operating revenues | 12,396 | 7,957 | 32,438 | 17,682 |
Cargo | ||||
Operating revenues: | ||||
Operating revenues | 279 | 332 | 970 | 973 |
Other | ||||
Operating revenues: | ||||
Operating revenues | 787 | 680 | 2,375 | 1,800 |
American Airlines, Inc. | ||||
Operating revenues: | ||||
Operating revenues | 13,461 | 8,968 | 35,778 | 20,454 |
Operating expenses: | ||||
Aircraft fuel and related taxes | 3,847 | 1,952 | 10,369 | 4,596 |
Salaries, wages and benefits | 3,382 | 3,017 | 9,768 | 8,607 |
Regional expenses | 1,172 | 789 | 3,253 | 2,053 |
Maintenance, materials and repairs | 685 | 548 | 1,949 | 1,383 |
Other rent and landing fees | 710 | 694 | 2,081 | 1,950 |
Aircraft rent | 347 | 358 | 1,045 | 1,064 |
Selling expenses | 495 | 318 | 1,331 | 745 |
Depreciation and amortization | 488 | 480 | 1,480 | 1,439 |
Special items, net | 37 | (990) | 189 | (3,986) |
Other | 1,363 | 1,109 | 4,039 | 2,785 |
Total operating expenses | 12,526 | 8,275 | 35,504 | 20,636 |
Operating income (loss) | 935 | 693 | 274 | (182) |
Nonoperating income (expense): | ||||
Interest income | 111 | 8 | 162 | 26 |
Interest expense, net | (482) | (435) | (1,342) | (1,214) |
Other income, net | 156 | 82 | 274 | 239 |
Total nonoperating expense, net | (215) | (345) | (906) | (949) |
Income (loss) before income taxes | 720 | 348 | (632) | (1,131) |
Income tax provision (benefit) | 180 | 68 | (115) | (247) |
Net income (loss) | 540 | 280 | (517) | (884) |
American Airlines, Inc. | Passenger | ||||
Operating revenues: | ||||
Operating revenues | 12,396 | 7,957 | 32,438 | 17,682 |
American Airlines, Inc. | Cargo | ||||
Operating revenues: | ||||
Operating revenues | 279 | 332 | 970 | 973 |
American Airlines, Inc. | Other | ||||
Operating revenues: | ||||
Operating revenues | $ 786 | $ 679 | $ 2,370 | $ 1,799 |
Condensed Consolidated Statem_3
Condensed Consolidated Statements of Comprehensive Income (Loss) - American Airlines Group Inc. - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Statement of Comprehensive Income [Abstract] | ||||||||
Net income (loss) | $ 483 | $ 476 | $ (1,635) | $ 169 | $ 19 | $ (1,250) | $ (676) | $ (1,061) |
Other comprehensive income (loss), net of tax: | ||||||||
Pension, retiree medical and other postretirement benefits | 29 | 40 | 85 | 146 | ||||
Investments | (1) | 0 | (5) | 0 | ||||
Total other comprehensive income, net of tax | 28 | $ 26 | $ 26 | 40 | $ 39 | $ 67 | 80 | 146 |
Total comprehensive income (loss) | $ 511 | $ 209 | $ (596) | $ (915) |
Condensed Consolidated Statem_4
Condensed Consolidated Statements of Comprehensive Income (Loss) - American Airlines, Inc. - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Net income (loss) | $ 483 | $ 169 | $ (676) | $ (1,061) |
Other comprehensive income (loss), net of tax: | ||||
Pension, retiree medical and other postretirement benefits | 29 | 40 | 85 | 146 |
Investments | (1) | 0 | (5) | 0 |
Other comprehensive income, net | 28 | 40 | 80 | 146 |
Total comprehensive income (loss) | 511 | 209 | (596) | (915) |
American Airlines, Inc. | ||||
Net income (loss) | 540 | 280 | (517) | (884) |
Other comprehensive income (loss), net of tax: | ||||
Pension, retiree medical and other postretirement benefits | 29 | 40 | 85 | 145 |
Investments | (1) | 0 | (5) | 0 |
Other comprehensive income, net | 28 | 40 | 80 | 145 |
Total comprehensive income (loss) | $ 568 | $ 320 | $ (437) | $ (739) |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - American Airlines Group Inc. - USD ($) $ in Millions | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2020 |
Current assets | ||||||||
Cash | $ 332 | $ 273 | $ 293 | |||||
Short-term investments | 10,900 | 12,158 | ||||||
Restricted cash and short-term investments | 953 | 990 | ||||||
Accounts receivable, net | 1,991 | 1,505 | ||||||
Aircraft fuel, spare parts and supplies, net | 2,215 | 1,795 | ||||||
Prepaid expenses and other | 986 | 615 | ||||||
Total current assets | 17,377 | 17,336 | ||||||
Operating property and equipment | ||||||||
Flight equipment | 39,154 | 37,856 | ||||||
Ground property and equipment | 9,696 | 9,335 | ||||||
Equipment purchase deposits | 643 | 517 | ||||||
Total property and equipment, at cost | 49,493 | 47,708 | ||||||
Less accumulated depreciation and amortization | (19,506) | (18,171) | ||||||
Total property and equipment, net | 29,987 | 29,537 | ||||||
Operating lease right-of-use assets | 7,549 | 7,850 | ||||||
Other assets | ||||||||
Goodwill | 4,091 | 4,091 | ||||||
Intangibles, net of accumulated amortization of $816 and $786, respectively | 2,069 | 1,988 | ||||||
Deferred tax asset | 3,679 | 3,556 | ||||||
Other assets | 1,900 | 2,109 | ||||||
Total other assets | 11,739 | 11,744 | ||||||
Total assets | 66,652 | 66,467 | ||||||
Current liabilities | ||||||||
Current maturities of long-term debt and finance leases | 2,749 | 2,489 | ||||||
Accounts payable | 2,117 | 1,772 | ||||||
Accrued salaries and wages | 1,662 | 1,489 | ||||||
Operating lease liabilities | 1,467 | 1,507 | ||||||
Other accrued liabilities | 2,808 | 2,766 | ||||||
Total current liabilities | 21,970 | 19,006 | ||||||
Noncurrent liabilities | ||||||||
Long-term debt and finance leases, net of current maturities | 34,185 | 35,571 | ||||||
Pension and postretirement benefits | 4,601 | 5,053 | ||||||
Loyalty program liability | 6,141 | 6,239 | ||||||
Operating lease liabilities | 6,281 | 6,610 | ||||||
Other liabilities | 1,367 | 1,328 | ||||||
Total noncurrent liabilities | 52,575 | 54,801 | ||||||
Commitments and contingencies | ||||||||
Stockholder's equity | ||||||||
Common stock, value | 6 | 6 | ||||||
Additional paid-in capital | 7,277 | 7,234 | ||||||
Accumulated other comprehensive loss | (5,862) | (5,942) | ||||||
Retained deficit | (9,314) | (8,638) | ||||||
Total stockholders’ deficit | (7,893) | $ (8,422) | $ (8,940) | (7,340) | $ (7,437) | $ (7,667) | $ (7,945) | $ (6,867) |
Total liabilities and stockholders’ equity (deficit) | 66,652 | 66,467 | ||||||
Air traffic liability | ||||||||
Current liabilities | ||||||||
Deferred revenue, current | 8,161 | 6,087 | ||||||
Loyalty program liability | ||||||||
Current liabilities | ||||||||
Deferred revenue, current | $ 3,006 | $ 2,896 |
Condensed Consolidated Balanc_2
Condensed Consolidated Balance Sheets - American Airlines Group Inc. (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Statement of Financial Position [Abstract] | ||
Accumulated amortization of intangibles | $ 816 | $ 786 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 1,750,000,000 | 1,750,000,000 |
Common stock, shares issued (in shares) | 649,863,026 | 647,727,595 |
Common stock, shares outstanding (in shares) | 649,863,026 | 647,727,595 |
Condensed Consolidated Balanc_3
Condensed Consolidated Balance Sheets - American Airlines, Inc. - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Current assets | ||
Cash | $ 332 | $ 273 |
Short-term investments | 10,900 | 12,158 |
Restricted cash and short-term investments | 953 | 990 |
Accounts receivable, net | 1,991 | 1,505 |
Aircraft fuel, spare parts and supplies, net | 2,215 | 1,795 |
Prepaid expenses and other | 986 | 615 |
Total current assets | 17,377 | 17,336 |
Operating property and equipment | ||
Flight equipment | 39,154 | 37,856 |
Ground property and equipment | 9,696 | 9,335 |
Equipment purchase deposits | 643 | 517 |
Total property and equipment, at cost | 49,493 | 47,708 |
Less accumulated depreciation and amortization | (19,506) | (18,171) |
Total property and equipment, net | 29,987 | 29,537 |
Operating lease right-of-use assets | 7,549 | 7,850 |
Other assets | ||
Goodwill | 4,091 | 4,091 |
Intangibles, net of accumulated amortization of $816 and $786, respectively | 2,069 | 1,988 |
Deferred tax asset | 3,679 | 3,556 |
Other assets | 1,900 | 2,109 |
Total other assets | 11,739 | 11,744 |
Total assets | 66,652 | 66,467 |
Current liabilities | ||
Current maturities of long-term debt and finance leases | 2,749 | 2,489 |
Accounts payable | 2,117 | 1,772 |
Accrued salaries and wages | 1,662 | 1,489 |
Operating lease liabilities | 1,467 | 1,507 |
Other accrued liabilities | 2,808 | 2,766 |
Total current liabilities | 21,970 | 19,006 |
Noncurrent liabilities | ||
Long-term debt and finance leases, net of current maturities | 34,185 | 35,571 |
Pension and postretirement benefits | 4,601 | 5,053 |
Loyalty program liability | 6,141 | 6,239 |
Operating lease liabilities | 6,281 | 6,610 |
Other liabilities | 1,367 | 1,328 |
Total noncurrent liabilities | 52,575 | 54,801 |
Commitments and contingencies | ||
Stockholder's equity | ||
Common stock, value | 6 | 6 |
Additional paid-in capital | 7,277 | 7,234 |
Accumulated other comprehensive loss | (5,862) | (5,942) |
Retained deficit | (9,314) | (8,638) |
Total stockholders’ deficit | (7,893) | (7,340) |
Total liabilities and stockholders’ equity (deficit) | 66,652 | 66,467 |
Accumulated Other Comprehensive Loss | ||
Stockholder's equity | ||
Total stockholders’ deficit | (5,862) | (5,942) |
American Airlines, Inc. | ||
Current assets | ||
Cash | 327 | 265 |
Short-term investments | 10,898 | 12,155 |
Restricted cash and short-term investments | 953 | 990 |
Accounts receivable, net | 1,968 | 1,484 |
Receivables from related parties, net | 6,475 | 5,547 |
Aircraft fuel, spare parts and supplies, net | 2,098 | 1,692 |
Prepaid expenses and other | 949 | 579 |
Total current assets | 23,668 | 22,712 |
Operating property and equipment | ||
Flight equipment | 38,810 | 37,520 |
Ground property and equipment | 9,272 | 8,966 |
Equipment purchase deposits | 643 | 517 |
Total property and equipment, at cost | 48,725 | 47,003 |
Less accumulated depreciation and amortization | (19,059) | (17,770) |
Total property and equipment, net | 29,666 | 29,233 |
Operating lease right-of-use assets | 7,484 | 7,810 |
Other assets | ||
Goodwill | 4,091 | 4,091 |
Intangibles, net of accumulated amortization of $816 and $786, respectively | 2,069 | 1,988 |
Deferred tax asset | 3,497 | 3,408 |
Other assets | 1,694 | 1,903 |
Total other assets | 11,351 | 11,390 |
Total assets | 72,169 | 71,145 |
Current liabilities | ||
Current maturities of long-term debt and finance leases | 2,742 | 1,742 |
Accounts payable | 2,012 | 1,630 |
Accrued salaries and wages | 1,489 | 1,385 |
Operating lease liabilities | 1,450 | 1,496 |
Other accrued liabilities | 2,701 | 2,628 |
Total current liabilities | 21,561 | 17,864 |
Noncurrent liabilities | ||
Long-term debt and finance leases, net of current maturities | 28,950 | 30,352 |
Pension and postretirement benefits | 4,569 | 5,020 |
Loyalty program liability | 6,141 | 6,239 |
Operating lease liabilities | 6,231 | 6,578 |
Other liabilities | 1,269 | 1,266 |
Total noncurrent liabilities | 47,160 | 49,455 |
Commitments and contingencies | ||
Stockholder's equity | ||
Common stock, value | 0 | 0 |
Additional paid-in capital | 17,211 | 17,152 |
Accumulated other comprehensive loss | (5,961) | (6,041) |
Retained deficit | (7,802) | (7,285) |
Total stockholders’ deficit | 3,448 | 3,826 |
Total liabilities and stockholders’ equity (deficit) | 72,169 | 71,145 |
American Airlines, Inc. | Accumulated Other Comprehensive Loss | ||
Stockholder's equity | ||
Total stockholders’ deficit | (5,961) | (6,041) |
Air traffic liability | ||
Current liabilities | ||
Deferred revenue, current | 8,161 | 6,087 |
Air traffic liability | American Airlines, Inc. | ||
Current liabilities | ||
Deferred revenue, current | 8,161 | 6,087 |
Loyalty program liability | ||
Current liabilities | ||
Deferred revenue, current | 3,006 | 2,896 |
Loyalty program liability | American Airlines, Inc. | ||
Current liabilities | ||
Deferred revenue, current | $ 3,006 | $ 2,896 |
Condensed Consolidated Balanc_4
Condensed Consolidated Balance Sheets - American Airlines, Inc. (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Accumulated amortization of intangibles | $ 816 | $ 786 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 1,750,000,000 | 1,750,000,000 |
Common stock, shares outstanding (in shares) | 649,863,026 | 647,727,595 |
Common stock, shares issued (in shares) | 649,863,026 | 647,727,595 |
American Airlines, Inc. | ||
Accumulated amortization of intangibles | $ 816 | $ 786 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 1,000 | 1,000 |
Common stock, shares outstanding (in shares) | 1,000 | 1,000 |
Common stock, shares issued (in shares) | 1,000 | 1,000 |
Condensed Consolidated Statem_5
Condensed Consolidated Statements of Cash Flows - American Airlines Group Inc. - USD ($) $ in Millions | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | ||
Statement of Cash Flows [Abstract] | |||
Net cash provided by operating activities | $ 2,331 | $ 1,904 | |
Cash flows from investing activities: | |||
Capital expenditures, net of aircraft purchase deposit returns | (1,860) | (25) | |
Airport construction projects, net of reimbursements | (274) | (110) | |
Proceeds from sale-leaseback transactions | 46 | 168 | |
Proceeds from sale of property and equipment | 37 | 181 | |
Sales of short-term investments | 13,412 | 7,540 | |
Purchases of short-term investments | (12,113) | (15,159) | |
Decrease (increase) in restricted short-term investments | 41 | (330) | |
Purchase of equity investments | (205) | 0 | |
Other investing activities | 0 | 14 | |
Net cash used in investing activities | (916) | (7,721) | |
Cash flows from financing activities: | |||
Payments on long-term debt and finance leases | (2,038) | (6,639) | |
Proceeds from issuance of long-term debt | 699 | 12,096 | |
Shares withheld for taxes pursuant to employee stock plans | (16) | (13) | |
Deferred financing costs | (2) | (176) | |
Proceeds from issuance of equity | 0 | 460 | |
Other financing activities | 10 | 121 | |
Net cash provided by (used in) financing activities | (1,347) | 5,849 | |
Net increase in cash and restricted cash | 68 | 32 | |
Cash and restricted cash at beginning of period | 408 | 399 | |
Cash and restricted cash at end of period | [1] | 476 | 431 |
Non-cash transactions: | |||
Right-of-use (ROU) assets acquired through operating leases | 840 | 914 | |
Property and equipment acquired through finance leases | 121 | 127 | |
Operating lease conversion to finance lease | 42 | 102 | |
Equity investments | 12 | 0 | |
Finance lease conversion to operating lease | 4 | 0 | |
Supplemental information: | |||
Interest paid, net | 1,478 | 1,306 | |
Income taxes paid | $ 2 | $ 2 | |
[1]The following table provides a reconciliation of cash and restricted cash to amounts reported within the condensed consolidated balance sheets: Cash $ 332 $ 293 Restricted cash included in restricted cash and short-term investments 144 138 Total cash and restricted cash $ 476 $ 431 |
Condensed Consolidated Statem_6
Condensed Consolidated Statements of Cash Flows - American Airlines Group Inc. (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | Dec. 31, 2020 | ||
Statement of Cash Flows [Abstract] | ||||||
Cash | $ 332 | $ 273 | $ 293 | |||
Restricted cash included in restricted cash and short-term investments | 144 | 138 | ||||
Total cash and restricted cash | $ 476 | [1] | $ 408 | $ 431 | [1] | $ 399 |
[1]The following table provides a reconciliation of cash and restricted cash to amounts reported within the condensed consolidated balance sheets: Cash $ 332 $ 293 Restricted cash included in restricted cash and short-term investments 144 138 Total cash and restricted cash $ 476 $ 431 |
Condensed Consolidated Statem_7
Condensed Consolidated Statements of Cash Flows - American Airlines, Inc. - USD ($) $ in Millions | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | ||
Net cash provided by operating activities | $ 2,331 | $ 1,904 | |
Cash flows from investing activities: | |||
Capital expenditures, net of aircraft purchase deposit returns | (1,860) | (25) | |
Airport construction projects, net of reimbursements | (274) | (110) | |
Proceeds from sale-leaseback transactions | 46 | 168 | |
Proceeds from sale of property and equipment | 37 | 181 | |
Sales of short-term investments | 13,412 | 7,540 | |
Purchases of short-term investments | (12,113) | (15,159) | |
Decrease (increase) in restricted short-term investments | 41 | (330) | |
Purchase of equity investments | (205) | 0 | |
Other investing activities | 0 | 14 | |
Net cash used in investing activities | (916) | (7,721) | |
Cash flows from financing activities: | |||
Payments on long-term debt and finance leases | (2,038) | (6,639) | |
Proceeds from issuance of long-term debt | 699 | 12,096 | |
Deferred financing costs | (2) | (176) | |
Other financing activities | 10 | 121 | |
Net cash provided by (used in) financing activities | (1,347) | 5,849 | |
Net increase in cash and restricted cash | 68 | 32 | |
Cash and restricted cash at beginning of period | 408 | 399 | |
Cash and restricted cash at end of period | [1] | 476 | 431 |
Non-cash transactions: | |||
Right-of-use (ROU) assets acquired through operating leases | 840 | 914 | |
Property and equipment acquired through finance leases | 121 | 127 | |
Operating lease conversion to finance lease | 42 | 102 | |
Equity investments | 12 | 0 | |
Finance lease conversion to operating lease | 4 | 0 | |
Supplemental information: | |||
Interest paid, net | 1,478 | 1,306 | |
Income taxes paid | 2 | 2 | |
American Airlines, Inc. | |||
Net cash provided by operating activities | 1,515 | 4,392 | |
Cash flows from investing activities: | |||
Capital expenditures, net of aircraft purchase deposit returns | (1,818) | (1) | |
Airport construction projects, net of reimbursements | (274) | (110) | |
Proceeds from sale-leaseback transactions | 46 | 168 | |
Proceeds from sale of property and equipment | 37 | 181 | |
Sales of short-term investments | 13,412 | 7,540 | |
Purchases of short-term investments | (12,113) | (15,145) | |
Decrease (increase) in restricted short-term investments | 41 | (330) | |
Purchase of equity investments | (205) | 0 | |
Other investing activities | 0 | 14 | |
Net cash used in investing activities | (874) | (7,683) | |
Cash flows from financing activities: | |||
Payments on long-term debt and finance leases | (1,279) | (6,615) | |
Proceeds from issuance of long-term debt | 699 | 10,115 | |
Deferred financing costs | (2) | (174) | |
Other financing activities | 12 | 0 | |
Net cash provided by (used in) financing activities | (570) | 3,326 | |
Net increase in cash and restricted cash | 71 | 35 | |
Cash and restricted cash at beginning of period | 400 | 385 | |
Cash and restricted cash at end of period | [2] | 471 | 420 |
Non-cash transactions: | |||
Right-of-use (ROU) assets acquired through operating leases | 804 | 909 | |
Property and equipment acquired through finance leases | 121 | 127 | |
Operating lease conversion to finance lease | 42 | 102 | |
Equity investments | 12 | 0 | |
Finance lease conversion to operating lease | 4 | 0 | |
Supplemental information: | |||
Interest paid, net | 1,342 | 1,174 | |
Income taxes paid | $ 2 | $ 1 | |
[1]The following table provides a reconciliation of cash and restricted cash to amounts reported within the condensed consolidated balance sheets: Cash $ 332 $ 293 Restricted cash included in restricted cash and short-term investments 144 138 Total cash and restricted cash $ 476 $ 431 Cash $ 327 $ 282 Restricted cash included in restricted cash and short-term investments 144 138 Total cash and restricted cash $ 471 $ 420 |
Condensed Consolidated Statem_8
Condensed Consolidated Statements of Cash Flows - American Airlines, Inc. (Parenthetical) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 | Sep. 30, 2021 | ||
Cash | $ 332 | $ 273 | $ 293 | ||
Restricted cash included in restricted cash and short-term investments | 144 | 138 | |||
Total cash and restricted cash | 476 | [1] | 408 | 431 | [1] |
American Airlines, Inc. | |||||
Cash | 327 | 265 | 282 | ||
Restricted cash included in restricted cash and short-term investments | 144 | 138 | |||
Total cash and restricted cash | $ 471 | [2] | $ 400 | $ 420 | [2] |
[1]The following table provides a reconciliation of cash and restricted cash to amounts reported within the condensed consolidated balance sheets: Cash $ 332 $ 293 Restricted cash included in restricted cash and short-term investments 144 138 Total cash and restricted cash $ 476 $ 431 Cash $ 327 $ 282 Restricted cash included in restricted cash and short-term investments 144 138 Total cash and restricted cash $ 471 $ 420 |
Condensed Consolidated Statem_9
Condensed Consolidated Statements of Stockholders' Deficit - American Airlines Group Inc. - USD ($) $ in Millions | Total | PSP2 Warrants | PSP2 and PSP3 Warrants | At-The-Market Offering | Cumulative Effect, Period of Adoption, Adjustment | Common Stock | Common Stock At-The-Market Offering | Additional Paid-in Capital | Additional Paid-in Capital PSP2 Warrants | Additional Paid-in Capital PSP2 and PSP3 Warrants | Additional Paid-in Capital At-The-Market Offering | Additional Paid-in Capital Cumulative Effect, Period of Adoption, Adjustment | Accumulated Other Comprehensive Loss | Retained Deficit | Retained Deficit Cumulative Effect, Period of Adoption, Adjustment |
Beginning balance at Dec. 31, 2020 | $ (6,867) | $ (301) | $ 6 | $ 6,894 | $ (320) | $ (7,103) | $ (6,664) | $ 19 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Net income (loss) | (1,250) | (1,250) | |||||||||||||
Other comprehensive income, net | 67 | 67 | |||||||||||||
Issuance of shares of AAG common stock pursuant to employee stock plans net of shares withheld for cash taxes | (13) | (13) | |||||||||||||
Issuance of AAG common stock, net of offering costs | $ 316 | $ 316 | |||||||||||||
Issuance of Warrants | $ 65 | $ 65 | |||||||||||||
Share-based compensation expense | 38 | 38 | |||||||||||||
Ending balance at Mar. 31, 2021 | (7,945) | 6 | 6,980 | (7,036) | (7,895) | ||||||||||
Beginning balance at Dec. 31, 2020 | (6,867) | $ (301) | 6 | 6,894 | $ (320) | (7,103) | (6,664) | $ 19 | |||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Net income (loss) | (1,061) | ||||||||||||||
Other comprehensive income, net | 146 | ||||||||||||||
Ending balance at Sep. 30, 2021 | (7,437) | 6 | 7,221 | (6,957) | (7,707) | ||||||||||
Beginning balance at Mar. 31, 2021 | (7,945) | 6 | 6,980 | (7,036) | (7,895) | ||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Net income (loss) | 19 | 19 | |||||||||||||
Other comprehensive income, net | 39 | 39 | |||||||||||||
Issuance of shares of AAG common stock pursuant to employee stock plans net of shares withheld for cash taxes | 0 | 0 | |||||||||||||
Issuance of AAG common stock, net of offering costs | $ 144 | $ 0 | $ 144 | ||||||||||||
Issuance of Warrants | $ 56 | $ 56 | |||||||||||||
Share-based compensation expense | 20 | 20 | |||||||||||||
Ending balance at Jun. 30, 2021 | (7,667) | 6 | 7,200 | (6,997) | (7,876) | ||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Net income (loss) | 169 | 169 | |||||||||||||
Other comprehensive income, net | 40 | 40 | |||||||||||||
Issuance of shares of AAG common stock pursuant to employee stock plans net of shares withheld for cash taxes | 0 | 0 | |||||||||||||
Share-based compensation expense | 21 | 21 | |||||||||||||
Ending balance at Sep. 30, 2021 | (7,437) | 6 | 7,221 | (6,957) | (7,707) | ||||||||||
Beginning balance at Dec. 31, 2021 | (7,340) | 6 | 7,234 | (5,942) | (8,638) | ||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Net income (loss) | (1,635) | (1,635) | |||||||||||||
Other comprehensive income, net | 26 | 26 | |||||||||||||
Issuance of shares of AAG common stock pursuant to employee stock plans net of shares withheld for cash taxes | (14) | (14) | |||||||||||||
Share-based compensation expense | 23 | 23 | |||||||||||||
Ending balance at Mar. 31, 2022 | (8,940) | 6 | 7,243 | (5,916) | (10,273) | ||||||||||
Beginning balance at Dec. 31, 2021 | (7,340) | 6 | 7,234 | (5,942) | (8,638) | ||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Net income (loss) | (676) | ||||||||||||||
Other comprehensive income, net | 80 | ||||||||||||||
Ending balance at Sep. 30, 2022 | (7,893) | 6 | 7,277 | (5,862) | (9,314) | ||||||||||
Beginning balance at Mar. 31, 2022 | (8,940) | 6 | 7,243 | (5,916) | (10,273) | ||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Net income (loss) | 476 | 476 | |||||||||||||
Other comprehensive income, net | 26 | 26 | |||||||||||||
Issuance of shares of AAG common stock pursuant to employee stock plans net of shares withheld for cash taxes | (2) | (2) | |||||||||||||
Share-based compensation expense | 18 | 18 | |||||||||||||
Ending balance at Jun. 30, 2022 | (8,422) | 6 | 7,259 | (5,890) | (9,797) | ||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||||||||
Net income (loss) | 483 | 483 | |||||||||||||
Other comprehensive income, net | 28 | 28 | |||||||||||||
Issuance of shares of AAG common stock pursuant to employee stock plans net of shares withheld for cash taxes | 0 | 0 | |||||||||||||
Share-based compensation expense | 18 | 18 | |||||||||||||
Ending balance at Sep. 30, 2022 | $ (7,893) | $ 6 | $ 7,277 | $ (5,862) | $ (9,314) |
Condensed Consolidated State_10
Condensed Consolidated Statements of Stockholders' Deficit - American Airlines Group Inc. (Parenthetical) - shares | 3 Months Ended | |||||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | |
Issuance of shares of AAG common stock pursuant to employee stock plans (in shares) | 83,665 | 281,593 | 1,770,173 | 30,970 | 115,833 | 1,700,380 |
At-The-Market Offering | ||||||
Issuance of shares of AAG common stock (in shares) | 5,956,191 | 18,194,573 |
Condensed Consolidated State_11
Condensed Consolidated Statements of Stockholder's Equity - American Airlines, Inc. - USD ($) $ in Millions | Total | American Airlines, Inc. | Common Stock | Common Stock American Airlines, Inc. | Additional Paid-in Capital | Additional Paid-in Capital American Airlines, Inc. | Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss American Airlines, Inc. | Retained Deficit | Retained Deficit American Airlines, Inc. |
Beginning balance at Dec. 31, 2020 | $ (6,867) | $ 4,348 | $ 6 | $ 0 | $ 6,894 | $ 17,050 | $ (7,103) | $ (7,194) | $ (6,664) | $ (5,508) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income (loss) | (1,250) | (1,215) | (1,250) | (1,215) | ||||||
Other comprehensive income, net | 67 | 66 | 67 | 66 | ||||||
Share-based compensation expense | 38 | 38 | 38 | 38 | ||||||
Ending balance at Mar. 31, 2021 | (7,945) | 3,237 | 6 | 0 | 6,980 | 17,088 | (7,036) | (7,128) | (7,895) | (6,723) |
Beginning balance at Dec. 31, 2020 | (6,867) | 4,348 | 6 | 0 | 6,894 | 17,050 | (7,103) | (7,194) | (6,664) | (5,508) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income (loss) | (1,061) | (884) | ||||||||
Other comprehensive income, net | 146 | 145 | ||||||||
Ending balance at Sep. 30, 2021 | (7,437) | 3,688 | 6 | 0 | 7,221 | 17,129 | (6,957) | (7,049) | (7,707) | (6,392) |
Beginning balance at Mar. 31, 2021 | (7,945) | 3,237 | 6 | 0 | 6,980 | 17,088 | (7,036) | (7,128) | (7,895) | (6,723) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income (loss) | 19 | 51 | 19 | 51 | ||||||
Other comprehensive income, net | 39 | 39 | 39 | 39 | ||||||
Share-based compensation expense | 20 | 20 | 20 | 20 | ||||||
Ending balance at Jun. 30, 2021 | (7,667) | 3,347 | 6 | 0 | 7,200 | 17,108 | (6,997) | (7,089) | (7,876) | (6,672) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income (loss) | 169 | 280 | 169 | 280 | ||||||
Other comprehensive income, net | 40 | 40 | 40 | 40 | ||||||
Share-based compensation expense | 21 | 21 | 21 | 21 | ||||||
Ending balance at Sep. 30, 2021 | (7,437) | 3,688 | 6 | 0 | 7,221 | 17,129 | (6,957) | (7,049) | (7,707) | (6,392) |
Beginning balance at Dec. 31, 2021 | (7,340) | 3,826 | 6 | 0 | 7,234 | 17,152 | (5,942) | (6,041) | (8,638) | (7,285) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income (loss) | (1,635) | (1,578) | (1,635) | (1,578) | ||||||
Other comprehensive income, net | 26 | 26 | 26 | 26 | ||||||
Share-based compensation expense | 23 | 23 | 23 | 23 | ||||||
Ending balance at Mar. 31, 2022 | (8,940) | 2,297 | 6 | 0 | 7,243 | 17,175 | (5,916) | (6,015) | (10,273) | (8,863) |
Beginning balance at Dec. 31, 2021 | (7,340) | 3,826 | 6 | 0 | 7,234 | 17,152 | (5,942) | (6,041) | (8,638) | (7,285) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income (loss) | (676) | (517) | ||||||||
Other comprehensive income, net | 80 | 80 | ||||||||
Ending balance at Sep. 30, 2022 | (7,893) | 3,448 | 6 | 0 | 7,277 | 17,211 | (5,862) | (5,961) | (9,314) | (7,802) |
Beginning balance at Mar. 31, 2022 | (8,940) | 2,297 | 6 | 0 | 7,243 | 17,175 | (5,916) | (6,015) | (10,273) | (8,863) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income (loss) | 476 | 521 | 476 | 521 | ||||||
Other comprehensive income, net | 26 | 26 | 26 | 26 | ||||||
Share-based compensation expense | 18 | 18 | 18 | 18 | ||||||
Ending balance at Jun. 30, 2022 | (8,422) | 2,862 | 6 | 0 | 7,259 | 17,193 | (5,890) | (5,989) | (9,797) | (8,342) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||
Net income (loss) | 483 | 540 | 483 | 540 | ||||||
Other comprehensive income, net | 28 | 28 | 28 | 28 | ||||||
Share-based compensation expense | 18 | 18 | 18 | 18 | ||||||
Ending balance at Sep. 30, 2022 | $ (7,893) | $ 3,448 | $ 6 | $ 0 | $ 7,277 | $ 17,211 | $ (5,862) | $ (5,961) | $ (9,314) | $ (7,802) |
Basis of Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2022 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Basis of Presentation | Basis of Presentation (a) Basis of Presentation The accompanying unaudited condensed consolidated financial statements of American Airlines Group Inc. (we, us, our and similar terms, or AAG) should be read in conjunction with the consolidated financial statements contained in our Annual Report on Form 10-K for the year ended December 31, 2021. The accompanying unaudited condensed consolidated financial statements include the accounts of AAG and its wholly-owned subsidiaries. AAG’s principal subsidiary is American Airlines, Inc. (American). All significant intercompany transactions have been eliminated. Management believes that all adjustments necessary for the fair presentation of results, consisting of normally recurring items, have been included in the unaudited condensed consolidated financial statements for the interim periods presented. The preparation of financial statements in accordance with accounting principles generally accepted in the United States (GAAP) requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates. The most significant areas of judgment relate to passenger revenue recognition, the loyalty program, deferred tax assets, as well as pension and retiree medical and other postretirement benefits. (b) Impact of Coronavirus (COVID-19) COVID-19 has been declared a global health pandemic by the World Health Organization. COVID-19 has surfaced in nearly all regions of the world, which has driven the implementation of significant, government-imposed measures to prevent or reduce its spread. Ongoing global vaccination efforts and the corresponding lifting of government restrictions in and between many markets resulted in a significant and rapid recovery in demand for air travel which continued into the third quarter of 2022. The continued impact of the COVID-19 pandemic, including any increases in infection rates, new variants and renewed governmental action to slow the spread of COVID-19 cannot be estimated. We will continue to match our forward capacity with observed booking trends for future travel and make further adjustments to our capacity as needed. |
American Airlines, Inc. | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Basis of Presentation | Basis of Presentation (a) Basis of Presentation The accompanying unaudited condensed consolidated financial statements of American Airlines, Inc. (American) should be read in conjunction with the consolidated financial statements contained in American’s Annual Report on Form 10-K for the year ended December 31, 2021. American is the principal wholly-owned subsidiary of American Airlines Group Inc. (AAG). All significant intercompany transactions have been eliminated. Management believes that all adjustments necessary for the fair presentation of results, consisting of normally recurring items, have been included in the unaudited condensed consolidated financial statements for the interim periods presented. The preparation of financial statements in accordance with accounting principles generally accepted in the United States (GAAP) requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates. The most significant areas of judgment relate to passenger revenue recognition, the loyalty program, deferred tax assets, as well as pension and retiree medical and other postretirement benefits. (b) Impact of Coronavirus (COVID-19) COVID-19 has been declared a global health pandemic by the World Health Organization. COVID-19 has surfaced in nearly all regions of the world, which has driven the implementation of significant, government-imposed measures to prevent or reduce its spread. Ongoing global vaccination efforts and the corresponding lifting of government restrictions in and between many markets resulted in a significant and rapid recovery in demand for air travel which continued into the third quarter of 2022. The continued impact of the COVID-19 pandemic, including any increases in infection rates, new variants and renewed governmental action to slow the spread of COVID-19 cannot be estimated. American will continue to match its forward capacity with observed booking trends for future travel and make further adjustments to American's capacity as needed. |
Special Items, Net
Special Items, Net | 9 Months Ended |
Sep. 30, 2022 | |
Restructuring Cost and Reserve [Line Items] | |
Special Items, Net | Special Items, Net Special items, net in the condensed consolidated statements of operations consisted of the following (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Fleet impairment (1) $ — $ — $ 149 $ — Litigation reserve adjustments 37 — 37 — PSP Financial Assistance (2) — (992) — (4,162) Severance expenses (3) — — — 168 Mark-to-market adjustments on bankruptcy obligations, net — (1) — 5 Other operating special items, net — 3 3 3 Mainline operating special items, net 37 (990) 189 (3,986) PSP Financial Assistance (2) — (128) — (539) Regional pilot retention program (4) — 61 — 61 Fleet impairment (1) — — — 27 Severance expenses (3) — — — 2 Other operating special items, net 2 — 2 — Regional operating special items, net 2 (67) 2 (449) Operating special items, net 39 (1,057) 191 (4,435) Mark-to-market adjustments on equity and other investments, net (5) (57) 16 32 3 Debt refinancing, extinguishment and other, net — 2 2 28 Nonoperating special items, net (57) 18 34 31 Income tax special items, net — — (9) — (1) Fleet impairment for the nine months ended September 30, 2022 included a non-cash impairment charge to write down the carrying value of our retired Airbus A330 fleet to the estimated fair value due to the market conditions for certain used aircraft. We retired our Airbus A330 fleet in 2020 as a result of the decline in demand for air travel due to the COVID-19 pandemic. Fleet impairment for the nine months ended September 30, 2021 included a non-cash impairment charge to write down regional aircraft resulting from the retirement of the remaining Embraer 140 fleet earlier than planned. (2) The PSP Financial Assistance represents recognition of a portion of the financial assistance received from the U.S. Department of Treasury (Treasury) pursuant to the payroll support program established under the PSP Extension Law (PSP2) and the American Rescue Plan Act of 2021 (ARP) (PSP3). (3) Severance expenses include salary and medical costs primarily associated with certain team members who opted into voluntary early retirement programs offered as a result of reductions to our operation due to the COVID-19 pandemic. Cash payments related to our voluntary early retirement programs for the three and nine months ended September 30, 2022 were approximately $40 million and $180 million, respectively, and approximately $190 million and $480 million for the three and nine months ended September 30, 2021, respectively. (4) Our regional pilot retention program provides for, among other things, a cash retention bonus paid in the fourth quarter of 2021 to eligible captains at our wholly-owned regional carriers included on the pilot seniority list as of September 1, 2021. |
American Airlines, Inc. | |
Restructuring Cost and Reserve [Line Items] | |
Special Items, Net | Special Items, Net Special items, net in the condensed consolidated statements of operations consisted of the following (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Fleet impairment (1) $ — $ — $ 149 $ — Litigation reserve adjustments 37 — 37 — PSP Financial Assistance (2) — (992) — (4,162) Severance expenses (3) — — — 168 Mark-to-market adjustments on bankruptcy obligations, net — (1) — 5 Other operating special items, net — 3 3 3 Mainline operating special items, net 37 (990) 189 (3,986) PSP Financial Assistance (2) — (128) — (539) Fleet impairment (1) — — — 27 Regional operating special items, net — (128) — (512) Operating special items, net 37 (1,118) 189 (4,498) Mark-to-market adjustments on equity and other investments, net (4) (57) 16 32 3 Debt refinancing, extinguishment and other, net — 2 — 28 Nonoperating special items, net (57) 18 32 31 Income tax special items, net — — (9) — (1) Fleet impairment for the nine months ended September 30, 2022 included a non-cash impairment charge to write down the carrying value of American's retired Airbus A330 fleet to the estimated fair value due to the market conditions for certain used aircraft. American retired its Airbus A330 fleet in 2020 as a result of the decline in demand for air travel due to the COVID-19 pandemic. Fleet impairment for the nine months ended September 30, 2021 included a non-cash impairment charge to write down regional aircraft resulting from the retirement of the remaining Embraer 140 fleet earlier than planned. (2) The PSP Financial Assistance represents recognition of a portion of the financial assistance received from the U.S. Department of Treasury (Treasury) pursuant to the payroll support program established under the PSP Extension Law (PSP2) and the American Rescue Plan Act of 2021 (ARP) (PSP3). (3) Severance expenses include salary and medical costs primarily associated with certain team members who opted into voluntary early retirement programs offered as a result of reductions to American's operation due to the COVID-19 pandemic. Cash payments related to American's voluntary early retirement programs for the three and nine months ended September 30, 2022 were approximately $40 million and $180 million, respectively, and approximately $190 million and $480 million for the three and nine months ended September 30, 2021, respectively. |
Earnings (Loss) Per Common Shar
Earnings (Loss) Per Common Share | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Earnings (Loss) Per Common Share | Earnings (Loss) Per Common Share The following table sets forth the computation of basic and diluted earnings (loss) per common share (EPS) (in millions, except share and per share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Basic EPS: Net income (loss) $ 483 $ 169 $ (676) $ (1,061) Weighted average common shares outstanding (in thousands) 650,586 648,564 650,145 642,432 Basic EPS $ 0.74 $ 0.26 $ (1.04) $ (1.65) Diluted EPS: Net income (loss) $ 483 $ 169 $ (676) $ (1,061) Interest expense on 6.50% convertible senior notes 14 14 — — Net income (loss) for purposes of computing diluted EPS $ 497 $ 183 $ (676) $ (1,061) Share computation for diluted EPS (in thousands): Basic weighted average common shares outstanding 650,586 648,564 650,145 642,432 Dilutive effect of stock awards 1,778 2,264 — — Dilutive effect of warrants 1,893 8,586 — — Assumed conversion of 6.50% convertible senior notes 61,728 61,728 — — Diluted weighted average common shares outstanding 715,985 721,142 650,145 642,432 Diluted EPS $ 0.69 $ 0.25 $ (1.04) $ (1.65) Securities which were excluded from the calculation of diluted EPS because inclusion of such shares would be antidilutive, are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 6.50% convertible senior notes — — 61,728 61,728 Restricted stock unit awards 4,490 1,172 5,400 3,272 PSP1 Warrants (1) — — 2,887 5,555 Treasury Loan Warrants (2) — — 902 1,731 PSP2 Warrants (3) — — 304 1,329 PSP3 Warrants (4) — — — — (1) Pursuant to the payroll support program established under the CARES Act (PSP1), AAG issued to Treasury warrants (PSP1 Warrants) to purchase up to an aggregate of approximately 14.0 million shares of AAG common stock for an exercise price of $12.51 per share, subject to adjustment. (2) Pursuant to the Loan and Guarantee Agreement with Treasury (the Treasury Loan Agreement), AAG issued to Treasury warrants (Treasury Loan Warrants) to purchase up to an aggregate of approximately 4.4 million shares of AAG common stock for an exercise price of $12.51 per share, subject to adjustment. (3) Pursuant to PSP2, AAG issued to Treasury warrants (PSP2 Warrants) to purchase up to an aggregate of approximately 6.6 million shares of AAG common stock for an exercise price of $15.66 per share, subject to adjustment. |
Revenue Recognition
Revenue Recognition | 9 Months Ended |
Sep. 30, 2022 | |
Entity Information [Line Items] | |
Revenue Recognition | Revenue Recognition Revenue The following are the significant categories comprising our operating revenues (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Passenger revenue: Passenger travel $ 11,536 $ 7,287 $ 30,150 $ 16,177 Loyalty revenue - travel (1) 860 670 2,288 1,505 Total passenger revenue 12,396 7,957 32,438 17,682 Cargo 279 332 970 973 Other: Loyalty revenue - marketing services (2) 655 585 1,991 1,571 Other revenue 132 95 384 229 Total other revenue 787 680 2,375 1,800 Total operating revenues $ 13,462 $ 8,969 $ 35,783 $ 20,455 (1) Loyalty revenue included in passenger revenue is principally comprised of mileage credit redemptions, which were earned from travel or co-branded credit card and other partners. (2) During the three months ended September 30, 2022 and 2021, cash payments from co-branded credit card and other partners were $1.0 billion and $835 million, respectively. During the nine months ended September 30, 2022 and 2021, cash payments from co-branded credit card and other partners were $3.4 billion and $2.6 billion, respectively. The following is our total passenger revenue by geographic region (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Domestic $ 8,786 $ 6,547 $ 23,966 $ 14,646 Latin America 1,596 957 4,357 2,375 Atlantic 1,901 408 3,848 555 Pacific 113 45 267 106 Total passenger revenue $ 12,396 $ 7,957 $ 32,438 $ 17,682 We attribute passenger revenue by geographic region based upon the origin and destination of each flight segment. Contract Balances Our significant contract liabilities are comprised of (1) outstanding loyalty program mileage credits that may be redeemed for future travel and other non-air travel awards, reported as loyalty program liability on the condensed consolidated balance sheets and (2) ticket sales for transportation that has not yet been provided, reported as air traffic liability on the condensed consolidated balance sheets. September 30, 2022 December 31, 2021 (In millions) Loyalty program liability $ 9,147 $ 9,135 Air traffic liability 8,161 6,087 Total $ 17,308 $ 15,222 The balance of the loyalty program liability fluctuates based on seasonal patterns, which impact the volume of mileage credits issued through travel or sold to co-branded credit card and other partners (deferral of revenue) and mileage credits redeemed (recognition of revenue). Changes in loyalty program liability are as follows (in millions): Balance at December 31, 2021 $ 9,135 Deferral of revenue 2,367 Recognition of revenue (1) (2,355) Balance at September 30, 2022 (2) $ 9,147 (1) Principally relates to revenue recognized from the redemption of mileage credits for both air and non-air travel awards. Mileage credits are combined in one homogenous pool and are not separately identifiable. As such, the revenue is comprised of miles that were part of the loyalty program deferred revenue balance at the beginning of the period, as well as miles that were issued during the period. (2) Mileage credits can be redeemed at any time and generally do not expire as long as that AAdvantage member has any type of qualifying activity at least every 24 months or if the AAdvantage member is the primary holder of a co-branded credit card. As of September 30, 2022, our current loyalty program liability was $3.0 billion and represents our current estimate of revenue expected to be recognized in the next 12 months based on historical as well as projected trends, with the balance reflected in long-term loyalty program liability expected to be recognized as revenue in periods thereafter. Given the inherent uncertainty of the current operating environment due to the continued impact of the COVID-19 pandemic, we will continue to monitor redemption patterns and may adjust our estimates in the future. The air traffic liability principally represents tickets sold for future travel on American and partner airlines, as well as estimated future refunds and exchanges of tickets sold for past travel. The balance in our air traffic liability also fluctuates with seasonal travel patterns. The contract duration of passenger tickets is generally one year. Accordingly, any revenue associated with tickets sold for future travel will be recognized within 12 months. For the nine months ended September 30, 2022, $4.4 billion of revenue was recognized in passenger revenue that was included in our air traffic liability at December 31, 2021. In response to the COVID-19 pandemic, we extended the contract duration for certain tickets to September 30, 2022, principally those tickets which were issued in 2020 and 2021. Additionally, we extended the contract duration to December 31, 2022 for tickets to certain international destinations. We also have eliminated change fees for most domestic and international tickets providing more flexibility for customers to change travel plans. Given this flexibility offered to our customers and the uncertainty surrounding the future demand for air travel, our estimates of revenue that will be recognized from the air traffic liability for future flown or unused tickets as well as our estimates of refunds may be subject to variability and differ from historical experience. |
American Airlines, Inc. | |
Entity Information [Line Items] | |
Revenue Recognition | Revenue Recognition Revenue The following are the significant categories comprising American's operating revenues (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Passenger revenue: Passenger travel $ 11,536 $ 7,287 $ 30,150 $ 16,177 Loyalty revenue - travel (1) 860 670 2,288 1,505 Total passenger revenue 12,396 7,957 32,438 17,682 Cargo 279 332 970 973 Other: Loyalty revenue - marketing services (2) 655 585 1,991 1,571 Other revenue 131 94 379 228 Total other revenue 786 679 2,370 1,799 Total operating revenues $ 13,461 $ 8,968 $ 35,778 $ 20,454 (1) Loyalty revenue included in passenger revenue is principally comprised of mileage credit redemptions, which were earned from travel or co-branded credit card and other partners. (2) During the three months ended September 30, 2022 and 2021, cash payments from co-branded credit card and other partners were $1.0 billion and $835 million, respectively. During the nine months ended September 30, 2022 and 2021, cash payments from co-branded credit card and other partners were $3.4 billion and $2.6 billion, respectively. The following is American's total passenger revenue by geographic region (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Domestic $ 8,786 $ 6,547 $ 23,966 $ 14,646 Latin America 1,596 957 4,357 2,375 Atlantic 1,901 408 3,848 555 Pacific 113 45 267 106 Total passenger revenue $ 12,396 $ 7,957 $ 32,438 $ 17,682 American attributes passenger revenue by geographic region based upon the origin and destination of each flight segment. Contract Balances American's significant contract liabilities are comprised of (1) outstanding loyalty program mileage credits that may be redeemed for future travel and other non-air travel awards, reported as loyalty program liability on the condensed consolidated balance sheets and (2) ticket sales for transportation that has not yet been provided, reported as air traffic liability on the condensed consolidated balance sheets. September 30, 2022 December 31, 2021 (In millions) Loyalty program liability $ 9,147 $ 9,135 Air traffic liability 8,161 6,087 Total $ 17,308 $ 15,222 The balance of the loyalty program liability fluctuates based on seasonal patterns, which impact the volume of mileage credits issued through travel or sold to co-branded credit card and other partners (deferral of revenue) and mileage credits redeemed (recognition of revenue). Changes in loyalty program liability are as follows (in millions): Balance at December 31, 2021 $ 9,135 Deferral of revenue 2,367 Recognition of revenue (1) (2,355) Balance at September 30, 2022 (2) $ 9,147 (1) Principally relates to revenue recognized from the redemption of mileage credits for both air and non-air travel awards. Mileage credits are combined in one homogenous pool and are not separately identifiable. As such, the revenue is comprised of miles that were part of the loyalty program deferred revenue balance at the beginning of the period, as well as miles that were issued during the period. (2) Mileage credits can be redeemed at any time and generally do not expire as long as that AAdvantage member has any type of qualifying activity at least every 24 months or if the AAdvantage member is the primary holder of a co-branded credit card. As of September 30, 2022, American's current loyalty program liability was $3.0 billion and represents American's current estimate of revenue expected to be recognized in the next 12 months based on historical as well as projected trends, with the balance reflected in long-term loyalty program liability expected to be recognized as revenue in periods thereafter. Given the inherent uncertainty of the current operating environment due to the continued impact of the COVID-19 pandemic, American will continue to monitor redemption patterns and may adjust its estimates in the future. The air traffic liability principally represents tickets sold for future travel on American and partner airlines, as well as estimated future refunds and exchanges of tickets sold for past travel. The balance in American's air traffic liability also fluctuates with seasonal travel patterns. The contract duration of passenger tickets is generally one year. Accordingly, any revenue associated with tickets sold for future travel will be recognized within 12 months. For the nine months ended September 30, 2022, $4.4 billion of revenue was recognized in passenger revenue that was included in American's air traffic liability at December 31, 2021. In response to the COVID-19 pandemic, American extended the contract duration for certain tickets to September 30, 2022, principally those tickets which were issued in 2020 and 2021. Additionally, American extended the contract duration to December 31, 2022 for tickets to certain international destinations. American also has eliminated change fees for most domestic and international tickets providing more flexibility for customers to change travel plans. Given this flexibility offered to its customers and the uncertainty surrounding the future demand for air travel, American's estimates of revenue that will be recognized from the air traffic liability for future flown or unused tickets as well as its estimates of refunds may be subject to variability and differ from historical experience. |
Debt
Debt | 9 Months Ended |
Sep. 30, 2022 | |
Debt Instrument [Line Items] | |
Debt | Debt Long-term debt included in the condensed consolidated balance sheets consisted of (in millions): September 30, 2022 December 31, 2021 Secured 2013 Term Loan Facility, variable interest rate of 4.83%, installments through 2025 $ 1,752 $ 1,770 2014 Term Loan Facility, variable interest rate of 4.87%, installments through 2027 1,196 1,208 December 2016 Term Loan Facility, variable interest rate of 4.82%, installments through 2023 1,188 1,188 11.75% senior secured notes, interest only payments until due in July 2025 2,500 2,500 10.75% senior secured IP notes, interest only payments until due in February 2026 1,000 1,000 10.75% senior secured LGA/DCA notes, interest only payments until due in February 2026 200 200 5.50% senior secured notes, installments beginning in July 2023 until due in April 2026 (1) 3,500 3,500 5.75% senior secured notes, installments beginning in July 2026 until due in April 2029 (1) 3,000 3,000 AAdvantage Term Loan Facility, variable interest rate of 7.46%, installments beginning in July 2023 through April 2028 (1) 3,500 3,500 Enhanced equipment trust certificates (EETCs), fixed interest rates ranging from 2.88% to 7.13%, averaging 3.76%, maturing from 2022 to 2034 9,352 9,357 Equipment loans and other notes payable, fixed and variable interest rates ranging from 3.21% to 6.29%, averaging 4.45%, maturing from 2022 to 2032 3,075 3,433 Special facility revenue bonds, fixed interest rates ranging from 2.25% to 5.38%, maturing from 2026 to 2036 1,050 1,129 31,313 31,785 Unsecured PSP1 Promissory Note, interest only payments until due in April 2030 1,757 1,765 PSP2 Promissory Note, interest only payments until due in January 2031 1,030 1,035 PSP3 Promissory Note, interest only payments until due in April 2031 959 946 6.50% convertible senior notes, interest only payments until due in July 2025 1,000 1,000 3.75% senior notes, interest only payments until due in March 2025 500 500 5.000% senior notes — 750 5,246 5,996 Total long-term debt 36,559 37,781 Less: Total unamortized debt discount, premium and issuance costs 401 458 Less: Current maturities 2,560 2,315 Long-term debt, net of current maturities $ 33,598 $ 35,008 (1) Collectively referred to as the AAdvantage Financing. As of September 30, 2022, the maximum availability under our revolving credit and other facilities is as follows (in millions): 2013 Revolving Facility $ 750 2014 Revolving Facility 1,643 April 2016 Revolving Facility 450 Short-term Revolving and Other Facilities 220 Total $ 3,063 American has an undrawn $150 million short-term revolving credit facility, which was set to expire at the beginning of January 2022 but which has been extended through the beginning of January 2023. American also currently has $70 million of available borrowing base under a cargo receivables facility that was entered into in December 2020 and is set to expire in December 2022. The December 2016 Credit Facilities provide for a revolving credit facility that may be established thereunder in the future. Secured financings, including revolving credit and other facilities, are collateralized by assets, consisting primarily of aircraft, engines, simulators, aircraft spare parts, airport gate leasehold rights, route authorities, airport slots, certain receivables, certain intellectual property and certain loyalty program assets. 6.50% Convertible Senior Notes At September 30, 2022, the if-converted value of the 6.50% convertible senior notes due 2025 (the Convertible Notes) did not exceed the principal amount. The last reported sale price per share of our common stock (as defined in the indenture governing our Convertible Notes, the Convertible Notes Indenture) did not exceed 130% of the conversion price of the Convertible Notes for at least 20 of the 30 consecutive trading days ending on September 30, 2022. Accordingly, pursuant to the terms of the Convertible Notes Indenture, the holders of the Convertible Notes cannot convert at their option at any time during the quarter ending December 31, 2022. Each $1,000 principal amount of Convertible Notes is convertible at a rate of 61.7284 shares of our common stock, subject to adjustment as provided in the Convertible Notes Indenture. We may settle conversions by paying or delivering, as applicable, cash, shares of our common stock or a combination of cash and shares of our common stock, at our election. 2022 Financing Activities 2021-1 Aircraft EETCs In November 2021, American created two pass-through trusts which issued $960 million aggregate face amount of Series 2021-1 Class A and Class B EETCs (the 2021-1 Aircraft EETCs) in connection with the financing of 26 aircraft previously delivered or originally scheduled to be delivered to American through September 2022 (the 2021-1 Aircraft). In 2021, $94 million of the proceeds had been used to purchase equipment notes issued by American in connection with the financing of five aircraft under the 2021-1 Aircraft EETCs, all of which was used to repay existing indebtedness. During the nine months ended September 30, 2022, $699 million of proceeds had been used to purchase equipment notes issued by American in connection with the financing of 17 aircraft under the 2021-1 Aircraft EETCs. Interest and principal payments on equipment notes issued in connection with the 2021-1 Aircraft EETCs are payable semi-annually in January and July of each year. Interest payments began in July 2022 and principal payments are scheduled to begin in January 2023. The remaining proceeds of $167 million as of September 30, 2022 were being held in escrow with a depositary for the benefit of the holders of the 2021-1 Aircraft EETCs until such time as American issues additional equipment notes with respect to the remaining 2021-1 Aircraft to the pass-through trusts, which will purchase such additional equipment notes with the escrowed funds. These escrowed funds are not guaranteed by American and are not reported as debt on its condensed consolidated balance sheets because the proceeds held by the depositary for the benefit of the holders of the 2021-1 Aircraft EETCs are not American’s assets. Certain information regarding the 2021-1 Aircraft EETC equipment notes, as of September 30, 2022, is set forth in the table below. 2021-1 Aircraft EETCs Series A Series B Aggregate principal issued $758 million $202 million Remaining escrowed proceeds $133 million $34 million Fixed interest rate per annum 2.875% 3.95% Maturity date July 2034 July 2030 Other Financing Activities During the nine months ended September 30, 2022, we repurchased $349 million of unsecured notes on the open market. |
American Airlines, Inc. | |
Debt Instrument [Line Items] | |
Debt | Debt Long-term debt included in the condensed consolidated balance sheets consisted of (in millions): September 30, 2022 December 31, 2021 Secured 2013 Term Loan Facility, variable interest rate of 4.83%, installments through 2025 $ 1,752 $ 1,770 2014 Term Loan Facility, variable interest rate of 4.87%, installments through 2027 1,196 1,208 December 2016 Term Loan Facility, variable interest rate of 4.82%, installments through 2023 1,188 1,188 11.75% senior secured notes, interest only payments until due in July 2025 2,500 2,500 10.75% senior secured IP notes, interest only payments until due in February 2026 1,000 1,000 10.75% senior secured LGA/DCA notes, interest only payments until due in February 2026 200 200 5.50% senior secured notes, installments beginning in July 2023 until due in April 2026 (1) 3,500 3,500 5.75% senior secured notes, installments beginning in July 2026 until due in April 2029 (1) 3,000 3,000 AAdvantage Term Loan Facility, variable interest rate of 7.46%, installments beginning in July 2023 through April 2028 (1) 3,500 3,500 Enhanced equipment trust certificates (EETCs), fixed interest rates ranging from 2.88% to 7.13%, averaging 3.76%, maturing from 2022 to 2034 9,352 9,357 Equipment loans and other notes payable, fixed and variable interest rates ranging from 3.21% to 6.29%, averaging 4.45%, maturing from 2022 to 2032 3,075 3,433 Special facility revenue bonds, fixed interest rates ranging from 2.25% to 5.38%, maturing from 2026 to 2036 1,050 1,129 Total long-term debt 31,313 31,785 Less: Total unamortized debt discount, premium and issuance costs 378 428 Less: Current maturities 2,560 1,568 Long-term debt, net of current maturities $ 28,375 $ 29,789 (1) Collectively referred to as the AAdvantage Financing. As of September 30, 2022, the maximum availability under American's revolving credit and other facilities is as follows (in millions): 2013 Revolving Facility $ 750 2014 Revolving Facility 1,643 April 2016 Revolving Facility 450 Short-term Revolving and Other Facilities 220 Total $ 3,063 American has an undrawn $150 million short-term revolving credit facility, which was set to expire at the beginning of January 2022 but which has been extended through the beginning of January 2023. American also currently has $70 million of available borrowing base under a cargo receivables facility that was entered into in December 2020 and is set to expire in December 2022. The December 2016 Credit Facilities provide for a revolving credit facility that may be established thereunder in the future. Secured financings, including revolving credit and other facilities, are collateralized by assets, consisting primarily of aircraft, engines, simulators, aircraft spare parts, airport gate leasehold rights, route authorities, airport slots, certain receivables, certain intellectual property and certain loyalty program assets. 2022 Financing Activities 2021-1 Aircraft EETCs In November 2021, American created two pass-through trusts which issued $960 million aggregate face amount of Series 2021-1 Class A and Class B EETCs (the 2021-1 Aircraft EETCs) in connection with the financing of 26 aircraft previously delivered or originally scheduled to be delivered to American through September 2022 (the 2021-1 Aircraft). In 2021, $94 million of the proceeds had been used to purchase equipment notes issued by American in connection with the financing of five aircraft under the 2021-1 Aircraft EETCs, all of which was used to repay existing indebtedness. During the nine months ended September 30, 2022, $699 million of proceeds had been used to purchase equipment notes issued by American in connection with the financing of 17 aircraft under the 2021-1 Aircraft EETCs. Interest and principal payments on equipment notes issued in connection with the 2021-1 Aircraft EETCs are payable semi-annually in January and July of each year. Interest payments began in July 2022 and principal payments are scheduled to begin in January 2023. The remaining proceeds of $167 million as of September 30, 2022 were being held in escrow with a depositary for the benefit of the holders of the 2021-1 Aircraft EETCs until such time as American issues additional equipment notes with respect to the remaining 2021-1 Aircraft to the pass-through trusts, which will purchase such additional equipment notes with the escrowed funds. These escrowed funds are not guaranteed by American and are not reported as debt on its condensed consolidated balance sheets because the proceeds held by the depositary for the benefit of the holders of the 2021-1 Aircraft EETCs are not American’s assets. Certain information regarding the 2021-1 Aircraft EETC equipment notes, as of September 30, 2022, is set forth in the table below. 2021-1 Aircraft EETCs Series A Series B Aggregate principal issued $758 million $202 million Remaining escrowed proceeds $133 million $34 million Fixed interest rate per annum 2.875% 3.95% Maturity date July 2034 July 2030 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2022 | |
Income Taxes [Line Items] | |
Income Taxes | Income Taxes At December 31, 2021, we had approximately $17.2 billion of gross federal net operating losses (NOLs) and $3.0 billion of other carryforwards available to reduce future federal taxable income, of which $6.9 billion will expire beginning in 2024 if unused and $13.3 billion can be carried forward indefinitely. We also had approximately $6.0 billion of NOL carryforwards to reduce future state taxable income at December 31, 2021, which will expire in taxable years 2021 through 2041 if unused. Our ability to use our NOLs and other carryforwards depends on the amount of taxable income generated in future periods. We provide a valuation allowance for our deferred tax assets, which include our NOLs, when it is more likely than not that some portion, or all of our deferred tax assets, will not be realized. We consider all available positive and negative evidence and make certain assumptions in evaluating the realizability of our deferred tax assets. Many factors are considered that impact our assessment of future profitability, including conditions which are beyond our control, such as the health of the economy, the availability and price volatility of aircraft fuel and travel demand. We presently have a $34 million valuation allowance on certain net deferred tax assets related to state NOL carryforwards. There can be no assurance that an additional valuation allowance on our net deferred tax assets will not be required. Such valuation allowance could be material. On August 16, 2022, the Inflation Reduction Act (the IRA) was signed into law in the U.S. Among other changes, the IRA introduced a corporate minimum tax on certain corporations with average adjusted financial statement income over a three-tax year period in excess of $1.0 billion and an excise tax on certain stock repurchases by certain covered corporations for taxable years beginning after December 31, 2022 and several tax incentives to promote clean energy. Based on our current analysis and pending future guidance to be issued by Treasury, we do not believe these provisions will have a material impact on our consolidated financial statements. During the three and nine months ended September 30, 2022, we recorded an income tax provision of $175 million and an income tax benefit of $148 million, respectively. |
American Airlines, Inc. | |
Income Taxes [Line Items] | |
Income Taxes | Income Taxes At December 31, 2021, American had approximately $17.1 billion of gross federal net operating losses (NOLs) and $2.4 billion of other carryforwards available to reduce future federal taxable income, of which $7.3 billion will expire beginning in 2024 if unused and $12.2 billion can be carried forward indefinitely. American is a member of AAG’s consolidated federal and certain state income tax returns. American also had approximately $6.0 billion of NOL carryforwards to reduce future state taxable income at December 31, 2021, which will expire in taxable years 2021 through 2041 if unused. American's ability to use its NOLs and other carryforwards depends on the amount of taxable income generated in future periods. American provides a valuation allowance for its deferred tax assets, which include the NOLs, when it is more likely than not that some portion, or all of its deferred tax assets, will not be realized. American considers all available positive and negative evidence and makes certain assumptions in evaluating the realizability of its deferred tax assets. Many factors are considered that impact American’s assessment of future profitability, including conditions which are beyond its control, such as the health of the economy, the availability and price volatility of aircraft fuel and travel demand. American presently has a $24 million valuation allowance on certain net deferred tax assets related to state NOL carryforwards. There can be no assurance that an additional valuation allowance on American's net deferred tax assets will not be required. Such valuation allowance could be material. On August 16, 2022, the Inflation Reduction Act (the IRA) was signed into law in the U.S. Among other changes, the IRA introduced a corporate minimum tax on certain corporations with average adjusted financial statement income over a three-tax year period in excess of $1.0 billion and an excise tax on certain stock repurchases by certain covered corporations for taxable years beginning after December 31, 2022 and several tax incentives to promote clean energy. Based on American's current analysis and pending future guidance to be issued by Treasury, American does not believe these provisions will have a material impact on its consolidated financial statements. |
Fair Value Measurements and Oth
Fair Value Measurements and Other Investments | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Fair Value Measurements and Other Investments | Fair Value Measurements and Other Investments Assets Measured at Fair Value on a Recurring Basis We utilize the market approach to measure the fair value of our financial assets. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets. Our short-term investments, restricted cash and restricted short-term investments classified as Level 2 primarily utilize broker quotes in a non-active market for valuation of these securities. No changes in valuation techniques or inputs occurred during the nine months ended September 30, 2022. Assets measured at fair value on a recurring basis are summarized below (in millions): Fair Value Measurements as of September 30, 2022 Total Level 1 Level 2 Level 3 Short-term investments (1), (2) : Money market funds $ 281 $ 281 $ — $ — Corporate obligations 5,719 — 5,719 — Bank notes/certificates of deposit/time deposits 3,860 — 3,860 — Repurchase agreements 1,040 — 1,040 — 10,900 281 10,619 — Restricted cash and short-term investments (1), (3) 953 546 407 — Long-term investments (4) 284 284 — — Total $ 12,137 $ 1,111 $ 11,026 $ — (1) All short-term investments are classified as available-for-sale and stated at fair value. Unrealized gains and losses are recorded in accumulated other comprehensive loss at each reporting period. There were no credit losses. (2) Our short-term investments mature in one year or less. (3) Restricted cash and short-term investments primarily include collateral held to support workers' compensation obligations, collateral associated with the payment of interest for the AAdvantage Financing and money market funds to be used to finance a substantial portion of the cost of the renovation and expansion of Terminal 8 at John F. Kennedy International Airport. (4) Long-term investments include our equity investments in China Southern Airlines, Vertical and GOL. These investments are reflected in other assets on the condensed consolidated balance sheets. Fair Value of Debt The fair value of our long-term debt was estimated using quoted market prices or discounted cash flow analyses based on our current estimated incremental borrowing rates for similar types of borrowing arrangements. If our long-term debt was measured at fair value, it would have been classified as Level 2 except for $3.7 billion as of September 30, 2022 and December 31, 2021, which would have been classified as Level 3 in the fair value hierarchy. The fair value of the Convertible Notes, which would have been classified as Level 2, was $1.0 billion and $1.4 billion as of September 30, 2022 and December 31, 2021, respectively. The carrying value and estimated fair value of our long-term debt, including current maturities, were as follows (in millions): September 30, 2022 December 31, 2021 Carrying Value Fair Value Carrying Value Fair Value Long-term debt, including current maturities $ 36,158 $ 33,139 $ 37,323 $ 38,567 Other Investments An important part of our strategy to expand our network has been to initiate or expand our commercial relationships with other airlines, such as by entering into global alliances, joint business and codeshare relationships, and, in certain instances, by making an equity investment in another airline or other companies. GOL In April 2022, we completed our definitive investment agreement with GOL and invested $200 million in 22.2 million of newly issued preferred shares, representing a 5.3% economic interest in GOL. The total consideration of $200 million has been allocated as follows based on relative fair values: $81 million to the preferred shares and $119 million to the indefinite-lived intangible asset derived from the related commercial agreements. The ownership interest is accounted for at fair value based on GOL’s stock price and mark-to-market adjustments are recorded to nonoperating other income, net on the condensed consolidated statements of operations. |
American Airlines, Inc. | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Fair Value Measurements and Other Investments | Fair Value Measurements and Other Investments Assets Measured at Fair Value on a Recurring Basis American utilizes the market approach to measure the fair value of its financial assets. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets. American’s short-term investments, restricted cash and restricted short-term investments classified as Level 2 primarily utilize broker quotes in a non-active market for valuation of these securities. No changes in valuation techniques or inputs occurred during the nine months ended September 30, 2022. Assets measured at fair value on a recurring basis are summarized below (in millions): Fair Value Measurements as of September 30, 2022 Total Level 1 Level 2 Level 3 Short-term investments (1), (2) : Money market funds $ 280 $ 280 $ — $ — Corporate obligations 5,719 — 5,719 — Bank notes/certificates of deposit/time deposits 3,859 — 3,859 — Repurchase agreements 1,040 — 1,040 — 10,898 280 10,618 — Restricted cash and short-term investments (1), (3) 953 546 407 — Long-term investments (4) 284 284 — — Total $ 12,135 $ 1,110 $ 11,025 $ — (1) All short-term investments are classified as available-for-sale and stated at fair value. Unrealized gains and losses are recorded in accumulated other comprehensive loss at each reporting period. There were no credit losses. (2) American’s short-term investments mature in one year or less. (3) Restricted cash and short-term investments primarily include collateral held to support workers' compensation obligations, collateral associated with the payment of interest for the AAdvantage Financing and money market funds to be used to finance a substantial portion of the cost of the renovation and expansion of Terminal 8 at John F. Kennedy International Airport. (4) Long-term investments include American's equity investments in China Southern Airlines, Vertical and GOL. These investments are reflected in other assets on the condensed consolidated balance sheets. Fair Value of Debt The fair value of American’s long-term debt was estimated using quoted market prices or discounted cash flow analyses based on American’s current estimated incremental borrowing rates for similar types of borrowing arrangements. If American’s long-term debt was measured at fair value, it would have been classified as Level 2. The carrying value and estimated fair value of American’s long-term debt, including current maturities, were as follows (in millions): September 30, 2022 December 31, 2021 Carrying Fair Carrying Fair Long-term debt, including current maturities $ 30,935 $ 29,257 $ 31,357 $ 32,999 Other Investments An important part of American's strategy to expand its network has been to initiate or expand its commercial relationships with other airlines, such as by entering into global alliances, joint business and codeshare relationships, and, in certain instances, by making an equity investment in another airline or other companies. GOL In April 2022, American completed its definitive investment agreement with GOL and invested $200 million in 22.2 million of newly issued preferred shares, representing a 5.3% economic interest in GOL. The total consideration of $200 million has been allocated as follows based on relative fair values: $81 million to the preferred shares and $119 million to the indefinite-lived intangible asset derived from the related commercial agreements. The ownership interest is accounted for at fair value based on GOL’s stock price and mark-to-market adjustments are recorded to nonoperating other income, net on the condensed consolidated statements of operations. |
Employee Benefit Plans
Employee Benefit Plans | 9 Months Ended |
Sep. 30, 2022 | |
Defined Benefit Plan Disclosure [Line Items] | |
Employee Benefit Plans | Employee Benefit Plans The following table provides the components of net periodic benefit cost (income) (in millions): Pension Benefits Retiree Medical and Other Three Months Ended September 30, 2022 2021 2022 2021 Service cost $ 1 $ 1 $ 3 $ 2 Interest cost 140 132 7 8 Expected return on assets (284) (269) (3) (3) Amortization of: Prior service cost (benefit) 7 7 (3) (3) Unrecognized net loss (gain) 39 54 (6) (6) Net periodic benefit income $ (97) $ (75) $ (2) $ (2) Pension Benefits Retiree Medical and Other Nine Months Ended September 30, 2022 2021 2022 2021 Service cost $ 3 $ 3 $ 11 $ 7 Interest cost 416 394 22 23 Expected return on assets (853) (813) (9) (9) Special termination benefits — — — 139 Amortization of: Prior service cost (benefit) 21 21 (10) (10) Unrecognized net loss (gain) 117 159 (19) (17) Net periodic benefit cost (income) $ (296) $ (236) $ (5) $ 133 Effective November 1, 2012, substantially all of our defined benefit pension plans were frozen. The service cost component of net periodic benefit cost (income) is included in operating expenses, the cost for the special termination benefits is included in special items, net and the other components of net periodic benefit cost (income) are included in nonoperating other income, net in the condensed consolidated statements of operations. During the first quarter of 2021, we remeasured our retiree medical and other postretirement benefits to account for enhanced healthcare benefits provided to eligible team members who opted into voluntary early retirement programs offered as a result of reductions to our operation due to the COVID-19 pandemic. For the nine months ended September 30, 2021, we recognized a $139 million special charge for these enhanced healthcare benefits and increased our postretirement benefits obligation by $139 million. On March 11, 2021, the ARP was enacted, which included funding relief provisions benefiting single employer qualified retirement benefit pension plans such as those sponsored by us. Based on the ARP provisions applicable to our pension plans, we will have no additional funding requirements until 2023. |
American Airlines, Inc. | |
Defined Benefit Plan Disclosure [Line Items] | |
Employee Benefit Plans | Employee Benefit Plans The following table provides the components of net periodic benefit cost (income) (in millions): Pension Benefits Retiree Medical and Other Three Months Ended September 30, 2022 2021 2022 2021 Service cost $ 1 $ 1 $ 3 $ 2 Interest cost 139 132 7 8 Expected return on assets (283) (269) (3) (3) Amortization of: Prior service cost (benefit) 7 7 (3) (3) Unrecognized net loss (gain) 39 54 (6) (6) Net periodic benefit income $ (97) $ (75) $ (2) $ (2) Pension Benefits Retiree Medical and Other Nine Months Ended September 30, 2022 2021 2022 2021 Service cost $ 2 $ 3 $ 11 $ 7 Interest cost 414 392 22 23 Expected return on assets (850) (809) (9) (9) Special termination benefits — — — 139 Amortization of: Prior service cost (benefit) 21 21 (10) (10) Unrecognized net loss (gain) 117 158 (19) (17) Net periodic benefit cost (income) $ (296) $ (235) $ (5) $ 133 Effective November 1, 2012, substantially all of American’s defined benefit pension plans were frozen. The service cost component of net periodic benefit cost (income) is included in operating expenses, the cost for the special termination benefits is included in special items, net and the other components of net periodic benefit cost (income) are included in nonoperating other income, net in the condensed consolidated statements of operations. During the first quarter of 2021, American remeasured its retiree medical and other postretirement benefits to account for enhanced healthcare benefits provided to eligible team members who opted into voluntary early retirement programs offered as a result of reductions to its operation due to the COVID-19 pandemic. For the nine months ended September 30, 2021, American recognized a $139 million special charge for these enhanced healthcare benefits and increased its postretirement benefits obligation by $139 million. On March 11, 2021, the ARP was enacted, which included funding relief provisions benefiting single employer qualified retirement benefit pension plans such as those sponsored by American. Based on the ARP provisions applicable to its pension plans, American will have no additional funding requirements until 2023. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Loss | 9 Months Ended |
Sep. 30, 2022 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The components of accumulated other comprehensive loss (AOCI) are as follows (in millions): Pension, Unrealized Loss on Investments Income Tax (1) Total Balance at December 31, 2021 $ (4,736) $ (2) $ (1,204) $ (5,942) Other comprehensive income (loss) before reclassifications — (6) 1 (5) Amounts reclassified from AOCI 109 — (24) (2) 85 Net current-period other comprehensive income (loss) 109 (6) (23) 80 Balance at September 30, 2022 $ (4,627) $ (8) $ (1,227) $ (5,862) (1) Relates principally to pension, retiree medical and other postretirement benefits obligations that will not be recognized in net income (loss) until the obligations are fully extinguished. (2) Relates to pension, retiree medical and other postretirement benefits obligations and is recognized within the income tax provision (benefit) on the condensed consolidated statements of operations. Reclassifications out of AOCI are as follows (in millions): Amounts reclassified from AOCI Affected line items on the AOCI Components Three Months Ended September 30, Nine Months Ended 2022 2021 2022 2021 Amortization of pension, retiree medical and other postretirement benefits: Prior service cost $ 3 $ 3 $ 9 $ 9 Nonoperating other income, net Actuarial loss 26 37 76 110 Nonoperating other income, net Total reclassifications for the period, net of tax $ 29 $ 40 $ 85 $ 119 |
American Airlines, Inc. | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Accumulated Other Comprehensive Loss | Accumulated Other Comprehensive Loss The components of accumulated other comprehensive loss (AOCI) are as follows (in millions): Pension, Unrealized Loss on Investments Income Tax (1) Total Balance at December 31, 2021 $ (4,724) $ (2) $ (1,315) $ (6,041) Other comprehensive income (loss) before reclassifications — (6) 1 (5) Amounts reclassified from AOCI 109 — (24) (2) 85 Net current-period other comprehensive income (loss) 109 (6) (23) 80 Balance at September 30, 2022 $ (4,615) $ (8) $ (1,338) $ (5,961) (1) Relates principally to pension, retiree medical and other postretirement benefits obligations that will not be recognized in net income (loss) until the obligations are fully extinguished. (2) Relates to pension, retiree medical and other postretirement benefits obligations and is recognized within the income tax provision (benefit) on the condensed consolidated statements of operations. Reclassifications out of AOCI are as follows (in millions): Amounts reclassified from AOCI Affected line items on the condensed consolidated statements of operations AOCI Components Three Months Ended September 30, Nine Months Ended 2022 2021 2022 2021 Amortization of pension, retiree medical and other postretirement benefits: Prior service cost $ 3 $ 3 $ 9 $ 9 Nonoperating other income, net Actuarial loss 26 37 76 109 Nonoperating other income, net Total reclassifications for the period, net of tax $ 29 $ 40 $ 85 $ 118 |
Regional Expenses
Regional Expenses | 9 Months Ended |
Sep. 30, 2022 | |
Regional Expenses [Line Items] | |
Regional Expenses | Regional Expenses Our regional carriers provide scheduled air transportation under the brand name “American Eagle.” The American Eagle carriers include our wholly-owned regional carriers as well as third-party regional carriers. Substantially all of our regional carrier arrangements are in the form of capacity purchase agreements. Expenses associated with American Eagle operations are classified as regional expenses on the condensed consolidated statements of operations. Regional expenses for the three months ended September 30, 2022 and 2021 include $81 million and $78 million of depreciation and amortization, respectively, and $1 million of aircraft rent. Regional expenses for the nine months ended September 30, 2022 and 2021 include $240 million and $236 million of depreciation and amortization, respectively, and $4 million and $5 million of aircraft rent, respectively. During the three months ended September 30, 2022 and 2021, we recognized $152 million and $125 million, respectively, of expense under our capacity purchase agreement with Republic Airways Inc. (Republic). During the nine months ended September 30, 2022 and 2021, we recognized $462 million and $343 million, respectively, of expense under our capacity purchase agreement with Republic. We hold a 25% equity interest in Republic Airways Holdings Inc., the parent company of Republic. |
American Airlines, Inc. | |
Regional Expenses [Line Items] | |
Regional Expenses | Regional Expenses American's regional carriers provide scheduled air transportation under the brand name “American Eagle.” The American Eagle carriers include AAG's wholly-owned regional carriers as well as third-party regional carriers. Substantially all of American's regional carrier arrangements are in the form of capacity purchase agreements. Expenses associated with American Eagle operations are classified as regional expenses on the condensed consolidated statements of operations. Regional expenses for the three months ended September 30, 2022 and 2021 include $68 million and $65 million of depreciation and amortization, respectively, and $1 million of aircraft rent. Regional expenses for the nine months ended September 30, 2022 and 2021 include $201 million and $197 million of depreciation and amortization, respectively, and $4 million and $5 million of aircraft rent, respectively. During the three months ended September 30, 2022 and 2021, American recognized $152 million and $125 million, respectively, of expense under its capacity purchase agreement with Republic Airways Inc. (Republic). During the nine months ended September 30, 2022 and 2021, American recognized $462 million and $343 million, respectively, of expense under its capacity purchase agreement with Republic. American holds a 25% equity interest in Republic Airways Holdings Inc., the parent company of Republic. |
Transactions with Related Parti
Transactions with Related Parties | 9 Months Ended |
Sep. 30, 2022 | |
American Airlines, Inc. | |
Entity Information [Line Items] | |
Transactions with Related Parties | Transactions with Related Parties The following represents the net receivables (payables) to related parties (in millions): September 30, 2022 December 31, 2021 AAG (1) $ 8,589 $ 7,613 AAG’s wholly-owned subsidiaries (2) (2,114) (2,066) Total $ 6,475 $ 5,547 (1) The increase in American’s net related party receivable from AAG is primarily due to American providing the cash funding for AAG's financing transactions. (2) The net payable to AAG’s wholly-owned subsidiaries consists primarily of amounts due under regional capacity purchase agreements with AAG’s wholly-owned regional airlines operating under the brand name of American Eagle. |
Legal Proceedings
Legal Proceedings | 9 Months Ended |
Sep. 30, 2022 | |
Long-term Purchase Commitment [Line Items] | |
Legal Proceedings | Legal Proceedings Private Party Antitrust Action Related to Passenger Capacity. We, along with Delta Air Lines, Inc., Southwest Airlines Co., United Airlines, Inc. and, in the case of litigation filed in Canada, Air Canada, were named as defendants in approximately 100 putative class action lawsuits alleging unlawful agreements with respect to air passenger capacity. The U.S. lawsuits were consolidated in the Federal District Court for the District of Columbia (the DC Court). On June 15, 2018, we reached a settlement agreement with the plaintiffs in the amount of $45 million to resolve all class claims in the U.S. lawsuits. That settlement was approved by the DC Court on May 13, 2019, however three parties who objected to the settlement have appealed that decision to the United States Court of Appeals for the District of Columbia. We believe these appeals are without merit and intend to vigorously defend against them. Private Party Antitrust Action Related to the Merger . On August 6, 2013, a lawsuit captioned Carolyn Fjord, et al., v. AMR Corporation, et al., was filed in the United States Bankruptcy Court for the Southern District of New York (Bankruptcy Court). The complaint named as defendants US Airways Group, US Airways, Inc., AMR Corporation and American, alleged that the effect of the merger of US Airways Group and AMR Corporation (the Merger) may be to create a monopoly in violation of Section 7 of the Clayton Antitrust Act, and sought injunctive relief and/or divestiture. On November 27, 2013, the Bankruptcy Court denied plaintiffs’ motion to preliminarily enjoin the Merger. On August 29, 2018, the Bankruptcy Court denied in part defendants' motion for summary judgment, and fully denied plaintiffs' cross-motion for summary judgment. The parties' evidentiary cases were presented before the Bankruptcy Court in a bench trial in March 2019 and the parties submitted proposed findings of fact and conclusions of law and made closing arguments in April 2019. On January 29, 2021, the Bankruptcy Court published its decision finding in our favor. On March 25, 2022, the U.S. District Court for the Southern District of New York entered judgment affirming the Bankruptcy Court's decision. Plaintiffs have appealed that decision to the United States Court of Appeals for the Second Circuit, and filed their opening brief on August 3, 2022. We believe this lawsuit is without merit and intend to continue to vigorously defend against it, including against any further appeals by plaintiffs. Government Antitrust Action Related to the Northeast Alliance. On September 21, 2021, the United States Department of Justice (DOJ), joined by Attorneys General from six states and the District of Columbia, filed an antitrust complaint against American and JetBlue Airways Corporation (JetBlue) alleging that American and JetBlue violated U.S. antitrust laws in connection with the previously disclosed Northeast Alliance arrangement (NEA). The parties are currently presenting their respective cases in a bench trial that commenced on September 27, 2022. We believe the complaint is without merit and are defending against it vigorously. Also on September 21, 2021, the United States Department of Transportation (DOT) published a Clarification Notice relating to the agreement that had been reached between the DOT, American, and JetBlue in January 2021, at the conclusion of the DOT’s review of the NEA (DOT Agreement). The DOT Clarification Notice stated, among other things, that the DOT Agreement remains in force during the pendency of the DOJ action against the NEA and, while the DOT retains independent statutory authority to prohibit unfair methods of competition in air transportation, the DOT intends to defer to DOJ to resolve the antitrust concerns that DOJ has identified with respect to the NEA. The DOT simultaneously published a Notice Staying Proceeding in relation to a complaint by Spirit Airlines, Inc. regarding the NEA, pending resolution of the DOJ action described above. On September 30, 2022, the DOT issued a further statement referencing the prior Clarification Notice and, among other things, indicating its intention to continue working with the DOJ in its efforts to resolve the ongoing proceedings regarding the Northeast Alliance. General . In addition to the specifically identified legal proceedings, we and our subsidiaries are also engaged in other legal proceedings from time to time. Legal proceedings can be complex and take many months, or even years, to reach resolution, with the final outcome depending on a number of variables, some of which are not within our control. Therefore, although we will vigorously defend ourselves in each of the actions described above and such other legal proceedings, their ultimate resolution and potential financial and other impacts on us are uncertain but could be material. |
American Airlines, Inc. | |
Long-term Purchase Commitment [Line Items] | |
Legal Proceedings | Legal Proceedings Private Party Antitrust Action Related to Passenger Capacity. American, along with Delta Air Lines, Inc., Southwest Airlines Co., United Airlines, Inc. and, in the case of litigation filed in Canada, Air Canada, were named as defendants in approximately 100 putative class action lawsuits alleging unlawful agreements with respect to air passenger capacity. The U.S. lawsuits were consolidated in the Federal District Court for the District of Columbia (the DC Court). On June 15, 2018, American reached a settlement agreement with the plaintiffs in the amount of $45 million to resolve all class claims in the U.S. lawsuits. That settlement was approved by the DC Court on May 13, 2019, however three parties who objected to the settlement have appealed that decision to the United States Court of Appeals for the District of Columbia. American believes these appeals are without merit and intends to vigorously defend against them. Private Party Antitrust Action Related to the Merger . On August 6, 2013, a lawsuit captioned Carolyn Fjord, et al., v. AMR Corporation, et al., was filed in the United States Bankruptcy Court for the Southern District of New York (Bankruptcy Court). The complaint named as defendants US Airways Group, US Airways, Inc., AMR Corporation and American, alleged that the effect of the merger of US Airways Group and AMR Corporation (the Merger) may be to create a monopoly in violation of Section 7 of the Clayton Antitrust Act, and sought injunctive relief and/or divestiture. On November 27, 2013, the Bankruptcy Court denied plaintiffs’ motion to preliminarily enjoin the Merger. On August 29, 2018, the Bankruptcy Court denied in part defendants' motion for summary judgment, and fully denied plaintiffs' cross-motion for summary judgment. The parties' evidentiary cases were presented before the Bankruptcy Court in a bench trial in March 2019 and the parties submitted proposed findings of fact and conclusions of law and made closing arguments in April 2019. On January 29, 2021, the Bankruptcy Court published its decision finding in American’s favor. On March 25, 2022, the U.S. District Court for the Southern District of New York entered judgment affirming the Bankruptcy Court's decision. Plaintiffs have appealed that decision to the United States Court of Appeals for the Second Circuit, and filed their opening brief on August 3, 2022. American believes this lawsuit is without merit and intends to continue to vigorously defend against it, including against any further appeals by plaintiffs. Government Antitrust Action Related to the Northeast Alliance. On September 21, 2021, the United States Department of Justice (DOJ), joined by Attorneys General from six states and the District of Columbia, filed an antitrust complaint against American and JetBlue Airways Corporation (JetBlue) alleging that American and JetBlue violated U.S. antitrust laws in connection with the previously disclosed Northeast Alliance arrangement (NEA). The parties are currently presenting their respective cases in a bench trial that commenced on September 27, 2022. American believes this complaint is without merit and is defending against it vigorously. Also on September 21, 2021, the United States Department of Transportation (DOT) published a Clarification Notice relating to the agreement that had been reached between the DOT, American, and JetBlue in January 2021, at the conclusion of the DOT’s review of the NEA (DOT Agreement) . The DOT Clarification Notice stated, among other things, that the DOT Agreement remains in force during the pendency of the DOJ action against the NEA and, while the DOT retains independent statutory authority to prohibit unfair methods of competition in air transportation, the DOT intends to defer to DOJ to resolve the antitrust concerns that DOJ has identified with respect to the NEA. The DOT simultaneously published a Notice Staying Proceeding in relation to a complaint by Spirit Airlines, Inc. regarding the NEA, pending resolution of the DOJ action described above. On September 30, 2022, the DOT issued a further statement referencing the prior Clarification Notice and, among other things, indicating its intention to continue working with the DOJ in its efforts to resolve the ongoing proceedings regarding the Northeast Alliance. General . In addition to the specifically identified legal proceedings, American and its subsidiaries are also engaged in other legal proceedings from time to time. Legal proceedings can be complex and take many months, or even years, to reach resolution, with the final outcome depending on a number of variables, some of which are not within American’s control. Therefore, although American will vigorously defend itself in each of the actions described above and such other legal proceedings, their ultimate resolution and potential financial and other impacts on American are uncertain but could be material. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2022 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements of American Airlines Group Inc. (we, us, our and similar terms, or AAG) should be read in conjunction with the consolidated financial statements contained in our Annual Report on Form 10-K for the year ended December 31, 2021. The accompanying unaudited condensed consolidated financial statements include the accounts of AAG and its wholly-owned subsidiaries. AAG’s principal subsidiary is American Airlines, Inc. (American). All significant intercompany transactions have been eliminated. Management believes that all adjustments necessary for the fair presentation of results, consisting of normally recurring items, have been included in the unaudited condensed consolidated financial statements for the interim periods presented. The preparation of financial statements in accordance with accounting principles generally accepted in the United States (GAAP) requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates. The most significant areas of judgment relate to passenger revenue recognition, the loyalty program, deferred tax assets, as well as pension and retiree medical and other postretirement benefits. |
American Airlines, Inc. | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Basis of Presentation | Basis of Presentation The accompanying unaudited condensed consolidated financial statements of American Airlines, Inc. (American) should be read in conjunction with the consolidated financial statements contained in American’s Annual Report on Form 10-K for the year ended December 31, 2021. American is the principal wholly-owned subsidiary of American Airlines Group Inc. (AAG). All significant intercompany transactions have been eliminated. Management believes that all adjustments necessary for the fair presentation of results, consisting of normally recurring items, have been included in the unaudited condensed consolidated financial statements for the interim periods presented. The preparation of financial statements in accordance with accounting principles generally accepted in the United States (GAAP) requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates. The most significant areas of judgment relate to passenger revenue recognition, the loyalty program, deferred tax assets, as well as pension and retiree medical and other postretirement benefits. |
Special Items, Net (Tables)
Special Items, Net (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Restructuring Cost and Reserve [Line Items] | |
Components of Special Items, Net in Condensed Consolidated Statements of Operations | Special items, net in the condensed consolidated statements of operations consisted of the following (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Fleet impairment (1) $ — $ — $ 149 $ — Litigation reserve adjustments 37 — 37 — PSP Financial Assistance (2) — (992) — (4,162) Severance expenses (3) — — — 168 Mark-to-market adjustments on bankruptcy obligations, net — (1) — 5 Other operating special items, net — 3 3 3 Mainline operating special items, net 37 (990) 189 (3,986) PSP Financial Assistance (2) — (128) — (539) Regional pilot retention program (4) — 61 — 61 Fleet impairment (1) — — — 27 Severance expenses (3) — — — 2 Other operating special items, net 2 — 2 — Regional operating special items, net 2 (67) 2 (449) Operating special items, net 39 (1,057) 191 (4,435) Mark-to-market adjustments on equity and other investments, net (5) (57) 16 32 3 Debt refinancing, extinguishment and other, net — 2 2 28 Nonoperating special items, net (57) 18 34 31 Income tax special items, net — — (9) — (1) Fleet impairment for the nine months ended September 30, 2022 included a non-cash impairment charge to write down the carrying value of our retired Airbus A330 fleet to the estimated fair value due to the market conditions for certain used aircraft. We retired our Airbus A330 fleet in 2020 as a result of the decline in demand for air travel due to the COVID-19 pandemic. Fleet impairment for the nine months ended September 30, 2021 included a non-cash impairment charge to write down regional aircraft resulting from the retirement of the remaining Embraer 140 fleet earlier than planned. (2) The PSP Financial Assistance represents recognition of a portion of the financial assistance received from the U.S. Department of Treasury (Treasury) pursuant to the payroll support program established under the PSP Extension Law (PSP2) and the American Rescue Plan Act of 2021 (ARP) (PSP3). (3) Severance expenses include salary and medical costs primarily associated with certain team members who opted into voluntary early retirement programs offered as a result of reductions to our operation due to the COVID-19 pandemic. Cash payments related to our voluntary early retirement programs for the three and nine months ended September 30, 2022 were approximately $40 million and $180 million, respectively, and approximately $190 million and $480 million for the three and nine months ended September 30, 2021, respectively. (4) Our regional pilot retention program provides for, among other things, a cash retention bonus paid in the fourth quarter of 2021 to eligible captains at our wholly-owned regional carriers included on the pilot seniority list as of September 1, 2021. |
American Airlines, Inc. | |
Restructuring Cost and Reserve [Line Items] | |
Components of Special Items, Net in Condensed Consolidated Statements of Operations | Special items, net in the condensed consolidated statements of operations consisted of the following (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Fleet impairment (1) $ — $ — $ 149 $ — Litigation reserve adjustments 37 — 37 — PSP Financial Assistance (2) — (992) — (4,162) Severance expenses (3) — — — 168 Mark-to-market adjustments on bankruptcy obligations, net — (1) — 5 Other operating special items, net — 3 3 3 Mainline operating special items, net 37 (990) 189 (3,986) PSP Financial Assistance (2) — (128) — (539) Fleet impairment (1) — — — 27 Regional operating special items, net — (128) — (512) Operating special items, net 37 (1,118) 189 (4,498) Mark-to-market adjustments on equity and other investments, net (4) (57) 16 32 3 Debt refinancing, extinguishment and other, net — 2 — 28 Nonoperating special items, net (57) 18 32 31 Income tax special items, net — — (9) — (1) Fleet impairment for the nine months ended September 30, 2022 included a non-cash impairment charge to write down the carrying value of American's retired Airbus A330 fleet to the estimated fair value due to the market conditions for certain used aircraft. American retired its Airbus A330 fleet in 2020 as a result of the decline in demand for air travel due to the COVID-19 pandemic. Fleet impairment for the nine months ended September 30, 2021 included a non-cash impairment charge to write down regional aircraft resulting from the retirement of the remaining Embraer 140 fleet earlier than planned. (2) The PSP Financial Assistance represents recognition of a portion of the financial assistance received from the U.S. Department of Treasury (Treasury) pursuant to the payroll support program established under the PSP Extension Law (PSP2) and the American Rescue Plan Act of 2021 (ARP) (PSP3). (3) Severance expenses include salary and medical costs primarily associated with certain team members who opted into voluntary early retirement programs offered as a result of reductions to American's operation due to the COVID-19 pandemic. Cash payments related to American's voluntary early retirement programs for the three and nine months ended September 30, 2022 were approximately $40 million and $180 million, respectively, and approximately $190 million and $480 million for the three and nine months ended September 30, 2021, respectively. |
Earnings (Loss) Per Common Sh_2
Earnings (Loss) Per Common Share (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Earnings Per Share [Abstract] | |
Computation of Basic and Diluted Earnings (Loss) per Common Share | The following table sets forth the computation of basic and diluted earnings (loss) per common share (EPS) (in millions, except share and per share amounts): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Basic EPS: Net income (loss) $ 483 $ 169 $ (676) $ (1,061) Weighted average common shares outstanding (in thousands) 650,586 648,564 650,145 642,432 Basic EPS $ 0.74 $ 0.26 $ (1.04) $ (1.65) Diluted EPS: Net income (loss) $ 483 $ 169 $ (676) $ (1,061) Interest expense on 6.50% convertible senior notes 14 14 — — Net income (loss) for purposes of computing diluted EPS $ 497 $ 183 $ (676) $ (1,061) Share computation for diluted EPS (in thousands): Basic weighted average common shares outstanding 650,586 648,564 650,145 642,432 Dilutive effect of stock awards 1,778 2,264 — — Dilutive effect of warrants 1,893 8,586 — — Assumed conversion of 6.50% convertible senior notes 61,728 61,728 — — Diluted weighted average common shares outstanding 715,985 721,142 650,145 642,432 Diluted EPS $ 0.69 $ 0.25 $ (1.04) $ (1.65) |
Anti-Dilutive Securities Excluded From Calculation of Diluted EPS | Securities which were excluded from the calculation of diluted EPS because inclusion of such shares would be antidilutive, are as follows (in thousands): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 6.50% convertible senior notes — — 61,728 61,728 Restricted stock unit awards 4,490 1,172 5,400 3,272 PSP1 Warrants (1) — — 2,887 5,555 Treasury Loan Warrants (2) — — 902 1,731 PSP2 Warrants (3) — — 304 1,329 PSP3 Warrants (4) — — — — (1) Pursuant to the payroll support program established under the CARES Act (PSP1), AAG issued to Treasury warrants (PSP1 Warrants) to purchase up to an aggregate of approximately 14.0 million shares of AAG common stock for an exercise price of $12.51 per share, subject to adjustment. (2) Pursuant to the Loan and Guarantee Agreement with Treasury (the Treasury Loan Agreement), AAG issued to Treasury warrants (Treasury Loan Warrants) to purchase up to an aggregate of approximately 4.4 million shares of AAG common stock for an exercise price of $12.51 per share, subject to adjustment. (3) Pursuant to PSP2, AAG issued to Treasury warrants (PSP2 Warrants) to purchase up to an aggregate of approximately 6.6 million shares of AAG common stock for an exercise price of $15.66 per share, subject to adjustment. |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Entity Information [Line Items] | |
Disaggregation of Revenue | The following are the significant categories comprising our operating revenues (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Passenger revenue: Passenger travel $ 11,536 $ 7,287 $ 30,150 $ 16,177 Loyalty revenue - travel (1) 860 670 2,288 1,505 Total passenger revenue 12,396 7,957 32,438 17,682 Cargo 279 332 970 973 Other: Loyalty revenue - marketing services (2) 655 585 1,991 1,571 Other revenue 132 95 384 229 Total other revenue 787 680 2,375 1,800 Total operating revenues $ 13,462 $ 8,969 $ 35,783 $ 20,455 (1) Loyalty revenue included in passenger revenue is principally comprised of mileage credit redemptions, which were earned from travel or co-branded credit card and other partners. (2) During the three months ended September 30, 2022 and 2021, cash payments from co-branded credit card and other partners were $1.0 billion and $835 million, respectively. During the nine months ended September 30, 2022 and 2021, cash payments from co-branded credit card and other partners were $3.4 billion and $2.6 billion, respectively. The following is our total passenger revenue by geographic region (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Domestic $ 8,786 $ 6,547 $ 23,966 $ 14,646 Latin America 1,596 957 4,357 2,375 Atlantic 1,901 408 3,848 555 Pacific 113 45 267 106 Total passenger revenue $ 12,396 $ 7,957 $ 32,438 $ 17,682 |
Schedule of Contract Liabilities | September 30, 2022 December 31, 2021 (In millions) Loyalty program liability $ 9,147 $ 9,135 Air traffic liability 8,161 6,087 Total $ 17,308 $ 15,222 The balance of the loyalty program liability fluctuates based on seasonal patterns, which impact the volume of mileage credits issued through travel or sold to co-branded credit card and other partners (deferral of revenue) and mileage credits redeemed (recognition of revenue). Changes in loyalty program liability are as follows (in millions): Balance at December 31, 2021 $ 9,135 Deferral of revenue 2,367 Recognition of revenue (1) (2,355) Balance at September 30, 2022 (2) $ 9,147 (1) Principally relates to revenue recognized from the redemption of mileage credits for both air and non-air travel awards. Mileage credits are combined in one homogenous pool and are not separately identifiable. As such, the revenue is comprised of miles that were part of the loyalty program deferred revenue balance at the beginning of the period, as well as miles that were issued during the period. (2) Mileage credits can be redeemed at any time and generally do not expire as long as that AAdvantage member has any type of qualifying activity at least every 24 months or if the AAdvantage member is the primary holder of a co-branded credit card. As of September 30, 2022, our current loyalty program liability was $3.0 billion and represents our current estimate of revenue expected to be recognized in the next 12 months based on historical as well as projected trends, with the balance reflected in long-term loyalty program liability expected to be recognized as revenue in periods thereafter. Given the inherent uncertainty of the current operating environment due to the continued impact of the COVID-19 pandemic, we will continue to monitor redemption patterns and may adjust our estimates in the future. |
American Airlines, Inc. | |
Entity Information [Line Items] | |
Disaggregation of Revenue | The following are the significant categories comprising American's operating revenues (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Passenger revenue: Passenger travel $ 11,536 $ 7,287 $ 30,150 $ 16,177 Loyalty revenue - travel (1) 860 670 2,288 1,505 Total passenger revenue 12,396 7,957 32,438 17,682 Cargo 279 332 970 973 Other: Loyalty revenue - marketing services (2) 655 585 1,991 1,571 Other revenue 131 94 379 228 Total other revenue 786 679 2,370 1,799 Total operating revenues $ 13,461 $ 8,968 $ 35,778 $ 20,454 (1) Loyalty revenue included in passenger revenue is principally comprised of mileage credit redemptions, which were earned from travel or co-branded credit card and other partners. (2) During the three months ended September 30, 2022 and 2021, cash payments from co-branded credit card and other partners were $1.0 billion and $835 million, respectively. During the nine months ended September 30, 2022 and 2021, cash payments from co-branded credit card and other partners were $3.4 billion and $2.6 billion, respectively. The following is American's total passenger revenue by geographic region (in millions): Three Months Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Domestic $ 8,786 $ 6,547 $ 23,966 $ 14,646 Latin America 1,596 957 4,357 2,375 Atlantic 1,901 408 3,848 555 Pacific 113 45 267 106 Total passenger revenue $ 12,396 $ 7,957 $ 32,438 $ 17,682 |
Schedule of Contract Liabilities | September 30, 2022 December 31, 2021 (In millions) Loyalty program liability $ 9,147 $ 9,135 Air traffic liability 8,161 6,087 Total $ 17,308 $ 15,222 The balance of the loyalty program liability fluctuates based on seasonal patterns, which impact the volume of mileage credits issued through travel or sold to co-branded credit card and other partners (deferral of revenue) and mileage credits redeemed (recognition of revenue). Changes in loyalty program liability are as follows (in millions): Balance at December 31, 2021 $ 9,135 Deferral of revenue 2,367 Recognition of revenue (1) (2,355) Balance at September 30, 2022 (2) $ 9,147 (1) Principally relates to revenue recognized from the redemption of mileage credits for both air and non-air travel awards. Mileage credits are combined in one homogenous pool and are not separately identifiable. As such, the revenue is comprised of miles that were part of the loyalty program deferred revenue balance at the beginning of the period, as well as miles that were issued during the period. |
Debt (Tables)
Debt (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Debt Instrument [Line Items] | |
Schedule of Long-Term Debt | Long-term debt included in the condensed consolidated balance sheets consisted of (in millions): September 30, 2022 December 31, 2021 Secured 2013 Term Loan Facility, variable interest rate of 4.83%, installments through 2025 $ 1,752 $ 1,770 2014 Term Loan Facility, variable interest rate of 4.87%, installments through 2027 1,196 1,208 December 2016 Term Loan Facility, variable interest rate of 4.82%, installments through 2023 1,188 1,188 11.75% senior secured notes, interest only payments until due in July 2025 2,500 2,500 10.75% senior secured IP notes, interest only payments until due in February 2026 1,000 1,000 10.75% senior secured LGA/DCA notes, interest only payments until due in February 2026 200 200 5.50% senior secured notes, installments beginning in July 2023 until due in April 2026 (1) 3,500 3,500 5.75% senior secured notes, installments beginning in July 2026 until due in April 2029 (1) 3,000 3,000 AAdvantage Term Loan Facility, variable interest rate of 7.46%, installments beginning in July 2023 through April 2028 (1) 3,500 3,500 Enhanced equipment trust certificates (EETCs), fixed interest rates ranging from 2.88% to 7.13%, averaging 3.76%, maturing from 2022 to 2034 9,352 9,357 Equipment loans and other notes payable, fixed and variable interest rates ranging from 3.21% to 6.29%, averaging 4.45%, maturing from 2022 to 2032 3,075 3,433 Special facility revenue bonds, fixed interest rates ranging from 2.25% to 5.38%, maturing from 2026 to 2036 1,050 1,129 31,313 31,785 Unsecured PSP1 Promissory Note, interest only payments until due in April 2030 1,757 1,765 PSP2 Promissory Note, interest only payments until due in January 2031 1,030 1,035 PSP3 Promissory Note, interest only payments until due in April 2031 959 946 6.50% convertible senior notes, interest only payments until due in July 2025 1,000 1,000 3.75% senior notes, interest only payments until due in March 2025 500 500 5.000% senior notes — 750 5,246 5,996 Total long-term debt 36,559 37,781 Less: Total unamortized debt discount, premium and issuance costs 401 458 Less: Current maturities 2,560 2,315 Long-term debt, net of current maturities $ 33,598 $ 35,008 (1) Collectively referred to as the AAdvantage Financing. Certain information regarding the 2021-1 Aircraft EETC equipment notes, as of September 30, 2022, is set forth in the table below. 2021-1 Aircraft EETCs Series A Series B Aggregate principal issued $758 million $202 million Remaining escrowed proceeds $133 million $34 million Fixed interest rate per annum 2.875% 3.95% Maturity date July 2034 July 2030 |
Schedule of Line of Credit | As of September 30, 2022, the maximum availability under our revolving credit and other facilities is as follows (in millions): 2013 Revolving Facility $ 750 2014 Revolving Facility 1,643 April 2016 Revolving Facility 450 Short-term Revolving and Other Facilities 220 Total $ 3,063 |
American Airlines, Inc. | |
Debt Instrument [Line Items] | |
Schedule of Long-Term Debt | Long-term debt included in the condensed consolidated balance sheets consisted of (in millions): September 30, 2022 December 31, 2021 Secured 2013 Term Loan Facility, variable interest rate of 4.83%, installments through 2025 $ 1,752 $ 1,770 2014 Term Loan Facility, variable interest rate of 4.87%, installments through 2027 1,196 1,208 December 2016 Term Loan Facility, variable interest rate of 4.82%, installments through 2023 1,188 1,188 11.75% senior secured notes, interest only payments until due in July 2025 2,500 2,500 10.75% senior secured IP notes, interest only payments until due in February 2026 1,000 1,000 10.75% senior secured LGA/DCA notes, interest only payments until due in February 2026 200 200 5.50% senior secured notes, installments beginning in July 2023 until due in April 2026 (1) 3,500 3,500 5.75% senior secured notes, installments beginning in July 2026 until due in April 2029 (1) 3,000 3,000 AAdvantage Term Loan Facility, variable interest rate of 7.46%, installments beginning in July 2023 through April 2028 (1) 3,500 3,500 Enhanced equipment trust certificates (EETCs), fixed interest rates ranging from 2.88% to 7.13%, averaging 3.76%, maturing from 2022 to 2034 9,352 9,357 Equipment loans and other notes payable, fixed and variable interest rates ranging from 3.21% to 6.29%, averaging 4.45%, maturing from 2022 to 2032 3,075 3,433 Special facility revenue bonds, fixed interest rates ranging from 2.25% to 5.38%, maturing from 2026 to 2036 1,050 1,129 Total long-term debt 31,313 31,785 Less: Total unamortized debt discount, premium and issuance costs 378 428 Less: Current maturities 2,560 1,568 Long-term debt, net of current maturities $ 28,375 $ 29,789 (1) Collectively referred to as the AAdvantage Financing. Certain information regarding the 2021-1 Aircraft EETC equipment notes, as of September 30, 2022, is set forth in the table below. 2021-1 Aircraft EETCs Series A Series B Aggregate principal issued $758 million $202 million Remaining escrowed proceeds $133 million $34 million Fixed interest rate per annum 2.875% 3.95% Maturity date July 2034 July 2030 |
Schedule of Line of Credit | As of September 30, 2022, the maximum availability under American's revolving credit and other facilities is as follows (in millions): 2013 Revolving Facility $ 750 2014 Revolving Facility 1,643 April 2016 Revolving Facility 450 Short-term Revolving and Other Facilities 220 Total $ 3,063 |
Fair Value Measurements and O_2
Fair Value Measurements and Other Investments (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Summary of Assets Measured at Fair Value on Recurring Basis | Assets measured at fair value on a recurring basis are summarized below (in millions): Fair Value Measurements as of September 30, 2022 Total Level 1 Level 2 Level 3 Short-term investments (1), (2) : Money market funds $ 281 $ 281 $ — $ — Corporate obligations 5,719 — 5,719 — Bank notes/certificates of deposit/time deposits 3,860 — 3,860 — Repurchase agreements 1,040 — 1,040 — 10,900 281 10,619 — Restricted cash and short-term investments (1), (3) 953 546 407 — Long-term investments (4) 284 284 — — Total $ 12,137 $ 1,111 $ 11,026 $ — (1) All short-term investments are classified as available-for-sale and stated at fair value. Unrealized gains and losses are recorded in accumulated other comprehensive loss at each reporting period. There were no credit losses. (2) Our short-term investments mature in one year or less. (3) Restricted cash and short-term investments primarily include collateral held to support workers' compensation obligations, collateral associated with the payment of interest for the AAdvantage Financing and money market funds to be used to finance a substantial portion of the cost of the renovation and expansion of Terminal 8 at John F. Kennedy International Airport. (4) Long-term investments include our equity investments in China Southern Airlines, Vertical and GOL. These investments are reflected in other assets on the condensed consolidated balance sheets. |
Schedule of Carrying Value and Estimated Fair Value of Long-Term Debt, Including Current Maturities | The carrying value and estimated fair value of our long-term debt, including current maturities, were as follows (in millions): September 30, 2022 December 31, 2021 Carrying Value Fair Value Carrying Value Fair Value Long-term debt, including current maturities $ 36,158 $ 33,139 $ 37,323 $ 38,567 |
American Airlines, Inc. | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Summary of Assets Measured at Fair Value on Recurring Basis | Assets measured at fair value on a recurring basis are summarized below (in millions): Fair Value Measurements as of September 30, 2022 Total Level 1 Level 2 Level 3 Short-term investments (1), (2) : Money market funds $ 280 $ 280 $ — $ — Corporate obligations 5,719 — 5,719 — Bank notes/certificates of deposit/time deposits 3,859 — 3,859 — Repurchase agreements 1,040 — 1,040 — 10,898 280 10,618 — Restricted cash and short-term investments (1), (3) 953 546 407 — Long-term investments (4) 284 284 — — Total $ 12,135 $ 1,110 $ 11,025 $ — (1) All short-term investments are classified as available-for-sale and stated at fair value. Unrealized gains and losses are recorded in accumulated other comprehensive loss at each reporting period. There were no credit losses. (2) American’s short-term investments mature in one year or less. (3) Restricted cash and short-term investments primarily include collateral held to support workers' compensation obligations, collateral associated with the payment of interest for the AAdvantage Financing and money market funds to be used to finance a substantial portion of the cost of the renovation and expansion of Terminal 8 at John F. Kennedy International Airport. (4) Long-term investments include American's equity investments in China Southern Airlines, Vertical and GOL. These investments are reflected in other assets on the condensed consolidated balance sheets. |
Schedule of Carrying Value and Estimated Fair Value of Long-Term Debt, Including Current Maturities | The carrying value and estimated fair value of American’s long-term debt, including current maturities, were as follows (in millions): September 30, 2022 December 31, 2021 Carrying Fair Carrying Fair Long-term debt, including current maturities $ 30,935 $ 29,257 $ 31,357 $ 32,999 |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Defined Benefit Plan Disclosure [Line Items] | |
Components of Net Periodic Benefit Cost (Income) | The following table provides the components of net periodic benefit cost (income) (in millions): Pension Benefits Retiree Medical and Other Three Months Ended September 30, 2022 2021 2022 2021 Service cost $ 1 $ 1 $ 3 $ 2 Interest cost 140 132 7 8 Expected return on assets (284) (269) (3) (3) Amortization of: Prior service cost (benefit) 7 7 (3) (3) Unrecognized net loss (gain) 39 54 (6) (6) Net periodic benefit income $ (97) $ (75) $ (2) $ (2) Pension Benefits Retiree Medical and Other Nine Months Ended September 30, 2022 2021 2022 2021 Service cost $ 3 $ 3 $ 11 $ 7 Interest cost 416 394 22 23 Expected return on assets (853) (813) (9) (9) Special termination benefits — — — 139 Amortization of: Prior service cost (benefit) 21 21 (10) (10) Unrecognized net loss (gain) 117 159 (19) (17) Net periodic benefit cost (income) $ (296) $ (236) $ (5) $ 133 |
American Airlines, Inc. | |
Defined Benefit Plan Disclosure [Line Items] | |
Components of Net Periodic Benefit Cost (Income) | The following table provides the components of net periodic benefit cost (income) (in millions): Pension Benefits Retiree Medical and Other Three Months Ended September 30, 2022 2021 2022 2021 Service cost $ 1 $ 1 $ 3 $ 2 Interest cost 139 132 7 8 Expected return on assets (283) (269) (3) (3) Amortization of: Prior service cost (benefit) 7 7 (3) (3) Unrecognized net loss (gain) 39 54 (6) (6) Net periodic benefit income $ (97) $ (75) $ (2) $ (2) Pension Benefits Retiree Medical and Other Nine Months Ended September 30, 2022 2021 2022 2021 Service cost $ 2 $ 3 $ 11 $ 7 Interest cost 414 392 22 23 Expected return on assets (850) (809) (9) (9) Special termination benefits — — — 139 Amortization of: Prior service cost (benefit) 21 21 (10) (10) Unrecognized net loss (gain) 117 158 (19) (17) Net periodic benefit cost (income) $ (296) $ (235) $ (5) $ 133 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Components of Accumulated Other Comprehensive Loss | The components of accumulated other comprehensive loss (AOCI) are as follows (in millions): Pension, Unrealized Loss on Investments Income Tax (1) Total Balance at December 31, 2021 $ (4,736) $ (2) $ (1,204) $ (5,942) Other comprehensive income (loss) before reclassifications — (6) 1 (5) Amounts reclassified from AOCI 109 — (24) (2) 85 Net current-period other comprehensive income (loss) 109 (6) (23) 80 Balance at September 30, 2022 $ (4,627) $ (8) $ (1,227) $ (5,862) (1) Relates principally to pension, retiree medical and other postretirement benefits obligations that will not be recognized in net income (loss) until the obligations are fully extinguished. (2) Relates to pension, retiree medical and other postretirement benefits obligations and is recognized within the income tax provision (benefit) on the condensed consolidated statements of operations. |
Reclassifications out of Accumulated Other Comprehensive Loss | Reclassifications out of AOCI are as follows (in millions): Amounts reclassified from AOCI Affected line items on the AOCI Components Three Months Ended September 30, Nine Months Ended 2022 2021 2022 2021 Amortization of pension, retiree medical and other postretirement benefits: Prior service cost $ 3 $ 3 $ 9 $ 9 Nonoperating other income, net Actuarial loss 26 37 76 110 Nonoperating other income, net Total reclassifications for the period, net of tax $ 29 $ 40 $ 85 $ 119 |
American Airlines, Inc. | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |
Components of Accumulated Other Comprehensive Loss | The components of accumulated other comprehensive loss (AOCI) are as follows (in millions): Pension, Unrealized Loss on Investments Income Tax (1) Total Balance at December 31, 2021 $ (4,724) $ (2) $ (1,315) $ (6,041) Other comprehensive income (loss) before reclassifications — (6) 1 (5) Amounts reclassified from AOCI 109 — (24) (2) 85 Net current-period other comprehensive income (loss) 109 (6) (23) 80 Balance at September 30, 2022 $ (4,615) $ (8) $ (1,338) $ (5,961) (1) Relates principally to pension, retiree medical and other postretirement benefits obligations that will not be recognized in net income (loss) until the obligations are fully extinguished. (2) Relates to pension, retiree medical and other postretirement benefits obligations and is recognized within the income tax provision (benefit) on the condensed consolidated statements of operations. |
Reclassifications out of Accumulated Other Comprehensive Loss | Reclassifications out of AOCI are as follows (in millions): Amounts reclassified from AOCI Affected line items on the condensed consolidated statements of operations AOCI Components Three Months Ended September 30, Nine Months Ended 2022 2021 2022 2021 Amortization of pension, retiree medical and other postretirement benefits: Prior service cost $ 3 $ 3 $ 9 $ 9 Nonoperating other income, net Actuarial loss 26 37 76 109 Nonoperating other income, net Total reclassifications for the period, net of tax $ 29 $ 40 $ 85 $ 118 |
Transactions with Related Par_2
Transactions with Related Parties (Tables) | 9 Months Ended |
Sep. 30, 2022 | |
American Airlines, Inc. | |
Entity Information [Line Items] | |
Summary of Net Receivables (Payables) to Related Parties | The following represents the net receivables (payables) to related parties (in millions): September 30, 2022 December 31, 2021 AAG (1) $ 8,589 $ 7,613 AAG’s wholly-owned subsidiaries (2) (2,114) (2,066) Total $ 6,475 $ 5,547 (1) The increase in American’s net related party receivable from AAG is primarily due to American providing the cash funding for AAG's financing transactions. (2) The net payable to AAG’s wholly-owned subsidiaries consists primarily of amounts due under regional capacity purchase agreements with AAG’s wholly-owned regional airlines operating under the brand name of American Eagle. |
Special Items, Net (Details)
Special Items, Net (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Restructuring Cost and Reserve [Line Items] | ||||
Operating special items, net | $ 39 | $ (1,057) | $ 191 | $ (4,435) |
Mark-to-market adjustments on equity and other investments, net | (57) | 16 | 32 | 3 |
Debt refinancing, extinguishment and other, net | 0 | 2 | 2 | 28 |
Nonoperating special items, net | (57) | 18 | 34 | 31 |
Income tax special items, net | 0 | 0 | (9) | 0 |
Payments for salary and medical costs | 40 | 190 | 180 | 480 |
American Airlines, Inc. | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Operating special items, net | 37 | (1,118) | 189 | (4,498) |
Mark-to-market adjustments on equity and other investments, net | (57) | 16 | 32 | 3 |
Debt refinancing, extinguishment and other, net | 0 | 2 | 0 | 28 |
Nonoperating special items, net | (57) | 18 | 32 | 31 |
Income tax special items, net | 0 | 0 | (9) | 0 |
Payments for salary and medical costs | 40 | 190 | 180 | 480 |
Mainline | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Fleet impairment | 0 | 0 | 149 | 0 |
Litigation reserve adjustments | 37 | 0 | 37 | 0 |
PSP Financial Assistance | 0 | (992) | 0 | (4,162) |
Severance expenses | 0 | 0 | 0 | 168 |
Mark-to-market adjustments on bankruptcy obligations, net | 0 | (1) | 0 | 5 |
Other operating special items, net | 0 | 3 | 3 | 3 |
Operating special items, net | 37 | (990) | 189 | (3,986) |
Mainline | American Airlines, Inc. | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Fleet impairment | 0 | 0 | 149 | 0 |
Litigation reserve adjustments | 37 | 0 | 37 | 0 |
PSP Financial Assistance | 0 | (992) | 0 | (4,162) |
Severance expenses | 0 | 0 | 0 | 168 |
Mark-to-market adjustments on bankruptcy obligations, net | 0 | (1) | 0 | 5 |
Other operating special items, net | 0 | 3 | 3 | 3 |
Operating special items, net | 37 | (990) | 189 | (3,986) |
Regional Carrier | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Fleet impairment | 0 | 0 | 0 | 27 |
PSP Financial Assistance | 0 | (128) | 0 | (539) |
Severance expenses | 0 | 0 | 0 | 2 |
Other operating special items, net | 2 | 0 | 2 | 0 |
Operating special items, net | 2 | (67) | 2 | (449) |
Regional pilot retention program | 0 | 61 | 0 | 61 |
Regional Carrier | American Airlines, Inc. | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Fleet impairment | 0 | 0 | 0 | 27 |
PSP Financial Assistance | 0 | (128) | 0 | (539) |
Operating special items, net | $ 0 | $ (128) | $ 0 | $ (512) |
Earnings (Loss) per Common Sh_3
Earnings (Loss) per Common Share - Computation of Basic and Diluted (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 3 Months Ended | 9 Months Ended | |||||||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Jun. 30, 2020 | |
Basic EPS: | |||||||||
Net income (loss) | $ 483 | $ 476 | $ (1,635) | $ 169 | $ 19 | $ (1,250) | $ (676) | $ (1,061) | |
Basic weighted average common shares outstanding (in shares) | 650,586 | 648,564 | 650,145 | 642,432 | |||||
Basic EPS (in dollars per share) | $ 0.74 | $ 0.26 | $ (1.04) | $ (1.65) | |||||
Diluted EPS: | |||||||||
Interest expense on 6.50% convertible senior notes | $ 14 | $ 14 | |||||||
Net income (loss) for purposes of computing diluted EPS | $ 497 | $ 183 | $ (676) | $ (1,061) | |||||
Dilutive effect of stock awards (in shares) | 1,778 | 2,264 | 0 | 0 | |||||
Dilutive effect of warrants (in shares) | 1,893 | 8,586 | 0 | 0 | |||||
Assumed conversion of 6.50% convertible senior notes (in shares) | 61,728 | 61,728 | 0 | 0 | |||||
Diluted weighted average common shares outstanding (in shares) | 715,985 | 721,142 | 650,145 | 642,432 | |||||
Diluted EPS (in dollars per share) | $ 0.69 | $ 0.25 | $ (1.04) | $ (1.65) | |||||
6.50% Senior Notes | Senior Notes | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||
Fixed interest rate per annum | 6.50% | 6.50% | 6.50% |
Earnings (Loss) per Common Sh_4
Earnings (Loss) per Common Share - Anti-Dilutive Securities Excluded From Calculation of Diluted EPS (Details) - $ / shares shares in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Jun. 30, 2020 | |
6.50% Senior Notes | Senior Notes | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Fixed interest rate per annum | 6.50% | 6.50% | 6.50% | ||
PSP1 Warrants | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Warrants, number of warrant shares of common stock (in shares) | 14,000 | 14,000 | |||
Exercise price of warrants (in dollars per share) | $ 12.51 | $ 12.51 | |||
Treasury Loan Warrant | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Warrants, number of warrant shares of common stock (in shares) | 4,400 | 4,400 | |||
Exercise price of warrants (in dollars per share) | $ 12.51 | $ 12.51 | |||
PSP2 Warrants | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Warrants, number of warrant shares of common stock (in shares) | 6,600 | 6,600 | |||
Exercise price of warrants (in dollars per share) | $ 15.66 | $ 15.66 | |||
PSP3 Warrants | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Warrants, number of warrant shares of common stock (in shares) | 4,400 | 4,400 | |||
Exercise price of warrants (in dollars per share) | $ 21.75 | $ 21.75 | |||
6.50% convertible senior notes | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive securities (in shares) | 0 | 0 | 61,728 | 61,728 | |
Restricted stock unit awards | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive securities (in shares) | 4,490 | 1,172 | 5,400 | 3,272 | |
Preferred Stock Purchase Rights | PSP1 Warrants | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive securities (in shares) | 0 | 0 | 2,887 | 5,555 | |
Preferred Stock Purchase Rights | Treasury Loan Warrant | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive securities (in shares) | 0 | 0 | 902 | 1,731 | |
Preferred Stock Purchase Rights | PSP2 Warrants | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive securities (in shares) | 0 | 0 | 304 | 1,329 | |
Preferred Stock Purchase Rights | PSP3 Warrants | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive securities (in shares) | 0 | 0 | 0 | 0 |
Revenue Recognition - Significa
Revenue Recognition - Significant Categories of Reported Operating Revenues (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Revenue from External Customer [Line Items] | ||||
Operating revenues | $ 13,462 | $ 8,969 | $ 35,783 | $ 20,455 |
Passenger | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 12,396 | 7,957 | 32,438 | 17,682 |
Passenger travel | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 11,536 | 7,287 | 30,150 | 16,177 |
Loyalty revenue - travel | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 860 | 670 | 2,288 | 1,505 |
Cargo | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 279 | 332 | 970 | 973 |
Other | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 787 | 680 | 2,375 | 1,800 |
Loyalty revenue - marketing services | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 655 | 585 | 1,991 | 1,571 |
Co-branded credit card and other partners | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 1,000 | 835 | 3,400 | 2,600 |
Other revenue | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 132 | 95 | 384 | 229 |
American Airlines, Inc. | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 13,461 | 8,968 | 35,778 | 20,454 |
American Airlines, Inc. | Passenger | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 12,396 | 7,957 | 32,438 | 17,682 |
American Airlines, Inc. | Passenger travel | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 11,536 | 7,287 | 30,150 | 16,177 |
American Airlines, Inc. | Loyalty revenue - travel | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 860 | 670 | 2,288 | 1,505 |
American Airlines, Inc. | Cargo | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 279 | 332 | 970 | 973 |
American Airlines, Inc. | Other | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 786 | 679 | 2,370 | 1,799 |
American Airlines, Inc. | Loyalty revenue - marketing services | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 655 | 585 | 1,991 | 1,571 |
American Airlines, Inc. | Co-branded credit card and other partners | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | 1,000 | 835 | 3,400 | 2,600 |
American Airlines, Inc. | Other revenue | ||||
Revenue from External Customer [Line Items] | ||||
Operating revenues | $ 131 | $ 94 | $ 379 | $ 228 |
Revenue Recognition - Passenger
Revenue Recognition - Passenger Revenue by Geographic Region (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Airline Destination Disclosure [Line Items] | ||||
Operating revenues | $ 13,462 | $ 8,969 | $ 35,783 | $ 20,455 |
Passenger | ||||
Airline Destination Disclosure [Line Items] | ||||
Operating revenues | 12,396 | 7,957 | 32,438 | 17,682 |
Passenger | Domestic | ||||
Airline Destination Disclosure [Line Items] | ||||
Operating revenues | 8,786 | 6,547 | 23,966 | 14,646 |
Passenger | Latin America | ||||
Airline Destination Disclosure [Line Items] | ||||
Operating revenues | 1,596 | 957 | 4,357 | 2,375 |
Passenger | Atlantic | ||||
Airline Destination Disclosure [Line Items] | ||||
Operating revenues | 1,901 | 408 | 3,848 | 555 |
Passenger | Pacific | ||||
Airline Destination Disclosure [Line Items] | ||||
Operating revenues | 113 | 45 | 267 | 106 |
American Airlines, Inc. | ||||
Airline Destination Disclosure [Line Items] | ||||
Operating revenues | 13,461 | 8,968 | 35,778 | 20,454 |
American Airlines, Inc. | Passenger | ||||
Airline Destination Disclosure [Line Items] | ||||
Operating revenues | 12,396 | 7,957 | 32,438 | 17,682 |
American Airlines, Inc. | Passenger | Domestic | ||||
Airline Destination Disclosure [Line Items] | ||||
Operating revenues | 8,786 | 6,547 | 23,966 | 14,646 |
American Airlines, Inc. | Passenger | Latin America | ||||
Airline Destination Disclosure [Line Items] | ||||
Operating revenues | 1,596 | 957 | 4,357 | 2,375 |
American Airlines, Inc. | Passenger | Atlantic | ||||
Airline Destination Disclosure [Line Items] | ||||
Operating revenues | 1,901 | 408 | 3,848 | 555 |
American Airlines, Inc. | Passenger | Pacific | ||||
Airline Destination Disclosure [Line Items] | ||||
Operating revenues | $ 113 | $ 45 | $ 267 | $ 106 |
Revenue Recognition - Signifi_2
Revenue Recognition - Significant Contract Liabilities (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Disaggregation of Revenue [Line Items] | ||
Contract balances, liability | $ 17,308 | $ 15,222 |
Loyalty program liability | ||
Disaggregation of Revenue [Line Items] | ||
Contract balances, liability | 9,147 | 9,135 |
Air traffic liability | ||
Disaggregation of Revenue [Line Items] | ||
Contract balances, liability | 8,161 | 6,087 |
American Airlines, Inc. | ||
Disaggregation of Revenue [Line Items] | ||
Contract balances, liability | 17,308 | 15,222 |
American Airlines, Inc. | Loyalty program liability | ||
Disaggregation of Revenue [Line Items] | ||
Contract balances, liability | 9,147 | 9,135 |
American Airlines, Inc. | Air traffic liability | ||
Disaggregation of Revenue [Line Items] | ||
Contract balances, liability | $ 8,161 | $ 6,087 |
Revenue Recognition - Changes i
Revenue Recognition - Changes in Loyalty Program Liability (Details) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2022 | Dec. 31, 2021 | |
Movement In Contract With Customer, Liability [Roll Forward] | ||
Beginning balance | $ 15,222 | |
Ending balance | 17,308 | |
Loyalty program liability | ||
Movement In Contract With Customer, Liability [Roll Forward] | ||
Beginning balance | 9,135 | |
Deferral of revenue | 2,367 | |
Recognition of revenue | (2,355) | |
Ending balance | $ 9,147 | |
Inactive period before expiration of mileage credits | 24 months | |
Deferred revenue, current | $ 3,006 | $ 2,896 |
Revenue recognition term | 12 months | |
American Airlines, Inc. | ||
Movement In Contract With Customer, Liability [Roll Forward] | ||
Beginning balance | $ 15,222 | |
Ending balance | 17,308 | |
American Airlines, Inc. | Loyalty program liability | ||
Movement In Contract With Customer, Liability [Roll Forward] | ||
Beginning balance | 9,135 | |
Deferral of revenue | 2,367 | |
Recognition of revenue | (2,355) | |
Ending balance | 9,147 | |
Deferred revenue, current | $ 3,006 | $ 2,896 |
Revenue Recognition - Narrative
Revenue Recognition - Narrative (Details) - Air traffic liability $ in Billions | 9 Months Ended |
Sep. 30, 2022 USD ($) | |
Disaggregation of Revenue [Line Items] | |
Contract term | one year |
Revenue recognition term | 12 months |
Recognition of revenue | $ 4.4 |
American Airlines, Inc. | |
Disaggregation of Revenue [Line Items] | |
Recognition of revenue | $ 4.4 |
Debt - Components of Long-Term
Debt - Components of Long-Term Debt (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Debt Instrument [Line Items] | ||
Total long-term debt | $ 36,559 | $ 37,781 |
Less: Total unamortized debt discount, premium and issuance costs | 401 | 458 |
Less: Current maturities | 2,560 | 2,315 |
Long-term debt, net of current maturities | 33,598 | 35,008 |
Secured Debt | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 31,313 | 31,785 |
Secured Debt | 2013 Revolving Facility | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 1,752 | 1,770 |
Variable interest rate | 4.83% | |
Secured Debt | 2014 Revolving Facility | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 1,196 | 1,208 |
Variable interest rate | 4.87% | |
Secured Debt | December 2016 Credit Facilities | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 1,188 | 1,188 |
Variable interest rate | 4.82% | |
Secured Debt | 11.75% Senior Secured Notes | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 2,500 | 2,500 |
Fixed interest rate per annum | 11.75% | |
Secured Debt | 10.75% Senior Secured Notes, IP Notes | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 1,000 | 1,000 |
Fixed interest rate per annum | 10.75% | |
Secured Debt | 10.75% Senior Secured Notes, LGA/DCA Notes | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 200 | 200 |
Fixed interest rate per annum | 10.75% | |
Secured Debt | 5.50% Senior Notes | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 3,500 | 3,500 |
Fixed interest rate per annum | 5.50% | |
Secured Debt | 5.75% Senior Notes | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 3,000 | 3,000 |
Fixed interest rate per annum | 5.75% | |
Secured Debt | AAdvantage Term Loan Facility | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 3,500 | 3,500 |
Variable interest rate | 7.46% | |
Secured Debt | Enhanced Equipment Trust Certificates (EETC) | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 9,352 | 9,357 |
Average interest rate | 3.76% | |
Secured Debt | Enhanced Equipment Trust Certificates (EETC) | Minimum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate per annum | 2.88% | |
Secured Debt | Enhanced Equipment Trust Certificates (EETC) | Maximum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate per annum | 7.13% | |
Secured Debt | Equipment Loans and Other Notes Payable | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 3,075 | 3,433 |
Average interest rate | 4.45% | |
Secured Debt | Equipment Loans and Other Notes Payable | Minimum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate per annum | 3.21% | |
Secured Debt | Equipment Loans and Other Notes Payable | Maximum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate per annum | 6.29% | |
Secured Debt | Special Facility Revenue Bonds | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 1,050 | 1,129 |
Secured Debt | Special Facility Revenue Bonds | Minimum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate per annum | 2.25% | |
Secured Debt | Special Facility Revenue Bonds | Maximum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate per annum | 5.38% | |
Unsecured Debt | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 5,246 | 5,996 |
Unsecured Debt | Payroll Support Program Promissory Note One, CARES Act | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 1,757 | 1,765 |
Unsecured Debt | Payroll Support Program Promissory Note Two, CARES Act | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 1,030 | 1,035 |
Unsecured Debt | Payroll Support Program Promissory Note Three, CARES Act | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 959 | 946 |
Unsecured Debt | 6.50% Senior Notes | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 1,000 | 1,000 |
Fixed interest rate per annum | 6.50% | |
Unsecured Debt | 3.75% Senior Notes | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 500 | 500 |
Fixed interest rate per annum | 3.75% | |
Unsecured Debt | 5.000% Senior Notes | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 0 | 750 |
Fixed interest rate per annum | 5% | |
American Airlines, Inc. | ||
Debt Instrument [Line Items] | ||
Less: Total unamortized debt discount, premium and issuance costs | $ 378 | 428 |
Less: Current maturities | 2,560 | 1,568 |
Long-term debt, net of current maturities | 28,375 | 29,789 |
American Airlines, Inc. | Secured Debt | ||
Debt Instrument [Line Items] | ||
Total long-term debt | 31,313 | 31,785 |
American Airlines, Inc. | Secured Debt | 2013 Revolving Facility | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 1,752 | 1,770 |
Variable interest rate | 4.83% | |
American Airlines, Inc. | Secured Debt | 2014 Revolving Facility | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 1,196 | 1,208 |
Variable interest rate | 4.87% | |
American Airlines, Inc. | Secured Debt | December 2016 Credit Facilities | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 1,188 | 1,188 |
Variable interest rate | 4.82% | |
American Airlines, Inc. | Secured Debt | 11.75% Senior Secured Notes | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 2,500 | 2,500 |
Fixed interest rate per annum | 11.75% | |
American Airlines, Inc. | Secured Debt | 10.75% Senior Secured Notes, IP Notes | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 1,000 | 1,000 |
Fixed interest rate per annum | 10.75% | |
American Airlines, Inc. | Secured Debt | 10.75% Senior Secured Notes, LGA/DCA Notes | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 200 | 200 |
Fixed interest rate per annum | 10.75% | |
American Airlines, Inc. | Secured Debt | 5.50% Senior Notes | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 3,500 | 3,500 |
Fixed interest rate per annum | 5.50% | |
American Airlines, Inc. | Secured Debt | 5.75% Senior Notes | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 3,000 | 3,000 |
Fixed interest rate per annum | 5.75% | |
American Airlines, Inc. | Secured Debt | AAdvantage Term Loan Facility | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 3,500 | 3,500 |
Variable interest rate | 7.46% | |
American Airlines, Inc. | Secured Debt | Enhanced Equipment Trust Certificates (EETC) | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 9,352 | 9,357 |
Average interest rate | 3.76% | |
American Airlines, Inc. | Secured Debt | Enhanced Equipment Trust Certificates (EETC) | Minimum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate per annum | 2.88% | |
American Airlines, Inc. | Secured Debt | Enhanced Equipment Trust Certificates (EETC) | Maximum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate per annum | 7.13% | |
American Airlines, Inc. | Secured Debt | Equipment Loans and Other Notes Payable | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 3,075 | 3,433 |
Average interest rate | 4.45% | |
American Airlines, Inc. | Secured Debt | Equipment Loans and Other Notes Payable | Minimum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate per annum | 3.21% | |
American Airlines, Inc. | Secured Debt | Equipment Loans and Other Notes Payable | Maximum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate per annum | 6.29% | |
American Airlines, Inc. | Secured Debt | Special Facility Revenue Bonds | ||
Debt Instrument [Line Items] | ||
Total long-term debt | $ 1,050 | $ 1,129 |
American Airlines, Inc. | Secured Debt | Special Facility Revenue Bonds | Minimum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate per annum | 2.25% | |
American Airlines, Inc. | Secured Debt | Special Facility Revenue Bonds | Maximum | ||
Debt Instrument [Line Items] | ||
Fixed interest rate per annum | 5.38% |
Debt - Schedule of Line of Cred
Debt - Schedule of Line of Credit (Details) $ in Millions | Sep. 30, 2022 USD ($) |
Debt Instrument [Line Items] | |
Line of credit facility, remaining borrowing capacity | $ 3,063 |
American Airlines, Inc. | |
Debt Instrument [Line Items] | |
Line of credit facility, remaining borrowing capacity | 3,063 |
Revolving Credit Facility | 2013 Revolving Facility | |
Debt Instrument [Line Items] | |
Line of credit facility, remaining borrowing capacity | 750 |
Revolving Credit Facility | 2014 Revolving Facility | |
Debt Instrument [Line Items] | |
Line of credit facility, remaining borrowing capacity | 1,643 |
Revolving Credit Facility | April 2016 Revolving Facility | |
Debt Instrument [Line Items] | |
Line of credit facility, remaining borrowing capacity | 450 |
Revolving Credit Facility | Short-term Revolving and Other Facilities | |
Debt Instrument [Line Items] | |
Line of credit facility, remaining borrowing capacity | 220 |
Revolving Credit Facility | American Airlines, Inc. | 2013 Revolving Facility | |
Debt Instrument [Line Items] | |
Line of credit facility, remaining borrowing capacity | 750 |
Revolving Credit Facility | American Airlines, Inc. | 2014 Revolving Facility | |
Debt Instrument [Line Items] | |
Line of credit facility, remaining borrowing capacity | 1,643 |
Revolving Credit Facility | American Airlines, Inc. | April 2016 Revolving Facility | |
Debt Instrument [Line Items] | |
Line of credit facility, remaining borrowing capacity | 450 |
Revolving Credit Facility | American Airlines, Inc. | Short-term Revolving and Other Facilities | |
Debt Instrument [Line Items] | |
Line of credit facility, remaining borrowing capacity | $ 220 |
Debt - Narrative (Details)
Debt - Narrative (Details) | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2022 USD ($) day aircraft | Dec. 31, 2021 USD ($) | Nov. 30, 2021 USD ($) aircraft | Jun. 30, 2020 | |
Debt Instrument [Line Items] | ||||
Line of credit facility, remaining borrowing capacity | $ 3,063,000,000 | |||
Unsecured Debt | ||||
Debt Instrument [Line Items] | ||||
Extinguishment of debt | $ 349,000,000 | |||
6.50% Senior Notes | Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Fixed interest rate per annum | 6.50% | 6.50% | ||
Conversion terms, percentage sales price exceeds conversion price | 130% | |||
Convertible debt, threshold trading days | day | 20 | |||
Convertible debt, threshold consecutive trading days | day | 30 | |||
Conversion ratio | 0.0617284 | |||
6.50% Senior Notes | Unsecured Debt | ||||
Debt Instrument [Line Items] | ||||
Fixed interest rate per annum | 6.50% | |||
American Airlines, Inc. | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, remaining borrowing capacity | $ 3,063,000,000 | |||
American Airlines, Inc. | Enhanced Equipment Trust Certificates (EETC) | ||||
Debt Instrument [Line Items] | ||||
Proceeds held in escrow from issuance of debt | 167,000,000 | |||
American Airlines, Inc. | Enhanced Equipment Trust Certificates 2021-1 | Enhanced Equipment Trust Certificates (EETC) | ||||
Debt Instrument [Line Items] | ||||
Debt Instrument, Face Amount | $ 960,000,000 | |||
Repayments of long-term debt | $ 699,000,000 | $ 94,000,000 | ||
Number of aircrafts financed through repurchased debt | aircraft | 5 | |||
Number of aircraft financed by debt issuance | aircraft | 17,000,000 | 26 | ||
American Airlines, Inc. | Revolving Credit Facility | Other Short-term Revolving Facility | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, remaining borrowing capacity | $ 150,000,000 | |||
American Airlines, Inc. | Revolving Credit Facility | Cargo Receivable Facility | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, remaining borrowing capacity | $ 70,000,000 |
Debt - EETCs - Certain Informat
Debt - EETCs - Certain Information (Details) - American Airlines, Inc. - Enhanced Equipment Trust Certificates (EETC) | Sep. 30, 2022 USD ($) |
2021-1 EETC - Series A | |
Debt Instrument [Line Items] | |
Aggregate principal issued | $ 758,000,000 |
Remaining escrowed proceeds | $ 133,000,000 |
Fixed interest rate per annum | 2.875% |
2021-1 EETC - Series B | |
Debt Instrument [Line Items] | |
Aggregate principal issued | $ 202,000,000 |
Remaining escrowed proceeds | $ 34,000,000 |
Fixed interest rate per annum | 3.95% |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | Dec. 31, 2021 | |
Tax Credit Carryforward [Line Items] | |||||
Other carryforwards | $ 3,000 | ||||
Deferred tax assets, valuation allowance | $ 34 | $ 34 | |||
Income tax provision (benefit) | 175 | $ 37 | (148) | $ (296) | |
Federal | |||||
Tax Credit Carryforward [Line Items] | |||||
NOL carryforwards | 17,200 | ||||
Operating loss carryforwards and other carryforwards, subject to expiration | 6,900 | ||||
Operating loss carryforwards and other carryforwards, not subject to expiration | 13,300 | ||||
State | |||||
Tax Credit Carryforward [Line Items] | |||||
NOL carryforward subject to expiration | 6,000 | ||||
American Airlines, Inc. | |||||
Tax Credit Carryforward [Line Items] | |||||
Other carryforwards | 2,400 | ||||
Deferred tax assets, valuation allowance | 24 | 24 | |||
Income tax provision (benefit) | $ 180 | $ 68 | $ (115) | $ (247) | |
American Airlines, Inc. | Federal | |||||
Tax Credit Carryforward [Line Items] | |||||
NOL carryforwards | 17,100 | ||||
Operating loss carryforwards and other carryforwards, subject to expiration | 7,300 | ||||
Operating loss carryforwards and other carryforwards, not subject to expiration | 12,200 | ||||
American Airlines, Inc. | State | |||||
Tax Credit Carryforward [Line Items] | |||||
NOL carryforward subject to expiration | $ 6,000 |
Fair Value Measurements and O_3
Fair Value Measurements and Other Investments - Summary of Assets Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | $ 10,900 | $ 12,158 |
Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 10,900 | |
Restricted cash and short-term investments | 953 | |
Long-term investments | 284 | |
Total | 12,137 | |
Recurring | Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 281 | |
Recurring | Corporate Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 5,719 | |
Recurring | Bank Notes / Certificates of Deposit / Time Deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 3,860 | |
Recurring | Repurchase Agreements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 1,040 | |
Recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 281 | |
Restricted cash and short-term investments | 546 | |
Long-term investments | 284 | |
Total | 1,111 | |
Recurring | Level 1 | Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 281 | |
Recurring | Level 1 | Corporate Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
Recurring | Level 1 | Bank Notes / Certificates of Deposit / Time Deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
Recurring | Level 1 | Repurchase Agreements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 10,619 | |
Restricted cash and short-term investments | 407 | |
Long-term investments | 0 | |
Total | 11,026 | |
Recurring | Level 2 | Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
Recurring | Level 2 | Corporate Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 5,719 | |
Recurring | Level 2 | Bank Notes / Certificates of Deposit / Time Deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 3,860 | |
Recurring | Level 2 | Repurchase Agreements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 1,040 | |
Recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
Restricted cash and short-term investments | 0 | |
Long-term investments | 0 | |
Total | 0 | |
Recurring | Level 3 | Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
Recurring | Level 3 | Corporate Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
Recurring | Level 3 | Bank Notes / Certificates of Deposit / Time Deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
Recurring | Level 3 | Repurchase Agreements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
American Airlines, Inc. | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 10,898 | $ 12,155 |
American Airlines, Inc. | Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 10,898 | |
Restricted cash and short-term investments | 953 | |
Long-term investments | 284 | |
Total | 12,135 | |
American Airlines, Inc. | Recurring | Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 280 | |
American Airlines, Inc. | Recurring | Corporate Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 5,719 | |
American Airlines, Inc. | Recurring | Bank Notes / Certificates of Deposit / Time Deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 3,859 | |
American Airlines, Inc. | Recurring | Repurchase Agreements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 1,040 | |
American Airlines, Inc. | Recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 280 | |
Restricted cash and short-term investments | 546 | |
Long-term investments | 284 | |
Total | 1,110 | |
American Airlines, Inc. | Recurring | Level 1 | Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 280 | |
American Airlines, Inc. | Recurring | Level 1 | Corporate Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
American Airlines, Inc. | Recurring | Level 1 | Bank Notes / Certificates of Deposit / Time Deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
American Airlines, Inc. | Recurring | Level 1 | Repurchase Agreements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
American Airlines, Inc. | Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 10,618 | |
Restricted cash and short-term investments | 407 | |
Long-term investments | 0 | |
Total | 11,025 | |
American Airlines, Inc. | Recurring | Level 2 | Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
American Airlines, Inc. | Recurring | Level 2 | Corporate Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 5,719 | |
American Airlines, Inc. | Recurring | Level 2 | Bank Notes / Certificates of Deposit / Time Deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 3,859 | |
American Airlines, Inc. | Recurring | Level 2 | Repurchase Agreements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 1,040 | |
American Airlines, Inc. | Recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
Restricted cash and short-term investments | 0 | |
Long-term investments | 0 | |
Total | 0 | |
American Airlines, Inc. | Recurring | Level 3 | Money Market Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
American Airlines, Inc. | Recurring | Level 3 | Corporate Obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
American Airlines, Inc. | Recurring | Level 3 | Bank Notes / Certificates of Deposit / Time Deposits | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | 0 | |
American Airlines, Inc. | Recurring | Level 3 | Repurchase Agreements | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Short-term investments | $ 0 |
Fair Value Measurements and O_4
Fair Value Measurements and Other Investments - Narrative (Details) - USD ($) shares in Millions, $ in Millions | 1 Months Ended | ||
Apr. 30, 2022 | Sep. 30, 2022 | Dec. 31, 2021 | |
GOL | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Investment, at fair value | $ 200 | ||
Ownership percentage | 5.30% | ||
Intangible assets, amount derived from investment | $ 119 | ||
GOL | Preferred Stock | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Preferred shares acquired (in shares) | 22.2 | ||
Preferred stock acquired, fair value | $ 81 | ||
American Airlines, Inc. | GOL | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Investment, at fair value | $ 200 | ||
Ownership percentage | 5.30% | ||
Intangible assets, amount derived from investment | $ 119 | ||
American Airlines, Inc. | GOL | Preferred Stock | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Preferred shares acquired (in shares) | 22.2 | ||
Preferred stock acquired, fair value | $ 81 | ||
Level 3 | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, fair value | $ 3,700 | $ 3,700 | |
Level 2 | Fair Value | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, fair value | 33,139 | 38,567 | |
Level 2 | Convertible Note | Fair Value | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, fair value | 1,000 | 1,400 | |
Level 2 | American Airlines, Inc. | Fair Value | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Long-term debt, fair value | $ 29,257 | $ 32,999 |
Fair Value Measurements and O_5
Fair Value Measurements and Other Investments - Schedule of Carrying Value and Estimated Fair Value of Long-Term Debt, Including Current Maturities (Details) - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt, including current maturities | $ 36,158 | $ 37,323 |
Fair Value | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt, including current maturities | 33,139 | 38,567 |
American Airlines, Inc. | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt, including current maturities | 30,935 | 31,357 |
American Airlines, Inc. | Fair Value | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Long-term debt, including current maturities | $ 29,257 | $ 32,999 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | $ 1 | $ 1 | $ 3 | $ 3 |
Interest cost | 140 | 132 | 416 | 394 |
Expected return on assets | (284) | (269) | (853) | (813) |
Special termination benefits | 0 | 0 | ||
Amortization of: | ||||
Prior service cost (benefit) | 7 | 7 | 21 | 21 |
Unrecognized net loss (gain) | 39 | 54 | 117 | 159 |
Net periodic benefit income | (97) | (75) | (296) | (236) |
Retiree Medical and Other Postretirement Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 3 | 2 | 11 | 7 |
Interest cost | 7 | 8 | 22 | 23 |
Expected return on assets | (3) | (3) | (9) | (9) |
Special termination benefits | 0 | 139 | ||
Amortization of: | ||||
Prior service cost (benefit) | (3) | (3) | (10) | (10) |
Unrecognized net loss (gain) | (6) | (6) | (19) | (17) |
Net periodic benefit income | (2) | (2) | (5) | 133 |
American Airlines, Inc. | Pension Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 1 | 1 | 2 | 3 |
Interest cost | 139 | 132 | 414 | 392 |
Expected return on assets | (283) | (269) | (850) | (809) |
Special termination benefits | 0 | 0 | ||
Amortization of: | ||||
Prior service cost (benefit) | 7 | 7 | 21 | 21 |
Unrecognized net loss (gain) | 39 | 54 | 117 | 158 |
Net periodic benefit income | (97) | (75) | (296) | (235) |
American Airlines, Inc. | Retiree Medical and Other Postretirement Benefits | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Service cost | 3 | 2 | 11 | 7 |
Interest cost | 7 | 8 | 22 | 23 |
Expected return on assets | (3) | (3) | (9) | (9) |
Special termination benefits | 0 | 139 | ||
Amortization of: | ||||
Prior service cost (benefit) | (3) | (3) | (10) | (10) |
Unrecognized net loss (gain) | (6) | (6) | (19) | (17) |
Net periodic benefit income | $ (2) | $ (2) | $ (5) | $ 133 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Loss - Components of AOCI (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
AOCI tax, attributable to parent [Roll Forward] | ||||||||
Beginning balance, tax | $ (1,204) | $ (1,204) | ||||||
Other comprehensive income (loss) before reclassifications, tax | 1 | |||||||
Amounts reclassified from AOCI, tax | (24) | |||||||
Net current-period other comprehensive income (loss), tax | (23) | |||||||
Ending balance, tax | $ (1,227) | (1,227) | ||||||
AOCI attributable to parent, net of tax [Roll Forward] | ||||||||
Beginning balance, net of tax | (5,942) | (5,942) | ||||||
Other comprehensive income (loss) before reclassifications, net of tax | (5) | |||||||
Amounts reclassified from AOCI, net of tax | 85 | |||||||
Total other comprehensive income, net of tax | 28 | $ 26 | 26 | $ 40 | $ 39 | $ 67 | 80 | $ 146 |
Ending balance, net of tax | (5,862) | (5,862) | ||||||
Pension, Retiree Medical and Other Postretirement Benefits | ||||||||
AOCI attributable to parent, before tax [Roll Forward] | ||||||||
Beginning balance, before tax | (4,736) | (4,736) | ||||||
Other comprehensive income (loss) before reclassifications, before tax | 0 | |||||||
Amounts reclassified from AOCI, before tax | 109 | |||||||
Net current-period other comprehensive income (loss), before tax | 109 | |||||||
Ending balance, before tax | (4,627) | (4,627) | ||||||
Unrealized Loss on Investments | ||||||||
AOCI attributable to parent, before tax [Roll Forward] | ||||||||
Beginning balance, before tax | (2) | (2) | ||||||
Other comprehensive income (loss) before reclassifications, before tax | (6) | |||||||
Amounts reclassified from AOCI, before tax | 0 | |||||||
Net current-period other comprehensive income (loss), before tax | (6) | |||||||
Ending balance, before tax | (8) | (8) | ||||||
American Airlines, Inc. | ||||||||
AOCI tax, attributable to parent [Roll Forward] | ||||||||
Beginning balance, tax | (1,315) | (1,315) | ||||||
Other comprehensive income (loss) before reclassifications, tax | 1 | |||||||
Amounts reclassified from AOCI, tax | (24) | |||||||
Net current-period other comprehensive income (loss), tax | (23) | |||||||
Ending balance, tax | (1,338) | (1,338) | ||||||
AOCI attributable to parent, net of tax [Roll Forward] | ||||||||
Beginning balance, net of tax | (6,041) | (6,041) | ||||||
Other comprehensive income (loss) before reclassifications, net of tax | (5) | |||||||
Amounts reclassified from AOCI, net of tax | 85 | |||||||
Total other comprehensive income, net of tax | 28 | $ 26 | 26 | $ 40 | $ 39 | $ 66 | 80 | $ 145 |
Ending balance, net of tax | (5,961) | (5,961) | ||||||
American Airlines, Inc. | Pension, Retiree Medical and Other Postretirement Benefits | ||||||||
AOCI attributable to parent, before tax [Roll Forward] | ||||||||
Beginning balance, before tax | (4,724) | (4,724) | ||||||
Other comprehensive income (loss) before reclassifications, before tax | 0 | |||||||
Amounts reclassified from AOCI, before tax | 109 | |||||||
Net current-period other comprehensive income (loss), before tax | 109 | |||||||
Ending balance, before tax | (4,615) | (4,615) | ||||||
American Airlines, Inc. | Unrealized Loss on Investments | ||||||||
AOCI attributable to parent, before tax [Roll Forward] | ||||||||
Beginning balance, before tax | $ (2) | (2) | ||||||
Other comprehensive income (loss) before reclassifications, before tax | (6) | |||||||
Amounts reclassified from AOCI, before tax | 0 | |||||||
Net current-period other comprehensive income (loss), before tax | (6) | |||||||
Ending balance, before tax | $ (8) | $ (8) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Loss - Reclassifications out of AOCI (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2021 | Jun. 30, 2021 | Mar. 31, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||
Nonoperating other income, net | $ 272 | $ 389 | $ 1,049 | $ 1,078 | ||||
Net income (loss) | (483) | $ (476) | $ 1,635 | (169) | $ (19) | $ 1,250 | 676 | 1,061 |
American Airlines, Inc. | ||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||
Nonoperating other income, net | 215 | 345 | 906 | 949 | ||||
Net income (loss) | (540) | $ (521) | $ 1,578 | (280) | $ (51) | $ 1,215 | 517 | 884 |
Reclassification out of Accumulated Other Comprehensive Income | ||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||
Net income (loss) | 29 | 40 | 85 | 119 | ||||
Reclassification out of Accumulated Other Comprehensive Income | Prior service cost | ||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||
Nonoperating other income, net | 3 | 3 | 9 | 9 | ||||
Reclassification out of Accumulated Other Comprehensive Income | Actuarial loss | ||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||
Nonoperating other income, net | 26 | 37 | 76 | 110 | ||||
Reclassification out of Accumulated Other Comprehensive Income | American Airlines, Inc. | ||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||
Net income (loss) | 29 | 40 | 85 | 118 | ||||
Reclassification out of Accumulated Other Comprehensive Income | American Airlines, Inc. | Prior service cost | ||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||
Nonoperating other income, net | 3 | 3 | 9 | 9 | ||||
Reclassification out of Accumulated Other Comprehensive Income | American Airlines, Inc. | Actuarial loss | ||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||||
Nonoperating other income, net | $ 26 | $ 37 | $ 76 | $ 109 |
Regional Expenses (Details)
Regional Expenses (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2022 | Sep. 30, 2021 | Sep. 30, 2022 | Sep. 30, 2021 | |
Regional Expenses [Line Items] | ||||
Depreciation and amortization | $ 491 | $ 480 | $ 1,486 | $ 1,439 |
Aircraft rent | 347 | 358 | 1,045 | 1,064 |
American Airlines, Inc. | ||||
Regional Expenses [Line Items] | ||||
Depreciation and amortization | 488 | 480 | 1,480 | 1,439 |
Aircraft rent | 347 | 358 | 1,045 | 1,064 |
Regional Carrier | ||||
Regional Expenses [Line Items] | ||||
Depreciation and amortization | 81 | 78 | 240 | 236 |
Aircraft rent | 1 | 1 | 4 | 5 |
Regional Carrier | American Airlines, Inc. | ||||
Regional Expenses [Line Items] | ||||
Depreciation and amortization | 68 | 65 | 201 | 197 |
Aircraft rent | 1 | 1 | 4 | 5 |
Regional Carrier | Republic Airline Inc. | ||||
Regional Expenses [Line Items] | ||||
Capacity purchases from third-party regional carriers | 152 | 125 | 462 | 343 |
Regional Carrier | Republic Airline Inc. | American Airlines, Inc. | ||||
Regional Expenses [Line Items] | ||||
Capacity purchases from third-party regional carriers | $ 152 | $ 125 | $ 462 | $ 343 |
Republic Airways Holdings, Inc. | ||||
Regional Expenses [Line Items] | ||||
Ownership percentage | 25% | 25% | ||
Republic Airways Holdings, Inc. | American Airlines, Inc. | ||||
Regional Expenses [Line Items] | ||||
Ownership percentage | 25% | 25% |
Transactions with Related Par_3
Transactions with Related Parties (Details) - American Airlines, Inc. - USD ($) $ in Millions | Sep. 30, 2022 | Dec. 31, 2021 |
Related Party Transaction [Line Items] | ||
Receivables from related parties, net | $ 6,475 | $ 5,547 |
AAG | ||
Related Party Transaction [Line Items] | ||
Receivables from related parties, net | 8,589 | 7,613 |
AAG's wholly-owned subsidiaries | ||
Related Party Transaction [Line Items] | ||
Receivables from related parties, net | $ (2,114) | $ (2,066) |
Legal Proceedings (Details)
Legal Proceedings (Details) $ in Millions | Jun. 15, 2018 USD ($) lawsuit | May 13, 2019 party |
Long-term Purchase Commitment [Line Items] | ||
Number of putative class action lawsuits | lawsuit | 100 | |
Preliminary settlement amount | $ | $ 45 | |
Number of parties who appealed | party | 3 | |
American Airlines, Inc. | ||
Long-term Purchase Commitment [Line Items] | ||
Number of putative class action lawsuits | lawsuit | 100 | |
Preliminary settlement amount | $ | $ 45 | |
Number of parties who appealed | party | 3 |
Uncategorized Items - aal-20220
Label | Element | Value |
Accounting Standards Update [Extensible Enumeration] | us-gaap_AccountingStandardsUpdateExtensibleList | Accounting Standards Update 2020-06 [Member] |