Debt (Tables)

12 Months Ended

Dec. 31, 2015

Debt

(In millions)	At December 31,
	2015		2014
Secured
Notes payable, fixed interest rates of 1.42% to 12.00% (weighted average rate of 5.37% as of December 31, 2015), payable through 2027	$	7,971	$	7,464
Notes payable, floating interest rates of the London Interbank Offered Rate (“LIBOR”) plus 0.20% to 2.85%, payable through 2027		1,302		1,151
Term loan, LIBOR subject to a 0.75% floor, plus 2.75%, or alternative rate based on certain market rates plus 1.75%, due 2019		875		884
Term loan, LIBOR subject to a 0.75% floor, plus 3.00%, or alternative rate based on certain market rates plus 2%, due 2021		194		499
Unsecured
6% Notes due 2026 to 2028 (a)		—		632
6% Senior Notes due 2020 (a)		300		300
6.375% Senior Notes due 2018 (a)		300		300
4.5% Convertible Notes due 2015		—		202
Other		100		101
		11,042		11,533
Less: unamortized debt discount, premiums and debt issuance costs		(145)		(267)	(b)
Less: current portion of long-term debt		(1,224)		(1,313)
Long-term debt, net	$	9,673	$	9,953

(a) UAL is the issuer of this debt. United is a guarantor.

(b) 2014 amount differs from the amount reported in the Company’s Form 10-K for the fiscal year ended December 31, 2014 due to the adoption of an accounting standard update in 2015. See Note 1(t) Recently Issued Accounting Standards of this report for additional information.

Contractual Principal Payments

The table below presents the Company’s contractual principal payments at December 31, 2015 under then-outstanding long-term debt agreements in each of the next five calendar years (in millions):

2016	$	1,224
2017		822
2018		1,359
2019		1,788
2020		942
After 2020		4,907
	$	11,042

Details of Pass Through Trusts

Certain details of the pass-through trusts with proceeds received from issuance of debt in 2015 are as follows (in millions, except stated interest rate):

EETC Date	Class	Principal		Final expected distribution date	Stated interest rate		Total debt recorded as of December 31, 2015		Proceeds received from issuance of debt during 2015		Remaining proceeds from issuance of debt to be received in future periods
November 2015	AA	$	334	December 2027		3.45%	$	334	$	334	$	—
November 2015	A		100	December 2022		3.70%		100		100		—
August 2014	A		823	September 2026		3.75%		823		711		—
August 2014	B		238	September 2022		4.625%		238		206		—
		$	1,495				$	1,495	$	1,351	$	—

Summary of Collateral Covenants and Cross Default Provisions

The collateral, covenants and cross default provisions of the Company’s principal debt instruments that contain such provisions are summarized in the table below:

Debt Instrument	Collateral, Covenants and Cross Default Provisions
Various equipment notes and other notes payable	Secured by certain aircraft. The indentures contain events of default that are customary for aircraft financing, including in certain cases cross default to other related aircraft.
Credit Agreement	Secured by certain of United’s international route authorities, specified take-off and landing slots at certain airports and certain other assets. The Credit Agreement requires the Company to maintain at least $3.0 billion of unrestricted liquidity at all times, which includes unrestricted cash, short-term investments and any undrawn amounts under any revolving credit facility, and to maintain a minimum ratio of appraised value of collateral to the outstanding obligations under the Credit Agreement of 1.67 to 1.0 at all times. The Credit Agreement contains covenants that, among other things, restrict the ability of UAL and its restricted subsidiaries (as defined in the Credit Agreement) to incur additional indebtedness and to pay dividends on or repurchase stock, although the Company currently has ample ability under these restrictions to repurchase stock under the Company’s share repurchase program. The Credit Agreement contains events of default customary for this type of financing, including a cross default and cross acceleration provision to certain other material indebtedness of the Company.
6.375% Senior Notes due 2018 6% Senior Notes due 2020	The indentures for these notes contain covenants that, among other things, restrict the ability of the Company and its restricted subsidiaries (as defined in the indenture) to incur additional indebtedness and pay dividends on or repurchase stock, although the Company currently has ample ability under these restrictions to repurchase stock under the Company’s share repurchase program. The indentures contain events of default that are customary for similar financings.