SPECIAL CHARGES (Tables)

12 Months Ended

Dec. 31, 2017

Components of Special charges

Special charges in the statements of consolidated operations consisted of the following for the years ended December 31 (in millions):

Operating:	2017		2016		2015
Severance and benefit costs	$	116	$	37	$	107
Impairment of assets		25		412		79
Cleveland airport lease restructuring		—		74		—
Labor agreement costs		—		64		18
(Gains) losses on sale of assets and other special charges		35		51		122
Total operating special charges		176		638		326
Nonoperating:
(Gains) losses on extinguishment of debt and other		—		(1)		202
Total operating and nonoperating special charges before income taxes		176		637		528
Income tax benefit related to special charges		(63)		(229)		(11)
Income tax adjustments (Notes 6 and 7)		(192)		180		(3,130)
Total operating and nonoperating special charges, net of income taxes and income tax adjustments	$	(79)	$	588	$	(2,613)

Accrual Activity

Activity related to the accruals for severance and medical costs and future lease payments on permanently grounded aircraft is as follows (in millions):

	Severance/ Benefit Costs		Permanently Grounded Aircraft
Balance at December 31, 2014	$	109	$	102
Accrual		107		30
Payments		(189)		(54)
Balance at December 31, 2015		27		78
Accrual and related adjustments		37		(17)
Payments		(50)		(20)
Balance at December 31, 2016		14		41
Accrual		116		(4)
Payments		(93)		(15)
Balance at December 31, 2017	$	37	$	22