Derivatives and Risk Management (Tables)

6 Months Ended

Jun. 30, 2020

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Schedule of hedge positions

Hedge Position as of June 30, 2020

(in millions)	Volume		Final Maturity Date	Prepaid Expenses and Other		Other Noncurrent Assets		Other Accrued Liabilities		Other Noncurrent Liabilities		Hedge Derivatives, net
Designated as hedges
Interest rate contracts (fair value hedges)	150	U.S. dollars	April 2028	$	3	$	23	$	—	$	—	$	26
Not designated as hedges
Foreign currency exchange contracts	238	Euros	December 2020	5		—		—		—		5
Foreign currency exchange contracts	177,045	South Korean won	April 2023	—		1		—		—		1
Fuel hedge contracts	245	gallons - crude oil and refined products	April 2021	7		—		(13)		—		(6)
Total derivative contracts				$	15	$	24	$	(13)	$	—	$	26

Hedge Position as of December 31, 2019

(in millions)	Volume		Final Maturity Date	Prepaid Expenses and Other		Other Noncurrent Assets		Other Accrued Liabilities		Other Noncurrent Liabilities		Hedge Derivatives, net
Designated as hedges
Interest rate contracts (fair value hedges)	1,872	U.S. dollars	April 2028	$	12	$	53	$	(4)	$	—	$	61
Not designated as hedges
Foreign currency exchange contracts	397	Euros	December 2020	9		—		—		—		9
Foreign currency exchange contracts	177,045	South Korean won	April 2023	1		—		—		(4)		(3)
Fuel hedge contracts	243	gallons - crude oil and refined products	July 2020	16		—		(15)		—		1
Total derivative contracts				$	38	$	53	$	(19)	$	(4)	$	68

Schedule of balance sheet location of hedged item in fair value hedges

Balance Sheet Location of Hedged Item in Fair Value Hedges

	Carrying Amount of Hedge Instruments				Cumulative Amount of Fair Value Hedge Adjustments1
(in millions)	June 30, 2020		December 31, 2019		June 30, 2020		December 31, 2019
Current maturities of debt and finance leases	$	21	$	(19)	$	21	$	8
Debt and finance leases	$	(53)	$	(1,783)	$	96	$	53

⁽¹⁾As of June 30, 2020, these amounts include the cumulative amount of fair value hedging adjustments remaining for which hedge accounting has been discontinued of approximately $91 million.

Schedule of offsetting assets

The following table shows the net fair value of our counterparty positions had we elected to offset.

(in millions)	Prepaid Expenses and Other		Other Noncurrent Assets		Other Accrued Liabilities		Other Noncurrent Liabilities		Hedge Derivatives, net
June 30, 2020
Net derivative contracts	$	8	$	24	$	(6)	$	—	$	26
December 31, 2019
Net derivative contracts	$	24	$	53	$	(5)	$	(4)	$	68

Schedule of offsetting liabilities

The following table shows the net fair value of our counterparty positions had we elected to offset.

(in millions)	Prepaid Expenses and Other		Other Noncurrent Assets		Other Accrued Liabilities		Other Noncurrent Liabilities		Hedge Derivatives, net
June 30, 2020
Net derivative contracts	$	8	$	24	$	(6)	$	—	$	26
December 31, 2019
Net derivative contracts	$	24	$	53	$	(5)	$	(4)	$	68

Schedule of derivative gains (losses)

Not Designated Hedge Gains (Losses)

Gains (losses) related to our foreign currency exchange and fuel hedge contracts are as follows:

	Location of Gain (Loss) Recognized in Income	Amount of Gain (Loss) Recognized in Income
(in millions)		2020		2019
Three Months Ended June 30,
Foreign currency exchange contracts	Gain/(loss) on investments, net	$	(7)	$	(3)
Fuel hedge contracts	Aircraft fuel and related taxes	(68)		19
Total		$	(75)	$	16
Six Months Ended June 30,
Foreign currency exchange contracts	Gain/(loss) on investments, net	$	1	$	7
Fuel hedge contracts	Aircraft fuel and related taxes	149		(36)
Total		$	150	$	(29)