Hedging Activities (Tables)

9 Months Ended

Sep. 30, 2012

Schedule Of Hedging Activity For Projected Fuel Requirements

As of September 30, 2012, our projected fuel requirements for the remainder of 2012 were hedged as follows:

	Maximum Price					Minimum Price
	% of Expected Consumption			Weighted Average Price (per gallon)		% of Expected Consumption			Weighted Average Price (per gallon)
UAL (a)
Heating oil collars		20	%	$	3.56		20	%	$	2.80
Brent crude oil collars		14			2.76		14			1.93
Diesel fuel collars		9			3.28		9			2.45
Diesel fuel call options		1			3.25		N/A			N/A
Total		44	%				43	%

(a) As of September 30, 2012, UAL had also hedged 26% of its projected first half 2013 fuel consumption.

Schedule Of Derivative Instruments

The following tables present information about the financial statement classification of the Company’s derivatives (in millions):

		September 30, 2012						December 31, 2011
Classification	Balance Sheet Location	UAL		United		Continental		UAL		United		Continental
Derivatives designated as cash flow hedges
Assets:
Fuel contracts due within one year	Receivables	$	27	$	17	$	10	$	77	$	48	$	29
Liabilities:
Fuel contracts due within one year	Current liabilities: Other	$	7	$	4	$	3	$	4	$	4	$	—
Derivatives not designated as hedges
Assets:
Fuel contracts due within one year	Receivables	$	17	$	13	$	4	$	—	$	—	$	—
Liabilities:
Fuel contracts due within one year	Current liabilities: Other	$	2	$	1	$	1	$	—	$	—	$	—
Fuel contracts with maturities greater than one year	Other liabilities and deferred credits: Other		2		1		1		—		—		—
Total liabilities		$	4	$	2	$	2	$	—	$	—	$	—
Total derivatives
Assets:
Fuel contracts due within one year	Receivables	$	44	$	30	$	14	$	77	$	48	$	29
Liabilities:
Fuel contracts due within one year	Current liabilities: Other	$	9	$	5	$	4	$	4	$	4	$	—
Fuel contracts with maturities greater than one year	Other liabilities and deferred credits: Other		2		1		1		—		—		—
Total liabilities		$	11	$	6	$	5	$	4	$	4	$	—

Schedule Of Gain Loss On Derivative Instruments

The following tables present the impact of derivative instruments and their location within the unaudited Statements of Consolidated Operations:

Derivatives designated as cash flow hedges

	Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective portion)						Gain (Loss) Reclassified from AOCI into Income (Fuel Expense)					Amount of Gain (Loss) Recognized in Income (Nonoperating Expense) (Ineffective Portion)
	Three Months Ended September 30,						Three Months Ended September 30,					Three Months Ended September 30,
Fuel contracts	2012			2011			2012			2011		2012			2011
UAL	$	133		$	(181	)	$	(38	)	$	94	$	2		$	(56	)
United		77			(91	)		(23	)		90		1			(33	)
Continental		56			(90	)		(15	)		4		1			(23	)
	Amount of Gain (Loss) Recognized in AOCI on Derivatives (Effective portion)						Gain (Loss) Reclassified from AOCI into Income (Fuel Expense)					Amount of Loss Recognized in Income (Nonoperating Expense) (Ineffective Portion)
	Nine Months Ended September 30,						Nine Months Ended September 30,					Nine Months Ended September 30,
Fuel contracts	2012			2011			2012			2011		2012			2011
UAL	$	(36	)	$	112		$	(107	)	$	526	$	(2	)	$	(87	)
United		(13	)		145			(55	)		427		(1	)		(38	)
Continental		(23	)		(33	)		(52	)		99		(1	)		(49	)

Derivatives not designated as hedges

	Amount of Gain Recognized in Income (Nonoperating Expense)				Amount of Gain Recognized in Income (Nonoperating Expense)
	Three Months Ended September 30,				Nine Months Ended September 30,
Fuel contracts	2012		2011		2012		2011
UAL	$	10	$	—	$	10	$	—
United		8		—		8		—
Continental		2		—		2		—

Schedule Of Derivative Credit Risk And Fair Value

The following table presents information related to the Company’s derivative credit risk as of September 30, 2012 (in millions):

	UAL		United		Continental
Net derivative asset with counterparties	$	33	$	24	$	9
Collateral posted by the Company with its counterparties (a)		—		—		—
Potential loss related to the failure of the Company’s counterparties to perform		34		25		9

(a) Classified as a current receivable.