Hedging Activities (Tables)

12 Months Ended

Dec. 31, 2012

At December 31, the Company’s derivatives were reported in its consolidated balance sheets as follows (in millions):


Classification	Balance Sheet Location	2012		2011
Derivatives designated as cash flow hedges
Assets:
Fuel contracts due within one year	Receivables	$	7	$	77

Liabilities:
Fuel contracts due within one year	Current liabilities: Other	$	2	$	4

Derivatives not designated as hedges
Assets:
Fuel contracts due within one year	Receivables	$	44	$	—

Liabilities:
Fuel contracts due within one year	Current liabilities: Other	$	2	$	—
Fuel contracts with maturities greater than one year	Other liabilities and deferred credits: Other		1		—

Total liabilities		$	3	$	—

Total derivatives
Assets:
Fuel contracts due within one year	Receivables	$	51	$	77

Liabilities:
Fuel contracts due within one year	Current liabilities: Other	$	4	$	4
Fuel contracts with maturities greater than one year	Other liabilities and deferred credits: Other		1		—

Total liabilities		$	5	$	4

Schedule of Gains (Losses) on Derivative Instruments

The following tables present the fuel hedge gains (losses) recognized during the periods presented and their classification in the financial statements (in millions):


Fuel 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) (Effective Portion)					Amount of Loss Recognized in Nonoperating Expense (Ineffective Portion)
Fuel derivatives designated as cash flow hedges	2012			2011		2012			2011		2012			2011
	$	(51	)	$	163	$	(141	)	$	503	$	(1	)	$	(59	)


Fuel derivatives not designated as cash flow hedges	Aircraft Fuel						Nonoperating Income (Expense)						Total Gain (Loss)
Fuel derivatives not designated as cash flow hedges	2012	2011		2010			2012		2011		2010		2012		2011		2010
	$—	$	—	$	(35	)	$	38	$	—	$	—	$	38	$	—	$	(35	)

Schedule of Derivative Credit Risk and Fair Value

The following table presents information related to the Company’s derivative credit risk as of December 31 (in millions):


	2012		2011
Net derivative assets with counterparties	$	46	$	73
Collateral held by the Company (a)		—		—
Potential loss related to the failure of the Company’s counterparties to perform		46		73

(a)	Classified as an other current liability.

- Definition

Tabular disclosure of the location and amount of gains and losses reported in the statement of financial performance, or when applicable, the statement of financial position. For example, (a) gains and losses recognized in the income statement on derivative instruments designated and qualifying as hedging instruments in fair value hedges and related hedged items designated and qualifying in fair value hedges and (b) gains and losses initially recognized in other comprehensive income on derivative instruments designated and qualifying as cash flow hedges.

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- Definition

Tabular disclosure of the location and fair value amounts of derivative instruments (and nonderivative instruments that are designated and qualify as hedging instruments) reported in the statement of financial position.

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