XML 48 R32.htm IDEA: XBRL DOCUMENT v3.22.2.2
Revenue Recognition (Tables)
 9 Months Ended
Sep. 30, 2022
Entity Information [Line Items]  
Disaggregation of Revenue
The following are the significant categories comprising our operating revenues (in millions):
 Three Months Ended September 30,Nine Months Ended September 30,
 2022202120222021
Passenger revenue:
Passenger travel$11,536 $7,287 $30,150 $16,177 
Loyalty revenue - travel (1)
860 670 2,288 1,505 
Total passenger revenue12,396 7,957 32,438 17,682 
Cargo279 332 970 973 
Other:
Loyalty revenue - marketing services (2)
655 585 1,991 1,571 
Other revenue132 95 384 229 
Total other revenue787 680 2,375 1,800 
Total operating revenues$13,462 $8,969 $35,783 $20,455 
(1)Loyalty revenue included in passenger revenue is principally comprised of mileage credit redemptions, which were earned from travel or co-branded credit card and other partners.
(2)During the three months ended September 30, 2022 and 2021, cash payments from co-branded credit card and other partners were $1.0 billion and $835 million, respectively. During the nine months ended September 30, 2022 and 2021, cash payments from co-branded credit card and other partners were $3.4 billion and $2.6 billion, respectively.
The following is our total passenger revenue by geographic region (in millions):
 Three Months Ended September 30,Nine Months Ended September 30,
 2022202120222021
Domestic$8,786 $6,547 $23,966 $14,646 
Latin America1,596 957 4,357 2,375 
Atlantic
1,901 408 3,848 555 
Pacific113 45 267 106 
Total passenger revenue$12,396 $7,957 $32,438 $17,682 
Schedule of Contract Liabilities
September 30, 2022December 31, 2021
(In millions)
Loyalty program liability$9,147 $9,135 
Air traffic liability8,161 6,087 
Total$17,308 $15,222 
The balance of the loyalty program liability fluctuates based on seasonal patterns, which impact the volume of mileage credits issued through travel or sold to co-branded credit card and other partners (deferral of revenue) and mileage credits redeemed (recognition of revenue). Changes in loyalty program liability are as follows (in millions):
Balance at December 31, 2021$9,135 
Deferral of revenue2,367 
Recognition of revenue (1)
(2,355)
Balance at September 30, 2022 (2)
$9,147 
(1)Principally relates to revenue recognized from the redemption of mileage credits for both air and non-air travel awards. Mileage credits are combined in one homogenous pool and are not separately identifiable. As such, the revenue is comprised of miles that were part of the loyalty program deferred revenue balance at the beginning of the period, as well as miles that were issued during the period.
(2)Mileage credits can be redeemed at any time and generally do not expire as long as that AAdvantage member has any type of qualifying activity at least every 24 months or if the AAdvantage member is the primary holder of a co-branded credit card. As of September 30, 2022, our current loyalty program liability was $3.0 billion and represents our current estimate of revenue expected to be recognized in the next 12 months based on historical as well as projected trends, with the balance reflected in long-term loyalty program liability expected to be recognized as revenue in periods thereafter. Given the inherent uncertainty of the current operating environment due to the continued impact of the COVID-19 pandemic, we will continue to monitor redemption patterns and may adjust our estimates in the future.
American Airlines, Inc.  
Entity Information [Line Items]  
Disaggregation of Revenue
The following are the significant categories comprising American's operating revenues (in millions):
 Three Months Ended September 30,Nine Months Ended September 30,
 2022202120222021
Passenger revenue:
Passenger travel$11,536 $7,287 $30,150 $16,177 
Loyalty revenue - travel (1)
860 670 2,288 1,505 
Total passenger revenue12,396 7,957 32,438 17,682 
Cargo279 332 970 973 
Other:
Loyalty revenue - marketing services (2)
655 585 1,991 1,571 
Other revenue131 94 379 228 
Total other revenue786 679 2,370 1,799 
Total operating revenues$13,461 $8,968 $35,778 $20,454 
(1)Loyalty revenue included in passenger revenue is principally comprised of mileage credit redemptions, which were earned from travel or co-branded credit card and other partners.
(2)During the three months ended September 30, 2022 and 2021, cash payments from co-branded credit card and other partners were $1.0 billion and $835 million, respectively. During the nine months ended September 30, 2022 and 2021, cash payments from co-branded credit card and other partners were $3.4 billion and $2.6 billion, respectively.
The following is American's total passenger revenue by geographic region (in millions):
 Three Months Ended September 30,Nine Months Ended September 30,
 2022202120222021
Domestic$8,786 $6,547 $23,966 $14,646 
Latin America1,596 957 4,357 2,375 
Atlantic
1,901 408 3,848 555 
Pacific113 45 267 106 
Total passenger revenue$12,396 $7,957 $32,438 $17,682 
Schedule of Contract Liabilities
September 30, 2022December 31, 2021
(In millions)
Loyalty program liability$9,147 $9,135 
Air traffic liability8,161 6,087 
Total$17,308 $15,222 
The balance of the loyalty program liability fluctuates based on seasonal patterns, which impact the volume of mileage credits issued through travel or sold to co-branded credit card and other partners (deferral of revenue) and mileage credits redeemed (recognition of revenue). Changes in loyalty program liability are as follows (in millions):
Balance at December 31, 2021$9,135 
Deferral of revenue2,367 
Recognition of revenue (1)
(2,355)
Balance at September 30, 2022 (2)
$9,147 
(1)Principally relates to revenue recognized from the redemption of mileage credits for both air and non-air travel awards. Mileage credits are combined in one homogenous pool and are not separately identifiable. As such, the revenue is comprised of miles that were part of the loyalty program deferred revenue balance at the beginning of the period, as well as miles that were issued during the period.
(2)Mileage credits can be redeemed at any time and generally do not expire as long as that AAdvantage member has any type of qualifying activity at least every 24 months or if the AAdvantage member is the primary holder of a co-branded credit card. As of September 30, 2022, American's current loyalty program liability was $3.0 billion and represents American's current estimate of revenue expected to be recognized in the next 12 months based on historical as well as projected trends, with the balance reflected in long-term loyalty program liability expected to be recognized as revenue in periods thereafter. Given the inherent uncertainty of the current operating environment due to the continued impact of the COVID-19 pandemic, American will continue to monitor redemption patterns and may adjust its estimates in the future.