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REVENUE
 6 Months Ended
Jun. 30, 2020
Revenue Recognition and Deferred Revenue [Abstract]  
REVENUE REVENUE
Passenger Revenues
Revenue is categorized by revenue source as the Company believes it best depicts the nature, amount, timing, and uncertainty of revenue and cash flow. The following table provides the components of Passenger revenue recognized for the three and six months ended June 30, 2020 and 2019:

 Three months ended June 30,Six months ended June 30,
(in millions)2020201920202019
Passenger non-loyalty$562  $4,683  $3,783  $8,726  
Passenger loyalty - air transportation81  622  542  1,158  
Passenger ancillary sold separately61  182  224  347  
   Total passenger revenues$704  $5,487  $4,549  $10,231  

As of June 30, 2020, and December 31, 2019, the components of Air traffic liability and Air traffic liability - noncurrent, including contract liabilities based on tickets sold, unused funds available to the Customer, and loyalty points available for redemption, net of expected spoilage, within the unaudited Condensed Consolidated Balance Sheet were as follows:

 Balance as of
(in millions)June 30, 2020December 31, 2019
Air traffic liability - passenger travel and ancillary passenger services$3,023  $2,125  
Air traffic liability - loyalty program3,856  3,385  
   Total Air traffic liability$6,879  $5,510  

Rollforwards of the Company's Air traffic liability - loyalty program for the three and six months ended June 30, 2020 and 2019 were as follows (in millions):

Three months ended June 30,Six months ended June 30,
2020201920202019
Air traffic liability - loyalty program - beginning balance$3,561  $3,171  $3,385  $3,011  
   Amounts deferred associated with points awarded385  757  1,041  1,468  
   Revenue recognized from points redeemed - Passenger(81) (622) (542) (1,158) 
   Revenue recognized from points redeemed - Other(9) (17) (28) (32) 
Air traffic liability - loyalty program - ending balance$3,856  $3,289  $3,856  $3,289  
Air traffic liability includes consideration received for ticket and loyalty related performance obligations which have not been satisfied as of a given date. Rollforwards of the amounts included in Air traffic liability as of June 30, 2020 and 2019 were as follows (in millions):

 Air traffic liability
Balance at December 31, 2019$5,510  
   Current period sales (passenger travel, ancillary services, flight loyalty, and partner loyalty)5,946  
   Revenue from amounts included in contract liability opening balances(1,936) 
   Revenue from current period sales(2,641) 
Balance at June 30, 2020$6,879  

 Air traffic liability
Balance at December 31, 2018$5,070  
   Current period sales (passenger travel, ancillary services, flight loyalty, and partner loyalty)11,178  
   Revenue from amounts included in contract liability opening balances(2,855) 
   Revenue from current period sales(7,409) 
Balance at June 30, 2019$5,984  

During the first and second quarters 2020, the Company experienced a significantly higher number of Customer-driven flight cancellations as a result of the COVID-19 pandemic. See Note 2 for further information. As a result, the amount of Customer travel funds held by the Company, net of spoilage, that can be redeemed for future travel as of June 30, 2020, far exceeds previous periods and represents approximately 28 percent of the total Air traffic liability balance at June 30, 2020, as compared to approximately 1 percent of the total Air traffic liability balance at December 31, 2019. In order to provide additional flexibility to Customers who hold these funds, the Company has significantly relaxed its previous policies with regards to the time period within which these funds can be redeemed, which is typically twelve months from the original date of purchase. For all Customer travel funds created or expired between March 1 and September 7, 2020 associated with flight cancellations, the Company has extended the expiration date to September 7, 2022. Despite the possibility that some of these travel funds may be redeemed beyond the following twelve-month period, the Company has continued to classify them as "current" in the accompanying unaudited Condensed Consolidated Balance Sheet as they remain a demand liability and the Company does not have sufficient data to enable it to accurately estimate the portion that will not be redeemed for travel in the subsequent twelve months.

Spoilage estimates are based on the Company's Customers' historical travel behavior as well as assumptions about the Customers' future travel behavior. Assumptions used to generate spoilage estimates can be impacted by several factors including, but not limited to: fare increases, fare sales, changes to the Company's ticketing policies, changes to the Company’s refund, exchange, and unused funds policies, seat availability, and economic factors. Given the unprecedented amount of first half 2020 Customer flight cancellations and the amount of travel funds provided, the Company expects additional variability in the amount of spoilage revenue recorded in future periods, as the estimates of the portion of sold tickets that will expire unused may differ from historical experience.

The Company has a co-branded credit card agreement (the “Agreement”) with Chase Bank USA, N.A. (“Chase”), through which the Company sells loyalty points and certain marketing components, which consist of the use of Southwest Airlines’ brand and access to Rapid Rewards Member lists, licensing and advertising elements, and the use of the Company’s resource team. In 2018, Chase and Southwest executed a multi-year extension of the Agreement, extending the decades-long relationship between the parties. The Company recognized revenue related to the marketing, advertising, and other travel-related benefits of the revenue associated with various loyalty partner agreements including, but not limited to, the Agreement with Chase, within Other operating revenues. For the three months ended June 30, 2020 and 2019, the Company recognized $256 million and $336 million, respectively. For the six months ended June 30, 2020 and 2019, the Company recognized $577 million and $655 million, respectively.