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Financial Derivative Instruments (Tables)
 9 Months Ended
Sep. 30, 2023
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Volume of Fuel Hedging The following table provides information about the Company’s volume of fuel hedging on an economic basis:
Maximum fuel hedged as of
September 30, 2023Derivative underlying commodity type as of
Period (by year)(gallons in millions) (a)September 30, 2023
Remainder of 2023271 West Texas Intermediate ("WTI") crude oil, Brent crude oil, and Heating oil
20241,265 WTI crude oil and Brent crude oil
20251,033 Brent crude oil
2026176 Brent crude oil
(a) Due to the types of derivatives utilized by the Company and different price levels of those contracts, these volumes represent the maximum economic hedge in place and may vary significantly as market prices and the Company's flight schedule fluctuate.
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value The following table presents the location of all assets and liabilities associated with the Company’s derivative instruments within the unaudited Condensed Consolidated Balance Sheet:
  Asset derivativesLiability derivatives
 Balance SheetFair value atFair value atFair value atFair value at
(in millions)location9/30/202312/31/20229/30/202312/31/2022
Derivatives designated as hedges (a)     
Fuel derivative contracts (gross)Prepaid expenses and other current assets$250 $352 $— $— 
Fuel derivative contracts (gross)Other assets223 160 — — 
Interest rate derivative contractsOther assets23 14 — — 
Total derivatives designated as hedges$496 $526 $— $— 
Derivatives not designated as hedges (a)     
Fuel derivative contracts (gross)Prepaid expenses and other current assets$42 $— $28 $— 
Total derivatives $538 $526 $28 $— 
(a) Represents the position of each trade before consideration of offsetting positions with each counterparty and does not include the impact of cash collateral deposits provided to or received from counterparties. See discussion of credit risk and collateral following in this Note.
Offsetting Assets
In addition, the Company had the following amounts associated with fuel derivative instruments and hedging activities in its unaudited Condensed Consolidated Balance Sheet:

 Balance SheetSeptember 30,December 31,
(in millions)location20232022
Cash collateral deposits held from counterparties for fuel contracts - currentOffset against Prepaid expenses and other current assets$70 $106 
Cash collateral deposits held from counterparties for fuel contracts - noncurrentOffset against Other assets30 — 
Receivable from third parties for fuel contractsAccounts and other receivables45 34 
The Company had the following recognized financial assets and financial liabilities resulting from those transactions that meet the scope of the disclosure requirements as necessitated by applicable accounting guidance for balance sheet offsetting:

Offsetting of derivative assets
(in millions)
(i)(ii)(iii) = (i) + (ii)(i)(ii)(iii) = (i) + (ii)
September 30, 2023December 31, 2022
DescriptionBalance Sheet locationGross amounts of recognized assetsGross amounts offset in the Balance SheetNet amounts of assets presented in the Balance SheetGross amounts of recognized assetsGross amounts offset in the Balance SheetNet amounts of assets presented in the Balance Sheet
Fuel derivative contractsPrepaid expenses and other current assets$292 $(98)$194 $352 $(106)$246 
Fuel derivative contractsOther assets$223 $(30)$193 (a)$160 $— $160 (a)
Interest rate derivative contractsOther assets$23 $— $23 (a)$14 $— $14 (a)
(a) The net amounts of derivative assets and liabilities are reconciled to the individual line item amounts presented in the unaudited Condensed Consolidated Balance Sheet in Note 8.
Offsetting Liabilities
Offsetting of derivative liabilities
(in millions)
(i)(ii)(iii) = (i) + (ii)(i)(ii)(iii) = (i) + (ii)
September 30, 2023December 31, 2022
DescriptionBalance Sheet locationGross amounts of recognized liabilitiesGross amounts offset in the Balance SheetNet amounts of liabilities presented in the Balance SheetGross amounts of recognized liabilitiesGross amounts offset in the Balance SheetNet amounts of liabilities presented in the Balance Sheet
Fuel derivative contractsPrepaid expenses and other current assets$98 $(98)$— $106 $(106)$— 
Fuel derivative contractsOther assets$30 $(30)$— $— $— $— 
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss)
The following tables present the impact of derivative instruments and their location within the unaudited Condensed Consolidated Statement of Comprehensive Income (Loss) for the three and nine months ended September 30, 2023 and 2022:

Location and amount recognized in income on cash flow and fair value hedging relationships
Three months ended September 30, 2023Three months ended September 30, 2022
(in millions)Fuel and oilOther operating expensesFuel and oilOther operating expenses
Total$(52)$2 $(195)$2 
(Gain) loss on cash flow hedging relationships
Commodity contracts:
Amount of (gain) reclassified from AOCI into income(52)— (195)— 
Interest contracts:
Amount of loss reclassified from AOCI into income— 2 — 2 

Location and amount recognized in income on cash flow and fair value hedging relationships
Nine months ended September 30, 2023Nine months ended September 30, 2022
(in millions)Fuel and oilOther operating expensesFuel and oilOther operating expenses
Total$(93)$5 $(703)$5 
(Gain) loss on cash flow hedging relationships
Commodity contracts:
Amount of (gain) reclassified from AOCI into income(93)— (703)— 
Interest contracts:
Amount of loss reclassified from AOCI into income— 5 — 5 

Derivatives designated and qualified in cash flow hedging relationships
 (Gain) loss recognized in AOCI on derivatives, net of tax
 Three months ended
 September 30,
(in millions)20232022
Fuel derivative contracts$(175)$354 
Interest rate derivatives(7)(2)
Total$(182)$352 
Derivatives designated and qualified in cash flow hedging relationships
 (Gain) loss recognized in AOCI on derivatives, net of tax
 Nine months ended
 September 30,
(in millions)2023 2022
Fuel derivative contracts$78 $(438)
Interest rate derivatives(7)(14)
Total$71  $(452)
Derivative Instruments, Gain (Loss)
Derivatives not designated as hedges
 (Gain) loss recognized in income on derivatives 
  
 Three months endedLocation of (gain) loss recognized in income on derivatives
 September 30,
(in millions)20232022
Fuel derivative contracts$(33)$(38)Other (gains) losses, net

Derivatives not designated as hedges
 (Gain) loss recognized in income on derivatives 
  
 Nine months endedLocation of (gain) loss recognized in income on derivatives
 September 30,
(in millions)20232022
Fuel derivative contracts$(26)$(23)Other (gains) losses, net
Premiums Paid for Fuel Derivative Contracts The following tables present the impact of premiums paid for fuel derivative contracts and their location within the unaudited Condensed Consolidated Statement of Comprehensive Income (Loss) during the period the contract settles:
 Premium expense (benefit) recognized in income on derivatives  
  
 Three months endedLocation of premium expense (benefit) recognized in income on derivatives
 September 30,
(in millions)20232022
Fuel derivative contracts designated as hedges$30 $26 Fuel and oil
Fuel derivative contracts not designated as hedges— (14)Other (gains) losses, net
 Premium expense (benefit) recognized in income on derivatives 
  
 Nine months endedLocation of premium expense (benefit) recognized in income on derivatives
 September 30,
(in millions)20232022
Fuel derivative contracts designated as hedges$91 $79 Fuel and oil
Fuel derivative contracts not designated as hedges$— $(14)Other (gains) losses, net
Fair Values of Fuel Derivatives, Amounts Posted as Collateral, and Collateral Posting Threshold Amounts The following table provides the fair values of fuel derivatives, amounts posted as collateral, and applicable collateral posting threshold amounts as of September 30, 2023, at which such postings are triggered:
 Counterparty (CP) 
(in millions)ABCDEFG
H
Total
Fair value of fuel derivatives$120 $57 $84 $28 $77 $35 $60 $26 $487 
Cash collateral held from CP100 — — — — — — — 100 
Option to substitute LC for cashN/AN/A
 (a)
 (a)

 (a)
N/A
 (a)
N/A 
If credit rating is investment
grade, fair value of fuel
derivative level at which:		    
Cash is provided to CP
>(100)
>(50)
>(75)
>(125)

>(40)
>(65)
>(100)
>(100)
 
Cash is received from CP
>0(b)
>150(b)
>250(b)
>125(b)
>100(b)
>70(b)
>100(b)
>100(b)
 
If credit rating is non-investment
grade, fair value of fuel derivative level at which:		    
Cash is received from CP
 (c)
 (c)
 (c)
 (c)
 (c)
 (c)
 (c)
(c)
 
(a) The Company has the option to substitute letters of credit for 100 percent of cash collateral requirement.
(b) Thresholds may vary based on changes in credit ratings within investment grade.
(c) Cash collateral is provided at 100 percent of fair value of fuel derivative contracts.