FINANCIAL DERIVATIVE INSTRUMENTS (Tables)

12 Months Ended

Dec. 31, 2011

Notes to Financial Statements [Abstract]

Volume of fuel hedging

	Fuel hedged as of
	December 31, 2011
Period (by year)	(gallons in millions)
2012	111
2013	1,000
2014	815
2015	395

Schedule of derivative instruments in statement of financial position, fair value

			Asset derivatives				Liability derivatives
	Balance Sheet	Fair value at		Fair value at		Fair value at		Fair value at
(in millions)	location	12/31/2011		12/31/2010		12/31/2011		12/31/2010
Derivatives designated as hedges*
Fuel derivative contracts (gross)	Other current assets	$	17	$	151	$	-	$	16
Fuel derivative contracts (gross)	Other assets		542		547		107		88
Fuel derivative contracts (gross)	Accrued liabilities		97		122		8		18
Fuel derivative contracts (gross)	Other noncurrent liabilities		93		71		24		9
Interest rate derivative contracts	Other assets		64		73		-		-
Interest rate derivative contracts	Accrued liabilities		2		-		-		-
Interest rate derivative contracts	Other noncurrent liabilities		-		-		132		4
Total derivatives designated as hedges		$	815	$	964	$	271	$	135
Derivatives not designated as hedges*
Fuel derivative contracts (gross)	Other current assets	$	124	$	164	$	58	$	284
Fuel derivative contracts (gross)	Other assets		26		212		272		304
Fuel derivative contracts (gross)	Accrued liabilities		326		40		687		222
Fuel derivative contracts (gross)	Other noncurrent liabilities		9		33		122		257
Total derivatives not designated as hedges		$	485	$	449	$	1,139	$	1,067
Total derivatives		$	1,300	$	1,413	$	1,410	$	1,202
* 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.

Cash collateral deposits, due to/from third parties, and net unrealized gains/losses

		Balance Sheet	December 31,		December 31,
(in millions)		location	2011		2010
Cash collateral deposits provided		Offset against Other
	to counterparties - noncurrent	noncurrent liabilities	$	41	$	125
Cash collateral deposits provided		Offset against Accrued
	to counterparties - current	liabilities		185		-
Cash collateral deposits held from		Offset against Other
	counterparty - noncurrent	assets		-		60
Due to third parties for settled fuel contracts		Accrued liabilities		21		-
Receivable from third parties for settled		Accounts and other
	fuel contracts	receivables		3		1

Derivatives in cash flow hedging relationships

Derivatives in cash flow hedging relationships
		(Gain) loss							(Gain) loss					(Gain) loss
		recognized in AOCI on							reclassified from AOCI					recognized in income
		derivatives (effective							into income (effective					on derivatives
		portion)							portion)(a)						(ineffective portion) (b)
		Year ended						Year ended						Year ended
		December 31,						December 31,						December 31,
(in millions)		2011			2010			2011			2010			2011		2010
Fuel derivative
	contracts	$	44	*	$	(47)	*	$	111	*	$	283	*	$	35	$	(7)
Interest rate
	derivatives		32	*		15	*		-			-			-		-
Total		$	76		$	(32)		$	111		$	283		$	35	$	(7)
*Net of tax
(a) Amounts related to fuel derivative contracts and interest rate derivatives are included in Fuel and oil and Interest expense, respectively.
(b) Amounts are included in Other (gains) losses, net.

Derivatives not in cash flow hedging relationships

Derivatives not in cash flow hedging relationships
	(Gain) loss
	recognized in income on
	derivatives
	Year ended				Location of (gain) loss
	December 31,				recognized in income
(in millions)	2011		2010		on derivatives
Fuel derivative contracts	$	53	$	(26)	Other (gains) losses, net

Floating rates paid during the period, based on actual and forward rates at year-end, under interest rate swap agreements qualifying as fair value hedges

	Fixed rate associated		Average floating
Debt instrument	with debt instrument		rate recognized in 2011
$385 million Notes due 2012	6.5	%	2.91	%
$300 million Notes due 2016	5.75	%	2.77	%
$100 million Debentures due 2027	7.375	%	2.36	%

Fair values of fuel derivatives, amounts posted as collateral, and collateral posting threshold amounts

Counterparty (CP)

A

B

C

D

E

Other(a)

Total

(in millions)

Fair value of fuel derivatives

$

(9)

$

(147)

$

(87)

$

61

$

133

$

5

$

(44)

Cash collateral held from (by) CP

(40)

(152)

(34)

-

-

-

(226)

If credit rating is investment

grade, fair value of fuel

derivative level at which:

Cash is provided to CP

0 to (300)

0 to (125)

>(50)

>(75)

>(50)

or >(700)

or >(625)

Cash is received from CP

>40

>150

>200(c)

>125(c)

>250

Aircraft or cash can be pledged to CP

(300) to

(125) to

N/A

N/A

N/A

(700)(d)

(625)(d)

If credit rating is non-investment

grade, fair value of fuel derivative

level at which:

Cash is provided to CP

0 to (300)

0 to (125)

(b)

(b)

(b)

or >(700)

or >(625)

Cash is received from CP

(b)

(b)

(b)

(b)

(b)

Aircraft can be pledged to CP

(300) to

(125) to

N/A

N/A

N/A

(700)

(625)

(a) Individual counterparties with fair value of fuel derivatives <$15 million.

(b) Cash collateral is provided at 100 percent of fair value of fuel derivative contracts.

(c) Thresholds may vary based on changes in credit ratings within investment grade.

(d) The Company has the option of providing cash or pledging aircraft as collateral. No aircraft were pledged as collateral as of December 31, 2011.