Income Taxes (Tables)

12 Months Ended

Dec. 31, 2024

Income Tax Disclosure [Abstract]

Components of Income Tax Expense

The components of income tax expense are as follows (in millions):

	Year Ended December 31,
	2024		2023		2022
Current:
Federal	$	—	$	(1)	$	—
State and local	—		1		—
Foreign	1		—		—
Current income tax expense (benefit)	1		—		—
Deferred:
Federal	(4)		41		(7)
State and local	4		2		(1)
Deferred income tax expense (benefit)	—		43		(8)
Total income tax expense (benefit)	$	1	$	43	$	(8)

Schedule of Effective Income Tax Rate Reconciliation

The income tax provision differs from that computed at the federal statutory corporate tax rate as follows:

	Year Ended December 31,
	2024		2023		2022
U.S. federal statutory income tax rate	21.0	%	21.0	%	21.0	%
State taxes, net of federal benefit	1.0		1.4		1.7
Valuation allowance	(21.0)		115.8		—
Employee benefits	2.2		6.6		(1.6)
State refund adjustment	—		3.7		—
Executive compensation limitation	(1.0)		3.6		(3.9)
Change in state effective rate	—		0.9		0.8
Return to provision adjustment	—		—		(2.9)
Tax credits	(1.7)		(0.6)		—
Other non-deductible expenses	0.6		1.4		—
Excess tax benefits of stock-based compensation	(0.5)		(17.2)		1.2
Reserves for uncertain tax positions, net	0.4		(3.0)		0.6
Other	0.2		0.8		0.9
Effective income tax rate	1.2	%	134.4	%	17.8	%

Schedule of Deferred Tax Assets and Liabilities

The following table shows the components of the Company’s deferred tax assets and liabilities (in millions):

	December 31,
	2024		2023
Deferred tax assets:
Operating lease liability	$	895	$	669
Net operating losses	67		75
Nondeductible accruals	33		30
Deferred revenue	9		16
Income tax credits	1		2
Valuation allowance	(30)		(48)
Other	13		13
Deferred tax assets	$	988	$	757
Deferred tax liabilities:
Right-of-use asset	$	(887)	$	(658)
Property and equipment	(42)		(55)
Maintenance deposits	—		(19)
Intangibles	(6)		(6)
Prepaid maintenance expense	(59)		(24)
Other	(2)		(3)
Deferred tax liabilities	(996)		(765)
Net deferred tax assets (liabilities)	$	(8)	$	(8)

Schedule of Unrecognized Tax Benefits Roll Forward

The following table shows the components of the Company’s unrecognized tax benefits related to uncertain tax positions (in millions):

	2024		2023		2022
Unrecognized tax benefits at January 1	$	—	$	1	$	1
Decrease for tax positions taken during prior period	—		(1)		—
Increase for tax positions taken during current period	—		—		—
Unrecognized tax benefits at December 31	$	—	$	—	$	1