Special Items, Net (Tables)

6 Months Ended

Jun. 30, 2017

Components of Special Items, Net Included in Condensed Consolidated Statements of Operations

Special items, net on the condensed consolidated statements of operations consisted of the following (in millions):


	Three Months Ended June 30,							Six Months Ended June 30,
	2017			2016				2017			2016
Merger integration expenses ⁽¹⁾		$	68		$	97			$	130		$	201
Fleet restructuring expenses ⁽²⁾			48			15				111			41
Mark-to-market adjustments for bankruptcy obligations and other			38			(56	)			20			(61)
Labor contract expenses ⁽³⁾			45			—				45			—
Other operating charges (credits), net			3			6				14			(20	)

Mainline operating special items, net			202			62				320			161

Regional operating special items, net ⁽⁴⁾			1			3				4			8
Nonoperating special items, net ⁽⁵⁾			2			36				7			36

⁽¹⁾

Merger integration expenses included costs related to information technology, professional fees, re-branding of aircraft and airport facilities and training. Additionally, the 2016 periods also included costs related to alignment of labor union contracts, re-branded uniforms, relocation and severance.

⁽²⁾	Fleet restructuring expenses driven by the Merger principally included the acceleration of aircraft depreciation and impairments for aircraft grounded or expected to be grounded earlier than planned.

⁽³⁾	Labor contract expenses primarily included one-time charges to adjust the vacation accruals for pilots and flight attendants as a result of the mid-contract pay rate adjustments effective in the second quarter of 2017.

⁽⁴⁾	Regional operating special items, net principally related to Merger integration expenses.

⁽⁵⁾	Nonoperating special items, net primarily consisted of debt issuance and extinguishment costs associated with term loan refinancings. Additionally, the 2016 periods included costs associated with a bond refinancing.

American Airlines, Inc. [Member]

Components of Special Items, Net Included in Condensed Consolidated Statements of Operations

Special items, net on the condensed consolidated statements of operations consisted of the following (in millions):


	Three Months Ended June 30,						Six Months Ended June 30,
	2017			2016			2017			2016
Merger integration expenses⁽¹⁾		$	68		$	97		$	130		$	201
Fleet restructuring expenses ⁽²⁾			48			15			111			41
Mark-to-market adjustments for bankruptcy obligations and other			38			(56)			20			(61)
Labor contract expenses ⁽³⁾			45			—			45			—
Other operating charges (credits), net			3			6			14			(20)

Mainline operating special items, net			202			62			320			161

Regional operating special items, net ⁽⁴⁾			1			3			4			8
Nonoperating special items, net ⁽⁵⁾			2			36			7			36

⁽¹⁾

⁽²⁾	Fleet restructuring expenses driven by the Merger principally included the acceleration of aircraft depreciation and impairments for aircraft grounded or expected to be grounded earlier than planned.

⁽³⁾	Labor contract expenses primarily included one-time charges to adjust the vacation accruals for pilots and flight attendants as a result of the mid-contract pay rate adjustments effective in the second quarter of 2017.

⁽⁴⁾	Regional operating special items, net principally related to Merger integration expenses.

⁽⁵⁾	Nonoperating special items, net primarily consisted of debt issuance and extinguishment costs associated with term loan refinancings. Additionally, the 2016 periods included costs associated with a bond refinancing.