ACQUISITION OF VIRGIN AMERICA, INC. (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Fair Value of Consideration Transferred

The fair value of consideration transferred on the closing date includes the value of the cash consideration and accelerated and vested equity awards attributable to pre-acquisition service. The purchase price is as follows (in millions, except per-share stock price):



	December 14, 2016
Number of shares of Virgin America common stock issued and outstanding	44.645
Multiplied by cash consideration for each share of common stock per the merger agreement	$	57.00
Cash consideration paid for common stock issued and outstanding	2,545
Accelerated and vested equity awards attributable to pre-acquisition service	51
Total Purchase Price	$	2,596

Schedule of Recognized Identified Assets Acquired and Liabilities Assumed

Provisional fair value of the assets acquired and the liabilities assumed as of the acquisition date, December 14, 2016, (in millions) are as follows:



	December 14, 2016
Cash and cash equivalents	$	645
Receivables	44
Prepaid expenses and other current assets	16
Property and equipment	560
Intangible assets	143
Goodwill	1,934
Other assets	84
Total assets	3,426

Accounts payable	22
Accrued wages, vacation and payroll taxes	51
Air traffic liabilities	172
Other accrued liabilities	196
Current portion of long-term debt	125
Long-term debt, net of current portion	360
Deferred income taxes	(304		)
Deferred revenue	126
Other liabilities	82
Total liabilities	830

Total purchase price	$	2,596

Business Acquisition, Pro Forma Information

Accordingly, the unaudited pro forma financial information below is not necessarily indicative of either future results of operations or results that might have been achieved had the acquisition been consummated as of January 1, 2015.



(in millions, except per share amounts)	Years Ended December 31,
	2016		2015
Revenue	$	7,511	$	7,111
Net Income	1,008		914