Delta Airlines 2006 Annual Report Download - page 119

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
Our sale of ASA included the following major classes of assets and liabilities:
(in millions)
September 7,
2005
Assets:
Current assets $ 153
Flight equipment, net 1,555
Other property and equipment, net 61
Other assets 33
Total assets $ 1,802
Liabilities:
Current maturities of long-term debt $ 222
Other current liabilities 116
Long-term debt 1,002
Other noncurrent liabilities 8
Total liabilities $ 1,348
After the sale of ASA to SkyWest, the revenues and expenses related to our contract carrier agreement with ASA are reported as regional affiliates
passenger revenues and contract carrier agreements, respectively, in our Consolidated Statements of Operations. Prior to the sale, expenses related to ASA
were reported in the applicable expense line item in our Consolidated Statements of Operations.
Note 12. Common and Preferred Stock
Stock Option and Other Stock-Based Award Plans
During the year ended December 31, 2005, we distributed from treasury 38 million shares of our common stock for redemptions of ESOP Preferred
Stock under the Savings Plan. We distributed these shares of common stock from treasury at an average price that is lower than the average price we paid to
purchase these shares. As a result, our Consolidated Balance Sheet at December 31, 2005 reflects a $1.8 billion decrease in treasury stock at cost, and a
corresponding decrease in additional paid-in-capital.
Prior to the Petition Date, we adopted certain plans which provide for the issuance of common stock in connection with the exercise of stock options and
for other stock-based awards. Effective March 31, 2006 the Bankruptcy Court granted our motion to reject substantially all of our then outstanding stock
options. For additional information related to stock-based compensation, see Note 2.
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