Frontier Airlines 2005 Annual Report Download - page 93

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3. AIRCRAFT AND OTHER EQUIPMENT
At December 31, 2005, the Company has a total fleet of 150 regional jets, including sixty-eight 50-seat ERJ-145 regional
jets, fifteen 44-seat ERJ-140 regional jets, seventeen 37-seat ERJ-135 regional jets, and fifty 70-seat ERJ-170 regional
jets. The Company owns five Saab 340 aircraft, 25 ERJ-145 regional jets, 11 ERJ-140 regional jets, 15 ERJ-135 regional jets, 45
ERJ-170 regional jets and leases the other aircraft under operating lease agreements (see Note 8). The five Saab 340 aircraft and
related spare parts are currently held for sale and recorded in prepaid and other current assets at a net realizable value of $956.
Aircraft and other equipment, excluding aircraft and other equipment held for sale, consist of the following as of December 31:
2005 2004
Aircraft $ 1,702,611 $ 993,913
Flight equipment 69,635 53,054
Furniture and equipment 4,729 3,694
Leasehold improvements 9,126 8,180
Total aircraft and other equipment 1,786,101 1,058,841
Less accumulated depreciation and amortization (123,865) (74,329)
Aircraft and other equipment—Net $ 1,662,236 $ 984,512
Aircraft and other equipment depreciation and amortization expense for the years ended December 31, 2005, 2004 and 2003
was $64,877, $34,412 and $23,873, respectively.
4. OTHER ASSETS
Other assets consist of the following as of December 31:
2005 2004
Prepaid aircraft rent $ 23,708 $ 20,744
Aircraft deposits 25,655 47,428
Deferred warrant charge, net (see Note 11) 7,035 7,407
Debt issue costs, net 15,779 8,048
Commuter slots 50,722 —
Other 21,300 7,246
$ 144,199 $ 90,873
As part of the US Airways global aircraft transaction agreement, the Company purchased commuter slots at Ronald Reagan
Washington National Airport and New York LaGuardia Airport. The New York LaGuardia Airport commuter slots are amortized over
a 15 month life and the Ronald Reagan Washington National Airport commuter slots are amortized on a straight line basis over a 25
year life to a residual value. Amortization began in September 2005 and was approximately $918 in 2005. The Company assigned the
right of use for these commuter slots to US Airways which will continue to be operated by US Airways Express carriers until the
expiration or termination of the amended and restated Chautauqua JSA dated as of April 26, 2005 between US Airways and
Chautauqua or the Republic JSA, whichever is later, at an agreed rate. Prior to the expiration of the agreement to license the commuter
slots, US Airways has the right to repurchase all, but not less than all, of the Washington and LaGuardia commuter slots at a
predetermined price.
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Source: REPUBLIC AIRWAYS HOLDINGS INC, 10-K, February 27, 2006 Powered by Morningstar® Document Research℠