JetBlue Airlines 2004 Annual Report Download - page 78

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JETBLUE AIRWAYS CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
December 31, 2004
Note 13—Government Compensation
In April 2003, the President signed into law the Emergency War Time Supplemental
Appropriations Act of 2003, which provides for compensation to domestic air carriers based on their
proportional share of passenger security and air carrier infrastructure security fees paid by those
carriers through the date of enactment of the legislation. In May 2003, we received $22.8 million in
compensation pursuant to this legislation, which is recorded in other income (expense).
Note 14—Quarterly Financial Data (Unaudited)
Quarterly results of operations for the years ended December 31 are summarized below (in
thousands, except per share amounts):
First Second Third Fourth
Quarter Quarter(1) Quarter Quarter(2)
2004
Operating revenues ......................... $ 289,003 $ 319,718 $ 323,215 $ 334,036
Operating income .......................... 32,664 45,088 22,985 12,206
Net income ............................... 15,193 21,458 8,423 2,393
Basic earnings per share ...................... $ 0.15 $ 0.21 $ 0.08 $ 0.02
Diluted earnings per share .................... $ 0.14 $ 0.19 $ 0.08 $ 0.02
2003
Operating revenues ......................... $ 217,130 $ 244,701 $ 273,576 $ 262,944
Operating income .......................... 34,453 45,544 53,836 35,000
Net income ............................... 17,358 37,957 29,043 19,540
Basic earnings per share ...................... $ 0.18 $ 0.40 $ 0.29 $ 0.19
Diluted earnings per share .................... $ 0.17 $ 0.36 $ 0.26 $ 0.17
(1) Government compensation recorded in other income (expense) was $22.8 million in the second
quarter of 2003.
(2) During the fourth quarter of 2004, we recorded additional passenger revenue of $3.5 million to
recognize expired customer credits based on stated terms. We also recorded other non-recurring
charges totaling $2.0 million.
The sum of the quarterly earnings per share amounts does not equal the annual amount reported
since per share amounts are computed independently for each quarter and for the full year based on
respective weighted-average common shares outstanding and other dilutive potential common shares.
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