JetBlue Airlines 2005 Annual Report Download - page 31

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all of which are expected to be completed in early 2009. The lease term ends on the earlier of the
thirtieth anniversary of the date of beneficial occupancy of the new terminal or November 21, 2039.
We have a one-time early termination option five years prior to the end of the scheduled lease term.
We will continue to operate out of our existing facilities at Terminal 6 and a temporary seven gate
facility on the Terminal 5 site, expected to be operational in the second quarter of 2006, until our new
terminal is completed.
Our West Coast operations are based at Long Beach Municipal Airport, which serves the Los
Angeles area. In February 2005, we announced our plan to increase our presence at Boston’s Logan
International Airport by moving our operations to Terminal C, Pier C. We plan to operate a total of
11 gates and 14 ticket counter positions at the facility by 2009. Starting in 2006, JetBlue will continue
its growth in Terminal C in Boston by adding one gate approximately every six months over the next
three years.
In May 2005, we completed the construction of a 70,000 square foot aircraft maintenance hangar
and adjacent 32,000 square foot office facility to accommodate our technical support operations
personnel at JFK. The ground lease for this site expires in December 2015. In addition, we lease one
building at JFK where we store aircraft spare parts and passenger supplies.
In June 2005, we opened our flight training center as well as a 70,000 square foot hangar for the
installation and maintenance of LiveTV’s in-flight satellite television systems and aircraft maintenance
at Orlando International Airport. The training center encompasses 80,000 square feet and is equipped
with five full flight simulators, two cabin trainers, a training pool, classrooms and support areas. This
facility, which is capable of housing eight full flight simulators, is being used for the initial and
continuous training of all our pilots and inflight crew, as well as support training for our technical
operations and airport crew.
Our primary corporate offices are located in Forest Hills, New York, where we lease space under
a lease that expires in 2012 and our finance department is based in Darien, Connecticut. Our office in
Salt Lake City, Utah contains a core team of employees who are responsible for group sales, customer
service and at-home reservation agent supervision, and credit card fraud investigation. In keeping with
our commitment to innovation, the majority of our reservation agents work out of their homes and
are linked to our reservations system through personal computers.
ITEM 3. LEGAL PROCEEDINGS
Beginning in September 2003, we became aware that several lawsuits were commenced against us
in the 3rd Judicial District Court of Utah, San Diego Superior Court, the U.S. District Court for the
Central District of California, the U.S. District Court for the Eastern District of New York and the
U.S. District Court for the Southern District of Florida, alleging various causes of action, including
fraudulent misrepresentation, breach of contract, violation of privacy rights, as well as violations of
consumer protection statutes and federal electronic communications laws. These claims arose out of
our providing access to limited customer data to a government contractor in connection with a test
project for military base security. All of these suits have now been dismissed.
In the ordinary course of our business, we are party to various other legal proceedings and claims
which we believe are incidental to the operation of our business. We believe that the ultimate
outcome of these proceedings to which we are currently a party will not have a material adverse effect
on our financial position, results of operations or cash flows.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
No matters were submitted to a vote of our security holders during the fourth quarter of 2005.
EXECUTIVE OFFICERS OF THE REGISTRANT
Certain information concerning JetBlue’s executive officers as of the date of this report follows.
There are no family relationships between any of JetBlue’s executive officers.
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