US Airways 2006 Annual Report Download - page 137

Table of Contents
America West Airlines, Inc.
Consolidated Statements of Cash Flows
For the Years Ended December 31, 2006, 2005 and 2004
2006 2005 2004
(In millions)
Cash flows from operating activities:
Net loss $ (37) $ (397) $ (85)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Cumulative effect of change in accounting principle (1) 202 —
Depreciation and amortization 46 53 54
Gain on forgiveness of debt (51) — —
Non-cash special charges (credits), net — 86 (15)
Change in fair values of fuel hedging instrument, net 70 (4) 2
Amortization of capitalized maintenance — — 86
Amortization of deferred credits (13) (8) (8)
Amortization of deferred rent 4 5 6
Amortization of warrants — 12 7
Amortization of debt issuance costs and guarantee fees 6 30 36
Amortization of debt discount 2 5 4
Amortization of investment discount and premium, net — — 1
Gain on sale of investments 1 — —
Other 1 (18) 28
Changes in operating assets and liabilities:
Decrease in restricted cash — 41 1
Increase in accounts receivable, net (62) (10) (13)
Decrease (increase) in expendable spare parts and supplies, net 11 (3) 1
Increase in prepaid expenses (65) (49) (49)
Decrease (increase) in other assets, net 25 (37) (3)
Increase (decrease) in accounts payable 78 (7) (37)
Increase in air traffic liability 141 23 20
Increase (decrease) in accrued compensation and vacation benefits 84 12 (18)
Increase (decrease) in accrued taxes 55 4 (3)
Increase (decrease) in other accrued liabilities (4) 13 4
Increase in other liabilities 2 23 1
Net cash provided by (used in) operating activities 293 (24) 20
Cash flows from investing activities:
Purchases of property and equipment (76) (37) (219)
Purchases of short-term investments (887) (579) (488)
Sales of short-term investments 701 416 708
Purchases of investments in debt securities — — (35)
Sales of investments in debt securities — — 20
Decrease (increase) in long-term restricted cash 18 (157) (2)
Proceeds from sales of property and equipment and sale-leaseback transactions 2 74 32
Increase in equipment purchase deposits (7) — —
Net cash provided by (used in) investing activities (249) (283) 16
Cash flows from financing activities
Proceeds from issuance of debt — — 142
Repayment of debt (4) (183) (176)
Payment of debt issuance costs — — (1)
Increase (decrease) in payable to affiliates, net (52) 998 —
Other — (4) (7)
Net cash provided by (used in) financing activities (56) 811 (42)
Net increase (decrease) in cash and cash equivalents (12) 504 (6)
Cash and cash equivalents at beginning of year 632 128 134
Cash and cash equivalents at end of year $ 620 $ 632 $ 128
See accompanying notes to consolidated financial statements.
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