United Airlines 2010 Annual Report Download - page 161

NOTE 18—STATEMENT OF CONSOLIDATED CASH FLOWS—SUPPLEMENTAL DISCLOSURES
Supplemental disclosures of cash flow information and non-cash investing and financing activities for the
years ended December 31 are as follows (in millions):
UAL United
Continental
Successor
Continental
Predecessor
2010
Cash paid (refunded) during the period for:
Interest (net of amounts capitalized) ......................... $600 $489 $111 $ 210
Income taxes ........................................... (16) (16) — 1
Non-cash transactions:
Redemption of Continental’s 5% Convertible Notes with UAL
common stock ........................................ $175 $— $175 $ —
Property and equipment acquired through issuance of debt and
capital leases ......................................... 98 — 98 465
Restricted cash collateral returned on derivative contracts ........ (45) (45) — —
Interest paid in kind on UAL 6% Senior Notes ................. 35 35 — —
2009
Cash paid (refunded) during the period for:
Interest (net of amounts capitalized) ......................... $411 $411 $ 326
Income taxes ........................................... (11) (11) 1
Non-cash transactions:
Property and equipment acquired through issuance of debt and
capital leases ......................................... $183 $183 $ 402
Capital lease assets and obligations recorded due to lease
amendment .......................................... 250 250 —
Restricted cash received as collateral on derivative contracts ..... 49 49 —
Interest paid in kind on UAL 6% Senior Notes ................. 33 33 —
Current operating payables reclassified to long-term debt due to
supplier agreement ..................................... 49 49 —
2008
Cash paid (refunded) during the period for:
Interest (net of amounts capitalized) ......................... $412 $412 $ 365
Income taxes ........................................... 3 3 5
Non-cash transactions:
Conversion of mandatorily convertible preferred stock to UAL
common stock ........................................ $374 $374 $ —
Property and equipment acquired through issuance of debt and
capital leases ......................................... 281 281 1,014
Reduction of debt in exchange for sale of frequent flyer miles .... — — (38)
Interest paid in kind on UAL 6% Senior Notes ................. 31 31 —
Receivable from unsettled stock sales as of December 31, 2008 . . . 15 15 —
NOTE 19—ADVANCED PURCHASE OF MILES
United
In September 2008, UAL and United amended certain terms of its agreement with their co-branded credit
card partner (the “Amendment”). In connection with the Amendment, United sold $500 million of pre-purchased
miles to its co-branded credit card partner and extended the term of the agreement to December 31, 2017. As part
of the Amendment, the co-branded credit card partner cannot use certain of the pre-purchased miles for issuance
to its cardholders prior to 2011; accordingly, the portion of miles that cannot be redeemed within one year is
classified as “Advanced purchase of miles” in the non-current liabilities section of UAL’s and United’s financial
statements. The Amendment specifies the maximum amount of the pre-purchased miles that the co-branded
credit card partner can award to its cardholders each year from 2011 to 2017.
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