United Airlines 2012 Annual Report Download - page 144

Table of Contents
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Supplemental disclosures of cash flow information and non-cash investing and financing activities for the years ended December 31, are as follows (in
millions):
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Cash paid during the period for:
Interest (net of amounts capitalized) $ 766 $ 426 $ 340
Income taxes 2 3 1
Non-cash transactions:
Transfer of OnePass frequent flyer liability and advanced purchase of miles from Continental $ — $ 2,387 $ (2,387)
Property and equipment acquired through issuance of debt 544 — 544
8% Contingent Senior Unsecured Notes and 6% Senior Notes, net of discount 357 357 —
Special facility payment financing 101 — 101
Airport construction financing 50 — 50
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Cash paid during the period for:
Interest (net of amounts capitalized) $ 855 $ 495 $ 360
Income taxes 10 2 —
Non-cash transactions:
Property and equipment acquired through issuance of debt $ 130 $ — $ 130
8% Contingent Senior Unsecured Notes, net of discount 88 88 —
Interest paid in kind on UAL 6% Senior Notes 37 37 —
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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 — —
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The Company previously sold frequent flyer miles to Chase which the Company recorded as Advanced Purchase of Miles. UAL has the right, but is not
required, to repurchase the pre-purchased miles from Chase during the term of the agreement. The balance of pre-purchased miles is eligible to be allocated to
MileagePlus members’ account by 2017. The Co-Brand Agreement contains termination penalties that may require United and Continental to make certain
payments and repurchase outstanding pre-purchased miles in cases such as the Company’s insolvency, bankruptcy or other material breaches. The Company
has recorded these amounts as advanced purchase of miles in the liabilities section of the Company’s consolidated balance sheets.
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