Southwest Airlines 2015 Annual Report Download - page 115
Download and view the complete annual report
Please find page 115 of the 2015 Southwest Airlines annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.-
1 -
2
-
3
-
4
-
5
-
6
-
7
-
8
-
9
-
10
-
11
-
12
-
13
-
14
-
15
-
16
-
17
-
18
-
19
-
20
-
21
-
22
-
23
-
24
-
25
-
26
-
27
-
28
-
29
-
30
-
31
-
32
-
33
-
34
-
35
-
36
-
37
-
38
-
39
-
40
-
41
-
42
-
43
-
44
-
45
-
46
-
47
-
48
-
49
-
50
-
51
-
52
-
53
-
54
-
55
-
56
-
57
-
58
-
59
-
60
-
61
-
62
-
63
-
64
-
65
-
66
-
67
-
68
-
69
-
70
-
71
-
72
-
73
-
74
-
75
-
76
-
77
-
78
-
79
-
80
-
81
-
82
-
83
-
84
-
85
-
86
-
87
-
88
-
89
-
90
-
91
-
92
-
93
-
94
-
95
-
96
-
97
-
98
-
99
-
100
-
101
-
102
-
103
-
104
-
105 -
106 -
107 -
108 -
109 -
110 -
111 -
112 -
113 -
114 -
115 -
116 -
117 -
118 -
119 -
120 -
121 -
122 -
123 -
124 -
125 -
126
-
127
-
128
-
129
-
130
-
131
-
132
-
133
-
134
-
135
-
136
-
137
-
138
-
139
-
140
-
141
-
142
-
143
-
144
-
145
-
146
-
147
-
148
 |
 |
In addition, the Company also had the following amounts associated with fuel derivative instruments
and hedging activities in its Consolidated Balance Sheet:
(in millions)
Balance Sheet
location
December 31,
2015
December 31,
2014
Cash collateral deposits provided to
counterparties for fuel contracts - current
Offset against
Accrued liabilities
$ 235 $ 68
Cash collateral deposits provided to
counterparties for fuel contracts- noncurrent
Offset against Other
noncurrent liabilities
600 198
Due to third parties for fuel contracts Accrued liabilities 46 16
All of the Company’s fuel derivative instruments and interest rate swaps are subject to agreements that
follow the netting guidance in the applicable accounting for derivatives and hedging. The types of
derivative instruments the Company has determined are subject to netting requirements in the
accompanying Consolidated Balance Sheet are those in which the Company pays or receives cash for
transactions with the same counterparty and in the same currency via one net payment or receipt. For
cash collateral held by the Company or provided to counterparties, the Company nets such amounts
against the fair value of the Company’s derivative portfolio by each counterparty. The Company has
elected to utilize netting for both its fuel derivative instruments and interest rate swap agreements and
also classifies such amounts as either current or noncurrent, based on the net fair value position with
each of the Company’s counterparties in the Consolidated Balance Sheet.
The Company’s application of its netting policy associated with cash collateral differs depending on
whether its derivative instruments are in a net asset position or a net liability position. If its fuel
derivative instruments are in a net asset position with a counterparty, cash collateral amounts held are
first netted against current outstanding derivative amounts associated with that counterparty until that
balance is zero, and then any remainder is applied against the fair value of noncurrent outstanding
derivative instruments. If the Company’s fuel derivative instruments are in a net liability position with
the counterparty, cash collateral amounts provided are first netted against noncurrent outstanding
derivative amounts associated with that counterparty until that balance is zero, and then any remainder
is applied against the fair value of current outstanding derivative instruments.
107