2014 Q4 Form 10-K Financial Statement

#000119312515061145 Filed on February 25, 2015

View on sec.gov

Income Statement

Concept 2014 Q4 2014 2013 Q4
Revenue $10.16B $42.65B $7.367B
YoY Change 37.91% 59.48% 24.09%
Cost Of Revenue $4.518B $19.93B $2.934B
YoY Change 53.99% 54.08% 884.56%
Gross Profit $5.642B $22.73B $4.434B
YoY Change 27.24% 64.54% -21.37%
Gross Profit Margin 55.53% 53.28% 60.19%
Selling, General & Admin $2.781B $11.44B $1.830B
YoY Change 51.97% 53.23% -5.28%
% of Gross Profit 49.29% 50.33% 41.27%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $1.513B $1.513B $1.020B
YoY Change 48.33% 48.33% 0.49%
% of Gross Profit 26.82% 6.66% 23.0%
Operating Expenses $4.300B $17.65B $3.858B
YoY Change 11.46% 49.02% -30.32%
Operating Profit $860.0M $4.249B $115.0M
YoY Change 647.83% 203.72% 1542.86%
Interest Expense -$211.0M $887.0M -$208.0M
YoY Change 1.44% 3.62% 69.11%
% of Operating Profit -24.53% 20.88% -180.87%
Other Income/Expense, Net -$82.00M -$1.037B -$12.00M
YoY Change 583.33% 12.23% -105.63%
Pretax Income $567.0M $3.212B -$2.325B
YoY Change -124.39% -247.34% 659.8%
Income Tax -$30.00M $330.0M -$324.0M
% Of Pretax Income -5.29% 10.27%
Net Earnings $597.0M $2.882B -$2.000B
YoY Change -129.85% -257.14% -860.46%
Net Earnings / Revenue 5.88% 6.76% -27.15%
Basic Earnings Per Share $0.84 $4.02 -$5.38
Diluted Earnings Per Share $0.82 $3.93 -$5.38
COMMON SHARES
Basic Shares Outstanding 706.2M shares 717.5M shares 372.1M shares
Diluted Shares Outstanding 724.8M shares 734.0M shares 372.1M shares

Balance Sheet

Concept 2014 Q4 2014 2013 Q4
SHORT-TERM ASSETS
Cash & Short-Term Investments $7.303B $7.303B $9.251B
YoY Change -21.06% -21.06% 137.69%
Cash & Equivalents $1.140B
Short-Term Investments $6.309B $6.309B $8.111B
Other Short-Term Assets $1.672B $1.672B $1.465B
YoY Change 14.13% -33.12% 134.03%
Inventory $1.004B $1.004B $1.012B
Prepaid Expenses
Receivables $1.771B $1.771B $1.560B
Other Receivables $0.00 $0.00 $0.00
Total Short-Term Assets $11.75B $11.75B $14.32B
YoY Change -17.96% -17.96% 102.53%
LONG-TERM ASSETS
Property, Plant & Equipment $23.08B $23.08B $19.26B
YoY Change 19.86% 19.86% 43.7%
Goodwill $4.091B $4.086B
YoY Change 0.12%
Intangibles $2.240B $2.311B
YoY Change -3.07%
Long-Term Investments
YoY Change
Other Assets $8.391B $2.060B $2.299B
YoY Change 264.98% -10.4% 6.09%
Total Long-Term Assets $31.48B $31.48B $27.96B
YoY Change 12.59% 12.59% 70.06%
TOTAL ASSETS
Total Short-Term Assets $11.75B $11.75B $14.32B
Total Long-Term Assets $31.48B $31.48B $27.96B
Total Assets $43.23B $43.23B $42.28B
YoY Change 2.24% 2.24% 79.83%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $1.377B $1.377B $1.368B
YoY Change 0.66% 0.66% 40.31%
Accrued Expenses $3.291B $3.291B $2.464B
YoY Change 33.56% -8.76% 72.67%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due $1.677B $1.677B $1.446B
YoY Change 15.98% 15.98% 4.18%
Total Short-Term Liabilities $13.40B $13.40B $13.81B
YoY Change -2.91% -2.91% 53.21%
LONG-TERM LIABILITIES
Long-Term Debt $16.37B $16.37B $21.28B
YoY Change -23.09% -23.09% 215.98%
Other Long-Term Liabilities $3.041B $11.43B $3.159B
YoY Change -3.74% 15.22% 79.39%
Total Long-Term Liabilities $27.80B $27.80B $31.20B
YoY Change -10.91% -10.91% 96.49%
TOTAL LIABILITIES
Total Short-Term Liabilities $13.40B $13.40B $13.81B
Total Long-Term Liabilities $27.80B $27.80B $31.20B
Total Liabilities $41.20B $41.20B $45.01B
YoY Change -8.45% -8.45% 80.82%
SHAREHOLDERS EQUITY
Retained Earnings -$8.562B -$11.30B
YoY Change -24.2% 19.38%
Common Stock $15.14B $10.60B
YoY Change 42.89% 119.76%
Preferred Stock
YoY Change
Treasury Stock (at cost) $0.00
YoY Change -100.0%
Treasury Stock Shares 0.000 shares
Shareholders Equity $2.021B $2.021B -$2.731B
YoY Change
Total Liabilities & Shareholders Equity $43.23B $43.23B $42.28B
YoY Change 2.24% 2.24% 79.83%

Cashflow Statement

Concept 2014 Q4 2014 2013 Q4
OPERATING ACTIVITIES
Net Income $597.0M $2.882B -$2.000B
YoY Change -129.85% -257.14% -860.46%
Depreciation, Depletion And Amortization $1.513B $1.513B $1.020B
YoY Change 48.33% 48.33% 0.49%
Cash From Operating Activities $804.0M $3.080B -$1.212B
YoY Change -166.34% 356.3% 329.79%
INVESTING ACTIVITIES
Capital Expenditures -$1.305B -$5.311B -$714.0M
YoY Change 82.77% 70.55% -2.86%
Acquisitions
YoY Change
Other Investing Activities $519.0M $2.400B $1.992B
YoY Change -73.95% -442.86% 441.3%
Cash From Investing Activities -$786.0M -$2.911B $1.278B
YoY Change -161.5% -23.68% -448.23%
FINANCING ACTIVITIES
Cash Dividend Paid $72.00M $144.0M
YoY Change
Common Stock Issuance & Retirement, Net $1.062B
YoY Change
Debt Paid & Issued, Net $314.0M
YoY Change
Cash From Financing Activities -202.0M -315.0M 357.0M
YoY Change -156.58% -108.29% -42.51%
NET CHANGE
Cash From Operating Activities 804.0M 3.080B -1.212B
Cash From Investing Activities -786.0M -2.911B 1.278B
Cash From Financing Activities -202.0M -315.0M 357.0M
Net Change In Cash -184.0M -146.0M 423.0M
YoY Change -143.5% -122.12% -1610.71%
FREE CASH FLOW
Cash From Operating Activities $804.0M $3.080B -$1.212B
Capital Expenditures -$1.305B -$5.311B -$714.0M
Free Cash Flow $2.109B $8.391B -$498.0M
YoY Change -523.49% 121.46% -209.93%

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CY2014 dei Document Type
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10-K
CY2014 dei Entity Registrant Name
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American Airlines Group Inc.
CY2014 dei Entity Well Known Seasoned Issuer
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CY2014 dei Trading Symbol
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AAL
CY2014 us-gaap Line Of Credit Facility Collateral
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Subject to certain limitations and exceptions, the 2014 Credit Facilities are secured by certain collateral, including certain route authorities and certain take-off and landing rights and gate leaseholds at certain airports. The obligations of American under the 2014 Credit Facilities are guaranteed by AAG, US Airways Group and US Airways. American is required to maintain a certain minimum ratio of appraised value of the collateral to the outstanding loans under the 2014 Credit Facilities as more fully described below in “Collateral Related Covenants.” Mandatory prepayments at par of term loans and revolving loans may be required to the extent necessary to comply with American’s covenants regarding the collateral coverage ratio.
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<div> <p style="MARGIN-BOTTOM: 0px; MARGIN-TOP: 12px"><font style="FONT-FAMILY: Times New Roman" size="2"><b>1.&#xA0;&#xA0;Nature of Operations and Operating Environment</b></font></p> <p style="MARGIN-BOTTOM: 0px; MARGIN-TOP: 6px; TEXT-INDENT: 2%" align="justify"><font style="FONT-FAMILY: Times New Roman" size="2">American Airlines Group Inc. (AAG or the Company), a Delaware corporation, is a holding company whose primary business activity is the operation of two major network air carriers through its subsidiaries American Airlines, Inc. (American), US Airways Group, Inc. (US Airways Group) and Envoy Aviation Group Inc. (Envoy, formerly known as AMR Eagle Holding Corporation). US Airways Group&#x2019;s principal subsidiary is US Airways, Inc. (US Airways) and its wholly-owned regional subsidiaries include Piedmont Airlines, Inc. (Piedmont), and PSA Airlines, Inc. (PSA).</font></p> <p style="MARGIN-BOTTOM: 0px; MARGIN-TOP: 12px; TEXT-INDENT: 2%" align="justify"><font style="FONT-FAMILY: Times New Roman" size="2">The Company operates the largest airline in the world as measured by revenue passenger miles (RPMs) and available seat miles (ASMs). The Company has hubs in Charlotte, Chicago, Dallas/Fort Worth, Los Angeles, Miami, New York City, Philadelphia, Phoenix and Washington, D.C. Together with American Eagle and US&#xA0;Airways Express, the Company operates an average of nearly 6,700 flights per day to 339 destinations in 54&#xA0;countries. In 2014, the Company had approximately 146&#xA0;million and 52&#xA0;million passengers boarding its mainline and regional flights, respectively. As of December&#xA0;31, 2014, the Company operated 983 mainline jets and is supported by its regional airline subsidiaries and third-party regional carriers operating as American Eagle and US Airways Express under capacity purchase agreements, which operated 566 regional aircraft.</font></p> <p style="MARGIN-BOTTOM: 0px; MARGIN-TOP: 12px; TEXT-INDENT: 2%" align="justify"><font style="FONT-FAMILY: Times New Roman" size="2">As of December&#xA0;31, 2014, the Company employed approximately 113,300 active full-time equivalent employees, of which 18,900 were employed by its regional operations. Approximately 82% of employees are covered by collective bargaining agreements (CBAs) with various labor unions.</font></p> </div>
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One quarter of the shares of AAG Series A Preferred Stock initially issued was mandatorily convertible on each of the 30th, 60th, 90th and 120th days after the Effective Date, subject to additional voluntary conversions.
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