þ
|
QUARTERLY
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF
1934
|
¨
|
TRANSITION
REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF
1934
|
TEXAS
|
74-1563240
|
(State
or other jurisdiction of
|
(IRS
Employer
|
incorporation
or organization)
|
Identification
No.)
|
P.O.
Box 36611, Dallas, Texas
|
75235-1611
|
(Address
of principal executive offices)
|
(Zip
Code)
|
June
30, 2006
|
December
31, 2005
|
||||||
ASSETS
|
|||||||
Current
assets:
|
|||||||
Cash
and cash equivalents
|
$
|
2,592
|
$
|
2,280
|
|||
Short-term
investments
|
396
|
251
|
|||||
Accounts
and other receivables
|
269
|
258
|
|||||
Inventories
of parts and supplies, at cost
|
189
|
150
|
|||||
Fuel
hedge contracts
|
853
|
641
|
|||||
Prepaid
expenses and other current assets
|
59
|
40
|
|||||
Total
current assets
|
4,358
|
3,620
|
|||||
Property
and equipment, at cost:
|
|||||||
Flight
equipment
|
11,145
|
10,592
|
|||||
Ground
property and equipment
|
1,292
|
1,256
|
|||||
Deposits
on flight equipment purchase contracts
|
704
|
660
|
|||||
13,141
|
12,508
|
||||||
Less
allowance for depreciation and amortization
|
3,517
|
3,296
|
|||||
9,624
|
9,212
|
||||||
Other
assets
|
1,362
|
1,171
|
|||||
$
|
15,344
|
$
|
14,003
|
||||
LIABILITIES
AND STOCKHOLDERS' EQUITY
|
|||||||
Current
liabilities:
|
|||||||
Accounts
payable
|
$
|
609
|
$
|
524
|
|||
Accrued
liabilities
|
2,635
|
2,074
|
|||||
Air
traffic liability
|
958
|
649
|
|||||
Current
maturities of long-term debt
|
483
|
601
|
|||||
Total
current liabilities
|
4,685
|
3,848
|
|||||
Long-term
debt less current maturities
|
1,350
|
1,394
|
|||||
Deferred
income taxes
|
1,942
|
1,681
|
|||||
Deferred
gains from sale and leaseback of aircraft
|
128
|
136
|
|||||
Other
deferred liabilities
|
286
|
269
|
|||||
Stockholders'
equity:
|
|||||||
Common
stock
|
808
|
802
|
|||||
Capital
in excess of par value
|
1,047
|
963
|
|||||
Retained
earnings
|
4,325
|
4,018
|
|||||
Accumulated
other comprehensive income
|
1,104
|
892
|
|||||
Treasury
stock, at cost
|
(331
|
)
|
-
|
||||
Total
stockholders' equity
|
6,953
|
6,675
|
|||||
$
|
15,344
|
$
|
14,003
|
||||
See
accompanying notes.
|
Three
months ended June 30,
|
Six
months ended June 30,
|
||||||||||||
2006
|
2005
|
2006
|
2005
|
||||||||||
OPERATING
REVENUES:
|
|||||||||||||
Passenger
|
$
|
2,362
|
$
|
1,868
|
$
|
4,300
|
$
|
3,461
|
|||||
Freight
|
38
|
33
|
74
|
67
|
|||||||||
Other
|
49
|
43
|
95
|
80
|
|||||||||
Total
operating revenues
|
2,449
|
1,944
|
4,469
|
3,608
|
|||||||||
OPERATING
EXPENSES:
|
|||||||||||||
Salaries,
wages, and benefits
|
786
|
684
|
1,502
|
1,345
|
|||||||||
Fuel
and oil
|
518
|
330
|
1,019
|
609
|
|||||||||
Maintenance
materials and repairs
|
119
|
111
|
224
|
217
|
|||||||||
Aircraft
rentals
|
39
|
42
|
80
|
86
|
|||||||||
Landing
fees and other rentals
|
126
|
114
|
246
|
227
|
|||||||||
Depreciation
and amortization
|
127
|
116
|
250
|
227
|
|||||||||
Other
operating expenses
|
332
|
291
|
648
|
560
|
|||||||||
Total
operating expenses
|
2,047
|
1,688
|
3,969
|
3,271
|
|||||||||
OPERATING
INCOME
|
402
|
256
|
500
|
337
|
|||||||||
OTHER
EXPENSES (INCOME):
|
|||||||||||||
Interest
expense
|
34
|
29
|
68
|
57
|
|||||||||
Capitalized
interest
|
(14
|
)
|
(9
|
)
|
(26
|
)
|
(19
|
)
|
|||||
Interest
income
|
(21
|
)
|
(10
|
)
|
(39
|
)
|
(17
|
)
|
|||||
Other
(gains) losses, net
|
(112
|
)
|
11
|
(114
|
)
|
(8
|
)
|
||||||
Total
other expenses (income)
|
(113
|
)
|
21
|
(111
|
)
|
13
|
|||||||
INCOME
BEFORE INCOME TAXES
|
515
|
235
|
611
|
324
|
|||||||||
PROVISION
FOR INCOME TAXES
|
182
|
91
|
217
|
120
|
|||||||||
NET
INCOME
|
$
|
333
|
$
|
144
|
$
|
394
|
$
|
204
|
|||||
NET
INCOME PER SHARE, BASIC
|
$
|
.42
|
$
|
.18
|
$
|
.49
|
$
|
.26
|
|||||
NET
INCOME PER SHARE, DILUTED
|
$
|
.40
|
$
|
.18
|
$
|
.47
|
$
|
.25
|
|||||
WEIGHTED
AVERAGE SHARES
|
|||||||||||||
OUTSTANDING:
|
|||||||||||||
Basic
|
798
|
786
|
800
|
785
|
|||||||||
Diluted
|
825
|
802
|
831
|
802
|
|||||||||
See
accompanying notes.
|
Three
months ended June 30,
|
Six
months ended June 30,
|
||||||||||||
2006
|
2005
|
2006
|
2005
|
||||||||||
CASH
FLOWS FROM OPERATING ACTIVITIES:
|
|||||||||||||
Net
income
|
$
|
333
|
$
|
144
|
$
|
394
|
$
|
204
|
|||||
Adjustments
to reconcile net income to
|
|||||||||||||
cash
provided by operating activities:
|
|||||||||||||
Depreciation
and amortization
|
127
|
116
|
250
|
227
|
|||||||||
Deferred
income taxes
|
179
|
88
|
214
|
116
|
|||||||||
Amortization
of deferred gains on sale and
|
|||||||||||||
leaseback
of aircraft
|
(4
|
)
|
(4
|
)
|
(8
|
)
|
(8
|
)
|
|||||
Share-based
compensation expense
|
23
|
18
|
45
|
38
|
|||||||||
Excess
tax benefits from share-based compensation expense
|
(2
|
)
|
(6
|
)
|
(30
|
)
|
(12
|
)
|
|||||
Changes
in certain assets and liabilities:
|
|||||||||||||
Accounts
and other receivables
|
(18
|
)
|
42
|
(31
|
)
|
(43
|
)
|
||||||
Other
current assets
|
(88
|
)
|
3
|
(73
|
)
|
(9
|
)
|
||||||
Accounts
payable and accrued liabilities
|
255
|
197
|
571
|
791
|
|||||||||
Air
traffic liability
|
29
|
23
|
309
|
218
|
|||||||||
Other
|
(2
|
)
|
25
|
(58
|
)
|
(12
|
)
|
||||||
Net
cash provided by operating activities
|
832
|
646
|
1,583
|
1,510
|
|||||||||
CASH
FLOWS FROM INVESTING ACTIVITIES:
|
|||||||||||||
Purchases
of property and equipment, net
|
(404
|
)
|
(280
|
)
|
(665
|
)
|
(687
|
)
|
|||||
Change
in short-term investments, net
|
(76
|
)
|
-
|
(145
|
)
|
257
|
|||||||
Payment
for assets from ATA Airlines, Inc.
|
-
|
-
|
-
|
(6
|
)
|
||||||||
Proceeds
from ATA Airlines, Inc. debtor in possession loan
|
-
|
-
|
20
|
-
|
|||||||||
Other
|
-
|
-
|
1
|
-
|
|||||||||
Net
cash used in investing activities
|
(480
|
)
|
(280
|
)
|
(789
|
)
|
(436
|
)
|
|||||
CASH
FLOWS FROM FINANCING ACTIVITIES:
|
|||||||||||||
Issuance
of long-term debt
|
-
|
-
|
-
|
300
|
|||||||||
Proceeds
from Employee stock plans
|
29
|
19
|
136
|
37
|
|||||||||
Payments
of long-term debt and capital lease obligations
|
(99
|
)
|
(27
|
)
|
(136
|
)
|
(135
|
)
|
|||||
Payments
of cash dividends
|
(4
|
)
|
(4
|
)
|
(11
|
)
|
(11
|
)
|
|||||
Repurchase
of common stock
|
(289
|
)
|
-
|
(503
|
)
|
(55
|
)
|
||||||
Excess
tax benefits from share-based compensation expense
|
2
|
6
|
30
|
12
|
|||||||||
Other,
net
|
1
|
1
|
2
|
(1
|
)
|
||||||||
Net
cash provided by (used in) financing activities
|
(360
|
)
|
(5
|
)
|
(482
|
)
|
147
|
||||||
NET
INCREASE (DECREASE) IN CASH
|
|||||||||||||
AND
CASH EQUIVALENTS
|
(8
|
)
|
361
|
312
|
1,221
|
||||||||
CASH
AND CASH EQUIVALENTS AT
|
|||||||||||||
BEGINNING
OF PERIOD
|
2,600
|
1,908
|
2,280
|
1,048
|
|||||||||
CASH
AND CASH EQUIVALENTS
|
|||||||||||||
AT
END OF PERIOD
|
$
|
2,592
|
$
|
2,269
|
$
|
2,592
|
$
|
2,269
|
|||||
CASH
PAYMENTS FOR:
|
|||||||||||||
Interest,
net of amount capitalized
|
$
|
18
|
$
|
16
|
$
|
38
|
$
|
32
|
|||||
Income
taxes
|
$
|
3
|
$
|
-
|
$
|
3
|
$
|
-
|
|||||
See
accompanying notes.
|
Six
months ended June 30, 2006
|
Year
ended December 31, 2005
|
||||||
Expected
stock volatility
|
25.9
|
%
|
26.2
|
%
|
|||
Expected
life of option (years)
|
5.1
|
4.7
|
|||||
Wtd-average
risk-free interest rate
|
4.6
|
%
|
4.1
|
%
|
|||
Expected
dividend yield
|
0.07
|
%
|
0.09
|
%
|
COLLECTIVE
BARGAINING PLANS
|
||||||||||||||||
|
Options
(000)
|
Wtd.
average exercise price
|
|
Wtd.
average remaining contractual term
|
Aggregate
intrinsic value (millions)
|
|||||||||||
Outstanding
December 31, 2005
|
105,244
|
$
|
11.66
|
|||||||||||||
Granted
|
625
|
16.65
|
||||||||||||||
Exercised
|
(12,402
|
)
|
7.86
|
|||||||||||||
Surrendered
|
(781
|
)
|
14.15
|
|||||||||||||
Outstanding
June 30, 2006
|
92,686
|
$
|
12.18
|
4.3
|
$
|
393
|
||||||||||
Vested
or expected to vest at June 30, 2006
|
85,845
|
$
|
12.02
|
4.3
|
$
|
386
|
||||||||||
Exercisable
at June 30, 2006
|
72,012
|
$
|
11.50
|
3.8
|
$
|
354
|
OTHER
EMPLOYEE PLANS
|
||||||||||||||||
|
Options
(000)
|
Wtd.
average exercise price
|
|
Wtd.
average remaining contractual term
|
Aggregate
intrinsic value (millions)
|
|||||||||||
Outstanding
December 31, 2005
|
35,820
|
$
|
13.96
|
|||||||||||||
Granted
|
2,831
|
17.52
|
||||||||||||||
Exercised
|
(3,257
|
)
|
9.15
|
|||||||||||||
Surrendered
|
(680
|
)
|
15.83
|
|||||||||||||
Outstanding
June 30, 2006
|
34,714
|
$
|
14.66
|
5.9
|
$
|
74
|
||||||||||
Vested
or expected to vest at June 30, 2006
|
33,319
|
$
|
14.65
|
5.9
|
$
|
74
|
||||||||||
Exercisable
at June 30, 2006
|
19,862
|
$
|
14.09
|
4.9
|
$
|
54
|
Three
months ended June 30,
|
Six
months ended June 30,
|
||||||||||||
2006
|
2005
|
2006
|
2005
|
||||||||||
NUMERATOR:
|
|||||||||||||
Net
income available to
|
|||||||||||||
common
stockholders
|
$
|
333
|
$
|
144
|
$
|
394
|
$
|
204
|
|||||
DENOMINATOR:
|
|||||||||||||
Weighted-average
shares
|
|||||||||||||
outstanding,
basic
|
798
|
786
|
800
|
785
|
|||||||||
Dilutive
effect of Employee stock
|
|||||||||||||
options
|
27
|
16
|
31
|
17
|
|||||||||
Adjusted
weighted-average shares
|
|||||||||||||
outstanding,
diluted
|
825
|
802
|
831
|
802
|
|||||||||
NET
INCOME PER SHARE:
|
|||||||||||||
Basic
|
$
|
.42
|
$
|
.18
|
$
|
.49
|
$
|
.26
|
|||||
Diluted
|
$
|
.40
|
$
|
.18
|
$
|
.47
|
$
|
.25
|
Three
months ended June 30,
|
||||||||||
2006
|
2005
|
|||||||||
Net
income
|
$
|
333
|
$
|
144
|
||||||
Unrealized
gain on derivative instruments,
|
||||||||||
net
of deferred taxes of $51 and $18
|
95
|
28
|
||||||||
Other,
net of deferred taxes of $0 and $0
|
-
|
-
|
||||||||
Total
other comprehensive income
|
95
|
28
|
||||||||
Comprehensive
income
|
$
|
428
|
$
|
172
|
||||||
Six
months ended June
30,
|
||||||||||
2006
|
2005
|
|||||||||
Net
income
|
$
|
394
|
$
|
204
|
||||||
Unrealized
gain on derivative instruments,
|
||||||||||
net
of deferred taxes of $122 and $370
|
211
|
583
|
||||||||
Other,
net of deferred taxes of $0 and $0
|
1
|
-
|
||||||||
Total
other comprehensive income
|
212
|
583
|
||||||||
Comprehensive
income
|
$
|
606
|
$
|
787
|
Accumulated
|
||||||||||
Fuel
|
other
|
|||||||||
hedge
|
comprehensive
|
|||||||||
derivatives
|
Other
|
income
(loss)
|
||||||||
Balance
at March 31, 2006
|
$
|
1,006
|
$
|
3
|
$
|
1,009
|
||||
Second
quarter 2006 changes in value
|
210
|
-
|
210
|
|||||||
Reclassification
to earnings
|
(115
|
)
|
-
|
(115
|
)
|
|||||
Balance
at June 30, 2006
|
$
|
1,101
|
$
|
3
|
$
|
1,104
|
||||
|
||||||||||
|
|
Accumulated
|
||||||||
|
Fuel
|
other
|
||||||||
|
hedge
|
comprehensive
|
||||||||
derivatives
|
Other
|
income
(loss)
|
|
|||||||
Balance
at December 31, 2005
|
$
|
890
|
$
|
2
|
$
|
892
|
||||
2006
changes in value
|
388
|
1
|
389
|
|||||||
Reclassification
to earnings
|
(177
|
)
|
-
|
(177
|
)
|
|||||
Balance
at June 30, 2006
|
$
|
1,101
|
$
|
3
|
$
|
1,104
|
June
30,
|
December
31,
|
||||||
2006
|
2005
|
||||||
|
|
||||||
Noncurrent
fuel hedge contracts, at fair value
|
$
|
1,228
|
$
|
1,037
|
|||
Other
|
134
|
134
|
|||||
Other
assets
|
$
|
1,362
|
$
|
1,171
|
|||
|
June
30,
|
December
31,
|
|||||
2006
|
2005
|
||||||
Retirement
Plans
|
$
|
232
|
$
|
142
|
|||
Aircraft
Rentals
|
129
|
116
|
|||||
Vacation
Pay
|
143
|
135
|
|||||
Advances
and deposits
|
1,290
|
955
|
|||||
Deferred
income taxes
|
563
|
489
|
|||||
Other
|
278
|
237
|
|||||
Accrued
liabilities
|
$
|
2,635
|
$
|
2,074
|
Three
months ended June 30,
|
||||||||||
(In
millions)
|
2006
|
|
2005
|
|||||||
|
|
|
||||||||
Service
cost
|
$
|
3
|
$
|
3
|
||||||
Interest
cost
|
2
|
1
|
||||||||
Amortization
of prior service cost
|
1
|
1
|
||||||||
Recognized
actuarial loss
|
-
|
-
|
||||||||
Net
periodic postretirement benefit cost
|
$
|
6
|
$
|
5
|
||||||
|
Six
months ended June 30,
|
|||||||||
(In
millions)
|
2006
|
2005
|
||||||||
Service
cost
|
$
|
7
|
$
|
6
|
||||||
Interest
cost
|
3
|
2
|
||||||||
Amortization
of prior service cost
|
1
|
1
|
||||||||
Recognized
actuarial loss
|
-
|
-
|
||||||||
Net
periodic postretirement benefit cost
|
$
|
11
|
$
|
9
|
Three
months ended June 30,
|
||||||||||
|
||||||||||
2006
|
2005
|
Change
|
||||||||
Revenue
passengers carried
|
21,999,256
|
20,096,357
|
9.5
|
%
|
||||||
Enplaned
passengers
|
25,306,858
|
22,777,660
|
11.1
|
%
|
||||||
Revenue
passenger miles (RPMs) (000s)
|
17,843,848
|
15,480,310
|
15.3
|
%
|
||||||
Available
seat miles (ASMs) (000s)
|
22,883,984
|
21,338,928
|
7.2
|
%
|
||||||
Load
factor
|
78.0
|
%
|
72.5
|
%
|
5.5
pts
|
|||||
Average
length of passenger haul (miles)
|
811
|
770
|
5.3
|
%
|
||||||
Average
aircraft stage length (miles)
|
619
|
606
|
2.1
|
%
|
||||||
Trips
flown
|
270,947
|
258,331
|
4.9
|
%
|
||||||
Average
passenger fare
|
|
$107.38
|
|
$92.94
|
15.5
|
%
|
||||
Passenger
revenue yield per RPM (cents)
|
13.24
|
12.07
|
9.7
|
%
|
||||||
Operating
revenue yield per ASM (cents)
|
10.70
|
9.11
|
17.5
|
%
|
||||||
Operating
expenses per ASM (cents)
|
8.95
|
7.91
|
13.1
|
%
|
||||||
Operating
expenses per ASM, excluding fuel (cents)
|
6.68
|
6.37
|
4.9
|
%
|
||||||
Fuel
costs per gallon, excluding fuel tax
|
|
$1.50
|
|
$1.02
|
47.1
|
%
|
||||
Fuel
consumed, in gallons (millions)
|
344
|
322
|
6.8
|
%
|
||||||
Number
of Employees at period-end
|
31,734
|
31,366
|
1.2
|
%
|
||||||
Size
of fleet at period-end
|
462
|
434
|
6.5
|
%
|
Six
months ended June 30,
|
||||||||||
|
||||||||||
2006
|
2005
|
Change
|
||||||||
Revenue
passengers carried
|
41,198,739
|
37,570,914
|
9.7
|
%
|
||||||
Enplaned
passengers
|
47,322,342
|
42,558,406
|
11.2
|
%
|
||||||
Revenue
passenger miles (RPMs) (000s)
|
33,124,345
|
28,718,319
|
15.3
|
%
|
||||||
Available
seat miles (ASMs) (000s)
|
44,963,442
|
41,570,527
|
8.2
|
%
|
||||||
Load
factor
|
73.7
|
%
|
69.1
|
%
|
4.6
pts.
|
|||||
Average
length of passenger haul (miles)
|
804
|
764
|
5.2
|
%
|
||||||
Average
aircraft stage length (miles)
|
618
|
601
|
2.8
|
%
|
||||||
Trips
flown
|
533,396
|
507,450
|
5.1
|
%
|
||||||
Average
passenger fare
|
|
$104.38
|
|
$92.11
|
13.3
|
%
|
||||
Passenger
revenue yield per RPM (cents)
|
12.98
|
12.05
|
7.7
|
%
|
||||||
Operating
revenue yield per ASM (cents)
|
9.94
|
8.68
|
14.5
|
%
|
||||||
Operating
expenses per ASM (cents)
|
8.83
|
7.87
|
12.2
|
%
|
||||||
Operating
expenses per ASM, excluding fuel (cents)
|
6.56
|
6.40
|
2.5
|
%
|
||||||
Fuel
costs per gallon, excluding fuel tax
|
|
$1.51
|
|
$.96
|
57.3
|
%
|
||||
Fuel
consumed, in gallons (millions)
|
673
|
628
|
7.2
|
%
|
||||||
Number
of Employees at period-end
|
31,734
|
31,366
|
1.2
|
%
|
||||||
Size
of fleet at period-end
|
462
|
434
|
6.5
|
%
|
Three
months ended June 30,
|
Per
ASM
|
Percent
|
||||||||||||
2006
|
2005
|
Change
|
Change
|
|||||||||||
Salaries,
wages, and benefits
|
3.43
|
3.21
|
.22
|
6.9
|
||||||||||
Fuel
and oil
|
2.27
|
1.55
|
.72
|
46.5
|
||||||||||
Maintenance
materials
|
||||||||||||||
and
repairs
|
.52
|
.52
|
-
|
-
|
||||||||||
Aircraft
rentals
|
.17
|
.20
|
(.03
|
)
|
(15.0
|
)
|
||||||||
Landing
fees and other rentals
|
.56
|
.53
|
.03
|
5.7
|
||||||||||
Depreciation
|
.55
|
.54
|
.01
|
1.9
|
||||||||||
Other
operating expenses
|
1.45
|
1.36
|
.09
|
6.6
|
||||||||||
Total
|
8.95
|
7.91
|
1.04
|
13.1
|
Six
months ended June 30,
|
Per
ASM
|
Percent
|
|||||
2006
|
2005
|
Change
|
Change
|
||||
|
|||||||
Salaries,
wages, and benefits
|
3.34
|
3.23
|
.11
|
3.4
|
|||
Fuel
and oil
|
2.27
|
1.47
|
.80
|
54.4
|
|||
Maintenance
materials
|
|||||||
and
repairs
|
.50
|
.52
|
(.02)
|
(3.8)
|
|||
Aircraft
rentals
|
.18
|
.21
|
(.03)
|
(14.3)
|
|||
Landing
fees and other rentals
|
.54
|
.54
|
-
|
-
|
|||
Depreciation
|
.56
|
.55
|
.01
|
1.8
|
|||
Other
operating expenses
|
1.44
|
1.35
|
.09
|
6.7
|
|||
|
|
|
|||||
Total
|
8.83
|
7.87
|
.96
|
12.2
|
Current
Schedule
|
|||||||||||||||||||
Firm
|
Options
|
||||||||||||||||||
2006*
|
34
|
-
|
|||||||||||||||||
2007**
|
35
|
-
|
|||||||||||||||||
2008
|
30
|
6
|
|||||||||||||||||
2009
|
18
|
18
|
|||||||||||||||||
2010
|
10
|
32
|
|||||||||||||||||
2011
|
10
|
30
|
|||||||||||||||||
2012
|
10
|
30
|
|||||||||||||||||
2008-2014
|
-
|
54
|
***
|
||||||||||||||||
Total
|
147
|
170
|
|||||||||||||||||
*Includes
17 aircraft delivered through June 30, 2006, plus two aircraft
delivered
thus far in July
|
|||||||||||||||||||
**One
of the Company's planned 2007 deliveries was moved into
2006
|
|||||||||||||||||||
***Purchase
rights
|
Average
|
Number
|
Number
|
Number
|
|||||||||||||
737
Type
|
Seats
|
Age
(Yrs)
|
of
Aircraft
|
Owned
|
Leased
|
|||||||||||
-300
|
137
|
15.2
|
194
|
112
|
82
|
|||||||||||
-500
|
122
|
15.2
|
25
|
16
|
9
|
|||||||||||
-700
|
137
|
3.9
|
243
|
241
|
2
|
|||||||||||
TOTALS
|
9.3
|
462
|
369
|
93
|
(a)
|
(b)
|
(c)
|
(d)
|
||||||||||
Total
number of
|
Maximum
dollar
|
||||||||||||
shares
purchased
|
value
that may
|
||||||||||||
Total
number
|
Average
|
as
part of publicly
|
yet
be purchased
|
||||||||||
of
shares
|
price
paid
|
announced
plans
|
under
the plans
|
||||||||||
Period
|
purchased
|
per
share
|
or
programs
|
or
programs
|
|||||||||
|
|
|
|
||||||||||
April
1, 2006 through April 30, 2006
|
4,269,600
|
$
|
17.03
|
4,269,600
|
$
|
14,039,122
|
|||||||
May
1, 2006 through May 31, 2006
|
2,060,000
|
$
|
15.85
|
2,060,000
|
$
|
281,347,560
|
|||||||
June
1, 2006 through June 30, 2006
|
11,499,200
|
$
|
15.93
|
11,499,200
|
$
|
98,208,014
|
|||||||
Total
(2)
|
17,828,800
|
17,828,800
|
(1). |
In
January 2006, the Company announced a program for the repurchase
of up to
$300 million of the Company’s common stock. This program was completed
during second quarter 2006, resulting in the purchase of 17.8 million
shares. In May 2006, the Company announced a second program for
the
repurchase of up to $300 million of the Company’s common stock. This
program was completed in July 2006, resulting in the purchase of
18.7
million shares. Repurchases for both programs have been made in
accordance
with applicable securities laws in the open market or in private
transactions from time to time, depending on market conditions.
|
(2) |
All
shares were purchased pursuant to the publicly announced
programs.
|
10.1
|
Supplemental
Agreement No. 48 to Purchase Agreement No. 1810, dated
January
|
|
19,
1994 between The Boeing Company and Southwest.
|
||
Pursuant
to 17 CFR 240.24b-2, confidential information has been
omitted
|
||
and
has been filed separately with the Securities and Exchange
Commission
|
||
pursuant
to a Confidential Treatment Application filed with the
|
||
Commission.
|
||
31.1
|
Rule
13a-14(a) Certification of Chief Executive Officer
|
|
31.2
|
Rule
13a-14(a) Certification of Chief Financial Officer
|
|
32.1
|
Section
1350 Certifications of Chief Executive Officer and Chief
Financial
|
|
Officer
|
|
SOUTHWEST
AIRLINES CO.
|
|
July
20, 2006
|
By
|
/s/
Laura Wright
|
Laura
Wright
|
||
Chief
Financial Officer
|
||
(Principal
Financial and
|
||
Accounting
Officer)
|
||
Exhibit
No.
|
Description
|
|
Exhibit
10.1
|
-
|
Supplemental
Agreement No. 48 to Purchase Agreement No. 1810,
|
dated
January 19, 1994 between The Boeing Company and
|
||
Southwest.
|
||
Pursuant
to 17 CFR 240.24b-2, confidential information has been
|
||
omitted
and has been filed separately with the Securities and
|
||
Exchange
Commission pursuant to a Confidential Treatment
|
||
Application
filed with the Commission.
|
||
Exhibit
31.1
|
-
|
Rule
13a-14(a) Certification of Chief Executive Officer
|
Exhibit 31.2
|
-
|
Rule
13a-14(a) Certification of Chief Financial Officer
|
Exhibit
32.1
|
-
|
Section
1350 Certifications of Chief Executive Officer and
Chief
|
Financial
Officer
|