Document and Entity Information - USD ($) $ in Billions	12 Months Ended
Document and Entity Information - USD ($) $ in Billions	Dec. 31, 2016	Feb. 17, 2017	Jun. 30, 2016
Document Information [Line Items]
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2016
Document Fiscal Year Focus	2016
Document Fiscal Period Focus	FY
Trading Symbol	AAL
Entity Registrant Name	American Airlines Group Inc.
Entity Central Index Key	0000006201
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		504,154,397
Entity Public Float			$ 15
American Airlines, Inc. [Member]
Document Information [Line Items]
Document Type	10-K
Amendment Flag	false
Document Period End Date	Dec. 31, 2016
Document Fiscal Year Focus	2016
Document Fiscal Period Focus	FY
Entity Registrant Name	AMERICAN AIRLINES INC
Entity Central Index Key	0000004515
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	Yes
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding		1,000

Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Operating revenues:
Mainline passenger	$ 27,909	$ 29,037	$ 30,802
Regional passenger	6,670	6,475	6,322
Cargo	700	760	875
Other	4,901	4,718	4,651
Total operating revenues	40,180	40,990	42,650
Operating expenses:
Aircraft fuel and related taxes	5,071	6,226	10,592
Salaries, wages and benefits	10,890	9,524	8,508
Regional expenses	6,044	5,983	6,516
Maintenance, materials and repairs	1,834	1,889	2,051
Other rent and landing fees	1,772	1,731	1,727
Aircraft rent	1,203	1,250	1,250
Selling expenses	1,323	1,394	1,544
Depreciation and amortization	1,525	1,364	1,295
Special items, net	709	1,051	800
Other	4,525	4,374	4,118
Total operating expenses	34,896	34,786	38,401
Operating income	5,284	6,204	4,249
Nonoperating income (expense):
Interest income	63	39	31
Interest expense, net of capitalized interest	(991)	(880)	(887)
Other, net	(57)	(747)	(181)
Total nonoperating expense, net	(985)	(1,588)	(1,037)
Income before income taxes	4,299	4,616	3,212
Income tax provision (benefit)	1,623	(2,994)	330
Net income	$ 2,676	$ 7,610	$ 2,882
Earnings per common share:
Basic (in dollars per share)	$ 4.85	$ 11.39	$ 4.02
Diluted (in dollars per share)	$ 4.81	$ 11.07	$ 3.93
Weighted average shares outstanding (in thousands):
Basic (in shares)	552,308	668,393	717,456
Diluted (in shares)	556,099	687,355	734,016
Cash dividends declared per common share (in dollars per share)	$ 0.40	$ 0.40	$ 0.20
American Airlines, Inc. [Member]
Operating revenues:
Mainline passenger	$ 27,909	$ 29,037	$ 30,802
Regional passenger	6,670	6,475	6,322
Cargo	700	760	875
Other	4,884	4,666	4,677
Total operating revenues	40,163	40,938	42,676
Operating expenses:
Aircraft fuel and related taxes	5,071	6,226	10,592
Salaries, wages and benefits	10,881	9,514	8,499
Regional expenses	6,009	5,952	6,477
Maintenance, materials and repairs	1,834	1,889	2,051
Other rent and landing fees	1,772	1,731	1,727
Aircraft rent	1,203	1,250	1,250
Selling expenses	1,323	1,394	1,544
Depreciation and amortization	1,525	1,364	1,301
Special items, net	709	1,051	783
Other	4,532	4,378	4,186
Total operating expenses	34,859	34,749	38,410
Operating income	5,304	6,189	4,266
Nonoperating income (expense):
Interest income	104	49	32
Interest expense, net of capitalized interest	(906)	(796)	(847)
Other, net	(59)	(774)	(183)
Total nonoperating expense, net	(861)	(1,521)	(998)
Income before income taxes	4,443	4,668	3,268
Income tax provision (benefit)	1,662	(3,452)	320
Net income	$ 2,781	$ 8,120	$ 2,948

Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Net income	$ 2,676	$ 7,610	$ 2,882
Pension, retiree medical and other postretirement benefits:
Amortization of actuarial loss and prior service cost	(65)	(108)	(163)
Current year change	(293)	(51)	(2,633)
Derivative financial instruments:
Change in fair value			(54)
Reclassification into earnings		(9)	(4)
Unrealized gain (loss) on investments:
Net change in value	7	(5)	(3)
Reversal of non-cash tax benefit			330
Total other comprehensive loss, net of tax	(351)	(173)	(2,527)
Total comprehensive income	2,325	7,437	355
American Airlines, Inc. [Member]
Net income	2,781	8,120	2,948
Pension, retiree medical and other postretirement benefits:
Amortization of actuarial loss and prior service cost	(65)	(109)	(163)
Current year change	(292)	(51)	(2,621)
Derivative financial instruments:
Change in fair value			(52)
Reclassification into earnings		(9)	(4)
Unrealized gain (loss) on investments:
Net change in value	6	(6)	(4)
Reversal of non-cash tax benefit			328
Total other comprehensive loss, net of tax	(351)	(175)	(2,516)
Total comprehensive income	$ 2,430	$ 7,945	$ 432

Consolidated Balance Sheets - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Current assets
Cash	$ 322	$ 390
Short-term investments	6,037	5,864
Restricted cash and short-term investments	638	695
Accounts receivable, net	1,594	1,425
Aircraft fuel, spare parts and supplies, net	1,094	863
Prepaid expenses and other	639	748
Total current assets	10,324	9,985
Operating property and equipment
Flight equipment	37,028	33,185
Ground property and equipment	7,116	6,402
Equipment purchase deposits	1,209	1,067
Total property and equipment, at cost	45,353	40,654
Less accumulated depreciation and amortization	(14,194)	(13,144)
Total property and equipment, net	31,159	27,510
Other assets
Goodwill	4,091	4,091
Intangibles, net of accumulated amortization of $578 and $502, respectively	2,173	2,249
Deferred tax asset	1,498	2,477
Other assets	2,029	2,103
Total other assets	9,791	10,920
Total assets	51,274	48,415
Current liabilities
Current maturities of long-term debt and capital leases	1,855	2,231
Accounts payable	1,592	1,563
Accrued salaries and wages	1,516	1,205
Air traffic liability	3,912	3,747
Loyalty program liability	2,789	2,525
Other accrued liabilities	2,208	2,334
Total current liabilities	13,872	13,605
Noncurrent liabilities
Long-term debt and capital leases, net of current maturities	22,489	18,330
Pension and postretirement benefits	7,842	7,450
Deferred gains and credits, net	526	667
Other liabilities	2,760	2,728
Total noncurrent liabilities	33,617	29,175
Commitments and contingencies
Stockholders' equity
Common stock	5	6
Additional paid-in capital	7,223	11,591
Accumulated other comprehensive loss	(5,083)	(4,732)
Retained earnings (deficit)	1,640	(1,230)
Total stockholders' equity	3,785	5,635
Total liabilities and stockholders' equity	51,274	48,415
American Airlines, Inc. [Member]
Current assets
Cash	310	364
Short-term investments	6,034	5,862
Restricted cash and short-term investments	638	695
Accounts receivable, net	1,599	1,420
Receivables from related parties, net	6,810	1,981
Aircraft fuel, spare parts and supplies, net	1,032	796
Prepaid expenses and other	633	740
Total current assets	17,056	11,858
Operating property and equipment
Flight equipment	36,671	32,838
Ground property and equipment	6,910	6,224
Equipment purchase deposits	1,209	1,067
Total property and equipment, at cost	44,790	40,129
Less accumulated depreciation and amortization	(13,909)	(12,893)
Total property and equipment, net	30,881	27,236
Other assets
Goodwill	4,091	4,091
Intangibles, net of accumulated amortization of $578 and $502, respectively	2,173	2,249
Deferred tax asset	1,912	2,932
Other assets	1,979	2,073
Total other assets	10,155	11,345
Total assets	58,092	50,439
Current liabilities
Current maturities of long-term debt and capital leases	1,859	2,234
Accounts payable	1,546	1,517
Accrued salaries and wages	1,460	1,156
Air traffic liability	3,912	3,747
Loyalty program liability	2,789	2,525
Other accrued liabilities	2,106	2,198
Total current liabilities	13,672	13,377
Noncurrent liabilities
Long-term debt and capital leases, net of current maturities	20,718	16,592
Pension and postretirement benefits	7,800	7,410
Deferred gains and credits, net	526	667
Other liabilities	2,727	2,695
Total noncurrent liabilities	31,771	27,364
Commitments and contingencies
Stockholders' equity
Common stock	0	0
Additional paid-in capital	16,624	16,521
Accumulated other comprehensive loss	(5,182)	(4,831)
Retained earnings (deficit)	1,207	(1,992)
Total stockholders' equity	12,649	9,698
Total liabilities and stockholders' equity	$ 58,092	$ 50,439

Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Accumulated amortization of intangibles	$ 578	$ 502
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common stock, shares authorized	1,750,000,000	1,750,000,000
Common stock, shares issued	507,294,153	624,622,381
Common stock, shares outstanding	507,294,153	624,622,381
American Airlines, Inc. [Member]
Accumulated amortization of intangibles	$ 578	$ 502
Common stock, par value (in dollars per share)	$ 1	$ 1
Common stock, shares authorized	1,000	1,000
Common stock, shares issued	1,000	1,000
Common stock, shares outstanding	1,000	1,000

Consolidated Statements of Cash Flows - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Cash flows from operating activities:
Net income	$ 2,676	$ 7,610	$ 2,882
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	1,818	1,609	1,513
Debt discount and lease amortization	(119)	(122)	(171)
Special items, non-cash	270	273	52
Pension and postretirement	(68)	(193)	(163)
Deferred income tax provision (benefit)	1,611	(3,014)	346
Share-based compensation	100	284	304
Other, net	(18)	(12)	3
Changes in operating assets and liabilities:
Decrease (increase) in accounts receivable	(160)	352	(160)
Increase in other assets	(184)	(27)	(168)
Increase in accounts payable and accrued liabilities	307	173	110
Increase (decrease) in air traffic liability	164	(505)	(97)
Increase (decrease) in loyalty program liability	264	(295)	(229)
Contributions to pension plans	(32)	(6)	(810)
Increase (decrease) in other liabilities	(105)	122	(332)
Net cash provided by operating activities	6,524	6,249	3,080
Cash flows from investing activities:
Capital expenditures and aircraft purchase deposits	(5,731)	(6,151)	(5,311)
Purchases of short-term investments	(6,241)	(8,126)	(5,380)
Sales of short-term investments	6,092	8,517	7,179
Decrease in restricted cash and short-term investments	57	79	261
Net proceeds from slot transaction			307
Proceeds from sale of an investment		52
Proceeds from sale of property and equipment	123	35	33
Other investing activities	2
Net cash used in investing activities	(5,698)	(5,594)	(2,911)
Cash flows from financing activities:
Payments on long-term debt and capital leases	(3,827)	(2,153)	(3,132)
Proceeds from issuance of long-term debt	7,701	5,009	3,302
Deferred financing costs	(77)	(87)	(106)
Sale-leaseback transactions	5	43	811
Exercise of stock options			10
Treasury stock repurchases	(4,500)	(3,846)	(1,062)
Dividend payments	(224)	(278)	(144)
Other financing activities	28	53	6
Net cash provided by financing activities	(894)	(1,259)	(315)
Net decrease in cash	(68)	(604)	(146)
Cash at beginning of year	390	994	1,140
Cash at end of year	322	390	994
American Airlines, Inc. [Member]
Cash flows from operating activities:
Net income	2,781	8,120	2,948
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	1,762	1,560	1,469
Debt discount and lease amortization	(124)	(126)	(171)
Special items, non-cash	270	295	91
Pension and postretirement	(70)	(194)	(163)
Deferred income tax provision (benefit)	1,652	(3,467)	344
Share-based compensation	100	284	300
Other, net	(16)	(21)	7
Changes in operating assets and liabilities:
Decrease (increase) in accounts receivable	(169)	354	(176)
Increase in other assets	(205)	(22)	(191)
Increase in accounts payable and accrued liabilities	336	214	74
Increase (decrease) in air traffic liability	164	(505)	(97)
Increase in receivables from related parties, net	(4,862)	(3,695)	(527)
Increase (decrease) in loyalty program liability	264	(295)	(229)
Contributions to pension plans	(32)	(6)	(809)
Increase (decrease) in other liabilities	(101)	91	(292)
Net cash provided by operating activities	1,750	2,587	2,578
Cash flows from investing activities:
Capital expenditures and aircraft purchase deposits	(5,657)	(6,075)	(5,256)
Purchases of short-term investments	(6,241)	(8,126)	(5,380)
Sales of short-term investments	6,092	8,517	7,179
Decrease in restricted cash and short-term investments	57	79	261
Net proceeds from slot transaction			307
Proceeds from sale of property and equipment	113	26	20
Other investing activities	2
Net cash used in investing activities	(5,634)	(5,579)	(2,869)
Cash flows from financing activities:
Payments on long-term debt and capital leases	(3,827)	(2,153)	(2,955)
Proceeds from issuance of long-term debt	7,701	4,509	2,552
Deferred financing costs	(77)	(80)	(95)
Sale-leaseback transactions	5	43	811
Funds transferred from (to) affiliates, net			(176)
Other financing activities	28	53	6
Net cash provided by financing activities	3,830	2,372	143
Net decrease in cash	(54)	(620)	(148)
Cash at beginning of year	364	984	1,132
Cash at end of year	$ 310	$ 364	$ 984

Consolidated Statements of Stockholders' Equity (Deficit) - USD ($) $ in Millions	Total	American Airlines, Inc. [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	Additional Paid-in Capital [Member] American Airlines, Inc. [Member]	Accumulated Other Comprehensive Income (Loss) [Member]	Accumulated Other Comprehensive Income (Loss) [Member] American Airlines, Inc. [Member]	Retained Earnings(Deficit) [Member]	Retained Earnings(Deficit) [Member] American Airlines, Inc. [Member]
Beginning Balance at Dec. 31, 2013	$ (2,731)	$ (4,398)	$ 5	$ 10,592	$ 10,802	$ (2,032)	$ (2,140)	$ (11,296)	$ (13,060)
Net income	2,882	2,948						2,882	2,948
Changes in pension, retiree medical and other postretirement benefits liability	(2,796)	(2,784)				(2,796)	(2,784)
Net changes in fair value of derivative financial instruments	(58)	(56)				(58)	(56)
Reversal of non-cash tax provision (benefit)	330	328				330	328
Cash tax withholding on shares issued	(110)			(110)
Purchase and retirement of common stock	(1,000)			(1,000)
Dividends declared on common stock	(148)							(148)
US Airways Group convertible debt settled with cash	(154)			(154)
Issuance of shares of common stock pursuant to employee stock plans	10			10
Issuance of shares of post-reorganization common stock	1,605		1	1,604
Issuance of shares for optional conversion of preferred shares	3,890		1	3,889
Share-based compensation expense	304	300		304	300
Intercompany equity transfer		5,072			5,072
Change in unrealized loss on investments	(3)	(4)				(3)	(4)
Ending Balance at Dec. 31, 2014	2,021	1,406	7	15,135	16,174	(4,559)	(4,656)	(8,562)	(10,112)
Net income	7,610	8,120						7,610	8,120
Changes in pension, retiree medical and other postretirement benefits liability	(159)	(160)				(159)	(160)
Net changes in fair value of derivative financial instruments	(9)	(9)				(9)	(9)
Cash tax withholding on shares issued	(306)			(306)
Purchase and retirement of common stock	(3,586)		(1)	(3,585)
Dividends declared on common stock	(278)							(278)
Settlement of single-dipunsecured claims held in distributed claims reserve	63			63
Share-based compensation expense	284	284		284	284
Intercompany equity transfer		63			63
Change in unrealized loss on investments	(5)	(6)				(5)	(6)
Ending Balance at Dec. 31, 2015	5,635	9,698	6	11,591	16,521	(4,732)	(4,831)	(1,230)	(1,992)
Net income	2,676	2,781						2,676	2,781
Changes in pension, retiree medical and other postretirement benefits liability	(564)	(563)				(564)	(563)
Non-cash tax benefit	203	203				203	203
Cash tax withholding on shares issued	(56)			(56)
Purchase and retirement of common stock	(4,416)		(1)	(4,415)
Dividends declared on common stock	(224)							(224)
Settlement of single-dipunsecured claims held in distributed claims reserve	3			3
Share-based compensation expense	100	100		100	100
Impact of adoption of Accounting Standards Update (ASU) 2016-09 (See Note 1 (r))	418	418						418	418
Intercompany equity transfer		3			3
Change in unrealized loss on investments	10	9				10	9
Ending Balance at Dec. 31, 2016	$ 3,785	$ 12,649	$ 5	$ 7,223	$ 16,624	$ (5,083)	$ (5,182)	$ 1,640	$ 1,207

Consolidated Statements of Stockholders' Equity (Deficit) (Parenthetical) - $ / shares	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Statement of Stockholders' Equity [Abstract]
Purchase and retirement of common stock, shares	119,823,621	85,141,691	23,406,472
Dividends declared on common stock per share (in dollars per share)	$ 0.40	$ 0.40	$ 0.20
Issuance of shares of common stock pursuant to employee stock plans	2,506,067	12,289,537	5,701,776
Issuance of shares of post-reorganization common stock, shares			57,393,096
Issuance of shares for Optional Conversion of Preferred Shares, shares			130,980,613

Basis of Presentation and Summary of Significant Accounting Policies

12 Months Ended

Dec. 31, 2016

Basis of Presentation and Summary of Significant Accounting Policies

1. Basis of Presentation and Summary of Significant Accounting Policies

(a) Basis of Presentation

American Airlines Group Inc. (we, us, our and similar terms, or AAG), a Delaware corporation, is a holding company whose primary business activity is the operation of a major network air carrier, providing scheduled air transportation for passengers and cargo through its mainline operating subsidiary, American Airlines, Inc. (American) and its wholly-owned regional airline subsidiaries, Envoy Aviation Group Inc. (Envoy), Piedmont Airlines, Inc. (Piedmont) and PSA Airlines, Inc. (PSA) that operate under capacity purchase agreements as American Eagle. On December 9, 2013, a subsidiary of AMR merged with and into US Airways Group, Inc. (US Airways Group), a Delaware corporation, which survived as a wholly-owned subsidiary of AAG, and AAG emerged from Chapter 11 (the Merger). Upon closing of the Merger and emergence from Chapter 11, AMR changed its name to American Airlines Group Inc.

The preparation of financial statements in accordance with accounting principles generally accepted in the United States (GAAP) requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities, revenues and expenses, and the disclosure of contingent assets and liabilities at the date of the financial statements. Actual results could differ from those estimates. The most significant areas of judgment relate to passenger revenue recognition, impairment of goodwill, impairment of long-lived and intangible assets, the loyalty program, valuation allowance for deferred tax assets, as well as pensions and retiree medical and other postretirement benefits. Certain prior year amounts have been reclassified to conform to the current year presentation.

(b) Short-term Investments

Short-term investments are classified as available-for-sale and stated at fair value. Realized gains and losses are recorded in nonoperating expense on the consolidated statement of operations. Unrealized gains and losses are recorded in accumulated other comprehensive loss on the consolidated balance sheet.

(c) Restricted Cash and Short-term Investments

We have restricted cash and short-term investments related primarily to collateral held to support workers’ compensation obligations.

(d) Aircraft Fuel, Spare Parts, and Supplies, Net

Aircraft fuel is recorded on a first-in, first-out basis. Spare parts and supplies are recorded at net realizable value based on average costs. These items are expensed when used. An allowance for obsolescence is established for spare parts and supplies.

(e) Operating Property and Equipment

Operating property and equipment is recorded at cost and depreciated or amortized to residual values over the asset’s estimated useful life or the lease term, whichever is less, using the straight-line method. Residual values for aircraft, engines, and related rotable parts are generally 5% to 10% of original cost. Costs of major improvements that enhance the usefulness of the asset are capitalized and depreciated or amortized over the estimated useful life of the asset or the lease term, whichever is less. The estimated useful lives for the principal property and equipment classifications are as follows:


Principal Property and Equipment Classification	Estimated Useful Life
Aircraft, engines and related rotable parts		20 – 30 years
Buildings and improvements		Lesser of 5 – 30 years
Furniture, fixtures and other equipment		3 – 10 years
Capitalized software		5 – 10 years

We record impairment charges on operating property and equipment when events and circumstances indicate that the assets may be impaired. An asset or group of assets is considered impaired when the undiscounted cash flows estimated to be generated by the assets are less than the carrying amount of the assets and the net book value of the assets exceeds their estimated fair value. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less the cost to sell.

(f) Income Taxes

Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are recorded net as noncurrent deferred income taxes.

We provide a valuation allowance for our deferred tax assets when it is more likely than not that some portion, or all of our deferred tax assets, will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income. We consider all available positive and negative evidence and make certain assumptions in evaluating the realizability of our deferred tax assets. Many factors are considered that impact our projections of future profitability, including risks associated with remaining Merger integration activities as well as other conditions which are beyond our control, such as the health of the economy, the level and volatility of fuel prices and travel demand.

(g) Goodwill

Goodwill represents the excess of the purchase price over the fair value of the net assets acquired and liabilities assumed. Goodwill is not amortized but assessed for impairment annually on October 1^st or more frequently if events or circumstances indicate that goodwill may be impaired. We have one consolidated reporting unit.

Goodwill is measured for impairment by initially performing a qualitative assessment and, if necessary, then comparing the fair value of the reporting unit to its carrying value, including goodwill. If the fair value of the reporting unit is less than the carrying value, a second step is performed to determine the implied fair value of goodwill. If the implied fair value of goodwill is lower than its carrying value, an impairment charge equal to the difference is recorded. Based upon our annual assessment, there was no goodwill impairment in 2016. The carrying value of the goodwill on our consolidated balance sheets was $4.1 billion as of December 31, 2016 and 2015.

(h) Other Intangibles, Net

Intangible assets consist primarily of domestic airport slots, customer relationships, marketing agreements, international slots and route authorities, airport gate leasehold rights and tradenames.

Finite-Lived Intangible Assets

Finite-lived intangible assets are amortized over their respective estimated useful lives and reviewed for impairment whenever events or changes in circumstances indicate that the carrying value may not be recoverable.

The following table provides information relating to our amortizable intangible assets as of December 31, 2016 and 2015 (in millions):


	December 31,
	2016			2015
Domestic airport slots	$	365		$	365
Customer relationships		300			300
Marketing agreements		105			105
Tradenames		35			35
Airport gate leasehold rights		137			137
Accumulated amortization		(578	)		(502	)

Total	$	364		$	440

Certain domestic airport slots and airport gate leasehold rights are amortized on a straight-line basis over 25 years. The customer relationships and marketing agreements were identified as intangible assets subject to amortization and are amortized on a straight-line basis over approximately nine years and 30 years, respectively. Tradenames are fully amortized.

We recorded amortization expense related to these intangible assets of $76 million, $55 million and $81 million for the years ended December 31, 2016, 2015 and 2014, respectively. We expect to record annual amortization expense for these intangible assets as follows (in millions):


2017	$	45
2018		41
2019		41
2020		41
2021		41
2022 and thereafter		155

Total	$	364

Indefinite-Lived Intangible Assets

Indefinite-lived intangible assets include certain domestic airport slots at our hubs and international slots and route authorities. Indefinite-lived intangible assets are not amortized but instead are assessed for impairment annually on October 1^st or more frequently if events or circumstances indicate that the asset may be impaired. As of December 31, 2016 and 2015, we had $1.8 billion of indefinite-lived intangible assets on our consolidated balance sheets.

Indefinite-lived intangible assets are reviewed for impairment by initially performing a qualitative assessment to determine whether we believe it is more likely than not that an asset has been impaired. If we believe impairment has occurred, we then evaluate for impairment by comparing the estimated fair value of assets to the carrying value. An impairment charge is recognized if the asset’s estimated fair value is less than its carrying value. Based upon our annual assessment, there was no indefinite-lived intangible asset impairment in 2016.

(i) Loyalty Program

We currently operate the loyalty program, AAdvantage. This program awards mileage credits to passengers who fly on American, any oneworld airline or other partner airlines, or by using the services of other program participants, such as the Citi and Barclaycard US co-branded credit cards, hotels and car rental companies. Mileage credits can be redeemed for travel on American or other participating partner airlines.

We use the incremental cost method to account for the portion of our loyalty program liability incurred when AAdvantage members earn mileage credits by flying on American, any oneworld airline or other partner airlines. We have an obligation to provide future travel when these mileage credits are redeemed and therefore have recorded a liability for mileage credits outstanding.

The incremental cost liability includes all mileage credits, even mileage credits for members whose account balances have not yet reached the minimum level required to redeem an award. Mileage credits are subject to expiration. The liability for outstanding mileage credits is valued based on the estimated incremental cost of carrying one additional passenger. The estimated incremental cost primarily includes unit costs incurred for fuel, food and insurance as well as fees incurred when travel awards are redeemed on partner airlines. In calculating the liability, we estimate how many mileage credits will never be redeemed for travel and exclude those mileage credits from the estimate of the liability. Estimates are also made for the number of miles that will be used per award redemption and the number of travel awards that will be redeemed on partner airlines. These costs and estimates are based on our historical program experience as well as consideration of enacted program changes, as applicable. Changes in the liability resulting from members earning additional mileage credits or changes in estimates are recorded in the consolidated statements of operations as a part of passenger revenue.

As of December 31, 2016 and 2015, the liability for outstanding mileage credits accounted for under the incremental cost method was $669 million and $657 million, respectively, and is included on the consolidated balance sheets within loyalty program liability.

Additionally, we applied the acquisition method of accounting in connection with the Merger in December 2013 and recorded a liability for outstanding US Airways’ mileage credits at fair value, an amount significantly in excess of incremental cost. At December 31, 2016, all the mileage credits associated with this liability have been recognized in passenger revenue. At December 31, 2015, this liability was $296 million and was included on the consolidated balance sheet within the loyalty program liability.

We also sell loyalty program mileage credits to participating airline partners and non-airline business partners. Sales of mileage credits to non-airline business partners is comprised of two components, transportation and marketing. We account for mileage sales under our agreements with non-airline business partners in accordance with Accounting Standards Update (ASU) No. 2009-13, “Revenue Recognition (Topic 605) – Multiple-Deliverable Revenue Arrangements.” In accordance with Topic 605, we allocate the consideration received from the sale of mileage credits based on the relative selling price of each product or service delivered.

In 2016, American entered into new co-branded credit card program agreements with Citi and Barclaycard US. We identified the following revenue elements in these co-branded credit card agreements: the transportation component; the use of the American brand including access to loyalty program member lists, advertising and other travel related benefits (collectively, the marketing component).

The transportation component represents the estimated selling price of future travel awards and is determined using historical transaction information, including information related to customer redemption patterns. The transportation component is deferred based on its relative selling price and is amortized into passenger revenue on a straight-line basis over the period in which the mileage credits are expected to be redeemed for travel. As of December 31, 2016 and 2015, we had $2.1 billion and $1.5 billion, respectively, in deferred revenue from the sale of mileage credits recorded within loyalty program liability on our consolidated balance sheets.

The services under the marketing component are provided periodically, but no less than monthly. Accordingly, the marketing component is considered earned and recognized in other revenues in the period of the mileage sale. For the years ended December 31, 2016, 2015 and 2014, the marketing component of mileage sales and other marketing related payments included in other revenues was approximately $1.9 billion, $1.7 billion and $1.6 billion, respectively.

(j) Revenue

Passenger Revenue

Passenger revenue is recognized when transportation is provided. Ticket sales for transportation that has not yet been provided are initially deferred and recorded as air traffic liability on the consolidated balance sheets. The air traffic liability represents tickets sold for future travel dates and estimated future refunds and exchanges of tickets sold for past travel dates. The balance in the air traffic liability fluctuates throughout the year based on seasonal travel patterns and fare sale activity. Our air traffic liability was $3.9 billion and $3.7 billion as of December 31, 2016 and 2015, respectively.

The majority of tickets sold are nonrefundable. A small percentage of tickets, some of which are partially used tickets, expire unused. Due to complex pricing structures, refund and exchange policies, and interline agreements with other airlines, certain amounts are recognized in passenger revenue using estimates regarding both the timing of the revenue recognition and the amount of revenue to be recognized. These estimates are generally based on the analysis of our historical data. We and other airline industry participants have consistently applied this accounting method to estimate revenue from forfeited tickets at the date of travel. Estimated future refunds and exchanges included in the air traffic liability are routinely evaluated based on subsequent activity to validate the accuracy of our estimates. Any adjustments resulting from periodic evaluations of the estimated air traffic liability are included in passenger revenue during the period in which the evaluations are completed.

We have arrangements with regional carriers to provide us with regional jet and turboprop service under the brand name “American Eagle.” The American Eagle carriers include our wholly-owned regional carriers, Envoy, PSA and Piedmont, as well as third-party regional carriers including Republic Airline Inc. (Republic), Mesa Airlines, Inc. (Mesa), Air Wisconsin Airlines Corporation (Air Wisconsin), Compass Airlines, LLC (Compass), ExpressJet Airlines, Inc. (ExpressJet), SkyWest Airlines, Inc. (SkyWest) and Trans States Airlines, Inc. (Trans States). We classify revenues generated from transportation on these carriers as regional passenger revenues. Liabilities related to tickets sold by us for travel on these air carriers is also included in our air traffic liability and are subsequently recognized as revenue in the same manner as described above.

Passenger Taxes and Fees

Various taxes and fees assessed on the sale of tickets to end customers are collected by us as an agent and remitted to taxing authorities. These taxes and fees have been presented on a net basis in the accompanying consolidated statements of operations and recorded as a liability until remitted to the appropriate taxing authority.

Cargo Revenue

Cargo revenue is recognized when we provide the transportation.

Other Revenue

Other revenue includes revenue associated with marketing services provided to our business partners as part of our loyalty program, baggage fees, ticketing change fees, airport clubs and inflight services. The accounting and recognition for the loyalty program marketing services are discussed in Note 1(i) above. Baggage fees, ticketing change fees, airport clubs and inflight service revenues are recognized when we provide the service.

(k) Maintenance, Materials and Repairs

Maintenance and repair costs for owned and leased flight equipment are charged to operating expense as incurred, except costs incurred for maintenance and repair under flight hour maintenance contract agreements, which are accrued based on contractual terms when an obligation exists.

(l) Selling Expenses

Selling expenses include credit card fees, commissions, computerized reservations systems fees and advertising. Advertising costs are expensed as incurred. Advertising expense was $116 million, $110 million and $92 million for the years ended December 31, 2016, 2015 and 2014, respectively.

(m) Share-based Compensation

We account for our share-based compensation expense based on the fair value of the stock award at the time of grant, which is recognized ratably over the vesting period of the stock award. Certain awards have performance conditions that must be achieved prior to vesting and are expensed based on the expected achievement at each reporting period. The fair value of stock options and stock appreciation rights (SARs) is estimated using a Black-Scholes option pricing model. The fair value of restricted stock units (RSUs) is based on the market price of the underlying shares of common stock on the date of grant. See Note 14 for further discussion of share-based compensation.

(n) Deferred Gains and Credits, Net

Included within deferred gains and credits, net are amounts deferred and amortized into future periods associated with the adjustment of leases to fair value in connection with the application of acquisition accounting, deferred gains on the sale-leaseback of aircraft and certain vendor incentives. We periodically receive vendor incentives in connection with acquisition of aircraft and engines. These credits are deferred until aircraft and engines are delivered and then applied as a reduction to the cost of the related equipment.

(o) Foreign Currency Gains and Losses

Foreign currency gains and losses are recorded as part of other nonoperating expense, net in our consolidated statements of operations. Foreign currency gains for 2016 were $1 million. Foreign currency losses for 2015 and 2014 were $751 million and $114 million, respectively. Included in 2015 was a $592 million nonoperating special charge to write off all of the value of Venezuelan bolivars held by us due to continued lack of repatriations and deterioration of economic conditions in Venezuela.

(p) Other Operating Expenses

Other operating expenses includes costs associated with ground and cargo handling, crew travel, aircraft food and catering, passenger accommodation, airport security, international navigation fees and certain general and administrative expenses.

(q) Regional Expenses

Expenses associated with our wholly-owned regional airlines and third-party regional carriers operating under the brand name American Eagle are classified as regional expenses on the consolidated statements of operations. Regional expenses consist of the following (in millions):


	Year Ended December 31,
	2016		2015		2014
Aircraft fuel and related taxes	$	1,109	$	1,230	$	2,009
Salaries, wages and benefits		1,333		1,187		1,140
Capacity purchases from third-party regional carriers ⁽¹⁾		1,538		1,651		1,494
Maintenance, materials and repairs		345		323		367
Other rent and landing fees		564		504		444
Aircraft rent		36		34		35
Selling expenses		347		333		307
Depreciation and amortization		301		252		217
Special items, net		14		29		24
Other		457		440		479

Total regional expenses	$	6,044	$	5,983	$	6,516

⁽¹⁾	For the years ended December 31, 2016, 2015 and 2014, the component of capacity purchase expenses related to aircraft deemed to be leased was approximately $405 million, $492 million and $447 million, respectively.

(r) Recent Accounting Pronouncements

Revenue

In May 2014, the Financial Accounting Standards Board (FASB) issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).” ASU 2014-09 completes the joint effort by the FASB and International Accounting Standards Board (IASB) to improve financial reporting by creating common revenue recognition guidance for GAAP and International Financial Reporting Standards (IFRS). Subsequently, the FASB has issued several additional ASUs to clarify the implementation. The new revenue standard applies to all companies that enter into contracts with customers to transfer goods or services and is effective for public entities for interim and annual reporting periods beginning after December 15, 2017. Early adoption is permitted; however, we currently expect to adopt the new revenue standard effective January 1, 2018. Entities have the choice to apply the new revenue standard either retrospectively to each reporting period presented or by recognizing the cumulative effect of applying the new revenue standard at the date of initial application and not adjusting comparative information. We currently expect to adopt the new revenue standard using the full retrospective method.

We are still in the process of evaluating how the adoption of the new revenue standard will impact our consolidated financial statements. We currently expect that the new revenue standard will materially impact our liability for outstanding mileage credits earned by AAdvantage loyalty program members when flying on American. We currently use the incremental cost method to account for this portion of our loyalty program liability, which values these mileage credits based on the estimated incremental cost of carrying one additional passenger (see (i) Loyalty Program above). The new revenue standard will require us to change our policy and apply a relative selling price approach whereby a portion of each passenger ticket sale attributable to mileage credits earned will be deferred and recognized in passenger revenue upon future mileage redemption. The carrying value of the earned mileage credits recognized in loyalty program liability is expected to be materially greater under the relative selling price approach than the value attributed to these mileage credits under the incremental cost method. The new revenue standard will also require us to reclassify certain ancillary fees to passenger revenue, which are currently included within other operating revenue.

Leases

In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842).” ASU 2016-02 requires lessees to recognize a lease liability and a right-of-use asset on the balance sheet and aligns many of the underlying principles of the new lessor model with those in Accounting Standards Codification Topic 606, Revenue from Contracts with Customers. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted. Entities are required to adopt the new lease standard using a modified retrospective approach for all leases existing at or commencing after the date of initial application with an option to use certain practical expedients. We are currently evaluating how the adoption of the new lease standard will impact our consolidated financial statements. Interpretations are on-going and could have a material impact on our implementation. Currently, we expect that the adoption of the new lease standard will have a material impact on our consolidated balance sheet due to the recognition of right-of-use assets and lease liabilities principally for certain leases currently accounted for as operating leases.

Share-based Compensation

In March 2016, the FASB issued ASU 2016-09, “Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting.” ASU 2016-09 simplifies the accounting for share-based payment award transactions including the financial statement presentation of excess tax benefits and deficiencies, classification of awards as either equity or liabilities, accounting for forfeitures and classification on the statement of cash flows. ASU 2016-09 is effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. Early adoption is permitted. We early adopted this standard during the second quarter of 2016. The adoption of this standard resulted in the recognition of $418 million of previously unrecognized excess tax benefits in deferred tax assets and an increase to retained earnings on the consolidated balance sheet as of the beginning of the current year, and the recognition of $15 million of excess tax benefits in the income tax provision for the year ended December 31, 2016.

Fair Value Measurement

In May 2015, the FASB issued ASU 2015-07, “Fair Value Measurement (Topic 820): Disclosures for Investments in Certain Entities that Calculate Net Asset Value per Share (or its Equivalent).” ASU 2015-07 requires that investments using the practical expedient to measure fair value at net asset value per share (or its equivalent) be excluded from the fair value hierarchy. Although the investments are not characterized within the fair value hierarchy, the amount of investments measured using the practical expedient must still be disclosed to allow for reconciliation of the total investments in the fair value hierarchy to total investments in the notes to the consolidated financial statements. ASU 2015-07 is effective for fiscal years beginning after December 15, 2015. We adopted this standard retrospectively during the year ended December 31, 2016. The adoption impacted the fair value hierarchy disclosures of our benefit plan assets, see Note 9 for further discussion.

Statement of Cash Flows

In November 2016, the FASB issued ASU 2016-18, “Statement of Cash Flows (Topic 230): Restricted Cash.” ASU 2016-18 requires that the change in total cash, cash at beginning of period and cash at end of period on the statement of cash flows include restricted cash and restricted cash equivalents. ASU 2016-18 also requires companies who report cash and restricted cash separately on the balance sheet to reconcile those amounts to the statement of cash flows. This standard is to be applied retrospectively to each period presented and is effective for public entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted. This standard is not expected to have a material impact on our consolidated financial statements.

American Airlines, Inc. [Member]

Basis of Presentation and Summary of Significant Accounting Policies

1. Basis of Presentation and Summary of Significant Accounting Policies

(a) Basis of Presentation

American Airlines, Inc. (American) is a Delaware corporation whose primary business activity is the operation of a major network air carrier. American is a wholly-owned subsidiary of American Airlines Group Inc. (AAG), which owns all of American’s outstanding common stock, par value $1.00 per share. On December 9, 2013, a subsidiary of AMR merged with and into US Airways Group, Inc. (US Airways Group), a Delaware corporation, which survived as a wholly-owned subsidiary of AAG, and AAG emerged from Chapter 11 (the Merger). Upon closing of the Merger and emergence from Chapter 11, AMR changed its name to American Airlines Group Inc. On December 30, 2015, in order to simplify AAG’s internal corporate structure, US Airways, Inc. (US Airways), a wholly-owned subsidiary of US Airways Group, merged with and into American, with American as the surviving corporation.

(b) Short-term Investments

(c) Restricted Cash and Short-term Investments

American has restricted cash and short-term investments related primarily to collateral held to support workers’ compensation obligations.

(d) Aircraft Fuel, Spare Parts, and Supplies, Net

(e) Operating Property and Equipment


Principal Property and Equipment Classification	Estimated Useful Life
Aircraft, engines and related rotable parts		20 – 30 years
Buildings and improvements		Lesser of 5 - 30 years
Furniture, fixtures and other equipment		3 - 10 years
Capitalized software		5 - 10 years

American records impairment charges on operating property and equipment when events and circumstances indicate that the assets may be impaired. An asset or group of assets is considered impaired when the undiscounted cash flows estimated to be generated by the assets are less than the carrying amount of the assets and the net book value of the assets exceeds their estimated fair value. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less the cost to sell.

(f) Income Taxes

American provides a valuation allowance for its deferred tax assets when it is more likely than not that some portion, or all of its deferred tax assets, will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income. American considers all available positive and negative evidence and makes certain assumptions in evaluating the realizability of its deferred tax assets. Many factors are considered that impact American’s projections of future profitability, including risks associated with remaining Merger integration activities as well as other conditions which are beyond American’s control, such as the health of the economy, the level and volatility of fuel prices and travel demand.

(g) Goodwill

Goodwill is measured for impairment by initially performing a qualitative assessment and, if necessary, then comparing the fair value of the reporting unit to its carrying value, including goodwill. If the fair value of the reporting unit is less than the carrying value, a second step is performed to determine the implied fair value of goodwill. If the implied fair value of goodwill is lower than its carrying value, an impairment charge equal to the difference is recorded. Based upon American’s annual assessment, there was no goodwill impairment in 2016. The carrying value of the goodwill on American’s consolidated balance sheets was $4.1 billion as of December 31, 2016 and 2015.

(h) Other Intangibles, Net

Intangible assets consist primarily of domestic airport slots, customer relationships, marketing agreements, international slots and route authorities, airport gate leasehold rights and tradenames.

Finite-Lived Intangible Assets

The following table provides information relating to American’s amortizable intangible assets as of December 31, 2016 and 2015 (in millions):


	December 31,
	2016			2015
Domestic airport slots	$	365		$	365
Customer relationships		300			300
Marketing agreements		105			105
Tradenames		35			35
Airport gate leasehold rights		137			137
Accumulated amortization		(578	)		(502	)

Total	$	364		$	440

American recorded amortization expense related to these intangible assets of $76 million, $55 million and $81 million for the years ended December 31, 2016, 2015 and 2014, respectively. American expects to record annual amortization expense for these intangible assets as follows (in millions):


2017	$	45
2018		41
2019		41
2020		41
2021		41
2022 and thereafter		155

Total	$	364

Indefinite-Lived Intangible Assets

Indefinite-lived intangible assets include certain domestic airport slots at American’s hubs and international slots and route authorities. Indefinite-lived intangible assets are not amortized but instead are assessed for impairment annually on October 1^st or more frequently if events or circumstances indicate that the asset may be impaired. As of December 31, 2016 and 2015, American had $1.8 billion of indefinite-lived intangible assets on its consolidated balance sheets.

Indefinite-lived intangible assets are reviewed for impairment by initially performing a qualitative assessment to determine whether American believes it is more likely than not that an asset has been impaired. If American believes impairment has occurred, American then evaluates for impairment by comparing the estimated fair value of assets to the carrying value. An impairment charge is recognized if the asset’s estimated fair value is less than its carrying value. Based upon American’s annual assessment, there was no indefinite-lived intangible asset impairment in 2016.

(i) Loyalty Program

American currently operates the loyalty program, AAdvantage. This program awards mileage credits to passengers who fly on American, any oneworld airline or other partner airlines, or by using the services of other program participants, such as the Citi and Barclaycard US co-branded credit cards, hotels and car rental companies. Mileage credits can be redeemed for travel on American or other participating partner airlines.

American uses the incremental cost method to account for the portion of its loyalty program liability incurred when AAdvantage members earn mileage credits by flying on American, any oneworld airline or other partner airlines. American has an obligation to provide future travel when these mileage credits are redeemed and therefore have recorded a liability for mileage credits outstanding.

The incremental cost liability includes all mileage credits, even mileage credits for members whose account balances have not yet reached the minimum level required to redeem an award. Mileage credits are subject to expiration. The liability for outstanding mileage credits is valued based on the estimated incremental cost of carrying one additional passenger. The estimated incremental cost primarily includes unit costs incurred for fuel, food and insurance as well as fees incurred when travel awards are redeemed on partner airlines. In calculating the liability, American estimates how many mileage credits will never be redeemed for travel and excludes those mileage credits from the estimate of the liability. Estimates are also made for the number of miles that will be used per award redemption and the number of travel awards that will be redeemed on partner airlines. These costs and estimates are based on American’s historical program experience as well as consideration of enacted program changes, as applicable. Changes in the liability resulting from members earning additional mileage credits or changes in estimates are recorded in the consolidated statements of operations as a part of passenger revenue.

Additionally, American applied the acquisition method of accounting in connection with AAG’s Merger in December 2013 and recorded a liability for outstanding US Airways’ mileage credits at fair value, an amount significantly in excess of incremental cost. At December 31, 2016, all the mileage credits associated with this liability have been recognized in passenger revenue. At December 31, 2015, this liability was $296 million and was included on the consolidated balance sheet within the loyalty program liability.

American also sells loyalty program mileage credits to participating airline partners and non-airline business partners. Sales of mileage credits to non-airline business partners is comprised of two components, transportation and marketing. American accounts for mileage sales under its agreements with non-airline business partners in accordance with Accounting Standards Update (ASU) No. 2009-13, “Revenue Recognition (Topic 605) — Multiple-Deliverable Revenue Arrangements.” In accordance with Topic 605, American allocates the consideration received from the sale of mileage credits based on the relative selling price of each product or service delivered.

In 2016, American entered into new co-branded credit card program agreements with Citi and Barclaycard US. American identified the following revenue elements in these co-branded credit card agreements: the transportation component; the use of the American brand including access to loyalty program member lists, advertising and other travel related benefits (collectively, the marketing component).

The transportation component represents the estimated selling price of future travel awards and is determined using historical transaction information, including information related to customer redemption patterns. The transportation component is deferred based on its relative selling price and is amortized into passenger revenue on a straight-line basis over the period in which the mileage credits are expected to be redeemed for travel. As of December 31, 2016 and 2015, American had $2.1 billion and $1.5 billion, respectively, in deferred revenue from the sale of mileage credits recorded within loyalty program liability on its consolidated balance sheets.

(j) Revenue

Passenger Revenue

Passenger revenue is recognized when transportation is provided. Ticket sales for transportation that has not yet been provided are initially deferred and recorded as air traffic liability on the consolidated balance sheets. The air traffic liability represents tickets sold for future travel dates and estimated future refunds and exchanges of tickets sold for past travel dates. The balance in the air traffic liability fluctuates throughout the year based on seasonal travel patterns and fare sale activity. American’s air traffic liability was $3.9 billion and $3.7 billion as of December 31, 2016 and 2015, respectively.

The majority of tickets sold are nonrefundable. A small percentage of tickets, some of which are partially used tickets, expire unused. Due to complex pricing structures, refund and exchange policies, and interline agreements with other airlines, certain amounts are recognized in passenger revenue using estimates regarding both the timing of the revenue recognition and the amount of revenue to be recognized. These estimates are generally based on the analysis of American’s historical data. American and other airline industry participants have consistently applied this accounting method to estimate revenue from forfeited tickets at the date of travel. Estimated future refunds and exchanges included in the air traffic liability are routinely evaluated based on subsequent activity to validate the accuracy of American’s estimates. Any adjustments resulting from periodic evaluations of the estimated air traffic liability are included in passenger revenue during the period in which the evaluations are completed.

American has arrangements with regional carriers to provide it with regional jet and turboprop service under the brand name “American Eagle.” The American Eagle carriers include AAG’s wholly-owned regional carriers, Envoy, PSA and Piedmont, as well as third-party regional carriers including Republic Airline Inc. (Republic), Mesa Airlines, Inc. (Mesa), Air Wisconsin Airlines Corporation (Air Wisconsin), Compass Airlines, LLC (Compass), ExpressJet Airlines, Inc. (ExpressJet), SkyWest Airlines, Inc. (SkyWest) and Trans States Airlines, Inc. (Trans States). American classifies revenues generated from transportation on these carriers as regional passenger revenues. Liabilities related to tickets sold by American for travel on these air carriers are also included in American’s air traffic liability and are subsequently recognized as revenue in the same manner as described above.

Passenger Taxes and Fees

Various taxes and fees assessed on the sale of tickets to end customers are collected by American as an agent and remitted to taxing authorities. These taxes and fees have been presented on a net basis in the accompanying consolidated statements of operations and recorded as a liability until remitted to the appropriate taxing authority.

Cargo Revenue

Cargo revenue is recognized when American provides the transportation.

Other Revenue

Other revenue includes revenue associated with marketing services provided to American’s business partners as part of its loyalty program, baggage fees, ticketing change fees, airport clubs and inflight services. The accounting and recognition for the loyalty program marketing services are discussed in Note 1(i) above. Baggage fees, ticketing change fees, airport clubs and inflight service revenues are recognized when American provides the service.

(k) Maintenance, Materials and Repairs

(l) Selling Expenses

(m) Share-based Compensation

American accounts for its share-based compensation expense based on the fair value of the stock award at the time of grant, which is recognized ratably over the vesting period of the stock award. Certain awards have performance conditions that must be achieved prior to vesting and are expensed based on the expected achievement at each reporting period. The fair value of stock options and stock appreciation rights (SARs) is estimated using a Black-Scholes option pricing model. The fair value of restricted stock units (RSUs) is based on the market price of the underlying shares of common stock on the date of grant. See Note 12 for further discussion of share-based compensation.

(n) Deferred Gains and Credits, Net

Included within deferred gains and credits, net are amounts deferred and amortized into future periods associated with the adjustment of leases to fair value in connection with the application of acquisition accounting, deferred gains on the sale-leaseback of aircraft and certain vendor incentives. American periodically receives vendor incentives in connection with acquisition of aircraft and engines. These credits are deferred until aircraft and engines are delivered and then applied as a reduction to the cost of the related equipment.

(o) Foreign Currency Gains and Losses

Foreign currency gains and losses are recorded as part of other nonoperating expense, net in American’s consolidated statements of operations. Foreign currency gains for 2016 were $1 million. Foreign currency losses for 2015 and 2014 were $751 million and $114 million, respectively. Included in 2015 was a $592 million nonoperating special charge to write off all of the value of Venezuelan bolivars held by American due to continued lack of repatriations and deterioration of economic conditions in Venezuela.

(p) Other Operating Expenses

(q) Regional Expenses

Expenses associated with American’s third-party regional carriers operating under the brand name American Eagle are classified as regional expenses on the consolidated statements of operations. Regional expenses consist of the following (in millions):


	Year Ended December 31,
	2016		2015		2014
Aircraft fuel and related taxes	$	1,109	$	1,230	$	2,009
Salaries, wages and benefits		327		276		228
Capacity purchases from third-party regional carriers ⁽¹⁾		3,186		3,137		2,858
Maintenance, materials and repairs		4		4		6
Other rent and landing fees		487		434		386
Aircraft rent		28		28		27
Selling expenses		347		333		307
Depreciation and amortization		237		197		168
Special items, net		13		18		5
Other		271		295		483

Total regional expenses	$	6,009	$	5,952	$	6,477

⁽¹⁾	For the years ended December 31, 2016, 2015 and 2014, the component of capacity purchase expenses related to aircraft deemed to be leased was approximately $405 million, $492 million and $447 million, respectively.

(r) Recent Accounting Pronouncements

Revenue

In May 2014, the Financial Accounting Standards Board (FASB) issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).” ASU 2014-09 completes the joint effort by the FASB and International Accounting Standards Board (IASB) to improve financial reporting by creating common revenue recognition guidance for GAAP and International Financial Reporting Standards (IFRS). Subsequently, the FASB has issued several additional ASUs to clarify the implementation. The new revenue standard applies to all companies that enter into contracts with customers to transfer goods or services and is effective for public entities for interim and annual reporting periods beginning after December 15, 2017. Early adoption is permitted; however, American currently expects to adopt the new revenue standard effective January 1, 2018. Entities have the choice to apply the new revenue standard either retrospectively to each reporting period presented or by recognizing the cumulative effect of applying the new revenue standard at the date of initial application and not adjusting comparative information. American currently expects to adopt the new revenue standard using the full retrospective method.

American is still in the process of evaluating how the adoption of the new revenue standard will impact its consolidated financial statements. American currently expects that the new revenue standard will materially impact its liability for outstanding mileage credits earned by AAdvantage loyalty program members when flying on American. American currently uses the incremental cost method to account for this portion of its loyalty program liability, which values these mileage credits based on the estimated incremental cost of carrying one additional passenger (see (i) Loyalty Program above). The new revenue standard will require American to change its policy and apply a relative selling price approach whereby a portion of each passenger ticket sale attributable to mileage credits earned will be deferred and recognized in passenger revenue upon future mileage redemption. The carrying value of the earned mileage credits recognized in loyalty program liability is expected to be materially greater under the relative selling price approach than the value attributed to these mileage credits under the incremental cost method. The new revenue standard will also require American to reclassify certain ancillary fees to passenger revenue, which are currently included within other operating revenue.

Leases

In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842).” ASU 2016-02 requires lessees to recognize a lease liability and a right-of-use asset on the balance sheet and aligns many of the underlying principles of the new lessor model with those in Accounting Standards Codification Topic 606, Revenue from Contracts with Customers. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted. Entities are required to adopt the new lease standard using a modified retrospective approach for all leases existing at or commencing after the date of initial application with an option to use certain practical expedients. American is currently evaluating how the adoption of the new lease standard will impact its consolidated financial statements. Interpretations are on-going and could have a material impact on American’s implementation. Currently, American expects that the adoption of the new lease standard will have a material impact on its consolidated balance sheet due to the recognition of right-of-use assets and lease liabilities principally for certain leases currently accounted for as operating leases.

Share-based Compensation

In March 2016, the FASB issued ASU 2016-09, “Compensation — Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting.” ASU 2016-09 simplifies the accounting for share-based payment award transactions including the financial statement presentation of excess tax benefits and deficiencies, classification of awards as either equity or liabilities, accounting for forfeitures and classification on the statement of cash flows. ASU 2016-09 is effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. Early adoption is permitted. American early adopted this standard during the second quarter of 2016. The adoption of this standard resulted in the recognition of $418 million of previously unrecognized excess tax benefits in deferred tax assets and an increase to retained earnings on the consolidated balance sheet as of the beginning of the current year, and the recognition of $15 million of excess tax benefits in the income tax provision for the year ended December 31, 2016.

Fair Value Measurement

In May 2015, the FASB issued ASU 2015-07, “Fair Value Measurement (Topic 820): Disclosures for Investments in Certain Entities that Calculate Net Asset Value per Share (or its Equivalent).” ASU 2015-07 requires that investments using the practical expedient to measure fair value at net asset value per share (or its equivalent) be excluded from the fair value hierarchy. Although the investments are not characterized within the fair value hierarchy, the amount of investments measured using the practical expedient must still be disclosed to allow for reconciliation of the total investments in the fair value hierarchy to total investments in the notes to the consolidated financial statements. ASU 2015-07 is effective for fiscal years beginning after December 15, 2015. American adopted this standard retrospectively during the year ended December 31, 2016. The adoption impacted the fair value hierarchy disclosures of American’s benefit plan assets, see Note 7 for further discussion.

Statement of Cash Flows

Special Items, Net

12 Months Ended

Dec. 31, 2016

Special Items, Net

2. Special Items, Net

Special items, net on the consolidated statements of operations consisted of the following (in millions):


	Year Ended December 31,
	2016		2015		2014
Mainline operating special items, net ⁽¹⁾	$	709	$	1,051	$	800

⁽¹⁾	The 2016 mainline operating special items totaled a net charge of $709 million, which principally included $514 million of Merger integration expenses, $177 million of fleet restructuring expenses and a $25 million net charge consisting of mark-to-market adjustments for bankruptcy obligations.

The 2015 mainline operating special items totaled a net charge of $1.1 billion, which principally included $826 million of Merger integration expenses, $210 million of fleet restructuring expenses and a $53 million net credit consisting of mark-to-market adjustments for bankruptcy obligations.

The 2014 mainline operating special items totaled a net charge of $800 million, which primarily included $732 million of Merger integration expenses, $88 million of fleet restructuring expenses, an $81 million charge to revise prior estimates of certain aircraft residual values and an $81 million net charge for bankruptcy-related items principally consisting of mark-to-market adjustments for bankruptcy obligations and professional fees. These charges were offset in part by a net $265 million gain related to the divestiture of slots.

Merger integration expenses included costs related to information technology, re-branding of aircraft, airport facilities and uniforms, alignment of labor union contracts, professional fees, relocation, training, and severance, and in 2015 and 2014, also included share-based compensation related to awards granted in connection with the Merger that fully vested in December 2015. Fleet restructuring expenses included the acceleration of aircraft depreciation, impairments, remaining lease payments and lease return costs for aircraft currently grounded or expected to be grounded earlier than planned.

The following additional amounts are also included in the consolidated statements of operations as follows (in millions):


	Year Ended December 31,
	2016		2015			2014
Regional operating special items, net ⁽¹⁾	$	14	$	29		$	24
Nonoperating special items, net ⁽²⁾		49		594			132
Income tax special items, net ⁽³⁾		—		(3,015	)		346

⁽¹⁾	The 2016 and 2015 regional operating special items, net principally related to Merger integration expenses.

The 2014 regional operating special items, net consisted primarily of a $24 million charge due to a new pilot labor contract at our Envoy regional subsidiary.

⁽²⁾	The 2016 nonoperating special items totaled a net charge of $49 million, which consisted of debt issuance and extinguishment costs associated with bond and term loan refinancings.

The 2015 nonoperating special items totaled a net charge of $594 million, which principally included a $592 million charge to write off all of the value of Venezuelan bolivars held by us due to continued lack of repatriations and deterioration of economic conditions in Venezuela.

The 2014 nonoperating special items totaled a net charge of $132 million, which principally included a $43 million charge for Venezuelan foreign currency losses and $56 million of early debt extinguishment costs primarily related to the prepayment of 7.50% senior secured notes and other indebtedness.

⁽³⁾

In 2015, income tax special items totaled a net credit of $3.0 billion. In connection with the preparation of our financial statements for the fourth quarter of 2015, management determined that it was more likely than not that substantially all of our deferred tax assets, which include our net operating losses (NOLs), would be realized. Accordingly, we reversed $3.0 billion of the valuation allowance as of December 31, 2015, which resulted in a special non-cash tax benefit recorded in our consolidated statement of operations. See Note 6 for further information.

In 2014, income tax special items, net were $346 million. During 2014, we sold our portfolio of fuel hedging contracts that were scheduled to settle on or after June 30, 2014. In connection with this sale, we recorded a special non-cash tax provision of $330 million in the second quarter of 2014 that reversed the non-cash tax provision which was recorded in other comprehensive income (OCI), a subset of stockholders’ equity, principally in 2009. This provision represents the tax effect associated with gains recorded in OCI principally in 2009 due to a net increase in the fair value of our fuel hedging contracts. In accordance with GAAP, we retained the $330 million tax provision in OCI until the last contract was settled or terminated.

American Airlines, Inc. [Member]

Special Items, Net

2. Special Items, Net

Special items, net on the consolidated statements of operations consisted of the following (in millions):


	Year Ended December 31,
	2016		2015		2014
Mainline operating special items, net ⁽¹⁾	$	709	$	1,051	$	783

⁽¹⁾	The 2016 mainline operating special items totaled a net charge of $709 million, which principally included $514 million of Merger integration expenses, $177 million of fleet restructuring expenses and a $25 million net charge consisting of mark-to-market adjustments for bankruptcy obligations.

The 2014 mainline operating special items totaled a net charge of $783 million, which primarily included $732 million of Merger integration expenses, $88 million of fleet restructuring expenses, an $81 million charge to revise prior estimates of certain aircraft residual values and a $60 million net charge for bankruptcy-related items principally consisting of mark-to-market adjustments for bankruptcy obligations and professional fees. These charges were offset in part by a net $265 million gain related to the divestiture of slots.

The following additional amounts are also included in the consolidated statements of operations as follows (in millions):


	Year Ended December 31,
	2016		2015			2014
Regional operating special items, net ⁽¹⁾	$	13	$	18		$	5
Nonoperating special items, net ⁽²⁾		49		616			128
Income tax special items, net ⁽³⁾		—		(3,468	)		344

⁽¹⁾	The 2016, 2015 and 2014 regional operating special items, net principally related to Merger integration expenses.

⁽²⁾	The 2016 nonoperating special items totaled a net charge of $49 million, which consisted of debt issuance and extinguishment costs associated with bond and term loan refinancings.

The 2015 nonoperating special items totaled a net charge of $616 million, which principally included a $592 million charge to write off all of the value of Venezuelan bolivars held by American due to continued lack of repatriations and deterioration of economic conditions in Venezuela.

The 2014 nonoperating special items totaled a net charge of $128 million, which principally included a $43 million charge for Venezuelan foreign currency losses and $56 million of early debt extinguishment costs primarily related to the prepayment of 7.50% senior secured notes and other indebtedness.

⁽³⁾

In 2015, income tax special items totaled a net credit of $3.5 billion. In connection with the preparation of American’s financial statements for the fourth quarter of 2015, management determined that it was more likely than not that substantially all of its deferred tax assets, which include its net operating losses (NOLs), would be realized. Accordingly, American reversed $3.5 billion of the valuation allowance as of December 31, 2015, which resulted in a special non-cash tax benefit recorded in the consolidated statement of operations. See Note 4 for further information.

In 2014, income tax special items, net were $344 million. During 2014, American sold its portfolio of fuel hedging contracts that were scheduled to settle on or after June 30, 2014. In connection with this sale, American recorded a special non-cash tax provision of $328 million in the second quarter of 2014 that reversed the non-cash tax provision which was recorded in other comprehensive income (OCI), a subset of stockholder’s equity, principally in 2009. This provision represents the tax effect associated with gains recorded in OCI principally in 2009 due to a net increase in the fair value of American’s fuel hedging contracts. In accordance with GAAP, American retained the $328 million tax provision in OCI until the last contract was settled or terminated.

Earnings Per Common Share

12 Months Ended

Dec. 31, 2016

Earnings Per Share [Abstract]

Earnings Per Common Share

3. Earnings Per Common Share

The following table sets forth the computation of basic and diluted earnings per common share (EPS) (in millions, except share and per share amounts in thousands):


	Year Ended December 31,
	2016		2015		2014
Basic EPS:
Net income	$	2,676	$	7,610	$	2,882
Weighted average common shares outstanding (in thousands)		552,308		668,393		717,456

Basic EPS	$	4.85	$	11.39	$	4.02

Diluted EPS:
Net income	$	2,676	$	7,610	$	2,882
Change in fair value of conversion feature on 7.25% convertible senior notes ^(a)		—		—		3

Net income for purposes of computing diluted EPS	$	2,676	$	7,610	$	2,885
Share computation for diluted EPS (in thousands):
Basic weighted average common shares outstanding		552,308		668,393		717,456
Dilutive effect of stock awards		3,791		18,962		15,603
Assumed conversion of convertible senior notes		—		—		957

Diluted weighted average common shares outstanding		556,099		687,355		734,016

Diluted EPS	$	4.81	$	11.07	$	3.93

The following were excluded from the calculation of diluted EPS (in thousands):
Stock options, SARs and RSUs because inclusion would be antidilutive		1,429		764		226

^(a)

In March 2014, we notified the holders of the 7.25% convertible senior notes that we had elected to settle all future conversions solely in cash instead of shares of AAG common stock in accordance with the related indenture. Thus, the diluted shares include the weighted average impact of the 7.25% convertible senior notes only for the period from January 1, 2014 to March 12, 2014. In addition, under GAAP, we must adjust the numerator for purposes of calculating diluted EPS by the change in fair value of the conversion feature from March 12, 2014 to May 15, 2014, which increased GAAP net income for purposes of computing diluted EPS by $3 million for the year ended December 31, 2014.

Share Repurchase Programs and Dividends

12 Months Ended

Dec. 31, 2016

Equity [Abstract]

Share Repurchase Programs and Dividends

4. Share Repurchase Programs and Dividends

Since July 2014, our Board of Directors has approved several share repurchase programs aggregating $9.0 billion of authority. As of December 31, 2016, there was no remaining authority to repurchase shares under our existing share repurchase programs. However, in January 2017, our Board of Directors authorized a new $2.0 billion share repurchase program that expires on December 31, 2018.

During the year ended December 31, 2016, we repurchased 119.8 million shares of AAG common stock for $4.4 billion at a weighted average cost per share of $36.86. During the year ended December 31, 2015, we repurchased 85.1 million shares of AAG common stock for $3.6 billion at a weighted average cost per share of $42.09. During the year ended December 31, 2014, we repurchased 23.4 million shares of AAG common stock for $1.0 billion at a weighted average cost per share of $42.72. Since the inception of the share repurchase programs in July 2014, we have repurchased 228.4 million shares of AAG common stock for $9.0 billion at a weighted average cost per share of $39.41.

Our Board of Directors declared the following cash dividends:


Year Ended December 31	Period	Per share		For stockholders of record as of	Payable on	Cash paid (millions)
2016	Fourth Quarter	$	0.10	November 7, 2016	November 21, 2016	$	52
	Third Quarter		0.10	August 5, 2016	August 19, 2016		53
	Second Quarter		0.10	May 4, 2016	May 18, 2016		58
	First Quarter		0.10	February 10, 2016	February 24, 2016		61

	Total	$	0.40			$	224

2015	Fourth Quarter	$	0.10	November 5, 2015	November 19, 2015	$	72
	Third Quarter		0.10	August 10, 2015	August 24, 2015		66
	Second Quarter		0.10	May 4, 2015	May 18, 2015		70
	First Quarter		0.10	February 9, 2015	February 23, 2015		70

	Total	$	0.40			$	278

2014	Fourth Quarter	$	0.10	November 3, 2014	November 17, 2014	$	72
	Third Quarter		0.10	August 4, 2014	August 18, 2014		72

	Total	$	0.20			$	144

Any future dividends that may be declared and paid from time to time will be subject to market and economic conditions, applicable legal requirements and other relevant factors. We are not obligated to continue a dividend for any fixed period, and payment of dividends may be suspended at any time at our discretion.

- Definition

The entire disclosure for shareholders' equity comprised of portions attributable to the parent entity and noncontrolling interest, including other comprehensive income. Includes, but is not limited to, balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings, accumulated balance for each classification of other comprehensive income and amount of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 310
-SubTopic 10
-Section S99
-Paragraph 4
-Subparagraph (SAB Topic 4.E)
-URI http://asc.fasb.org/extlink&oid=27010918&loc=d3e74567-122707

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21484-112644

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(29))
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 5
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21488-112644

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(e))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(31))
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
-Paragraph 4
-Subparagraph (SAB Topic 4.C)
-URI http://asc.fasb.org/extlink&oid=27012166&loc=d3e187143-122770

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02(30))
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

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-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
-Paragraph 6
-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21506-112644

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-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08(d))
-URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690

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-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section S99
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-Subparagraph (SX 210.3-04)
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-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
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-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6405834&loc=d3e23285-112656

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-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 10
-Section 50
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-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21475-112644

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-Name Accounting Standards Codification
-Glossary Preferred Stock
-URI http://asc.fasb.org/extlink&oid=6521494

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-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21564-112644

+ Details

Debt

12 Months Ended

Dec. 31, 2016

Debt

5. Debt

Long-term debt and capital lease obligations included in the consolidated balance sheets consisted of (in millions):


	December 31,
	2016		2015
Secured
2013 Credit Facilities, variable interest rate of 3.26%, installments through 2020 ^(a)	$	1,843	$	1,867
2014 Credit Facilities, variable interest rate of 3.25%, installments through 2021 ^(a)		735		743
April 2016 Credit Facilities, variable interest rate of 3.26%, installments through 2023 ^(a)		1,000		—
December 2016 Credit Facilities, variable interest rate of 3.25%, installments through 2023 ^(a)		1,250		—
2013 Citicorp Credit Facility Tranche B-1 ^(b)		—		980
2013 Citicorp Credit Facility Tranche B-2 ^(b)		—		588
Aircraft enhanced equipment trust certificates (EETCs), fixed interest rates ranging from 3.00% to 9.75%, maturing from 2017 to 2028 ^(c)		10,912		8,693
Equipment loans and other notes payable, fixed and variable interest rates ranging from 1.81% to 8.48%, maturing from 2017 to 2028 ^(d)		5,343		4,183
Special facility revenue bonds, fixed interest rates ranging from 5.00% to 8.00%, maturing from 2017 to 2035 ^(e)		891		1,080
Other secured obligations, fixed interest rates ranging from 3.60% to 12.24%, maturing from 2017 to 2028		849		923

		22,823		19,057

Unsecured
5.50% senior notes, interest only payments until due in 2019 ^(f)		750		750
6.125% senior notes, interest only payments until due in 2018 ^(f)		500		500
4.625% senior notes, interest only payments until due in 2020 ^(f)		500		500

		1,750		1,750

Total long-term debt and capital lease obligations		24,573		20,807
Less: Total unamortized debt discount, debt premium and debt issuance costs		229		246
Less: Current maturities		1,855		2,231

Long-term debt and capital lease obligations, net of current maturities	$	22,489	$	18,330

The table below shows availability under revolving credit facilities, all of which were undrawn, as of December 31, 2016 (in millions):


2013 Revolving Facility	$	1,400
2014 Revolving Facility		1,025

Total	$	2,425

The April 2016 and December 2016 Credit Facilities each provide for a revolving credit facility that may be established in the future.

Secured financings are collateralized by assets, primarily aircraft, engines, simulators, aircraft spare parts, airport leasehold rights, route authorities and airport slots. At December 31, 2016, we were operating 34 aircraft under capital leases. Leases can generally be renewed at rates based on fair market value at the end of the lease term for a number of additional years.

At December 31, 2016, the maturities of long-term debt and capital lease obligations are as follows (in millions):


2017	$	1,899
2018		2,454
2019		2,758
2020		3,922
2021		2,681
2022 and thereafter		10,859

Total	$	24,573

(a) 2013, 2014, April 2016 and December 2016 Credit Facilities

Certain details of our 2013, 2014, April 2016 and December 2016 Credit Facilities (collectively referred to as the Credit Facilities) are shown in the table below as of December 31, 2016:

2013 Credit Facilities

2014 Credit Facilities

April and December

2016 Credit Facilities

2013 Term
Loan

2013 Revolving
Facility

2014 Term

Loan

2014 Revolving
Facility

April 2016

Term Loan

December 2016

Term Loan

Aggregate principal issued or credit facility availability

$1.9 billion

$1.4 billion

$750 million

$1.025 billion

$1.0 billion

$1.25 billion

Principal outstanding or drawn

$1.84 billion

$—

$735 million

$—

$1.0 billion

$1.25 billion

Maturity date

June 2020

October 2020

October 2021

October 2020

April 2023

December 2023

London Interbank Offered Rate (LIBOR) margin

2.50%⁽¹⁾,⁽²⁾

3.00%

2.50%⁽¹⁾

3.00%

2.50%⁽¹⁾

⁽¹⁾	LIBOR margin is subject to a floor of 0.75%.

⁽²⁾	As AAG’s corporate credit rating was Ba3 or higher from Moody’s and BB- or higher from Standard and Poor’s (S&P) as of December 31, 2016, the applicable LIBOR margin is 2.50% for the 2013 Term Loan; otherwise, the LIBOR margin would be 2.75%.

The Term Loans are repayable in annual installments in an amount equal to 1.00% of the principal amount, with any unpaid balance due on the respective maturity dates. Voluntary prepayments may be made by American at any time.

The proceeds from the April 2016 Term Loan and the December 2016 Term Loan were used to repay $588 million and $970 million, respectively, in remaining principal plus accrued and unpaid interest of the 2013 Citicorp Credit Facility tranche B-2 term loan (Tranche B-2) and tranche B-1 term loan (Tranche B-1), respectively, with the remainder of the proceeds to be used for general corporate purposes.

The 2013 and 2014 Revolving Facilities provide that American may from time to time borrow, repay and reborrow loans thereunder and have the ability to issue letters of credit thereunder in an aggregate amount outstanding at any time up to $300 million. The 2013 and 2014 Revolving Facilities are each subject to an undrawn fee of 0.75%. As of December 31, 2016, there were no borrowings or letters of credit outstanding under the 2013 or 2014 Revolving Facilities. The April 2016 and December 2016 Credit Facilities each provide for a revolving credit facility that may be established in the future.

Subject to certain limitations and exceptions, the Credit Facilities are secured by certain collateral, including spare parts, certain slots, route authorities and airport gate leasehold rights. American has the ability to make future modifications to the collateral pledged, subject to certain restrictions. American’s obligations under the Credit Facilities are guaranteed by AAG. American is required to maintain a certain minimum ratio of appraised value of the collateral to the outstanding loans as further described below in “Collateral-Related Covenants.”

The Credit Facilities contain events of default customary for similar financings, including cross default to other material indebtedness. Upon the occurrence of an event of default, the outstanding obligations may be accelerated and become due and payable immediately. In addition, if a “change of control” occurs, American will (absent an amendment or waiver) be required to repay at par the loans outstanding under the Credit Facilities and terminate the 2013 and 2014 Revolving Facilities and any revolving credit facilities established under the April 2016 or December 2016 Credit Facilities. The Credit Facilities also include covenants that, among other things, require AAG to maintain a minimum aggregate liquidity (as defined in the Credit Facilities) of not less than $2.0 billion, and limit the ability of AAG and its restricted subsidiaries to pay dividends and make certain other payments, make certain investments, incur additional indebtedness, incur liens on the collateral, dispose of the collateral, enter into certain affiliate transactions and engage in certain business activities, in each case subject to certain exceptions.

(b) 2013 Citicorp Credit Facility

On May 23, 2013, American entered into a term loan credit facility (as amended, the 2013 Citicorp Credit Facility) with Citicorp North America, Inc., as administrative agent, and certain lenders. The 2013 Citicorp Credit Facility consisted of Tranche B-1 and Tranche B-2 that were repaid and terminated in 2016 in connection with American’s entry into the April 2016 and December 2016 Credit Facilities discussed above.

(c) EETCs Issued in 2016

2016-1 EETCs

In January 2016, American created three pass-through trusts which issued approximately $1.1 billion aggregate principal amount of Series 2016-1 Class AA, Class A and Class B EETCs (the 2016-1 EETCs) in connection with the financing of 22 aircraft owned by American (the 2016-1 EETC Aircraft). All of the proceeds received from the sale of the 2016-1 EETCs have been used to purchase equipment notes issued by American. Interest and principal payments on the equipment notes are payable semi-annually in January and July of each year, which began in July 2016. These equipment notes are secured by liens on the 2016-1 EETC Aircraft.

The details of the 2016-1 EETC equipment notes issued by American in three series are reflected in the table below as of December 31, 2016:


	2016-1 EETCs
	Series AA	Series A	Series B
Aggregate principal issued	$584 million	$262 million	$228 million
Fixed interest rate per annum	3.575%	4.10%	5.25%
Maturity date	January 2028	January 2028	January 2024

2016-2 EETCs

In May and July 2016, American created three pass-through trusts which issued approximately $1.1 billion aggregate principal amount of Series 2016-2 Class AA, Class A and Class B EETCs (the 2016-2 EETCs) in connection with the financing of 22 aircraft owned by American (the 2016-2 EETC Aircraft). All of the proceeds received from the sale of the 2016-2 EETCs have been used to purchase equipment notes issued by American. Interest and principal payments on the equipment notes are payable semi-annually in June and December of each year, with interest payments that began in December 2016 and principal payments beginning in June 2017. These equipment notes are secured by liens on the 2016-2 EETC Aircraft.

The details of the 2016-2 EETC equipment notes issued by American in three series are reflected in the table below as of December 31, 2016:


	2016-2 EETCs
	Series AA	Series A	Series B
Aggregate principal issued	$567 million	$261 million	$227 million
Fixed interest rate per annum	3.20%	3.65%	4.375%
Maturity date	June 2028	June 2028	June 2024

2016-3 EETCs

In October 2016, American created two pass-through trusts which issued approximately $814 million aggregate principal amount of Series 2016-3 Class AA and Class A EETCs (the 2016-3 EETCs) in connection with the financing of 25 aircraft owned by American or originally scheduled to be delivered to American through January 2017 (the 2016-3 EETC Aircraft). A portion of the proceeds received from the sale of the 2016-3 EETCs has been used to acquire Series AA and A equipment notes issued by American to the pass-through trusts and the balance of such proceeds is being held in escrow for the benefit of the holders of the 2016-3 EETCs until such time as American issues additional Series AA and A equipment notes to the pass-through trusts, which will purchase the notes with escrowed funds. These escrowed funds are not guaranteed by American and are not reported as debt on our consolidated balance sheet because the proceeds held by the depository are not American’s assets.

As of December 31, 2016, approximately $705 million of the escrowed proceeds from the 2016-3 EETCs have been used to purchase equipment notes issued by American. Interest and principal payments on the equipment notes are payable semi-annually in April and October of each year, with interest payments beginning in April 2017 and principal payments beginning in October 2017. These equipment notes are secured by liens on the 2016-3 EETC Aircraft. The remaining escrowed proceeds of $109 million will be used to purchase equipment notes as new aircraft are financed following their delivery.

The details of the 2016-3 EETC equipment notes issued by American in two series are reflected in the table below as of December 31, 2016:


	2016-3 EETCs
	Series AA	Series A
Aggregate principal issued	$558 million	$256 million
Remaining escrowed proceeds	$75 million	$34 million
Fixed interest rate per annum	3.00%	3.25%
Maturity date	October 2028	October 2028

(d) Equipment Loans and Other Notes Payable Issued in 2016

In 2016, American entered into loan agreements to borrow $1.8 billion in connection with the financing of certain aircraft. Debt incurred under these loan agreements matures in 2021 through 2028 and bears interest at fixed and variable rates of LIBOR plus an applicable margin averaging 2.96% at December 31, 2016.

(e) Special Facility Revenue Bonds

2016 Financing Activity

In June 2016, the New York Transportation Development Corporation (NYTDC) issued approximately $844 million of special facility revenue refunding bonds (the 2016 JFK Bonds) on behalf of American. The net proceeds from the 2016 JFK Bonds generally were used to provide a portion of the funds to refinance $1.0 billion of special facility revenue bonds (Prior JFK Bonds), the net proceeds of which partially financed the construction of a terminal (the Terminal) used by American at John F. Kennedy International Airport (JFK).

American is required to pay debt service on the 2016 JFK Bonds through payments under a loan agreement with NYTDC, and American and AAG guarantee the 2016 JFK Bonds. American’s and AAG’s obligations under these guarantees are secured by a mortgage on American’s lease of the Terminal and related property from the Port Authority of New York and New Jersey.

The 2016 JFK Bonds, in aggregate, were priced at approximately 107% of par value. The gross proceeds from the issuance of the 2016 JFK Bonds were approximately $907 million. Of this amount, approximately $895 million was used to partially fund the redemption of the Prior JFK Bonds. The 2016 JFK Bonds bear interest at 5.0% per annum and are comprised of $212 million of serial bonds, portions of which mature annually from August 1, 2017 to August 1, 2021, and $632 million of term bonds, $278 million of which matures on August 1, 2026 and $354 million of which matures on August 1, 2031. In connection with the refinancing of the Prior JFK Bonds, American recorded a special nonoperating charge of $36 million consisting of non-cash write offs of unamortized bond discounts and issuance costs as well as payments of redemption premiums and fees.

(f) Senior Notes

The details of our 5.50%, 6.125% and 4.625% senior notes are shown in the table below as of December 31, 2016:


	5.50% Senior Notes	6.125% Senior Notes	4.625% Senior Notes
Aggregate principal issued and outstanding	$750 million	$500 million	$500 million
Maturity date	October 2019	June 2018	March 2020
Fixed interest rate per annum	5.50%	6.125%	4.625%
Interest payments	Semi-annually in arrears in April and October	Semi-annually in arrears in June and December	Semi-annually in arrears in March and September

The 5.50% senior notes and the 4.625% senior notes are senior unsecured obligations of AAG. The 6.125% senior notes are general unsecured senior obligations of AAG. The senior notes are fully and unconditionally guaranteed by American. The indentures for the senior notes contain covenants and events of default generally customary for similar financings. In addition, if we experience specific kinds of changes of control, we must offer to repurchase the senior notes at a price of 101% of the principal amount plus accrued and unpaid interest, if any, to (but not including) the repurchase date. Upon the occurrence of certain events of default, the senior notes may be accelerated and become due and payable.

Guarantees

As of December 31, 2016, AAG had issued guarantees covering approximately $844 million of American’s special facility revenue bonds (and interest thereon) and $9.3 billion of American’s secured debt (and interest thereon), including the Credit Facilities and certain EETC financings.

Collateral-Related Covenants

Certain of our debt financing agreements contain loan to value (LTV) ratio covenants and require us to annually appraise the related collateral. Pursuant to such agreements, if the LTV ratio exceeds a specified threshold, we are required, as applicable, to pledge additional qualifying collateral (which in some cases may include cash collateral), or pay down such financing, in whole or in part.

Specifically, we are required to meet certain collateral coverage tests on an annual basis for four credit facilities, as described below:


	2013 Credit Facilities	2014 Credit Facilities	April 2016 Credit Facilities	December 2016 Credit Facilities
Frequency of Appraisals of Appraised Collateral	Annual	Annual	Annual	Annual
LTV Requirement	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)
LTV as of Last Measurement Date	31.5%	23.2%	47.7%	61.8%
Collateral Description	Generally, certain slots, route authorities, and airport gate leasehold rights used by American to operate all services between the U.S. and South America	Generally, certain slots, route authorities and airport gate leasehold rights used by American to operate certain services between the U.S. and London Heathrow	Certain spare parts	Generally, certain Ronald Reagan Washington National Airport (DCA) slots, certain La Guardia Airport (LGA) slots, and certain simulators

At December 31, 2016, we were in compliance with the applicable collateral coverage tests as of the most recent measurement dates.

American Airlines, Inc. [Member]

Debt

3. Debt

Long-term debt and capital lease obligations included in the consolidated balance sheets consisted of (in millions):


	December 31,
	2016		2015
Secured
2013 Credit Facilities, variable interest rate of 3.26%, installments through 2020 ^(a)	$	1,843	$	1,867
2014 Credit Facilities, variable interest rate of 3.25%, installments through 2021 ^(a)		735		743
April 2016 Credit Facilities, variable interest rate of 3.26%, installments through 2023 ^(a)		1,000		—
December 2016 Credit Facilities, variable interest rate of 3.25%, installments through 2023 ^(a)		1,250		—
2013 Citicorp Credit Facility Tranche B-1 ^(b)		—		980
2013 Citicorp Credit Facility Tranche B-2 ^(b)		—		588
Aircraft enhanced equipment trust certificates (EETCs), fixed interest rates ranging from 3.00% to 9.75%, maturing from 2017 to 2028 ^(c)		10,912		8,693
Equipment loans and other notes payable, fixed and variable interest rates ranging from 1.81% to 8.48%, maturing from 2017 to 2028 ^(d)		5,343		4,183
Special facility revenue bonds, fixed interest rates ranging from 5.00% to 5.50%, maturing from 2017 to 2035 ^(e)		862		1,051
Other secured obligations, fixed interest rates ranging from 3.60% to 12.24%, maturing from 2017 to 2028		848		922

		22,793		19,027

Unsecured
Affiliate unsecured obligations		—		27

		—		27

Total long-term debt and capital lease obligations		22,793		19,054
Less: Total unamortized debt discount, debt premium and debt issuance costs		216		228
Less: Current maturities		1,859		2,234

Long-term debt and capital lease obligations, net of current maturities	$	20,718	$	16,592

The table below shows availability under revolving credit facilities, all of which were undrawn, as of December 31, 2016 (in millions):


2013 Revolving Facility	$	1,400
2014 Revolving Facility		1,025

Total	$	2,425

The April 2016 and December 2016 Credit Facilities each provide for a revolving credit facility that may be established in the future.

Secured financings are collateralized by assets, primarily aircraft, engines, simulators, aircraft spare parts, airport leasehold rights, route authorities and airport slots. At December 31, 2016, American was operating 34 aircraft under capital leases. Leases can generally be renewed at rates based on fair market value at the end of the lease term for a number of additional years.

At December 31, 2016, the maturities of long-term debt and capital lease obligations are as follows (in millions):


2017	$	1,899
2018		1,954
2019		2,008
2020		3,416
2021		2,679
2022 and thereafter		10,837

Total	$	22,793

(a) 2013, 2014, April 2016 and December 2016 Credit Facilities

Certain details of American’s 2013, 2014, April 2016 and December 2016 Credit Facilities (collectively referred to as the Credit Facilities) are shown in the table below as of December 31, 2016:

2013 Credit Facilities

2014 Credit Facilities

April and December

2016 Credit Facilities

2013 Term

Loan

2013 Revolving
Facility

2014 Term

Loan

2014 Revolving
Facility

April 2016

Term Loan

December 2016

Term Loan

Aggregate principal issued or credit facility availability

$1.9 billion

$1.4 billion

$750 million

$1.025 billion

$1.0 billion

$1.25 billion

Principal outstanding or drawn

$1.84 billion

$—

$735 million

$—

$1.0 billion

$1.25 billion

Maturity date

June 2020

October 2020

October 2021

October 2020

April 2023

December 2023

London Interbank Offered Rate (LIBOR) margin

2.50% ⁽¹⁾, ⁽²⁾

3.00%

2.50% ⁽¹⁾

3.00%

2.50% ⁽¹⁾

⁽¹⁾	LIBOR margin is subject to a floor of 0.75%.

⁽²⁾	As AAG’s corporate credit rating was Ba3 or higher from Moody’s and BB- or higher from Standard and Poor’s (S&P) as of December 31, 2016, the applicable LIBOR margin is 2.50% for the 2013 Term Loan; otherwise, the LIBOR margin would be 2.75%.

(b) 2013 Citicorp Credit Facility

(c) EETCs Issued in 2016

2016-1 EETCs

The details of the 2016-1 EETC equipment notes issued by American in three series are reflected in the table below as of December 31, 2016:


	2016-1 EETCs
	Series AA	Series A	Series B
Aggregate principal issued	$584 million	$262 million	$228 million
Fixed interest rate per annum	3.575%	4.10%	5.25%
Maturity date	January 2028	January 2028	January 2024

2016-2 EETCs

The details of the 2016-2 EETC equipment notes issued by American in three series are reflected in the table below as of December 31, 2016:


	2016-2 EETCs
	Series AA	Series A	Series B
Aggregate principal issued	$567 million	$261 million	$227 million
Fixed interest rate per annum	3.20%	3.65%	4.375%
Maturity date	June 2028	June 2028	June 2024

2016-3 EETCs

In October 2016, American created two pass-through trusts which issued approximately $814 million aggregate principal amount of Series 2016-3 Class AA and Class A EETCs (the 2016-3 EETCs) in connection with the financing of 25 aircraft owned by American or originally scheduled to be delivered to American through January 2017 (the 2016-3 EETC Aircraft). A portion of the proceeds received from the sale of the 2016-3 EETCs has been used to acquire Series AA and A equipment notes issued by American to the pass-through trusts and the balance of such proceeds is being held in escrow for the benefit of the holders of the 2016-3 EETCs until such time as American issues additional Series AA and A equipment notes to the pass-through trusts, which will purchase the notes with escrowed funds. These escrowed funds are not guaranteed by American and are not reported as debt on its consolidated balance sheet because the proceeds held by the depository are not American’s assets.

The details of the 2016-3 EETC equipment notes issued by American in two series are reflected in the table below as of December 31, 2016:


	2016-3 EETCs
	Series AA	Series A
Aggregate principal issued	$558 million	$256 million
Remaining escrowed proceeds	$75 million	$34 million
Fixed interest rate per annum	3.00%	3.25%
Maturity date	October 2028	October 2028

(d) Equipment Loans and Other Notes Payable Issued in 2016

(e) Special Facility Revenue Bonds

2016 Financing Activity

Guarantees

As of December 31, 2016, American had issued guarantees covering AAG’s $750 million aggregate principal amount of 5.50% senior notes due 2019, $500 million aggregate principal amount of 6.125% senior notes due 2018 and $500 million aggregate principal amount of 4.625% senior notes due 2020.

Collateral-Related Covenants

Certain of American’s debt financing agreements contain loan to value (LTV) ratio covenants and require American to annually appraise the related collateral. Pursuant to such agreements, if the LTV ratio exceeds a specified threshold, American is required, as applicable, to pledge additional qualifying collateral (which in some cases may include cash collateral), or pay down such financing, in whole or in part.

Specifically, American is required to meet certain collateral coverage tests on an annual basis for four credit facilities, as described below:


	2013 Credit Facilities	2014 Credit Facilities	April 2016 Credit Facilities	December 2016 Credit Facilities
Frequency of Appraisals of Appraised Collateral	Annual	Annual	Annual	Annual
LTV Requirement	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)
LTV as of Last Measurement Date	31.5%	23.2%	47.7%	61.8%
Collateral Description	Generally, certain slots, route authorities, and airport gate leasehold rights used by American to operate all services between the U.S. and South America	Generally, certain slots, route authorities and airport gate leasehold rights used by American to operate certain services between the U.S. and London Heathrow	Certain spare parts	Generally, certain Ronald Reagan Washington National Airport (DCA) slots, certain La Guardia Airport (LGA) slots, and certain simulators

At December 31, 2016, American was in compliance with the applicable collateral coverage tests as of the most recent measurement dates.

Income Taxes

12 Months Ended

Dec. 31, 2016

Income Taxes

6. Income Taxes

The significant components of the income tax provision (benefit) were (in millions):


	Year Ended December 31,
	2016		2015			2014
Current income tax provision (benefit):
Federal	$	—	$	—		$	(25	)
State and Local		12		20			9

Current income tax provision (benefit)		12		20			(16	)

Deferred income tax provision (benefit):
Federal		1,508		(2,884	)		345
State and Local		103		(130	)		1

Deferred income tax provision (benefit)		1,611		(3,014	)		346

Total income tax provision (benefit)	$	1,623	$	(2,994	)	$	330

The income tax provision (benefit) differed from amounts computed at the statutory federal income tax rate as follows (in millions):


	Year Ended December 31,
	2016		2015			2014
Statutory income tax provision	$	1,505	$	1,616		$	1,123
State income tax provision, net of federal tax effect		63		72			75
Book expenses (benefits) not deductible for tax purposes		34		57			(1	)
Bankruptcy administration expenses		1		3			95
Alternative minimum tax (AMT) credit refund		—		—			(24	)
Change in valuation allowance		7		(4,742	)		(1,323	)
Income tax provision resulting from OCI allocation		—		—			330
Other, net		13		—			55

Income tax provision (benefit)	$	1,623	$	(2,994	)	$	330

We provide a valuation allowance for our deferred tax assets, which include our NOLs, when it is more likely than not that some portion, or all of our deferred tax assets, will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income. We consider all available positive and negative evidence and make certain assumptions in evaluating the realizability of our deferred tax assets. Many factors are considered that impact our projections of future profitability, including risks associated with remaining Merger integration activities as well as other conditions which are beyond our control, such as the health of the economy, the level and volatility of fuel prices and travel demand.

In connection with the preparation of our financial statements at the end of 2015, we determined that after considering all positive and negative evidence, including the completion of certain critical Merger integration milestones as well as our financial performance, it was more likely than not that substantially all of our deferred income tax assets, which include our NOLs, would be realized. Accordingly, we reversed $3.0 billion of the valuation allowance, which resulted in a special non-cash tax benefit recorded in the consolidated statement of operations.

For the year ended December 31, 2014, we recorded a $330 million tax provision. During 2014, we sold our portfolio of fuel hedging contracts that were scheduled to settle on or after June 30, 2014. In connection with this sale, we recorded a special non-cash tax provision of $330 million in the second quarter of 2014 that reversed the non-cash tax provision which was recorded in OCI, a subset of stockholders’ equity, principally in 2009. This provision represents the tax effect associated with gains recorded in OCI principally in 2009 due to a net increase in the fair value of our fuel hedging contracts. In accordance with GAAP, we retained the $330 million tax provision in OCI until the last contract was settled or terminated.

In addition to the changes in the valuation allowance from operations described in the table above, the valuation allowance was also impacted by the changes in the components of accumulated other comprehensive income (loss), described in Note 10. The total increase in the valuation allowance was $7 million in 2016. The total decrease in the valuation allowance was $4.8 billion and $197 million in 2015 and 2014, respectively.

The components of our deferred tax assets and liabilities were (in millions):


	December 31,
	2016			2015
Deferred tax assets:
Operating loss carryforwards	$	3,853		$	2,558
Pensions		2,610			2,436
Loyalty program liability		485			590
Alternative minimum tax credit carryforwards		344			346
Postretirement benefits other than pensions		291			340
Rent expense		256			134
Gains from lease transactions		213			262
Reorganization items		53			57
Other		972			1,200

Total deferred tax assets		9,077			7,923
Valuation allowance		(29	)		(22	)

Net deferred tax assets		9,048			7,901

Deferred tax liabilities:
Accelerated depreciation and amortization		(7,216	)		(5,158	)
Other		(345	)		(266	)

Total deferred tax liabilities		(7,561	)		(5,424	)

Net deferred tax asset	$	1,487		$	2,477

At December 31, 2016, we had approximately $10.5 billion of gross NOL Carryforwards to reduce future federal taxable income, substantially all of which are expected to be available for use in 2017. The federal NOL Carryforwards will expire beginning in 2022 if unused. We also had approximately $3.7 billion of NOL Carryforwards to reduce future state taxable income at December 31, 2016, which will expire in years 2017 through 2036 if unused. Our ability to deduct our NOL Carryforwards and to utilize certain other available tax attributes can be substantially constrained under the general annual limitation rules of Section 382 where an “ownership change” has occurred. Substantially all of our remaining federal NOL Carryforwards (attributable to US Airways Group) are subject to limitation under Section 382; however, our ability to utilize such NOL Carryforwards is not anticipated to be effectively constrained as a result of such limitation. We elected to be covered by certain special rules for federal income tax purposes that permitted approximately $9.0 billion (with $8.9 billion of unlimited NOL still remaining at December 31, 2016) of our federal NOL Carryforwards to be utilized without regard to the annual limitation generally imposed by Section 382. Similar limitations may apply for state income tax purposes. Our ability to utilize any new NOL Carryforwards arising after the ownership changes is not affected by the annual limitation rules imposed by Section 382 unless another future ownership change occurs. Under the Section 382 limitation, cumulative stock ownership changes among material stockholders exceeding 50% during a rolling three-year period can potentially limit a company’s future use of NOLs and tax credits. See Part I, Item 1A. Risk Factors – “Our ability to utilize our NOL Carryforwards may be limited” for unaudited additional discussion of this risk.

At December 31, 2016, we had an AMT credit carryforward of approximately $339 million available for federal income tax purposes, which is available for an indefinite period.

In 2016, we recorded an income tax provision with an effective rate of approximately 38%, which was substantially non-cash as we utilized our NOLs described above. Substantially all of our income before income taxes is attributable to the United States.

We file our tax returns as prescribed by the tax laws of the jurisdictions in which we operate. Our 2013 through 2015 tax years are still subject to examination by the Internal Revenue Service. Various state and foreign jurisdiction tax years remain open to examination and we are under examination, in administrative appeals, or engaged in tax litigation in certain jurisdictions. We believe that the effect of any assessments will not be material to our consolidated financial statements.

The amount of, and changes to, our uncertain tax positions were not material in any of the years presented. We accrue interest and penalties related to unrecognized tax benefits in interest expense and operating expense, respectively.

American Airlines, Inc. [Member]

Income Taxes

4. Income Taxes

The significant components of the income tax provision (benefit) were (in millions):


	Year Ended December 31,
	2016		2015			2014
Current income tax provision (benefit):
Federal	$	—	$	—		$	(30	)
State and Local		10		15			6

Current income tax provision (benefit)		10		15			(24	)

Deferred income tax provision (benefit):
Federal		1,559		(3,407	)		342
State and Local		93		(60	)		2

Deferred income tax provision (benefit)		1,652		(3,467	)		344

Total income tax provision (benefit)	$	1,662	$	(3,452	)	$	320

The income tax provision (benefit) differed from amounts computed at the statutory federal income tax rate as follows (in millions):


	Year Ended December 31,
	2016			2015			2014
Statutory income tax provision	$	1,555		$	1,635		$	1,144
State income tax provision, net of federal tax effect		67			71			81
Book expenses not deductible for tax purposes		32			55			4
Bankruptcy administration expenses		1			3			86
Alternative minimum tax (AMT) credit refund		—			—			(29	)
Change in valuation allowance		(1	)		(5,216	)		(1,285	)
Income tax provision resulting from OCI allocation		—			—			328
Other, net		8			—			(9	)

Income tax provision (benefit)	$	1,662		$	(3,452	)	$	320

American provides a valuation allowance for its deferred tax assets, which include the NOLs, when it is more likely than not that some portion, or all of its deferred tax assets, will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income. American considers all available positive and negative evidence and makes certain assumptions in evaluating the realizability of its deferred tax assets. Many factors are considered that impact American’s projections of future profitability, including risks associated with remaining Merger integration activities as well as other conditions which are beyond its control, such as the health of the economy, the level and volatility of fuel prices and travel demand.

In connection with the preparation of American’s financial statements at the end of 2015, American determined that after considering all positive and negative evidence, including the completion of certain critical Merger integration milestones as well as its financial performance, it was more likely than not that substantially all of its deferred income tax assets, which include its NOLs, would be realized. Accordingly, American reversed $3.5 billion of the valuation allowance, which resulted in a special non-cash tax benefit recorded in the consolidated statement of operations.

For the year ended December 31, 2014, American recorded a $320 million tax provision. During 2014, American sold its portfolio of fuel hedging contracts that were scheduled to settle on or after June 30, 2014. In connection with this sale, American recorded a special non-cash tax provision of $328 million in the second quarter of 2014 that reversed the non-cash tax provision which was recorded in OCI, a subset of stockholder’s equity, principally in 2009. This provision represents the tax effect associated with gains recorded in OCI principally in 2009 due to a net increase in the fair value of American’s fuel hedging contracts. In accordance with GAAP, American retained the $328 million tax provision in OCI until the last contract was settled or terminated.

In addition to the changes in the valuation allowance from operations described in the table above, the valuation allowance was also impacted by the changes in the components of accumulated other comprehensive income (loss), described in Note 8. The total decrease in the valuation allowance was $1 million, $5.2 billion and $525 million in 2016, 2015 and 2014, respectively.

The components of American’s deferred tax assets and liabilities were (in millions):


	December 31,
	2016			2015
Deferred tax assets:
Operating loss carryforwards	$	4,087		$	2,818
Pensions		2,595			2,420
Loyalty program liability		485			590
Alternative minimum tax credit carryforwards		456			458
Postretirement benefits other than pensions		291			340
Rent expense		256			134
Gains from lease transactions		213			261
Reorganization items		53			57
Other		911			1,123

Total deferred tax assets		9,347			8,201
Valuation allowance		(13	)		(14	)

Net deferred tax assets		9,334			8,187

Deferred tax liabilities:
Accelerated depreciation and amortization		(7,101	)		(5,011	)
Other		(335	)		(244	)

Total deferred tax liabilities		(7,436	)		(5,255	)

Net deferred tax asset	$	1,898		$	2,932

At December 31, 2016, American had approximately $11.3 billion of gross NOL Carryforwards to reduce future federal taxable income, substantially all of which are expected to be available for use in 2017. American is a member of AAG’s consolidated federal and certain state income tax returns. The amount of federal NOL Carryforwards available in those returns is $10.5 billion, substantially all of which is expected to be available for use in 2017. The federal NOL Carryforwards will expire beginning in 2022 if unused. American also had approximately $3.4 billion of NOL Carryforwards to reduce future state taxable income at December 31, 2016, which will expire in years 2017 through 2034 if unused. American’s ability to deduct its NOL Carryforwards and to utilize certain other available tax attributes can be substantially constrained under the general annual limitation rules of Section 382 where an “ownership change” has occurred. Substantially all of American’s remaining federal NOL Carryforwards (attributable to US Airways Group) are subject to limitation under Section 382; however, American’s ability to utilize such NOL Carryforwards is not anticipated to be effectively constrained as a result of such limitation. American elected to be covered by certain special rules for federal income tax purposes that permitted approximately $9.5 billion (with $9.3 billion of unlimited NOL still remaining at December 31, 2016) of its federal NOL Carryforwards to be utilized without regard to the annual limitation generally imposed by Section 382. Similar limitations may apply for state income tax purposes. American’s ability to utilize any new NOL Carryforwards arising after the ownership changes is not affected by the annual limitation rules imposed by Section 382 unless another future ownership change occurs. Under the Section 382 limitation, cumulative stock ownership changes among material stockholders exceeding 50% during a rolling three-year period can potentially limit a company’s future use of NOLs and tax credits. See Part I, Item 1A. Risk Factors – “Our ability to utilize our NOL Carryforwards may be limited” for unaudited additional discussion of this risk.

At December 31, 2016, American had an AMT credit carryforward of approximately $452 million available for federal income tax purposes, which is available for an indefinite period.

In 2016, American recorded an income tax provision with an effective rate of approximately 37%, which was substantially non-cash as American utilized the NOLs described above. Substantially all of American’s income before income taxes is attributable to the United States.

American files its tax returns as prescribed by the tax laws of the jurisdictions in which it operates. American’s 2013 through 2015 tax years are still subject to examination by the Internal Revenue Service. Various state and foreign jurisdiction tax years remain open to examination and American is under examination, in administrative appeals, or engaged in tax litigation in certain jurisdictions. American believes that the effect of any assessments will not be material to its consolidated financial statements.

The amount of, and changes to, American’s uncertain tax positions were not material in any of the years presented. American accrues interest and penalties related to unrecognized tax benefits in interest expense and operating expense, respectively.

Risk Management	12 Months Ended
Risk Management	Dec. 31, 2016
Risk Management	7. Risk Management Our economic prospects are heavily dependent upon two variables we cannot control: the health of the economy and the price of fuel. Due to the discretionary nature of business and leisure travel spending, airline industry revenues are heavily influenced by the condition of the U.S. economy and economies in other regions of the world. Unfavorable conditions in these broader economies have resulted, and may result in the future, in decreased passenger demand for air travel and changes in booking practices, both of which in turn have had, and may have in the future, a strong negative effect on our revenues. In addition, during challenging economic times, actions by our competitors to increase their revenues can have an adverse impact on our revenues. Our operating results are materially impacted by changes in the availability, price volatility and cost of aircraft fuel, which represents one of the largest single cost items in our business. Jet fuel market prices have fluctuated substantially over the past several years and prices continue to be highly volatile. Because of the amount of fuel needed to operate our business, even a relatively small increase or decrease in the price of fuel can have a material effect on our operating results and liquidity. These additional factors could impact our results of operations, financial performance and liquidity: *(a) Credit Risk* Most of our receivables relate to tickets sold to individual passengers through the use of major credit cards or to tickets sold by other airlines and used by passengers on American. These receivables are short-term, mostly settled within seven days after sale. Bad debt losses, which have been minimal in the past, have been considered in establishing allowances for doubtful accounts. We do not believe we are subject to any significant concentration of credit risk. *(b) Interest Rate Risk* We have exposure to market risk associated with changes in interest rates related primarily to our variable rate debt obligations. Interest rates on $9.6 billion principal amount of long-term debt as of December 31, 2016 are subject to adjustment to reflect changes in floating interest rates. The weighted average effective interest rate on our variable rate debt was 3.1% at December 31, 2016. We do not currently have an interest rate hedge program. *(c) Foreign Currency Risk* We are exposed to the effect of foreign exchange rate fluctuations on the U.S. dollar value of foreign currency-denominated operating revenues and expenses. Our largest exposure comes from the British pound, Euro, Canadian dollar and various Latin American currencies, primarily the Brazilian real. We do not currently have a foreign currency hedge program. See Part I, Item 1A. Risk Factors – “We operate a global business with international operations that are subject to economic and political instability and have been, and in the future may continue to be, adversely affected by numerous events, circumstances or government actions beyond our control” for unaudited additional discussion of this risk.
American Airlines, Inc. [Member]
Risk Management	5. Risk Management American’s economic prospects are heavily dependent upon two variables it cannot control: the health of the economy and the price of fuel. Due to the discretionary nature of business and leisure travel spending, airline industry revenues are heavily influenced by the condition of the U.S. economy and economies in other regions of the world. Unfavorable conditions in these broader economies have resulted, and may result in the future, in decreased passenger demand for air travel and changes in booking practices, both of which in turn have had, and may have in the future, a strong negative effect on American’s revenues. In addition, during challenging economic times, actions by its competitors to increase their revenues can have an adverse impact on American’s revenues. American’s operating results are materially impacted by changes in the availability, price volatility and cost of aircraft fuel, which represents one of the largest single cost items in American’s business. Jet fuel market prices have fluctuated substantially over the past several years and prices continue to be highly volatile. Because of the amount of fuel needed to operate American’s business, even a relatively small increase or decrease in the price of fuel can have a material effect on American’s operating results and liquidity. These additional factors could impact American’s results of operations, financial performance and liquidity: *(a) Credit Risk* Most of American’s receivables relate to tickets sold to individual passengers through the use of major credit cards or to tickets sold by other airlines and used by passengers on American. These receivables are short-term, mostly settled within seven days after sale. Bad debt losses, which have been minimal in the past, have been considered in establishing allowances for doubtful accounts. American does not believe it is subject to any significant concentration of credit risk. *(b) Interest Rate Risk* American has exposure to market risk associated with changes in interest rates related primarily to its variable rate debt obligations. Interest rates on $9.6 billion principal amount of long-term debt as of December 31, 2016 are subject to adjustment to reflect changes in floating interest rates. The weighted average effective interest rate on American’s variable rate debt was 3.1% at December 31, 2016. American does not currently have an interest rate hedge program. *(c) Foreign Currency Risk* American is exposed to the effect of foreign exchange rate fluctuations on the U.S. dollar value of foreign currency-denominated operating revenues and expenses. American’s largest exposure comes from the British pound, Euro, Canadian dollar and various Latin American currencies, primarily the Brazilian real. American does not currently have a foreign currency hedge program. See Part I, Item 1A. Risk Factors – “We operate a global business with international operations that are subject to economic and political instability and have been, and in the future may continue to be, adversely affected by numerous events, circumstances or government actions beyond our control” for unaudited additional discussion of this risk.

Fair Value Measurements

12 Months Ended

Dec. 31, 2016

Fair Value Measurements

8. Fair Value Measurements

Assets Measured at Fair Value on a Recurring Basis

Fair value is defined as the price that would be received from the sale of an asset or paid to transfer a liability (i.e. an exit price) on the measurement date in an orderly transaction between market participants in the principal or most advantageous market for the asset or liability. Accounting standards include disclosure requirements around fair values used for certain financial instruments and establish a fair value hierarchy. The hierarchy prioritizes valuation inputs into three levels based on the extent to which inputs used in measuring fair value are observable in the market. Each fair value measurement is reported in one of three levels:

•

Level 1 – Observable inputs such as quoted prices in active markets;

•

Level 2 – Inputs, other than quoted prices in active markets, that are observable either directly or indirectly; and

•

Level 3 – Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions.

When available, we use quoted market prices to determine the fair value of our financial assets. If quoted market prices are not available, we measure fair value using valuation techniques that use, when possible, current market-based or independently-sourced market parameters, such as interest rates and currency rates.

We utilize the market approach to measure fair value for our financial assets. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets. Our short-term investments classified as Level 2 primarily utilize broker quotes in a non-active market for valuation of these securities. No changes in valuation techniques or inputs occurred during the year ended December 31, 2016.

Assets measured at fair value on a recurring basis are summarized below (in millions):


	Fair Value Measurements as of December 31, 2016
	Total		Level 1		Level 2		Level 3
Short-term investments ⁽¹⁾, ⁽²⁾:
Money market funds	$	589	$	589	$	—	$	—
Corporate obligations		2,550		—		2,550		—
Bank notes/certificates of deposit/time deposits		2,898		—		2,898		—

		6,037		589		5,448		—
Restricted cash and short-term investments ⁽¹⁾		638		638		—		—

Total	$	6,675	$	1,227	$	5,448	$	—

⁽¹⁾	Unrealized gains or losses on short-term investments and restricted cash and short-term investments are recorded in accumulated other comprehensive income (loss) at each measurement date.

⁽²⁾	All short-term investments are classified as available-for-sale and stated at fair value. Our short-term investments mature in one year or less except for $385 million of bank notes/certificates of deposit/time deposits and $230 million of corporate obligations.


	Fair Value Measurements as of December 31, 2015
	Total		Level 1		Level 2		Level 3
Short-term investments ⁽¹⁾, ⁽²⁾:
Money market funds	$	1,010	$	1,010	$	—	$	—
Government agency investments		1		—		1		—
Corporate obligations		2,191		—		2,191		—
Bank notes/certificates of deposit/time deposits		2,662		—		2,662		—

		5,864		1,010		4,854		—
Restricted cash and short-term investments ⁽¹⁾		695		695		—		—

Total	$	6,559	$	1,705	$	4,854	$	—

⁽¹⁾	Unrealized gains or losses on short-term investments and restricted cash and short-term investments are recorded in accumulated other comprehensive income (loss) at each measurement date.

⁽²⁾	All short-term investments are classified as available-for-sale and stated at fair value. Our short-term investments mature in one year or less except for $1.2 billion of bank notes/certificates of deposit/time deposits and $734 million of corporate obligations.

There were no Level 1 to Level 2 transfers during the years ended December 31, 2016 or 2015.

Fair Value of Debt

The fair value of our long-term debt was estimated using quoted market prices or discounted cash flow analyses, based on our current estimated incremental borrowing rates for similar types of borrowing arrangements. If our long-term debt was measured at fair value, it would have been classified as Level 2 in the fair value hierarchy.

The carrying value and estimated fair value of our long-term debt, including current maturities, were as follows (in millions):


	December 31, 2016				December 31, 2015
	Carrying Value		Fair Value		Carrying Value		Fair Value
Long-term debt, including current maturities	$	24,344	$	24,983	$	20,561	$	21,111

American Airlines, Inc. [Member]

Fair Value Measurements

6. Fair Value Measurements

Assets Measured at Fair Value on a Recurring Basis

•

Level 1 – Observable inputs such as quoted prices in active markets;

•

Level 2 – Inputs, other than quoted prices in active markets, that are observable either directly or indirectly; and

•

Level 3 – Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions.

When available, American uses quoted market prices to determine the fair value of its financial assets. If quoted market prices are not available, American measures fair value using valuation techniques that use, when possible, current market-based or independently-sourced market parameters, such as interest rates and currency rates.

American utilizes the market approach to measure fair value for its financial assets. The market approach uses prices and other relevant information generated by market transactions involving identical or comparable assets. American’s short-term investments classified as Level 2 primarily utilize broker quotes in a non-active market for valuation of these securities. No changes in valuation techniques or inputs occurred during the year ended December 31, 2016.

Assets measured at fair value on a recurring basis are summarized below (in millions):


	Fair Value Measurements as of December 31, 2016
	Total		Level 1		Level 2		Level 3
Short-term investments ⁽¹⁾, ⁽²⁾:
Money market funds	$	587	$	587	$	—	$	—
Corporate obligations		2,550		—		2,550		—
Bank notes/certificates of deposit/time deposits		2,897		—		2,897		—

		6,034		587		5,447		—
Restricted cash and short-term investments ⁽¹⁾		638		638		—		—

Total	$	6,672	$	1,225	$	5,447	$	—

⁽¹⁾	Unrealized gains or losses on short-term investments and restricted cash and short-term investments are recorded in accumulated other comprehensive income (loss) at each measurement date.

⁽²⁾	All short-term investments are classified as available-for-sale and stated at fair value. American’s short-term investments mature in one year or less except for $385 million of bank notes/certificates of deposit/time deposits and $230 million of corporate obligations.


	Fair Value Measurements as of December 31, 2015
	Total		Level 1		Level 2		Level 3
Short-term investments ⁽¹⁾, ⁽²⁾:
Money market funds	$	1,008	$	1,008	$	—	$	—
Government agency investments		1		—		1		—
Corporate obligations		2,191		—		2,191		—
Bank notes/certificates of deposit/time deposits		2,662		—		2,662		—

		5,862		1,008		4,854		—
Restricted cash and short-term investments ⁽¹⁾		695		695		—		—

Total	$	6,557	$	1,703	$	4,854	$	—

⁽¹⁾	Unrealized gains or losses on short-term investments and restricted cash and short-term investments are recorded in accumulated other comprehensive income (loss) at each measurement date.

⁽²⁾	All short-term investments are classified as available-for-sale and stated at fair value. American’s short-term investments mature in one year or less except for $1.2 billion of bank notes/certificates of deposit/time deposits and $734 million of corporate obligations.

There were no Level 1 to Level 2 transfers during the years ended December 31, 2016 or 2015.

Fair Value of Debt

The fair value of American’s long-term debt was estimated using quoted market prices or discounted cash flow analyses, based on American’s current estimated incremental borrowing rates for similar types of borrowing arrangements. If American’s long-term debt was measured at fair value, it would have been classified as Level 2 in the fair value hierarchy.

The carrying value and estimated fair value of American’s long-term debt, including current maturities, were as follows (in millions):


	December 31, 2016				December 31, 2015
	Carrying Value		Fair Value		Carrying Value		Fair Value
Long-term debt, including current maturities	$	22,577	$	23,181	$	18,826	$	19,378

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

Employee Benefit Plans

12 Months Ended

Dec. 31, 2016

Employee Benefit Plans

9. Employee Benefit Plans

We sponsor defined benefit and defined contribution pension plans for eligible employees. The defined benefit pension plans provide benefits for participating employees based on years of service and average compensation for a specified period of time before retirement. Effective November 1, 2012, substantially all of our defined benefit pension plans were frozen and we began providing enhanced benefits under our defined contribution pension plans for certain groups. We use a December 31 measurement date for all of our defined benefit pension plans. We also provide certain retiree medical and other postretirement benefits, including health care and life insurance benefits, to retired employees. Effective November 1, 2012, we modified our retiree medical and other postretirement benefits plans to eliminate the company subsidy for employees who retire on or after November 1, 2012. As a result of modifications to our retiree medical and other postretirement benefits plans in 2012, we recognized a negative plan amendment of $1.9 billion, which is included as a component of actuarial gain in OCI and will be amortized over the future service life of the active plan participants for whom the benefit was eliminated, or approximately eight years. As of December 31, 2016, $871 million of actuarial gain remains to be amortized.

Benefit Obligations, Fair Value of Plan Assets and Funded Status

The following tables provide a reconciliation of the changes in the pension and retiree medical and other postretirement benefits obligations, fair value of plan assets and a statement of funded status as of December 31, 2016 and 2015:


	Pension Benefits						Retiree Medical and Other Postretirement Benefits
	2016			2015			2016			2015
	(In millions)
Benefit obligation at beginning of period	$	16,395		$	17,594		$	1,131		$	1,325
Service cost		2			2			3			3
Interest cost		749			737			47			50
Actuarial (gain) loss ^{(1) (2)}		729			(1,159	)		(105	)		(177	)
Plan amendments		—			—			7			—
Settlements		(2	)		(3	)		—			—
Benefit payments		(635	)		(776	)		(92	)		(94	)
Other		—			—			—			24

Benefit obligation at end of period	$	17,238		$	16,395		$	991		$	1,131

Fair value of plan assets at beginning of period	$	9,707		$	10,986		$	253		$	244
Actual return on plan assets		915			(506	)		22			(10	)
Employer contributions		32			6			83			89
Settlements		(2	)		(3	)		—			—
Benefit payments		(635	)		(776	)		(92	)		(94	)
Other ⁽³⁾		—			—			—			24

Fair value of plan assets at end of period	$	10,017		$	9,707		$	266		$	253

Funded status at end of period	$	(7,221	)	$	(6,688	)	$	(725	)	$	(878	)

⁽¹⁾	The December 31, 2016 and 2015 pension actuarial (gain) loss primarily relates to weighted average discount rate assumption changes and changes to our mortality assumptions.

⁽²⁾	The December 31, 2016 and 2015 retiree medical and other postretirement benefits actuarial gain primarily relates to medical trend and cost assumption changes, favorable plan experience adjustments and weighted average discount rate assumption changes.

⁽³⁾	At December 31, 2015, certain trust assets totaling approximately $24 million, were added to the retiree medical and other postretirement benefits plans asset values that were previously offset against the benefit obligation.

Balance Sheet Position


	Pension Benefits				Retiree Medical and Other Postretirement Benefits
	2016		2015		2016			2015
	(In millions)
As of December 31,
Current liability	$	7	$	7	$	97		$	109
Noncurrent liability ⁽¹⁾		7,214		6,681		628			769

Total liabilities	$	7,221	$	6,688	$	725		$	878


Net actuarial loss (gain)	$	5,484	$	5,047	$	(430	)	$	(339	)
Prior service cost (benefit) ⁽¹⁾		188		216		(837	)		(1,084	)

Total accumulated other comprehensive loss (income), pre-tax	$	5,672	$	5,263	$	(1,267	)	$	(1,423	)

⁽¹⁾	The 2016 noncurrent liability does not include $20 million of other postretirement benefits or $1 million of prior service cost. The 2015 noncurrent liability does not include $17 million of other postretirement benefits or $1 million of prior service cost.

Plans with Accumulated Benefit Obligations Exceeding Fair Value of Plan Assets


	Pension Benefits				Retiree Medical and Other Postretirement Benefits
	2016		2015		2016		2015
	(In millions)
Projected benefit obligation (PBO)	$	17,209	$	16,369	$	—	$	—
Accumulated benefit obligation (ABO)		17,197		16,357		—		—
Accumulated postretirement benefit obligation (APBO)		—		—		990		1,129
Fair value of plan assets		9,986		9,677		266		253
ABO less fair value of plan assets		7,211		6,680		—		—

Net Periodic Benefit Cost (Income)


	Pension Benefits									Retiree Medical and Other Postretirement Benefits
	2016			2015			2014			2016			2015			2014
	(In millions)
Defined benefit plans:
Service cost	$	2		$	2		$	3		$	3		$	3		$	1
Interest cost		749			737			746			47			50			61
Expected return on assets		(750	)		(851	)		(786	)		(20	)		(19	)		(19	)
Settlements		—			1			4			—			—			—
Amortization of:
Prior service cost (benefit) ⁽¹⁾		28			28			28			(240	)		(243	)		(244	)
Unrecognized net loss (gain)		126			112			43			(17	)		(9	)		(8	)

Net periodic benefit cost (income)		155			29			38			(227	)		(218	)		(209	)
Defined contribution plan cost		766			662			546			N/A			N/A			N/A

Total cost (income)	$	921		$	691		$	584		$	(227	)	$	(218	)	$	(209	)

⁽¹⁾	The 2016, 2015 and 2014 prior service cost does not include amortization of $1 million, $3 million and $14 million, respectively, related to other postretirement benefits.

The estimated amount of unrecognized net loss for the defined benefit pension plans that will be amortized from accumulated other comprehensive income (loss) into net periodic benefit cost over the next fiscal year is $144 million.

The estimated amount of unrecognized net gain for the retiree medical and other postretirement benefits plans that will be amortized from accumulated other comprehensive income (loss) into net periodic benefit cost over the next fiscal year is $23 million.

Assumptions

The following actuarial assumptions were used to determine our benefit obligations and net periodic benefit cost for the periods presented:


	Pension Benefits						Retiree Medical and Other Postretirement Benefits
	2016			2015			2016			2015
Benefit obligations:
Weighted average discount rate		4.30	%		4.70	%		4.10	%		4.42	%


	Pension Benefits									Retiree Medical and Other Postretirement Benefits
	2016			2015			2014			2016			2015			2014
Net periodic benefit cost:
Weighted average discount rate		4.70	%		4.30	%		5.10	%		4.42	%		4.00	%		4.74	%
Weighted average expected rate of return on plan assets		8.00	%		8.00	%		8.00	%		8.00	%		8.00	%		8.00	%
Weighted average health care cost trend rate assumed for next year ⁽¹⁾		N/A			N/A			N/A			4.25	%		5.21	%		5.25	%

⁽¹⁾	The weighted average health care cost trend rate at December 31, 2016 is assumed to decline gradually to 3.77% by 2024 and remain level thereafter.

As of December 31, 2016, our estimate of the long-term rate of return on plan assets was 8% based on the target asset allocation. Expected returns on long duration bonds are based on yields to maturity of the bonds held at year-end. Expected returns on other assets are based on a combination of long-term historical returns, actual returns on plan assets achieved over the last ten years, current and expected market conditions, and expected value to be generated through active management, currency overlay and securities lending programs.

A one percentage point change in the assumed health care cost trend rates would have the following effects on our retiree medical and other postretirement benefits plans (in millions):


	1% Increase		1% Decrease
Increase (decrease) on 2016 service and interest cost	$	3	$	(3	)
Increase (decrease) on benefit obligation as of December 31, 2016		53		(50	)

Minimum Contributions

We are required to make minimum contributions to our defined benefit pension plans under the minimum funding requirements of the Employee Retirement Income Security Act of 1974 and various other laws for U.S. based plans as well as under funding rules specific to countries where we maintain defined benefit plans. Based on current funding assumptions, we have minimum required contributions of $25 million for 2017. We expect to make supplemental contributions of $254 million to our U.S. based defined benefit plans in 2017. Currently, the minimum funding obligation for our U.S. based defined benefit pension plans is subject to temporary favorable rules that are scheduled to expire at the end of 2017. Our pension funding obligations are likely to increase materially following expiration of the temporary funding rules, when we will be required to make contributions relating to the 2018 fiscal year. The amount of these obligations will depend on the performance of our investments held in trust by the pension plans, interest rates for determining liabilities, the amount of and timing of any supplemental contributions and our actuarial experience.

Benefit Payments

The following benefit payments, which reflect expected future service as appropriate, are expected to be paid (approximately, in millions):


	2017		2018		2019		2020		2021		2022-2026
Pension	$	688	$	722	$	762	$	804	$	845	$	4,819
Retiree medical and other postretirement benefits		97		93		88		79		73		312

Plan Assets

The objectives of our investment policies are to: maintain sufficient income and liquidity to pay retirement benefits; produce a long-term rate of return that meets or exceeds the assumed rate of return for plan assets; limit the volatility of asset performance and funded status; and diversify assets among asset classes and investment managers.

Based on these investment objectives, a long-term strategic asset allocation has been established. This strategic allocation seeks to balance the potential benefit of improving funded position with the potential risk that the funded position would decline. The current strategic target asset allocation is as follows:


Asset Class/Sub-Class	Allowed Range
Equity		65% - 90%
Public:
U.S.		20% - 45%
International		17% - 27%
Emerging Markets		5% - 11%
Alternative Investments		5% - 30%
Fixed Income		15% - 40%
U.S. Long Duration		15% - 40%
High Yield and Emerging Markets		0% - 10%
Other		0% - 5%
Cash Equivalents		0% - 5%

Public equity and emerging market fixed income securities are used to provide diversification and are expected to generate higher returns over the long-term than U.S. long duration bonds. Public stocks are managed using a value investment approach in order to participate in the returns generated by stocks in the long-term, while reducing year-over-year volatility. U.S. long duration bonds are used to partially hedge the assets from declines in interest rates. Alternative (private) investments are used to provide expected returns in excess of the public markets over the long-term. Additionally, the pension plan’s master trust engages currency overlay managers in an attempt to increase returns by protecting non-U.S. dollar denominated assets from a rise in the relative value of the U.S. dollar. The pension plan’s master trust also participates in securities lending programs to generate additional income by loaning plan assets to borrowers on a fully collateralized basis. These programs are subject to market risk.

Investments in securities traded on recognized securities exchanges are valued at the last reported sales price on the last business day of the year. Securities traded in the over-the-counter market are valued at the last bid price. The money market fund is valued at fair value which represents the net asset value of the shares of such fund as of the close of business at the end of the period. Investments in limited partnerships are carried at estimated net asset value as determined by and reported by the general partners of the partnerships and represent the proportionate share of the estimated fair value of the underlying assets of the limited partnerships. Common/collective trusts are valued at net asset value based on the fair values of the underlying investments of the trusts as determined by the sponsor of the trusts. The pension plan’s master trust also invests in a 103-12 investment entity (the 103-12 Investment Trust) which is designed to invest plan assets of more than one unrelated employer. The 103-12 Investment Trust is valued at net asset value which is determined by the issuer at the end of each month and is based on the aggregate fair value of trust assets less liabilities, divided by the number of units outstanding. No changes in valuation techniques or inputs occurred during the year.

Benefit Plan Assets Measured at Fair Value on a Recurring Basis

The fair value of our pension plan assets at December 31, 2016 and 2015, by asset category, are as follows (in millions):


	Fair Value Measurements as of December 31, 2016
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Cash and cash equivalents	$	573		$	—	$	—	$	573
Equity securities:
International markets ^(a), ^(b)		3,232			—		—		3,232
Large-cap companies ^(b)		2,253			—		—		2,253
Mid-cap companies ^(b)		371			—		—		371
Small-cap companies ^(b)		6			—		—		6
Mutual funds ^(c)		49			—		—		49
Fixed income:
Corporate bonds ^(d)		—			2,337		—		2,337
Government securities ^(e)		—			150		—		150
U.S. municipal securities		—			37		—		37
Alternative instruments:
Private equity partnerships ^(f)		—			—		21		21
Private equity partnerships measured at net asset value ^{(f) (h)}		—			—		—		703
Common/collective trusts ^(g)		—			32		—		32
Common/collective trusts and 103-12 Investment Trust measured at net asset value ^{(g) (h)}		—			—		—		227
Insurance group annuity contracts		—			—		2		2
Dividend and interest receivable		40			—		—		40
Due to/from brokers for sale of securities – net		(9	)		—		—		(9	)
Other liabilities – net		(7	)		—		—		(7	)

Total	$	6,508		$	2,556	$	23	$	10,017

^a)	Holdings are diversified as follows: 15% United Kingdom, 12% Japan, 10% France, 7% Switzerland, 6% Netherlands, 17% of other emerging markets and the remaining 33% with no concentration greater than 5% in any one country.

^b)	There are no significant concentrations of holdings by company or industry.

^c)	Investment includes mutual funds invested 42% in equity securities of large-cap, mid-cap and small-cap U.S. companies, 33% in U.S. treasuries and corporate bonds and 25% in equity securities of international companies.

^d)	Includes approximately 74% investments in corporate debt with a S&P rating lower than A and 26% investments in corporate debt with a S&P rating A or higher. Holdings include 86% U.S. companies, 12% international companies and 2% emerging market companies.

^e)	Includes approximately 61% investments in U.S. domestic government securities and 39% in emerging market government securities. There are no significant foreign currency risks within this classification.

^f)

Includes limited partnerships that invest primarily in U.S. (95%) and European (5%) buyout opportunities of a range of privately held companies. The pension plan’s master trust does not have the right to redeem its limited partnership investment at its net asset value, but rather receives distributions as the underlying assets are liquidated. It is estimated that the underlying assets of these funds will be gradually liquidated over the next one to ten years. Additionally, the pension plan’s master trust has future funding commitments of approximately $456 million over the next ten years.

^g)

Investment includes 73% in an emerging market 103-12 Investment Trust with investments in emerging country equity securities, 12% in Canadian segregated balanced value, income growth and diversified pooled funds and 15% in a common/collective trust investing in securities of smaller companies located outside the U.S., including developing markets. Requests for withdrawals must meet specific requirements with advance notice of redemption preferred.

^h)

In accordance with ASU 2015-07, certain investments that are measured using net asset value per share (or its equivalent) as a practical expedient for fair value have not been classified in the fair value hierarchy. The fair value amounts presented in this table are intended to permit reconciliation of the fair value hierarchy to the amounts presented in the notes to the consolidated financial statements.


	Fair Value Measurements as of December 31, 2015
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Cash and cash equivalents	$	287		$	—	$	—	$	287
Equity securities:
International markets ^(a), ^(b)		2,873			—		—		2,873
Large-cap companies ^(b)		1,999			—		—		1,999
Mid-cap companies ^(b)		361			—		—		361
Small-cap companies ^(b)		18			—		—		18
Mutual funds ^(c)		47			—		—		47
Fixed income:
Corporate bonds ^(d)		—			2,204		—		2,204
Government securities ^(e)		—			917		—		917
U.S. municipal securities		—			48		—		48
Alternative instruments:
Private equity partnerships ^(f)		—			—		16		16
Private equity partnerships measured at net asset value ^{(f) (h)}		—			—		—		706
Common/collective trusts ^(g)		—			30		—		30
Common/collective trusts and 103-12 Investment Trust measured at net asset value ^{(g) (h)}		—			—		—		189
Insurance group annuity contracts		—			—		2		2
Dividend and interest receivable		50			—		—		50
Due to/from brokers for sale of securities – net		23			—		—		23
Other assets – net		8			—		—		8
Other liabilities – net		(71	)		—		—		(71	)

Total	$	5,595		$	3,199	$	18	$	9,707

^a)	Holdings are diversified as follows: 16% United Kingdom, 12% Japan, 10% France, 7% Switzerland, 7% Netherlands, 6% Republic of Korea, 11% of other emerging markets and the remaining 31% with no concentration greater than 5% in any one country.

^b)	There are no significant concentrations of holdings by company or industry.

^c)	Investment includes mutual funds invested 40% in equity securities of large-cap, mid-cap and small-cap U.S. companies, 35% in U.S. treasuries and corporate bonds and 25% in equity securities of international companies.

^d)	Includes approximately 74% investments in corporate debt with a S&P rating lower than A and 26% investments in corporate debt with a S&P rating A or higher. Holdings include 82% U.S. companies, 16% international companies and 2% emerging market companies.

^e)	Includes approximately 75% investments in U.S. domestic government securities and 25% in emerging market government securities. There are no significant foreign currency risks within this classification.

^f)

Includes limited partnerships that invest primarily in U.S. (89%) and European (11%) buyout opportunities of a range of privately held companies. The pension plan’s master trust does not have the right to redeem its limited partnership investment at its net asset value, but rather receives distributions as the underlying assets are liquidated. It is estimated that the underlying assets of these funds will be gradually liquidated over the next one to ten years. Additionally, the pension plan’s master trust has future funding commitments of approximately $428 million over the next ten years.

^g)

Investment includes 73% in an emerging market 103-12 Investment Trust with investments in emerging country equity securities, 14% in Canadian segregated balanced value, income growth and diversified pooled funds and 13% in a common/collective trust investing in securities of smaller companies located outside the U.S., including developing markets. Requests for withdrawals must meet specific requirements with advance notice of redemption preferred.

^h)

Changes in fair value measurements of Level 3 investments during the year ended December 31, 2016, were as follows (in millions):


	Private Equity Partnerships			Insurance Group Annuity Contracts
Beginning balance at December 31, 2015	$	16		$	2
Actual return on plan assets:
Relating to assets sold during the period		7			—
Purchases		7			—
Sales		(9	)		—

Ending balance at December 31, 2016	$	21		$	2

Changes in fair value measurements of Level 3 investments during the year ended December 31, 2015, were as follows (in millions):


	Private Equity Partnerships			Insurance Group Annuity Contracts
Beginning balance at December 31, 2014	$	17		$	2
Actual return on plan assets:
Relating to assets still held at the reporting date		(1	)		—

Ending balance at December 31, 2015	$	16		$	2

The fair value of our retiree medical and other postretirement benefits plans assets at December 31, 2016 by asset category, were as follows (in millions):


	Fair Value Measurements as of December 31, 2016
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Money market fund	$	5	$	—	$	—	$	5
Mutual funds – Institutional Class		261		—		—		261

Total	$	266	$	—	$	—	$	266

The fair value of our retiree medical and other postretirement benefits plans assets at December 31, 2015 by asset category, were as follows (in millions):


	Fair Value Measurements as of December 31, 2015
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Money market fund	$	4	$	—	$	—	$	4
Mutual funds – Institutional Class		19		—		—		19
Mutual funds – AMR Class		—		230		—		230

Total	$	23	$	230	$	—	$	253

Investments in the retiree medical and other postretirement benefits plans’ mutual funds are valued by quoted prices on the active market, which is fair value and represents the net asset value of the shares of such funds as of the close of business at the end of the period. AMR Class shares are offered without a sales charge to participants. Purchases are restricted to certain retirement benefit plans, including our retiree medical and other postretirement benefits plans, resulting in a fair value classification of Level 2. Investments include approximately 27% of investments in non-U.S. common stocks in each of 2016 and 2015. Net asset value is based on the fair market value of the funds’ underlying assets and liabilities at the date of determination.

Profit Sharing Program

We instituted an employee profit sharing program effective on January 1, 2016 and accrue 5% of our pre-tax income excluding special items to distribute to employees in early 2017. For the year ended December 31, 2016, we accrued $314 million for this program.

American Airlines, Inc. [Member]

Employee Benefit Plans

7. Employee Benefit Plans

American sponsors defined benefit and defined contribution pension plans for eligible employees. The defined benefit pension plans provide benefits for participating employees based on years of service and average compensation for a specified period of time before retirement. Effective November 1, 2012, substantially all of American’s defined benefit pension plans were frozen and American began providing enhanced benefits under its defined contribution pension plans for certain groups. American uses a December 31 measurement date for all of its defined benefit pension plans. American also provides certain retiree medical and other postretirement benefits, including health care and life insurance benefits, to retired employees. Effective November 1, 2012, American modified its retiree medical and other postretirement benefits plans to eliminate the company subsidy for employees who retire on or after November 1, 2012. As a result of modifications to its retiree medical and other postretirement benefits plans in 2012, American recognized a negative plan amendment of $1.9 billion, which is included as a component of actuarial gain in OCI and will be amortized over the future service life of the active plan participants for whom the benefit was eliminated, or approximately eight years. As of December 31, 2016, $871 million of actuarial gain remains to be amortized.

Benefit Obligations, Fair Value of Plan Assets and Funded Status


	Pension Benefits						Retiree Medical and Other Postretirement Benefits
	2016			2015			2016			2015
	(In millions)
Benefit obligation at beginning of period	$	16,310		$	17,504		$	1,129		$	1,324
Service cost		2			2			3			3
Interest cost		746			733			47			50
Actuarial (gain) loss ^{(1) (2)}		725			(1,153	)		(104	)		(178	)
Plan amendments		—			—			7			—
Settlements		(2	)		(3	)		—			—
Benefit payments		(633	)		(773	)		(92	)		(94	)
Other		—			—			—			24

Benefit obligation at end of period	$	17,148		$	16,310		$	990		$	1,129

Fair value of plan assets at beginning of period	$	9,660		$	10,935		$	253		$	244
Actual return on plan assets		911			(505	)		22			(10	)
Employer contributions		32			6			83			89
Settlements		(2	)		(3	)		—			—
Benefit payments		(633	)		(773	)		(92	)		(94	)
Other ⁽³⁾		—			—			—			24

Fair value of plan assets at end of period	$	9,968		$	9,660		$	266		$	253

Funded status at end of period	$	(7,180	)	$	(6,650	)	$	(724	)	$	(876	)

⁽¹⁾	The December 31, 2016 and 2015 pension actuarial (gain) loss primarily relates to weighted average discount rate assumption changes and changes to American’s mortality assumptions.

⁽²⁾	The December 31, 2016 and 2015 retiree medical and other postretirement benefits actuarial gain primarily relates to medical trend and cost assumption changes, favorable plan experience adjustments and weighted average discount rate assumption changes.

⁽³⁾	At December 31, 2015, certain trust assets totaling approximately $24 million, were added to the retiree medical and other postretirement benefits plans asset values that were previously offset against the benefit obligation.

Balance Sheet Position


	Pension Benefits				Retiree Medical and Other Postretirement Benefits
	2016		2015		2016			2015
	(In millions)
As of December 31,
Current liability	$	7	$	7	$	97		$	109
Noncurrent liability ⁽¹⁾		7,173		6,643		627			767

Total liabilities	$	7,180	$	6,650	$	724		$	876


Net actuarial loss (gain)	$	5,472	$	5,036	$	(429	)	$	(339	)
Prior service cost (benefit) ⁽¹⁾		188		216		(837	)		(1,084	)

Total accumulated other comprehensive loss (income), pre-tax	$	5,660	$	5,252	$	(1,266	)	$	(1,423	)

⁽¹⁾	The 2016 noncurrent liability does not include $20 million of other postretirement benefits or $1 million of prior service cost. The 2015 noncurrent liability does not include $17 million of other postretirement benefits or $1 million of prior service cost.

Plans with Accumulated Benefit Obligations Exceeding Fair Value of Plan Assets


	Pension Benefits				Retiree Medical and Other Postretirement Benefits
	2016		2015		2016		2015
	(In millions)
Projected benefit obligation (PBO)	$	17,119	$	16,283	$	—	$	—
Accumulated benefit obligation (ABO)		17,108		16,272		—		—
Accumulated postretirement benefit obligation (APBO)		—		—		990		1,129
Fair value of plan assets		9,936		9,630		266		253
ABO less fair value of plan assets		7,172		6,642		—		—

Net Periodic Benefit Cost (Income)


	Pension Benefits									Retiree Medical and Other Postretirement Benefits
	2016			2015			2014			2016			2015			2014
	(In millions)
Defined benefit plans:
Service cost	$	2		$	1		$	2		$	3		$	3		$	1
Interest cost		746			733			742			47			50			61
Expected return on assets		(747	)		(848	)		(783	)		(20	)		(19	)		(19	)
Settlements		—			1			4			—			—			—
Amortization of:
Prior service cost (benefit) ⁽¹⁾		28			28			28			(240	)		(243	)		(244	)
Unrecognized net loss (gain)		125			111			43			(16	)		(9	)		(8	)

Net periodic benefit cost (income)		154			26			36			(226	)		(218	)		(209	)
Defined contribution plan cost		761			657			527			N/A			N/A			N/A

Total cost (income)	$	915		$	683		$	563		$	(226	)	$	(218	)	$	(209	)

⁽¹⁾	The 2016, 2015 and 2014 prior service cost does not include amortization of $1 million, $3 million and $14 million, respectively, related to other postretirement benefits.

Assumptions

The following actuarial assumptions were used to determine American’s benefit obligations and net periodic benefit cost for the periods presented:


	Pension Benefits						Retiree Medical and Other Postretirement Benefits
	2016			2015			2016			2015
Benefit obligations:
Weighted average discount rate		4.30	%		4.70	%		4.10	%		4.42	%


	Pension Benefits									Retiree Medical and Other Postretirement Benefits
	2016			2015			2014			2016			2015			2014
Net periodic benefit cost:
Weighted average discount rate		4.70	%		4.30	%		5.10	%		4.42	%		4.00	%		4.74	%
Weighted average expected rate of return on plan assets		8.00	%		8.00	%		8.00	%		8.00	%		8.00	%		8.00	%
Weighted average health care cost trend rate assumed for next year ⁽¹⁾		N/A			N/A			N/A			4.25	%		5.21	%		5.25	%

⁽¹⁾	The weighted average health care cost trend rate at December 31, 2016 is assumed to decline gradually to 3.77% by 2024 and remain level thereafter.

As of December 31, 2016, American’s estimate of the long-term rate of return on plan assets was 8% based on the target asset allocation. Expected returns on long duration bonds are based on yields to maturity of the bonds held at year-end. Expected returns on other assets are based on a combination of long-term historical returns, actual returns on plan assets achieved over the last ten years, current and expected market conditions, and expected value to be generated through active management, currency overlay and securities lending programs.

A one percentage point change in the assumed health care cost trend rates would have the following effects on American’s retiree medical and other postretirement benefits plans (in millions):


	1% Increase		1% Decrease
Increase (decrease) on 2016 service and interest cost	$	3	$	(3	)
Increase (decrease) on benefit obligation as of December 31, 2016		53		(50	)

Minimum Contributions

American is required to make minimum contributions to its defined benefit pension plans under the minimum funding requirements of the Employee Retirement Income Security Act of 1974 and various other laws for U.S. based plans as well as under funding rules specific to countries where American maintains defined benefit plans. Based on current funding assumptions, American has minimum required contributions of $25 million for 2017. American expects to make supplemental contributions of $254 million to its U.S. based defined benefit plans in 2017. Currently, the minimum funding obligation for American’s U.S. based defined benefit pension plans is subject to temporary favorable rules that are scheduled to expire at the end of 2017. American’s pension funding obligations are likely to increase materially following expiration of the temporary funding rules, when American will be required to make contributions relating to the 2018 fiscal year. The amount of these obligations will depend on the performance of American’s investments held in trust by the pension plans, interest rates for determining liabilities, the amount of and timing of any supplemental contributions and American’s actuarial experience.

Benefit Payments

The following benefit payments, which reflect expected future service as appropriate, are expected to be paid (approximately, in millions):


	2017		2018		2019		2020		2021		2022-2026
Pension	$	685	$	719	$	758	$	800	$	841	$	4,797
Retiree medical and other postretirement benefits		97		93		88		79		73		312

Plan Assets

The objectives of American’s investment policies are to: maintain sufficient income and liquidity to pay retirement benefits; produce a long-term rate of return that meets or exceeds the assumed rate of return for plan assets; limit the volatility of asset performance and funded status; and diversify assets among asset classes and investment managers.


Asset Class/Sub-Class	Allowed Range
Equity		65% - 90%
Public:
U.S.		20% - 45%
International		17% - 27%
Emerging Markets		5% - 11%
Alternative Investments		5% - 30%
Fixed Income		15% - 40%
U.S. Long Duration		15% - 40%
High Yield and Emerging Markets		0% - 10%
Other		0% - 5%
Cash Equivalents		0% - 5%

Benefit Plan Assets Measured at Fair Value on a Recurring Basis

The fair value of American’s pension plan assets at December 31, 2016 and 2015, by asset category, are as follows (in millions):


	Fair Value Measurements as of December 31, 2016
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total

Cash and cash equivalents	$	573		$	—	$	—	$	573
Equity securities:
International markets ^(a), ^(b)		3,232			—		—		3,232
Large-cap companies ^(b)		2,253			—		—		2,253
Mid-cap companies ^(b)		371			—		—		371
Small-cap companies ^(b)		6			—		—		6
Fixed income:
Corporate bonds ^(c)		—			2,337		—		2,337
Government securities ^(d)		—			150		—		150
U.S. municipal securities		—			37		—		37
Alternative instruments:
Private equity partnerships ^(e)		—			—		21		21
Private equity partnerships measured at net asset value ^{(e) (g)}		—			—		—		703
Common/collective trusts ^(f)		—			32		—		32
Common/collective trusts and 103-12 Investment Trust measured at net asset value ^{(f) (g)}		—			—		—		227
Insurance group annuity contracts		—			—		2		2
Dividend and interest receivable		40			—		—		40
Due to/from brokers for sale of securities – net		(9	)		—		—		(9	)
Other liabilities – net		(7	)		—		—		(7	)

Total	$	6,459		$	2,556	$	23	$	9,968

^a)	Holdings are diversified as follows: 15% United Kingdom, 12% Japan, 10% France, 7% Switzerland, 6% Netherlands, 17% of other emerging markets and the remaining 33% with no concentration greater than 5% in any one country.

^b)	There are no significant concentrations of holdings by company or industry.

^c)	Includes approximately 74% investments in corporate debt with a S&P rating lower than A and 26% investments in corporate debt with a S&P rating A or higher. Holdings include 86% U.S. companies, 12% international companies and 2% emerging market companies.

^d)	Includes approximately 61% investments in U.S. domestic government securities and 39% in emerging market government securities. There are no significant foreign currency risks within this classification.

^e)

^f)

^g)


	Fair Value Measurements as of December 31, 2015
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total

Cash and cash equivalents	$	287		$	—	$	—	$	287
Equity securities:
International markets ^(a), ^(b)		2,873			—		—		2,873
Large-cap companies ^(b)		1,999			—		—		1,999
Mid-cap companies ^(b)		361			—		—		361
Small-cap companies ^(b)		18			—		—		18
Fixed income:
Corporate bonds ^(c)		—			2,204		—		2,204
Government securities ^(d)		—			917		—		917
U.S. municipal securities		—			48		—		48
Alternative instruments:
Private equity partnerships ^(e)		—			—		16		16
Private equity partnerships measured at net asset value ^{(e) (g)}		—			—		—		706
Common/collective trusts ^(f)		—			30		—		30
Common/collective trusts and 103-12 Investment Trust measured at net asset value ^{(f) (g)}		—			—		—		189
Insurance group annuity contracts		—			—		2		2
Dividend and interest receivable		50			—		—		50
Due to/from brokers for sale of securities – net		23			—		—		23
Other assets – net		8			—		—		8
Other liabilities – net		(71	)		—		—		(71	)

Total	$	5,548		$	3,199	$	18	$	9,660

^a)	Holdings are diversified as follows: 16% United Kingdom, 12% Japan, 10% France, 7% Switzerland, 7% Netherlands, 6% Republic of Korea, 11% of other emerging markets and the remaining 31% with no concentration greater than 5% in any one country.

^b)	There are no significant concentrations of holdings by company or industry.

^c)	Includes approximately 74% investments in corporate debt with a S&P rating lower than A and 26% investments in corporate debt with a S&P rating A or higher. Holdings include 82% U.S. companies, 16% international companies and 2% emerging market companies.

^d)	Includes approximately 75% investments in U.S. domestic government securities and 25% in emerging market government securities. There are no significant foreign currency risks within this classification.

^e)

^f)

^g)

Changes in fair value measurements of Level 3 investments during the year ended December 31, 2016, were as follows (in millions):


	Private Equity Partnerships			Insurance Group Annuity Contracts
Beginning balance at December 31, 2015	$	16		$	2
Actual return on plan assets:
Relating to assets sold during the period		7			—
Purchases		7			—
Sales		(9	)		—

Ending balance at December 31, 2016	$	21		$	2

Changes in fair value measurements of Level 3 investments during the year ended December 31, 2015, were as follows (in millions):


	Private Equity Partnerships			Insurance Group Annuity Contracts
Beginning balance at December 31, 2014	$	17		$	2
Actual return on plan assets:
Relating to assets still held at the reporting date		(1	)		—

Ending balance at December 31, 2015	$	16		$	2

The fair value of American’s retiree medical and other postretirement benefits plans assets at December 31, 2016 by asset category, were as follows (in millions):


	Fair Value Measurements as of December 31, 2016
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Money market fund	$	5	$	—	$	—	$	5
Mutual funds – Institutional Class		261		—		—		261

Total	$	266	$	—	$	—	$	266

The fair value of American’s retiree medical and other postretirement benefits plans assets at December 31, 2015 by asset category, were as follows (in millions):


	Fair Value Measurements as of December 31, 2015
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Money market fund	$	4	$	—	$	—	$	4
Mutual funds – Institutional Class		19		—		—		19
Mutual funds – AMR Class		—		230		—		230

Total	$	23	$	230	$	—	$	253

Investments in the retiree medical and other postretirement benefits plans’ mutual funds are valued by quoted prices on the active market, which is fair value and represents the net asset value of the shares of such funds as of the close of business at the end of the period. AMR Class shares are offered without a sales charge to participants. Purchases are restricted to certain retirement benefit plans, including American’s retiree medical and other postretirement benefits plans, resulting in a fair value classification of Level 2. Investments include approximately 27% of investments in non-U.S. common stocks in each of 2016 and 2015. Net asset value is based on the fair market value of the funds’ underlying assets and liabilities at the date of determination.

Profit Sharing Program

American instituted an employee profit sharing program effective on January 1, 2016 and accrues 5% of its pre-tax income excluding special items to distribute to employees in early 2017. For the year ended December 31, 2016, American accrued $314 million for this program.

Accumulated Other Comprehensive Income (Loss)

12 Months Ended

Dec. 31, 2016

Accumulated Other Comprehensive Income (Loss)

10. Accumulated Other Comprehensive Income (Loss)

The components of accumulated other comprehensive income (loss) (AOCI) are as follows (in millions):


	Pension, Retiree Medical and Other Postretirement Benefits			Derivative Financial Instruments			Unrealized Gain (Loss) on Investments			Income Tax Benefit (Provision) ⁽¹⁾			Total
Balance at December 31, 2014	$	(3,683	)	$	9		$	(5	)	$	(880	)	$	(4,559	)
Other comprehensive loss before reclassifications		(51	)		—			(6	)		—			(57	)
Amounts reclassified from accumulated other comprehensive income (loss)		(108	)		(9	)		1			—			(116	)

Net current-period other comprehensive loss		(159	)		(9	)		(5	)		—			(173	)

Balance at December 31, 2015		(3,842	)		—			(10	)		(880	)		(4,732	)
Other comprehensive income (loss) before reclassifications		(462	)		—			10			166			(286	)
Amounts reclassified from accumulated other comprehensive income (loss)		(102	)		—			—			37	⁽²⁾		(65	)

Net current-period other comprehensive income (loss)		(564	)		—			10			203			(351	)

Balance at December 31, 2016	$	(4,406	)	$	—		$	—		$	(677	)	$	(5,083	)

⁽¹⁾	Relates principally to pension, retiree medical and other postretirement benefits obligations that will not be recognized in net income until the obligations are fully extinguished.

⁽²⁾	Relates to pension, retiree medical and other postretirement benefits obligations and is recognized within the income tax provision on the consolidated statement of operations.

Reclassifications out of AOCI for the years ended December 31, 2016 and 2015 are as follows (in millions):


	Amount reclassified from AOCI						Affected line items on the consolidated statement of operations
	Year Ended December 31,
AOCI Components	2016			2015
Amortization of pension, retiree medical and other postretirement benefits:
Prior service benefit	$	(134	)	$	(212	)	Salaries, wages and benefits
Actuarial loss		69			104		Salaries, wages and benefits
Derivative financial instruments:
Cash flow hedges		—			(9	)	Aircraft fuel and related taxes
Net unrealized change on investments:
Net change in value		—			1		Other nonoperating, net

Total reclassifications for the period, net of tax	$	(65	)	$	(116	)

Amounts allocated to OCI for income taxes as further described in Note 6 will remain in AOCI until we cease all related activities, such as termination of the pension plan.

American Airlines, Inc. [Member]

Accumulated Other Comprehensive Income (Loss)

8. Accumulated Other Comprehensive Income (Loss)

The components of accumulated other comprehensive income (loss) (AOCI) are as follows (in millions):


	Pension, Retiree Medical and Other Postretirement Benefits			Derivative Financial Instruments			Unrealized Gain (Loss) on Investments			Income Tax Benefit (Provision) ⁽¹⁾			Total
Balance at December 31, 2014	$	(3,671	)	$	9		$	(3	)	$	(991	)	$	(4,656	)
Other comprehensive loss before reclassifications		(51	)		—			(7	)		—			(58	)
Amounts reclassified from accumulated other comprehensive income (loss)		(109	)		(9	)		1			—			(117	)

Net current-period other comprehensive loss		(160	)		(9	)		(6	)		—			(175	)

Balance at December 31, 2015		(3,831	)		—			(9	)		(991	)		(4,831	)
Other comprehensive income (loss) before reclassifications		(461	)		—			9			166			(286	)
Amounts reclassified from accumulated other comprehensive income (loss)		(102	)		—			—			37	⁽²⁾		(65	)

Net current-period other comprehensive income (loss)		(563	)		—			9			203			(351	)

Balance at December 31, 2016	$	(4,394	)	$	—		$	—		$	(788	)	$	(5,182	)

⁽¹⁾	Relates principally to pension, retiree medical and other postretirement benefits obligations that will not be recognized in net income until the obligations are fully extinguished.

⁽²⁾	Relates to pension, retiree medical and other postretirement benefits obligations and is recognized within the income tax provision on the consolidated statement of operations.

Reclassifications out of AOCI for the years ended December 31, 2016 and 2015 are as follows (in millions):


	Amount reclassified from AOCI						Affected line items on the consolidated statement of operations
	Year Ended December 31,
AOCI Components	2016			2015
Amortization of pension, retiree medical and other postretirement benefits:
Prior service benefit	$	(134	)	$	(212	)	Salaries, wages and benefits
Actuarial loss		69			103		Salaries, wages and benefits
Derivative financial instruments:
Cash flow hedges		—			(9	)	Aircraft fuel and related taxes
Net unrealized change on investments:
Net change in value		—			1		Other nonoperating, net

Total reclassifications for the period, net of tax	$	(65	)	$	(117	)

Amounts allocated to OCI for income taxes as further described in Note 4 will remain in AOCI until American ceases all related activities, such as termination of the pension plan.

- Definition

The entire disclosure for comprehensive income, which includes, but is not limited to, 1) the amount of income tax expense or benefit allocated to each component of other comprehensive income, including reclassification adjustments, 2) the reclassification adjustments for each classification of other comprehensive income and 3) the ending accumulated balances for each component of comprehensive income.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=66004124&loc=d3e689-108580

Reference 2: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
-Topic 220
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-Section 45
-Paragraph 1A
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Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
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-Section 45
-Paragraph 12
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-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 17
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Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
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-Paragraph 16
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Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
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Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 220
-SubTopic 10
-Section 45
-Paragraph 11
-URI http://asc.fasb.org/extlink&oid=66004124&loc=d3e637-108580

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Reclassification Adjustments
-URI http://asc.fasb.org/extlink&oid=6522872

+ Details

Commitments, Contingencies and Guarantees

12 Months Ended

Dec. 31, 2016

Commitments, Contingencies and Guarantees

11. Commitments, Contingencies and Guarantees

(a) Aircraft and Engine Purchase Commitments

Under all of our aircraft and engine purchase agreements, our total future commitments as of December 31, 2016 are expected to be as follows (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Payments for aircraft commitments and certain engines ⁽¹⁾	$	4,064	$	2,192	$	3,113	$	3,133	$	2,948	$	2,553	$	18,003

⁽¹⁾

These amounts are net of purchase deposits currently held by the manufacturers and include all commitments for regional aircraft. American has granted a security interest in its purchase deposits with Boeing. Our purchase deposits held by all manufacturers totaled $1.2 billion as of December 31, 2016.

(b) Facility and support commitments

We have contracts related to facility construction or improvement projects, primarily at airport locations, as well as information technology support. The contractual obligations related to these contracts are presented in the table below (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Facility construction or improvement contracts	$	182	$	126	$	13	$	—	$	—	$	—	$	321
Information technology contracts		205		168		128		47		24		8		580

(c) Capacity Purchase Agreements with Third-Party Regional Carriers

American has capacity purchase agreements with third-party regional carriers. The capacity purchase agreements provide that all revenues, including passenger, in-flight, ancillary, mail and freight revenues, go to American. In return, American agrees to pay predetermined fees to these airlines for operating an agreed-upon number of aircraft, without regard to the number of passengers on board. In addition, these agreements provide that American reimburses 100% of certain variable costs, such as airport landing fees and passenger liability insurance. American controls marketing, scheduling, ticketing, pricing and seat inventories.

As of December 31, 2016, American’s capacity purchase agreements with third-party regional carriers had expiration dates ranging from 2017 to 2027, with rights of American to extend the respective terms of certain agreements. See Part I, Item 2. Properties for unaudited information on the aircraft operated by third-party regional carriers under such capacity purchase agreements.

As of December 31, 2016, American’s minimum fixed obligations under its capacity purchase agreements with third-party regional carriers are as follows (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Minimum fixed obligations under capacity purchase agreements with third-party regional carriers ⁽¹⁾	$	1,710	$	1,421	$	1,283	$	1,048	$	855	$	2,738	$	9,055

⁽¹⁾

Represents minimum payments under capacity purchase agreements with third-party regional carriers. These commitments are estimates of costs based on assumed minimum levels of flying under the capacity purchase agreements and American’s actual payments could differ materially. These obligations also include the portion of American’s future obligations related to aircraft deemed to be leased in the amount of approximately $434 million in 2017, $370 million in 2018, $349 million in 2019, $317 million in 2020, $280 million in 2021 and $927 million in 2022 and thereafter.

(d) Operating Leases

We lease certain aircraft, engines and ground equipment, in addition to the majority of our ground facilities and terminal space. As of December 31, 2016, we had 419 aircraft under operating leases, with remaining terms ranging from three months to approximately 11 years. Airports are utilized for flight operations under lease arrangements with the municipalities or agencies owning or controlling such airports. Substantially all leases provide that the lessee must pay taxes, maintenance, insurance and certain other operating expenses applicable to the leased property. Some leases also include renewal and purchase options.

As of December 31, 2016, obligations under noncancellable operating leases for future minimum lease payments are as follows (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Future minimum lease payments	$	2,250	$	2,016	$	1,815	$	1,639	$	1,214	$	3,793	$	12,727

Mainline and regional rent expense, excluding landing fees, was $2.8 billion in each of 2016, 2015 and 2014.

(e) Off-Balance Sheet Arrangements

Aircraft

American currently operates 346 owned aircraft and 138 leased aircraft which were financed with EETCs issued by pass-through trusts. These trusts are off-balance sheet entities, the primary purpose of which is to finance the acquisition of flight equipment. Rather than finance each aircraft separately when such aircraft is purchased, delivered or refinanced, these trusts allow American to raise the financing for a number of aircraft at one time and, if applicable, place such funds in escrow pending a future purchase, delivery or refinancing of the relevant aircraft. The trusts were also structured to provide for certain credit enhancements, such as liquidity facilities to cover certain interest payments, that reduce the risks to the purchasers of the trust certificates and, as a result, reduce the cost of aircraft financing to American.

Each trust covers a set number of aircraft scheduled to be delivered or refinanced upon the issuance of the EETC or within a specific period of time thereafter. At the time of each covered aircraft financing, the relevant trust used the proceeds of the issuance of the EETC (which may have been available at the time of issuance thereof or held in escrow until financing of the applicable aircraft following its delivery) to purchase equipment notes relating to the financed aircraft. The equipment notes are issued, at American’s election, in connection with a mortgage financing of the aircraft or, in certain cases, by a separate owner trust in connection with a leveraged lease financing of the aircraft. In the case of a leveraged lease financing, the owner trust then leases the aircraft to American. In both cases, the equipment notes are secured by a security interest in the aircraft. The pass-through trust certificates are not direct obligations of, nor are they guaranteed by, AAG or American. However, in the case of mortgage financings, the equipment notes issued to the trusts are direct obligations of American and, in certain instances, have been guaranteed by AAG. As of December 31, 2016, $10.9 billion associated with these mortgage financings is reflected as debt in the accompanying consolidated balance sheet.

With respect to leveraged leases, American evaluated whether the leases had characteristics of a variable interest entity. American concluded the leasing entities met the criteria for variable interest entities. American generally is not the primary beneficiary of the leasing entities if the lease terms are consistent with market terms at the inception of the lease and do not include a residual value guarantee, fixed-price purchase option or similar feature that obligates American to absorb decreases in value or entitles American to participate in increases in the value of the aircraft. American does not provide residual value guarantees to the bondholders or equity participants in the trusts. Some leases have a fair market value or a fixed price purchase option that allows American to purchase the aircraft at or near the end of the lease term. However, the option price approximates an estimate of the aircraft’s fair value at the option date. Under this feature, American does not participate in any increases in the value of the aircraft. American concluded it is not the primary beneficiary under these arrangements. Therefore, American accounts for its EETC leveraged lease financings as operating leases. American’s total future obligations under these leveraged lease financings are $1.5 billion as of December 31, 2016, which are included in the future minimum lease payments table above.

Special Facility Revenue Bonds

AAG guarantees the payment of principal and interest of certain special facility revenue bonds issued by municipalities primarily to build or improve airport facilities and purchase equipment which is leased to American. Under such leases, American is required to make rental payments through 2035, sufficient to pay maturing principal and interest payments on the related bonds. As of December 31, 2016, the remaining lease payments guaranteeing the principal and interest on these bonds are $605 million, which are accounted for as operating leases.

(f) Legal Proceedings

Chapter 11 Cases. On November 29, 2011, AMR, American, and certain of AMR’s other direct and indirect domestic subsidiaries (the Debtors) filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the Southern District of New York (the Bankruptcy Court). On October 21, 2013, the Bankruptcy Court entered an order approving and confirming the Debtors’ fourth amended joint plan of reorganization (as amended, the Plan). On the Effective Date, December 9, 2013, the Debtors consummated their reorganization pursuant to the Plan and completed the Merger.

Pursuant to rulings of the Bankruptcy Court, the Plan established the Disputed Claims Reserve to hold shares of AAG common stock reserved for issuance to disputed claimholders at the Effective Date that ultimately become holders of allowed claims. As of December 31, 2016, there were approximately 25.2 million shares of AAG common stock remaining in the Disputed Claims Reserve. As disputed claims are resolved, the claimants will receive distributions of shares from the Disputed Claims Reserve on the same basis as if such distributions had been made on or about the Effective Date. However, we are not required to distribute additional shares above the limits contemplated by the Plan, even if the shares remaining for distribution are not sufficient to fully pay any additional allowed unsecured claims. To the extent that any of the reserved shares remain undistributed upon resolution of all remaining disputed claims, such shares will not be returned to us but rather will be distributed to former AMR stockholders.

There is also pending in the Bankruptcy Court an adversary proceeding relating to an action brought by American to seek a determination that certain non-pension, postemployment benefits are not vested benefits and thus may be modified or terminated without liability to American. On April 18, 2014, the Bankruptcy Court granted American’s motion for summary judgment with respect to certain non-union employees, concluding that their benefits were not vested and could be terminated. The summary judgment motion was denied with respect to all other retirees. The Bankruptcy Court has not yet scheduled a trial on the merits concerning whether those retirees’ benefits are vested, and American cannot predict whether it will receive relief from obligations to provide benefits to any of those retirees. Our financial statements presently reflect these retirement programs without giving effect to any modification or termination of benefits that may ultimately be implemented based upon the outcome of this proceeding.

DOJ Antitrust Civil Investigative Demand. In June 2015, we received a Civil Investigative Demand (CID) from the United States Department of Justice (DOJ) as part of an investigation into whether there have been illegal agreements or coordination of air passenger capacity. The CID seeks documents and other information from us, and other airlines have announced that they have received similar requests. We are cooperating fully with the DOJ investigation. In addition, subsequent to announcement of the delivery of CIDs by the DOJ, we, along with Delta Air Lines, Inc., Southwest Airlines Co., United Airlines, Inc. and, in the case of litigation filed in Canada, Air Canada, have been named as defendants in approximately 100 putative class action lawsuits alleging unlawful agreements with respect to air passenger capacity. The U.S. lawsuits have been consolidated in the Federal District Court for the District of Columbia. On October 28, 2016, the Court denied a motion by the airline defendants to dismiss all claims in the class actions. Both the DOJ investigation and these lawsuits are in their relatively early stages and we intend to defend these matters vigorously.

Private Party Antitrust Action. On July 2, 2013, a lawsuit captioned Carolyn Fjord, et al., v. US Airways Group, Inc., et al., was filed in the United States District Court for the Northern District of California. The complaint named as defendants US Airways Group and US Airways, Inc., alleged that the effect of the Merger may be to create a monopoly in violation of Section 7 of the Clayton Antitrust Act, and sought injunctive relief and/or divestiture. On August 6, 2013, the plaintiffs re-filed their complaint in the Bankruptcy Court, adding AMR and American as defendants. On November 27, 2013, the Bankruptcy Court denied plaintiffs’ motion to preliminarily enjoin the Merger. On August 19, 2015, after three previous largely unsuccessful attempts to amend their complaint, plaintiffs filed a fourth motion for leave to file an amended and supplemental complaint to add a claim for damages and demand for jury trial, as well as claims similar to those in the putative class action lawsuits regarding air passenger capacity. Thereafter, plaintiffs filed a request with the Judicial Panel on Multidistrict Litigation to consolidate the Fjord matter with the putative class action lawsuits, which was denied on October 15, 2015. A jointly proposed schedule for the remainder of the case was submitted on September 7, 2016, which has not yet been accepted by the Bankruptcy Court. We believe this lawsuit is without merit and intend to vigorously defend against the allegations.

DOJ Investigation Related to the United States Postal Service. In April 2015, the DOJ informed us of an inquiry regarding American’s 2009 and 2011 contracts with the United States Postal Service for the international transportation of mail by air. In October 2015, we received a CID from the DOJ seeking certain information relating to these contracts and the DOJ has also sought information concerning certain of the airlines that transport mail on a codeshare basis. The DOJ has indicated it is investigating potential violations of the False Claims Act or other statutes. We are cooperating fully with the DOJ with regard to its investigation.

General. In addition to the specifically identified legal proceedings, we and our subsidiaries are also engaged in other legal proceedings from time to time. Legal proceedings can be complex and take many months, or even years, to reach resolution, with the final outcome depending on a number of variables, some of which are not within our control. Therefore, although we will vigorously defend ourselves in each of the actions described above and such other legal proceedings, their ultimate resolution and potential financial and other impacts on us are uncertain but could be material. See Part I, Item 1A. Risk Factors –“We may be a party to litigation in the normal course of business or otherwise, which could affect our financial position and liquidity” for unaudited additional discussion.

(g) Guarantees and Indemnifications

We are party to many routine contracts in which we provide general indemnities in the normal course of business to third parties for various risks. We are not able to estimate the potential amount of any liability resulting from the indemnities. These indemnities are discussed in the following paragraphs.

In our aircraft financing agreements, we generally indemnify the financing parties, trustees acting on their behalf and other relevant parties against liabilities (including certain taxes) resulting from the financing, manufacture, design, ownership, operation and maintenance of the aircraft regardless of whether these liabilities (or taxes) relate to the negligence of the indemnified parties.

Our loan agreements and other LIBOR-based financing transactions (including certain leveraged aircraft leases) generally obligate us to reimburse the applicable lender for incremental costs due to a change in law that imposes (i) any reserve or special deposit requirement against assets of, deposits with or credit extended by such lender related to the loan, (ii) any tax, duty or other charge with respect to the loan (except standard income tax) or (iii) capital adequacy requirements. In addition, our loan agreements and other financing arrangements typically contain a withholding tax provision that requires us to pay additional amounts to the applicable lender or other financing party, generally if withholding taxes are imposed on such lender or other financing party as a result of a change in the applicable tax law.

These increased cost and withholding tax provisions continue for the entire term of the applicable transaction, and there is no limitation on the maximum additional amounts we could be obligated to pay under such provisions. Any failure to pay amounts due under such provisions generally would trigger an event of default and, in a secured financing transaction, would entitle the lender to foreclose on the collateral to realize the amount due.

In certain transactions, including certain aircraft financing leases and loans, the lessors, lenders and/or other parties have rights to terminate the transaction based on changes in foreign tax law, illegality or certain other events or circumstances. In such a case, we may be required to make a lump sum payment to terminate the relevant transaction.

We have general indemnity clauses in many of our airport and other real estate leases where we as lessee indemnify the lessor (and related parties) against liabilities related to our use of the leased property. Generally, these indemnifications cover liabilities resulting from the negligence of the indemnified parties, but not liabilities resulting from the gross negligence or willful misconduct of the indemnified parties. In addition, we provide environmental indemnities in many of these leases for contamination related to our use of the leased property.

Under certain contracts with third parties, we indemnify the third-party against legal liability arising out of an action by the third-party, or certain other parties. The terms of these contracts vary and the potential exposure under these indemnities cannot be determined. We have liability insurance protecting us for some of the obligations we have undertaken under these indemnities.

We are involved in certain claims and litigation related to our operations. We are also subject to regulatory assessments in the ordinary course of business. We establish reserves for litigation and regulatory matters when those matters present loss contingencies that are both probable and can be reasonably estimated. In the opinion of management, liabilities, if any, arising from these regulatory matters, claims and litigation will not have a material adverse effect on our consolidated financial position, results of operations, or cash flows, after consideration of available insurance.

(h) Credit Card Processing Agreements

We have agreements with companies that process customer credit card transactions for the sale of air travel and other services. Our agreements allow these processing companies, under certain conditions, to hold an amount of our cash (referred to as a holdback) equal to a portion of advance ticket sales that have been processed by that company, but for which we have not yet provided the air transportation. Additional holdback requirements in the event of material adverse changes in our financial condition will reduce our liquidity in the form of unrestricted cash by the amount of the holdbacks. We are not currently required to maintain any holdbacks pursuant to these requirements.

(i) Labor Negotiations

As of December 31, 2016, we employed approximately 122,300 active full-time equivalent employees, of which 20,800 were employed by our regional operations. Approximately 85% of employees are covered by collective bargaining agreements with various labor unions. Negotiations for joint collective bargaining agreements covering our mainline maintenance, fleet service, stores and planner employees as well as for certain employee groups at our wholly-owned regional subsidiaries are continuing. There is no assurance that a successful or timely resolution of these labor negotiations will be achieved.

(j) Other

As a result of the terrorist attacks of September 11, 2001 and the subsequent liability protections provided for by the Air Transportation Safety and System Stabilization Act (the Stabilization Act), we recorded a liability for these terrorist attacks claims equal to the related insurance receivable due to us. The Stabilization Act provides that, notwithstanding any other provision of law, liability for all claims, whether compensatory or punitive, arising from these terrorist attacks, against any air carrier shall not exceed the liability coverage maintained by the air carrier. As of December 31, 2016, the remaining liability and the amount of the offsetting receivable were each $974 million.

American Airlines, Inc. [Member]

Commitments, Contingencies and Guarantees

9. Commitments, Contingencies and Guarantees

(a) Aircraft and Engine Purchase Commitments

Under all of American’s aircraft and engine purchase agreements, its total future commitments as of December 31, 2016 are expected to be as follows (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Payments for aircraft commitments and certain engines ⁽¹⁾	$	4,064	$	2,192	$	3,113	$	3,133	$	2,948	$	2,553	$	18,003

⁽¹⁾

These amounts are net of purchase deposits currently held by the manufacturers and include all commitments for regional aircraft. American has granted a security interest in its purchase deposits with Boeing. American’s purchase deposits held by all manufacturers totaled $1.2 billion as of December 31, 2016.

(b) Facility and support commitments

American has contracts related to facility construction or improvement projects, primarily at airport locations, as well as information technology support. The contractual obligations related to these contracts are presented in the table below (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Facility construction or improvement contracts	$	182	$	126	$	13	$	—	$	—	$	—	$	321
Information technology contracts		205		168		128		47		24		8		580

(c) Capacity Purchase Agreements with Third-Party Regional Carriers

As of December 31, 2016, American’s minimum fixed obligations under its capacity purchase agreements with third-party regional carriers are as follows (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Minimum fixed obligations under capacity purchase agreements with third-party regional carriers ⁽¹⁾	$	1,710	$	1,421	$	1,283	$	1,048	$	855	$	2,738	$	9,055

⁽¹⁾

(d) Operating Leases

American leases certain aircraft, engines and ground equipment, in addition to the majority of its ground facilities and terminal space. As of December 31, 2016, American had 408 aircraft under operating leases, with remaining terms ranging from three months to approximately 11 years. Airports are utilized for flight operations under lease arrangements with the municipalities or agencies owning or controlling such airports. Substantially all leases provide that the lessee must pay taxes, maintenance, insurance and certain other operating expenses applicable to the leased property. Some leases also include renewal and purchase options.

As of December 31, 2016, obligations under noncancellable operating leases for future minimum lease payments are as follows (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Future minimum lease payments	$	2,242	$	2,010	$	1,813	$	1,638	$	1,213	$	3,785	$	12,701

Mainline and regional rent expense, excluding landing fees, was $2.7 billion in each of 2016 and 2015 and $2.8 billion in 2014.

(e) Off-Balance Sheet Arrangements

Aircraft

Special Facility Revenue Bonds

American guarantees the payment of principal and interest of certain special facility revenue bonds issued by municipalities primarily to build or improve airport facilities and purchase equipment which is leased to American. Under such leases, American is required to make rental payments through 2035, sufficient to pay maturing principal and interest payments on the related bonds. As of December 31, 2016, the remaining lease payments guaranteeing the principal and interest on these bonds are $605 million, which are accounted for as operating leases.

(f) Legal Proceedings

Pursuant to rulings of the Bankruptcy Court, the Plan established the Disputed Claims Reserve to hold shares of AAG common stock reserved for issuance to disputed claimholders at the Effective Date that ultimately become holders of allowed claims. As of December 31, 2016, there were approximately 25.2 million shares of AAG common stock remaining in the Disputed Claims Reserve. As disputed claims are resolved, the claimants will receive distributions of shares from the Disputed Claims Reserve on the same basis as if such distributions had been made on or about the Effective Date. However, American is not required to distribute additional shares above the limits contemplated by the Plan, even if the shares remaining for distribution are not sufficient to fully pay any additional allowed unsecured claims. To the extent that any of the reserved shares remain undistributed upon resolution of all remaining disputed claims, such shares will not be returned to American but rather will be distributed to former AMR stockholders.

There is also pending in the Bankruptcy Court an adversary proceeding relating to an action brought by American to seek a determination that certain non-pension, postemployment benefits are not vested benefits and thus may be modified or terminated without liability to American. On April 18, 2014, the Bankruptcy Court granted American’s motion for summary judgment with respect to certain non-union employees, concluding that their benefits were not vested and could be terminated. The summary judgment motion was denied with respect to all other retirees. The Bankruptcy Court has not yet scheduled a trial on the merits concerning whether those retirees’ benefits are vested, and American cannot predict whether it will receive relief from obligations to provide benefits to any of those retirees. American’s financial statements presently reflect these retirement programs without giving effect to any modification or termination of benefits that may ultimately be implemented based upon the outcome of this proceeding.

DOJ Antitrust Civil Investigative Demand. In June 2015, American received a Civil Investigative Demand (CID) from the United States Department of Justice (DOJ) as part of an investigation into whether there have been illegal agreements or coordination of air passenger capacity. The CID seeks documents and other information from American, and other airlines have announced that they have received similar requests. American is cooperating fully with the DOJ investigation. In addition, subsequent to announcement of the delivery of CIDs by the DOJ, American, along with Delta Air Lines, Inc., Southwest Airlines Co., United Airlines, Inc. and, in the case of litigation filed in Canada, Air Canada, have been named as defendants in approximately 100 putative class action lawsuits alleging unlawful agreements with respect to air passenger capacity. The U.S. lawsuits have been consolidated in the Federal District Court for the District of Columbia. On October 28, 2016, the Court denied a motion by the airline defendants to dismiss all claims in the class actions. Both the DOJ investigation and these lawsuits are in their relatively early stages and American intends to defend these matters vigorously.

Private Party Antitrust Action. On July 2, 2013, a lawsuit captioned Carolyn Fjord, et al., v. US Airways Group, Inc., et al., was filed in the United States District Court for the Northern District of California. The complaint named as defendants US Airways Group and US Airways, Inc., alleged that the effect of the Merger may be to create a monopoly in violation of Section 7 of the Clayton Antitrust Act, and sought injunctive relief and/or divestiture. On August 6, 2013, the plaintiffs re-filed their complaint in the Bankruptcy Court, adding AMR and American as defendants. On November 27, 2013, the Bankruptcy Court denied plaintiffs’ motion to preliminarily enjoin the Merger. On August 19, 2015, after three previous largely unsuccessful attempts to amend their complaint, plaintiffs filed a fourth motion for leave to file an amended and supplemental complaint to add a claim for damages and demand for jury trial, as well as claims similar to those in the putative class action lawsuits regarding air passenger capacity. Thereafter, plaintiffs filed a request with the Judicial Panel on Multidistrict Litigation to consolidate the Fjord matter with the putative class action lawsuits, which was denied on October 15, 2015. A jointly proposed schedule for the remainder of the case was submitted on September 7, 2016, which has not yet been accepted by the Bankruptcy Court. American believes this lawsuit is without merit and intends to vigorously defend against the allegations.

DOJ Investigation Related to the United States Postal Service. In April 2015, the DOJ informed American of an inquiry regarding American’s 2009 and 2011 contracts with the United States Postal Service for the international transportation of mail by air. In October 2015, American received a CID from the DOJ seeking certain information relating to these contracts and the DOJ has also sought information concerning certain of the airlines that transport mail on a codeshare basis. The DOJ has indicated it is investigating potential violations of the False Claims Act or other statutes. American is cooperating fully with the DOJ with regard to its investigation.

General. In addition to the specifically identified legal proceedings, American and its subsidiaries are also engaged in other legal proceedings from time to time. Legal proceedings can be complex and take many months, or even years, to reach resolution, with the final outcome depending on a number of variables, some of which are not within American’s control. Therefore, although American will vigorously defend itself in each of the actions described above and such other legal proceedings, their ultimate resolution and potential financial and other impacts on American are uncertain but could be material. See Part I, Item 1A. Risk Factors —“We may be a party to litigation in the normal course of business or otherwise, which could affect our financial position and liquidity” for unaudited additional discussion.

(g) Guarantees and Indemnifications

American is a party to many routine contracts in which it provides general indemnities in the normal course of business to third parties for various risks. American is not able to estimate the potential amount of any liability resulting from the indemnities. These indemnities are discussed in the following paragraphs.

In its aircraft financing agreements, American generally indemnifies the financing parties, trustees acting on their behalf and other relevant parties against liabilities (including certain taxes) resulting from the financing, manufacture, design, ownership, operation and maintenance of the aircraft regardless of whether these liabilities (or taxes) relate to the negligence of the indemnified parties.

American’s loan agreements and other LIBOR-based financing transactions (including certain leveraged aircraft leases) generally obligate American to reimburse the applicable lender for incremental costs due to a change in law that imposes (i) any reserve or special deposit requirement against assets of, deposits with or credit extended by such lender related to the loan, (ii) any tax, duty or other charge with respect to the loan (except standard income tax) or (iii) capital adequacy requirements. In addition, American’s loan agreements and other financing arrangements typically contain a withholding tax provision that requires American to pay additional amounts to the applicable lender or other financing party, generally if withholding taxes are imposed on such lender or other financing party as a result of a change in the applicable tax law.

These increased cost and withholding tax provisions continue for the entire term of the applicable transaction, and there is no limitation on the maximum additional amounts American could be obligated to pay under such provisions. Any failure to pay amounts due under such provisions generally would trigger an event of default and, in a secured financing transaction, would entitle the lender to foreclose on the collateral to realize the amount due.

In certain transactions, including certain aircraft financing leases and loans, the lessors, lenders and/or other parties have rights to terminate the transaction based on changes in foreign tax law, illegality or certain other events or circumstances. In such a case, American may be required to make a lump sum payment to terminate the relevant transaction.

American has general indemnity clauses in many of its airport and other real estate leases where American as lessee indemnifies the lessor (and related parties) against liabilities related to American’s use of the leased property. Generally, these indemnifications cover liabilities resulting from the negligence of the indemnified parties, but not liabilities resulting from the gross negligence or willful misconduct of the indemnified parties. In addition, American provides environmental indemnities in many of these leases for contamination related to American’s use of the leased property.

Under certain contracts with third parties, American indemnifies the third-party against legal liability arising out of an action by the third-party, or certain other parties. The terms of these contracts vary and the potential exposure under these indemnities cannot be determined. American has liability insurance protecting American for some of the obligations it has undertaken under these indemnities.

American is involved in certain claims and litigation related to its operations. American is also subject to regulatory assessments in the ordinary course of business. American establishes reserves for litigation and regulatory matters when those matters present loss contingencies that are both probable and can be reasonably estimated. In the opinion of management, liabilities, if any, arising from these regulatory matters, claims and litigation will not have a material adverse effect on American’s consolidated financial position, results of operations, or cash flows, after consideration of available insurance.

(h) Credit Card Processing Agreements

American has agreements with companies that process customer credit card transactions for the sale of air travel and other services. American’s agreements allow these processing companies, under certain conditions, to hold an amount of its cash (referred to as a holdback) equal to a portion of advance ticket sales that have been processed by that company, but for which American has not yet provided the air transportation. Additional holdback requirements in the event of material adverse changes in American’s financial condition will reduce its liquidity in the form of unrestricted cash by the amount of the holdbacks. American is not currently required to maintain any holdbacks pursuant to these requirements.

(i) Labor Negotiations

As of December 31, 2016, American employed approximately 101,500 active full-time equivalent employees. Approximately 84% of employees are covered by collective bargaining agreements with various labor unions. Negotiations for joint collective bargaining agreements covering American’s maintenance, fleet service, stores and planner employees are continuing. There is no assurance that a successful or timely resolution of these labor negotiations will be achieved.

(j) Other

As a result of the terrorist attacks of September 11, 2001 and the subsequent liability protections provided for by the Air Transportation Safety and System Stabilization Act (the Stabilization Act), American recorded a liability for these terrorist attacks claims equal to the related insurance receivable due to American. The Stabilization Act provides that, notwithstanding any other provision of law, liability for all claims, whether compensatory or punitive, arising from these terrorist attacks, against any air carrier shall not exceed the liability coverage maintained by the air carrier. As of December 31, 2016, the remaining liability and the amount of the offsetting receivable were each $974 million.

Supplemental Cash Flow Information

12 Months Ended

Dec. 31, 2016

Supplemental Cash Flow Information

12. Supplemental Cash Flow Information

Supplemental disclosure of cash flow information and non-cash investing and financing activities are as follows (in millions):


	Year Ended December 31,
	2016		2015		2014
Non-cash investing and financing activities:
Settlement of bankruptcy obligations	$	3	$	63	$	5,495
Capital lease obligations		—		5		747
Supplemental information:
Interest paid, net of amounts capitalized		964		873		814
Income taxes paid		16		20		7

American Airlines, Inc. [Member]

Supplemental Cash Flow Information

10. Supplemental Cash Flow Information

Supplemental disclosure of cash flow information and non-cash investing and financing activities are as follows (in millions):


	Year Ended December 31,
	2016		2015		2014
Non-cash investing and financing activities:
Settlement of bankruptcy obligations	$	3	$	63	$	5,131
Capital lease obligations		—		5		747
Supplemental information:
Interest paid, net of amounts capitalized		867		787		780
Income taxes paid		14		19		4

Operating Segments and Related Disclosures

12 Months Ended

Dec. 31, 2016

Operating Segments and Related Disclosures

13. Operating Segments and Related Disclosures

We are managed as a single business unit that provides air transportation for passengers and cargo. This allows us to benefit from an integrated revenue pricing and route network that includes American and our wholly-owned and third-party regional carriers that fly under capacity purchase agreements operating as American Eagle. The flight equipment of all these carriers is combined to form one fleet that is deployed through a single route scheduling system. When making resource allocation decisions, the chief operating decision maker evaluates flight profitability data, which considers aircraft type and route economics, but gives no weight to the financial impact of the resource allocation decision on an individual carrier basis. The objective in making resource allocation decisions is to maximize consolidated financial results, not the individual results of American or American Eagle.

Our operating revenues by geographic region as defined by the United States Department of Transportation (DOT) are summarized below (in millions):


	Year Ended December 31,
	2016		2015		2014
DOT Domestic	$	28,620	$	28,761	$	28,568
DOT Latin America		4,995		5,539		6,964
DOT Atlantic		4,769		5,146		5,652
DOT Pacific		1,796		1,544		1,466

Total operating revenues	$	40,180	$	40,990	$	42,650

We attribute operating revenues by geographic region based upon the origin and destination of each flight segment. Our tangible assets consist primarily of flight equipment, which are mobile across geographic markets and, therefore, have not been allocated.

American Airlines, Inc. [Member]

Operating Segments and Related Disclosures

11. Operating Segments and Related Disclosures

American is managed as a single business unit that provides air transportation for passengers and cargo. This allows it to benefit from an integrated revenue pricing and route network that includes American and AAG’s wholly-owned and third-party regional carriers that fly under capacity purchase agreements operating as American Eagle. The flight equipment of all these carriers is combined to form one fleet that is deployed through a single route scheduling system. When making resource allocation decisions, the chief operating decision maker evaluates flight profitability data, which considers aircraft type and route economics, but gives no weight to the financial impact of the resource allocation decision on an individual carrier basis. The objective in making resource allocation decisions is to maximize consolidated financial results, not the individual results of American or American Eagle.

American’s operating revenues by geographic region as defined by the United States Department of Transportation (DOT) are summarized below (in millions):


	Year Ended December 31,
	2016		2015		2014
DOT Domestic	$	28,603	$	28,709	$	28,584
DOT Latin America		4,995		5,539		6,974
DOT Atlantic		4,769		5,146		5,652
DOT Pacific		1,796		1,544		1,466

Total operating revenues	$	40,163	$	40,938	$	42,676

American attributes operating revenues by geographic region based upon the origin and destination of each flight segment. American’s tangible assets consist primarily of flight equipment, which are mobile across geographic markets and, therefore, have not been allocated.

- Definition

The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
-SubTopic 10
-Section 50
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Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
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Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 4: http://www.xbrl.org/2003/role/presentationRef
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Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
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Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 280
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-URI http://asc.fasb.org/extlink&oid=68060357&loc=d3e9031-108599

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Publisher FASB
-Name Accounting Standards Codification
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Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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+ Details

Share-based Compensation

12 Months Ended

Dec. 31, 2016

Share-based Compensation

14. Share-based Compensation

The 2013 AAG Incentive Award Plan (the 2013 Plan) provides that awards may be in the form of an option, restricted stock award, restricted stock unit award, performance award, dividend equivalent award, deferred stock award, deferred stock unit award, stock payment award or stock appreciation right. The 2013 Plan authorizes the grant of awards for the issuance of 40 million shares. Any shares underlying awards granted under the 2013 Plan, or any pre-existing US Airways Group plan, that are forfeited, terminate or are settled in cash (in whole or in part) without the delivery of shares will again be available for grant.

Our net income for the years ended December 31, 2016, 2015 and 2014 included $102 million, $274 million and $381 million, respectively, of share-based compensation costs. Of the 2015 and 2014 amounts, $198 million and $224 million, respectively, were related to awards granted to certain employees in connection with the Merger and recorded in special items, net on the accompanying consolidated statements of operations.

During 2016, 2015 and 2014, we withheld approximately 1.4 million, 7.0 million and 1.7 million shares of AAG common stock, respectively, and paid approximately $56 million, $306 million and $62 million, respectively, in satisfaction of certain tax withholding obligations associated with employee equity awards.

(a) Restricted Stock Unit Awards (RSUs)

We have granted RSUs with service conditions (time vested primarily over three years) and performance conditions. The grant-date fair value of RSUs is equal to the market price of the underlying shares of common stock on the date of grant. For time vested awards, the expense is recognized on a straight-line basis over the vesting period for the entire award. For awards with performance conditions, the expense is recognized based on the expected achievement at each reporting period. Stock-settled RSUs are classified as equity awards as the vesting results in the issuance of shares of AAG common stock. Cash-settled restricted stock unit awards (CRSUs) are classified as liability awards as the vesting results in payment of cash.

Stock-settled RSU award activity for all plans for the years ended December 31, 2016, 2015 and 2014 is as follows (shares in thousands):


	Number of Shares			Weighted Average Grant Date Fair Value
	(In thousands)
Outstanding at December 31, 2013		23,879		$	24.33
Granted		3,467			37.07
Vested and released		(4,193	)		23.84
Forfeited		(1,811	)		25.10

Outstanding at December 31, 2014		21,342		$	26.43
Granted		2,213			46.62
Vested and released		(17,163	)		25.20
Forfeited		(785	)		27.12

Outstanding at December 31, 2015		5,607		$	38.08
Granted		2,655			41.34
Vested and released		(2,754	)		34.83
Forfeited		(321	)		40.15

Outstanding at December 31, 2016		5,187		$	41.48

As of December 31, 2016, there was $116 million of unrecognized compensation cost related to stock-settled RSUs. These costs are expected to be recognized over a weighted average period of one year. The total fair value of stock-settled RSUs vested during the years ended December 31, 2016, 2015 and 2014 was $107 million, $750 million and $154 million, respectively.

As of December 31, 2016, we had a nominal amount of CRSUs outstanding. The total cash paid for CRSUs vested during the years ended December 31, 2016, 2015 and 2014 was less than $1 million, $10 million and $12 million, respectively.

(b) Stock Options and Stock Appreciation Rights

We assumed US Airways Group’s outstanding stock options and stock appreciation rights in connection with the Merger using an exchange ratio of one to one. These stock options and stock appreciation rights were granted with an exercise price equal to the underlying common stock’s fair value at the date of each grant, have service conditions, become exercisable over a three-year vesting period and expire if unexercised at the end of their term, which ranges from seven to ten years. Stock options and stock-settled stock appreciation rights (SARs) are classified as equity awards as the exercise results in the issuance of shares of AAG common stock. Cash-settled stock appreciation rights (CSARs) are classified as liability awards as the exercise results in payment of cash. Compensation costs were expensed on a straight-line basis over the vesting period for the entire award. There are no unrecognized compensation costs as all awards outstanding are vested.

Stock option and SAR award activity for all plans for the years ended December 31, 2016, 2015 and 2014 is as follows (stock options and SARs in thousands):


	Stock Options and SARs			Weighted Average Exercise Price		Weighted Average Remaining Contractual Term		Aggregate Intrinsic Value
	(In thousands)					(In years)		(In millions)
Balance at December 31, 2013		11,158		$	12.84
Granted		—			—
Exercised		(4,109	)		10.74
Forfeited		—			—
Expired		(42	)		41.73

Balance at December 31, 2014		7,007		$	13.90
Granted		—			—
Exercised		(2,985	)		12.09
Forfeited		—			—
Expired		(9	)		45.75

Balance at December 31, 2015		4,013		$	15.17
Granted		—			—
Exercised		(1,738	)		14.49
Forfeited		—			—
Expired		(180	)		46.19

Balance at December 31, 2016		2,095		$	13.08		1.6	$	70

The total intrinsic value of stock options and SARs exercised during the years ended December 31, 2016, 2015 and 2014 was $49 million, $102 million and $105 million, respectively. All stock options and SARs outstanding at December 31, 2016 are vested and exercisable.

CSAR award activity for all plans for the years ended December 31, 2016, 2015 and 2014 is as follows (CSARs in thousands):


	CSARs			Weighted Average Exercise Price		Weighted Average Remaining Contractual Term		Aggregate Intrinsic Value
	(In thousands)					(In years)		(In millions)
Balance at December 31, 2013		2,865		$	6.26
Granted		—			—
Exercised		(1,254	)		6.18
Forfeited		—			—
Expired		—			—

Balance at December 31, 2014		1,611		$	6.33
Granted		—			—
Exercised		(760	)		6.31
Forfeited		—			—
Expired		—			—

Balance at December 31, 2015		851		$	6.35
Granted		—			—
Exercised		(501	)		5.24
Forfeited		—			—
Expired		—			—

Balance at December 31, 2016		350		$	7.94		1.0	$	14

As of December 31, 2016, the weighted average fair value of outstanding CSARs was $38.57 per share and the related liability was $13 million. These CSARs are fully vested and exercisable and will continue to be remeasured at fair value at each reporting date until all awards are settled. Total cash paid for CSARs exercised during the years ended December 31, 2016, 2015 and 2014 was $18 million, $31 million and $42 million, respectively.

American Airlines, Inc. [Member]

Share-based Compensation

12. Share-based Compensation

American’s net income for the years ended December 31, 2016, 2015 and 2014 included $102 million, $274 million and $381 million, respectively, of share-based compensation costs. Of the 2015 and 2014 amounts, $198 million and $224 million, respectively, were related to awards granted to certain employees in connection with the Merger and recorded in special items, net on the accompanying consolidated statements of operations.

During 2016, 2015 and 2014, AAG withheld approximately 1.4 million, 7.0 million and 1.7 million shares of AAG common stock, respectively, and paid approximately $56 million, $306 million and $62 million, respectively, in satisfaction of certain tax withholding obligations associated with employee equity awards.

(a) Restricted Stock Unit Awards (RSUs)

AAG has granted RSUs with service conditions (time vested primarily over three years) and performance conditions. The grant-date fair value of RSUs is equal to the market price of the underlying shares of common stock on the date of grant. For time vested awards, the expense is recognized on a straight-line basis over the vesting period for the entire award. For awards with performance conditions, the expense is recognized based on the expected achievement at each reporting period. Stock-settled RSUs are classified as equity awards as the vesting results in the issuance of shares of AAG common stock. Cash-settled restricted stock unit awards (CRSUs) are classified as liability awards as the vesting results in payment of cash by AAG.

Stock-settled RSU award activity for all plans for the years ended December 31, 2016, 2015 and 2014 is as follows (shares in thousands):


	Number of Shares			Weighted Average Grant Date Fair Value
	(In thousands)
Outstanding at December 31, 2013		23,879		$	24.33
Granted		3,467			37.07
Vested and released		(4,193	)		23.84
Forfeited		(1,811	)		25.10

Outstanding at December 31, 2014		21,342		$	26.43
Granted		2,213			46.62
Vested and released		(17,163	)		25.20
Forfeited		(785	)		27.12

Outstanding at December 31, 2015		5,607		$	38.08
Granted		2,655			41.34
Vested and released		(2,754	)		34.83
Forfeited		(321	)		40.15

Outstanding at December 31, 2016		5,187		$	41.48

As of December 31, 2016, AAG had a nominal amount of CRSUs outstanding. The total cash paid for CRSUs vested during the years ended December 31, 2016, 2015 and 2014 was less than $1 million, $10 million and $12 million, respectively.

(b) Stock Options and Stock Appreciation Rights

AAG assumed US Airways Group’s outstanding stock options and stock appreciation rights in connection with the Merger using an exchange ratio of one to one. These stock options and stock appreciation rights were granted with an exercise price equal to the underlying common stock’s fair value at the date of each grant, have service conditions, become exercisable over a three-year vesting period and expire if unexercised at the end of their term, which ranges from seven to ten years. Stock options and stock-settled stock appreciation rights (SARs) are classified as equity awards as the exercise results in the issuance of shares of AAG common stock. Cash-settled stock appreciation rights (CSARs) are classified as liability awards as the exercise results in payment of cash by AAG. Compensation costs were expensed on a straight-line basis over the vesting period for the entire award. There are no unrecognized compensation costs as all awards outstanding are vested.

Stock option and SAR award activity for all plans for the years ended December 31, 2016, 2015 and 2014 is as follows (stock options and SARs in thousands):


	Stock Options and SARs			Weighted Average Exercise Price		Weighted Average Remaining Contractual Term		Aggregate Intrinsic Value
	(In thousands)					(In years)		(In millions)
Balance at December 31, 2013		11,158		$	12.84
Granted		—			—
Exercised		(4,109	)		10.74
Forfeited		—			—
Expired		(42	)		41.73

Balance at December 31, 2014		7,007		$	13.90
Granted		—			—
Exercised		(2,985	)		12.09
Forfeited		—			—
Expired		(9	)		45.75

Balance at December 31, 2015		4,013		$	15.17
Granted		—			—
Exercised		(1,738	)		14.49
Forfeited		—			—
Expired		(180	)		46.19

Balance at December 31, 2016		2,095		$	13.08		1.6	$	70

CSAR award activity for all plans for the years ended December 31, 2016, 2015 and 2014 is as follows (CSARs in thousands):


	CSARs			Weighted Average Exercise Price		Weighted Average Remaining Contractual Term		Aggregate Intrinsic Value
	(In thousands)					(In years)		(In millions)
Balance at December 31, 2013		2,865		$	6.26
Granted		—			—
Exercised		(1,254	)		6.18
Forfeited		—			—
Expired		—			—

Balance at December 31, 2014		1,611		$	6.33
Granted		—			—
Exercised		(760	)		6.31
Forfeited		—			—
Expired		—			—

Balance at December 31, 2015		851		$	6.35
Granted		—			—
Exercised		(501	)		5.24
Forfeited		—			—
Expired		—			—

Balance at December 31, 2016		350		$	7.94		1.0	$	14

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References + Details

Valuation and Qualifying Accounts

12 Months Ended

Dec. 31, 2016

Valuation and Qualifying Accounts

15. Valuation and Qualifying Accounts (in millions)


	Balance at Beginning of Year		Changes Charged to Statement of Operations Accounts		Write-offs (Net of Recoveries)			Sales, Retirements and Transfers			Balance at End of Year
Allowance for obsolescence of inventories
Year ended December 31, 2016	$	728	$	37	$	(3	)	$	3		$	765
Year ended December 31, 2015		673		50		(4	)		9			728
Year ended December 31, 2014		547		142		(4	)		(12	)		673
Allowance for uncollectible accounts
Year ended December 31, 2016	$	41	$	47	$	(52	)	$	—		$	36
Year ended December 31, 2015		17		46		(22	)		—			41
Year ended December 31, 2014		41		6		(30	)		—			17

American Airlines, Inc. [Member]

Valuation and Qualifying Accounts

13. Valuation and Qualifying Accounts (in millions)


	Balance at Beginning of Year		Changes Charged to Statement of Operations Accounts		Write-offs (Net of Recoveries)			Sales, Retirements and Transfers		Balance at End of Year
Allowance for obsolescence of inventories
Year ended December 31, 2016	$	689	$	28	$	—		$	3	$	720
Year ended December 31, 2015		638		42		—			9		689
Year ended December 31, 2014		504		135		(2	)		1		638
Allowance for uncollectible accounts
Year ended December 31, 2016	$	37	$	47	$	(49	)	$	—	$	35
Year ended December 31, 2015		14		45		(22	)		—		37
Year ended December 31, 2014		40		3		(29	)		—		14

Quarterly Financial Data (Unaudited)

12 Months Ended

Dec. 31, 2016

Quarterly Financial Data (Unaudited)

16. Quarterly Financial Data (Unaudited)

Unaudited summarized financial data by quarter for 2016 and 2015 (in millions, except share and per share amounts):


	First Quarter		Second Quarter		Third Quarter		Fourth Quarter
2016
Operating revenues	$	9,435	$	10,363	$	10,594	$	9,789
Operating expenses		8,100		8,612		9,163		9,022
Operating income		1,335		1,751		1,431		767
Net income		700		950		737		289
Earnings per share:
Basic	$	1.15	$	1.69	$	1.40	$	0.56
Diluted	$	1.14	$	1.68	$	1.40	$	0.56
Shares used for computation (in thousands):
Basic		606,245		563,000		525,415		514,571
Diluted		611,488		566,040		528,510		518,358

2015
Operating revenues	$	9,827	$	10,827	$	10,706	$	9,630
Operating expenses		8,611		8,906		8,707		8,562
Operating income		1,216		1,921		1,999		1,068
Net income		932		1,704		1,693		3,281
Earnings per share:
Basic	$	1.34	$	2.47	$	2.56	$	5.24
Diluted	$	1.30	$	2.41	$	2.49	$	5.09
Shares used for computation (in thousands):
Basic		696,415		688,727		661,869		626,559
Diluted		716,930		707,611		680,739		644,140

Our fourth quarter 2016 results include $273 million of total net special charges consisting principally of $121 million of Merger integration expenses, $104 million of fleet restructuring expenses and a $47 million net charge consisting of mark-to-market adjustments for bankruptcy obligations.

Our fourth quarter 2015 results include $2.0 billion of total net special credits consisting principally of a $3.0 billion non-cash tax benefit recorded in connection with the reversal of our tax valuation allowance, offset in part by a nonoperating net special charge of $592 million to write off all of the value of Venezuelan bolivars held by us due to continued lack of repatriations and deterioration of economic conditions in Venezuela and $450 million in total operating special charges primarily consisting of Merger integration expenses and fleet restructuring expenses.

American Airlines, Inc. [Member]

Quarterly Financial Data (Unaudited)

14. Quarterly Financial Data (Unaudited)

Unaudited summarized financial data by quarter for 2016 and 2015 (in millions):


	First Quarter		Second Quarter		Third Quarter		Fourth Quarter
2016
Operating revenues	$	9,427	$	10,360	$	10,591	$	9,786
Operating expenses		8,104		8,603		9,159		8,995
Operating income		1,323		1,757		1,432		791
Net income		710		972		758		341

2015
Operating revenues	$	9,811	$	10,814	$	10,694	$	9,619
Operating expenses		8,610		8,893		8,691		8,555
Operating income		1,201		1,921		2,003		1,064
Net income		937		1,709		1,723		3,751

American’s fourth quarter 2016 results include $273 million of total net special charges consisting principally of $121 million of Merger integration expenses, $104 million of fleet restructuring expenses and a $47 million net charge consisting of mark-to-market adjustments for bankruptcy obligations.

American’s fourth quarter 2015 results include $2.5 billion of total net special credits consisting principally of a $3.5 billion non-cash tax benefit recorded in connection with the reversal of American’s tax valuation allowance, offset in part by a nonoperating net special charge of $592 million to write off all of the value of Venezuelan bolivars held by American due to continued lack of repatriations and deterioration of economic conditions in Venezuela and $447 million in total operating special charges primarily consisting of Merger integration expenses and fleet restructuring expenses.

Subsequent Events	12 Months Ended
Subsequent Events	Dec. 31, 2016
Subsequent Events	17. Subsequent Events 2017-1 EETCs In January 2017, American created three pass-through trusts which issued approximately $983 million aggregate principal amount of Series 2017-1 Class AA, Class A and Class B EETCs (the 2017-1 EETCs) in connection with the financing of 24 aircraft scheduled to be delivered to American between January 2017 and May 2017 (the 2017-1 Aircraft). A portion of the proceeds received from the sale of the 2017-1 EETCs has been used to acquire Series AA, A and B equipment notes issued by American to the pass-through trusts and the balance of such proceeds is being held in escrow for the benefit of the holders of the 2017-1 EETCs until such time as American issues additional Series AA, A and B equipment notes to the pass-through trusts, which will purchase the equipment notes with escrowed funds. These escrowed funds are not guaranteed by American and are not reported as debt on our consolidated balance sheet because the proceeds held by the depository are not American’s assets. Series AA equipment notes bear interest at 3.65% per annum, Series A equipment notes bear interest at 4.00% per annum and Series B equipment notes bear interest at 4.95% per annum. Interest and principal payments on the equipment notes will be payable semi-annually in February and August of each year, with interest payments beginning in August 2017 and principal payments beginning in February 2018. The final payments on the Series AA and Series A equipment notes are due in February 2029 and the final payment on the Series B equipment notes is due in February 2025. The equipment notes are secured by liens on the 2017-1 Aircraft. Share Repurchase Program and Dividend Declaration In January 2017, we announced that our Board of Directors had authorized a new $2.0 billion share repurchase program that expires on December 31, 2018. Share repurchases under our share repurchase programs may be made through a variety of methods, which may include open market purchases, privately negotiated transactions, block trades or accelerated share repurchase transactions. Any such repurchases will be made from time to time subject to market and economic conditions, applicable legal requirements and other relevant factors. Our share repurchase programs do not obligate us to repurchase any specific number of shares and may be suspended at any time at our discretion. Also in January 2017, we announced that our Board of Directors had declared a $0.10 per share dividend for stockholders of record on February 13, 2017, and payable on February 27, 2017. Any future dividends that may be declared and paid from time to time will be subject to market and economic conditions, applicable legal requirements and other relevant factors. We are not obligated to continue a dividend for any fixed period, and payment of dividends may be suspended at any time at our discretion.
American Airlines, Inc. [Member]
Subsequent Events	16. Subsequent Events 2017-1 EETCs In January 2017, American created three pass-through trusts which issued approximately $983 million aggregate principal amount of Series 2017-1 Class AA, Class A and Class B EETCs (the 2017-1 EETCs) in connection with the financing of 24 aircraft scheduled to be delivered to American between January 2017 and May 2017 (the 2017-1 Aircraft). A portion of the proceeds received from the sale of the 2017-1 EETCs has been used to acquire Series AA, A and B equipment notes issued by American to the pass-through trusts and the balance of such proceeds is being held in escrow for the benefit of the holders of the 2017-1 EETCs until such time as American issues additional Series AA, A and B equipment notes to the pass-through trusts, which will purchase the equipment notes with escrowed funds. These escrowed funds are not guaranteed by American and are not reported as debt on its consolidated balance sheet because the proceeds held by the depository are not American’s assets. Series AA equipment notes bear interest at 3.65% per annum, Series A equipment notes bear interest at 4.00% per annum and Series B equipment notes bear interest at 4.95% per annum. Interest and principal payments on the equipment notes will be payable semi-annually in February and August of each year, with interest payments beginning in August 2017 and principal payments beginning in February 2018. The final payments on the Series AA and Series A equipment notes are due in February 2029 and the final payment on the Series B equipment notes is due in February 2025. The equipment notes are secured by liens on the 2017-1 Aircraft.

Transactions with Related Parties

12 Months Ended

Dec. 31, 2016

American Airlines, Inc. [Member]

Transactions with Related Parties

15. Transactions with Related Parties

The following represents the net receivables (payables) to related parties (in millions):


	December 31,
	2016			2015
AAG ⁽¹⁾	$	8,981		$	4,489
AAG’s wholly-owned subsidiaries ⁽²⁾		(2,171	)		(2,508	)

Total	$	6,810		$	1,981

⁽¹⁾	The increase in American’s net related party receivable from AAG is primarily due to American providing the cash funding for AAG’s share repurchase and dividend programs.

⁽²⁾	The net payable to AAG’s wholly-owned subsidiaries consists primarily of amounts due under regional capacity purchase agreements with AAG’s wholly-owned regional airlines operating under the brand name of American Eagle.

Pursuant to a capacity purchase agreement between American and AAG’s wholly-owned regional airlines operating as American Eagle, American purchases all of the capacity from these carriers and recognizes passenger revenue from flights operated by American Eagle. In 2016, 2015 and 2014, American recognized expense of approximately $1.5 billion, $1.2 billion and $1.2 billion, respectively, related to wholly-owned regional airline capacity purchase agreements.

Basis of Presentation and Summary of Significant Accounting Policies (Policies)

12 Months Ended

Dec. 31, 2016

Basis of Presentation

(a) Basis of Presentation

Short-term Investments

(b) Short-term Investments

Restricted Cash and Short-term Investments

(c) Restricted Cash and Short-term Investments

We have restricted cash and short-term investments related primarily to collateral held to support workers’ compensation obligations.

Aircraft Fuel, Spare Parts, and Supplies, Net

(d) Aircraft Fuel, Spare Parts, and Supplies, Net

Operating Property and Equipment

(e) Operating Property and Equipment


Principal Property and Equipment Classification	Estimated Useful Life
Aircraft, engines and related rotable parts		20 – 30 years
Buildings and improvements		Lesser of 5 – 30 years
Furniture, fixtures and other equipment		3 – 10 years
Capitalized software		5 – 10 years

Income Taxes

(f) Income Taxes

Goodwill

(g) Goodwill

Other Intangibles, Net

(h) Other Intangibles, Net

Intangible assets consist primarily of domestic airport slots, customer relationships, marketing agreements, international slots and route authorities, airport gate leasehold rights and tradenames.

Finite-Lived Intangible Assets

The following table provides information relating to our amortizable intangible assets as of December 31, 2016 and 2015 (in millions):


	December 31,
	2016			2015
Domestic airport slots	$	365		$	365
Customer relationships		300			300
Marketing agreements		105			105
Tradenames		35			35
Airport gate leasehold rights		137			137
Accumulated amortization		(578	)		(502	)

Total	$	364		$	440


2017	$	45
2018		41
2019		41
2020		41
2021		41
2022 and thereafter		155

Total	$	364

Indefinite-Lived Intangible Assets

Loyalty Program

(i) Loyalty Program

Revenue

(j) Revenue

Passenger Revenue

Passenger Taxes and Fees

Cargo Revenue

Cargo revenue is recognized when we provide the transportation.

Other Revenue

Maintenance, Materials and Repairs

(k) Maintenance, Materials and Repairs

Selling Expenses

(l) Selling Expenses

Share-based Compensation

(m) Share-based Compensation

Deferred Gains and Credits, Net

(n) Deferred Gains and Credits, Net

Foreign Currency Gains and Losses

(o) Foreign Currency Gains and Losses

Other Operating Expenses

(p) Other Operating Expenses

Regional Expenses

(q) Regional Expenses


	Year Ended December 31,
	2016		2015		2014
Aircraft fuel and related taxes	$	1,109	$	1,230	$	2,009
Salaries, wages and benefits		1,333		1,187		1,140
Capacity purchases from third-party regional carriers ⁽¹⁾		1,538		1,651		1,494
Maintenance, materials and repairs		345		323		367
Other rent and landing fees		564		504		444
Aircraft rent		36		34		35
Selling expenses		347		333		307
Depreciation and amortization		301		252		217
Special items, net		14		29		24
Other		457		440		479

Total regional expenses	$	6,044	$	5,983	$	6,516

⁽¹⁾	For the years ended December 31, 2016, 2015 and 2014, the component of capacity purchase expenses related to aircraft deemed to be leased was approximately $405 million, $492 million and $447 million, respectively.

Recent Accounting Pronouncements

(r) Recent Accounting Pronouncements

Revenue

Leases

Share-based Compensation

In March 2016, the FASB issued ASU 2016-09, “Compensation – Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting.” ASU 2016-09 simplifies the accounting for share-based payment award transactions including the financial statement presentation of excess tax benefits and deficiencies, classification of awards as either equity or liabilities, accounting for forfeitures and classification on the statement of cash flows. ASU 2016-09is effective for fiscal years beginning after December 15, 2016, including interim periods within those fiscal years. Early adoption is permitted. We early adopted this standard during the second quarter of 2016. The adoption of this standard resulted in the recognition of $418 million of previously unrecognized excess tax benefits in deferred tax assets and an increase to retained earnings on the consolidated balance sheet as of the beginning of the current year, and the recognition of $15 million of excess tax benefits in the income tax provision for the year ended December 31, 2016.

Fair Value Measurement

Statement of Cash Flows

American Airlines, Inc. [Member]

Basis of Presentation

(a) Basis of Presentation

Short-term Investments

(b) Short-term Investments

Restricted Cash and Short-term Investments

(c) Restricted Cash and Short-term Investments

American has restricted cash and short-term investments related primarily to collateral held to support workers’ compensation obligations.

Aircraft Fuel, Spare Parts, and Supplies, Net

(d) Aircraft Fuel, Spare Parts, and Supplies, Net

Operating Property and Equipment

(e) Operating Property and Equipment


Principal Property and Equipment Classification	Estimated Useful Life
Aircraft, engines and related rotable parts		20 – 30 years
Buildings and improvements		Lesser of 5 - 30 years
Furniture, fixtures and other equipment		3 - 10 years
Capitalized software		5 - 10 years

Income Taxes

(f) Income Taxes

Goodwill

(g) Goodwill

Goodwill is measured for impairment by initially performing a qualitative assessment and, if necessary, then comparing the fair value of the reporting unit to its carrying value, including goodwill. If the fair value of the reporting unit is less than the carrying value, a second step is performed to determine the implied fair value of goodwill. If the implied fair value of goodwill is lower than its carrying value, an impairment charge equal to the difference is recorded. Based upon American’s annual assessment, there was no goodwill impairment in 2016. The carrying value of the goodwill on American’s consolidated balance sheets was $4.1 billion as of December 31, 2016 and 2015.

Other Intangibles, Net

(h) Other Intangibles, Net

Intangible assets consist primarily of domestic airport slots, customer relationships, marketing agreements, international slots and route authorities, airport gate leasehold rights and tradenames.

Finite-Lived Intangible Assets

The following table provides information relating to American’s amortizable intangible assets as of December 31, 2016 and 2015 (in millions):


	December 31,
	2016			2015
Domestic airport slots	$	365		$	365
Customer relationships		300			300
Marketing agreements		105			105
Tradenames		35			35
Airport gate leasehold rights		137			137
Accumulated amortization		(578	)		(502	)

Total	$	364		$	440


2017	$	45
2018		41
2019		41
2020		41
2021		41
2022 and thereafter		155

Total	$	364

Indefinite-Lived Intangible Assets

Loyalty Program

(i) Loyalty Program

The incremental cost liability includes all mileage credits, even mileage credits for members whose account balances have not yet reached the minimum level required to redeem an award. Mileage credits are subject to expiration. The liability for outstanding mileage credits is valued based on the estimated incremental cost of carrying one additional passenger. The estimated incremental cost primarily includes unit costs incurred for fuel, food and insurance as well as fees incurred when travel awards are redeemed on partner airlines. In calculating the liability, American estimates how many mileage credits will never be redeemed for travel and excludes those mileage credits from the estimate of the liability. Estimates are also made for the number of miles that will be used per award redemption and the number of travel awards that will be redeemed on partner airlines. These costs and estimates are based on American’s historical program experience as well as consideration of enacted program changes, as applicable. Changes in the liability resulting from members earning additional mileage credits or changes in estimates are recorded in the consolidated statements of operations as a part of passenger revenue.

The transportation component represents the estimated selling price of future travel awards and is determined using historical transaction information, including information related to customer redemption patterns. The transportation component is deferred based on its relative selling price and is amortized into passenger revenue on a straight-line basis over the period in which the mileage credits are expected to be redeemed for travel. As of December 31, 2016 and 2015, American had $2.1 billion and $1.5 billion, respectively, in deferred revenue from the sale of mileage credits recorded within loyalty program liability on its consolidated balance sheets.

Revenue

(j) Revenue

Passenger Revenue

Passenger revenue is recognized when transportation is provided. Ticket sales for transportation that has not yet been provided are initially deferred and recorded as air traffic liability on the consolidated balance sheets. The air traffic liability represents tickets sold for future travel dates and estimated future refunds and exchanges of tickets sold for past travel dates. The balance in the air traffic liability fluctuates throughout the year based on seasonal travel patterns and fare sale activity. American’s air traffic liability was $3.9 billion and $3.7 billion as of December 31, 2016 and 2015, respectively.

The majority of tickets sold are nonrefundable. A small percentage of tickets, some of which are partially used tickets, expire unused. Due to complex pricing structures, refund and exchange policies, and interline agreements with other airlines, certain amounts are recognized in passenger revenue using estimates regarding both the timing of the revenue recognition and the amount of revenue to be recognized. These estimates are generally based on the analysis of American’s historical data. American and other airline industry participants have consistently applied this accounting method to estimate revenue from forfeited tickets at the date of travel. Estimated future refunds and exchanges included in the air traffic liability are routinely evaluated based on subsequent activity to validate the accuracy of American’s estimates. Any adjustments resulting from periodic evaluations of the estimated air traffic liability are included in passenger revenue during the period in which the evaluations are completed.

Passenger Taxes and Fees

Cargo Revenue

Cargo revenue is recognized when American provides the transportation.

Other Revenue

Maintenance, Materials and Repairs

(k) Maintenance, Materials and Repairs

Selling Expenses

(l) Selling Expenses

Share-based Compensation

(m) Share-based Compensation

Deferred Gains and Credits, Net

(n) Deferred Gains and Credits, Net

Included within deferred gains and credits, net are amounts deferred and amortized into future periods associated with the adjustment of leases to fair value in connection with the application of acquisition accounting, deferred gains on the sale-leaseback of aircraft and certain vendor incentives. American periodically receives vendor incentives in connection with acquisition of aircraft and engines. These credits are deferred until aircraft and engines are delivered and then applied as a reduction to the cost of the related equipment.

Foreign Currency Gains and Losses

(o) Foreign Currency Gains and Losses

Other Operating Expenses

(p) Other Operating Expenses

Regional Expenses

(q) Regional Expenses


	Year Ended December 31,
	2016		2015		2014
Aircraft fuel and related taxes	$	1,109	$	1,230	$	2,009
Salaries, wages and benefits		327		276		228
Capacity purchases from third-party regional carriers ⁽¹⁾		3,186		3,137		2,858
Maintenance, materials and repairs		4		4		6
Other rent and landing fees		487		434		386
Aircraft rent		28		28		27
Selling expenses		347		333		307
Depreciation and amortization		237		197		168
Special items, net		13		18		5
Other		271		295		483

Total regional expenses	$	6,009	$	5,952	$	6,477

⁽¹⁾	For the years ended December 31, 2016, 2015 and 2014, the component of capacity purchase expenses related to aircraft deemed to be leased was approximately $405 million, $492 million and $447 million, respectively.

Recent Accounting Pronouncements

(r) Recent Accounting Pronouncements

Revenue

In May 2014, the Financial Accounting Standards Board (FASB) issued ASU 2014-09, “Revenue from Contracts with Customers (Topic 606).” ASU 2014-09 completes the joint effort by the FASB and International Accounting Standards Board (IASB) to improve financial reporting by creating common revenue recognition guidance for GAAP and International Financial Reporting Standards (IFRS). Subsequently, the FASB has issued several additional ASUs to clarify the implementation. The new revenue standard applies to all companies that enter into contracts with customers to transfer goods or services and is effective for public entities for interim and annual reporting periods beginning after December 15, 2017. Early adoption is permitted; however, American currently expects to adopt the new revenue standard effective January 1, 2018. Entities have the choice to apply the new revenue standard either retrospectively to each reporting period presented or by recognizing the cumulative effect of applying the new revenue standard at the date of initial application and not adjusting comparative information. American currently expects to adopt the new revenue standard using the full retrospective method.

Leases

In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842).” ASU 2016-02 requires lessees to recognize a lease liability and a right-of-use asset on the balance sheet and aligns many of the underlying principles of the new lessor model with those in Accounting Standards Codification Topic 606, Revenue from Contracts with Customers. ASU 2016-02 is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early adoption is permitted. Entities are required to adopt the new lease standard using a modified retrospective approach for all leases existing at or commencing after the date of initial application with an option to use certain practical expedients. American is currently evaluating how the adoption of the new lease standard will impact its consolidated financial statements. Interpretations are on-going and could have a material impact on American’s implementation. Currently, American expects that the adoption of the new lease standard will have a material impact on its consolidated balance sheet due to the recognition of right-of-use assets and lease liabilities principally for certain leases currently accounted for as operating leases.

Share-based Compensation

Fair Value Measurement

In May 2015, the FASB issued ASU 2015-07, “Fair Value Measurement (Topic 820): Disclosures for Investments in Certain Entities that Calculate Net Asset Value per Share (or its Equivalent).” ASU 2015-07 requires that investments using the practical expedient to measure fair value at net asset value per share (or its equivalent) be excluded from the fair value hierarchy. Although the investments are not characterized within the fair value hierarchy, the amount of investments measured using the practical expedient must still be disclosed to allow for reconciliation of the total investments in the fair value hierarchy to total investments in the notes to the consolidated financial statements. ASU 2015-07 is effective for fiscal years beginning after December 15, 2015. American adopted this standard retrospectively during the year ended December 31, 2016. The adoption impacted the fair value hierarchy disclosures of American’s benefit plan assets, see Note 7 for further discussion.

Statement of Cash Flows

Basis of Presentation and Summary of Significant Accounting Policies (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Estimated Useful Lives of Principal Property and Equipment

The estimated useful lives for the principal property and equipment classifications are as follows:


Principal Property and Equipment Classification	Estimated Useful Life
Aircraft, engines and related rotable parts		20 – 30 years
Buildings and improvements		Lesser of 5 – 30 years
Furniture, fixtures and other equipment		3 – 10 years
Capitalized software		5 – 10 years

Schedule of Amortizable Intangible Assets

The following table provides information relating to our amortizable intangible assets as of December 31, 2016 and 2015 (in millions):


	December 31,
	2016			2015
Domestic airport slots	$	365		$	365
Customer relationships		300			300
Marketing agreements		105			105
Tradenames		35			35
Airport gate leasehold rights		137			137
Accumulated amortization		(578	)		(502	)

Total	$	364		$	440

Schedule of Future Amortization Expense

We expect to record annual amortization expense for these intangible assets as follows (in millions):


2017	$	45
2018		41
2019		41
2020		41
2021		41
2022 and thereafter		155

Total	$	364

Components of Regional Expenses

Regional expenses consist of the following (in millions):


	Year Ended December 31,
	2016		2015		2014
Aircraft fuel and related taxes	$	1,109	$	1,230	$	2,009
Salaries, wages and benefits		1,333		1,187		1,140
Capacity purchases from third-party regional carriers ⁽¹⁾		1,538		1,651		1,494
Maintenance, materials and repairs		345		323		367
Other rent and landing fees		564		504		444
Aircraft rent		36		34		35
Selling expenses		347		333		307
Depreciation and amortization		301		252		217
Special items, net		14		29		24
Other		457		440		479

Total regional expenses	$	6,044	$	5,983	$	6,516

⁽¹⁾	For the years ended December 31, 2016, 2015 and 2014, the component of capacity purchase expenses related to aircraft deemed to be leased was approximately $405 million, $492 million and $447 million, respectively.

American Airlines, Inc. [Member]

Schedule of Estimated Useful Lives of Principal Property and Equipment

The estimated useful lives for the principal property and equipment classifications are as follows:


Principal Property and Equipment Classification	Estimated Useful Life
Aircraft, engines and related rotable parts		20 – 30 years
Buildings and improvements		Lesser of 5 - 30 years
Furniture, fixtures and other equipment		3 - 10 years
Capitalized software		5 - 10 years

Schedule of Amortizable Intangible Assets

The following table provides information relating to American’s amortizable intangible assets as of December 31, 2016 and 2015 (in millions):


	December 31,
	2016			2015
Domestic airport slots	$	365		$	365
Customer relationships		300			300
Marketing agreements		105			105
Tradenames		35			35
Airport gate leasehold rights		137			137
Accumulated amortization		(578	)		(502	)

Total	$	364		$	440

Schedule of Future Amortization Expense

American expects to record annual amortization expense for these intangible assets as follows (in millions):


2017	$	45
2018		41
2019		41
2020		41
2021		41
2022 and thereafter		155

Total	$	364

Components of Regional Expenses

Regional expenses consist of the following (in millions):


	Year Ended December 31,
	2016		2015		2014
Aircraft fuel and related taxes	$	1,109	$	1,230	$	2,009
Salaries, wages and benefits		327		276		228
Capacity purchases from third-party regional carriers ⁽¹⁾		3,186		3,137		2,858
Maintenance, materials and repairs		4		4		6
Other rent and landing fees		487		434		386
Aircraft rent		28		28		27
Selling expenses		347		333		307
Depreciation and amortization		237		197		168
Special items, net		13		18		5
Other		271		295		483

Total regional expenses	$	6,009	$	5,952	$	6,477

⁽¹⁾	For the years ended December 31, 2016, 2015 and 2014, the component of capacity purchase expenses related to aircraft deemed to be leased was approximately $405 million, $492 million and $447 million, respectively.

Special Items, Net (Tables)

12 Months Ended

Dec. 31, 2016

Components of Company's Special Items, Net Included in Consolidated Statements of Operations

Special items, net on the consolidated statements of operations consisted of the following (in millions):


	Year Ended December 31,
	2016		2015		2014
Mainline operating special items, net ⁽¹⁾	$	709	$	1,051	$	800

⁽¹⁾	The 2016 mainline operating special items totaled a net charge of $709 million, which principally included $514 million of Merger integration expenses, $177 million of fleet restructuring expenses and a $25 million net charge consisting of mark-to-market adjustments for bankruptcy obligations.

The following additional amounts are also included in the consolidated statements of operations as follows (in millions):


	Year Ended December 31,
	2016		2015			2014
Regional operating special items, net ⁽¹⁾	$	14	$	29		$	24
Nonoperating special items, net ⁽²⁾		49		594			132
Income tax special items, net ⁽³⁾		—		(3,015	)		346

⁽¹⁾	The 2016 and 2015 regional operating special items, net principally related to Merger integration expenses.

The 2014 regional operating special items, net consisted primarily of a $24 million charge due to a new pilot labor contract at our Envoy regional subsidiary.

⁽²⁾	The 2016 nonoperating special items totaled a net charge of $49 million, which consisted of debt issuance and extinguishment costs associated with bond and term loan refinancings.

⁽³⁾

American Airlines, Inc. [Member]

Components of Company's Special Items, Net Included in Consolidated Statements of Operations

Special items, net on the consolidated statements of operations consisted of the following (in millions):


	Year Ended December 31,
	2016		2015		2014
Mainline operating special items, net ⁽¹⁾	$	709	$	1,051	$	783

⁽¹⁾	The 2016 mainline operating special items totaled a net charge of $709 million, which principally included $514 million of Merger integration expenses, $177 million of fleet restructuring expenses and a $25 million net charge consisting of mark-to-market adjustments for bankruptcy obligations.

The following additional amounts are also included in the consolidated statements of operations as follows (in millions):


	Year Ended December 31,
	2016		2015			2014
Regional operating special items, net ⁽¹⁾	$	13	$	18		$	5
Nonoperating special items, net ⁽²⁾		49		616			128
Income tax special items, net ⁽³⁾		—		(3,468	)		344

⁽¹⁾	The 2016, 2015 and 2014 regional operating special items, net principally related to Merger integration expenses.

⁽²⁾	The 2016 nonoperating special items totaled a net charge of $49 million, which consisted of debt issuance and extinguishment costs associated with bond and term loan refinancings.

⁽³⁾

Earnings Per Common Share (Tables)

12 Months Ended

Dec. 31, 2016

Earnings Per Share [Abstract]

Computation of Basic and Diluted Earnings per Common Share

The following table sets forth the computation of basic and diluted earnings per common share (EPS) (in millions, except share and per share amounts in thousands):


	Year Ended December 31,
	2016		2015		2014
Basic EPS:
Net income	$	2,676	$	7,610	$	2,882
Weighted average common shares outstanding (in thousands)		552,308		668,393		717,456

Basic EPS	$	4.85	$	11.39	$	4.02

Diluted EPS:
Net income	$	2,676	$	7,610	$	2,882
Change in fair value of conversion feature on 7.25% convertible senior notes ^(a)		—		—		3

Net income for purposes of computing diluted EPS	$	2,676	$	7,610	$	2,885
Share computation for diluted EPS (in thousands):
Basic weighted average common shares outstanding		552,308		668,393		717,456
Dilutive effect of stock awards		3,791		18,962		15,603
Assumed conversion of convertible senior notes		—		—		957

Diluted weighted average common shares outstanding		556,099		687,355		734,016

Diluted EPS	$	4.81	$	11.07	$	3.93

The following were excluded from the calculation of diluted EPS (in thousands):
Stock options, SARs and RSUs because inclusion would be antidilutive		1,429		764		226

^(a)

Share Repurchase Programs and Dividends (Tables)

12 Months Ended

Dec. 31, 2016

Equity [Abstract]

Summary of Cash Dividends Declared

Our Board of Directors declared the following cash dividends:


Year Ended December 31	Period	Per share		For stockholders of record as of	Payable on	Cash paid (millions)
2016	Fourth Quarter	$	0.10	November 7, 2016	November 21, 2016	$	52
	Third Quarter		0.10	August 5, 2016	August 19, 2016		53
	Second Quarter		0.10	May 4, 2016	May 18, 2016		58
	First Quarter		0.10	February 10, 2016	February 24, 2016		61

	Total	$	0.40			$	224

2015	Fourth Quarter	$	0.10	November 5, 2015	November 19, 2015	$	72
	Third Quarter		0.10	August 10, 2015	August 24, 2015		66
	Second Quarter		0.10	May 4, 2015	May 18, 2015		70
	First Quarter		0.10	February 9, 2015	February 23, 2015		70

	Total	$	0.40			$	278

2014	Fourth Quarter	$	0.10	November 3, 2014	November 17, 2014	$	72
	Third Quarter		0.10	August 4, 2014	August 18, 2014		72

	Total	$	0.20			$	144

Debt (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Long-Term Debt

Long-term debt and capital lease obligations included in the consolidated balance sheets consisted of (in millions):


	December 31,
	2016		2015
Secured
2013 Credit Facilities, variable interest rate of 3.26%, installments through 2020 ^(a)	$	1,843	$	1,867
2014 Credit Facilities, variable interest rate of 3.25%, installments through 2021 ^(a)		735		743
April 2016 Credit Facilities, variable interest rate of 3.26%, installments through 2023 ^(a)		1,000		—
December 2016 Credit Facilities, variable interest rate of 3.25%, installments through 2023 ^(a)		1,250		—
2013 Citicorp Credit Facility Tranche B-1 ^(b)		—		980
2013 Citicorp Credit Facility Tranche B-2 ^(b)		—		588
Aircraft enhanced equipment trust certificates (EETCs), fixed interest rates ranging from 3.00% to 9.75%, maturing from 2017 to 2028 ^(c)		10,912		8,693
Equipment loans and other notes payable, fixed and variable interest rates ranging from 1.81% to 8.48%, maturing from 2017 to 2028 ^(d)		5,343		4,183
Special facility revenue bonds, fixed interest rates ranging from 5.00% to 8.00%, maturing from 2017 to 2035 ^(e)		891		1,080
Other secured obligations, fixed interest rates ranging from 3.60% to 12.24%, maturing from 2017 to 2028		849		923

		22,823		19,057

Unsecured
5.50% senior notes, interest only payments until due in 2019 ^(f)		750		750
6.125% senior notes, interest only payments until due in 2018 ^(f)		500		500
4.625% senior notes, interest only payments until due in 2020 ^(f)		500		500

		1,750		1,750

Total long-term debt and capital lease obligations		24,573		20,807
Less: Total unamortized debt discount, debt premium and debt issuance costs		229		246
Less: Current maturities		1,855		2,231

Long-term debt and capital lease obligations, net of current maturities	$	22,489	$	18,330

Schedule of Credit Facilities

The table below shows availability under revolving credit facilities, all of which were undrawn, as of December 31, 2016 (in millions):


2013 Revolving Facility	$	1,400
2014 Revolving Facility		1,025

Total	$	2,425

2013 Credit Facilities

2014 Credit Facilities

April and December

2016 Credit Facilities

2013 Term
Loan

2013 Revolving
Facility

2014 Term

Loan

2014 Revolving
Facility

April 2016

Term Loan

December 2016

Term Loan

Aggregate principal issued or credit facility availability

$1.9 billion

$1.4 billion

$750 million

$1.025 billion

$1.0 billion

$1.25 billion

Principal outstanding or drawn

$1.84 billion

$—

$735 million

$—

$1.0 billion

$1.25 billion

Maturity date

June 2020

October 2020

October 2021

October 2020

April 2023

December 2023

London Interbank Offered Rate (LIBOR) margin

2.50%⁽¹⁾,⁽²⁾

3.00%

2.50%⁽¹⁾

3.00%

2.50%⁽¹⁾

⁽¹⁾	LIBOR margin is subject to a floor of 0.75%.

⁽²⁾	As AAG’s corporate credit rating was Ba3 or higher from Moody’s and BB- or higher from Standard and Poor’s (S&P) as of December 31, 2016, the applicable LIBOR margin is 2.50% for the 2013 Term Loan; otherwise, the LIBOR margin would be 2.75%.

Schedule of Collateral Coverage Tests

Specifically, we are required to meet certain collateral coverage tests on an annual basis for four credit facilities, as described below:


	2013 Credit Facilities	2014 Credit Facilities	April 2016 Credit Facilities	December 2016 Credit Facilities
Frequency of Appraisals of Appraised Collateral	Annual	Annual	Annual	Annual
LTV Requirement	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)
LTV as of Last Measurement Date	31.5%	23.2%	47.7%	61.8%
Collateral Description	Generally, certain slots, route authorities, and airport gate leasehold rights used by American to operate all services between the U.S. and South America	Generally, certain slots, route authorities and airport gate leasehold rights used by American to operate certain services between the U.S. and London Heathrow	Certain spare parts	Generally, certain Ronald Reagan Washington National Airport (DCA) slots, certain La Guardia Airport (LGA) slots, and certain simulators

Schedule of Maturities of Long-Term Debt and Capital Lease Obligations

At December 31, 2016, the maturities of long-term debt and capital lease obligations are as follows (in millions):


2017	$	1,899
2018		2,454
2019		2,758
2020		3,922
2021		2,681
2022 and thereafter		10,859

Total	$	24,573

American Airlines, Inc. [Member]

Schedule of Long-Term Debt

Long-term debt and capital lease obligations included in the consolidated balance sheets consisted of (in millions):


	December 31,
	2016		2015
Secured
2013 Credit Facilities, variable interest rate of 3.26%, installments through 2020 ^(a)	$	1,843	$	1,867
2014 Credit Facilities, variable interest rate of 3.25%, installments through 2021 ^(a)		735		743
April 2016 Credit Facilities, variable interest rate of 3.26%, installments through 2023 ^(a)		1,000		—
December 2016 Credit Facilities, variable interest rate of 3.25%, installments through 2023 ^(a)		1,250		—
2013 Citicorp Credit Facility Tranche B-1 ^(b)		—		980
2013 Citicorp Credit Facility Tranche B-2 ^(b)		—		588
Aircraft enhanced equipment trust certificates (EETCs), fixed interest rates ranging from 3.00% to 9.75%, maturing from 2017 to 2028 ^(c)		10,912		8,693
Equipment loans and other notes payable, fixed and variable interest rates ranging from 1.81% to 8.48%, maturing from 2017 to 2028 ^(d)		5,343		4,183
Special facility revenue bonds, fixed interest rates ranging from 5.00% to 5.50%, maturing from 2017 to 2035 ^(e)		862		1,051
Other secured obligations, fixed interest rates ranging from 3.60% to 12.24%, maturing from 2017 to 2028		848		922

		22,793		19,027

Unsecured
Affiliate unsecured obligations		—		27

		—		27

Total long-term debt and capital lease obligations		22,793		19,054
Less: Total unamortized debt discount, debt premium and debt issuance costs		216		228
Less: Current maturities		1,859		2,234

Long-term debt and capital lease obligations, net of current maturities	$	20,718	$	16,592

Schedule of Credit Facilities

The table below shows availability under revolving credit facilities, all of which were undrawn, as of December 31, 2016 (in millions):


2013 Revolving Facility	$	1,400
2014 Revolving Facility		1,025

Total	$	2,425

2013 Credit Facilities

2014 Credit Facilities

April and December

2016 Credit Facilities

2013 Term

Loan

2013 Revolving
Facility

2014 Term

Loan

2014 Revolving
Facility

April 2016

Term Loan

December 2016

Term Loan

Aggregate principal issued or credit facility availability

$1.9 billion

$1.4 billion

$750 million

$1.025 billion

$1.0 billion

$1.25 billion

Principal outstanding or drawn

$1.84 billion

$—

$735 million

$—

$1.0 billion

$1.25 billion

Maturity date

June 2020

October 2020

October 2021

October 2020

April 2023

December 2023

London Interbank Offered Rate (LIBOR) margin

2.50% ⁽¹⁾, ⁽²⁾

3.00%

2.50% ⁽¹⁾

3.00%

2.50% ⁽¹⁾

⁽¹⁾	LIBOR margin is subject to a floor of 0.75%.

⁽²⁾	As AAG’s corporate credit rating was Ba3 or higher from Moody’s and BB- or higher from Standard and Poor’s (S&P) as of December 31, 2016, the applicable LIBOR margin is 2.50% for the 2013 Term Loan; otherwise, the LIBOR margin would be 2.75%.

Schedule of Collateral Coverage Tests

Specifically, American is required to meet certain collateral coverage tests on an annual basis for four credit facilities, as described below:


	2013 Credit Facilities	2014 Credit Facilities	April 2016 Credit Facilities	December 2016 Credit Facilities
Frequency of Appraisals of Appraised Collateral	Annual	Annual	Annual	Annual
LTV Requirement	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)	1.6x Collateral valuation to amount of debt outstanding (62.5% LTV)
LTV as of Last Measurement Date	31.5%	23.2%	47.7%	61.8%
Collateral Description	Generally, certain slots, route authorities, and airport gate leasehold rights used by American to operate all services between the U.S. and South America	Generally, certain slots, route authorities and airport gate leasehold rights used by American to operate certain services between the U.S. and London Heathrow	Certain spare parts	Generally, certain Ronald Reagan Washington National Airport (DCA) slots, certain La Guardia Airport (LGA) slots, and certain simulators

Schedule of Maturities of Long-Term Debt and Capital Lease Obligations

At December 31, 2016, the maturities of long-term debt and capital lease obligations are as follows (in millions):


2017	$	1,899
2018		1,954
2019		2,008
2020		3,416
2021		2,679
2022 and thereafter		10,837

Total	$	22,793

Enhanced Equipment Trust Certificates (EETC) [Member] | Secured Debt [Member]

Schedule of Long-Term Debt

The details of the 2016-1 EETC equipment notes issued by American in three series are reflected in the table below as of December 31, 2016:


	2016-1 EETCs
	Series AA	Series A	Series B
Aggregate principal issued	$584 million	$262 million	$228 million
Fixed interest rate per annum	3.575%	4.10%	5.25%
Maturity date	January 2028	January 2028	January 2024

The details of the 2016-2 EETC equipment notes issued by American in three series are reflected in the table below as of December 31, 2016:


	2016-2 EETCs
	Series AA	Series A	Series B
Aggregate principal issued	$567 million	$261 million	$227 million
Fixed interest rate per annum	3.20%	3.65%	4.375%
Maturity date	June 2028	June 2028	June 2024

The details of the 2016-3 EETC equipment notes issued by American in two series are reflected in the table below as of December 31, 2016:


	2016-3 EETCs
	Series AA	Series A
Aggregate principal issued	$558 million	$256 million
Remaining escrowed proceeds	$75 million	$34 million
Fixed interest rate per annum	3.00%	3.25%
Maturity date	October 2028	October 2028

Enhanced Equipment Trust Certificates (EETC) [Member] | American Airlines, Inc. [Member] | Secured Debt [Member]

Schedule of Long-Term Debt

The details of the 2016-1 EETC equipment notes issued by American in three series are reflected in the table below as of December 31, 2016:


	2016-1 EETCs
	Series AA	Series A	Series B
Aggregate principal issued	$584 million	$262 million	$228 million
Fixed interest rate per annum	3.575%	4.10%	5.25%
Maturity date	January 2028	January 2028	January 2024

The details of the 2016-2 EETC equipment notes issued by American in three series are reflected in the table below as of December 31, 2016:


	2016-2 EETCs
	Series AA	Series A	Series B
Aggregate principal issued	$567 million	$261 million	$227 million
Fixed interest rate per annum	3.20%	3.65%	4.375%
Maturity date	June 2028	June 2028	June 2024

The details of the 2016-3 EETC equipment notes issued by American in two series are reflected in the table below as of December 31, 2016:


	2016-3 EETCs
	Series AA	Series A
Aggregate principal issued	$558 million	$256 million
Remaining escrowed proceeds	$75 million	$34 million
Fixed interest rate per annum	3.00%	3.25%
Maturity date	October 2028	October 2028

Senior Notes [Member] | Unsecured Debt [Member]

Schedule of Long-Term Debt

The details of our 5.50%, 6.125% and 4.625% senior notes are shown in the table below as of December 31, 2016:


	5.50% Senior Notes	6.125% Senior Notes	4.625% Senior Notes
Aggregate principal issued and outstanding	$750 million	$500 million	$500 million
Maturity date	October 2019	June 2018	March 2020
Fixed interest rate per annum	5.50%	6.125%	4.625%
Interest payments	Semi-annually in arrears in April and October	Semi-annually in arrears in June and December	Semi-annually in arrears in March and September

Income Taxes (Tables)

12 Months Ended

Dec. 31, 2016

Components of Income Tax Provision (Benefit)

The significant components of the income tax provision (benefit) were (in millions):


	Year Ended December 31,
	2016		2015			2014
Current income tax provision (benefit):
Federal	$	—	$	—		$	(25	)
State and Local		12		20			9

Current income tax provision (benefit)		12		20			(16	)

Deferred income tax provision (benefit):
Federal		1,508		(2,884	)		345
State and Local		103		(130	)		1

Deferred income tax provision (benefit)		1,611		(3,014	)		346

Total income tax provision (benefit)	$	1,623	$	(2,994	)	$	330

Computation of Income Tax Provision (Benefit)

The income tax provision (benefit) differed from amounts computed at the statutory federal income tax rate as follows (in millions):


	Year Ended December 31,
	2016		2015			2014
Statutory income tax provision	$	1,505	$	1,616		$	1,123
State income tax provision, net of federal tax effect		63		72			75
Book expenses (benefits) not deductible for tax purposes		34		57			(1	)
Bankruptcy administration expenses		1		3			95
Alternative minimum tax (AMT) credit refund		—		—			(24	)
Change in valuation allowance		7		(4,742	)		(1,323	)
Income tax provision resulting from OCI allocation		—		—			330
Other, net		13		—			55

Income tax provision (benefit)	$	1,623	$	(2,994	)	$	330

Deferred Tax Assets and Liabilities

The components of our deferred tax assets and liabilities were (in millions):


	December 31,
	2016			2015
Deferred tax assets:
Operating loss carryforwards	$	3,853		$	2,558
Pensions		2,610			2,436
Loyalty program liability		485			590
Alternative minimum tax credit carryforwards		344			346
Postretirement benefits other than pensions		291			340
Rent expense		256			134
Gains from lease transactions		213			262
Reorganization items		53			57
Other		972			1,200

Total deferred tax assets		9,077			7,923
Valuation allowance		(29	)		(22	)

Net deferred tax assets		9,048			7,901

Deferred tax liabilities:
Accelerated depreciation and amortization		(7,216	)		(5,158	)
Other		(345	)		(266	)

Total deferred tax liabilities		(7,561	)		(5,424	)

Net deferred tax asset	$	1,487		$	2,477

American Airlines, Inc. [Member]

Components of Income Tax Provision (Benefit)

The significant components of the income tax provision (benefit) were (in millions):


	Year Ended December 31,
	2016		2015			2014
Current income tax provision (benefit):
Federal	$	—	$	—		$	(30	)
State and Local		10		15			6

Current income tax provision (benefit)		10		15			(24	)

Deferred income tax provision (benefit):
Federal		1,559		(3,407	)		342
State and Local		93		(60	)		2

Deferred income tax provision (benefit)		1,652		(3,467	)		344

Total income tax provision (benefit)	$	1,662	$	(3,452	)	$	320

Computation of Income Tax Provision (Benefit)

The income tax provision (benefit) differed from amounts computed at the statutory federal income tax rate as follows (in millions):


	Year Ended December 31,
	2016			2015			2014
Statutory income tax provision	$	1,555		$	1,635		$	1,144
State income tax provision, net of federal tax effect		67			71			81
Book expenses not deductible for tax purposes		32			55			4
Bankruptcy administration expenses		1			3			86
Alternative minimum tax (AMT) credit refund		—			—			(29	)
Change in valuation allowance		(1	)		(5,216	)		(1,285	)
Income tax provision resulting from OCI allocation		—			—			328
Other, net		8			—			(9	)

Income tax provision (benefit)	$	1,662		$	(3,452	)	$	320

Deferred Tax Assets and Liabilities

The components of American’s deferred tax assets and liabilities were (in millions):


	December 31,
	2016			2015
Deferred tax assets:
Operating loss carryforwards	$	4,087		$	2,818
Pensions		2,595			2,420
Loyalty program liability		485			590
Alternative minimum tax credit carryforwards		456			458
Postretirement benefits other than pensions		291			340
Rent expense		256			134
Gains from lease transactions		213			261
Reorganization items		53			57
Other		911			1,123

Total deferred tax assets		9,347			8,201
Valuation allowance		(13	)		(14	)

Net deferred tax assets		9,334			8,187

Deferred tax liabilities:
Accelerated depreciation and amortization		(7,101	)		(5,011	)
Other		(335	)		(244	)

Total deferred tax liabilities		(7,436	)		(5,255	)

Net deferred tax asset	$	1,898		$	2,932

Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2016

Summary of Assets Measured at Fair Value on Recurring Basis

Assets measured at fair value on a recurring basis are summarized below (in millions):


	Fair Value Measurements as of December 31, 2016
	Total		Level 1		Level 2		Level 3
Short-term investments ⁽¹⁾, ⁽²⁾:
Money market funds	$	589	$	589	$	—	$	—
Corporate obligations		2,550		—		2,550		—
Bank notes/certificates of deposit/time deposits		2,898		—		2,898		—

		6,037		589		5,448		—
Restricted cash and short-term investments ⁽¹⁾		638		638		—		—

Total	$	6,675	$	1,227	$	5,448	$	—

⁽¹⁾	Unrealized gains or losses on short-term investments and restricted cash and short-term investments are recorded in accumulated other comprehensive income (loss) at each measurement date.

⁽²⁾	All short-term investments are classified as available-for-sale and stated at fair value. Our short-term investments mature in one year or less except for $385 million of bank notes/certificates of deposit/time deposits and $230 million of corporate obligations.


	Fair Value Measurements as of December 31, 2015
	Total		Level 1		Level 2		Level 3
Short-term investments ⁽¹⁾, ⁽²⁾:
Money market funds	$	1,010	$	1,010	$	—	$	—
Government agency investments		1		—		1		—
Corporate obligations		2,191		—		2,191		—
Bank notes/certificates of deposit/time deposits		2,662		—		2,662		—

		5,864		1,010		4,854		—
Restricted cash and short-term investments ⁽¹⁾		695		695		—		—

Total	$	6,559	$	1,705	$	4,854	$	—

⁽¹⁾	Unrealized gains or losses on short-term investments and restricted cash and short-term investments are recorded in accumulated other comprehensive income (loss) at each measurement date.

⁽²⁾	All short-term investments are classified as available-for-sale and stated at fair value. Our short-term investments mature in one year or less except for $1.2 billion of bank notes/certificates of deposit/time deposits and $734 million of corporate obligations.

Schedule of Carrying Value and Estimated Fair Value of Long-Term Debt, Including Current Maturities

The carrying value and estimated fair value of our long-term debt, including current maturities, were as follows (in millions):


	December 31, 2016				December 31, 2015
	Carrying Value		Fair Value		Carrying Value		Fair Value
Long-term debt, including current maturities	$	24,344	$	24,983	$	20,561	$	21,111

American Airlines, Inc. [Member]

Summary of Assets Measured at Fair Value on Recurring Basis

Assets measured at fair value on a recurring basis are summarized below (in millions):


	Fair Value Measurements as of December 31, 2016
	Total		Level 1		Level 2		Level 3
Short-term investments ⁽¹⁾, ⁽²⁾:
Money market funds	$	587	$	587	$	—	$	—
Corporate obligations		2,550		—		2,550		—
Bank notes/certificates of deposit/time deposits		2,897		—		2,897		—

		6,034		587		5,447		—
Restricted cash and short-term investments ⁽¹⁾		638		638		—		—

Total	$	6,672	$	1,225	$	5,447	$	—

⁽¹⁾	Unrealized gains or losses on short-term investments and restricted cash and short-term investments are recorded in accumulated other comprehensive income (loss) at each measurement date.

⁽²⁾	All short-term investments are classified as available-for-sale and stated at fair value. American’s short-term investments mature in one year or less except for $385 million of bank notes/certificates of deposit/time deposits and $230 million of corporate obligations.


	Fair Value Measurements as of December 31, 2015
	Total		Level 1		Level 2		Level 3
Short-term investments ⁽¹⁾, ⁽²⁾:
Money market funds	$	1,008	$	1,008	$	—	$	—
Government agency investments		1		—		1		—
Corporate obligations		2,191		—		2,191		—
Bank notes/certificates of deposit/time deposits		2,662		—		2,662		—

		5,862		1,008		4,854		—
Restricted cash and short-term investments ⁽¹⁾		695		695		—		—

Total	$	6,557	$	1,703	$	4,854	$	—

⁽¹⁾	Unrealized gains or losses on short-term investments and restricted cash and short-term investments are recorded in accumulated other comprehensive income (loss) at each measurement date.

⁽²⁾	All short-term investments are classified as available-for-sale and stated at fair value. American’s short-term investments mature in one year or less except for $1.2 billion of bank notes/certificates of deposit/time deposits and $734 million of corporate obligations.

Schedule of Carrying Value and Estimated Fair Value of Long-Term Debt, Including Current Maturities

The carrying value and estimated fair value of American’s long-term debt, including current maturities, were as follows (in millions):


	December 31, 2016				December 31, 2015
	Carrying Value		Fair Value		Carrying Value		Fair Value
Long-term debt, including current maturities	$	22,577	$	23,181	$	18,826	$	19,378

Employee Benefit Plans (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Changes in Projected Benefit Obligations


	Pension Benefits						Retiree Medical and Other Postretirement Benefits
	2016			2015			2016			2015
	(In millions)
Benefit obligation at beginning of period	$	16,395		$	17,594		$	1,131		$	1,325
Service cost		2			2			3			3
Interest cost		749			737			47			50
Actuarial (gain) loss ^{(1) (2)}		729			(1,159	)		(105	)		(177	)
Plan amendments		—			—			7			—
Settlements		(2	)		(3	)		—			—
Benefit payments		(635	)		(776	)		(92	)		(94	)
Other		—			—			—			24

Benefit obligation at end of period	$	17,238		$	16,395		$	991		$	1,131

⁽¹⁾	The December 31, 2016 and 2015 pension actuarial (gain) loss primarily relates to weighted average discount rate assumption changes and changes to our mortality assumptions.

⁽²⁾	The December 31, 2016 and 2015 retiree medical and other postretirement benefits actuarial gain primarily relates to medical trend and cost assumption changes, favorable plan experience adjustments and weighted average discount rate assumption changes.

Schedule of Changes in Fair Value of Plan Assets

Fair value of plan assets at beginning of period	$	9,707		$	10,986		$	253		$	244
Actual return on plan assets		915			(506	)		22			(10	)
Employer contributions		32			6			83			89
Settlements		(2	)		(3	)		—			—
Benefit payments		(635	)		(776	)		(92	)		(94	)
Other ⁽³⁾		—			—			—			24

Fair value of plan assets at end of period	$	10,017		$	9,707		$	266		$	253

Funded status at end of period	$	(7,221	)	$	(6,688	)	$	(725	)	$	(878	)

⁽³⁾	At December 31, 2015, certain trust assets totaling approximately $24 million, were added to the retiree medical and other postretirement benefits plans asset values that were previously offset against the benefit obligation.

Schedule of Amounts Recognized in Consolidated Balance Sheets


	Pension Benefits				Retiree Medical and Other Postretirement Benefits
	2016		2015		2016		2015
	(In millions)
As of December 31,
Current liability	$	7	$	7	$	97	$	109
Noncurrent liability ⁽¹⁾		7,214		6,681		628		769

Total liabilities	$	7,221	$	6,688	$	725	$	878

⁽¹⁾	The 2016 noncurrent liability does not include $20 million of other postretirement benefits or $1 million of prior service cost. The 2015 noncurrent liability does not include $17 million of other postretirement benefits or $1 million of prior service cost.

Schedule of Amounts Recognized in Other Comprehensive Income


Net actuarial loss (gain)	$	5,484	$	5,047	$	(430	)	$	(339	)
Prior service cost (benefit) ⁽¹⁾		188		216		(837	)		(1,084	)

Total accumulated other comprehensive loss (income), pre-tax	$	5,672	$	5,263	$	(1,267	)	$	(1,423	)

⁽¹⁾	The 2016 noncurrent liability does not include $20 million of other postretirement benefits or $1 million of prior service cost. The 2015 noncurrent liability does not include $17 million of other postretirement benefits or $1 million of prior service cost.

Schedule of Accumulated Benefit Obligations Exceeding Fair Value of Plan Assets

Plans with Accumulated Benefit Obligations Exceeding Fair Value of Plan Assets


	Pension Benefits				Retiree Medical and Other Postretirement Benefits
	2016		2015		2016		2015
	(In millions)
Projected benefit obligation (PBO)	$	17,209	$	16,369	$	—	$	—
Accumulated benefit obligation (ABO)		17,197		16,357		—		—
Accumulated postretirement benefit obligation (APBO)		—		—		990		1,129
Fair value of plan assets		9,986		9,677		266		253
ABO less fair value of plan assets		7,211		6,680		—		—

Components of Net Periodic Benefit Cost (Income)


	Pension Benefits									Retiree Medical and Other Postretirement Benefits
	2016			2015			2014			2016			2015			2014
	(In millions)
Defined benefit plans:
Service cost	$	2		$	2		$	3		$	3		$	3		$	1
Interest cost		749			737			746			47			50			61
Expected return on assets		(750	)		(851	)		(786	)		(20	)		(19	)		(19	)
Settlements		—			1			4			—			—			—
Amortization of:
Prior service cost (benefit) ⁽¹⁾		28			28			28			(240	)		(243	)		(244	)
Unrecognized net loss (gain)		126			112			43			(17	)		(9	)		(8	)

Net periodic benefit cost (income)		155			29			38			(227	)		(218	)		(209	)
Defined contribution plan cost		766			662			546			N/A			N/A			N/A

Total cost (income)	$	921		$	691		$	584		$	(227	)	$	(218	)	$	(209	)

⁽¹⁾	The 2016, 2015 and 2014 prior service cost does not include amortization of $1 million, $3 million and $14 million, respectively, related to other postretirement benefits.

Schedule of Assumptions Used to Determine Benefit Obligations and Net Periodic Benefit Cost

The following actuarial assumptions were used to determine our benefit obligations and net periodic benefit cost for the periods presented:


	Pension Benefits						Retiree Medical and Other Postretirement Benefits
	2016			2015			2016			2015
Benefit obligations:
Weighted average discount rate		4.30	%		4.70	%		4.10	%		4.42	%


	Pension Benefits									Retiree Medical and Other Postretirement Benefits
	2016			2015			2014			2016			2015			2014
Net periodic benefit cost:
Weighted average discount rate		4.70	%		4.30	%		5.10	%		4.42	%		4.00	%		4.74	%
Weighted average expected rate of return on plan assets		8.00	%		8.00	%		8.00	%		8.00	%		8.00	%		8.00	%
Weighted average health care cost trend rate assumed for next year ⁽¹⁾		N/A			N/A			N/A			4.25	%		5.21	%		5.25	%

⁽¹⁾	The weighted average health care cost trend rate at December 31, 2016 is assumed to decline gradually to 3.77% by 2024 and remain level thereafter.

Schedule of One Percentage Point Change in Assumed Health Care Cost Trend Rates

A one percentage point change in the assumed health care cost trend rates would have the following effects on our retiree medical and other postretirement benefits plans (in millions):


	1% Increase		1% Decrease
Increase (decrease) on 2016 service and interest cost	$	3	$	(3	)
Increase (decrease) on benefit obligation as of December 31, 2016		53		(50	)

Schedule of Expected Future Service Benefit Payments

The following benefit payments, which reflect expected future service as appropriate, are expected to be paid (approximately, in millions):


	2017		2018		2019		2020		2021		2022-2026
Pension	$	688	$	722	$	762	$	804	$	845	$	4,819
Retiree medical and other postretirement benefits		97		93		88		79		73		312

Schedule of Allocation of Plan Assets

The current strategic target asset allocation is as follows:


Asset Class/Sub-Class	Allowed Range
Equity		65% - 90%
Public:
U.S.		20% - 45%
International		17% - 27%
Emerging Markets		5% - 11%
Alternative Investments		5% - 30%
Fixed Income		15% - 40%
U.S. Long Duration		15% - 40%
High Yield and Emerging Markets		0% - 10%
Other		0% - 5%
Cash Equivalents		0% - 5%

Changes in Fair Value Measurements of Level 3 Investments

Changes in fair value measurements of Level 3 investments during the year ended December 31, 2016, were as follows (in millions):


	Private Equity Partnerships			Insurance Group Annuity Contracts
Beginning balance at December 31, 2015	$	16		$	2
Actual return on plan assets:
Relating to assets sold during the period		7			—
Purchases		7			—
Sales		(9	)		—

Ending balance at December 31, 2016	$	21		$	2

Changes in fair value measurements of Level 3 investments during the year ended December 31, 2015, were as follows (in millions):


	Private Equity Partnerships			Insurance Group Annuity Contracts
Beginning balance at December 31, 2014	$	17		$	2
Actual return on plan assets:
Relating to assets still held at the reporting date		(1	)		—

Ending balance at December 31, 2015	$	16		$	2

American Airlines, Inc. [Member]

Schedule of Changes in Projected Benefit Obligations

	Pension Benefits						Retiree Medical and Other Postretirement Benefits
	2016			2015			2016			2015
	(In millions)
Benefit obligation at beginning of period	$	16,310		$	17,504		$	1,129		$	1,324
Service cost		2			2			3			3
Interest cost		746			733			47			50
Actuarial (gain) loss ^{(1) (2)}		725			(1,153	)		(104	)		(178	)
Plan amendments		—			—			7			—
Settlements		(2	)		(3	)		—			—
Benefit payments		(633	)		(773	)		(92	)		(94	)
Other		—			—			—			24

Benefit obligation at end of period	$	17,148		$	16,310		$	990		$	1,129

¹⁾	The December 31, 2016 and 2015 pension actuarial (gain) loss primarily relates to weighted average discount rate assumption changes and changes to American’s mortality assumptions.

²⁾	The December 31, 2016 and 2015 retiree medical and other postretirement benefits actuarial gain primarily relates to medical trend and cost assumption changes, favorable plan experience adjustments and weighted average discount rate assumption changes.

Schedule of Changes in Fair Value of Plan Assets

Fair value of plan assets at beginning of period	$	9,660		$	10,935		$	253		$	244
Actual return on plan assets		911			(505	)		22			(10	)
Employer contributions		32			6			83			89
Settlements		(2	)		(3	)		—			—
Benefit payments		(633	)		(773	)		(92	)		(94	)
Other ⁽³⁾		—			—			—			24

Fair value of plan assets at end of period	$	9,968		$	9,660		$	266		$	253

Funded status at end of period	$	(7,180	)	$	(6,650	)	$	(724	)	$	(876	)

³⁾	At December 31, 2015, certain trust assets totaling approximately $24 million, were added to the retiree medical and other postretirement benefits plans asset values that were previously offset against the benefit obligation.

Schedule of Amounts Recognized in Consolidated Balance Sheets


	Pension Benefits				Retiree Medical and Other Postretirement Benefits
	2016		2015		2016		2015
	(In millions)
As of December 31,
Current liability	$	7	$	7	$	97	$	109
Noncurrent liability ⁽¹⁾		7,173		6,643		627		767

Total liabilities	$	7,180	$	6,650	$	724	$	876

¹⁾	The 2016 noncurrent liability does not include $20 million of other postretirement benefits or $1 million of prior service cost. The 2015 noncurrent liability does not include $17 million of other postretirement benefits or $1 million of prior service cost.

Schedule of Amounts Recognized in Other Comprehensive Income

Net actuarial loss (gain)	$	5,472	$	5,036	$	(429	)	$	(339	)
Prior service cost (benefit) ⁽¹⁾		188		216		(837	)		(1,084	)

Total accumulated other comprehensive loss (income), pre-tax	$	5,660	$	5,252	$	(1,266	)	$	(1,423	)

⁽¹⁾	The 2016 noncurrent liability does not include $20 million of other postretirement benefits or $1 million of prior service cost. The 2015 noncurrent liability does not include $17 million of other postretirement benefits or $1 million of prior service cost.

Schedule of Accumulated Benefit Obligations Exceeding Fair Value of Plan Assets

Plans with Accumulated Benefit Obligations Exceeding Fair Value of Plan Assets


	Pension Benefits				Retiree Medical and Other Postretirement Benefits
	2016		2015		2016		2015
	(In millions)
Projected benefit obligation (PBO)	$	17,119	$	16,283	$	—	$	—
Accumulated benefit obligation (ABO)		17,108		16,272		—		—
Accumulated postretirement benefit obligation (APBO)		—		—		990		1,129
Fair value of plan assets		9,936		9,630		266		253
ABO less fair value of plan assets		7,172		6,642		—		—

Components of Net Periodic Benefit Cost (Income)


	Pension Benefits									Retiree Medical and Other Postretirement Benefits
	2016			2015			2014			2016			2015			2014
	(In millions)
Defined benefit plans:
Service cost	$	2		$	1		$	2		$	3		$	3		$	1
Interest cost		746			733			742			47			50			61
Expected return on assets		(747	)		(848	)		(783	)		(20	)		(19	)		(19	)
Settlements		—			1			4			—			—			—
Amortization of:
Prior service cost (benefit) ⁽¹⁾		28			28			28			(240	)		(243	)		(244	)
Unrecognized net loss (gain)		125			111			43			(16	)		(9	)		(8	)

Net periodic benefit cost (income)		154			26			36			(226	)		(218	)		(209	)
Defined contribution plan cost		761			657			527			N/A			N/A			N/A

Total cost (income)	$	915		$	683		$	563		$	(226	)	$	(218	)	$	(209	)

⁽¹⁾	The 2016, 2015 and 2014 prior service cost does not include amortization of $1 million, $3 million and $14 million, respectively, related to other postretirement benefits.

Schedule of Assumptions Used to Determine Benefit Obligations and Net Periodic Benefit Cost

The following actuarial assumptions were used to determine American’s benefit obligations and net periodic benefit cost for the periods presented:


	Pension Benefits						Retiree Medical and Other Postretirement Benefits
	2016			2015			2016			2015
Benefit obligations:
Weighted average discount rate		4.30	%		4.70	%		4.10	%		4.42	%


	Pension Benefits									Retiree Medical and Other Postretirement Benefits
	2016			2015			2014			2016			2015			2014
Net periodic benefit cost:
Weighted average discount rate		4.70	%		4.30	%		5.10	%		4.42	%		4.00	%		4.74	%
Weighted average expected rate of return on plan assets		8.00	%		8.00	%		8.00	%		8.00	%		8.00	%		8.00	%
Weighted average health care cost trend rate assumed for next year ⁽¹⁾		N/A			N/A			N/A			4.25	%		5.21	%		5.25	%

⁽¹⁾	The weighted average health care cost trend rate at December 31, 2016 is assumed to decline gradually to 3.77% by 2024 and remain level thereafter.

Schedule of One Percentage Point Change in Assumed Health Care Cost Trend Rates

A one percentage point change in the assumed health care cost trend rates would have the following effects on American’s retiree medical and other postretirement benefits plans (in millions):


	1% Increase		1% Decrease
Increase (decrease) on 2016 service and interest cost	$	3	$	(3	)
Increase (decrease) on benefit obligation as of December 31, 2016		53		(50	)

Schedule of Expected Future Service Benefit Payments

The following benefit payments, which reflect expected future service as appropriate, are expected to be paid (approximately, in millions):


	2017		2018		2019		2020		2021		2022-2026
Pension	$	685	$	719	$	758	$	800	$	841	$	4,797
Retiree medical and other postretirement benefits		97		93		88		79		73		312

Schedule of Allocation of Plan Assets

The current strategic target asset allocation is as follows:


Asset Class/Sub-Class	Allowed Range
Equity		65% - 90%
Public:
U.S.		20% - 45%
International		17% - 27%
Emerging Markets		5% - 11%
Alternative Investments		5% - 30%
Fixed Income		15% - 40%
U.S. Long Duration		15% - 40%
High Yield and Emerging Markets		0% - 10%
Other		0% - 5%
Cash Equivalents		0% - 5%

Changes in Fair Value Measurements of Level 3 Investments

Changes in fair value measurements of Level 3 investments during the year ended December 31, 2016, were as follows (in millions):


	Private Equity Partnerships			Insurance Group Annuity Contracts
Beginning balance at December 31, 2015	$	16		$	2
Actual return on plan assets:
Relating to assets sold during the period		7			—
Purchases		7			—
Sales		(9	)		—

Ending balance at December 31, 2016	$	21		$	2

Changes in fair value measurements of Level 3 investments during the year ended December 31, 2015, were as follows (in millions):


	Private Equity Partnerships			Insurance Group Annuity Contracts
Beginning balance at December 31, 2014	$	17		$	2
Actual return on plan assets:
Relating to assets still held at the reporting date		(1	)		—

Ending balance at December 31, 2015	$	16		$	2

Pension Benefits [Member]

Schedule of Allocation of Plan Assets

The fair value of our pension plan assets at December 31, 2016 and 2015, by asset category, are as follows (in millions):


	Fair Value Measurements as of December 31, 2016
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Cash and cash equivalents	$	573		$	—	$	—	$	573
Equity securities:
International markets ^(a), ^(b)		3,232			—		—		3,232
Large-cap companies ^(b)		2,253			—		—		2,253
Mid-cap companies ^(b)		371			—		—		371
Small-cap companies ^(b)		6			—		—		6
Mutual funds ^(c)		49			—		—		49
Fixed income:
Corporate bonds ^(d)		—			2,337		—		2,337
Government securities ^(e)		—			150		—		150
U.S. municipal securities		—			37		—		37
Alternative instruments:
Private equity partnerships ^(f)		—			—		21		21
Private equity partnerships measured at net asset value ^{(f) (h)}		—			—		—		703
Common/collective trusts ^(g)		—			32		—		32
Common/collective trusts and 103-12 Investment Trust measured at net asset value ^{(g) (h)}		—			—		—		227
Insurance group annuity contracts		—			—		2		2
Dividend and interest receivable		40			—		—		40
Due to/from brokers for sale of securities – net		(9	)		—		—		(9	)
Other liabilities – net		(7	)		—		—		(7	)

Total	$	6,508		$	2,556	$	23	$	10,017

^a)	Holdings are diversified as follows: 15% United Kingdom, 12% Japan, 10% France, 7% Switzerland, 6% Netherlands, 17% of other emerging markets and the remaining 33% with no concentration greater than 5% in any one country.

^b)	There are no significant concentrations of holdings by company or industry.

^c)	Investment includes mutual funds invested 42% in equity securities of large-cap, mid-cap and small-cap U.S. companies, 33% in U.S. treasuries and corporate bonds and 25% in equity securities of international companies.

^d)	Includes approximately 74% investments in corporate debt with a S&P rating lower than A and 26% investments in corporate debt with a S&P rating A or higher. Holdings include 86% U.S. companies, 12% international companies and 2% emerging market companies.

^e)	Includes approximately 61% investments in U.S. domestic government securities and 39% in emerging market government securities. There are no significant foreign currency risks within this classification.

^f)

^g)

^h)


	Fair Value Measurements as of December 31, 2015
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Cash and cash equivalents	$	287		$	—	$	—	$	287
Equity securities:
International markets ^(a), ^(b)		2,873			—		—		2,873
Large-cap companies ^(b)		1,999			—		—		1,999
Mid-cap companies ^(b)		361			—		—		361
Small-cap companies ^(b)		18			—		—		18
Mutual funds ^(c)		47			—		—		47
Fixed income:
Corporate bonds ^(d)		—			2,204		—		2,204
Government securities ^(e)		—			917		—		917
U.S. municipal securities		—			48		—		48
Alternative instruments:
Private equity partnerships ^(f)		—			—		16		16
Private equity partnerships measured at net asset value ^{(f) (h)}		—			—		—		706
Common/collective trusts ^(g)		—			30		—		30
Common/collective trusts and 103-12 Investment Trust measured at net asset value ^{(g) (h)}		—			—		—		189
Insurance group annuity contracts		—			—		2		2
Dividend and interest receivable		50			—		—		50
Due to/from brokers for sale of securities – net		23			—		—		23
Other assets – net		8			—		—		8
Other liabilities – net		(71	)		—		—		(71	)

Total	$	5,595		$	3,199	$	18	$	9,707

^a)	Holdings are diversified as follows: 16% United Kingdom, 12% Japan, 10% France, 7% Switzerland, 7% Netherlands, 6% Republic of Korea, 11% of other emerging markets and the remaining 31% with no concentration greater than 5% in any one country.

^b)	There are no significant concentrations of holdings by company or industry.

^c)	Investment includes mutual funds invested 40% in equity securities of large-cap, mid-cap and small-cap U.S. companies, 35% in U.S. treasuries and corporate bonds and 25% in equity securities of international companies.

^d)	Includes approximately 74% investments in corporate debt with a S&P rating lower than A and 26% investments in corporate debt with a S&P rating A or higher. Holdings include 82% U.S. companies, 16% international companies and 2% emerging market companies.

^e)	Includes approximately 75% investments in U.S. domestic government securities and 25% in emerging market government securities. There are no significant foreign currency risks within this classification.

^f)

^g)

^h)

Pension Benefits [Member] | American Airlines, Inc. [Member]

Schedule of Allocation of Plan Assets

The fair value of American’s pension plan assets at December 31, 2016 and 2015, by asset category, are as follows (in millions):


	Fair Value Measurements as of December 31, 2016
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total

Cash and cash equivalents	$	573		$	—	$	—	$	573
Equity securities:
International markets ^(a), ^(b)		3,232			—		—		3,232
Large-cap companies ^(b)		2,253			—		—		2,253
Mid-cap companies ^(b)		371			—		—		371
Small-cap companies ^(b)		6			—		—		6
Fixed income:
Corporate bonds ^(c)		—			2,337		—		2,337
Government securities ^(d)		—			150		—		150
U.S. municipal securities		—			37		—		37
Alternative instruments:
Private equity partnerships ^(e)		—			—		21		21
Private equity partnerships measured at net asset value ^{(e) (g)}		—			—		—		703
Common/collective trusts ^(f)		—			32		—		32
Common/collective trusts and 103-12 Investment Trust measured at net asset value ^{(f) (g)}		—			—		—		227
Insurance group annuity contracts		—			—		2		2
Dividend and interest receivable		40			—		—		40
Due to/from brokers for sale of securities – net		(9	)		—		—		(9	)
Other liabilities – net		(7	)		—		—		(7	)

Total	$	6,459		$	2,556	$	23	$	9,968

^a)	Holdings are diversified as follows: 15% United Kingdom, 12% Japan, 10% France, 7% Switzerland, 6% Netherlands, 17% of other emerging markets and the remaining 33% with no concentration greater than 5% in any one country.

^b)	There are no significant concentrations of holdings by company or industry.

^c)	Includes approximately 74% investments in corporate debt with a S&P rating lower than A and 26% investments in corporate debt with a S&P rating A or higher. Holdings include 86% U.S. companies, 12% international companies and 2% emerging market companies.

^d)	Includes approximately 61% investments in U.S. domestic government securities and 39% in emerging market government securities. There are no significant foreign currency risks within this classification.

^e)

^f)

^g)


	Fair Value Measurements as of December 31, 2015
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)			Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total

Cash and cash equivalents	$	287		$	—	$	—	$	287
Equity securities:
International markets ^(a), ^(b)		2,873			—		—		2,873
Large-cap companies ^(b)		1,999			—		—		1,999
Mid-cap companies ^(b)		361			—		—		361
Small-cap companies ^(b)		18			—		—		18
Fixed income:
Corporate bonds ^(c)		—			2,204		—		2,204
Government securities ^(d)		—			917		—		917
U.S. municipal securities		—			48		—		48
Alternative instruments:
Private equity partnerships ^(e)		—			—		16		16
Private equity partnerships measured at net asset value ^{(e) (g)}		—			—		—		706
Common/collective trusts ^(f)		—			30		—		30
Common/collective trusts and 103-12 Investment Trust measured at net asset value ^{(f) (g)}		—			—		—		189
Insurance group annuity contracts		—			—		2		2
Dividend and interest receivable		50			—		—		50
Due to/from brokers for sale of securities – net		23			—		—		23
Other assets – net		8			—		—		8
Other liabilities – net		(71	)		—		—		(71	)

Total	$	5,548		$	3,199	$	18	$	9,660

^a)	Holdings are diversified as follows: 16% United Kingdom, 12% Japan, 10% France, 7% Switzerland, 7% Netherlands, 6% Republic of Korea, 11% of other emerging markets and the remaining 31% with no concentration greater than 5% in any one country.

^b)	There are no significant concentrations of holdings by company or industry.

^c)	Includes approximately 74% investments in corporate debt with a S&P rating lower than A and 26% investments in corporate debt with a S&P rating A or higher. Holdings include 82% U.S. companies, 16% international companies and 2% emerging market companies.

^d)	Includes approximately 75% investments in U.S. domestic government securities and 25% in emerging market government securities. There are no significant foreign currency risks within this classification.

^e)

^f)

^g)

Retiree Medical And Other Postretirement Benefits [Member]

Schedule of Allocation of Plan Assets

The fair value of our retiree medical and other postretirement benefits plans assets at December 31, 2016 by asset category, were as follows (in millions):


	Fair Value Measurements as of December 31, 2016
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Money market fund	$	5	$	—	$	—	$	5
Mutual funds – Institutional Class		261		—		—		261

Total	$	266	$	—	$	—	$	266

The fair value of our retiree medical and other postretirement benefits plans assets at December 31, 2015 by asset category, were as follows (in millions):


	Fair Value Measurements as of December 31, 2015
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Money market fund	$	4	$	—	$	—	$	4
Mutual funds – Institutional Class		19		—		—		19
Mutual funds – AMR Class		—		230		—		230

Total	$	23	$	230	$	—	$	253

Retiree Medical And Other Postretirement Benefits [Member] | American Airlines, Inc. [Member]

Schedule of Allocation of Plan Assets

The fair value of American’s retiree medical and other postretirement benefits plans assets at December 31, 2016 by asset category, were as follows (in millions):


	Fair Value Measurements as of December 31, 2016
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Money market fund	$	5	$	—	$	—	$	5
Mutual funds – Institutional Class		261		—		—		261

Total	$	266	$	—	$	—	$	266

The fair value of American’s retiree medical and other postretirement benefits plans assets at December 31, 2015 by asset category, were as follows (in millions):


	Fair Value Measurements as of December 31, 2015
Asset Category	Quoted Prices in Active Markets for Identical Assets (Level 1)		Significant Observable Inputs (Level 2)		Significant Unobservable Inputs (Level 3)		Total
Money market fund	$	4	$	—	$	—	$	4
Mutual funds – Institutional Class		19		—		—		19
Mutual funds – AMR Class		—		230		—		230

Total	$	23	$	230	$	—	$	253

Accumulated Other Comprehensive Income (Loss) (Tables)

12 Months Ended

Dec. 31, 2016

Components of Accumulated Other Comprehensive Income (Loss)

The components of accumulated other comprehensive income (loss) (AOCI) are as follows (in millions):


	Pension, Retiree Medical and Other Postretirement Benefits			Derivative Financial Instruments			Unrealized Gain (Loss) on Investments			Income Tax Benefit (Provision) ⁽¹⁾			Total
Balance at December 31, 2014	$	(3,683	)	$	9		$	(5	)	$	(880	)	$	(4,559	)
Other comprehensive loss before reclassifications		(51	)		—			(6	)		—			(57	)
Amounts reclassified from accumulated other comprehensive income (loss)		(108	)		(9	)		1			—			(116	)

Net current-period other comprehensive loss		(159	)		(9	)		(5	)		—			(173	)

Balance at December 31, 2015		(3,842	)		—			(10	)		(880	)		(4,732	)
Other comprehensive income (loss) before reclassifications		(462	)		—			10			166			(286	)
Amounts reclassified from accumulated other comprehensive income (loss)		(102	)		—			—			37	⁽²⁾		(65	)

Net current-period other comprehensive income (loss)		(564	)		—			10			203			(351	)

Balance at December 31, 2016	$	(4,406	)	$	—		$	—		$	(677	)	$	(5,083	)

⁽¹⁾	Relates principally to pension, retiree medical and other postretirement benefits obligations that will not be recognized in net income until the obligations are fully extinguished.

⁽²⁾	Relates to pension, retiree medical and other postretirement benefits obligations and is recognized within the income tax provision on the consolidated statement of operations.

Reclassifications out of Accumulated Other Comprehensive Income (Loss)

Reclassifications out of AOCI for the years ended December 31, 2016 and 2015 are as follows (in millions):


	Amount reclassified from AOCI						Affected line items on the consolidated statement of operations
	Year Ended December 31,
AOCI Components	2016			2015
Amortization of pension, retiree medical and other postretirement benefits:
Prior service benefit	$	(134	)	$	(212	)	Salaries, wages and benefits
Actuarial loss		69			104		Salaries, wages and benefits
Derivative financial instruments:
Cash flow hedges		—			(9	)	Aircraft fuel and related taxes
Net unrealized change on investments:
Net change in value		—			1		Other nonoperating, net

Total reclassifications for the period, net of tax	$	(65	)	$	(116	)

American Airlines, Inc. [Member]

Components of Accumulated Other Comprehensive Income (Loss)

The components of accumulated other comprehensive income (loss) (AOCI) are as follows (in millions):


	Pension, Retiree Medical and Other Postretirement Benefits			Derivative Financial Instruments			Unrealized Gain (Loss) on Investments			Income Tax Benefit (Provision) ⁽¹⁾			Total
Balance at December 31, 2014	$	(3,671	)	$	9		$	(3	)	$	(991	)	$	(4,656	)
Other comprehensive loss before reclassifications		(51	)		—			(7	)		—			(58	)
Amounts reclassified from accumulated other comprehensive income (loss)		(109	)		(9	)		1			—			(117	)

Net current-period other comprehensive loss		(160	)		(9	)		(6	)		—			(175	)

Balance at December 31, 2015		(3,831	)		—			(9	)		(991	)		(4,831	)
Other comprehensive income (loss) before reclassifications		(461	)		—			9			166			(286	)
Amounts reclassified from accumulated other comprehensive income (loss)		(102	)		—			—			37	⁽²⁾		(65	)

Net current-period other comprehensive income (loss)		(563	)		—			9			203			(351	)

Balance at December 31, 2016	$	(4,394	)	$	—		$	—		$	(788	)	$	(5,182	)

⁽¹⁾	Relates principally to pension, retiree medical and other postretirement benefits obligations that will not be recognized in net income until the obligations are fully extinguished.

⁽²⁾	Relates to pension, retiree medical and other postretirement benefits obligations and is recognized within the income tax provision on the consolidated statement of operations.

Reclassifications out of Accumulated Other Comprehensive Income (Loss)

Reclassifications out of AOCI for the years ended December 31, 2016 and 2015 are as follows (in millions):


	Amount reclassified from AOCI						Affected line items on the consolidated statement of operations
	Year Ended December 31,
AOCI Components	2016			2015
Amortization of pension, retiree medical and other postretirement benefits:
Prior service benefit	$	(134	)	$	(212	)	Salaries, wages and benefits
Actuarial loss		69			103		Salaries, wages and benefits
Derivative financial instruments:
Cash flow hedges		—			(9	)	Aircraft fuel and related taxes
Net unrealized change on investments:
Net change in value		—			1		Other nonoperating, net

Total reclassifications for the period, net of tax	$	(65	)	$	(117	)

Commitments, Contingencies and Guarantees (Tables)

12 Months Ended

Dec. 31, 2016

Long-term Purchase Commitments

Under all of our aircraft and engine purchase agreements, our total future commitments as of December 31, 2016 are expected to be as follows (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Payments for aircraft commitments and certain engines ⁽¹⁾	$	4,064	$	2,192	$	3,113	$	3,133	$	2,948	$	2,553	$	18,003

⁽¹⁾

Facility and Support Commitments and Capacity Purchase Agreements with Third-Party Regional Carriers

The contractual obligations related to these contracts are presented in the table below (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Facility construction or improvement contracts	$	182	$	126	$	13	$	—	$	—	$	—	$	321
Information technology contracts		205		168		128		47		24		8		580

As of December 31, 2016, American’s minimum fixed obligations under its capacity purchase agreements with third-party regional carriers are as follows (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Minimum fixed obligations under capacity purchase agreements with third-party regional carriers ⁽¹⁾	$	1,710	$	1,421	$	1,283	$	1,048	$	855	$	2,738	$	9,055

⁽¹⁾

Future Minimum Operating Lease Payments

As of December 31, 2016, obligations under noncancellable operating leases for future minimum lease payments are as follows (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Future minimum lease payments	$	2,250	$	2,016	$	1,815	$	1,639	$	1,214	$	3,793	$	12,727

American Airlines, Inc. [Member]

Long-term Purchase Commitments

Under all of American’s aircraft and engine purchase agreements, its total future commitments as of December 31, 2016 are expected to be as follows (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Payments for aircraft commitments and certain engines ⁽¹⁾	$	4,064	$	2,192	$	3,113	$	3,133	$	2,948	$	2,553	$	18,003

⁽¹⁾

These amounts are net of purchase deposits currently held by the manufacturers and include all commitments for regional aircraft. American has granted a security interest in its purchase deposits with Boeing. American’s purchase deposits held by all manufacturers totaled $1.2 billion as of December 31, 2016.

Facility and Support Commitments and Capacity Purchase Agreements with Third-Party Regional Carriers

The contractual obligations related to these contracts are presented in the table below (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Facility construction or improvement contracts	$	182	$	126	$	13	$	—	$	—	$	—	$	321
Information technology contracts		205		168		128		47		24		8		580

As of December 31, 2016, American’s minimum fixed obligations under its capacity purchase agreements with third-party regional carriers are as follows (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Minimum fixed obligations under capacity purchase agreements with third-party regional carriers ⁽¹⁾	$	1,710	$	1,421	$	1,283	$	1,048	$	855	$	2,738	$	9,055

⁽¹⁾

Future Minimum Operating Lease Payments

As of December 31, 2016, obligations under noncancellable operating leases for future minimum lease payments are as follows (approximately, in millions):


	2017		2018		2019		2020		2021		2022 and Thereafter		Total
Future minimum lease payments	$	2,242	$	2,010	$	1,813	$	1,638	$	1,213	$	3,785	$	12,701

Supplemental Cash Flow Information (Tables)

12 Months Ended

Dec. 31, 2016

Cash Flow Information and Non-Cash Investing and Financing Activities

Supplemental disclosure of cash flow information and non-cash investing and financing activities are as follows (in millions):


	Year Ended December 31,
	2016		2015		2014
Non-cash investing and financing activities:
Settlement of bankruptcy obligations	$	3	$	63	$	5,495
Capital lease obligations		—		5		747
Supplemental information:
Interest paid, net of amounts capitalized		964		873		814
Income taxes paid		16		20		7

American Airlines, Inc. [Member]

Cash Flow Information and Non-Cash Investing and Financing Activities

Supplemental disclosure of cash flow information and non-cash investing and financing activities are as follows (in millions):


	Year Ended December 31,
	2016		2015		2014
Non-cash investing and financing activities:
Settlement of bankruptcy obligations	$	3	$	63	$	5,131
Capital lease obligations		—		5		747
Supplemental information:
Interest paid, net of amounts capitalized		867		787		780
Income taxes paid		14		19		4

Operating Segments and Related Disclosures (Tables)

12 Months Ended

Dec. 31, 2016

Operating Revenues by Geographic Region

Our operating revenues by geographic region as defined by the United States Department of Transportation (DOT) are summarized below (in millions):


	Year Ended December 31,
	2016		2015		2014
DOT Domestic	$	28,620	$	28,761	$	28,568
DOT Latin America		4,995		5,539		6,964
DOT Atlantic		4,769		5,146		5,652
DOT Pacific		1,796		1,544		1,466

Total operating revenues	$	40,180	$	40,990	$	42,650

American Airlines, Inc. [Member]

Operating Revenues by Geographic Region

American’s operating revenues by geographic region as defined by the United States Department of Transportation (DOT) are summarized below (in millions):


	Year Ended December 31,
	2016		2015		2014
DOT Domestic	$	28,603	$	28,709	$	28,584
DOT Latin America		4,995		5,539		6,974
DOT Atlantic		4,769		5,146		5,652
DOT Pacific		1,796		1,544		1,466

Total operating revenues	$	40,163	$	40,938	$	42,676

Share-based Compensation (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of Stock-Settled RSU Award Activity

Stock-settled RSU award activity for all plans for the years ended December 31, 2016, 2015 and 2014 is as follows (shares in thousands):


	Number of Shares			Weighted Average Grant Date Fair Value
	(In thousands)
Outstanding at December 31, 2013		23,879		$	24.33
Granted		3,467			37.07
Vested and released		(4,193	)		23.84
Forfeited		(1,811	)		25.10

Outstanding at December 31, 2014		21,342		$	26.43
Granted		2,213			46.62
Vested and released		(17,163	)		25.20
Forfeited		(785	)		27.12

Outstanding at December 31, 2015		5,607		$	38.08
Granted		2,655			41.34
Vested and released		(2,754	)		34.83
Forfeited		(321	)		40.15

Outstanding at December 31, 2016		5,187		$	41.48

Stock Option and Stock-Settled SAR Award Activity for All Plans

Stock option and SAR award activity for all plans for the years ended December 31, 2016, 2015 and 2014 is as follows (stock options and SARs in thousands):


	Stock Options and SARs			Weighted Average Exercise Price		Weighted Average Remaining Contractual Term		Aggregate Intrinsic Value
	(In thousands)					(In years)		(In millions)
Balance at December 31, 2013		11,158		$	12.84
Granted		—			—
Exercised		(4,109	)		10.74
Forfeited		—			—
Expired		(42	)		41.73

Balance at December 31, 2014		7,007		$	13.90
Granted		—			—
Exercised		(2,985	)		12.09
Forfeited		—			—
Expired		(9	)		45.75

Balance at December 31, 2015		4,013		$	15.17
Granted		—			—
Exercised		(1,738	)		14.49
Forfeited		—			—
Expired		(180	)		46.19

Balance at December 31, 2016		2,095		$	13.08		1.6	$	70

Cash-Settled SAR Award Activity for All Plans

CSAR award activity for all plans for the years ended December 31, 2016, 2015 and 2014 is as follows (CSARs in thousands):


	CSARs			Weighted Average Exercise Price		Weighted Average Remaining Contractual Term		Aggregate Intrinsic Value
	(In thousands)					(In years)		(In millions)
Balance at December 31, 2013		2,865		$	6.26
Granted		—			—
Exercised		(1,254	)		6.18
Forfeited		—			—
Expired		—			—

Balance at December 31, 2014		1,611		$	6.33
Granted		—			—
Exercised		(760	)		6.31
Forfeited		—			—
Expired		—			—

Balance at December 31, 2015		851		$	6.35
Granted		—			—
Exercised		(501	)		5.24
Forfeited		—			—
Expired		—			—

Balance at December 31, 2016		350		$	7.94		1.0	$	14

American Airlines, Inc. [Member]

Schedule of Stock-Settled RSU Award Activity

Stock-settled RSU award activity for all plans for the years ended December 31, 2016, 2015 and 2014 is as follows (shares in thousands):


	Number of Shares			Weighted Average Grant Date Fair Value
	(In thousands)
Outstanding at December 31, 2013		23,879		$	24.33
Granted		3,467			37.07
Vested and released		(4,193	)		23.84
Forfeited		(1,811	)		25.10

Outstanding at December 31, 2014		21,342		$	26.43
Granted		2,213			46.62
Vested and released		(17,163	)		25.20
Forfeited		(785	)		27.12

Outstanding at December 31, 2015		5,607		$	38.08
Granted		2,655			41.34
Vested and released		(2,754	)		34.83
Forfeited		(321	)		40.15

Outstanding at December 31, 2016		5,187		$	41.48

Stock Option and Stock-Settled SAR Award Activity for All Plans

Stock option and SAR award activity for all plans for the years ended December 31, 2016, 2015 and 2014 is as follows (stock options and SARs in thousands):


	Stock Options and SARs			Weighted Average Exercise Price		Weighted Average Remaining Contractual Term		Aggregate Intrinsic Value
	(In thousands)					(In years)		(In millions)
Balance at December 31, 2013		11,158		$	12.84
Granted		—			—
Exercised		(4,109	)		10.74
Forfeited		—			—
Expired		(42	)		41.73

Balance at December 31, 2014		7,007		$	13.90
Granted		—			—
Exercised		(2,985	)		12.09
Forfeited		—			—
Expired		(9	)		45.75

Balance at December 31, 2015		4,013		$	15.17
Granted		—			—
Exercised		(1,738	)		14.49
Forfeited		—			—
Expired		(180	)		46.19

Balance at December 31, 2016		2,095		$	13.08		1.6	$	70

Cash-Settled SAR Award Activity for All Plans

CSAR award activity for all plans for the years ended December 31, 2016, 2015 and 2014 is as follows (CSARs in thousands):


	CSARs			Weighted Average Exercise Price		Weighted Average Remaining Contractual Term		Aggregate Intrinsic Value
	(In thousands)					(In years)		(In millions)
Balance at December 31, 2013		2,865		$	6.26
Granted		—			—
Exercised		(1,254	)		6.18
Forfeited		—			—
Expired		—			—

Balance at December 31, 2014		1,611		$	6.33
Granted		—			—
Exercised		(760	)		6.31
Forfeited		—			—
Expired		—			—

Balance at December 31, 2015		851		$	6.35
Granted		—			—
Exercised		(501	)		5.24
Forfeited		—			—
Expired		—			—

Balance at December 31, 2016		350		$	7.94		1.0	$	14

Valuation and Qualifying Accounts (Tables)

12 Months Ended

Dec. 31, 2016

Components of Valuation and Qualifying Accounts

Balance at Beginning of Year			Changes Charged to Statement of Operations Accounts			Write-offs (Net of Recoveries)			Sales, Retirements and Transfers			Balance at End of Year
Allowance for obsolescence of inventories
Year ended December 31, 2016	$	728		$	37		$	(3	)	$	3		$	765
Year ended December 31, 2015		673			50			(4	)		9			728
Year ended December 31, 2014		547			142			(4	)		(12	)		673
Allowance for uncollectible accounts
Year ended December 31, 2016	$	41		$	47		$	(52	)	$	—		$	36
Year ended December 31, 2015		17			46			(22	)		—			41
Year ended December 31, 2014		41			6			(30	)		—			17

American Airlines, Inc. [Member]

Components of Valuation and Qualifying Accounts


	Balance at Beginning of Year		Changes Charged to Statement of Operations Accounts		Write-offs (Net of Recoveries)			Sales, Retirements and Transfers		Balance at End of Year
Allowance for obsolescence of inventories
Year ended December 31, 2016	$	689	$	28	$	—		$	3	$	720
Year ended December 31, 2015		638		42		—			9		689
Year ended December 31, 2014		504		135		(2	)		1		638
Allowance for uncollectible accounts
Year ended December 31, 2016	$	37	$	47	$	(49	)	$	—	$	35
Year ended December 31, 2015		14		45		(22	)		—		37
Year ended December 31, 2014		40		3		(29	)		—		14

Quarterly Financial Data (Unaudited) (Tables)

12 Months Ended

Dec. 31, 2016

Summarized Financial Data

Unaudited summarized financial data by quarter for 2016 and 2015 (in millions, except share and per share amounts):


	First Quarter		Second Quarter		Third Quarter		Fourth Quarter
2016
Operating revenues	$	9,435	$	10,363	$	10,594	$	9,789
Operating expenses		8,100		8,612		9,163		9,022
Operating income		1,335		1,751		1,431		767
Net income		700		950		737		289
Earnings per share:
Basic	$	1.15	$	1.69	$	1.40	$	0.56
Diluted	$	1.14	$	1.68	$	1.40	$	0.56
Shares used for computation (in thousands):
Basic		606,245		563,000		525,415		514,571
Diluted		611,488		566,040		528,510		518,358

2015
Operating revenues	$	9,827	$	10,827	$	10,706	$	9,630
Operating expenses		8,611		8,906		8,707		8,562
Operating income		1,216		1,921		1,999		1,068
Net income		932		1,704		1,693		3,281
Earnings per share:
Basic	$	1.34	$	2.47	$	2.56	$	5.24
Diluted	$	1.30	$	2.41	$	2.49	$	5.09
Shares used for computation (in thousands):
Basic		696,415		688,727		661,869		626,559
Diluted		716,930		707,611		680,739		644,140

American Airlines, Inc. [Member]

Summarized Financial Data

Unaudited summarized financial data by quarter for 2016 and 2015 (in millions):


	First Quarter		Second Quarter		Third Quarter		Fourth Quarter
2016
Operating revenues	$	9,427	$	10,360	$	10,591	$	9,786
Operating expenses		8,104		8,603		9,159		8,995
Operating income		1,323		1,757		1,432		791
Net income		710		972		758		341

2015
Operating revenues	$	9,811	$	10,814	$	10,694	$	9,619
Operating expenses		8,610		8,893		8,691		8,555
Operating income		1,201		1,921		2,003		1,064
Net income		937		1,709		1,723		3,751

Transactions with Related Parties (Tables)

12 Months Ended

Dec. 31, 2016

American Airlines, Inc. [Member]

Summary of Net Receivables (Payables) to Related Parties

The following represents the net receivables (payables) to related parties (in millions):


	December 31,
	2016			2015
AAG ⁽¹⁾	$	8,981		$	4,489
AAG’s wholly-owned subsidiaries ⁽²⁾		(2,171	)		(2,508	)

Total	$	6,810		$	1,981

⁽¹⁾	The increase in American’s net related party receivable from AAG is primarily due to American providing the cash funding for AAG’s share repurchase and dividend programs.

⁽²⁾	The net payable to AAG’s wholly-owned subsidiaries consists primarily of amounts due under regional capacity purchase agreements with AAG’s wholly-owned regional airlines operating under the brand name of American Eagle.

Basis of Presentation and Summary of Significant Accounting Policies - Additional Information (Detail)	3 Months Ended	12 Months Ended
	Dec. 31, 2015 USD ($)	Dec. 31, 2016 USD ($) Reporting_Unit	Dec. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Consolidated reporting unit \| Reporting_Unit		1
Goodwill	$ 4,091,000,000	$ 4,091,000,000	$ 4,091,000,000
Amortization expense		76,000,000	55,000,000	$ 81,000,000
Indefinite lived intangible assets	1,800,000,000	1,800,000,000	1,800,000,000
Impairment of intangible assets, indefinite-lived (excluding goodwill)		0
Frequent flyer liability	2,525,000,000	2,789,000,000	2,525,000,000
Air traffic liability	3,747,000,000	3,912,000,000	3,747,000,000
Advertising and promotional expenses		116,000,000	110,000,000	92,000,000
Foreign currency gains (losses)		1,000,000	(751,000,000)	(114,000,000)
Nonoperating special items, net		49,000,000	594,000,000	132,000,000
Mileage Credits Sale [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Frequent flyer liability	1,500,000,000	2,100,000,000	1,500,000,000
Marketing Component of Mileage Sales [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Other revenues recognized for marketing component of mileage sales at the time of sale		1,900,000,000	1,700,000,000	1,600,000,000
AAdvantage Program [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Frequent flyer liability	657,000,000	$ 669,000,000	657,000,000
US Airways Loyalty Program [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Frequent flyer liability	296,000,000		296,000,000
American Airlines, Inc. [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Consolidated reporting unit \| Reporting_Unit		1
Goodwill	4,091,000,000	$ 4,091,000,000	4,091,000,000
Amortization expense		76,000,000	55,000,000	81,000,000
Indefinite lived intangible assets	1,800,000,000	1,800,000,000	1,800,000,000
Impairment of intangible assets, indefinite-lived (excluding goodwill)		0
Frequent flyer liability	2,525,000,000	2,789,000,000	2,525,000,000
Air traffic liability	3,747,000,000	3,912,000,000	3,747,000,000
Advertising and promotional expenses		116,000,000	110,000,000	92,000,000
Foreign currency gains (losses)		1,000,000	(751,000,000)	(114,000,000)
Nonoperating special items, net		49,000,000	616,000,000	128,000,000
American Airlines, Inc. [Member] \| Mileage Credits Sale [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Frequent flyer liability	1,500,000,000	2,100,000,000	1,500,000,000
American Airlines, Inc. [Member] \| Marketing Component of Mileage Sales [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Other revenues recognized for marketing component of mileage sales at the time of sale		1,900,000,000	1,700,000,000	1,600,000,000
American Airlines, Inc. [Member] \| AAdvantage Program [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Frequent flyer liability	657,000,000	669,000,000	657,000,000
American Airlines, Inc. [Member] \| US Airways Loyalty Program [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Frequent flyer liability	296,000,000		296,000,000
ASU 2016-09 [Member] \| Adjustments for New Accounting Principle, Early Adoption [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Deferred tax assets, previously unrecognized excess tax benefits from stock compensation		418,000,000
Recognition of excess tax benefits from share based compensation to income tax provision		15,000,000
ASU 2016-09 [Member] \| Adjustments for New Accounting Principle, Early Adoption [Member] \| Retained Earnings(Deficit) [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Increase to retained earnings due to recognition of previously unrecognized excess tax benefits from stock compensation		418,000,000
ASU 2016-09 [Member] \| Adjustments for New Accounting Principle, Early Adoption [Member] \| American Airlines, Inc. [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Deferred tax assets, previously unrecognized excess tax benefits from stock compensation		418,000,000
Recognition of excess tax benefits from share based compensation to income tax provision		15,000,000
ASU 2016-09 [Member] \| Adjustments for New Accounting Principle, Early Adoption [Member] \| American Airlines, Inc. [Member] \| Retained Earnings(Deficit) [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Increase to retained earnings due to recognition of previously unrecognized excess tax benefits from stock compensation		$ 418,000,000
Venezuelan [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Foreign currency gains (losses)				(43,000,000)
Nonoperating special items, net	592,000,000		592,000,000
Venezuelan [Member] \| American Airlines, Inc. [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Foreign currency gains (losses)				$ (43,000,000)
Nonoperating special items, net	$ 592,000,000		$ 592,000,000
Minimum [Member] \| Aircraft, Engines and Related Rotable Parts [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Residual value percentage of equipment and properties		5.00%
Minimum [Member] \| Aircraft, Engines and Related Rotable Parts [Member] \| American Airlines, Inc. [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Residual value percentage of equipment and properties		5.00%
Maximum [Member] \| Aircraft, Engines and Related Rotable Parts [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Residual value percentage of equipment and properties		10.00%
Maximum [Member] \| Aircraft, Engines and Related Rotable Parts [Member] \| American Airlines, Inc. [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Residual value percentage of equipment and properties		10.00%
Gate Leasehold Rights [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Amortized years of intangible assets		25 years
Gate Leasehold Rights [Member] \| American Airlines, Inc. [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Amortized years of intangible assets		25 years
Domestic Airport Slots [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Amortized years of intangible assets		25 years
Domestic Airport Slots [Member] \| American Airlines, Inc. [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Amortized years of intangible assets		25 years
Customer Relationships [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Amortized years of intangible assets		9 years
Customer Relationships [Member] \| American Airlines, Inc. [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Amortized years of intangible assets		9 years
Marketing Agreements [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Amortized years of intangible assets		30 years
Marketing Agreements [Member] \| American Airlines, Inc. [Member]
Organization Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items]
Amortized years of intangible assets		30 years

Basis of Presentation and Summary of Significant Accounting Policies - Summary of Depreciable Asset (Detail)	12 Months Ended
	Dec. 31, 2016
Minimum [Member] \| Aircraft, Engines and Related Rotable Parts [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	20 years
Minimum [Member] \| Aircraft, Engines and Related Rotable Parts [Member] \| American Airlines, Inc. [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	20 years
Minimum [Member] \| Buildings and Improvements [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	5 years
Minimum [Member] \| Buildings and Improvements [Member] \| American Airlines, Inc. [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	5 years
Minimum [Member] \| Furniture, Fixtures and Other Equipment [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	3 years
Minimum [Member] \| Furniture, Fixtures and Other Equipment [Member] \| American Airlines, Inc. [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	3 years
Minimum [Member] \| Capitalized Software [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	5 years
Minimum [Member] \| Capitalized Software [Member] \| American Airlines, Inc. [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	5 years
Maximum [Member] \| Aircraft, Engines and Related Rotable Parts [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	30 years
Maximum [Member] \| Aircraft, Engines and Related Rotable Parts [Member] \| American Airlines, Inc. [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	30 years
Maximum [Member] \| Buildings and Improvements [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	30 years
Maximum [Member] \| Buildings and Improvements [Member] \| American Airlines, Inc. [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	30 years
Maximum [Member] \| Furniture, Fixtures and Other Equipment [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	10 years
Maximum [Member] \| Furniture, Fixtures and Other Equipment [Member] \| American Airlines, Inc. [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	10 years
Maximum [Member] \| Capitalized Software [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	10 years
Maximum [Member] \| Capitalized Software [Member] \| American Airlines, Inc. [Member]
Property, Plant and Equipment [Line Items]
Depreciable Life	10 years

Basis of Presentation and Summary of Significant Accounting Policies - Schedule of Amortizable Intangible Assets (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Finite-Lived Intangible Assets [Line Items]
Accumulated amortization	$ (578)	$ (502)
Total	364	440
American Airlines, Inc. [Member]
Finite-Lived Intangible Assets [Line Items]
Accumulated amortization	(578)	(502)
Total	364	440
Domestic Airport Slots [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	365	365
Domestic Airport Slots [Member] \| American Airlines, Inc. [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	365	365
Customer Relationships [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	300	300
Customer Relationships [Member] \| American Airlines, Inc. [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	300	300
Marketing Agreements [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	105	105
Marketing Agreements [Member] \| American Airlines, Inc. [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	105	105
Tradenames [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	35	35
Tradenames [Member] \| American Airlines, Inc. [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	35	35
Airport Gate Leasehold Rights [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	137	137
Airport Gate Leasehold Rights [Member] \| American Airlines, Inc. [Member]
Finite-Lived Intangible Assets [Line Items]
Finite Lived Intangible Assets Gross	$ 137	$ 137

Basis of Presentation and Summary of Significant Accounting Policies - Schedule of Future Amortization Expense (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Finite-Lived Intangible Assets [Line Items]
2017	$ 45
2018	41
2019	41
2020	41
2021	41
2022 and thereafter	155
Total	364	$ 440
American Airlines, Inc. [Member]
Finite-Lived Intangible Assets [Line Items]
2017	45
2018	41
2019	41
2020	41
2021	41
2022 and thereafter	155
Total	$ 364	$ 440

Basis of Presentation and Summary of Significant Accounting Policies - Components of Regional Expenses (Detail) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Regional Expenses [Line Items]
Aircraft fuel and related taxes		$ 5,071	$ 6,226	$ 10,592
Salaries, wages and benefits		10,890	9,524	8,508
Maintenance, materials and repairs		1,834	1,889	2,051
Other rent and landing fees		1,772	1,731	1,727
Aircraft rent		1,203	1,250	1,250
Selling expenses		1,323	1,394	1,544
Depreciation and amortization		1,525	1,364	1,295
Special items, net	$ 450	709	1,051	800
Other		4,525	4,374	4,118
Total regional expenses		6,044	5,983	6,516
American Airlines, Inc. [Member]
Regional Expenses [Line Items]
Aircraft fuel and related taxes		5,071	6,226	10,592
Salaries, wages and benefits		10,881	9,514	8,499
Maintenance, materials and repairs		1,834	1,889	2,051
Other rent and landing fees		1,772	1,731	1,727
Aircraft rent		1,203	1,250	1,250
Selling expenses		1,323	1,394	1,544
Depreciation and amortization		1,525	1,364	1,301
Special items, net	$ 447	709	1,051	783
Other		4,532	4,378	4,186
Total regional expenses		6,009	5,952	6,477
Regional Carrier [Member]
Regional Expenses [Line Items]
Aircraft fuel and related taxes		1,109	1,230	2,009
Salaries, wages and benefits		1,333	1,187	1,140
Capacity purchases from third-party regional carriers		1,538	1,651	1,494
Maintenance, materials and repairs		345	323	367
Other rent and landing fees		564	504	444
Aircraft rent		36	34	35
Selling expenses		347	333	307
Depreciation and amortization		301	252	217
Special items, net		14	29	24
Other		457	440	479
Total regional expenses		6,044	5,983	6,516
Regional Carrier [Member] \| American Airlines, Inc. [Member]
Regional Expenses [Line Items]
Aircraft fuel and related taxes		1,109	1,230	2,009
Salaries, wages and benefits		327	276	228
Capacity purchases from third-party regional carriers		3,186	3,137	2,858
Maintenance, materials and repairs		4	4	6
Other rent and landing fees		487	434	386
Aircraft rent		28	28	27
Selling expenses		347	333	307
Depreciation and amortization		237	197	168
Special items, net		13	18	5
Other		271	295	483
Total regional expenses		$ 6,009	$ 5,952	$ 6,477

Special Items - Components of Company's Special Items, Net Included in Consolidated Statements of Operations (Detail) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
	Dec. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Restructuring Cost and Reserve [Line Items]
Operating special items, net	$ 450	$ 709	$ 1,051	$ 800
Nonoperating special items, net		49	594	132
Income tax special items, net			(3,015)	346
Regional Carrier [Member]
Restructuring Cost and Reserve [Line Items]
Operating special items, net		14	29	24
American Airlines, Inc. [Member]
Restructuring Cost and Reserve [Line Items]
Operating special items, net	$ 447	709	1,051	783
Nonoperating special items, net		49	616	128
Income tax special items, net			(3,468)	344
American Airlines, Inc. [Member] \| Regional Carrier [Member]
Restructuring Cost and Reserve [Line Items]
Operating special items, net		$ 13	$ 18	$ 5

Special Items - Additional Disclosures (Detail) - USD ($) $ in Millions	3 Months Ended			12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Jun. 30, 2014	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Restructuring Cost and Reserve [Line Items]
Operating special items, net		$ 450		$ 709	$ 1,051	$ 800
Merger integration expenses	$ 121			514	826	732
Fair value adjustments for bankruptcy settlement obligations	(47)			(25)	53	(81)
Fleet restructuring expenses	104			177	210	88
Revision of prior estimates aircraft residual values and other asset impairments						81
Gain related to sale of DCA slots						265
Nonoperating special items, net				49	594	132
Foreign currency losses				1	(751)	(114)
Income tax special items, net					(3,015)	346
Reversal of valuation allowance					3,000
Non-cash tax provision on sale of fuel hedging contracts			$ 330
Regional Carrier [Member]
Restructuring Cost and Reserve [Line Items]
Operating special items, net				14	29	24
Fuel Hedging Contracts [Member]
Restructuring Cost and Reserve [Line Items]
Non-cash tax provision on sale of fuel hedging contracts			330			330
Venezuelan [Member]
Restructuring Cost and Reserve [Line Items]
Nonoperating special items, net		592			592
Foreign currency losses						(43)
7.50% Senior Secured Notes [Member] \| Secured Debt [Member]
Restructuring Cost and Reserve [Line Items]
Early debt extinguishment gain (cost)						$ (56)
Stated interest rate percentage (percent)						7.50%
American Airlines, Inc. [Member]
Restructuring Cost and Reserve [Line Items]
Operating special items, net		447		709	1,051	$ 783
Merger integration expenses	121			514	826	732
Fair value adjustments for bankruptcy settlement obligations	(47)			(25)	53	(60)
Fleet restructuring expenses	$ 104			177	210	88
Revision of prior estimates aircraft residual values and other asset impairments						81
Gain related to sale of DCA slots						265
Nonoperating special items, net				49	616	128
Foreign currency losses				1	(751)	(114)
Income tax special items, net					(3,468)	344
Reversal of valuation allowance					3,500
Non-cash tax provision on sale of fuel hedging contracts			328
American Airlines, Inc. [Member] \| Regional Carrier [Member]
Restructuring Cost and Reserve [Line Items]
Operating special items, net				$ 13	18	5
American Airlines, Inc. [Member] \| Fuel Hedging Contracts [Member]
Restructuring Cost and Reserve [Line Items]
Non-cash tax provision on sale of fuel hedging contracts			$ 328			328
American Airlines, Inc. [Member] \| Venezuelan [Member]
Restructuring Cost and Reserve [Line Items]
Nonoperating special items, net		$ 592			$ 592
Foreign currency losses						(43)
American Airlines, Inc. [Member] \| 7.50% Senior Secured Notes [Member] \| Secured Debt [Member]
Restructuring Cost and Reserve [Line Items]
Early debt extinguishment gain (cost)						$ (56)
Stated interest rate percentage (percent)						7.50%

Earnings (Loss) per Share - Computation of Basic and Diluted Earnings per Common Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Basic EPS:
Net income	$ 289	$ 737	$ 950	$ 700	$ 3,281	$ 1,693	$ 1,704	$ 932	$ 2,676	$ 7,610	$ 2,882
Weighted average common shares outstanding (in thousands)	514,571	525,415	563,000	606,245	626,559	661,869	688,727	696,415	552,308	668,393	717,456
Basic EPS (in dollars per share)	$ 0.56	$ 1.40	$ 1.69	$ 1.15	$ 5.24	$ 2.56	$ 2.47	$ 1.34	$ 4.85	$ 11.39	$ 4.02
Diluted EPS:
Net income	$ 289	$ 737	$ 950	$ 700	$ 3,281	$ 1,693	$ 1,704	$ 932	$ 2,676	$ 7,610	$ 2,882
Change in fair value of conversion feature on 7.25% convertible senior notes											3
Net income for purposes of computing diluted EPS									$ 2,676	$ 7,610	$ 2,885
Share computation for diluted EPS (in thousands):
Basic weighted average common shares outstanding	514,571	525,415	563,000	606,245	626,559	661,869	688,727	696,415	552,308	668,393	717,456
Dilutive effect of stock awards									3,791	18,962	15,603
Assumed conversion of convertible senior notes											957
Diluted weighted average common shares outstanding	518,358	528,510	566,040	611,488	644,140	680,739	707,611	716,930	556,099	687,355	734,016
Diluted EPS (in dollars per share)	$ 0.56	$ 1.40	$ 1.68	$ 1.14	$ 5.09	$ 2.49	$ 2.41	$ 1.30	$ 4.81	$ 11.07	$ 3.93
Stock options, SARs and RSUs were excluded from calculation of diluted EPS because inclusion would be antidilutive									1,429	764	226

Earnings (Loss) per Share - Computation of Basic and Diluted Earnings per Common Share (Parenthetical) (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2014	Dec. 31, 2016
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Change in net income for purposes of computing diluted earnings per share	$ 3
Convertible Senior Notes, 7.25, Due in 2014 [Member]
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Debt instrument, stated interest rate percentage	7.25%	7.25%

Share Repurchase Programs and Dividends - Share Repurchase Programs (Detail) - USD ($)	12 Months Ended			30 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2016	Jan. 31, 2017
Equity, Class of Treasury Stock [Line Items]
Stock repurchase programs, authorized amount	$ 9,000,000,000			$ 9,000,000,000
Stock repurchase programs, remaining authorized amount	$ 0			$ 0
Stock repurchased (in shares)	119,823,621	85,141,691	23,406,472	228,400,000
Aggregate stock repurchase price	$ 4,416,000,000	$ 3,586,000,000	$ 1,000,000,000	$ 9,000,000,000
Average cost per share (in dollars per share)	$ 36.86	$ 42.09	$ 42.72	$ 39.41
Subsequent Event [Member] \| Share Repurchase Program January 2017 [Member]
Equity, Class of Treasury Stock [Line Items]
Stock repurchase programs, authorized amount					$ 2,000,000,000

Share Repurchase Programs and Dividends - Dividends (Detail) - USD ($) $ / shares in Units, $ in Millions	3 Months Ended										12 Months Ended
	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014	Sep. 30, 2014	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Equity [Abstract]
Cash dividends declared (in dollars per share)	$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.40	$ 0.40	$ 0.20
Cash paid	$ 52	$ 53	$ 58	$ 61	$ 72	$ 66	$ 70	$ 70	$ 72	$ 72	$ 224	$ 278	$ 144

Debt - Summary of Availability under Revolving Credit Facilities (Detail) - Revolving Credit Facility [Member] - Secured Debt [Member] $ in Millions	Dec. 31, 2016 USD ($)
Line of Credit Facility [Line Items]
Availability under revolving credit facilities	$ 2,425
2013 Credit Facilities [Member]
Line of Credit Facility [Line Items]
Availability under revolving credit facilities	1,400
2014 Credit Facilities [Member]
Line of Credit Facility [Line Items]
Availability under revolving credit facilities	1,025
American Airlines, Inc. [Member]
Line of Credit Facility [Line Items]
Availability under revolving credit facilities	2,425
American Airlines, Inc. [Member] \| 2013 Credit Facilities [Member]
Line of Credit Facility [Line Items]
Availability under revolving credit facilities	1,400
American Airlines, Inc. [Member] \| 2014 Credit Facilities [Member]
Line of Credit Facility [Line Items]
Availability under revolving credit facilities	$ 1,025

Debt - Schedule of Maturities of Long-Term Debt and Capital Leases (Detail) $ in Millions	Dec. 31, 2016 USD ($)
Debt Instrument [Line Items]
2017	$ 1,899
2018	2,454
2019	2,758
2020	3,922
2021	2,681
2022 and thereafter	10,859
Total	24,573
American Airlines, Inc. [Member]
Debt Instrument [Line Items]
2017	1,899
2018	1,954
2019	2,008
2020	3,416
2021	2,679
2022 and thereafter	10,837
Total	$ 22,793

Debt - Components of Long-Term Debt - 2013, 2014 and 2016 Credit Facilities (Detail) - Secured Debt [Member]	12 Months Ended
	Dec. 31, 2016 USD ($)
2013 Credit Facilities [Member] \| Term Loan Facility [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 1,900,000,000
Principal outstanding or drawn	$ 1,840,000,000
2013 Credit Facilities [Member] \| Term Loan Facility [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	2.50%
2013 Credit Facilities [Member] \| Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	$ 1,400,000,000
2013 Credit Facilities [Member] \| Revolving Credit Facility [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	3.00%
2014 Credit Facilities [Member] \| Term Loan Facility [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 750,000,000
Principal outstanding or drawn	$ 735,000,000
2014 Credit Facilities [Member] \| Term Loan Facility [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	2.50%
2014 Credit Facilities [Member] \| Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	$ 1,025,000,000
2014 Credit Facilities [Member] \| Revolving Credit Facility [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	3.00%
April 2016 Credit Facilities [Member] \| Term Loan Facility [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 1,000,000,000
Principal outstanding or drawn	$ 1,000,000,000
April 2016 Credit Facilities [Member] \| Term Loan Facility [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	2.50%
December 2016 Credit Facilities [Member] \| Term Loan Facility [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 1,250,000,000
Principal outstanding or drawn	$ 1,250,000,000
December 2016 Credit Facilities [Member] \| Term Loan Facility [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	2.50%
American Airlines, Inc. [Member] \| 2013 Credit Facilities [Member] \| Term Loan Facility [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 1,900,000,000
Principal outstanding or drawn	$ 1,840,000,000
American Airlines, Inc. [Member] \| 2013 Credit Facilities [Member] \| Term Loan Facility [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	2.50%
American Airlines, Inc. [Member] \| 2013 Credit Facilities [Member] \| Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	$ 1,400,000,000
American Airlines, Inc. [Member] \| 2013 Credit Facilities [Member] \| Revolving Credit Facility [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	3.00%
American Airlines, Inc. [Member] \| 2014 Credit Facilities [Member] \| Term Loan Facility [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 750,000,000
Principal outstanding or drawn	$ 735,000,000
American Airlines, Inc. [Member] \| 2014 Credit Facilities [Member] \| Term Loan Facility [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	2.50%
American Airlines, Inc. [Member] \| 2014 Credit Facilities [Member] \| Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	$ 1,025,000,000
American Airlines, Inc. [Member] \| 2014 Credit Facilities [Member] \| Revolving Credit Facility [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	3.00%
American Airlines, Inc. [Member] \| April 2016 Credit Facilities [Member] \| Term Loan Facility [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 1,000,000,000
Principal outstanding or drawn	$ 1,000,000,000
American Airlines, Inc. [Member] \| April 2016 Credit Facilities [Member] \| Term Loan Facility [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	2.50%
American Airlines, Inc. [Member] \| December 2016 Credit Facilities [Member] \| Term Loan Facility [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 1,250,000,000
Principal outstanding or drawn	$ 1,250,000,000
American Airlines, Inc. [Member] \| December 2016 Credit Facilities [Member] \| Term Loan Facility [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	2.50%

Debt - Components of Long-Term Debt - 2013, 2014 and 2016 Credit Facilities (Parenthetical) (Detail) - Term Loan Facility [Member] - Secured Debt [Member] - LIBOR [Member]	12 Months Ended
	Dec. 31, 2016
Debt Instrument [Line Items]
Debt instrument, variable rate basis, floor rate	0.75%
American Airlines, Inc. [Member]
Debt Instrument [Line Items]
Debt instrument, variable rate basis, floor rate	0.75%
2013 Credit Facilities [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	2.50%
2013 Credit Facilities [Member] \| Scenario if Corporate Credit Rating was Lower than Ba3 from Moody's and BB- from S&P [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	2.75%
2013 Credit Facilities [Member] \| American Airlines, Inc. [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	2.50%
2013 Credit Facilities [Member] \| American Airlines, Inc. [Member] \| Scenario if Corporate Credit Rating was Lower than Ba3 from Moody's and BB- from S&P [Member]
Debt Instrument [Line Items]
Debt instrument, basis spread on variable rate	2.75%

Debt - 2013, 2014 and 2016 Credit Facilities (Detail)	12 Months Ended
Debt - 2013, 2014 and 2016 Credit Facilities (Detail)	Dec. 31, 2016 USD ($)
Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Line of credit facility undrawn fee percentage	0.75%
Credit Facility, Tranche B-2, Citicorp 2013 [Member]
Debt Instrument [Line Items]
Repayment of debt	$ 588,000,000
Credit Facility, Tranche B-1, Citicorp 2013 [Member]
Debt Instrument [Line Items]
Repayment of debt	970,000,000
Secured Debt [Member]
Debt Instrument [Line Items]
Minimum aggregate liquidity required under debt covenant	$ 2,000,000,000
Secured Debt [Member] \| Term Loan Facility [Member]
Debt Instrument [Line Items]
Annual installment repayment, percent or original principal balance	1.00%
Secured Debt [Member] \| Letter of Credit [Member]
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	$ 300,000,000
American Airlines, Inc. [Member] \| Revolving Credit Facility [Member]
Debt Instrument [Line Items]
Line of credit facility undrawn fee percentage	0.75%
American Airlines, Inc. [Member] \| Credit Facility, Tranche B-2, Citicorp 2013 [Member]
Debt Instrument [Line Items]
Repayment of debt	$ 588,000,000
American Airlines, Inc. [Member] \| Credit Facility, Tranche B-1, Citicorp 2013 [Member]
Debt Instrument [Line Items]
Repayment of debt	$ 970,000,000
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Term Loan Facility [Member]
Debt Instrument [Line Items]
Annual installment repayment, percent or original principal balance	1.00%
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Letter of Credit [Member]
Debt Instrument [Line Items]
Line of credit facility, maximum borrowing capacity	$ 300,000,000

Debt - Components of Long-Term Debt - 2016-1 Enhanced Equipment Trust Certificates (Detail) - Enhanced Equipment Trust Certificates (EETC) [Member] - 2016-1 EETC [Member] $ in Billions	1 Months Ended
	Jan. 31, 2016 USD ($) Aircraft Debt_Instruments
Debt Instrument [Line Items]
Number of debt instruments issued \| Debt_Instruments	3
Debt instrument principal amount \| $	$ 1.1
Number of aircraft financed by debt issuance \| Aircraft	22
American Airlines, Inc. [Member]
Debt Instrument [Line Items]
Number of debt instruments issued \| Debt_Instruments	3
Debt instrument principal amount \| $	$ 1.1
Number of aircraft financed by debt issuance \| Aircraft	22

Debt - Details of 2016-1 Enhanced Equipment Trust Certificates (Detail) - Enhanced Equipment Trust Certificates (EETC) [Member] $ in Millions	Dec. 31, 2016 USD ($)
Series 2016-1 Class AA [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 584
Debt instrument, stated interest rate percentage	3.575%
Series 2016-1 Class A [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 262
Debt instrument, stated interest rate percentage	4.10%
Series 2016-1 Class B [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 228
Debt instrument, stated interest rate percentage	5.25%
American Airlines, Inc. [Member] \| Series 2016-1 Class AA [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 584
Debt instrument, stated interest rate percentage	3.575%
American Airlines, Inc. [Member] \| Series 2016-1 Class A [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 262
Debt instrument, stated interest rate percentage	4.10%
American Airlines, Inc. [Member] \| Series 2016-1 Class B [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 228
Debt instrument, stated interest rate percentage	5.25%

Debt - Components of Long-Term Debt - 2016-2 Enhanced Equipment Trust Certificates (Detail) - Enhanced Equipment Trust Certificates (EETC) [Member] - 2016-2 EETC [Member] $ in Billions	3 Months Ended
	Jul. 31, 2016 USD ($) Aircraft Debt_Instruments
Debt Instrument [Line Items]
Number of debt instruments issued \| Debt_Instruments	3
Debt instrument principal amount \| $	$ 1.1
Number of aircraft financed by debt issuance \| Aircraft	22
American Airlines, Inc. [Member]
Debt Instrument [Line Items]
Number of debt instruments issued \| Debt_Instruments	3
Debt instrument principal amount \| $	$ 1.1
Number of aircraft financed by debt issuance \| Aircraft	22

Debt - Details of 2016-2 Enhanced Equipment Trust Certificates (Detail) - Enhanced Equipment Trust Certificates (EETC) [Member] $ in Millions	Dec. 31, 2016 USD ($)
2016-2 EETC Class AA [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 567
Debt instrument, stated interest rate percentage	3.20%
2016-2 EETC Class A [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 261
Debt instrument, stated interest rate percentage	3.65%
2016-2 EETC Class B [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 227
Debt instrument, stated interest rate percentage	4.375%
American Airlines, Inc. [Member] \| 2016-2 EETC Class AA [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 567
Debt instrument, stated interest rate percentage	3.20%
American Airlines, Inc. [Member] \| 2016-2 EETC Class A [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 261
Debt instrument, stated interest rate percentage	3.65%
American Airlines, Inc. [Member] \| 2016-2 EETC Class B [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 227
Debt instrument, stated interest rate percentage	4.375%

Debt - Components of Long-Term Debt - 2016-3 Enhanced Equipment Trust Certificates (Detail) - Enhanced Equipment Trust Certificates (EETC) [Member] - 2016-3 EETC [Member] $ in Millions	1 Months Ended
	Oct. 31, 2016 USD ($) Aircraft Debt_Instruments	Dec. 31, 2016 USD ($)
Debt Instrument [Line Items]
Number of debt instruments issued \| Debt_Instruments	2
Debt instrument principal amount	$ 814
Number of aircraft financed by debt issuance \| Aircraft	25
Debt instrument, escrowed proceeds used to purchase notes		$ 705
Debt instrument, remaining escrowed proceeds		109
American Airlines, Inc. [Member]
Debt Instrument [Line Items]
Number of debt instruments issued \| Debt_Instruments	2
Debt instrument principal amount	$ 814
Number of aircraft financed by debt issuance \| Aircraft	25
Debt instrument, escrowed proceeds used to purchase notes		705
Debt instrument, remaining escrowed proceeds		$ 109

Debt - Details of 2016-3 Enhanced Equipment Trust Certificates (Detail) - Enhanced Equipment Trust Certificates (EETC) [Member] $ in Millions	Dec. 31, 2016 USD ($)
Series 2016-3 Class AA [Member]
Debt Instrument [Line Items]
Debt instrument, escrowed proceeds used to purchase notes	$ 558
Debt instrument, remaining escrowed proceeds	$ 75
Debt instrument, stated interest rate percentage	3.00%
Series 2016-3 Class A [Member]
Debt Instrument [Line Items]
Debt instrument, escrowed proceeds used to purchase notes	$ 256
Debt instrument, remaining escrowed proceeds	$ 34
Debt instrument, stated interest rate percentage	3.25%
American Airlines, Inc. [Member] \| Series 2016-3 Class AA [Member]
Debt Instrument [Line Items]
Debt instrument, escrowed proceeds used to purchase notes	$ 558
Debt instrument, remaining escrowed proceeds	$ 75
Debt instrument, stated interest rate percentage	3.00%
American Airlines, Inc. [Member] \| Series 2016-3 Class A [Member]
Debt Instrument [Line Items]
Debt instrument, escrowed proceeds used to purchase notes	$ 256
Debt instrument, remaining escrowed proceeds	$ 34
Debt instrument, stated interest rate percentage	3.25%

Debt - Components of Long-Term Debt - Equipment Loans and Other Notes Payable Issued in 2016 (Detail) - Secured Debt [Member] - Equipment Loans and Other Notes Payable [Member] $ in Billions	12 Months Ended
	Dec. 31, 2016 USD ($)
Debt Instrument [Line Items]
Proceeds from notes payable	$ 1.8
LIBOR [Member]
Debt Instrument [Line Items]
Long-term debt average interest rate	2.96%
American Airlines, Inc. [Member]
Debt Instrument [Line Items]
Proceeds from notes payable	$ 1.8
American Airlines, Inc. [Member] \| LIBOR [Member]
Debt Instrument [Line Items]
Long-term debt average interest rate	2.96%

Debt - Components of Long-Term Debt - Special Facility Revenue Bonds (Detail) - John F. Kennedy Airport [Member] $ in Millions	1 Months Ended
	Jun. 30, 2016 USD ($)
Special Facility Revenue Bonds [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 844
Debt instrument, premium	107.00%
Gross proceeds from the issuance of bonds	$ 907
Debt instrument, stated interest rate percentage	5.00%
Write offs of unamortized bond discounts and issuance costs	$ 36
Special Facility Revenue Bonds [Member] \| Serial Bonds [Member]
Debt Instrument [Line Items]
Long-term debt, net	212
Special Facility Revenue Bonds [Member] \| Term Bonds [Member]
Debt Instrument [Line Items]
Long-term debt, net	632
Special Facility Revenue Bonds [Member] \| Term Bonds [Member] \| Term Bond Due on August 1, 2026 [Member]
Debt Instrument [Line Items]
Long-term debt, net	278
Special Facility Revenue Bonds [Member] \| Term Bonds [Member] \| Term Bond Due on August 1, 2031 [Member]
Debt Instrument [Line Items]
Long-term debt, net	354
Prior Special Facility Revenue Bonds [Member]
Debt Instrument [Line Items]
Long-term debt, net	1,000
Redemption of prior bonds	895
American Airlines, Inc. [Member] \| Special Facility Revenue Bonds [Member]
Debt Instrument [Line Items]
Debt instrument principal amount	$ 844
Debt instrument, premium	107.00%
Gross proceeds from the issuance of bonds	$ 907
Debt instrument, stated interest rate percentage	5.00%
Write offs of unamortized bond discounts and issuance costs	$ 36
American Airlines, Inc. [Member] \| Special Facility Revenue Bonds [Member] \| Serial Bonds [Member]
Debt Instrument [Line Items]
Long-term debt, net	212
American Airlines, Inc. [Member] \| Special Facility Revenue Bonds [Member] \| Term Bonds [Member]
Debt Instrument [Line Items]
Long-term debt, net	632
American Airlines, Inc. [Member] \| Special Facility Revenue Bonds [Member] \| Term Bonds [Member] \| Term Bond Due on August 1, 2026 [Member]
Debt Instrument [Line Items]
Long-term debt, net	278
American Airlines, Inc. [Member] \| Special Facility Revenue Bonds [Member] \| Term Bonds [Member] \| Term Bond Due on August 1, 2031 [Member]
Debt Instrument [Line Items]
Long-term debt, net	354
American Airlines, Inc. [Member] \| Prior Special Facility Revenue Bonds [Member]
Debt Instrument [Line Items]
Long-term debt, net	1,000
Redemption of prior bonds	$ 895

Debt - Details of Senior Notes (Detail) - Unsecured Debt [Member]	Dec. 31, 2016 USD ($)
5.50% Senior Notes [Member]
Debt Instrument [Line Items]
Principal amount	$ 750,000,000
Stated interest rate percentage	5.50%
6.125% Senior Notes [Member]
Debt Instrument [Line Items]
Principal amount	$ 500,000,000
Stated interest rate percentage	6.125%
4.625% Senior Notes [Member]
Debt Instrument [Line Items]
Principal amount	$ 500,000,000
Stated interest rate percentage	4.625%

Debt - Components of Long-Term Debt - Guarantees (Detail) $ in Millions	Dec. 31, 2016 USD ($)
Secured Debt [Member] \| Special Facility Revenue Bonds [Member]
Debt Instrument [Line Items]
Guarantor obligations, maximum exposure, undiscounted	$ 844
Credit Facilities And Certain EETC Financings [Member]
Debt Instrument [Line Items]
Guarantor obligations, maximum exposure, undiscounted	9,300
American Airlines, Inc. [Member] \| Unsecured Debt [Member] \| 5.50% Senior Notes [Member]
Debt Instrument [Line Items]
Guarantor obligations, maximum exposure, undiscounted	750
American Airlines, Inc. [Member] \| Unsecured Debt [Member] \| 6.125% Senior Notes [Member]
Debt Instrument [Line Items]
Guarantor obligations, maximum exposure, undiscounted	500
American Airlines, Inc. [Member] \| Unsecured Debt [Member] \| 4.625% Senior Notes [Member]
Debt Instrument [Line Items]
Guarantor obligations, maximum exposure, undiscounted	$ 500

Debt - Schedule of Collateral Coverage Tests (Detail) - Secured Debt [Member]	12 Months Ended
	Dec. 31, 2016
2013 Credit Facilities [Member]
Debt Instrument [Line Items]
LTV Multiplier	1.6
Maximum LTV	62.50%
LTV as of Last Measurement Date	31.50%
2014 Credit Facilities [Member]
Debt Instrument [Line Items]
LTV Multiplier	1.6
Maximum LTV	62.50%
LTV as of Last Measurement Date	23.20%
April 2016 Credit Facilities [Member]
Debt Instrument [Line Items]
LTV Multiplier	1.6
Maximum LTV	62.50%
LTV as of Last Measurement Date	47.70%
December 2016 Credit Facilities [Member]
Debt Instrument [Line Items]
LTV Multiplier	1.6
Maximum LTV	62.50%
LTV as of Last Measurement Date	61.80%
American Airlines, Inc. [Member] \| 2013 Credit Facilities [Member]
Debt Instrument [Line Items]
LTV Multiplier	1.6
Maximum LTV	62.50%
LTV as of Last Measurement Date	31.50%
American Airlines, Inc. [Member] \| 2014 Credit Facilities [Member]
Debt Instrument [Line Items]
LTV Multiplier	1.6
Maximum LTV	62.50%
LTV as of Last Measurement Date	23.20%
American Airlines, Inc. [Member] \| April 2016 Credit Facilities [Member]
Debt Instrument [Line Items]
LTV Multiplier	1.6
Maximum LTV	62.50%
LTV as of Last Measurement Date	47.70%
American Airlines, Inc. [Member] \| December 2016 Credit Facilities [Member]
Debt Instrument [Line Items]
LTV Multiplier	1.6
Maximum LTV	62.50%
LTV as of Last Measurement Date	61.80%

Income Taxes - Components of Income Tax Provision (Benefit) (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Components Of Income Taxes [Line Items]
Federal			$ (25)
State and Local	$ 12	$ 20	9
Current income tax provision (benefit)	12	20	(16)
Federal	1,508	(2,884)	345
State and Local	103	(130)	1
Deferred income tax provision (benefit)	1,611	(3,014)	346
Income tax provision (benefit)	1,623	(2,994)	330
American Airlines, Inc. [Member]
Components Of Income Taxes [Line Items]
Federal			(30)
State and Local	10	15	6
Current income tax provision (benefit)	10	15	(24)
Federal	1,559	(3,407)	342
State and Local	93	(60)	2
Deferred income tax provision (benefit)	1,652	(3,467)	344
Income tax provision (benefit)	$ 1,662	$ (3,452)	$ 320

Income Taxes - Computation of Income Tax Provision (Benefit) (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Income Tax Disclosure [Line Items]
Statutory income tax provision	$ 1,505	$ 1,616	$ 1,123
State income tax provision, net of federal tax effect	63	72	75
Book expenses (benefits) not deductible for tax purposes	34	57	(1)
Bankruptcy administration expenses	1	3	95
Alternative minimum tax (AMT) credit refund			(24)
Change in valuation allowance	7	(4,742)	(1,323)
Income tax provision resulting from OCI allocation			330
Other, net	13		55
Income tax provision (benefit)	1,623	(2,994)	330
American Airlines, Inc. [Member]
Income Tax Disclosure [Line Items]
Statutory income tax provision	1,555	1,635	1,144
State income tax provision, net of federal tax effect	67	71	81
Book expenses (benefits) not deductible for tax purposes	32	55	4
Bankruptcy administration expenses	1	3	86
Alternative minimum tax (AMT) credit refund			(29)
Change in valuation allowance	(1)	(5,216)	(1,285)
Income tax provision resulting from OCI allocation			328
Other, net	8		(9)
Income tax provision (benefit)	$ 1,662	$ (3,452)	$ 320

Income Taxes (Detail) - USD ($) $ in Millions	3 Months Ended	12 Months Ended
Income Taxes (Detail) - USD ($) $ in Millions	Jun. 30, 2014	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Income Taxes [Line Items]
Increase (decrease) in valuation allowance		$ 7.0	$ (4,800.0)	$ (197.0)
Non-cash tax provision on sale of fuel hedging contracts	$ 330.0
Income tax provision (benefit)		$ 1,623.0	(2,994.0)	330.0
Income tax expense, effective rate		38.00%
Alternative Minimum Tax Credit Carryforward [Member]
Income Taxes [Line Items]
Alternative minimum tax credit carryforwards		$ 339.0
Fuel Hedging Contracts [Member]
Income Taxes [Line Items]
Non-cash tax provision on sale of fuel hedging contracts	330.0			330.0
Federal [Member]
Income Taxes [Line Items]
Gross NOL carryforwards		10,500.0
Federal NOL carryforwards, maximum allowable utilization		9,000.0
Federal NOL carryforwards, remaining amount		8,900.0
State [Member]
Income Taxes [Line Items]
NOL subject to expiration		3,700.0
Substantially All Deferred Tax Assets, Including Net Operating Losses [Member]
Income Taxes [Line Items]
Increase (decrease) in valuation allowance			(3,000.0)
American Airlines, Inc. [Member]
Income Taxes [Line Items]
Increase (decrease) in valuation allowance		(1.0)	(5,200.0)	(525.0)
Non-cash tax provision on sale of fuel hedging contracts	328.0
Income tax provision (benefit)		$ 1,662.0	(3,452.0)	320.0
Income tax expense, effective rate		37.00%
American Airlines, Inc. [Member] \| Alternative Minimum Tax Credit Carryforward [Member]
Income Taxes [Line Items]
Alternative minimum tax credit carryforwards		$ 452.0
American Airlines, Inc. [Member] \| Fuel Hedging Contracts [Member]
Income Taxes [Line Items]
Non-cash tax provision on sale of fuel hedging contracts	$ 328.0			$ 328.0
American Airlines, Inc. [Member] \| Federal [Member]
Income Taxes [Line Items]
Gross NOL carryforwards		11,300.0
Federal NOL carryforwards, maximum allowable utilization		9,500.0
Federal NOL carryforwards, remaining amount		9,300.0
American Airlines, Inc. [Member] \| State [Member]
Income Taxes [Line Items]
Gross NOL carryforwards		$ 3.4
American Airlines, Inc. [Member] \| Substantially All Deferred Tax Assets, Including Net Operating Losses [Member]
Income Taxes [Line Items]
Increase (decrease) in valuation allowance			$ (3,500.0)

Income Taxes - Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards	$ 3,853	$ 2,558
Pensions	2,610	2,436
Loyalty program liability	485	590
Alternative minimum tax credit carryforwards	344	346
Postretirement benefits other than pensions	291	340
Rent expense	256	134
Gains from lease transactions	213	262
Reorganization items	53	57
Other	972	1,200
Total deferred tax assets	9,077	7,923
Valuation allowance	(29)	(22)
Net deferred tax assets	9,048	7,901
Accelerated depreciation and amortization	(7,216)	(5,158)
Other	(345)	(266)
Total deferred tax liabilities	(7,561)	(5,424)
Net deferred tax asset	1,487	2,477
American Airlines, Inc. [Member]
Operating Loss Carryforwards [Line Items]
Operating loss carryforwards	4,087	2,818
Pensions	2,595	2,420
Loyalty program liability	485	590
Alternative minimum tax credit carryforwards	456	458
Postretirement benefits other than pensions	291	340
Rent expense	256	134
Gains from lease transactions	213	261
Reorganization items	53	57
Other	911	1,123
Total deferred tax assets	9,347	8,201
Valuation allowance	(13)	(14)
Net deferred tax assets	9,334	8,187
Accelerated depreciation and amortization	(7,101)	(5,011)
Other	(335)	(244)
Total deferred tax liabilities	(7,436)	(5,255)
Net deferred tax asset	$ 1,898	$ 2,932

Risk Management - Additional Information (Detail) $ in Billions	Dec. 31, 2016 USD ($)
Derivative [Line Items]
Principal amount of long-term variable rate debt	$ 9.6
Variable Rate Debt [Member]
Derivative [Line Items]
Weighted average effective interest rate on variable rate debt	3.10%
American Airlines, Inc. [Member]
Derivative [Line Items]
Principal amount of long-term variable rate debt	$ 9.6
American Airlines, Inc. [Member] \| Variable Rate Debt [Member]
Derivative [Line Items]
Weighted average effective interest rate on variable rate debt	3.10%

Fair Value Measurements - Schedule of Carrying Value and Estimated Fair Value of Long-Term Debt, Including Current Maturities (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Carrying Value [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-term debt, including current maturities	$ 24,344	$ 20,561
Fair Value [Member] \| Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-term debt, including current maturities	24,983	21,111
American Airlines, Inc. [Member] \| Carrying Value [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-term debt, including current maturities	22,577	18,826
American Airlines, Inc. [Member] \| Fair Value [Member] \| Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Long-term debt, including current maturities	$ 23,181	$ 19,378

Employee Benefit Plans - Additional Information (Detail) - USD ($)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2012
Defined Benefit Plan Disclosure [Line Items]
Retiree medical plan, plan amendment				$ 1,900,000,000
Amortization period of gains losses related to plan amendment				8 years
Unamortized actuarial gain	$ 871,000,000
Estimated future employer contributions in 2017	25,000,000
Estimated future supplemental employer contributions in 2017	$ 254,000,000
Deferred Profit Sharing [Member]
Defined Benefit Plan Disclosure [Line Items]
Pre-tax income excluding special items for employee profit sharing, percentage	5.00%
Employee profit sharing program, amount	$ 314,000,000
Pension Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
The estimated net gain (loss) that will be amortized into net periodic benefit cost over the next fiscal year	$ (144,000,000)
Defined Benefit Plan, Expected Long-term Return on Assets	8.00%	8.00%	8.00%
Retiree Medical And Other Postretirement Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Retiree medical plan, plan amendment	$ (7,000,000)
The estimated net gain (loss) that will be amortized into net periodic benefit cost over the next fiscal year	$ 23,000,000
Defined Benefit Plan, Expected Long-term Return on Assets	8.00%	8.00%	8.00%
Retiree Medical And Other Postretirement Benefits [Member] \| Mutual Funds [Member] \| International Companies [Member]
Defined Benefit Plan Disclosure [Line Items]
Defined Benefit Plan, Actual Plan Asset Allocations	27.00%	27.00%
American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Retiree medical plan, plan amendment				$ 1,900,000,000
Amortization period of gains losses related to plan amendment				8 years
Unamortized actuarial gain	$ 871,000,000
Estimated future employer contributions in 2017	25,000,000
Estimated future supplemental employer contributions in 2017	$ 254,000,000
American Airlines, Inc. [Member] \| Deferred Profit Sharing [Member]
Defined Benefit Plan Disclosure [Line Items]
Pre-tax income excluding special items for employee profit sharing, percentage	5.00%
Employee profit sharing program, amount	$ 314,000,000
American Airlines, Inc. [Member] \| Pension Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
The estimated net gain (loss) that will be amortized into net periodic benefit cost over the next fiscal year	$ (144,000,000)
Defined Benefit Plan, Expected Long-term Return on Assets	8.00%	8.00%	8.00%
American Airlines, Inc. [Member] \| Retiree Medical And Other Postretirement Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Retiree medical plan, plan amendment	$ (7,000,000)
The estimated net gain (loss) that will be amortized into net periodic benefit cost over the next fiscal year	$ 23,000,000
Defined Benefit Plan, Expected Long-term Return on Assets	8.00%	8.00%	8.00%
American Airlines, Inc. [Member] \| Retiree Medical And Other Postretirement Benefits [Member] \| Mutual Funds [Member] \| International Companies [Member]
Defined Benefit Plan Disclosure [Line Items]
Defined Benefit Plan, Actual Plan Asset Allocations	27.00%	27.00%

Employee Benefit Plans - Schedule of Changes in Projected Benefit Obligations (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2012
Reconciliation of benefit obligation:
Plan amendments				$ (1,900)
Other		$ 24
American Airlines, Inc. [Member]
Reconciliation of benefit obligation:
Plan amendments				$ (1,900)
Other		24
Pension Benefits [Member]
Reconciliation of benefit obligation:
Obligation beginning balance	$ 16,395	17,594
Service cost	2	2
Interest cost	749	737	$ 746
Actuarial (gain) loss	729	(1,159)
Settlements	(2)	(3)
Benefit payments	(635)	(776)
Obligation end of period	17,238	16,395	17,594
Pension Benefits [Member] \| American Airlines, Inc. [Member]
Reconciliation of benefit obligation:
Obligation beginning balance	16,310	17,504
Service cost	2	2
Interest cost	746	733	742
Actuarial (gain) loss	725	(1,153)
Settlements	(2)	(3)
Benefit payments	(633)	(773)
Obligation end of period	17,148	16,310	17,504
Retiree Medical And Other Postretirement Benefits [Member]
Reconciliation of benefit obligation:
Obligation beginning balance	1,131	1,325
Service cost	3	3
Interest cost	47	50	61
Actuarial (gain) loss	(105)	(177)
Plan amendments	7
Benefit payments	(92)	(94)
Other		24
Obligation end of period	991	1,131	1,325
Retiree Medical And Other Postretirement Benefits [Member] \| American Airlines, Inc. [Member]
Reconciliation of benefit obligation:
Obligation beginning balance	1,129	1,324
Service cost	3	3
Interest cost	47	50	61
Actuarial (gain) loss	(104)	(178)
Plan amendments	7
Benefit payments	(92)	(94)
Other		24
Obligation end of period	$ 990	$ 1,129	$ 1,324

Employee Benefit Plans - Schedule of Changes in Fair Value of Plan Assets (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Defined Benefit Plan Disclosure [Line Items]
Other		$ 24
American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Other		24
Pension Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at beginning of period	$ 9,707	10,986
Actual return on plan assets	915	(506)
Employer contributions	32	6
Settlements	(2)	(3)
Benefit payments	(635)	(776)
Fair value of plan assets at end of period	10,017	9,707
Funded status at end of period	(7,221)	(6,688)
Pension Benefits [Member] \| American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at beginning of period	9,660	10,935
Actual return on plan assets	911	(505)
Employer contributions	32	6
Settlements	(2)	(3)
Benefit payments	(633)	(773)
Fair value of plan assets at end of period	9,968	9,660
Funded status at end of period	(7,180)	(6,650)
Retiree Medical And Other Postretirement Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at beginning of period	253	244
Actual return on plan assets	22	(10)
Employer contributions	83	89
Benefit payments	(92)	(94)
Other		24
Fair value of plan assets at end of period	266	253
Funded status at end of period	(725)	(878)
Retiree Medical And Other Postretirement Benefits [Member] \| American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at beginning of period	253	244
Actual return on plan assets	22	(10)
Employer contributions	83	89
Benefit payments	(92)	(94)
Other		24
Fair value of plan assets at end of period	266	253
Funded status at end of period	$ (724)	$ (876)

Employee Benefit Plans - Schedule of Amounts Recognized in Consolidated Balance Sheets (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Defined Benefit Plan Disclosure [Line Items]
Noncurrent liability	$ 7,842	$ 7,450
American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Noncurrent liability	7,800	7,410
Pension Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Current liability	7	7
Noncurrent liability	7,214	6,681
Amounts recognized in the consolidated balance sheets	7,221	6,688
Pension Benefits [Member] \| American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Current liability	7	7
Noncurrent liability	7,173	6,643
Amounts recognized in the consolidated balance sheets	7,180	6,650
Retiree Medical And Other Postretirement Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Current liability	97	109
Noncurrent liability	628	769
Amounts recognized in the consolidated balance sheets	725	878
Retiree Medical And Other Postretirement Benefits [Member] \| American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Current liability	97	109
Noncurrent liability	627	767
Amounts recognized in the consolidated balance sheets	$ 724	$ 876

Employee Benefit Plans - Schedule of Amounts Recognized in Other Comprehensive Income (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Pension Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Net actuarial loss (gain)	$ 5,484	$ 5,047
Prior service cost (benefit)	188	216
Total accumulated other comprehensive loss (income), pre-tax	5,672	5,263
Pension Benefits [Member] \| American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Net actuarial loss (gain)	5,472	5,036
Prior service cost (benefit)	188	216
Total accumulated other comprehensive loss (income), pre-tax	5,660	5,252
Retiree Medical And Other Postretirement Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Net actuarial loss (gain)	(430)	(339)
Prior service cost (benefit)	(837)	(1,084)
Total accumulated other comprehensive loss (income), pre-tax	(1,267)	(1,423)
Retiree Medical And Other Postretirement Benefits [Member] \| American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Net actuarial loss (gain)	(429)	(339)
Prior service cost (benefit)	(837)	(1,084)
Total accumulated other comprehensive loss (income), pre-tax	$ (1,266)	$ (1,423)

Employee Benefit Plans - Schedule of Amounts Recognized in Consolidated Balance Sheets (Parenthetical) (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Defined Benefit Plan Disclosure [Line Items]
Retiree medical and other postretirement benefits, excluded from noncurrent liability	$ 20	$ 17
Prior service costs, excluded from noncurrent liability	1	1
American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Retiree medical and other postretirement benefits, excluded from noncurrent liability	20	17
Prior service costs, excluded from noncurrent liability	$ 1	$ 1

Employee Benefit Plans - Schedule of Accumulated Benefit Obligations Exceeding Fair Value of Plan Assets (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Pension Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Projected benefit obligation (PBO)	$ 17,209	$ 16,369
Accumulated benefit obligation (ABO)	17,197	16,357
Fair value of plan assets	9,986	9,677
ABO less fair value of plan assets	7,211	6,680
Pension Benefits [Member] \| American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Projected benefit obligation (PBO)	17,119	16,283
Accumulated benefit obligation (ABO)	17,108	16,272
Fair value of plan assets	9,936	9,630
ABO less fair value of plan assets	7,172	6,642
Retiree Medical And Other Postretirement Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Accumulated postretirement benefit obligation (APBO)	990	1,129
Fair value of plan assets	266	253
Retiree Medical And Other Postretirement Benefits [Member] \| American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Accumulated postretirement benefit obligation (APBO)	990	1,129
Fair value of plan assets	$ 266	$ 253

Employee Benefit Plans - Components of Net Periodic Benefit Cost (Income) (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Pension Benefits [Member]
Components of net periodic benefit cost:
Service cost	$ 2	$ 2	$ 3
Interest cost	749	737	746
Expected return on assets	(750)	(851)	(786)
Settlements		1	4
Prior service cost (benefit)	28	28	28
Unrecognized net loss (gain)	126	112	43
Net periodic benefit cost (income)	155	29	38
Defined contribution plan cost	766	662	546
Total cost (income)	921	691	584
Pension Benefits [Member] \| American Airlines, Inc. [Member]
Components of net periodic benefit cost:
Service cost	2	1	2
Interest cost	746	733	742
Expected return on assets	(747)	(848)	(783)
Settlements		1	4
Prior service cost (benefit)	28	28	28
Unrecognized net loss (gain)	125	111	43
Net periodic benefit cost (income)	154	26	36
Defined contribution plan cost	761	657	527
Total cost (income)	915	683	563
Retiree Medical And Other Postretirement Benefits [Member]
Components of net periodic benefit cost:
Service cost	3	3	1
Interest cost	47	50	61
Expected return on assets	(20)	(19)	(19)
Prior service cost (benefit)	(240)	(243)	(244)
Unrecognized net loss (gain)	(17)	(9)	(8)
Net periodic benefit cost (income)	(227)	(218)	(209)
Total cost (income)	(227)	(218)	(209)
Retiree Medical And Other Postretirement Benefits [Member] \| American Airlines, Inc. [Member]
Components of net periodic benefit cost:
Service cost	3	3	1
Interest cost	47	50	61
Expected return on assets	(20)	(19)	(19)
Prior service cost (benefit)	(240)	(243)	(244)
Unrecognized net loss (gain)	(16)	(9)	(8)
Net periodic benefit cost (income)	(226)	(218)	(209)
Total cost (income)	$ (226)	$ (218)	$ (209)

Employee Benefit Plans - Schedule of Assumption Used to Determine Benefit Obligations (Detail)	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Pension Benefits [Member]
Pension Plans, Postretirement and Other Employee Benefits [Line Items]
Weighted-average assumptions used to determine benefit obligations, Discount rate	4.30%	4.70%
Weighted-average assumptions used to determine net periodic benefit cost, Discount rate	4.70%	4.30%	5.10%
Weighted-average assumptions used to determine net periodic benefit cost, Expected return on plan assets	8.00%	8.00%	8.00%
Pension Benefits [Member] \| American Airlines, Inc. [Member]
Pension Plans, Postretirement and Other Employee Benefits [Line Items]
Weighted-average assumptions used to determine benefit obligations, Discount rate	4.30%	4.70%
Weighted-average assumptions used to determine net periodic benefit cost, Discount rate	4.70%	4.30%	5.10%
Weighted-average assumptions used to determine net periodic benefit cost, Expected return on plan assets	8.00%	8.00%	8.00%
Retiree Medical And Other Postretirement Benefits [Member]
Pension Plans, Postretirement and Other Employee Benefits [Line Items]
Weighted-average assumptions used to determine benefit obligations, Discount rate	4.10%	4.42%
Weighted-average assumptions used to determine net periodic benefit cost, Discount rate	4.42%	4.00%	4.74%
Weighted-average assumptions used to determine net periodic benefit cost, Expected return on plan assets	8.00%	8.00%	8.00%
Net periodic benefit cost, Weighted average health care cost trend rate assumed for next year	4.25%	5.21%	5.25%
Retiree Medical And Other Postretirement Benefits [Member] \| American Airlines, Inc. [Member]
Pension Plans, Postretirement and Other Employee Benefits [Line Items]
Weighted-average assumptions used to determine benefit obligations, Discount rate	4.10%	4.42%
Weighted-average assumptions used to determine net periodic benefit cost, Discount rate	4.42%	4.00%	4.74%
Weighted-average assumptions used to determine net periodic benefit cost, Expected return on plan assets	8.00%	8.00%	8.00%
Net periodic benefit cost, Weighted average health care cost trend rate assumed for next year	4.25%	5.21%	5.25%

Employee Benefit Plans - Schedule of One Percentage Point Change in Assumed Health Care Cost Trend Rates (Detail) $ in Millions	12 Months Ended
	Dec. 31, 2016 USD ($)
Defined Benefit Plan Disclosure [Line Items]
Increase (decrease) on 2016 service and interest cost, 1% Increase	$ 3
Increase(decrease)on benefit obligation as of December 31, 2016, 1% Increase	53
Increase (decrease) on 2016 service and interest cost, 1% Decrease	(3)
Increase(decrease)on benefits obligation as of December 31, 2016, 1% Decrease	(50)
American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Increase (decrease) on 2016 service and interest cost, 1% Increase	3
Increase(decrease)on benefit obligation as of December 31, 2016, 1% Increase	53
Increase (decrease) on 2016 service and interest cost, 1% Decrease	(3)
Increase(decrease)on benefits obligation as of December 31, 2016, 1% Decrease	$ (50)

Employee Benefit Plans - Schedule of Expected Future Service Benefit Payments (Detail) $ in Millions	Dec. 31, 2016 USD ($)
Pension Benefits [Member]
Pension Plans, Postretirement and Other Employee Benefits [Line Items]
2017	$ 688
2018	722
2019	762
2020	804
2021	845
2022-2026	4,819
Pension Benefits [Member] \| American Airlines, Inc. [Member]
Pension Plans, Postretirement and Other Employee Benefits [Line Items]
2017	685
2018	719
2019	758
2020	800
2021	841
2022-2026	4,797
Retiree Medical And Other Postretirement Benefits [Member]
Pension Plans, Postretirement and Other Employee Benefits [Line Items]
2017	97
2018	93
2019	88
2020	79
2021	73
2022-2026	312
Retiree Medical And Other Postretirement Benefits [Member] \| American Airlines, Inc. [Member]
Pension Plans, Postretirement and Other Employee Benefits [Line Items]
2017	97
2018	93
2019	88
2020	79
2021	73
2022-2026	$ 312

Employee Benefit Plans - Schedule of Allocation of Plan Assets (Detail)	12 Months Ended
	Dec. 31, 2016
Equity [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	65.00%
Percentage of target assets allocation - maximum	90.00%
U.S. [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	20.00%
Percentage of target assets allocation - maximum	45.00%
International [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	17.00%
Percentage of target assets allocation - maximum	27.00%
Emerging Markets [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	5.00%
Percentage of target assets allocation - maximum	11.00%
Alternative Investments [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	5.00%
Percentage of target assets allocation - maximum	30.00%
Fixed Income [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	15.00%
Percentage of target assets allocation - maximum	40.00%
U.S. Long Duration [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	15.00%
Percentage of target assets allocation - maximum	40.00%
High Yield and Emerging Markets [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	0.00%
Percentage of target assets allocation - maximum	10.00%
Other [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	0.00%
Percentage of target assets allocation - maximum	5.00%
Cash Equivalents [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	0.00%
Percentage of target assets allocation - maximum	5.00%
American Airlines, Inc. [Member] \| Equity [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	65.00%
Percentage of target assets allocation - maximum	90.00%
American Airlines, Inc. [Member] \| U.S. [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	20.00%
Percentage of target assets allocation - maximum	45.00%
American Airlines, Inc. [Member] \| International [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	17.00%
Percentage of target assets allocation - maximum	27.00%
American Airlines, Inc. [Member] \| Emerging Markets [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	5.00%
Percentage of target assets allocation - maximum	11.00%
American Airlines, Inc. [Member] \| Alternative Investments [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	5.00%
Percentage of target assets allocation - maximum	30.00%
American Airlines, Inc. [Member] \| Fixed Income [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	15.00%
Percentage of target assets allocation - maximum	40.00%
American Airlines, Inc. [Member] \| U.S. Long Duration [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	15.00%
Percentage of target assets allocation - maximum	40.00%
American Airlines, Inc. [Member] \| High Yield and Emerging Markets [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	0.00%
Percentage of target assets allocation - maximum	10.00%
American Airlines, Inc. [Member] \| Other [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	0.00%
Percentage of target assets allocation - maximum	5.00%
American Airlines, Inc. [Member] \| Cash Equivalents [Member]
Defined Benefit Plan Disclosure [Line Items]
Percentage of target assets allocation - minimum	0.00%
Percentage of target assets allocation - maximum	5.00%

Employee Benefit Plans - Changes in Fair Value Measurements of Level 3 Investments (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Private Equity Partnerships [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at beginning of period	$ 16	$ 17
Relating to assets sold during the period	7
Relating to assets still held at the reporting date		(1)
Purchases	7
Sales	(9)
Fair value of plan assets at end of period	21	16
Private Equity Partnerships [Member] \| American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at beginning of period	16	17
Relating to assets sold during the period	7
Relating to assets still held at the reporting date		(1)
Purchases	7
Sales	(9)
Fair value of plan assets at end of period	21	16
Insurance Group Annuity Contracts [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at beginning of period	2	2
Fair value of plan assets at end of period	2	2
Insurance Group Annuity Contracts [Member] \| American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets at beginning of period	2	2
Fair value of plan assets at end of period	$ 2	$ 2

Employee Benefit Plans - Fair Values of Retiree Medical and Other Postretirement Benefit Plans Assets by Asset Category (Detail) - Retiree Medical And Other Postretirement Benefits [Member] - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	$ 266	$ 253	$ 244
Level 1 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	266	23
Level 2 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets		230
American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	266	253	$ 244
American Airlines, Inc. [Member] \| Level 1 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	266	23
American Airlines, Inc. [Member] \| Level 2 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets		230
Money Market Funds [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	5	4
Money Market Funds [Member] \| Level 1 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	5	4
Money Market Funds [Member] \| American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	5	4
Money Market Funds [Member] \| American Airlines, Inc. [Member] \| Level 1 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	5	4
Mutual Funds [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets		230
Mutual Funds [Member] \| Level 2 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets		230
Mutual Funds [Member] \| American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets		230
Mutual Funds [Member] \| American Airlines, Inc. [Member] \| Level 2 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets		230
Mutual Funds Institutional Class [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	261	19
Mutual Funds Institutional Class [Member] \| Level 1 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	261	19
Mutual Funds Institutional Class [Member] \| American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	261	19
Mutual Funds Institutional Class [Member] \| American Airlines, Inc. [Member] \| Level 1 [Member]
Defined Benefit Plan Disclosure [Line Items]
Fair value of plan assets	$ 261	$ 19

Accumulated Other Comprehensive Income (Loss) - Components of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
AOCI tax, attributable to parent [Roll Forward]
Beginning Balance, tax	$ (880)	$ (880)
Other comprehensive income (loss) before reclassifications, tax	166
Amounts reclassified from accumulated other comprehensive income (loss), tax	37
Net current-period other comprehensive income (loss), tax	203
Ending Balance, tax	(677)	(880)	$ (880)
AOCI attributable to parent, net of tax [Roll Forward]
Beginning Balance, net of tax	(4,732)	(4,559)
Other comprehensive income (loss) before reclassifications, net of tax	(286)	(57)
Amounts reclassified from accumulated other comprehensive income (loss), net of tax	(65)	(116)
Total other comprehensive loss, net of tax	(351)	(173)	(2,527)
Ending Balance, net of tax	(5,083)	(4,732)	(4,559)
Pension, Retiree Medical and Other Postretirement Benefits [Member]
AOCI attributable to parent, before tax [Roll Forward]
Beginning Balance, before tax	(3,842)	(3,683)
Other comprehensive income (loss) before reclassifications, before tax	(462)	(51)
Amounts reclassified from accumulated other comprehensive income (loss), before tax	(102)	(108)
Total other comprehensive income (loss), before tax	(564)	(159)
Ending Balance, before tax	(4,406)	(3,842)	(3,683)
Derivative Financial Instruments [Member]
AOCI attributable to parent, before tax [Roll Forward]
Beginning Balance, before tax		9
Amounts reclassified from accumulated other comprehensive income (loss), before tax		(9)
Total other comprehensive income (loss), before tax		(9)
Ending Balance, before tax			9
AOCI attributable to parent, net of tax [Roll Forward]
Amounts reclassified from accumulated other comprehensive income (loss), net of tax		(9)
Unrealized Gain/(Loss) on Investments [Member]
AOCI attributable to parent, before tax [Roll Forward]
Beginning Balance, before tax	(10)	(5)
Other comprehensive income (loss) before reclassifications, before tax	10	(6)
Amounts reclassified from accumulated other comprehensive income (loss), before tax		1
Total other comprehensive income (loss), before tax	10	(5)
Ending Balance, before tax		(10)	(5)
AOCI attributable to parent, net of tax [Roll Forward]
Amounts reclassified from accumulated other comprehensive income (loss), net of tax		1
American Airlines, Inc. [Member]
AOCI tax, attributable to parent [Roll Forward]
Beginning Balance, tax	(991)	(991)
Other comprehensive income (loss) before reclassifications, tax	166
Amounts reclassified from accumulated other comprehensive income (loss), tax	37
Net current-period other comprehensive income (loss), tax	203
Ending Balance, tax	(788)	(991)	(991)
AOCI attributable to parent, net of tax [Roll Forward]
Beginning Balance, net of tax	(4,831)	(4,656)
Other comprehensive income (loss) before reclassifications, net of tax	(286)	(58)
Amounts reclassified from accumulated other comprehensive income (loss), net of tax	(65)	(117)
Total other comprehensive loss, net of tax	(351)	(175)	(2,516)
Ending Balance, net of tax	(5,182)	(4,831)	(4,656)
American Airlines, Inc. [Member] \| Pension, Retiree Medical and Other Postretirement Benefits [Member]
AOCI attributable to parent, before tax [Roll Forward]
Beginning Balance, before tax	(3,831)	(3,671)
Other comprehensive income (loss) before reclassifications, before tax	(461)	(51)
Amounts reclassified from accumulated other comprehensive income (loss), before tax	(102)	(109)
Total other comprehensive income (loss), before tax	(563)	(160)
Ending Balance, before tax	(4,394)	(3,831)	(3,671)
American Airlines, Inc. [Member] \| Derivative Financial Instruments [Member]
AOCI attributable to parent, before tax [Roll Forward]
Beginning Balance, before tax		9
Amounts reclassified from accumulated other comprehensive income (loss), before tax		(9)
Total other comprehensive income (loss), before tax		(9)
Ending Balance, before tax			9
AOCI attributable to parent, net of tax [Roll Forward]
Amounts reclassified from accumulated other comprehensive income (loss), net of tax		(9)
American Airlines, Inc. [Member] \| Unrealized Gain/(Loss) on Investments [Member]
AOCI attributable to parent, before tax [Roll Forward]
Beginning Balance, before tax	(9)	(3)
Other comprehensive income (loss) before reclassifications, before tax	9	(7)
Amounts reclassified from accumulated other comprehensive income (loss), before tax		1
Total other comprehensive income (loss), before tax	$ 9	(6)
Ending Balance, before tax		(9)	$ (3)
AOCI attributable to parent, net of tax [Roll Forward]
Amounts reclassified from accumulated other comprehensive income (loss), net of tax		$ 1

Accumulated Other Comprehensive Income (Loss) - Reclassifications out of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amount reclassified from accumulated other comprehensive income (loss), net of tax	$ (65)	$ (116)
American Airlines, Inc. [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amount reclassified from accumulated other comprehensive income (loss), net of tax	(65)	(117)
Prior Service Cost (Benefit) [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amount reclassified from accumulated other comprehensive income (loss), net of tax	(134)	(212)
Prior Service Cost (Benefit) [Member] \| American Airlines, Inc. [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amount reclassified from accumulated other comprehensive income (loss), net of tax	(134)	(212)
Actuarial Loss [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amount reclassified from accumulated other comprehensive income (loss), net of tax	69	104
Actuarial Loss [Member] \| American Airlines, Inc. [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amount reclassified from accumulated other comprehensive income (loss), net of tax	$ 69	103
Derivative Financial Instruments [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amount reclassified from accumulated other comprehensive income (loss), net of tax		(9)
Derivative Financial Instruments [Member] \| American Airlines, Inc. [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amount reclassified from accumulated other comprehensive income (loss), net of tax		(9)
Unrealized Gain/(Loss) on Investments [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amount reclassified from accumulated other comprehensive income (loss), net of tax		1
Unrealized Gain/(Loss) on Investments [Member] \| American Airlines, Inc. [Member]
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
Amount reclassified from accumulated other comprehensive income (loss), net of tax		$ 1

Commitments, Contingencies and Guarantees - Long-term Purchase Commitments (Detail) - Aircraft and Engine Purchase Commitments [Member] $ in Millions	Dec. 31, 2016 USD ($)
Long-term Purchase Commitment [Line Items]
2017	$ 4,064
2018	2,192
2019	3,113
2020	3,133
2021	2,948
2022 and Thereafter	2,553
Total	18,003
American Airlines, Inc. [Member]
Long-term Purchase Commitment [Line Items]
2017	4,064
2018	2,192
2019	3,113
2020	3,133
2021	2,948
2022 and Thereafter	2,553
Total	$ 18,003

Commitments, Contingencies and Guarantees - Unrecorded Unconditional Purchase Obligations (Detail) $ in Millions	Dec. 31, 2016 USD ($)
Facility Construction or Improvement Contracts [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
2017	$ 182
2018	126
2019	13
Total	321
Facility Construction or Improvement Contracts [Member] \| American Airlines, Inc. [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
2017	182
2018	126
2019	13
Total	321
Information Technology Contracts [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
2017	205
2018	168
2019	128
2020	47
2021	24
2022 and Thereafter	8
Total	580
Information Technology Contracts [Member] \| American Airlines, Inc. [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
2017	205
2018	168
2019	128
2020	47
2021	24
2022 and Thereafter	8
Total	580
Capacity Purchase Arrangements [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
2017	1,710
2018	1,421
2019	1,283
2020	1,048
2021	855
2022 and Thereafter	2,738
Total	9,055
Capacity Purchase Arrangements [Member] \| American Airlines, Inc. [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
2017	1,710
2018	1,421
2019	1,283
2020	1,048
2021	855
2022 and Thereafter	2,738
Total	$ 9,055

Commitments, Contingencies and Guarantees - Additional Information (Detail) shares in Millions, $ in Millions	1 Months Ended	12 Months Ended
	Jun. 30, 2015 Lawsuits	Dec. 31, 2016 USD ($) Employees Aircraft shares	Dec. 31, 2015 USD ($)	Dec. 31, 2014 USD ($)
Long-term Purchase Commitment [Line Items]
Number of aircraft operating under operating leases \| Aircraft		419
Operating leases, rent expense		$ 2,800	$ 2,800	$ 2,800
Number of aircraft owned through financing under EETC \| Aircraft		346
Number of aircraft operating leased under trusts \| Aircraft		138
Operating leases future minimum payments		$ 12,727
Shares reserved for future issuance \| shares		25.2
Number of putative class action lawsuits \| Lawsuits	100
Number of full-time equivalent employees \| Employees		122,300
Percentage of employees covered by collective bargaining agreements with various labor unions		85.00%
Regional Carrier [Member]
Long-term Purchase Commitment [Line Items]
Number of full-time equivalent employees \| Employees		20,800
Capacity Purchase Arrangements [Member]
Long-term Purchase Commitment [Line Items]
Percentage of reimbursement under variable costs		100.00%
American Airlines, Inc. [Member]
Long-term Purchase Commitment [Line Items]
Number of aircraft operating under operating leases \| Aircraft		408
Operating leases, rent expense		$ 2,700	$ 2,700	$ 2,800
Number of aircraft owned through financing under EETC \| Aircraft		346
Number of aircraft operating leased under trusts \| Aircraft		138
Operating leases future minimum payments		$ 12,701
Number of putative class action lawsuits \| Lawsuits	100
Number of full-time equivalent employees \| Employees		101,500
Percentage of employees covered by collective bargaining agreements with various labor unions		84.00%
American Airlines, Inc. [Member] \| Capacity Purchase Arrangements [Member]
Long-term Purchase Commitment [Line Items]
Percentage of reimbursement under variable costs		100.00%
EETC Leveraged Lease Financings [Member]
Long-term Purchase Commitment [Line Items]
Operating leases future minimum payments		$ 1,500
EETC Leveraged Lease Financings [Member] \| American Airlines, Inc. [Member]
Long-term Purchase Commitment [Line Items]
Operating leases future minimum payments		1,500
Special Facility Revenue Bonds [Member]
Long-term Purchase Commitment [Line Items]
Operating leases future minimum payments		605
Special Facility Revenue Bonds [Member] \| American Airlines, Inc. [Member]
Long-term Purchase Commitment [Line Items]
Operating leases future minimum payments		605
Loss from Catastrophes [Member]
Long-term Purchase Commitment [Line Items]
Loss contingency, accrual		974
Loss contingency, receivable		974
Loss from Catastrophes [Member] \| American Airlines, Inc. [Member]
Long-term Purchase Commitment [Line Items]
Loss contingency, accrual		974
Loss contingency, receivable		$ 974
Minimum [Member] \| Air Transportation Equipment [Member]
Long-term Purchase Commitment [Line Items]
Lessee leasing arrangements, operating leases, remaining term of contract		3 years
Minimum [Member] \| American Airlines, Inc. [Member] \| Air Transportation Equipment [Member]
Long-term Purchase Commitment [Line Items]
Lessee leasing arrangements, operating leases, remaining term of contract		3 months
Maximum [Member] \| Air Transportation Equipment [Member]
Long-term Purchase Commitment [Line Items]
Lessee leasing arrangements, operating leases, remaining term of contract		11 years
Maximum [Member] \| American Airlines, Inc. [Member] \| Air Transportation Equipment [Member]
Long-term Purchase Commitment [Line Items]
Lessee leasing arrangements, operating leases, remaining term of contract		11 years
Enhanced Equipment Trust Certificates (EETC) [Member]
Long-term Purchase Commitment [Line Items]
EETC Carrying Value		$ 10,900
Enhanced Equipment Trust Certificates (EETC) [Member] \| American Airlines, Inc. [Member]
Long-term Purchase Commitment [Line Items]
EETC Carrying Value		10,900
Secured Debt [Member] \| Special Facility Revenue Bonds [Member]
Long-term Purchase Commitment [Line Items]
Guarantor obligations, maximum exposure, undiscounted		844
Credit Facilities And Certain EETC Financings [Member]
Long-term Purchase Commitment [Line Items]
Guarantor obligations, maximum exposure, undiscounted		9,300
Unsecured Debt [Member] \| American Airlines, Inc. [Member] \| 5.50% Senior Notes [Member]
Long-term Purchase Commitment [Line Items]
Guarantor obligations, maximum exposure, undiscounted		750
Unsecured Debt [Member] \| American Airlines, Inc. [Member] \| 6.125% Senior Notes [Member]
Long-term Purchase Commitment [Line Items]
Guarantor obligations, maximum exposure, undiscounted		500
Unsecured Debt [Member] \| American Airlines, Inc. [Member] \| 4.625% Senior Notes [Member]
Long-term Purchase Commitment [Line Items]
Guarantor obligations, maximum exposure, undiscounted		$ 500

Commitments, Contingencies and Guarantees - Unrecorded Unconditional Purchase Obligations (Parenthetical) (Detail) - Obligations Related to Aircraft to Be Leased [Member] $ in Millions	Dec. 31, 2016 USD ($)
Unrecorded Unconditional Purchase Obligation [Line Items]
2017	$ 434
2018	370
2019	349
2020	317
2021	280
2022 and Thereafter	927
American Airlines, Inc. [Member]
Unrecorded Unconditional Purchase Obligation [Line Items]
2017	434
2018	370
2019	349
2020	317
2021	280
2022 and Thereafter	$ 927

Commitments, Contingencies and Guarantees - Future Minimum Operating Lease Payments (Detail) $ in Millions	Dec. 31, 2016 USD ($)
Operating Leased Assets [Line Items]
2017	$ 2,250
2018	2,016
2019	1,815
2020	1,639
2021	1,214
2022 and Thereafter	3,793
Total	12,727
American Airlines, Inc. [Member]
Operating Leased Assets [Line Items]
2017	2,242
2018	2,010
2019	1,813
2020	1,638
2021	1,213
2022 and Thereafter	3,785
Total	$ 12,701

Supplemental Cash Flow Information - Cash Flow Information and Non-Cash Investing and Financing Activities (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Non-cash investing and financing activities:
Settlement of bankruptcy obligations	$ 3	$ 63	$ 5,495
Capital lease obligations		5	747
Supplemental information:
Interest paid, net of amounts capitalized	964	873	814
Income taxes paid	16	20	7
American Airlines, Inc. [Member]
Non-cash investing and financing activities:
Settlement of bankruptcy obligations	3	63	5,131
Capital lease obligations		5	747
Supplemental information:
Interest paid, net of amounts capitalized	867	787	780
Income taxes paid	$ 14	$ 19	$ 4

Operating Segments and Related Disclosures - Operating Revenues by Geographic Region (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Segment Reporting Information [Line Items]
Total consolidated revenues	$ 40,180	$ 40,990	$ 42,650
American Airlines, Inc. [Member]
Segment Reporting Information [Line Items]
Total consolidated revenues	40,163	40,938	42,676
DOT Domestic [Member]
Segment Reporting Information [Line Items]
Total consolidated revenues	28,620	28,761	28,568
DOT Domestic [Member] \| American Airlines, Inc. [Member]
Segment Reporting Information [Line Items]
Total consolidated revenues	28,603	28,709	28,584
DOT Latin America [Member]
Segment Reporting Information [Line Items]
Total consolidated revenues	4,995	5,539	6,964
DOT Latin America [Member] \| American Airlines, Inc. [Member]
Segment Reporting Information [Line Items]
Total consolidated revenues	4,995	5,539	6,974
DOT Atlantic [Member]
Segment Reporting Information [Line Items]
Total consolidated revenues	4,769	5,146	5,652
DOT Atlantic [Member] \| American Airlines, Inc. [Member]
Segment Reporting Information [Line Items]
Total consolidated revenues	4,769	5,146	5,652
DOT Pacific [Member]
Segment Reporting Information [Line Items]
Total consolidated revenues	1,796	1,544	1,466
DOT Pacific [Member] \| American Airlines, Inc. [Member]
Segment Reporting Information [Line Items]
Total consolidated revenues	$ 1,796	$ 1,544	$ 1,466

Share Based Compensation - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2016 USD ($) $ / shares shares	Dec. 31, 2015 USD ($) shares	Dec. 31, 2014 USD ($) shares	Dec. 31, 2013 shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation costs	$ 102,000,000	$ 274,000,000	$ 381,000,000
Common stock shares withheld or sold related to tax obligations \| shares	1,400,000	7,000,000	1,700,000
Payment of certain tax withholding obligations associated with employee equity awards	$ 56,000,000	$ 306,000,000	$ 62,000,000
Special Items, Net [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation costs		198,000,000	224,000,000
American Airlines, Inc. [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation costs	102,000,000	274,000,000	381,000,000
American Airlines, Inc. [Member] \| Special Items, Net [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total stock-based compensation costs		198,000,000	224,000,000
CRSU [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total cash paid for cash-settled awards exercised or vested	1,000,000	10,000,000	12,000,000
CRSU [Member] \| American Airlines, Inc. [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total cash paid for cash-settled awards exercised or vested	$ 1,000,000	10,000,000	12,000,000
Restricted Stock Unit (RSU) Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years
Total unrecognized compensation costs	$ 116,000,000
Cost expected to be recognized over a weighted average period	1 year
Total fair value of RSUs vested	$ 107,000,000	750,000,000	154,000,000
Restricted Stock Unit (RSU) Awards [Member] \| American Airlines, Inc. [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years
Total unrecognized compensation costs	$ 116,000,000
Cost expected to be recognized over a weighted average period	1 year
Total fair value of RSUs vested	$ 107,000,000	750,000,000	154,000,000
Stock Options and Stock Appreciation Rights [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years
Unrecognized compensation costs for stock options	$ 0
Award exchange ratio in connection with the Merger	1
Total intrinsic value of stock options and SARs exercised	$ 49,000,000	102,000,000	105,000,000
Stock Options and Stock Appreciation Rights [Member] \| American Airlines, Inc. [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Vesting period	3 years
Unrecognized compensation costs for stock options	$ 0
Award exchange ratio in connection with the Merger	1
Total intrinsic value of stock options and SARs exercised	$ 49,000,000	102,000,000	105,000,000
Stock Options and Stock Appreciation Rights [Member] \| Minimum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Range of contractual expiration period for stock-based awards	7 years
Stock Options and Stock Appreciation Rights [Member] \| Minimum [Member] \| American Airlines, Inc. [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Range of contractual expiration period for stock-based awards	7 years
Stock Options and Stock Appreciation Rights [Member] \| Maximum [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Range of contractual expiration period for stock-based awards	10 years
Stock Options and Stock Appreciation Rights [Member] \| Maximum [Member] \| American Airlines, Inc. [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Range of contractual expiration period for stock-based awards	10 years
Cash-Settled Stock Appreciation Rights (CSARs) [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total cash paid for cash-settled awards exercised or vested	$ 18,000,000	31,000,000	42,000,000
Weighted average fair value per share of outstanding awards (in dollars per share) \| $ / shares	$ 38.57
Liability for cash-settled awards	$ 13,000,000
Cash-Settled Stock Appreciation Rights (CSARs) [Member] \| American Airlines, Inc. [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total cash paid for cash-settled awards exercised or vested	$ 18,000,000	$ 31,000,000	$ 42,000,000
Weighted average fair value per share of outstanding awards (in dollars per share) \| $ / shares	$ 38.57
Liability for cash-settled awards	$ 13,000,000
AAG Incentive Award Plan 2013 [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total shares available for grant under 2013 Plan \| shares				40,000,000

Share Based Compensation - Schedule of Stock-Settled RSU Award Activity (Detail) - Restricted Stock Unit (RSU) Awards [Member] - $ / shares shares in Thousands	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Number of Shares [Roll Forward]
Number of Shares, Beginning Balance (in shares)	5,607	21,342	23,879
Number of Shares, Granted (in shares)	2,655	2,213	3,467
Number of Shares, Vested and released (in shares)	(2,754)	(17,163)	(4,193)
Number of Shares, Forfeited (in shares)	(321)	(785)	(1,811)
Number of Shares, Ending balance (in shares)	5,187	5,607	21,342
Weighted Average Grant Date Fair Value [Abstract]
Weighted Average Grant Date Fair Value, Beginning Balance (in dollars per share)	$ 38.08	$ 26.43	$ 24.33
Weighted Average Grant Date Fair Value, Granted (in dollars per share)	41.34	46.62	37.07
Weighted Average Grant Date Fair Value, Vested and released (in dollars per share)	34.83	25.20	23.84
Weighted Average Grant Date Fair Value, Forfeited (in dollars per share)	40.15	27.12	25.10
Weighted Average Grant Date Fair Value, Ending balance (in dollars per share)	$ 41.48	$ 38.08	$ 26.43
American Airlines, Inc. [Member]
Number of Shares [Roll Forward]
Number of Shares, Beginning Balance (in shares)	5,607	21,342	23,879
Number of Shares, Granted (in shares)	2,655	2,213	3,467
Number of Shares, Vested and released (in shares)	(2,754)	(17,163)	(4,193)
Number of Shares, Forfeited (in shares)	(321)	(785)	(1,811)
Number of Shares, Ending balance (in shares)	5,187	5,607	21,342
Weighted Average Grant Date Fair Value [Abstract]
Weighted Average Grant Date Fair Value, Beginning Balance (in dollars per share)	$ 38.08	$ 26.43	$ 24.33
Weighted Average Grant Date Fair Value, Granted (in dollars per share)	41.34	46.62	37.07
Weighted Average Grant Date Fair Value, Vested and released (in dollars per share)	34.83	25.20	23.84
Weighted Average Grant Date Fair Value, Forfeited (in dollars per share)	40.15	27.12	25.10
Weighted Average Grant Date Fair Value, Ending balance (in dollars per share)	$ 41.48	$ 38.08	$ 26.43

Share Based Compensation - Stock Option and Stock-Settled SAR Award Activity for All Plans (Detail) - Stock Options and Stock Appreciation Rights [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Share-based Payment Award, Options, Outstanding [Roll Forward]
Awards, Beginning Balance (in shares)	4,013	7,007	11,158
Stock Options and SARS, Granted (in shares)	0	0	0
Stock Options and SARS, Exercised (in shares)	(1,738)	(2,985)	(4,109)
Stock Options and SARS, Forfeited (in shares)	0	0	0
Stock Options and SARS, Expired (in shares)	(180)	(9)	(42)
Awards, Ending Balance (in shares)	2,095	4,013	7,007
Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract]
Weighted Average Exercise Price, Beginning Balance (in dollars per share)	$ 15.17	$ 13.90	$ 12.84
Weighted Average Exercise Price, Granted (in dollars per share)	0	0	0
Weighted Average Exercise Price, Exercised (in dollars per share)	14.49	12.09	10.74
Weighted Average Exercise Price, Forfeited (in dollars per share)	0	0	0
Weighted Average Exercise Price, Expired (in dollars per share)	46.19	45.75	41.73
Weighted Average Exercise Price, Ending balance (in dollars per share)	$ 13.08	$ 15.17	$ 13.90
Weighted Average Remaining Contractual Term (years), Ending Balance	1 year 7 months 6 days
Aggregate Intrinsic Value, Ending balance	$ 70
American Airlines, Inc. [Member]
Share-based Payment Award, Options, Outstanding [Roll Forward]
Awards, Beginning Balance (in shares)	4,013	7,007	11,158
Stock Options and SARS, Granted (in shares)	0	0	0
Stock Options and SARS, Exercised (in shares)	(1,738)	(2,985)	(4,109)
Stock Options and SARS, Forfeited (in shares)	0	0	0
Stock Options and SARS, Expired (in shares)	(180)	(9)	(42)
Awards, Ending Balance (in shares)	2,095	4,013	7,007
Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract]
Weighted Average Exercise Price, Beginning Balance (in dollars per share)	$ 15.17	$ 13.90	$ 12.84
Weighted Average Exercise Price, Granted (in dollars per share)	0	0	0
Weighted Average Exercise Price, Exercised (in dollars per share)	14.49	12.09	10.74
Weighted Average Exercise Price, Forfeited (in dollars per share)	0	0	0
Weighted Average Exercise Price, Expired (in dollars per share)	46.19	45.75	41.73
Weighted Average Exercise Price, Ending balance (in dollars per share)	$ 13.08	$ 15.17	$ 13.90
Weighted Average Remaining Contractual Term (years), Ending Balance	1 year 7 months 6 days
Aggregate Intrinsic Value, Ending balance	$ 70

Share Based Compensation - Cash-Settled SAR Award Activity for All Plans (Detail) - Cash-Settled Stock Appreciation Rights (CSARs) [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Awards, Beginning Balance (in shares)	851	1,611	2,865
Stock Options and CSARs, Granted (in shares)	0	0	0
Stock Options and CSARs, Exercised (in shares)	(501)	(760)	(1,254)
Stock Options and CSARs, Forfeited (in shares)	0	0	0
Stock Options and CSARs, Expired (in shares)	0	0	0
Awards, Ending Balance (in shares)	350	851	1,611
Weighted Average Exercise Price, Beginning Balance (in dollars per share)	$ 6.35	$ 6.33	$ 6.26
Weighted Average Exercise Price, Granted (in dollars per share)	0	0	0
Weighted Average Exercise Price, Exercised (in dollars per share)	5.24	6.31	6.18
Weighted Average Exercise Price, Forfeited (in dollars per share)	0	0	0
Weighted Average Exercise Price, Expired (in dollars per share)	0	0	0
Weighted Average Exercise Price, Ending balance (in dollars per share)	$ 7.94	$ 6.35	$ 6.33
Weighted Average Remaining Contractual Term (years), Ending Balance	1 year
Aggregate Intrinsic Value, Ending balance	$ 14
American Airlines, Inc. [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Awards, Beginning Balance (in shares)	851	1,611	2,865
Stock Options and CSARs, Granted (in shares)	0	0	0
Stock Options and CSARs, Exercised (in shares)	(501)	(760)	(1,254)
Stock Options and CSARs, Forfeited (in shares)	0	0	0
Stock Options and CSARs, Expired (in shares)	0	0	0
Awards, Ending Balance (in shares)	350	851	1,611
Weighted Average Exercise Price, Beginning Balance (in dollars per share)	$ 6.35	$ 6.33	$ 6.26
Weighted Average Exercise Price, Granted (in dollars per share)	0	0	0
Weighted Average Exercise Price, Exercised (in dollars per share)	5.24	6.31	6.18
Weighted Average Exercise Price, Forfeited (in dollars per share)	0	0	0
Weighted Average Exercise Price, Expired (in dollars per share)	0	0	0
Weighted Average Exercise Price, Ending balance (in dollars per share)	$ 7.94	$ 6.35	$ 6.33
Weighted Average Remaining Contractual Term (years), Ending Balance	1 year
Aggregate Intrinsic Value, Ending balance	$ 14

Valuation and Qualifying Accounts - Components of Valuation and Qualifying Accounts (Detail) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Allowance for Obsolescence of Inventories [Member]
Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at beginning of year	$ 728	$ 673	$ 547
Changes charged to statement of operations accounts	37	50	142
Write-offs (net of recoveries)	(3)	(4)	(4)
Sales, retirements and transfers	3	9	(12)
Balance at end of year	765	728	673
Allowance for Obsolescence of Inventories [Member] \| American Airlines, Inc. [Member]
Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at beginning of year	689	638	504
Changes charged to statement of operations accounts	28	42	135
Write-offs (net of recoveries)			(2)
Sales, retirements and transfers	3	9	1
Balance at end of year	720	689	638
Allowance for Uncollectible Accounts [Member]
Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at beginning of year	41	17	41
Changes charged to statement of operations accounts	47	46	6
Write-offs (net of recoveries)	(52)	(22)	(30)
Balance at end of year	36	41	17
Allowance for Uncollectible Accounts [Member] \| American Airlines, Inc. [Member]
Valuation and Qualifying Accounts Disclosure [Line Items]
Balance at beginning of year	37	14	40
Changes charged to statement of operations accounts	47	45	3
Write-offs (net of recoveries)	(49)	(22)	(29)
Balance at end of year	$ 35	$ 37	$ 14

Quarterly Financial Data - Summarized Financial Data (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	3 Months Ended								12 Months Ended
	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Sep. 30, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Selected Quarterly Financial Information [Line Items]
Operating revenues	$ 9,789	$ 10,594	$ 10,363	$ 9,435	$ 9,630	$ 10,706	$ 10,827	$ 9,827	$ 40,180	$ 40,990	$ 42,650
Operating expenses	9,022	9,163	8,612	8,100	8,562	8,707	8,906	8,611	34,896	34,786	38,401
Operating income	767	1,431	1,751	1,335	1,068	1,999	1,921	1,216	5,284	6,204	4,249
Net income	$ 289	$ 737	$ 950	$ 700	$ 3,281	$ 1,693	$ 1,704	$ 932	$ 2,676	$ 7,610	$ 2,882
Earnings per share:
Basic (in dollars per share)	$ 0.56	$ 1.40	$ 1.69	$ 1.15	$ 5.24	$ 2.56	$ 2.47	$ 1.34	$ 4.85	$ 11.39	$ 4.02
Diluted (in dollars per share)	$ 0.56	$ 1.40	$ 1.68	$ 1.14	$ 5.09	$ 2.49	$ 2.41	$ 1.30	$ 4.81	$ 11.07	$ 3.93
Shares used for computation (in thousands):
Basic (in shares)	514,571	525,415	563,000	606,245	626,559	661,869	688,727	696,415	552,308	668,393	717,456
Diluted (in shares)	518,358	528,510	566,040	611,488	644,140	680,739	707,611	716,930	556,099	687,355	734,016
American Airlines, Inc. [Member]
Selected Quarterly Financial Information [Line Items]
Operating revenues	$ 9,786	$ 10,591	$ 10,360	$ 9,427	$ 9,619	$ 10,694	$ 10,814	$ 9,811	$ 40,163	$ 40,938	$ 42,676
Operating expenses	8,995	9,159	8,603	8,104	8,555	8,691	8,893	8,610	34,859	34,749	38,410
Operating income	791	1,432	1,757	1,323	1,064	2,003	1,921	1,201	5,304	6,189	4,266
Net income	$ 341	$ 758	$ 972	$ 710	$ 3,751	$ 1,723	$ 1,709	$ 937	$ 2,781	$ 8,120	$ 2,948

Quarterly Financial Data - Additional Information (Detail) - USD ($) $ in Millions	3 Months Ended		12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
Restructuring Cost and Reserve [Line Items]
Operating and nonoperating special charges, net	$ 273	$ (2,000)
Integration related costs	121		$ 514	$ 826	$ 732
Fair value adjustments for bankruptcy settlement obligations	(47)		(25)	53	(81)
Fleet restructuring expenses	104		177	210	88
Non-cash tax benefits		3,000
Operating special items, net		450	709	1,051	800
Nonoperating special items, net			49	594	132
Venezuelan [Member]
Restructuring Cost and Reserve [Line Items]
Nonoperating special items, net		592		592
American Airlines, Inc. [Member]
Restructuring Cost and Reserve [Line Items]
Operating and nonoperating special charges, net	273	(2,500)
Integration related costs	121		514	826	732
Fair value adjustments for bankruptcy settlement obligations	(47)		(25)	53	(60)
Fleet restructuring expenses	$ 104		177	210	88
Non-cash tax benefits		3,500
Operating special items, net		447	709	1,051	783
Nonoperating special items, net			$ 49	616	$ 128
American Airlines, Inc. [Member] \| Venezuelan [Member]
Restructuring Cost and Reserve [Line Items]
Nonoperating special items, net		$ 592		$ 592

Subsequent Events - Additional Information (Detail)	1 Months Ended	3 Months Ended										12 Months Ended
Subsequent Events - Additional Information (Detail)	Jan. 31, 2017 USD ($) Aircraft Debt_Instruments $ / shares	Dec. 31, 2016 USD ($) $ / shares	Sep. 30, 2016 $ / shares	Jun. 30, 2016 $ / shares	Mar. 31, 2016 $ / shares	Dec. 31, 2015 $ / shares	Sep. 30, 2015 $ / shares	Jun. 30, 2015 $ / shares	Mar. 31, 2015 $ / shares	Dec. 31, 2014 $ / shares	Sep. 30, 2014 $ / shares	Dec. 31, 2016 USD ($) $ / shares	Dec. 31, 2015 $ / shares	Dec. 31, 2014 $ / shares
Subsequent Event [Line Items]
Stock repurchase programs, authorized amount		$ 9,000,000,000										$ 9,000,000,000
Common stock dividends per share declared (in dollars per share) \| $ / shares		$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.10	$ 0.40	$ 0.40	$ 0.20
Subsequent Event [Member]
Subsequent Event [Line Items]
Common stock dividends per share declared (in dollars per share) \| $ / shares	$ 0.10
Subsequent Event [Member] \| Share Repurchase Program January 2017 [Member]
Subsequent Event [Line Items]
Stock repurchase programs, authorized amount	$ 2,000,000,000
Subsequent Event [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member] \| 2017-1 EETC [Member]
Subsequent Event [Line Items]
Number of debt instruments issued \| Debt_Instruments	3
Debt instrument principal amount	$ 983,000,000
Number of aircraft financed by debt issuance \| Aircraft	24
Subsequent Event [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member] \| Series 2017-1 Class AA [Member]
Subsequent Event [Line Items]
Debt instrument, stated interest rate percentage	3.65%
Subsequent Event [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member] \| Series 2017-1 Class A [Member]
Subsequent Event [Line Items]
Debt instrument, stated interest rate percentage	4.00%
Subsequent Event [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member] \| Series 2017-1 Class B [Member]
Subsequent Event [Line Items]
Debt instrument, stated interest rate percentage	4.95%
Subsequent Event [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member] \| American Airlines, Inc. [Member] \| 2017-1 EETC [Member]
Subsequent Event [Line Items]
Number of debt instruments issued \| Debt_Instruments	3
Debt instrument principal amount	$ 983,000,000
Number of aircraft financed by debt issuance \| Aircraft	24
Subsequent Event [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member] \| American Airlines, Inc. [Member] \| Series 2017-1 Class AA [Member]
Subsequent Event [Line Items]
Debt instrument, stated interest rate percentage	3.65%
Subsequent Event [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member] \| American Airlines, Inc. [Member] \| Series 2017-1 Class A [Member]
Subsequent Event [Line Items]
Debt instrument, stated interest rate percentage	4.00%
Subsequent Event [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member] \| American Airlines, Inc. [Member] \| Series 2017-1 Class B [Member]
Subsequent Event [Line Items]
Debt instrument, stated interest rate percentage	4.95%

Transactions with Related Parties (Detail) - American Airlines, Inc. [Member] - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Related Party Transaction [Line Items]
Net receivables (payables) to related parties	$ 6,810	$ 1,981
AAG [Member]
Related Party Transaction [Line Items]
Net receivables (payables) to related parties	8,981	4,489
AAG's Wholly-owned Subsidiaries [Member]
Related Party Transaction [Line Items]
Net receivables (payables) to related parties	$ (2,171)	$ (2,508)

Transactions with Related Parties - Additional Information (Detail) - USD ($) $ in Billions	12 Months Ended
	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014
American Airlines, Inc. [Member] \| Regional Carrier [Member] \| Wholly Owned Subsidiaries [Member] \| Capacity Purchase Arrangements [Member]
Related Party Transaction [Line Items]
Related party transaction, expense recognized	$ 1.5	$ 1.2	$ 1.2

Debt - Additional Information (Detail)	12 Months Ended
Debt - Additional Information (Detail)	Dec. 31, 2016 Aircraft Transactions
Debt Instrument [Line Items]
Number of jet aircraft committed to capital leases \| Aircraft	34
Collateral coverage tests, number of financing transactions \| Transactions	4
American Airlines, Inc. [Member]
Debt Instrument [Line Items]
Number of jet aircraft committed to capital leases \| Aircraft	34
Collateral coverage tests, number of financing transactions \| Transactions	4

Debt - Components of Long-Term Debt - Senior Notes (Detail)	12 Months Ended
	Dec. 31, 2016
Unsecured Debt [Member] \| Senior Notes [Member]
Debt Instrument [Line Items]
Redemption price percentage	101.00%

Debt - Components of Long-Term Debt (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 24,573	$ 20,807
Less: Total unamortized debt discount, debt premium and debt issuance costs	229	246
Less: Current maturities	1,855	2,231
Long-term debt and capital lease obligations, net of current maturities	22,489	18,330
Secured Debt [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	22,823	19,057
Secured Debt [Member] \| 2013 Credit Facilities [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 1,843	1,867
Interest rate	3.26%
Secured Debt [Member] \| 2014 Credit Facilities [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 735	743
Interest rate	3.25%
Secured Debt [Member] \| April 2016 Credit Facilities [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 1,000
Interest rate	3.26%
Secured Debt [Member] \| December 2016 Credit Facilities [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 1,250
Interest rate	3.25%
Secured Debt [Member] \| Credit Facility, Tranche B-1, Citicorp 2013 [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations		980
Secured Debt [Member] \| Credit Facility, Tranche B-2, Citicorp 2013 [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations		588
Secured Debt [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 10,912	8,693
Secured Debt [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member] \| Minimum [Member]
Debt Instrument [Line Items]
Interest rate	3.00%
Secured Debt [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member] \| Maximum [Member]
Debt Instrument [Line Items]
Interest rate	9.75%
Secured Debt [Member] \| Equipment Loans and Other Notes Payable [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 5,343	4,183
Secured Debt [Member] \| Equipment Loans and Other Notes Payable [Member] \| Minimum [Member]
Debt Instrument [Line Items]
Interest rate	1.81%
Secured Debt [Member] \| Equipment Loans and Other Notes Payable [Member] \| Maximum [Member]
Debt Instrument [Line Items]
Interest rate	8.48%
Secured Debt [Member] \| Special Facility Revenue Bonds [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 891	1,080
Secured Debt [Member] \| Special Facility Revenue Bonds [Member] \| Minimum [Member]
Debt Instrument [Line Items]
Interest rate	5.00%
Secured Debt [Member] \| Special Facility Revenue Bonds [Member] \| Maximum [Member]
Debt Instrument [Line Items]
Interest rate	8.00%
Secured Debt [Member] \| Other Secured Obligations [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 849	923
Secured Debt [Member] \| Other Secured Obligations [Member] \| Minimum [Member]
Debt Instrument [Line Items]
Interest rate	3.60%
Secured Debt [Member] \| Other Secured Obligations [Member] \| Maximum [Member]
Debt Instrument [Line Items]
Interest rate	12.24%
Unsecured Debt [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 1,750	1,750
Unsecured Debt [Member] \| 5.50% Senior Notes [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 750	750
Interest rate	5.50%
Unsecured Debt [Member] \| 6.125% Senior Notes [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 500	500
Interest rate	6.125%
Unsecured Debt [Member] \| 4.625% Senior Notes [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 500	500
Interest rate	4.625%
American Airlines, Inc. [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 22,793	19,054
Less: Total unamortized debt discount, debt premium and debt issuance costs	216	228
Less: Current maturities	1,859	2,234
Long-term debt and capital lease obligations, net of current maturities	20,718	16,592
American Airlines, Inc. [Member] \| Secured Debt [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	22,793	19,027
American Airlines, Inc. [Member] \| Secured Debt [Member] \| 2013 Credit Facilities [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 1,843	1,867
Interest rate	3.26%
American Airlines, Inc. [Member] \| Secured Debt [Member] \| 2014 Credit Facilities [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 735	743
Interest rate	3.25%
American Airlines, Inc. [Member] \| Secured Debt [Member] \| April 2016 Credit Facilities [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 1,000
Interest rate	3.26%
American Airlines, Inc. [Member] \| Secured Debt [Member] \| December 2016 Credit Facilities [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 1,250
Interest rate	3.25%
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Credit Facility, Tranche B-1, Citicorp 2013 [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations		980
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Credit Facility, Tranche B-2, Citicorp 2013 [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations		588
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 10,912	8,693
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member] \| Minimum [Member]
Debt Instrument [Line Items]
Interest rate	3.00%
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Enhanced Equipment Trust Certificates (EETC) [Member] \| Maximum [Member]
Debt Instrument [Line Items]
Interest rate	9.75%
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Equipment Loans and Other Notes Payable [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 5,343	4,183
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Equipment Loans and Other Notes Payable [Member] \| Minimum [Member]
Debt Instrument [Line Items]
Interest rate	1.81%
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Equipment Loans and Other Notes Payable [Member] \| Maximum [Member]
Debt Instrument [Line Items]
Interest rate	8.48%
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Special Facility Revenue Bonds [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 862	1,051
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Special Facility Revenue Bonds [Member] \| Minimum [Member]
Debt Instrument [Line Items]
Interest rate	5.00%
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Special Facility Revenue Bonds [Member] \| Maximum [Member]
Debt Instrument [Line Items]
Interest rate	5.50%
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Other Secured Obligations [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations	$ 848	922
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Other Secured Obligations [Member] \| Minimum [Member]
Debt Instrument [Line Items]
Interest rate	3.60%
American Airlines, Inc. [Member] \| Secured Debt [Member] \| Other Secured Obligations [Member] \| Maximum [Member]
Debt Instrument [Line Items]
Interest rate	12.24%
American Airlines, Inc. [Member] \| Unsecured Debt [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations		27
American Airlines, Inc. [Member] \| Unsecured Debt [Member] \| Affiliate Unsecured Obligations [Member]
Debt Instrument [Line Items]
Total long-term debt and capital lease obligations		$ 27

Fair Value Measurements - Summary of Assets Measured at Fair Value on Recurring Basis (Detail) - Recurring [Member] - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	$ 6,037	$ 5,864
Restricted cash and short-term investments	638	695
Total	6,675	6,559
Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	589	1,010
Restricted cash and short-term investments	638	695
Total	1,227	1,705
Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	5,448	4,854
Total	5,448	4,854
Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	589	1,010
Money Market Funds [Member] \| Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	589	1,010
Corporate Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	2,550	2,191
Corporate Bonds [Member] \| Maturity Dates Exceeding One Year [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	230	734
Corporate Bonds [Member] \| Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	2,550	2,191
Bank Notes / Certificates of Deposit / Time Deposits [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	2,898	2,662
Bank Notes / Certificates of Deposit / Time Deposits [Member] \| Maturity Dates Exceeding One Year [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	385	1,200
Bank Notes / Certificates of Deposit / Time Deposits [Member] \| Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	2,898	2,662
Government Agency Investments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments		1
Government Agency Investments [Member] \| Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments		1
American Airlines, Inc. [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	6,034	5,862
Restricted cash and short-term investments	638	695
Total	6,672	6,557
American Airlines, Inc. [Member] \| Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	587	1,008
Restricted cash and short-term investments	638	695
Total	1,225	1,703
American Airlines, Inc. [Member] \| Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	5,447	4,854
Total	5,447	4,854
American Airlines, Inc. [Member] \| Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	587	1,008
American Airlines, Inc. [Member] \| Money Market Funds [Member] \| Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	587	1,008
American Airlines, Inc. [Member] \| Corporate Bonds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	2,550	2,191
American Airlines, Inc. [Member] \| Corporate Bonds [Member] \| Maturity Dates Exceeding One Year [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	230	734
American Airlines, Inc. [Member] \| Corporate Bonds [Member] \| Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	2,550	2,191
American Airlines, Inc. [Member] \| Bank Notes / Certificates of Deposit / Time Deposits [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	2,897	2,662
American Airlines, Inc. [Member] \| Bank Notes / Certificates of Deposit / Time Deposits [Member] \| Maturity Dates Exceeding One Year [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	385	1,200
American Airlines, Inc. [Member] \| Bank Notes / Certificates of Deposit / Time Deposits [Member] \| Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments	$ 2,897	2,662
American Airlines, Inc. [Member] \| Government Agency Investments [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments		1
American Airlines, Inc. [Member] \| Government Agency Investments [Member] \| Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Short-term investments		$ 1

Fair Value Measurements - Additional Information (Detail) - USD ($)	Dec. 31, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Level 1 to Level 2 transfers amount	$ 0	$ 0
American Airlines, Inc. [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Level 1 to Level 2 transfers amount	$ 0	$ 0

Employee Benefit Plans - Schedule of Changes in Fair Value of Plan Assets (Parenthetical) (Detail) $ in Millions	12 Months Ended
	Dec. 31, 2015 USD ($)
Defined Benefit Plan Disclosure [Line Items]
Trust assets	$ 24
American Airlines, Inc. [Member]
Defined Benefit Plan Disclosure [Line Items]
Trust assets	$ 24

Employee Benefit Plans - Schedule of Assumption Used to Determine Benefit Obligations (Parenthetical) (Detail)	12 Months Ended
	Dec. 31, 2016
Pension Plans, Postretirement and Other Employee Benefits [Line Items]
Weighted average healthcare cost trend rate assumed to decline gradually	3.77%
American Airlines, Inc. [Member]
Pension Plans, Postretirement and Other Employee Benefits [Line Items]
Weighted average healthcare cost trend rate assumed to decline gradually	3.77%

Commitments, Contingencies and Guarantees - Long-term Purchase Commitments (Parenthetical) (Detail) - USD ($) $ in Millions	Dec. 31, 2016	Dec. 31, 2015
Long-term Purchase Commitment [Line Items]
Equipment purchase deposits	$ 1,209	$ 1,067
American Airlines, Inc. [Member]
Long-term Purchase Commitment [Line Items]
Equipment purchase deposits	$ 1,209	$ 1,067

Operating Segments and Related Disclosures - Additional Information (Detail)	12 Months Ended
	Dec. 31, 2016 Segments
Segment Reporting Information [Line Items]
Number of operating segment	1
American Airlines, Inc. [Member]
Segment Reporting Information [Line Items]
Number of operating segment	1