The Company’s revenues by business segment for the years ended December 31, 2017 are as follows:
| For the year ended December 31, 2017 | ||||||||||||||||
| Air transportation |
Loyalty | Eliminations | Consolidated | |||||||||||||
| Revenue (1) | ||||||||||||||||
| External customers | $ | 4,167,658 | $ | 274,026 | $ | — | $ | 4,441,684 | ||||||||
| Inter-segment | 112,037 | 4,366 | (116,403 | ) | — | |||||||||||
| Total revenue | 4,279,695 | 278,392 | (116,403 | ) | 4,441,684 | |||||||||||
| Cost of loyalty rewards | 55,604 | 126,505 | (105,967 | ) | 76,142 | |||||||||||
| Operating expenses | 3,741,852 | 30,122 | (13,489 | ) | 3,758,485 | |||||||||||
| Depreciation and amortization | 313,314 | 12,876 | (12,777 | ) | 313,413 | |||||||||||
| Interest expense | 174,657 | 8,675 | — | 183,332 | ||||||||||||
| Interest income | (12,978 | ) | (1,550 | ) | — | (14,528 | ) | |||||||||
| Derivative instruments | 2,536 | — | — | 2,536 | ||||||||||||
| Foreign exchange | 20,161 | 2 | — | 20,163 | ||||||||||||
| Income tax expense | 19,457 | 652 | — | 20,109 | ||||||||||||
| Net (loss) profit for the period | $ | (34,908 | ) | $ | 101,110 | $ | 15,830 | $ | 82,032 | |||||||
| Total Assets | $ | 6,796,848 | $ | 248,919 | $ | (184,371 | ) | $ | 6,861,396 | |||||||
| Total Liabilities | $ | 5,082,763 | $ | 545,951 | $ | (107,018 | ) | $ | 5,521,696 | |||||||
The Company’s revenues by business segment for the years ended December 31, 2016 are as follows:
| For the year ended December 31, 2016 | ||||||||||||||||
| Air transportation |
Loyalty | Eliminations | Consolidated | |||||||||||||
| Revenue (1) | ||||||||||||||||
| External customers | $ | 3,898,271 | $ | 240,067 | $ | — | $ | 4,138,338 | ||||||||
| Inter-segment | 89,071 | 3,834 | (92,905 | ) | — | |||||||||||
| Total revenue | 3,987,342 | 243,901 | (92,905 | ) | 4,138,338 | |||||||||||
| Cost of loyalty rewards | 53,901 | 120,589 | (78,785 | ) | 95,705 | |||||||||||
| Operating expenses | 3,509,122 | 19,617 | (14,122 | ) | 3,514,617 | |||||||||||
| Depreciation and, amortization | 269,534 | 12,789 | (12,777 | ) | 269,546 | |||||||||||
| Interest expense | 172,381 | 249 | — | 172,630 | ||||||||||||
| Interest income | (13,960 | ) | 906 | — | (13,054 | ) | ||||||||||
| Derivative instruments | (3,321 | ) | — | — | (3,321 | ) | ||||||||||
| Foreign exchange | 23,952 | (13 | ) | — | 23,939 | |||||||||||
| Income tax expense | 32,384 | 1,706 | — | 34,090 | ||||||||||||
|
Net (loss) profit for the period |
$ | (56,651 | ) | $ | 88,058 | $ | 12,779 | $ | 44,186 | |||||||
| Total Assets | $ | 6,328,740 | $ | 227,382 | $ | (204,787 | ) | $ | 6,351,335 | |||||||
| Total Liabilities | $ | 4,842,190 | $ | 203,542 | $ | (114,658 | ) | $ | 4,931,074 | |||||||
| (1) | Loyalty revenue for miles redeemed is allocated to passenger revenue and, other loyalty revenue is recorded in other revenue. |