#### Section 7 Chart of Profit and Loss Accounts

| Objective classification of profit and loss elements | Functional or financial activity to which applicable (00) | | |
| --- | --- | --- | --- |
| Group I carriers | Group II carriers | Group III carriers |
| **operating revenues and expenses** | | | |
| Transport revenues: | | | |
| 01 Passenger: | | | |
| 01.*1* Passenger—first class | 31, 32 | 31, 32 | 31, 32. |
| 01.*2* Passenger—coach | 31, 32 | 31, 32 | 31, 32. |
| 05 Mail: | | | |
| 05.*1* Priority | 31, 32 | 31, 32 | 31, 32. |
| 05.*2* Nonpriority | 31, 32 | 31, 32 | 31, 32. |
| 05.*3* Foreign | 31, 32 | 31, 32 | 31, 32. |
| 06 Property: | | | |
| 06.*1* Freight | 31, 32 | 31, 32 | 31, 32. |
| 06.*2* Excess passenger baggage | 31, 32 | 31, 32 | 31, 32. |
| 07 Charter: | | | |
| 07.*1* Passenger | 32 | 32 | 32. |
| 07.*2* Property | 32 | 32 | 32. |
| 19 Air transport—other: | | | |
| 19.*1* Reservation cancellation fees | 31, 32 | 31, 32 | 31, 32. |
| 19.*2* Miscellaneous operating revenues | 31, 32 | 31, 32 | 31, 32. |
| 08 Public service revenues (subsidy) | 48 | 48 | 48. |
| Transport-related revenues and expenses: | | | |
| 09 In-flight sales: | | | |
| 09.*1* Liquor and food—gross revenues | 48 | 48 | 48. |
| 09.*2* Movies and stereo—gross revenues | 48 | 48 | 48. |
| 09.*3* Other—gross revenues | 48 | 48 | 48. |
| 09.*4* Liquor and food—depreciation expense | 71 | 71 | 71. |
| 09.*5* Liquor and food—other expense | 71 | 71 | 71. |
| 09.*6* Movies and stereo—depreciation expense | 71 | 71 | 71. |
| 09.*7* Movies and stereo—other expense | 71 | 71 | 71. |
| 09.*8* Other—depreciation expense | 71 | 71 | 71. |
| 09.*9* Other—expense | 71 | 71 | 71. |
| 10 Restaurant and food service (ground): | | | |
| 10.*1* Gross revenues | 48 | 48 | 48. |
| 10.*2* Depreciation expense | 71 | 71 | 71. |
| 10.*3* Other expenses | 71 | 71 | 71. |
| 11 Rents: | | | |
| 11.*1* Gross revenues | 48 | 48 | 48. |
| 11.*2* Depreciation expense | 71 | 71 | 71. |
| 11.*3* Other expenses | 71 | 71 | 71. |
| 12 Limousine service: | | | |
| 12.*1* Gross revenues | 48 | 48 | 48. |
| 12.*2* Depreciation expense | 71 | 71 | 71. |
| 12.*3* Other expenses | 71 | 71 | 71. |
| 13 Interchange sales: | | | |
| 13.*1* Associated companies—gross revenues | 48 | 48 | 48. |
| 13.*2* Outside—gross revenues | 48 | 48 | 48. |
| 13.*3* Associated companies—depreciation expense | 71 | 71 | 71. |
| 13.*4* Associated companies—other expense | 71 | 71 | 71. |
| 13.*5* Outside—depreciation expense | 71 | 71 | 71. |
| 13.*6* Outside—other expense | 71 | 71 | 71. |
| 14 General service sales: | | | |
| 14.*1* Associated companies—gross revenues | 48 | 48 | 48. |
| 14.*2* Outside—gross revenues | 48 | 48 | 48. |
| 14.*3* Associated companies—depreciation expense | 71 | 71 | 71. |
| 14.*4* Associated companies—other expense | 71 | 71 | 71. |
| 14.*5* Outside—depreciation expense | 71 | 71 | 71. |
| 14.*6* Outside—other expense | 71 | 71 | 71. |
| 16 Substitute (replacement) service: | | | |
| 16.*1* Gross revenues | 48 | 48 | 48. |
| 16.*2* Expense | 71 | 71 | 71. |
| 17 Air cargo service: | | | |
| 17.*1* Gross revenues | 48 | 48 | 48. |
| 17.*2* Depreciation expense | 71 | 71 | 71. |
| 17.*3* Other expense | 71 | 71 | 71. |
| 18 Other transport related items: | | | |
| 18.*1* Gross revenues | 48 | 48 | 48. |
| 18.*2* Depreciation expense | 71 | 71 | 71. |
| 18.*3* Other expense | 71 | 71 | 71. |
| 19 Other operating revenues: | | | |
| 19.*1* Reservations cancellation fees | 31, 32 | 31, 32 | 31, 32. |
| 19.*9* Miscellaneous operating revenues | 31, 32, 41 | 31, 32, 41 | 31, 32, 41. |
| Transport expenses: | | | |
| 21 General management personnel | 53, 69 | 53, 55, 64, 67, 68 | 53, 55, 61, 62, 63, 65, 66, 68. |
| 23 Pilots and copilots | 51 | 51 | 51. |
| 24 Other flight personnel | 51, 69 | 51, 55 | 51, 55. |
| 25 Maintenance labor: | | | |
| 25.*1* Labor—airframes and other flight equipment | | 52 | 52. |
| 25.*2* Labor—aircraft engines | | 52 | 52. |
| 25.*6* Labor—flight equipment | 52 | | |
| 25.*9* Labor—ground property and equipment | 52, 53 | 52, 53 | 52, 53. |
| 26 Aircraft and traffic handling personnel | 69 | | |
| 26.*1* General aircraft and traffic handling personnel | | 64, 67 | 61, 62, 63, 65. |
| 26.*2* Aircraft control personnel | | 64 | 61. |
| 26.*3* Passenger handling personnel | | 64, 67 | 62, 65. |
| 26.*4* Cargo handling personnel | | 64, 67 | 62, 65. |
| 28 Trainees, instructors and unallocated shop labor: | | | |
| 28.*1* Trainees and instructors | 51, 53, 69 | 51, 53, 55, 64,67, 68 | 51, 53, 55, 61, 62, 63, 65, 66, 68. |
| 28.*2* Unallocated shop labor | 53 | 53 | 53. |
| 30 Communications personnel | 53, 69 | 53, 55, 64, 67, 68 | 53, 55, 61, 62, 63, 65, 66, 68. |
| 31 Recordkeeping and statistical personnel | 53, 69 | 53, 55, 64, 67, 68 | 53, 55, 61, 62, 63, 65, 66, 68. |
| 32 Lawyers and law clerks | 69 | 68 | 68. |
| 33 Traffic solicitors | 69 | 67 | 65. |
| 34 Purchasing personnel | 53, 69 | 53, 68 | 53, 68. |
| 35 Other personnel | 53, 69 | 53, 55, 64, 67, 68 | 53, 55, 61, 62, 63, 65, 66, 68. |
| 36 Personnel expenses | 51, 53, 69 | 51, 53, 55, 64, 67, 68 | 51, 53, 55, 61, 62, 63, 65, 66, 68. |
| 37 Communications purchased | 53, 69 | 53, 55, 64, 67, 68 | 53, 55, 61, 62, 63, 65, 66, 68. |
| 38 Light, heat, power, and water | 53, 69 | 53, 55, 64, 67, 68 | 53, 55, 61, 62, 63, 65, 66, 68. |
| 39 Traffic commissions | 69 | | |
| 39.*1* Commissions—passenger | | 67 | 65. |
| 39.*2* Commissions—property | | 67 | 65. |
| 40 Legal fees and expenses | 69 | 68 | 68. |
| 41 Professional and technical fees and expenses | 51, 53, 69 | 51, 53, 55, 64, 67, 68 | 51, 53, 55, 61, 62, 63, 65, 66, 68 |
| 43 General services purchased: | | | |
| 43.*1* Airframe and other flight equipment repairs | | 52 | 52 |
| 43.*2* Aircraft engine repairs | 52 | 52 | |
| 43.*6* Flight equipment repairs | 52 | | |
| 43.*7* Aircraft interchange charges | 51, 52 | 51, 52 | 51, 52 |
| 43.*8* General interchange service charges | 52, 69 | 52, 55, 64, 67, 68 | 52, 55, 61, 62, 63, 65, 66, 68 |
| 43.*9* Other services | 52, 53, 69 | 52, 53, 55, 64, 67, 68 | 52, 53, 55, 61, 62, 63, 65, 66, 68 |
| 44 Landing fees | 69 | 64 | 61. |
| 45 Aircraft fuels and oils | 51 | | |
| 45.*1* Aircraft fuels | | 51 | 51. |
| 45.*2* Aircraft oils | | 51 | 51. |
| 46 Maintenance materials: | | | |
| 46.*1* Airframes and other flight equipment | | 52 | 52 |
| 46.*2* Aircraft engines | | 52 | 52. |
| 46.*6* Flight equipment | 52 | | |
| 46.*9* Ground property and equipment | 52, 53 | 52, 53 | 52, 53. |
| 47 Rentals | 51, 53, 69 | 51, 53, 55, 64, 67, 68 | 51, 53, 55, 61, 62, 63, 65, 66, 68. |
| 49 Shop and servicing supplies | 53, 69 | 53, 64 | 53, 61. |
| 50 Stationery, printing, and office supplies | 53, 69 | 53, 55, 64, 67, 68 | 53, 55, 61, 62, 63, 65, 66, 68. |
| 51 Passenger food expense | 69 | 55 | 55. |
| 53 Other supplies | 51, 53, 69 | 51, 53, 55, 64, 67, 68 | 51, 53, 55, 61, 62, 63, 65, 66, 68. |
| 54 Inventory adjustments | 53, 69 | 53, 55 | 53, 55. |
| 55 Insurance—general | 51, 53, 69 | 51, 53, 68 | 51, 53, 68. |
| 56 Insurance—traffic liability | 69 | 55, 64 | 55, 62. |
| 57 Employee benefits and pensions | 51, 53, 69 | 51, 53, 55, 64, 67, 68 | 51, 53, 55, 61, 62, 63, 65, 66, 68. |
| 58 Injuries, loss and damage | 51, 53, 69 | 51, 53, 55, 64, 67, 68 | 51, 53, 55, 61, 62, 63, 65, 66, 68. |
| 59 Schedules and timetables | 69 | 67 | 65, 66. |
| 60 Advertising | 69 | 67 | 66. |
| 61 Foreign exchange gains and losses | 69 | 68 | 68. |
| 62 Other promotional and publicity expenses | 69 | 67 | 66. |
| 63 Interrupted trips expense | 69 | 55 | 55. |
| 64 Memberships | 53, 69 | 53, 55, 64, 67, 68 | 53, 55, 61, 62, 63, 65, 66, 68. |
| 65 Corporate and fiscal expenses | 69 | 68 | 68. |
| 66 Uncollectible accounts | 69 | 68 | 68. |
| 67 Clearance, customs and duties | 69 | 64 | 61, 62. |
| 68 Taxes—payroll | 51, 53, 69 | 51, 53, 55, 64, 67, 68 | 51, 53, 55, 61, 62, 63, 65, 66, 68. |
| 69 Taxes—other than payroll | 51, 69 | 51, 68 | 51, 68. |
| 71 Other expenses | 51, 53, 69 | 51, 53, 55, 64, 67, 68 | 51, 53, 55, 61, 62, 63, 65, 66 68. |
| 72 Aircraft overhauls | 52, 53 | 52, 53 | 52, 53. |
| 72.*1* Airworthiness allowance provisions—airframes | 52, 53 | 52, 53 | 52, 53. |
| 72.*3* Airframe overhauls deferred | 52, 53 | 52, 53 | 52, 53. |
| 72.*6* Airworthiness allowance provisions—aircraft engines | 52, 53 | 52, 53 | 52, 53. |
| 72.*8* Aircraft engine overhauls deferred | 52, 53 | 52, 53 | 52, 53. |
| 73 Provisions for obsolescence and deterioration—expendable parts: | | | |
| 73.*1* Current provisions | 70 | 70 | 70. |
| 73.*2* Inventory decline credits | 70 | 70 | 70. |
| 74 Amortizations: | | | |
| 74.*1* Developmental and preoperating expenses | 70 | 70 | 70. |
| 74.*2* Other intangibles | 70 | 70 | 70. |
| 75 Depreciation: | | | |
| 75.*1* Airframes | 70 | 70 | 70. |
| 75.*2* Aircraft engines | 70 | 70 | 70. |
| 75.*3* Airframe parts | 70 | 70 | 70. |
| 75.*4* Aircraft engine parts | 70 | 70 | 70. |
| 75.*5* Other flight equipment | 70 | 70 | 70. |
| 75.*6* Flight equipment | 70 | 70 | 70. |
| 75.*8* Maintenance equipment and hangars | 70 | 70 | 70. |
| 75.*9* General ground property | 70 | 70 | 70. |
| 76 Amortization expense, capital leases: | | | |
| 76.*1* Amortization—capitalized flight equipment | 70 | 70 | 70 |
| 76.*2* Amortization—capitalized other property and equipment | 70 | 70 | 70 |
| 77 Uncleared expense credits: | | | |
| 77.*8* Uncleared interchange expense credits | 53, 69 | 53, 55, 64, 67, 68 | 53, 55, 61, 62, 63, 65, 66, 68. |
| 77.*9* Other uncleared expense credits | 53, 69 | 53, 55, 64, 67, 68 | 53, 55, 61, 62, 63, 65, 66, 68. |
| 78 Direct maintenance—flight equipment | 52 | 52 | 52. |
| 79 Applied burden Dr/Cr: | | | |
| 79.*6* Flight equipment | 52 Dr, 53 Cr | 52 Dr, 53 Cr | 52 Dr, 53 Cr. |
| 79.*8* General ground property | 52 Dr, 53 Cr | 52 Dr, 53 Cr | 52 Dr, 53 Cr. |
| **nonoperating income and expense** | | | |
| 81 Interest on long-term debt and capital leases: | | | |
| 81.*1* Interest expense, long-term debt | 81 | 81 | 81 |
| 81.*2* Interest expense, capital leases | 81 | 81 | 81 |
| 82 Other interest: | | | |
| 82.*1* Interest expense, short-term debt | 81 | 81 | 81 |
| 83.*1* Imputed interest capitalized—credit | 81 | 81 | 81 |
| 83.*2* Imputed interest deferred—debit | 81 | 81 | 81 |
| 83.*3* Imputed interest deferred—credit | 81 | 81 | 81 |
| 83.*4* Interest capitalized—credit | 81 | 81 | 81 |
| 84.*1* Amortization of discount and expense on debt | 81 | 81 | 81 |
| 84.*2* Amortization of premium on debt | 81 | 81 | 81 |
| 85 Foreign exchange gains and losse | 81 | 81 | 81 |
| 89 Other nonoperating income and expense-net: | | | |
| 80.*0* Interest income | 81 | 81 | 81 |
| 86.*0* Income from nontransport ventures | 81 | 81 | 81 |
| 87.*0* Equity in income of investor controlled companies | 81 | 81 | 81 |
| 88.*1* Intercompany transaction adjustment-credit | 81 | 81 | 81 |
| 88.*2* Dividend income | 81 | 81 | 81 |
| 88.*3* Net unrealized gain or loss on marketable equity securities | 81 | 81 | 81. |
| 88.*4* Net realized gain or loss on marketable equity securities | 81 | 81 | 81. |
| 88.*5* Capital gains and losses—operating property | 81 | 81 | 81. |
| 88.*6* Capital gains and losses—other | 81 | 81 | 81. |
| 88.*7* Unapplied cash discounts | 81 | 81 | 81. |
| 88.*9* Other miscellaneous nonoperating credits | 81 | 81 | 81. |
| 89.*1* Intercompany transaction adjustment—debit | 81 | 81 | 81. |
| 89.*9* Other miscellaneous nonoperating debits | 81 | 81 | 81. |
| **income taxes** | | | |
| 91 Provision for income taxes: | | | |
| 91.*1* Income taxes before investment tax credits | 91 | 91 | 91. |
| 91.*2* Investment tax credits utilized | 91 | 91 | 91. |
| 92 Provisions for deferred income taxes: | | | |
| 92.*1* Current provisions for deferred taxes | 91 | 91 | 91. |
| 92.*2* Application of deferred taxes | 91 | 91 | 91. |
| 92.*3* Adjustment of deferred taxes | 91 | 91 | 91. |
| 93 Investment tax credits deferred and amortized: | | | |
| 93.*1* Investment tax credits deferred | 91 | 91 | 91. |
| 93.*2* Amortization of deferred investment tax credits | 91 | 91 | 91. |
| 94 Excess profits taxes | 91 | 91 | 91. |
| **discontinued operations** | | | |
| 95 Discontinued operations: | | | |
| 95.*1* Income from discontinued operations | 96 | 96 | 96. |
| 95.*2* Loss on disposal of discontinued operations | 96 | 96 | 96. |
| **extraordinary items** | | | |
| 96 Extraordinary items | 97 | 97 | 97. |
| 97 Income taxes applicable to extraordinary items | 97 | 97 | 97. |
| **changes in accounting principles** | | | |
| 98 Cumulative effects of change in accounting principles | 98 | 98 | 98. |

[ER-755, [37 FR 19726](https://www.federalregister.gov/citation/37-FR-19726), Sept. 21, 1972, as amended by ER-781, [37 FR 25223](https://www.federalregister.gov/citation/37-FR-25223), Nov. 29, 1972; [37 FR 28277](https://www.federalregister.gov/citation/37-FR-28277), Dec. 22, 1972; ER-797, [38 FR 10926](https://www.federalregister.gov/citation/38-FR-10926), May 3, 1973; ER-841, [39 FR 11995](https://www.federalregister.gov/citation/39-FR-11995), Apr. 2, 1974; ER-948, [41 FR 12295](https://www.federalregister.gov/citation/41-FR-12295), Mar. 25, 1976; ER-980, [42 FR 35](https://www.federalregister.gov/citation/42-FR-35), Jan. 3, 1977; ER-1013, [42 FR 37515](https://www.federalregister.gov/citation/42-FR-37515), July 21, 1977; ER-1401, [50 FR 242](https://www.federalregister.gov/citation/50-FR-242), Jan. 3, 1985; Amdt. 241-56, [52 FR 9129](https://www.federalregister.gov/citation/52-FR-9129), Mar. 23, 1987; Amdt. 241-58, [54 FR 5594](https://www.federalregister.gov/citation/54-FR-5594), Feb. 6, 1989]