The final quarter total revenue was $246.6 million, down 47 percent versus the prior year, the lowest year over year reduction since the onset of the pandemic. Sequential quarterly improvement in total revenue with fourth quarter total revenue up 85 percent from the second quarter and 23 percent from the third quarter. The airline completed the quarter with a load factor of 58.2 percent, the highest quarter since the onset of the pandemic. Average total ancillary revenue per passenger (includes air-related and third party products) continues to remain strong at $57.18, nearly flat from prior year – This is very encouraging.
Adjusted Operating CASM for the final quarter, excluding fuel of 6.07 cents, down 10 percent from the prior year, on capacity reductions of 16 percent. Recognized total one-time, non-recurring, special charges related to COVID-19 of $25.4 million during the fourth quarter. Recognized a CARES Act employee retention credit of $9.6 million, which is recorded as an offset to salary and benefits expense. The airline also announced 15 new non-stop routes including two new cities during the fourth quarter and another 21 new non-stop routes including three new cities in early January bringing total routes served to 543 and 129 cities
For the full year total revenue was $990.1 million, down 46 percent versus prior year. The airline reduced full year capacity by 19 percent, the smallest reduction in the industry, with reported load factors of 59.5 percent. Average total ancillary revenue per passenger (includes air-related and third party products) increased 3 percent versus 2019 to $58.46, again very good news. Adjusted Operating CASM, excluding fuel of 6.92 cents, was up 7 percent from prior year on capacity reductions of 19 percent. The airline “employed a surgical approach” to marketing efforts, which resulted in a full year decrease in cost per booking of 46 percent.
Total cash and investments at December 31, 2020 were $685 million. Total sources of liquidity received during the fourth quarter were $160 million
The airline company issued $150 million of senior secured notes backed by same collateral package pledged to an existing Term Loan. It received a remaining $10 million related to a sale leaseback transaction that closed during the third quarter
Total sources of liquidity received during full year 2020 were $724 million. Including $177 million related to the CARES Act payroll support program, $150 million in senior secured notes, $115 million in secured financings backed by aircraft and engines, $100 million upsize of Term Loan B, $94 million in tax refunds related to net operating loss carrybacks, and $88 million in proceeds from sale leasebacks. It repaid $182 million in net principal payments during full year 2020. Total debt increased $237 million versus year end 2019 with debt, net of liquidity, as of December 31, 2020 at $974 million, roughly unchanged from December 31, 2019
There was a Fourth quarter interest expense of $16 million, down 11 percent from prior year. $268 million in additional liquidity is expected to be received during 1H21, none of which will increase debt balances. $92 million related to the extension of the CARES Act payroll support program, of which $45.9 million has been received. Entire $92 million will be recognized as a payroll expense offset during the first quarter of 2021.
Fourth quarter spend was $105 million, which included $94 million for the acquisition of three aircraft and three engines along with induction costs, $6 million in other airline capital expenditures and $5 million in deferred heavy maintenance.
Two aircraft initially intended to be purchased during the fourth quarter were delayed until the first quarter of 2021. Full year 2020 capital expenditures were $335 million, comprised of $206 million in aircraft and engine purchases, $45 million in deferred heavy maintenance, $38 million in other airline capital expenditures, and $46 million in non-airline projects
Full year 2021 capital expenditures, including deferred heavy maintenance, are expected to be roughly $200 million, which includes the two outstanding aircraft purchase agreements delayed from the 4th quarter 2020 and newly signed purchase agreements for two aircraft
Aircraft Fleet Plan by End of Period
| Aircraft - (seats per AC) | YE20 | 1Q21 | 2Q21 | 3Q21 | YE21 |
| A319 (156 seats) | 34 | 35 | 35 | 35 | 35 |
| A320 (177 seats) | 25 | 27 | 23 | 20 | 19 |
| A320 (186 seats) | 36 | 39 | 47 | 53 | 54 |
| Total | 95 | 101 | 105 | 108 | 108 |
Aircraft listed in table above include return to service aircraft previously in storage and future purchase and lease aircraft under contract (subject to change).