FINANCIAL REPORT 
FOR THE THREE MONTHS ENDED MARCH 31, 1 979 
- 
 NORTH CENTRAL AIRLINES, INC. 
balance sheets 
(unaudited-in thousands) 
ASSETS 
March 31 
CURRENT ASSETS 
1979 
Cash and short-term investments . .. . ........ ...... $ 27,607 
Accounts receivable, less allowances . . . . . . . . . . . . . . 32,898 
Flight equipment parts and supplies . . . . . . . . . . . . . . . 6,724 
Prepaid expenses and other . . . . . . . . . . . . . . . . . . . . . . . 8,677 
75,906 
PROPERTY AND EQUIPMENT -at cost 
Flight equipment. . .......... . . . .. ....... .. .... . ... 238,834 
Ground property and equipment . .. . . ... .. . .. .. .. .. 35,636 
Improvements to leased property . . . . . . . . . . . . . . . . . . 7,288 
281 ,758 
Less accumulated depreciation, amortization . . . . . . . 78,760 
202,998 
Advance payments on equipment . . . . . . . . . . . . . . . . . . 26,994 
DEFERRED CHARGES, OTHER ASSETS 
LIABILITIES AND STOCKHOLDERS' EQUITY 
CURRENT LIABILITIES 
229,992 
4,710 
$310,608 
Current maturities of long-term debt .. .. ........... $ 16,129 
Short-term notes payable ...... . ..... . ....... . .. . . . 
Accounts payable ................................ . 
Interline payables and tickets outstand ing . .. . . .... . 
Accrued compensation, taxes, other .... .. . . ... .. . . 
5,000 
12,977 
21 ,382 
22,747 
78,235 
LONG-TERM OBLIGATIONS ... . ............... .. ... 136,779 
DEFERRED CREDITS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,028 
144,807 
STOCKHOLDERS' EQUITY 
Common stock, $.20 par value ................... . . 
Add itional paid- in capital .. . . . .................... . 
Retained earnings . .......... . .... . ........ . ...... . 
Treasury stock- at cost .............. . ........... . 
2,506 
18,430 
67,010 
(380) 
87,566 
$310,608 
1978 
$ 16,311 
26,139 
6,276 
8,353 
57,079 
185,063 
25,338 
6,052 
216,453 
72,418 
144,035 
19,772 
163,807 
3,562 
$224,448 
$ 18,198 
4,000 
9,712 
13,663 
18,418 
63,991 
87,174 
5,216 
92,390 
2,493 
18,210 
47,744 
(380) 
68,067 
$224,448 
statements or earnings 
(unaudited-in thousands) 
Three Months Ended March 31 
OPERATING REVENUES 1979 
Passenger . . ......... .. .................... . . . .... $ 67,461 $ 
Freight and express . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,057 
Public service revenues . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,664 
Mail...... ... .... . . . . . ....................... . .... 948 
Non-scheduled service and other ................. . 
OPERATING EXPENSES 
Flying operations .. .. .. ....... . .................. . 
Maintenance ... . . .. . .. ... . . ... ....... .... .. . ..... . 
Aircraft and traffic servicing . . ......... . ......... . 
Passenger service . .. ..... .... .... . .. ........ . .... . 
Reservations, advertising and sales . .. ... ......... . 
General and administrative ....................... . 
Other transport-related expenses ................. . 
Depreciation and amortization ... . . . .............. . 
Operating profit ... .. . . . . . ...... ... ... . .. .. ... . 
INTEREST AND OTHER 
EXPENSES (INCOME)-net . .. .. . ............. . . . . 
Earnings before income taxes ... . .. ... . . . .... . 
5,336 
81,466 
27,681 
9,452 
17,730 
6,140 
8,106 
3,906 
299 
4,836 
78,150 
3,316 
2,947 
369 
INCOME TAXES .. . ... . . . .. .. . . .... . ..... .... .... ... ___ 
3_1 
NET EARNINGS . ... ... .. . .. . . . .. .. ....... .. . . $ 338 
=== 
NET EARNINGS PER SHARE . . . . . . . . . . . . . . . . . $ .03 
traffic statistics 
Passengers ............................................. . 
Passenger miles .................................... .. 
Avai lable seat miles ............................... . 
Passenger load factor .......................... .. 
Cargo ton miles .................................... .. 
Revenue plane miles ............................ .. 
Scheduled miles completed ................ .. 
Three Months Ended March 31 
1979 
1,780,000 
596,811 ,000 
1,127,183,000 
52.9% 
4,721,000 
11,466,000 
94.2% 
1978 
1,441 ,000 
416,781,000 
798,711 ,000 
52.2% 
3,627,000 
8,895,000 
96.9% 
$ 
1978 
47,554 
3,806 
3,395 
778 
5,887 
61,420 
19,552 
7,838 
14,038 
4,233 
5,836 
2,955 
274 
3,887 
58,613 
2,807 
1,992 
815 
55 
760 
$ .06 
Change 
23.5% 
43.2 
41 .1 
1.3 
30.2 
28.9 
(2.8) 
 to our stockholders= 
Substantial growth marked North Central's perfor- 
mance in the first three months of 1979. Revenues jumped 
33 percent to $81.5 million-a new high-and passenger 
miles climbed a record 43 percent to 597 million. 
Although the airline experienced the worst flying 
weather in a decade, we are pleased to report a profit of 
$338,000 for the first quarter, which is traditionally a 
break-even or loss period. 
Gains achieved by the company are due to nonstop 
flights on 16 new long-haul routes, increased capacity 
from additional DC-9-50 jets, and the favorable response to 
discount fares. Financial results were adversely affected 
by major disruptive winter storms in both January and 
February, plus oil shortages which boosted jet fuel costs 
by $1.5 million. 
With revenues at $81.5 million and operating expenses 
of $78.2 million, up 33 percent, the company showed an 
operating profit of $3.3 million. Last year, the operating 
profit was $2.8 million. Interest and other expenses rose to 
$2.9 million, and taxes were virtually unchanged. The 
$338,000 net profit compares with $760,000 for the first 
quarter of 1978. 
Further expansion is already underway. On April 29, 
North Central inaugurated new Chicago-Houston service 
with four daily flights over the 925-mile route, and also 
added a prime-time round trip in the Detroit-Houston 
market. Two new 130-passenger DC-9-50 jets were de- 
livered in April, and a third is arriving in June, bringing the 
company's fleet to 61 jet-powered aircraft. Four more 
DC-9-50s will be delivered later this year. Nonstop flights 
between Minneapolis/St. Paul and Washington , D.C. 
(National Airport) are to begin June 25, and the airline will 
then be serving 104 cities on its 24,200-mile route system. 
The proposed merger of North Central and Southern 
Airways to form Republic Airlines is nearing completion. 
On April 26, the Civil Aeronautics Board instructed its staff 
to prepare an opinion approving the merger. The written 
order, which the CAB requested by May 10, must then be 
affirmed by the President of the United States. 
This is an exciting and challenging time for North 
Central. Tremendous opportunities exist in the current 
regulatory environment. Traffic growth on the airline's 
expanded system and a general fare adjustment will 
increase revenues. With these gains and strict cost 
control, the company expects a good second quarter and 
excellent earnings for the year. 
HAL N. CARR 
Chairman of the Board 
April 30, 1979 
Sincerely, 
~~ 
BERNARD SWEET 
President and 
Chief Executive Officer 
 NORTH CENTRAL AIRLINES 
~ 7500 NORTHLINER DRIVE 
MINNEAPOLIS, MINNESOTA 55450 
100% 
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