PART I  ITEM 1 Business free Even More TM  Speed expedited security, no change/cancel fees, early  boarding, access to a dedicated Customer service line available 24 hours  a day/7days a week, a free second checked bag and the exclusive ability  to use TrueBlue points for Even More TM  Space seat upgrades. There were  over 931,000 TrueBlue award miles travel segments flown during 2013,  representing approximately 3% of our total revenue passenger miles.  We have an agreement with American Express under which they issue  JetBlue co-branded American Express credit cards to U.S. residents that  allow cardmembers to earn TrueBlue points. We have a separate agreement  with American Express allowing any American Express cardholder to  convert Membership Rewards points into TrueBlue points. We also have  a co-branded loyalty credit card jointly with Banco Santander Puerto  Rico and Mastercard which allows customers in Puerto Rico to take full  advantage of our TrueBlue loyalty program. We have separate agreements with other loyalty partners, including hotels  and car rental companies, allowing their customers to earn TrueBlue points  through participation in the partners’ programs. We intend to develop  the footprint of our co-branded credit cards and pursue other loyalty  partnerships in the future. Historically, our cost structure has allowed us to profitably price fares  lower than many competitors and is a principle reason for our success.  Our current cost advantage relative to some of our competitors is due to  high aircraft utilization, new and efficient aircraft, relatively low distribution  costs, and a productive workforce among other factors. Because our  network initiatives and growth plans necessitate a low cost platform,  we are continually focused on our cost advantage and maintaining it. In  making investments, we believe not just in the ones that contribute and  enhance the JetBlue Experience, but also ones that drive efficiencies and  contribute to the preservation of our long-term cost advantage. Our point-to-point system is the foundation of our operational structure.  This structure allows us to optimize costs as well as accommodate  customers’ preference for non-stop itineraries. Further, a vast majority of  our operations are centered in and around the heavily populated northeast  corridor of the U.S., which includes the New York and Boston metropolitan  areas. This airspace is some of the world’s most congested and drives  certain operational constraints. approximately 36% of all passengers in 2013 from our three BlueCities.  We are also the largest airline in terms of capacity serving the Dominican  Republic with six BlueCities and approximately 13% of all passengers  in 2013. We continue to invest in our Caribbean operations including  intra-Caribbean services out of Puerto Rico. While the Caribbean and  Latin American region is a growing part of our network, operating in  these developing countries can present operational challenges, including  working with less developed airport infrastructure, political instability and  vulnerability to corruption. Our peak levels of traffic over the course of the year depend upon the route,  with the East Coast to Florida/Caribbean peak from October through April  and the East Coast to West Coast peak in the summer months. Many of  our areas of operations in the Northeast experience poor winter weather  conditions, resulting in increased costs associated with de-icing aircraft,  canceled flights and accommodating displaced customers. Many of our  Florida and Caribbean routes experience bad weather conditions in the  summer and fall due to thunderstorms and hurricanes. As we enter new  markets we could be subject to additional seasonal variations along with  competitive responses by other airlines. • New York metropolitan area.  We are New York’s Hometown Airline TM . The majority of our flights originate in the New York metropolitan area, the  nation’s largest travel market. New York’s John F. Kennedy International  Airport, (JFK) is New York’s largest airport. We are the largest airline at  JFK as measured by domestic capacity and by the end of 2013 our  domestic operations accounted for nearly 31% of all domestic passengers  at JFK. We operate predominately out of Terminal 5, or T5, and in 2014  we expect to complete the construction of T5i, an international arrivals  facility that will expand our current T5 footprint. We believe T5i will enable  us to increase operational efficiencies, provide savings and streamline  our operations as well as improve the overall travel experience for our  customers arriving from international destinations. We also serve New  Jersey’s Newark Liberty International Airport, New York’s LaGuardia  Airport, Newburgh, NY’s Stewart International Airport and White Plains,  NY’s Westchester County Airport. We are the leading carrier in number of  flights flown per day between the New York metropolitan area and Florida. • Boston.  We are the largest carrier in terms of flights and seats offered  at Boston’s Logan International Airport, or Boston. By the end of 2013  we flew to 49 destinations from Boston and served twice as many non- stop destinations than any other airline. Our operations accounted for  more than 30% of all Boston passengers. We continue to capitalize on  opportunities in the changing competitive landscape by adding routes,  frequencies and increasing our relevance to local travelers, including  business travelers. Our plan is to grow Boston towards a target of  150 flights per day. • Caribbean and Latin America.  Since 2008 we have added 20 BlueCities  in this region. We expect this number to continue to grow in the future.  Our only focus city outside of the Continental U.S. is San Juan, Puerto  Rico. We are now the largest airline in Puerto Rico in terms of capacity with  • Fort Lauderdale-Hollywood.  We are the largest carrier in terms of capacity  at Fort Lauderdale-Hollywood International Airport, with approximately  20% of all passengers in 2013 served by JetBlue. Flying out of Fort  Lauderdale-Hollywood instead of nearby Miami International Airport  helps preserve our competitive cost advantage through lower cost  per enplanement. Broward County authorities have commenced a  multi-year, $2.3 billion, refurbishment effort at the airport and surrounding  facilities including the construction of a new airfield. We operate out of  Terminal 3 which is scheduled to be refurbished and connected to the  upgraded and expanded international terminal by 2018. We expect  the connection of these terminals will streamline operations for both  Crewmembers and customers. Due to these factors, its ideal location  between the U.S. and Latin America, and South Florida’s high-value  geography, Fort Lauderdale-Hollywood is expected to be one of our  key areas of focused growth going forward. • Orlando.  We are the second largest carrier in Orlando International Airport,  or Orlando, with more than 15% of all flights in 2013 being operated by  JetBlue. Our centralized training center, known as JetBlue University,  is based in Orlando and in 2013 we broke ground on the construction  of a facility at the airport, adjacent to our training center, for lodging our  Crewmembers when they attend training at JetBlue University. • Los Angeles area.  We are the seventh largest carrier in the Los Angeles  area, operating from Long Beach Airport, Los Angeles International  Airport and Burbank’s Bob Hope Airport. We are the largest carrier in  Long Beach, with almost 68% of all flights in 2013 being operated by  JetBlue. In mid-2014 we are scheduled to start operating our premium  transcontinental service, Mint ™ , from Los Angeles. JETBLUE AIRWAYS CORPORATION  -  2013 Annual Report 09 Operations and Cost Structure Route Structure