Operating expenses are comprised of Compensation and Benefits, Retiree Health Benefits, Transportation and Other Expenses.
Operating Expenses (dollars in millions)
|
2009
|
2008
|
2007
|
Compensation and Benefits
|
$53,154
|
$53,585
|
$54,186
|
Retiree Health Benefits
|
3,390
|
7,407
|
10,084
|
Transportation
|
6,026
|
6,961
|
6,502
|
Other Expenses
|
9,260
|
9,785
|
9,333
|
Total Operating Expenses
|
$71,830
|
$77,738
|
$80,105
|
In 2009, total operating expenses of $71,830 million were $5,908 million, or 7.6%, less than 2008, mainly due to the enactment of P.L. 111-68, which decreased Retiree Health Benefits by $4 billion, and the reduction of 115 million workhours. Compensation and benefits, along with retiree health benefits, were $56,544 million, or 78.7%, of operating expenses. Transportation expenses decreased $935 million, or 13.4%, and other expense decreased $525 million, or 5.4%.
In 2008, total operating expenses of $77,738 million were $2,367 million, or 3.0%, less than 2007. Retiree health benefits decreased by $2,677 million in 2008 compared to an increase of $8,447 million in 2007. The decrease was primarily due to a 2007 one-time charge in addition to the annual amounts required by P.L. 109-435. Despite the decrease, compensation and benefits along with retiree health benefits were $60,992 million, or 78.5%, of operating expenses compared to $64,270 million, or 80.2%, in 2007. Transportation expenses increased by $459 million, or 7.1%, while other expenses increased $452 million, or 4.8%.
