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Alaska Air Group Reports August Operational Results

SEATTLE - Alaska Air Group Inc. (NYSE: ALK) today reported August operational results for its subsidiaries, Alaska Airlines and Horizon Air, and on a combined basis. Detailed information is provided below.

ALASKA AIRLINES - MAINLINE

     Alaska reported an 8.1 percent increase in traffic on a 7.4 percent increase in capacity compared to August 2011. This resulted in a 0.6-point increase in load factor to an all-time monthly record of 88.9 percent. Alaska also reported 89.3 percent of its flights arrived on time in August, compared to the 90.8 percent reported in August 2011.

The following table shows Alaska's operational results for August and year-to-date 2012, compared to the prior-year periods:
 

 
August
Year-to-Date
  2012 2011 Change 2012 2011 Change
Revenue passengers (in thousands) 1,756 1,698 3.4% 12,552 12,033 4.3%
Revenue passenger miles RPM (in millions) 2,276 2,105 8.1% 16,452 15,204 8.2%
Available seat miles
ASM (in millions)
2,561 2,385 7.4% 18,864 17,838 5.8%
Passenger load factor 88.9% 88.3% 0.6 pts 87.2% 85.2% 2.0 pts
On-time arrivals as reported to U.S. DOT 89.3% 90.8% (1.5) pts 87.9% 88.1% (0.2) pts


HORIZON AIR

Horizon reported a 5.2 percent increase in traffic on a 5.2 percent increase in capacity compared to August 2011. This resulted in a 0.1-point increase in load factor to an August record 83.1 percent. Horizon also reported a record 93.9 percent of its flights arrived on time in August, compared to the 92.7 percent reported in August 2011.

The following table shows Horizon's operational results for August and year-to-date 2012, compared to the prior-year periods:

 
August
Year-to-Date
  2012 2011 Change 2012 2011 Change
Revenue passengers (in thousands) 636 610 4.3% 4,506 4,492 0.3%
RPMs (in millions) 201 191 5.2% 1,391 1473 (5.6%)
ASMs (in millions) 242 230 5.2% 1,777 1,893 (6.1)%
Passenger load factor 83.1% 83.0% 0.1 pts 78.3% 77.8% 0.5 pts
On-time arrivals 93.9% 92.7% 1.2 pts 91.6% 83.9% 7.7 pts
             

The year-to-date decline in capacity and traffic for Horizon from the prior year is due primarily to the

completion of Horizon's transition out of the CRJ-700 regional jet. This transition was completed in June 2011.

 AIR GROUP (including flights operated by third parties)
On a combined basis, Air Group reported a 7.8 percent increase in traffic on a 7.1 percent increase in capacity compared to August 2011. This resulted in a 0.6-point increase in load factor to a record 88.4 percent. These statistics include flights operated by Alaska and those under capacity purchase agreements, including Horizon, SkyWest and PenAir.

The following table shows the operational results for August and year-to-date 2012, compared to the prior-year periods:

 
July
Year-to-Date
  2012 2011 Change 2012 2011 Change
Revenue passengers (in thousands) 2,448 2,358 3.8% 17,455 16,689 4.6%
RPMs (in millions) 2,524 2,342 7.8% 18,178 16,842 7.9%
ASMs (in millions) 2,855 2,666 7.1% 21,030 19,927 5.5%
Passenger load factor 88.4% 87.8% 0.6 pts 86.4% 84.5% 1.9 pts



     Alaska Airlines and Horizon Air, subsidiaries of Alaska Air Group (NYSE: ALK), together serve more than 90 cities through an expansive network in Alaska, the Lower 48, Hawaii, Canada and Mexico. Alaska Airlines has ranked "Highest in Customer Satisfaction Among Traditional Network Carriers" in the J.D. Power and Associates North America Airline Satisfaction StudySM for five consecutive years from 2008 to 2012. For reservations, visit www.alaskaair.com. For more news and information, visit the Alaska Airlines/Horizon Air Newsroom at www.alaskaair.com/newsroom.

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