Alaska Air Group Reports March Traffic

Alaska Air Group, Inc. today reported March operational results for its subsidiaries, Alaska Airlines (Alaska) and Horizon Air (Horizon).

ALASKA AIRLINES

Alaska reported an increase in load factor to 81.6 percent in March 2009, compared to 80.8 percent in March 2008, on a 9.0 percent decline in available seat miles (ASMs) compared to the prior-year period. Alaska also reported that 70.2 percent of its flights arrived on time in March 2009, a 7.8-point decrease compared to the 78.0 percent reported in March 2008. The decline was caused in part by the eruptions of Mt. Redoubt in Alaska, which have disrupted operations since March 22, 2009. The following tables show the operational results for March 2009 and the first three months of 2009, compared to the prior-year periods:

                             March                    Year-to-Date
                      2009     2008    Change     2009     2008  Change
  Revenue passenger
    miles
    RPMs (000,000)   1,559    1,696    (8.1)%    4,179    4,526   (7.7)%
  Available seat
    Miles
    ASMs (000,000)   1,910    2,099    (9.0)%    5,520    6,084   (9.3)%
  Passenger load
    factor            81.6%    80.8%    0.8pts    75.7%    74.4%   1.3pts
  Revenue passengers
    (000)            1,344    1,537   (12.6)%    3,573    4,080  (12.4)%
  On-time arrivals as
   Reported to
   U.S. DOT           70.2%    78.0%   (7.8)pts   72.6%    75.9%  (3.3)pts

  HORIZON AIR

Horizon reported a decrease in load factor to 69.5 percent in March 2009, compared to 73.8 percent in March 2008, on a 15.9 percent decline in capacity compared to the prior-year period. Horizon reported that 86.0 percent of its flights arrived on time in March 2009, a 0.4-point decrease compared to the 86.4 percent reported in March 2008. The following tables show the operational results for March 2009 and the first three months of 2009, compared to the prior-year periods:

                              March                 Year-to-Date
                     2009   2008    Change      2009      2008    Change
  RPMs (000,000)      191    241    (20.7)%      524       658    (20.4)%
  ASMs (000,000)      275    327    (15.9)%      787       942    (16.5)%
  Passenger load
   factor            69.5%  73.8%    (4.3)pts   66.6%     69.9%    (3.3)pts
  Revenue passengers
   (000)              558    659    (15.3)%    1,546     1,852    (16.5)%
  On-time arrivals   86.0%  86.4%    (0.4)pts   81.2%     80.7%     0.5pts

Alaska Airlines and Horizon Air together serve more than 90 cities through an expansive network in Alaska, the Lower 48, Hawaii, Canada and Mexico. Alaska Airlines ranked "Highest in Customer Satisfaction among Traditional Network Carriers (tie)" in the J.D. Power and Associates 2008 North America Airline Satisfaction Study(SM). For reservations, visit alaskaair.com. For more news and information, visit the Alaska Airlines/Horizon Air Newsroom at alaskaair.com/newsroom.

First Call Analyst:
FCMN Contact: maria.koenig@alaskaair.com

SOURCE: Alaska Air Group, Inc.