Alaska Air Group Reports May Traffic

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

ALASKA AIRLINES

Alaska reported a 10.7 percent increase in traffic on a 4.5 percent increase in capacity, resulting in a 4.6-point increase in load factor to 81.4 percent. Alaska also reported that 91.5 percent of its flights arrived on time in May 2010, a 5.8-point increase compared to the 85.7 percent reported in May 2009.

The following table shows the operational results for May 2010 and for the first five months of 2010, compared to the prior-year periods:

                                       May                 Year-to-Date
                                       ---                 ------------
                                2010   2009  Change    2010   2009  Change
                                ----   ----  ------    ----   ----  ------
  Revenue passenger miles
      RPMs (in millions)       1,656  1,495     10.7% 7,711  7,148      7.9%
  Available seat miles
      ASMs (in millions)       2,035  1,947      4.5% 9,485  9,336      1.6%
  Passenger load factor         81.4%  76.8%  4.6pts   81.3%  76.6%  4.7pts
  Revenue passengers (in
   thousands)                  1,368  1,298      5.3% 6,311  6,152      2.6%
  On-time arrivals as reported
    to U.S. DOT                 91.5%  85.7%  5.8pts   88.4%  77.7% 10.7pts
    -----------                 ----   ----   ------   ----   ----  -------


  HORIZON AIR

Horizon reported a 0.4 percent increase in traffic on a 1.5 percent decrease in capacity, resulting in a 1.4-point increase in load factor to 73.1 percent. Horizon also reported that 92.1 percent of its flights arrived on time in May 2010, a 4.3-point increase compared to the 87.8 percent reported in May 2009.

The following table shows the operational results for May 2010 and for the first five months of 2010, compared to the prior-year periods:

                                May                  Year-to-Date
                                ---                  ------------
                         2010  2009  Change    2010     2009   Change
                         ----  ----  ------    ----     ----   ------
  RPMs (in millions)      200   199      0.4%   961      907       5.9%
  ASMs (in millions)      273   277    (1.5)% 1,338    1,331       0.6%
  Passenger load factor  73.1% 71.7%  1.4pts   71.8%    68.2%   3.6pts
  Revenue passengers (in
   thousands)             554   555    (0.1)% 2,676    2,632       1.7%
  On-time arrivals       92.1% 87.8%  4.3pts   89.7%    84.3%   5.4pts
  ----------------       ----  ----   ------   ----     ----    ------

Alaska Airlines and Horizon Air, subsidiaries of Alaska Air Group , together serve more than 90 cities through an expansive network in Alaska, the Lower 48, Hawaii, Canada and Mexico. 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: barb.johnson@alaskaair.com

SOURCE: Alaska Air Group