Category Archives: Alaska Horizon

Horizon Air paints its two new Bombardier Q400 Nanook and Seawolf planes

Horizon Air (Alaska Horizon) has released this statement and videos:

Nanook and Seawolf fans can now watch school spirit come to life in two new time-lapse videos. Set to school songs provided by each university, the videos show the painting of Alaska Airlines’ newest university-themed aircraft, celebrating the University of Alaska Anchorage (N443QX) and the University of Alaska Fairbanks (N441QX).

The spirited paint themes feature school colors and mascots from each university. The aircraft will begin flying primarily between Anchorage and Fairbanks and Anchorage and Kodiak when Alaska Airlines’ sister carrier, Horizon Air, introduces the Bombardier DHC-8-402 (Q400) to the state of Alaska on March 3.

Fifty painters from Associated Painters in Spokane, Wash., worked on each plane, taking six days, using 15,360 linear feet of masking tape, and channeling some serious university pride.

The UAF and UAA planes are the 10th and 11th university-themed aircraft flown by Horizon since 2008. Other paint themes represent the universities of Idaho, Montana, Oregon and Washington, as well asBoise State, Montana State, Oregon State, San Diego State and Washington State. Alaska Airlines recently unveiled the “Spirit of Education,” a specially themed Boeing 737-900ER dedicated to the students and staff of Raisbeck Aviation High School in Tukwila, Wash.

Horizon Air is a subsidiary of Alaska Air Group and flies to 39 cities in the western United States, Canadaand Mexico.

About the University of Alaska Fairbanks
The University of Alaska Fairbanks is the state’s Land, Sea and Space Grant institution, enriching the lives of Alaskans through teaching, research and service at campuses in Fairbanks, Kotzebue, Nome, Betheland Dillingham; six campus centers in interior Alaska and the Aleutians; and dozens of sites throughout the state. As Alaska’s research university and a world leader in arctic research, UAF offers scientists and students unparalleled opportunities in Alaska’s vast dynamic laboratory. Founded in 1917, UAF is the birthplace of the University of Alaska system and continues to inspire innovation throughout Alaska’sdiverse communities.

About the University of Alaska Anchorage
The University of Alaska Anchorage is an intersection for academic exploration, adventure and transformative experiences in and out of the classroom. Alaska’s largest university, UAA houses colleges and schools in Anchorage, the Matanuska-Susitna Valley, Kenai, Homer, Kodiak and Valdez. UAA students experience hands-on education through academics, research, leadership opportunities and mentorship with our community partners in state, across the country and globally.

Alaska Horizon:

Horizon Air:

Videos: Horizon Air: N443QX above and N441QX below:

Russian Aviation: Bombardier to build the Q400 in Russia starting in 2015

Bombardier (Montreal) is planning to build the DHC-8-402 (marketed as the Q400) in Ulyanovsk, Russia starting in 2015 according to Russian Aviation. The planned output in Russia is two aircraft per month and will be supervised by Bombardier representatives.

Bombardier has not yet confirmed this report.

Read the full report: CLICK HERE

In other news, Bombardier Aerospace and Horizon Air (Alaska Horizon) (Seattle/Tacoma) on January 22 celebrated the delivery of the airline’s 51st Q400 turboprop airliner in Portland, Oregon. The aircraft, officially DHC-8-402 N452QX (msn 4459) which is a NextGen model, is the last of three ordered by Horizon Air in June 2013, solidifying the airline’s position as the world’s largest operator of Q400 aircraft.

To recognize the delivery, a Bombardier delegation comprised of key team members who support the Q400 aircraft program, journeyed to Portland to participate in the celebration along with Horizon Air’s employees. The 51st aircraft, which provided a backdrop for the event, bares a special “people-powered” livery that includes the signatures of Horizon Air employees.

Johnson said the three new Q400 NextGen aircraft will allow the airline to begin operations in the state of Alaska on March 3, 2014, with daily flights between Anchorage and Fairbanks, and Anchorage and Kodiak. Horizon Air flies on behalf of Alaska Airlines and is a subsidiary of Alaska Air Group.

Horizon Air’s Q400 aircraft are equipped with Head-up Guidance Systems (HGS) for all-weather operations, Wide Area Augmentation Systems (WAAS) with approach guidance (LPV) for ILS-like landing minima at remote runways and RNP AR 0.3 to fly curved approaches to airports in difficult terrain. The unmatched capability to land and take off on challenging runways in unsettled weather is another benefit of the Q400 aircraft.

Established in 1981, Horizon Air was acquired in 1986 by Alaska Air Group, Inc., the parent company of Alaska Airlines. At its start, the airline operated two aircraft and served three destinations in Washington State.

Bombardier has booked firm orders for 480 Q400 and Q400 NextGen aircraft.

Copyright Photo: Bombardier. DHC-8-402 (Q400) N452QX (msn 4459) was officially handed over to the carrier on December 19, 2013 and wears a special employee signatures color scheme. Alaska Airlines and Alaska Horizon will soon unveil a new livery in 2014.

Alaska Airlines:

Alaska Horizon:

Horizon Air:

Alaska Air Group reports 4Q net income of $78 million and $508 net income for 2013, a new record

Alaska Air Group Inc. (Alaska Airlines and Horizon Air) (Seattle/Tacoma) today reported fourth quarter 2013 GAAP net income of $78 million, or $1.11 per diluted share, compared to GAAP net income of $44 million, or $0.61 per diluted share in 2012. Excluding mark-to-market fuel hedge gains of $2 million ($1 million after tax, or $0.01 per diluted share), the company reported record fourth quarter 2013 net income of $77 million, or $1.10 per diluted share, compared to net income excluding mark-to-market fuel hedge losses of $50 million, or $0.70 per diluted share, in 2012.

The company reported full-year 2013 GAAP net income of $508 million, compared to $316 million in the prior year. Excluding the impact of the items noted in the table below, the company reported record net income of $383 million, or $5.40 per diluted share for 2013, compared to net income of $339 million, or $4.73 per diluted share in 2012. This marks the fourth year in a row the company has exceeded its goal of a 10 percent return on invested capital.

The following table reconciles the company’s adjusted net income and earnings per diluted share (EPS) during the full year and fourth quarters of 2013 and 2012 to amounts as reported in accordance with GAAP:

	Three Months Ended Dec. 31,
	2013				2012
(in millions, except per share amounts)	Dollars		Diluted EPS		Dollars		Diluted EPS
Reported GAAP net income	$	78	$	1.11	$	44	$	0.61
Mark-to-market fuel hedge adjustments, net of tax	(1)		(0.01)		6		0.09
Non-GAAP adjusted income and per share amounts	$	77	$	1.10	$	50	$	0.70

	12 Months Ended Dec. 31,
	2013				2012
(in millions, except per share amounts)	Dollars		Diluted EPS		Dollars		Diluted EPS
Reported GAAP net income	$	508	$	7.16	$	316	$	4.40
Mark-to-market fuel hedge adjustments, net of tax	(5)		(0.06)		23		0.33
Special mileage plan revenue, net of tax	$	(120)	$	(1.70)	$	—	$	—
Non-GAAP adjusted income and per share amounts	$	383	$	5.40	$	339	$	4.73

Financial Highlights:

Record fourth quarter net income, excluding special items, of $77 million, or $1.10 per diluted share, compared to $50 million, or $0.70 per diluted share in 2012. This quarter’s results compare to a First Call analyst consensus estimate of $1.07 per share.
Record full-year net income, excluding special items, of $383 million, or $5.40 per diluted share, compared to$339 million, or $4.73 per diluted share in 2012.
Net income for the fourth quarter under Generally Accepted Accounting Principles (GAAP) of $78 million, or$1.11 per diluted share, compared to net income of $44 million, or $0.61 per diluted share in 2012. Full-year GAAP net income of $508 million, or $7.16 per diluted share, compared to net income of $316 million, or $4.40per diluted share in 2012.
Air Group employees earned $105 million in incentive pay in 2013, or nearly five weeks of pay for most employees. Over the last four years, employees have earned more than $357 million in incentive pay, averaging 8.8% of annual pay for most employees.
Achieved return on invested capital of 13.6% in 2013, compared to 13% in 2012.
Lowered adjusted debt-to-total capitalization ratio to 35% as of Dec. 31, 2013.
Fully funded the company’s defined benefit pension plans in 2013.
Held $1.3 billion in unrestricted cash and marketable securities as of Dec. 31, 2013.
Repurchased 2,492,093 shares of common stock for approximately $159 million in 2013. Since 2007, Air Group has used $478 million to repurchase 21 million shares.
Modified affinity card agreement with Bank of America and extended through 2017, estimated to generate $55 million in additional cash flows annually.
Received a credit rating upgrade from Standard and Poor’s to “BB+” with a stable outlook.

Other Highlights and Achievements:

Ranked “Highest in Customer Satisfaction Among Traditional Network Carriers” by J.D. Power for the sixth year in a row.
Ranked as the best U.S. major airline by The Wall Street Journal’s “Middle Seat” scorecard.
Named Airline Industry Leader in the 2013 Temkin Customer Service Rankings.
Held the top spot in U.S. Department of Transportation on-time performance among major U.S. airlines for the 12 months ended November 2013.
Alaska Airlines received the FAA’s “Diamond Certificate of Excellence” award for the 12th consecutive year; and Horizon Air received the certificate for the 12th time in the last 14 years.
Improved employee productivity in 2013 by 4.0% compared to 2012.
Signed five-year collective bargaining agreements with Alaska pilots and Horizon flight attendants.
Named most fuel-efficient airline in the U.S. in a report released by the International Council on Clean Transportation.
Donated $7.6 million to more than 1,300 charitable organizations, including support for the grand opening of Aviation High School in Seattle and other educational efforts. Our employees also volunteered more than 10,500 hours of community service.
Signed an exclusive multi-year partnership with Seattle Seahawks quarterback, Russell Wilson, and named him our “Chief Football Officer.”

New routes:

New routes launched and announced in the fourth quarter are as follows:

New Nonstop Routes Launched in Q4	New Nonstop Routes (Launch Date)
Seattle – Colorado Springs	Portland – Salt Lake City (6/9/14)
Portland – Tucson	San Diego – Salt Lake City (6/10/14)
Portland – Boise	Los Angeles – Salt Lake City (6/11/14)
San Diego – Boise	San Jose – Salt Lake City (6/12/14)
Seattle – Omaha	Boise – Salt Lake City (6/16/14)
Portland – Reno	Las Vegas – Salt Lake City (6/16/14)
Seattle – Steamboat Springs	San Francisco – Salt Lake City (6/18/14)
Anchorage – Phoenix
Anchorage – Las Vegas
San Diego – Mammoth Lakes

Copyright Photo: Michael B. Ing/AirlinersGallery.com. Boeing 737-990 N318AS (msn 30018) in the “We’re Going to Disneyland Resort” special livery arrives in Los Angeles.

Alaska Airlines:

Alaska Horizon:

Horizon Air:

Alaska Airlines responds, more routes from Salt Lake City

Alaska Airlines (Seattle/Tacoma) is adding more flights at Delta’s Salt Lake City hub while Delta Air Lines (Atlanta) has been adding more routes from Alaska’s Seattle/Tacoma hub. Is the Alaska-Delta partnership dissolving or is each carrier feeding the other at their hubs with additional flights?

Alaska Airlines is adding daily flights to three more cities from Salt Lake City next summer, marking the latest in a series of route expansions. The carrier will begin flying nonstop from Salt Lake City to Boise, Idaho, and Las Vegas on June 16 and between Salt Lake City and San Francisco on June 18.

The airline will fly one daily roundtrip each between Salt Lake City and Boise and San Francisco, and two daily roundtrips between Salt Lake and Las Vegas. Flights from Salt Lake City to San Francisco allow travelers same-day connections to the airline’s nonstop service to Los Cabos and Puerto Vallarta, Mexico.

Summary of new service:

Boise-Salt Lake City
Start date	City pair	Departs	Arrives	Frequency	Aircraft
June 16	Boise-Salt Lake City	7:10 a.m.	8:22 a.m.	Daily	Q400
June 16	Salt Lake City-Boise	5:55 p.m.	7:12 p.m.	Daily	Q400

Las Vegas-Salt Lake City
Start date	City pair	Departs	Arrives	Frequency	Aircraft
June 16	Salt Lake City-Las Vegas	9:45 a.m.	10:15 a.m.	Daily	Q400
June 16	Las Vegas-Salt Lake City	10:50 a.m.	1:18 p.m.	Daily	Q400
June 16	Salt Lake City-Las Vegas	1:50 p.m.	2:20 p.m.	Daily	Q400
June 16	Las Vegas-Salt Lake City	2:55 p.m.	5:23 p.m.	Daily	Q400

San Francisco-Salt Lake City
Start date	City pair	Departs	Arrives	Frequency	Aircraft
June 18	San Francisco-Salt Lake City	8:35 p.m.	11:20 p.m.	Daily	737
June 19	Salt Lake City-San Francisco	8 a.m.	8:50 a.m.	Daily	737

All times based on local time zones.

The routes will be operated with Alaska Airlines Boeing 737s and Horizon Air Bombardier DHC-8-402 (Q400) turboprop aircraft.

Alaska Airlines continues to expand in the Lower 48. However the name “Alaska” no longer properly describes its expanding operating area. Most of its flying is along the West Coast and from/to the Seattle/Tacoma hub in Washington State. The Eskimo tail logo no longer properly defines the operating area of the airline. The company has outgrown its original name when it was a niche airline flying from Portland and Seattle/Tacoma up to Alaska. A new more appropriate name and livery is probably in the works for 2014.

Alaska Airlines:

Horizon Air to add two Bombardier Q400 Alaska University logo planes for Alaska flying

Alaska Airlines (Seattle/Tacoma) and Horizon Air (Seattle/Tacoma) have issued this announcement:

Mascots and school colors from two of Alaska’s most beloved and heated collegiate rivals, the University of Alaska Anchorage and the University of Alaska Fairbanks, will soon be featured on two of Alaska Airlines’ Bombardier DHC-8-402 (Q400) turboprop aircraft. The colorful paint themes will be unveiled tonight (December 6) to a crowd of fans at the Sullivan Arena where the Alaska Nanooks and UAA Seawolf hockey teams will battle in the first of a four-game series to claim the Alaska Airlines Governor’s Cup.

“We’re thrilled to show Alaska Airlines’ strong support of education while growing our fleet of university paint themes with our first two schools in Alaska,” said Marilyn Romano, Alaska Airlines’ regional vice president – Alaska. “The UAA and UAF school colors will proudly fly between our two largest cities and from Anchorage to Kodiak.”

Like other university-themed aircraft operated for Alaska Airlines by its sister carrier, Horizon Air, the Nanook and Seawolf planes will be painted at no cost to the university and will fly primarily between Anchorage and Fairbanks and Anchorage and Kodiak when the carrier introduces the 76-seat DHC-8-402 (Q400) to the state of Alaska on March 3, 2014. The UAF and UAA planes will be painted and unveiled in February next year.

The UAF and UAA planes will be the 10th and 11th university-themed aircraft flown by Horizon Air since 2008. Other paint themes represent the universities of Idaho, Montana, Oregon and Washington, as well as Boise State, Montana State, Oregon State, San Diego State and Washington State. Alaska Airlines recently unveiled the “Spirit of Education” (see below). The specially-themed Boeing 737-900 ER was dedicated to the students and staff of Raisbeck Aviation High School located in Tukwila, Washington.

Above Images: The University of Alaska Anchorage (top-green tail) and University of Alaska Fairbanks (second from top-blue tail) colors will be featured on two university-themed Q400 aircraft. (PRNewsFoto/Alaska Airlines)

Alaska Airlines:

Horizon Air:

Alaska Horizon-Horizon Air:

Bottom Copyright Photo: Michael B. Ing/AirlinersGallery.com. Boeing 737-990 ER N403AS (msn 41730) with the special “Supporting Education Helping Dreams Soar” markings for the Raisbeck Aviation High School departs from Los Angeles International Airport.

Alaska Airlines gets ready to expand its ski flights network

Alaska Airlines (Seattle/Tacoma) is starting new nonstop flights between Portland, Oregon and Reno/Tahoe, California on November 8, between Seattle/Tacoma and Steamboat Springs, Colorado on December 18, and between San Diego and Mammoth, California, on December 19. This is addition to the airline’s increase in flights between Los Angeles and Mammoth, starting on December 1, and seasonal service from Seattle/Tacoma and Los Angeles to Sun Valley, Idaho, starting on December 14.

Several of the flights will be operated by Alaska Airlines’ regional partners Horizon Air (Alaska Horizon) (Seattle/Tacoma), using 76-seat Bombardier DHC-8-402s (Q400s), and SkyWest Airlines (Alaska SkyWest) (St. George, Utah), using 70-seat Bombardier CRJ700 regional jets.

Copyright Photo: Bruce Drum/AirlinersGallery.com. Horizon Air’s Bombardier DHC-8-402 (Q400) N417QX (msn 4086) taxies to the runway at the Seattle-Tacoma International Airport hub.

Alaska Airlines:

Alaska Horizon-Horizon Air:

Alaska Airlines launches new routes today

Alaska Airlines (Seattle/Tacoma) begins daily service between Boise, Idaho, and San Diego today, as the carrier celebrates 30 years of service to Boise Airport.

Summary of new service:

Start date	City pair	Departs	Arrives	Frequency
Nov. 1	Boise-San Diego	10:30 a.m.	11:40 a.m.	Daily
Nov. 1	San Diego-Boise	5:35 p.m.	8:45 p.m.	Daily

All times based on local time zones.

The flights will be operated by Alaska Airlines regional partners SkyWest Airlines (St. George) and Horizon Air (Seattle/Tacoma).

In other news, Alaska Airlines is also inaugurating daily service between Seattle/Tacoma and Colorado Springs, Colorado, starting today, and between Seattle/Tacoma and Omaha, Nebraska, starting on November 7.

Summary of new service:

Start date	City pair	Departs	Arrives	Frequency
Nov. 1	Seattle-Colorado Springs	6:20 p.m.	9:55 p.m.	Daily
Nov. 2	Colorado Springs-Seattle	8:00 a.m.	9:55 a.m.	Daily

Start date	City pair	Departs	Arrives	Frequency
Nov. 7	Seattle-Omaha	10:40 a.m.	3:45 p.m.	Daily
Nov. 7	Omaha-Seattle	4:15 p.m.	5:45 p.m.	Daily

Times based on local time zones.

Flights will be operated by SkyWest Airlines using 70-seat Bombardier CRJ700 regional jets.

Finally, Alaska Airlines is growing again in Portland, Oregon, with new nonstop flights between the Rose City and Tucson, Arizona, today, and between Portland and Reno/Tahoe, Nevada, starting on November 8.

Summary of new service:

Start date	City pair	Departs	Arrives	Frequency
Nov. 1	Portland-Tucson	9:15 a.m.	12:05**/1:05 p.m.	Daily
Nov. 1	Tucson-Portland	12:35**/1:45 p.m.	3:30**/3:40 p.m.	Daily

** Nov. 1 and Nov. 2 flight time differs due to daylight saving time adjustment.

Start date	City pair	Departs	Arrives	Frequency
Nov. 8	Portland-Reno	11:10 a.m.	12:45 p.m.	Daily
Nov. 8	Reno-Portland	1:15 p.m.	2:50 p.m.	Daily

All times based on local times zones.

Alaska Airlines’ Portland-Tucson flights will be operated by SkyWest Airlines using 70-seat CRJ700 regional jets (above). Portland-Reno/Tahoe flights will be flown for Alaska by Horizon Air using 76-seat Bombardier DHC-8-402s (Q400s).

Copyright Photo: Michael B. Ing/AirlinersGallery.com. Alaska SkyWest’s (SkyWest Airlines) Bombardier CRJ700 (CL-600-2C10) N217AG (msn 10031) climbs away from the Seattle-Tacoma International Airport hub.

Alaska Airlines:

Alaska SkyWest:

Alaska Air Group reports 3Q net income of $289 million

Alaska Air Group, Inc., (Alaska Airlines and Horizon Air) (Seattle/Tacoma) reported third quarter 2013 GAAP net income of $289 million, or $4.08 per diluted share, compared to $163 million, or $2.27 per diluted share in the third quarter of 2012. Excluding the impact of mark-to-market fuel hedge adjustments of $20 million ($12 million after tax, or $0.17 per diluted share), and a one-time special revenue item of $192 million ($120 million after tax, or $1.70 per diluted share) that primarily resulted from the application of new accounting rules associated with the modified affinity card agreement, the company reported record adjusted net income of $157 million, or $2.21 per diluted share, compared to adjusted net income of $150 million, or $2.09 per diluted share, in 2012.

“These results represent our best quarter ever and mark Alaska’s 18th consecutive quarterly profit,” Alaska Air Group CEO Brad Tilden said. “This is noteworthy given significant additional competition in some of our core markets. The balance and strength of our network combined with the ability of our people to respond quickly to changing business conditions are enabling us to succeed in this highly competitive industry.”

The following table reconciles the company’s reported GAAP net income and earnings per diluted share (EPS) during the third quarters of 2013 and 2012 to adjusted amounts:

	Three Months Ended September 30,
	2013				2012
(in millions, except per-share amounts)	Dollars		Diluted EPS		Dollars		Diluted EPS
Reported GAAP net income	$	289	$	4.08	$	163	$	2.27
Mark-to-market fuel hedge adjustments, net of tax	(12)		(0.17)		(13)		(0.18)
Special revenue item, net of tax	(120)		(1.70)		—		—
Non-GAAP adjusted income and per-share amounts	$	157	$	2.21	$	150	$	2.09

Financial Highlights:

Reported record third quarter net income, excluding special items, of $157 million, or $2.21 per diluted share, compared to adjusted net income of $150 million, or $2.09 per diluted share in the prior-year quarter. This quarter’s results compare to a First Call analyst consensus estimate of $2.14 per share.
Recorded net income for the third quarter under Generally Accepted Accounting Principles (GAAP) of $289 million or $4.08 per diluted share, compared to net income of $163 million, or $2.27 per diluted share in 2012.
Achieved trailing 12-month return on invested capital of 13.0 percent compared to 12.7 percent in the 12 months ended Sept. 30, 2012.
Lowered adjusted debt-to-total-capitalization ratio by 7.0 percentage points, to 47.0 percent, from Dec. 31, 2012.
Paid a $0.20 per-share quarterly cash dividend on August 22 totaling $14 million. This is the first time since 1992 that Alaska Air Group has paid a dividend.
Repurchased 537,008 shares of common stock for $32 million in the third quarter. For the year, the company has repurchased 1,454,790 shares for $83 million.
Modified the affinity card agreement with Bank of America and extended it through 2017, estimated to generate $55 million in additional cash flows on an annual basis.
Held $1.4 billion in unrestricted cash and marketable securities as of Sept. 30, 2013.

Operational Highlights:

Held the No. 1 spot in U.S. Department of Transportation on-time performance among the 10 largest U.S. airlines for the 12 months ended August 2013.
Named most fuel-efficient airline in the U.S. in a report released by the International Council on Clean Transportation.
Named Airline Industry Leader in the 2013 Temkin Customer Service Rankings.
Surpassed 1 million customer downloads of the Alaska Airlines mobile apps.
Began new routes between Portland and Atlanta and between Portland and Dallas.

Copyright Photo: Michael B. Ing/AirlinersGallery.com. Alaska Airlines’ Boeing 737-890 WL N560AS (msn 35179) in the “Spirit of the Islands” motif departs from Los Angeles.

Alaska Airlines:

Alaska Horizon-Horizon Air:

Horizon Air to use Q400 warm air bridges at Fairbanks, Alaska

Alaska Airlines (Seattle/Tacoma) has issued this statement for its Alaska Horizon (Horizon Air) Bombardier DHC-8-402 (Q400) cold weather operations in Fairbanks, Alaska:

Fairbanks residents flying on Alaska Airlines’ Bombardier Q400s starting next March will board and deplane the aircraft using the existing jet bridge at Fairbanks International Airport. The carrier will modify the jet bridge at Gate 1 to provide passengers with warm, easy access to their flights on the turboprop aircraft.

“We listened to customer concerns about boarding the plane outside during the winter and took our time to carefully evaluate all of our options,” said Marilyn Romano, Alaska Airlines’ regional vice president – Alaska. “With slight modifications to the existing jet bridge, our customers traveling between Fairbanks and Anchorage will have a way to board and deplane that protects them from the cold winter weather and is also safe and accessible for travelers with limited mobility.”

Alaska Airlines is exploring a warm boarding solution for customers boarding and deplaning the Q400 at Ted Stevens International Airport in Anchorage, Romano said.

Starting next March, Alaska will increase service between Anchorage and Fairbanks from seven to nine daily flights; eight flights will be operated with the Q400 and one with a Boeing 737. Additionally, the Q400 will replace an Alaska 737 on one of two daily round-trip flights between Anchorage and Kodiak. Initial service to Kodiak will begin March 3 and end April 30, then resume again for seasonal service between October and April.

Alaska Horizon:

Alaska Airlines:

Alaska Air Group achieves second quarter net income of $104 million

Alaska Air Group, Inc. (Alaska Airlines and Horizon Air – Alaska Horizon) (Seattle/Tacoma) today reported second quarter 2013 GAAP net income of $104 million, or $1.47 per diluted share, compared to $68 million, or $0.93 per diluted share in the second quarter of 2012. Excluding the impact of mark-to-market fuel hedge adjustments of $1 million, the company reported adjusted net income of $105 million, or $1.47 per diluted share, compared to adjusted net income of $111 million, or $1.53 per diluted share, in 2012.

“These results represent our 17th consecutive quarter of profitability and the second-best June quarter in our history. I want to thank our employees at Alaska and Horizon who are continuing to work hard to keep us safe and reliable, provide a great experience for our customers, and produce results that make Alaska a great place to invest,” CEO Brad Tilden said. “Although our quarterly results were down slightly, our financial performance continues to be very strong. This is why we were very pleased to recently announce the initiation of a quarterly dividend which, combined with our share repurchases, will be a key component of our capital deployment program.”

The following table reconciles the company’s reported GAAP net income and earnings per diluted share (EPS) during the second quarters of 2013 and 2012 to adjusted amounts:

	Three Months Ended June 30,
	2013				2012
(in millions, except per-share amounts)	Dollars		Diluted EPS		Dollars		Diluted EPS
Reported GAAP net income	$	104	$	1.47	$	68	$	0.93
Mark-to-market fuel hedge adjustments, net of tax	1		—		43		0.60
Non-GAAP adjusted income and per-share amounts	$	105	$	1.47	$	111	$	1.53

Top Copyright Photo: Brian McDonough/AirlinersGallery.com. Banking on its final approach, Alaska Airlines’ Boeing 737-890 N514AS (msn 35193) prepares to straighten up for landing at Washington (Reagan National).

Alaska Airlines:

Horizon Air:

Alaska Horizon:

Bottom Copyright Photo: Bruce Drum/AirlinersGallery.com. Horizon Air’s (Alaska Horizon) Bombardier DHC-8-402 (Q400) N436QX (msn 4236) exits the runway at Seattle-Tacoma International Airport.