Alaska Air Group Reports January 2014 Operational Results; 3.1% Increase in Traffic; 3.3% Increase in Capacity YoY; 4% Increase in Revenue Passengers

Alaska Air Group Inc. (NYSE: ALK) today reported January operational results for its subsidiaries, Alaska Airlines and Horizon Air, and on a combined basis. Detailed information is provided below. ALASKA AIRLINES - MAINLINEAlaska reported a 3.1 percent increase in traffic on a 3.3 percent increase in capacity compared to January 2013. This resulted in a 0.1 point decrease in load factor to 83.3 percent. Alaska also reported a record 87.8 percent of its flights arrived on-time in January, compared to the 86.7 percent reported in January 2013. The following table shows Alaska's operational results for January 2014, compared to the prior-year period: January 2014 2013 Change Revenue passengers (in thousands) 1,537 1,478 4.0 % Revenue passenger miles RPM (in millions) 2,094 2,031 3.1 % Available seat miles ASM (in millions) 2,515 2,435 3.3 % Passenger load factor 83.3 % 83.4 % (0.1) pt On-time arrivals as reported to U.S. DOT 87.8 % 86.7 % 1.1 pts HORIZON AIRHorizon reported a 2.4 percent increase in traffic on a 3.6 percent increase in capacity compared to January 2013. This resulted in a decrease in load factor of 1.0 point, to 74.6 percent. Horizon also reported a record 86.8 percent of its flights arrived on-time in January, compared to the 85.1 percent reported in January 2013.The following table shows Horizon's operational results for January 2014, compared to the prior-year period: January 2014 2013 Change Revenue passengers (in thousands) 568 550 3.3 % RPMs (in millions) 170 166 2.4 % ASMs (in millions) 228 220 3.6 % Passenger load factor 74.6 % 75.6 % (1.0) pts On-time arrivals as reported to U.S. DOT 86.8 % 85.1 % 1.7 pts AIR GROUPOn a combined basis, Air Group reported a 3.4 percent increase in traffic on a 3.9 percent increase in capacity compared to January 2013. This resulted in a decrease in load factor of 0.3 points, to 82.4 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 January 2014, compared to the prior-year period: January 2014 2013 Change Revenue passengers (in thousands) 2,159 2,072 4.2 % RPMs (in millions) 2,313 2,236 3.4 % ASMs (in millions) 2,807 2,702 3.9 % Passenger load factor 82.4 % 82.7 % (0.3) pts Alaska Airlines, a subsidiary of Alaska Air Group (NYSE: ALK), together with its partner regional airlines, serves nearly 100 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 six consecutive years from 2008 to 2013. For reservations, visit www.alaskaair.com. For more news and information, visit the Alaska Airlines Newsroom at www.alaskaair.com/newsroom.