Alaska Air Group, Inc. (NYSE: ALK)

Alaska Air Group Inc is a Delaware corporation that operates as a holding company for multiple airlines and related aviation services. The company owns Alaska Airlines Hawaiian Airlines Horizon Air and McGee Air Services among other subsidiaries. Its primary business activities involve the scheduled air transportation of passengers and cargo across domestic and international routes. Alaska Air Group Inc operates in the highly competitive airline industry providing transportation services throughout North America Latin America Asia and the Pacific.

Alaska Air Group Inc generates revenue primarily from transporting passengers which accounted for 90 percent of its total revenue in 2025. Additional revenue streams include loyalty program other revenue at six percent and cargo and other revenue at four percent. The company earns income from passenger fares cargo services on freighter and belly capacity aircraft and its unified Atmos Rewards loyalty program. Revenue is also derived from co branded credit card partnerships and ancillary services such as lounge memberships and travel insurance. The company serves a broad customer base including individual leisure and business travelers as well as corporate clients and cargo shippers.

The company operates through the following segments: Alaska and Hawaiian Regional and Other.

• Alaska and Hawaiian includes scheduled air transportation of passengers and cargo on Boeing 737 Boeing 787 Boeing 717 Airbus A330 Airbus A321neo and Airbus A330-300F aircraft throughout North America Latin America Asia and the Pacific.

• Regional includes scheduled air transportation of passengers on Horizon Air and third party carrier SkyWest on Embraer E175 aircraft throughout the western region of North America with all capacity sold to Alaska under capacity purchase agreements.

• Other includes McGee Air Services an aviation services provider established as a wholly owned subsidiary of Alaska in 2016 and other subsidiaries providing support services to the airline operations.

Alaska Air Group Inc is the fourth largest global carrier in the United States and the fifth largest provider of air transportation in the country. The company faces intense competition from major airlines including Delta Air Lines Inc Southwest Airlines and United Airlines particularly on routes to and from Seattle and within the state of Hawai'i. Its competitive advantages stem from a strong safety record a unified loyalty program Atmos Rewards membership in the one world alliance and a focus on operational efficiency and sustainable growth. The company's hubs in Seattle Honolulu Portland Anchorage Los Angeles San Diego and San Francisco provide extensive connectivity and its alliance partnerships expand access to over 900 destinations in 170 territories.

The company serves a diverse customer base consisting of leisure and business travelers individual passengers corporate clients and cargo shippers including Amazon.com Inc under an Air Transportation Services Agreement. Alaska Air Group Inc also serves residents of Alaska and Hawai'i through specialized loyalty programs such as Club 49 and Huaka'i by Hawaiian. The customer base includes passengers traveling to over 140 destinations across North America Latin America Asia and the Pacific with plans to expand to Europe beginning in spring 2026.