EX-99.1 2 ex99110122017septembertraf.htm OCTOBER 12, 2017 TRAFFIC REPORT Exhibit


Exhibit 99.1
newheadera16.jpg
October 12, 2017


Contact:
 
Investor contact:
Media Relations
 
Matt Grady
(206) 304-0008
 
Director, Investor Relations
newsroom@alaskaair.com
 
(206) 392-5382


Alaska Air Group reports September 2017 operational results

SEATTLE — Alaska Air Group, Inc. (NYSE: ALK) today reported September and year-to-date operational results on a consolidated basis, for its mainline operations operated by subsidiaries Alaska Airlines, Inc. (Alaska) and Virgin America Inc. (Virgin America), and for its regional flying operated by subsidiary Horizon Air Industries, Inc. (Horizon) and third-party regional carriers SkyWest Airlines and Peninsula Airlines.

Air Group's acquisition of Virgin America took place on December 14, 2016. Operational results below include Virgin America results from pre-acquisition periods for comparison.

AIR GROUP
On a combined basis for all operations, Air Group reported an 8.4 percent increase in traffic on a 10.1 percent increase in capacity compared to September 2016. Load factor decreased 1.3 points to 82.9 percent.

The following table shows the operational results for September and year-to-date compared to the prior-year periods(1):
 
September
 
Year-to-Date
 
2017
 
2016
 
Change
 
2017
 
2016
 
Change
Revenue passengers (000)
3,543
 
3,384
 
4.7%
 
33,063
 
31,564
 
4.7%
Revenue passenger miles RPM (000,000) "traffic"
4,162
 
3,839
 
8.4%
 
39,072
 
36,669
 
6.6%
Available seat miles ASM (000,000) "capacity"
5,021
 
4,561
 
10.1%
 
46,169
 
43,548
 
6.0%
Passenger load factor
82.9%
 
84.2%
 
(1.3) pts
 
84.6%
 
84.2%
 
0.4 pts
(1)
2016 information has been adjusted to include Virgin America operating results for comparison.





ALASKA
Alaska reported a 9.1 percent increase in traffic on a 10.9 percent increase in capacity compared to September 2016. Load factor decreased 1.4 points to 83.1 percent. Alaska also reported 86.4 percent of its flights arrived on time in September 2017, compared to the 90.2 percent reported in September 2016.

The following table shows Alaska's operational results for September and year-to-date compared to the prior-year periods:
 
September
 
Year-to-Date
 
2017
 
2016
 
Change
 
2017
 
2016
 
Change
Revenue passengers (000)
2,068
 
1,911
 
8.2%
 
19,693
 
18,432
 
6.8%
RPMs (000,000)
2,742
 
2,513
 
9.1%
 
26,582
 
24,767
 
7.3%
ASMs (000,000)
3,298
 
2,973
 
10.9%
 
31,122
 
29,216
 
6.5%
Passenger load factor
83.1%
 
84.5%
 
(1.4) pts
 
85.4%
 
84.8%
 
0.6 pts
On-time arrivals as reported to U.S. DOT
86.4%
 
90.2%
 
(3.8) pts
 
82.0%
 
88.5%
 
(6.5) pts

VIRGIN AMERICA
Virgin America traffic increased 4.6 percent on a 5.5 percent increase in capacity compared to September 2016. Load factor decreased 0.7 points to 83.5 percent. Virgin America also reported 77.4 percent of its flights arrived on time in September 2017, compared to 82.3 percent in September 2016.

The following table shows Virgin America operational results for September and year-to-date compared to the prior-year periods:
 
September
 
Year-to-Date
 
2017
 
2016
 
Change
 
2017
 
2016
 
Change
Revenue passengers (000)
689
 
673
 
2.4%
 
6,182
 
6,028
 
2.6%
RPMs (000,000)
1,058
 
1,011
 
4.6%
 
9,463
 
9,101
 
4.0%
ASMs (000,000)
1,267
 
1,201
 
5.5%
 
11,274
 
10,820
 
4.2%
Passenger load factor
83.5%
 
84.2%
 
(0.7) pts
 
83.9%
 
84.1%
 
(0.2) pts
On-time arrivals as reported to U.S. DOT
77.4%
 
82.3%
 
(4.9) pts
 
67.2%
 
76.5%
 
(9.3) pts

REGIONAL
Regional traffic increased 14.9 percent on a 17.3 percent increase in capacity compared to September 2016. Load factor decreased 1.6 points to 79.6 percent. Alaska's regional partners also reported 82.7 percent of its flights arrived on time in September 2017, compared to 90.1 percent in September 2016.





The following table shows regional operational results for September and year-to-date 2017, compared to the prior-year periods:
 
September
 
Year-to-Date
 
2017
 
2016
 
Change
 
2017
 
2016
 
Change
Revenue passengers (000)
786
 
800
 
(1.8)%
 
7,188
 
7,105
 
1.2%
RPMs (000,000)
362
 
315
 
14.9%
 
3,027
 
2,801
 
8.1%
ASMs (000,000)
455
 
388
 
17.3%
 
3,772
 
3,512
 
7.4%
Passenger load factor
79.6%
 
81.2%
 
(1.6) pts
 
80.2%
 
79.8%
 
0.4 pts
On-time arrivals as reported to U.S. DOT
82.7%
 
90.1%
 
(7.4) pts
 
79.4%
 
87.5%
 
(8.1) pts

Alaska Airlines, together with Virgin America and its regional partners, flies 40 million guests a year to 118 destinations with an average of 1,200 daily flights across the United States and to Mexico, Canada, Costa Rica and Cuba. With Alaska and Alaska Global Partners, guests can earn and redeem miles on flights to more than 900 destinations worldwide. Alaska Airlines ranked “Highest in Customer Satisfaction Among Traditional Carriers in North America” in the J.D. Power North America Satisfaction Study for 10 consecutive years from 2008 to 2017. Learn more about Alaska’s award-winning service at newsroom.alaskaair.com and blog.alaskaair.com. Alaska Airlines, Virgin America and Horizon Air are subsidiaries of Alaska Air Group (NYSE: ALK).

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