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Revenue from Contract with Customer | 3 Months Ended
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Mar. 31, 2026
Revenue from Contract with Customer [Abstract] |
REVENUE | REVENUE Ticket revenue is recorded as Passenger revenue, and represents the primary source of the Company's revenue. Also included in Passenger revenue is passenger ancillary revenue such as bag fees, on-board food and beverage, and certain revenue from the Atmos™ Rewards loyalty program. Loyalty program other revenue includes brand and marketing revenue from the Atmos Rewards co-branded credit cards and other partners, and certain interline loyalty program revenue, net of commissions. Cargo and other revenue consists of freight and mail revenue, services provided to Amazon under the Air Transportation Services Agreement (ATSA), and to a lesser extent, other ancillary revenue products such as lounge membership and certain commissions. In the first quarter of 2026, Alaska entered into a multi‑year extension and expanded partnership with its co-branded credit card bank partner, Bank of America, and amended its ATSA with Amazon. Performance obligations under the amended agreements are consistent with prior arrangements. The level of detail within the Company’s condensed consolidated statements of operations and in this note depict the nature, amount, timing, and uncertainty of revenue and how cash flows are affected by economic and other factors. Certain prior period amounts in this note have been revised by an immaterial amount. Passenger Revenue Passenger revenue recognized in the condensed consolidated statements of operations:
| Three Months Ended March 31, |  |
(in millions) | 2026 |  | 2025 |  |  |  |
Passenger ticket revenue, net of taxes and fees | $ | 2,426 |  |  | $ | 2,352 |  |  |  |  |
Passenger ancillary revenue | 147 |  |  | 140 |  |  |  |  |
Loyalty program passenger revenue | 347 |  |  | 316 |  |  |  |  |
Total Passenger revenue | $ | 2,920 |  |  | $ | 2,808 |  |  |  |  |
Domestic passenger revenue includes operations in the U.S., including Neighbor Island routes and Canada. Latin America passenger revenue includes operations in Mexico, Costa Rica, Guatemala, and Belize. Pacific passenger revenue includes operations in the South Pacific, Australia, New Zealand, and Asia. The table below presents the Company's passenger revenue by principal geographic region (as defined by the U.S. Department of Transportation):
| Three Months Ended March 31, |  |
(in millions) | 2026 |  | 2025 |  |  |  |
Domestic | $ | 2,599 |  |  | $ | 2,462 |  |  |  |  |
Latin America | 187 |  |  | 214 |  |  |  |  |
Pacific | 134 |  |  | 132 |  |  |  |  |
Total Passenger revenue | $ | 2,920 |  |  | $ | 2,808 |  |  |  |  |
Loyalty Program Revenue Loyalty program revenue included in the condensed consolidated statements of operations:
| Three Months Ended March 31, |  |
(in millions) | 2026 |  | 2025 |  |  |  |
Loyalty program passenger revenue | $ | 347 |  |  | $ | 316 |  |  |  |  |
Loyalty program other revenue | 227 |  |  | 207 |  |  |  |  |
Total Loyalty program revenue | $ | 574 |  |  | $ | 523 |  |  |  |  |
Cargo and Other Revenue Cargo and other revenue included in the condensed consolidated statements of operations:
| Three Months Ended March 31, |  |
(in millions) | 2026 |  | 2025 |  |  |  |
Cargo revenue | $ | 59 |  |  | $ | 57 |  |  |  |  |
Other revenue | 94 |  |  | 65 |  |  |  |  |
Total Cargo and other revenue | $ | 153 |  |  | $ | 122 |  |  |  |  |
Air Traffic Liability and Deferred Revenue Passenger ticket and ancillary services liabilities The Company recognized Passenger revenue of $784 million and $887 million from the prior year-end air traffic liability balance for the three months ended March 31, 2026 and 2025. Loyalty program assets and liabilities The Company records a receivable for amounts due from affinity card partners and from other partners as loyalty points are sold until the payments are collected. The Company had $147 million of such receivables as of March 31, 2026 and $154 million as of December 31, 2025. The table below presents a roll forward of the total loyalty program liability:
| Three Months Ended March 31,
(in millions) | 2026 |  | 2025
Total Deferred Revenue balance at January 1 | $ | 3,433 |  |  | $ | 3,256 |
Loyalty points and companion certificate redemption - Passenger revenue | (311) |  |  | (307) |
Loyalty points redeemed on partner airlines - Loyalty program other revenue | (51) |  |  | (49) |
Increase in liability for loyalty points issued | 410 |  |  | 414 |
Total Deferred Revenue balance at March 31 | $ | 3,481 |  |  | $ | 3,314 |

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- Definition The entire disclosure of revenue from contract with customer to transfer good or service and to transfer nonfinancial asset. Includes, but is not limited to, disaggregation of revenue, credit loss recognized from contract with customer, judgment and change in judgment related to contract with customer, and asset recognized from cost incurred to obtain or fulfill contract with customer. Excludes insurance and lease contracts. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 7 -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-7 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 9 -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-9 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 10 -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-10 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 15 -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-15 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-12 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-12 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (c) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-12 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-12 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 12 -Subparagraph (e) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-12 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Topic 606 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 13 -Subparagraph (b)(2) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479806/606-10-50-13 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Name Accounting Standards Codification -Topic 606 -Publisher FASB -URI https://asc.fasb.org/606/tableOfContent + Details
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