ALASKA AIR GROUP, INC.

Alaska Air Group announced the activation phase of its 'Alaska Accelerate' strategic plan during its Investor Day. The company has captured approximately two-thirds of its $1 billion incremental profit target and is focusing on enhancing premium experiences, expanding global connectivity with at least 15 intercontinental destinations by 2030, and diversifying revenue streams. Key initiatives include new premium cabin products 'Aurora' and 'Leihōkū', an expanded Atmos Rewards loyalty program, and significant investments in cargo operations. These moves aim to build a more global, premium, and diversified airline with stronger earnings power.

Alaska Air Group reported a net loss of $76 million for the second quarter of 2026, a significant decline from the $172 million net income in the prior year, despite a 9.7% increase in total operating revenue to $4.07 billion. For the first six months, the company posted a net loss of $269 million. The company also issued $1 billion in new debt through senior notes and a term loan, while repurchasing $250 million in common stock. An accrual of $43 million was made for a legal dispute regarding the Virgin trademark license agreement.

Alaska Air Group reported a GAAP net loss of $76 million, or $0.68 per share, for the second quarter of 2026, primarily due to an 85% year-over-year increase in fuel costs to $4.43 per gallon. Despite the fuel headwind, total revenue grew 10% to $4.1 billion, and the company achieved significant operational milestones including the completion of a single passenger service system for Alaska and Hawaiian Airlines and the launch of new international routes. Looking ahead, the company expects a meaningful inflection in financial performance, forecasting Q3 adjusted earnings per share between $0.00 and $1.00, with low double-digit RASM growth and low to mid-single-digit CASMex increase.

Alaska Air Group announced the promotion of Shane Tackett to President of Alaska Airlines, effective June 29, 2026, while he retains his role as CFO. This expanded leadership role includes responsibility for the commercial division and aims to strengthen the company's leadership team as it executes its "Alaska Accelerate" plan and integrates Hawaiian Airlines. In connection with this promotion, Mr. Tackett's annual base salary increased to $692,804, and his target annual cash incentive opportunity rose to 105% of base salary, with a long-term incentive award target of $3,000,000.

Alaska Air Group, Inc. announced the appointment of G. Michael Sievert, former CEO of T-Mobile, to its Board of Directors, effective June 1, 2026. Sievert will serve on the Safety and Innovation Committees and on the boards of the Company's airline subsidiaries. His appointment increased the board size from 10 to 11 members, and he qualifies as an independent director. Sievert brings a strong track record of value creation and customer focus from his time at T-Mobile, where he significantly grew the company's market value.

Alaska Air Group, Inc. announced the pricing of a private offering of $500 million aggregate principal amount of 6.5% senior notes due 2031 by its subsidiary, Alaska Airlines, Inc. These notes will be fully and unconditionally guaranteed by the Company. Additionally, an indirect wholly owned subsidiary expects to incur a new incremental tranche of $500 million senior secured term loans, secured by collateral related to Alaska's customer loyalty program. The proceeds from both financings are intended for general corporate purposes, with closing expected around May 12, 2026.

Alaska Air Group reported a net loss of $(193) million for the first quarter of 2026, an increase from $(166) million in the prior year, with basic loss per share at $(1.69). Despite external headwinds like increased fuel prices and reduced demand in key leisure markets, total operating revenue grew 5% to $3.3 billion. The company also expanded its co-branded credit card partnership with Bank of America and amended its Air Transportation Services Agreement with Amazon, enhancing loyalty program and cargo economics.

Alaska Air Group, Inc. announced the launch of a private offering of $500 million aggregate principal amount of senior notes due 2031 by its subsidiary, Alaska Airlines, Inc. The notes will be fully and unconditionally guaranteed on a senior unsecured basis by Alaska Air Group. Alaska Airlines intends to use the net proceeds from the offering for general corporate purposes.

Alaska Air Group, Inc. amended its Revolving Credit Facility on April 20, 2026, significantly increasing the aggregate commitment amount to approximately $1.1 billion from $850 million. This facility, with Alaska Airlines, Inc. as borrower and Air Group and Hawaiian Airlines, Inc. as guarantors, provides enhanced financial flexibility. The terms of the facility otherwise remain largely unchanged.