Air Transport World

Alaska Airlines: America)(Financial report)

The largest unit of Alaska Air Group experienced a roller-coaster year, although with more ups than downs. The May 2005 decision to outsource ramp handling and fleet service at Seattle after it was unable to reach agreement with the International Assn. of Machinists on a new contract led to significant schedule disruptions during the transition period. In order to deal with the operational issues, it reduced capacity around 3% during the summer and fall, which contributed to a slight rise in CASM.

By year end, however, it appeared to have righted itself. At the parent company level it lost $5.9 million owing to an accounting change without which it would have had an annual profit of $84. …

Log in to your account to read this article – and millions more.