Alaska Air Group works diligently to meet post-merger goals

Alaska Air Group's merger with Virgin America was one of the more seamless in US aviation history from an integration perspective, and with the combination largely complete, Alaska is now working to reach its long term margin and leverage targets.

With the exception of Hawaii, the company is also benefitting from an overall positive pricing environment and has raised its unit revenue outlook for 3Q3019. Alaska is also reaping benefits from new revenue initiatives, including segmented fares and other ancillary products, as it works to deliver an ancillary performance that mirrors its larger network peers.

Alaska also appears to be benefitting from some stabilisation in highly contested transcontinental markets; however the airline is cutting some mid- and transcontinental routes as it works to maximise the overall profitability of its network.