v3.26.1
Revenue from Contract with Customer
 6 Months Ended
Jun. 30, 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 June 30,Six Months Ended June 30,
(in millions)2026202520262025
Passenger ticket revenue, net of taxes and fees$3,079 $2,832 $5,505 $5,184 
Passenger ancillary revenue177 162 324 302 
Loyalty program passenger revenue388 361 735 677 
Total Passenger revenue$3,644 $3,355 $6,564 $6,163 

The table below presents the Company's passenger revenue by principal geographic region (as defined by the U.S. Department of Transportation). Domestic passenger revenue includes operations in the U.S. 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, and Asia. Atlantic passenger revenue includes operations in Europe beginning in the second quarter of 2026.
Three Months Ended June 30,Six Months Ended June 30,
(in millions)2026202520262025
Domestic$3,336 $3,061 $5,935 $5,523 
Latin America131 166 318 380 
Pacific137 128 271 260 
Atlantic40 — 40 — 
Total Passenger revenue$3,644 $3,355 $6,564 $6,163 

Loyalty Program Revenue

Loyalty program revenue included in the condensed consolidated statements of operations:
Three Months Ended June 30,Six Months Ended June 30,
(in millions)2026202520262025
Loyalty program passenger revenue$388 $361 $735 $677 
Loyalty program other revenue258 210 485 417 
Total Loyalty program revenue$646 $571 $1,220 $1,094 
Cargo and Other Revenue

Cargo and other revenue included in the condensed consolidated statements of operations:
Three Months Ended June 30,Six Months Ended June 30,
(in millions)2026202520262025
Cargo revenue$77 $67 $136 $124 
Other revenue86 72 180 137 
Total Cargo and other revenue$163 $139 $316 $261 

Air Traffic Liability and Deferred Revenue

Passenger ticket and ancillary services liabilities

The Company recognized Passenger revenue of $207 million and $211 million from the prior year-end air traffic liability balance for the three months ended June 30, 2026 and 2025, and $991 million and $1.1 billion from the prior year-end air traffic liability balance for the six months ended June 30, 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 $168 million of such receivables as of June 30, 2026 and $154 million as of December 31, 2025.

The table below presents a roll forward of the total loyalty program liability. A HawaiianMiles transfer program with American Express was active in the first six months of 2025 and terminated on June 30, 2025.
Six Months Ended June 30,
(in millions)20262025
Total Deferred Revenue balance at January 1$3,433 $3,256 
Loyalty points and companion certificate redemption - Passenger revenue(656)(655)
Loyalty points redeemed on partner airlines - Loyalty program other revenue(106)(119)
Increase in liability for loyalty points issued859 990 
Total Deferred Revenue balance at June 30$3,530 $3,472