Alaska Airlines and Horizon Air 2009 Annual Report Download - page 46

As of December 31, 2009, non-employee directors each held 3,335 fully vested deferred stock units. See
discussion of these awards in Note 10 to the Company’s Consolidated Financial Statements included as part
of the Company’s 2009 Annual Report filed on Form 10-K with the SEC and incorporated herein by reference.
Alaska Air Group directors do not participate in any non-equity incentive compensation plans, nor do they
participate in a nonqualified deferred compensation plan. Directors do not receive pension benefits for their
service.
(3) As part of each director’s compensation, the Non-Employee Director and the Non-Employee Director’s spouse
were provided transportation on Alaska Airlines and Horizon Air. Included in the All Other Compensation column
for each Non-Employee Director is the incremental cost to the Company of providing these benefits, as well as
the value of each director’s (and his or her spouse’s) membership in the Company’s airport Boardroom
program. Positive-space travel is a benefit unique to the airline industry. By providing this travel without tax
consequences to Non-Employee Directors, the Company is able to deliver a highly valued benefit at a low cost,
and believes this benefit encourages Non-Employee Directors to travel, thus enhancing their connection to the
Alaska Airlines and Horizon Air products and services.
In 2009, each director were given Alaska Airlines “North of Expected” promotional items at a value of $36.82
each.
In addition, the All Other Compensation column includes the value of reimbursements for taxes on the
transportation benefits provided to each director as quantified below:
Director
Value of
Taxes Paid
($)
Patricia M. Bedient 1,906
Phyllis J. Campbell 10,692
Mark R. Hamilton 12,890
Jessie J. Knight, Jr. 1,132
R. Marc Langland 17,283
Dennis F. Madsen 5,445
Byron I. Mallott 21,028
J. Kenneth Thompson 14,837
(4) Amount reported for Mr. Knight includes California state tax reimbursement provided in connection with his
transportation benefit.
CODE OF CONDUCT AND ETHICS
The Company has adopted a Code of
Conduct and Ethics that applies to all
employees of the Company, including our
CEO, CFO, principal accounting officer and
persons performing similar functions. The
Code of Conduct and Ethics is located on
the Company’s internet website at
http://www.alaskaair.com and is available
in print to any stockholder who requests it.
Information on the Company’s website,
however, does not form a part of this proxy
statement. The Company intends to disclose
any amendments (other than technical,
administrative or non-substantive
amendments) to, and any waivers from, a
provision of the Code of Conduct and Ethics
for directors or executive officers on the
Company’s internet website.
30