Alaska Airlines and Horizon Air 2010 Annual Report Download - page 124

Mr. Johnson joined Alaska Airlines in 1982,
became Vice President/Controller and Treasurer
of Horizon Air Industries in 1991 and Vice
President/Customer Services in 2002. He
returned to Alaska Airlines in 2003 where he has
served in several roles, including Vice President/
Finance and Controller and Vice President/
Finance and Treasurer. He served as Senior Vice
President/Customer Service—Airports from
January 2006 through April 2007 and in April
2007, he was elected Executive Vice President/
Airports and Maintenance and Engineering. He
was elected Executive Vice President/Finance
and Chief Financial Officer of Alaska Air Group
and Alaska Airlines in December 2008. He was
elected President of Horizon Air Industries in
June 2010. He is a member of Air Group’s
Management Executive Committee.
Mr. Minicucci joined Alaska Airlines in 2004 as
Staff Vice President of Maintenance and
Engineering and was promoted to Vice President
of Seattle Operations in June 2008. In December
2008 he was elected Executive Vice President/
Operations and Chief Operating Officer of Alaska
Airlines. He is a member of Air Group’s
Management Executive Committee.
Ms. Dobbs joined Alaska Airlines in 1987,
became Staff Vice President/Human
Resources—Staffing and Development in 2004,
Vice President/Human Resources—Strategy,
Culture and Inclusion in June 2007, and Vice
President/Human Resources and Labor
Relations in 2009. She is a member of Air
Group’s Management Executive Committee.
REGULATION
GENERAL
The airline industry is highly regulated.
The Department of Transportation (DOT), the
Federal Aviation Administration (FAA) and the
Transportation Security Administration (TSA)
exercise significant regulatory authority over air
carriers.
•DOT: In order to provide passenger and
cargo air transportation in the U.S., a
domestic airline is required to hold a
certificate of public convenience and
necessity issued by the DOT. Subject to
certain individual airport capacity, noise and
other restrictions, this certificate permits an
air carrier to operate between any two points
in the U.S. Certificates do not expire, but
may be revoked for failure to comply with
federal aviation statutes, regulations, orders
or the terms of the certificates. In addition,
the DOT has jurisdiction over the approval of
international codeshare agreements,
alliance agreements between domestic
major airlines, international route authorities
and certain consumer protection matters,
such as advertising, denied boarding
compensation and baggage liability.
International treaties may also contain
restrictions or requirements for flying
outside of the U.S.
•FAA: The FAA, through Federal Aviation
Regulations (FARs), generally regulates all
aspects of airline operations, including
establishing personnel, maintenance and
flight operation standards. Domestic airlines
are required to hold a valid air carrier
operating certificate issued by the FAA.
Pursuant to these regulations we have
established, and the FAA has approved, our
operations specifications and a
maintenance program for each type of
aircraft we operate. The maintenance
program provides for the ongoing
maintenance of such aircraft, ranging from
frequent routine inspections to major
overhauls. From time to time the FAA issues
airworthiness directives (ADs) that must be
incorporated into our aircraft maintenance
program and operations. All airlines are
subject to enforcement actions that are
brought by the FAA from time to time for
alleged violations of FARs or ADs. At this
time, we are not aware of any enforcement
proceedings that could either materially
affect our financial position or impact our
authority to operate.
•TSA: Airlines serving the U.S. must hold a
TSA-approved Aircraft Operator Standard
Security Program (AOSSP), and comply with
TSA Security Directives (SDs) and
regulations. Airlines are subject to
enforcement actions that are brought by the
TSA from time to time for alleged violations
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