Alaska Airlines and Horizon Air 2010 Annual Report Download - page 133

ITEM 2. PROPERTIES
AIRCRAFT
The following tables describe the aircraft we
operate and their average age at
December 31, 2010:
Aircraft Type
Passenger
Capacity Owned Leased Total
Average
Age in
Years
Alaska Airlines
Boeing:
737-400 .... 144 3 21 24 15.0
737-400C* . . 72 5 — 5 18.3
737-400F* . . — 1 — 1 11.8
737-700 .... 124 17 — 17 10.5
737-800 .... 157 45 10 55 3.1
737-900 .... 172 12 — 12 8.4
Total ..... 83 31 114 8.0
Horizon Air
Bombardier:
Q400 ...... 76 25 16 41 6.1
CRJ-700 .... 70 2 11 13 8.0
Total ..... 27 27 54 6.5
* C=Combination freighter/passenger; F=Freighter
Part II, Item 7, “Management’s Discussion and
Analysis of Financial Condition and Results of
Operations,” discusses future orders and
options for additional aircraft.
Most of our owned aircraft secure long-term debt
arrangements or collateralize our revolving credit
facility. See further discussion in “Liquidity and
Capital Resources.”
Alaska’s leased 737-400 and 737-800 aircraft
have lease expiration dates between 2012 and
2016, and between 2015 and 2021,
respectively. Horizon’s leased Q400 and
CRJ-700 aircraft have expiration dates in 2018
and between 2018 and 2020, respectively.
Horizon also has a Q400 aircraft on short-term
lease which expires in May 2011. Horizon also
has 16 leased Q200 aircraft and 3 leased
CRJ-700 aircraft that are subleased to third-party
carriers. Alaska and Horizon have the option to
extend most of the leases for additional periods,
or the right to purchase the aircraft at the end of
the lease term, usually at the then-fair-market
value of the aircraft.
Alaska completed its transition to an all-Boeing
operating fleet during 2008. Horizon expects to
complete its transition to an all-Q400 operating
fleet by June of 2011. The remaining 13 CRJ-700
aircraft will be leased or sub-leased to a third-
party carrier upon removal from the operating
fleet.
The following table displays the currently
anticipated fleet counts for Alaska and Horizon
as of the end of each quarter in 2011:
31-Mar-11 30-Jun-11 30-Sep-11 31-Dec-11
Alaska Airlines
737-400 .... 24 24 24 24
737-400C* . . 5 5 5 5
737-400F* . . 1 1 1 1
737-700 .... 17 17 17 17
737-800 .... 58 58 58 58
737-900 .... 12 12 12 12
Totals ........ 117 117 117 117
Horizon Air
Q400 ....... 46 48 48 48
CRJ-700 ..... 9 — — —
Totals ........ 55 48 48 48
* C=Combination freighter/passenger; F=Freighter
In January 2011, Alaska announced an
agreement with Boeing for 15 new B737 aircraft
with deliveries in 2012 through 2014. See
further discussion in “Aircraft Purchase
Commitments” under “Contractual Obligations
and Commitments”.
GROUND FACILITIES AND SERVICES
Alaska and Horizon lease ticket counters, gates,
cargo and baggage space, office space, and
other support areas at the majority of the
airports they serve. Alaska also owns terminal
buildings in various cities in the state of Alaska.
Alaska has centralized operations in several
buildings located at or near Seattle-Tacoma
International Airport (Sea-Tac) near Seattle, WA.
These include a five-bay hangar and shops
complex (used primarily for line maintenance), a
flight operations and training center, an air cargo
facility, an information technology office and
datacenter, an office building, and corporate
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ŠForm 10-K