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The Eskimo Catches a Cold: Alaska Airlines, a profit superstar for years, is suddenly feeling ill. What’s happening?

Alaska Airlines

The Eskimo Catches a Cold: Alaska Airlines, a profit superstar for years, is suddenly feeling ill. What’s happening?

May 21st, 2018

1 min read

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Issue Summary

As recently as last year’s second quarter, Alaska Airlines was America’s most profitable airline. Its extraordinary 23% operating margin for the spring period didn’t surprise anyone. It was, after all, the most profitable nonultra-low-cost carrier (in other words, aside from all but Spirit and Allegiant) every single year from 2010 through 2016. Alaska would end up with excellent results for all of 2017 too—a 17% operating margin, topped only by Hawaiian and (barely) Allegiant.

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