McGee returned to the airline in 1937 and opened a liquor store, with the airline starting liquor delivery to remote areas of Alaska. That same year, Star Air Service acquired Alaska Interior Airlines, leading to its incorporation as Star Air Lines. Later in 1937, Star Air Lines was sold to a group of miners.
In 1938, the airline industry experienced the beginning of federal regulation with the establishment of the Civil Aeronautics Board (CAB). The CAB granted the airline the majority of the routes it desired in Alaska. However, the sought-after route connecting Seattle and Anchorage was given to Pan American Airways.
With the entry of the United States into World War II in December 1941, Alaska Airlines faced a shortage of pilots and financial and equipment constraints, often requiring pilots to pay for fuel themselves. The company also had multiple presidents during this time.
Raymond Marshall, a businessman from New York City, purchased Star Air Service in 1941.
In 1942, Star Air Service acquired three Alaskan airlines: Lavery Air Service, Mirow Air Service, and Pollack Flying Service. They also purchased a hangar at the Anchorage airport. That year, the airline underwent a name change to Alaska Star Airlines.
On May 2, 1944, the airline adopted the name Alaska Airlines, narrowly securing the name ahead of a competitor also vying for it. During the 1940s, Alaska Airlines had its headquarters in Anchorage.
Alaska Airlines hired its first stewardesses in 1945.
In 1947, James Wooten, a jockey, became the president of Alaska Airlines and initiated a period of significant expansion for the airline. Under his leadership, the company acquired numerous surplus military aircraft from the government that had been used during World War II, including Douglas DC-3s, Douglas DC-4s, and Curtiss-Wright C-46 Commandos. Alaska Airlines became the first airline to receive certification for operating DC-3s equipped with skis.
In 1949, Alaska Airlines lost its worldwide charter business and its operations were restricted to the state of Alaska due to CAB regulations and safety violations. The airline was prohibited from conducting worldwide charter flights, leading to the resignation of president James Wooten. Alaska Airlines relocated its base of operations to Paine Field, an airport located north of Seattle, while maintaining a branch office in Anchorage. This same year, Alaska Airlines introduced five Bell 47B helicopters to support oil exploration efforts on the North Slope, marking it as the first airline in Alaska to operate rotary-wing aircraft.
In 1949, Alaska Airlines played a significant role in Operation Magic Carpet, an initiative by the newly established state of Israel to airlift Jews from Yemen to Israel. Using C-46 or DC-4 aircraft, they transported approximately 49,000 Yemenite Jews over a nearly 3,000-mile journey, which was necessary to avoid flying over Arab nations. The flights originated in Eritrea, proceeded to Aden, then followed the Gulf of Aqaba to reach Tel Aviv. After disembarking the refugees, the crews promptly flew to Cyprus to minimize the risk of being bombed on the ground in Tel Aviv.
At the start of the 1950s, Alaska Airlines had lost its worldwide charter business. The airline acquired two smaller Alaskan airlines, Collins Air Service and Al Jones Airways, in 1950.
Despite significant growth under Raymond Marshall's ownership, the CAB removed him in 1951 due to ongoing financial difficulties. Marshall's primary focus was on personal financial gain rather than the long-term well-being of the airline. In 1951, the CAB awarded Alaska Airlines a temporary certificate to operate routes connecting Anchorage and Fairbanks in Alaska to Seattle and Portland in the contiguous United States.
The CAB appointed Nelson David as president in 1952. He initiated measures to improve the airline's financial stability.
In 1957, with Alaska Airlines in a more stable financial position, Nelson David left the company. Charles Willis Jr., a pilot during World War II, took over as the company's new president and CEO. Under his leadership, Alaska Airlines implemented novel marketing strategies that differentiated it from competitors. It became the first airline to offer in-flight movies. The airline also introduced the Douglas DC-6, its first pressurized aircraft, enabling flights above clouds and weather disturbances. These DC-6s featured the "Golden Nugget" service, which included an on-board saloon and a piano.
In 1957, Alaska Airlines was granted a permanent certificate for its routes connecting Alaska to the contiguous United States.
In 1961, Alaska Airlines countered competition by acquiring a Convair 880 jetliner for routes between Alaska and the contiguous United States. They also introduced the new jet aircraft that same year.
In December 1962, Alaska Airlines signed a contract with Air Guinée to provide management expertise and two Douglas DC-4s. The contract ended after six months.
Alaska Airlines owned Lockheed Constellation propliners, including two Lockheed L-1649A Starliners, from 1962 to 1968.
In 1965, Alaska Airlines transferred some routes between smaller Alaskan communities and some smaller aircraft to Wien Air Alaska, enabling them to focus on busier routes and sell off smaller aircraft.
Due to increased passenger loads in the spring of 1967, Alaska Airlines purchased a Convair 990 jetliner, formerly operated by Brazilian air carrier Varig, and added more Boeing 727-100s and stretched Boeing 727-200s to their fleet. They also became the first carrier to fly the Lockheed L-100 Hercules L382 model.
During Alaska's centennial celebration in 1967, Alaska Airlines introduced a "Gay Nineties" theme with stewardesses in Edwardian outfits. They also expanded service to Sitka in southeast Alaska.
In 1967, Alaska Air faced tough competition from airlines like Northwest Airlines and Pan Am. To stand out, they implemented creative gimmicks like rhyming safety instructions, fashion shows in the aisles, and onboard bingo games.
In 1968, Alaska Airlines acquired local southeast Alaska operator Alaska Coastal Airlines, adding Catalina and Grumman amphibian seaplane aircraft to their fleet.
In 1968, Alaska Airlines purchased two smaller airlines: Alaska Coastal Airlines and Cordova Airlines.
In the early 1970s, Alaska Airlines began Boeing 707 charter flights to Siberia in the Soviet Union, following three years of secret negotiations. They gained permission for over two dozen flights in 1970, 1971, and 1972.
On September 4, 1971, a Boeing 727-100 jetliner crashed while landing in Juneau, resulting in the deaths of 111 people. This tragic event became America's worst single-plane crash at the time.
In the early 1970s, Alaska Airlines began Boeing 707 charter flights to Siberia in the Soviet Union, following three years of secret negotiations. They gained permission for over two dozen flights in 1970, 1971, and 1972.
In the early 1970s, Alaska Airlines began Boeing 707 charter flights to Siberia in the Soviet Union, following three years of secret negotiations. They gained permission for over two dozen flights in 1970, 1971, and 1972.
Under Ronald Cosgrave's leadership, Alaska Airlines implemented major cuts and improved its image, achieving profitability in 1973 and beyond. The logo was changed to a smiling Inuit man, representing a fresh start for the airline.
In 1979, Alaska Airlines explored the possibility of acquiring and merging with Hughes Air West, but the plan did not materialize.
By 1979, Alaska Airlines faced increased competition on its core routes, with Northwest Airlines and Western Airlines flying wide-body DC-10 jets between Anchorage and Seattle, and Northwest also operating nonstop DC-10 service between Fairbanks and Seattle.
In 1981, Alaska Airlines continued its expansion by adding Burbank and Ontario to its network.
Alaska Airlines' attempt to purchase competitor Wien Air Alaska failed, resulting in fines and the liquidation of Wien Air in 1984.
MarkAir, a low-cost carrier, began operations in 1984. Initially, competition was limited due to feeder agreements with Alaska Airlines.
In June 1985, Alaska Airlines ended a three-month-long strike by its machinists by promising to reduce labor costs and improve relations with unions.
In November 1985, Alaska Airlines launched Gold Streak, a daily air-freight service to and from Alaska.
By 1985, Alaska Airlines had added several cities in the continental US to its route map, including Oakland and San Jose in California, Spokane in Washington, Boise in Idaho, and Phoenix and Tucson in Arizona.
In 1985, the Alaska Air Group was established as a holding company for Alaska Airlines.
Alaska Air Group acquired regional airline Horizon Air in 1986, which continued to operate as a separate brand.
In 1987, Alaska Airlines purchased Jet America Airlines and initially operated it separately. However, the operations were later merged into Alaska's, and flights to the Midwest and East Coast were discontinued.
To address seasonal imbalances in travel to Alaska, Alaska Airlines began serving Mexican resort cities Mazatlán and Puerto Vallarta in 1988, catering to winter travel demand.
In 1989, Alaska Airlines became the first airline to use a heads-up guidance system for better operation in foggy conditions.
In February 1990, Horizon Air was the first airline in the world to serve Starbucks coffee onboard its flights.
In May 1991, Bruce Kennedy retired after 19 consecutive years of profits for Alaska Airlines. Raymond J. Vecci succeeded him as the new leader of the airline.
In 1991, Alaska Airlines expanded its network to include Magadan and Khabarovsk in the Russian Far East, and Toronto, its first Canadian destination and first city east of the Rocky Mountains.
Alaska Airlines began scheduled operations to the Russian Far East in 1991 following the breakup of the Soviet Union.
After Alaska Air declined to purchase MarkAir in the fall of 1991, competition between the two airlines intensified.
Alaska Airlines received its first Boeing 737-400 in April 1992, as part of a lease agreement with International Lease Finance Corporation for 24 aircraft.
Alaska Airlines discontinued its service to Toronto in 1992.
In 1992, Alaska Airlines purchased passenger aircraft that would later be converted for cargo use.
Alaska Airlines saw its losses decrease to US$45 million in 1993, followed by a US$40 million profit the next year, with cargo operations contributing significantly to revenue.
Competition intensified further in 1993 when Southwest Airlines acquired Morris Air and entered the Pacific Northwest market. Alaska Airlines maintained its focus on cost control and customer service, promoting itself as "the last great airline" with the motto "For the same price, you just get more."
In 1995, CEO Vecci was dismissed and replaced with former Horizon Air CEO John Kelly. The airline expanded West Coast routes, taking advantage of the "open skies" agreement between the U.S. and Canada.
Alaska Airlines' MD-80 fleet reached its peak of 44 aircraft in 1996, reflecting the airline's growth and modernization efforts.
In the late 1990s, Alaska Airlines experienced high profitability, added new training and maintenance facilities, and began buying new Boeing 737s. In November 1997, they ordered three 737-700s and became the launch customer for the 737-900, ordering ten.
In 1997, William Ayer joined Alaska Airlines as president after spending 13 years at Horizon Air.
Alaska Airlines suspended service to the Russian Far East in 1998 following the 1998 Russian financial crisis.
Alaska Airlines ended its service to destinations in the Russian Far East in 1998.
Alaska Airlines's "Airport of the Future" concept, tested in Anchorage and Seattle, drew attention from other airlines. By April 1999, they were the first airline to integrate GPS and Enhanced Ground Proximity Warning System (EGPWS) technology, adding a real-time, 3D terrain display to all their Boeing 737-400s.
In 1999, Alaska Airlines began testing an X-ray device in Anchorage, allowing passengers to check their own baggage.
As Boeing 737 Next Generation aircraft deliveries began in 1999, Alaska Airlines launched more medium-haul flights.
By 2000, all Alaska Airlines planes carried automated external defibrillators for in-flight emergencies. They also installed self-service kiosks called "Instant Travel Machines" to print boarding passes, allowing customers to bypass ticket counters.
Alaska Airlines received its first Boeing 737-900 in May 2001.
In 2001, Alaska Airlines briefly operated a non-stop flight from Ronald Reagan Washington National Airport to Seattle under a slot exemption, but it was halted due to the September 11 attacks. Service to Reagan Airport resumed on December 4, 2001, to meet demand.
William Ayer, who had been president under John Kelly since 1997, was named CEO of Alaska Airlines in January 2002. He took over as chairman and CEO upon Kelly's retirement.
Alaska Airlines received the Technology Leadership Award from Air Transport World magazine in 2003 for its pioneering of new technologies in both airports and airplanes.
Since May 2005 (2005-05), the airline's baggage-handling operations have been outsourced to Menzies Aviation. This was in response to the rejection of a contract between IAM, the union which represented the baggage handlers, and Alaska Airlines. It saved the airline an estimated $13 million a year.
In 2005, Alaska Airlines outsourced many jobs, including ground crew positions, to Menzies Aviation, leading to a significant wage decline.
In 2005, due to the efficiency of the Boeing 737 Next Generation and rising costs, Alaska Airlines phased out its 26 MD-80s, replacing them with 737-800s. They unveiled a special "Spirit of Seattle" 737-800 with Boeing's colors to mark the all-Boeing fleet transition.
Virgin America, an airline based in the San Francisco Bay Area, launched in 2005 and quickly gained a devoted following. However, as a startup, it required several years to recoup start-up and expansion costs.
In June 2006, Alaska Airlines introduced five Boeing 737-400C combi aircraft and one 737-400F freighter to its fleet. These aircraft, originally purchased in 1992, were converted by Pemco Air Services.
In 2006, Alaska Airlines launched its buy-on-board meal program, on most flights over 2 1/2 hours. As part of the program, the airline offers various "Picnic Packs" for a charge in Premium Class and Main Cabin. Picnic packs feature products from West Coast companies including Beecher's Cheese, Tillamook Cheese, Tim's Cascade potato chips, and Alaskan Amber beer.
Menzies contractors gained a reputation for stealing from checked bags after several incidents in 2007.
The final MD-80 flights took place in August 2008, with one from San Jose to Seattle and another from Sacramento to Seattle.
In 2008, Alaska Airlines' agreement with Menzies Aviation was found to violate union agreements.
In March 2010, Alaska Airlines launched service from San Jose, California, to Kahului and Kona, Hawaii, and from Sacramento, California, to Kahului, Hawaii.
A partnership with Kenmore Air was resumed in 2023, first introduced in 2010.
William Ayer led Alaska Airlines through a transformation called Alaska 2010, aimed at shielding the airline from the industry's boom-bust cycle.
In January 2011, Alaska Airlines placed an order for thirteen 737-900ERs, with deliveries expected between 2012 and 2014. The order also included two 737-800s.
Alaska Airlines entered into a capacity purchase agreement with SkyWest Airlines, the nation's largest regional airline, starting in May 2011. SkyWest began operating several routes for Alaska under the brand "Alaska SkyWest".
In June 2011, Alaska Airlines became the first major airline to issue iPads to all of its pilots, replacing 25 pounds of paper flight manuals as part of their initiative to transition to an Electronic flight bag.
In November 2011, Alaska Airlines began a new program, called Club 49, exclusively for Mileage Plan members who are residents of Alaska. Benefits include free checked bags and email notifications about fare sales and discounts. The program has no joining fee and memberships are valid for a year after joining before they need to be renewed.
In November 2011, Alaska Airlines flew 75 commercial passenger flights in the U.S. powered by a 20 percent blend of sustainable biofuel made from used cooking oil.
Horizon Air transitioned from a separate regional airline to a capacity purchase agreement (CPA) model in 2011, retiring the Horizon Air brand and repainting planes with a co-branded "Alaska Horizon" livery.
In 2011, Alaska Airlines partnered with Boeing and Fujitsu to be the first airline to use Component Management Optimization, a new technology to streamline maintenance checks by allowing mechanics to use a handheld device to access information from RFID tags attached to aircraft parts.
On February 16, 2012, Bill Ayer, CEO of Alaska Airlines since 2002, retired after being credited with reducing costs and maintaining the airline's profitability.
On May 15, 2012, Brad Tilden, president of Alaska Airlines, took over as CEO, succeeding the retired Bill Ayer.
Alaska Airlines inaugurated service to Philadelphia from Seattle in June 2012.
In September 2012, Alaska Airlines commenced service to San Antonio.
Alaska Airlines launched a new route from San Diego to Orlando in October 2012.
In October 2012, Alaska Airlines placed its largest order ever, for a total of 50 Boeing 737s, consisting of 20 Boeing 737 MAX 8s, 17 Boeing 737 MAX 9s, and 13 Boeing 737-900ERs, in a deal worth US$5 billion at list prices.
Alaska Airlines launched the Component Management Optimization program in 2012, allowing for quicker and more efficient maintenance checks.
Alaska Airlines began taking delivery of the thirteen 737-900ERs ordered in January 2011.
In June 2013, Alaska Airlines announced plans to replace Boeing 737s on flights between Fairbanks and Anchorage with Bombardier Q400s, aiming to reduce operating expenses and lower fares, which was met with skepticism from Fairbanks residents concerned about safety and outside boarding during winter.
In March 2014, Alaska Airlines began using Bombardier Q400s, operated by Horizon Air, on flights between Fairbanks and Anchorage, as part of their plan to reduce operating costs.
In November 2014, Virgin America, seeking to provide quicker returns to its original investors, went public and began trading on Nasdaq. As the airline's profits increased, its stock price rose rapidly, climbing from $23 at the time of the IPO to nearly $30 per share within a year.
In 2014, Alaska Airlines expanded its nonstop service from Seattle to several new destinations, including Albuquerque, Baltimore, Detroit, New Orleans, Tampa, and Cancun, in response to Delta Air Lines' expansion of routes from Seattle.
Alaska Airlines received the final deliveries of the thirteen 737-900ERs ordered in January 2011.
In 2015, Alaska Airlines announced the addition of three new nonstop destinations from Seattle: Charleston, Nashville, and Raleigh-Durham, along with a flight between Los Angeles and Baltimore, all scheduled to commence in late 2015, utilizing their 737 aircraft.
In January 2016, Alaska Airlines revealed a major update to its brand for the first time in 25 years, which involved a new logo and livery. The new design featured a streamlined Alaska wordmark, a simplified Eskimo logo, and more colorful ruffs on the parka.
On December 14, 2016, Alaska Air Group finalized its acquisition of Virgin America for $57 per share, valuing the deal at $2.6 billion. Additional expenses brought the total cost to approximately $4 billion.
In late 2016, Alaska Airlines created a wholly owned subsidiary McGee Air Services, which competed with Menzies Aviation for ground handling contracts in select Alaska cities.
In November 2017, Alaska Airlines decided to revert to using only jet aircraft in Alaska, announcing the closure of its Horizon Airbase in Anchorage in March 2018.
In 2017, Alaska Airlines expanded its service to Indianapolis, introducing nonstop flights to Seattle in May and San Francisco in September.
In January 2018, the DOT issued a single operating certificate for the combined airlines.
In March 2018, Alaska Airlines shut down its Horizon Airbase in Anchorage, marking a return to an all-jet service within Alaska.
In April 2018, the airlines merged into the same passenger service system. This means that most customer-facing portions of the company, including flight numbers, website, mobile apps, and airport check-in kiosks, have a single brand: Alaska Airlines. Virgin America's final flight was also in April 2018.
In July 2018, Alaska Airlines updated much of the First Class menu inspired by the airlines' West Coast presence. New items served included Oregon's Salt and Straw Caramel Ribbon Ice Cream, brownies from Los Angeles-based Sweet Lady Jane, and pasta from Cucina Fresca, based in Seattle. New features included ordering food before flights to allow for meals ready upon seating.
In September 2018, Alaska Airlines discontinued its nonstop service between San Francisco and Indianapolis.
In September 2018, Alaska Airlines introduced nonstop service from Seattle to Pittsburgh.
The last Virgin America aircraft was repainted in June 2019.
Alaska Airlines began switching to a satellite-based system in the third quarter of 2019, which is available on all flights, including flights over the Atlantic and Pacific oceans.
The first Airbus leases from Virgin America expired in 2019.
In February 2020, Alaska Airlines announced its intention to join the Oneworld airline alliance.
As of February 2020, 126 of 241 aircraft have satellite WiFi installed. Alaska Airlines began switching to a satellite-based system in the third quarter of 2019, which is available on all flights, including flights over the Atlantic and Pacific oceans.
In April 2020, in response to route suspensions stemming from the COVID-19 pandemic, Alaska grounded 19 inherited Virgin America aircraft. 12 were permanently retired and the other 7 are unlikely to return to service. The airline used the pandemic-related flight reductions as an opportunity to retrain many Airbus pilots to fly the Boeing 737 instead.
In December 2020, Alaska Airlines agreed to buy 23 Boeing 737 MAX 9 jets.
In 2020, Alaska Airlines had over 16,000 employees and received recognition from J.D. Power and Associates for achieving the highest customer satisfaction among traditional airlines for twelve years in a row.
Due to the economic effects of the COVID-19 pandemic, Alaska Airlines announced that it would be reducing its number of employees by 30% in 2020. By the end of 2020, the firm cut around 7,000 job positions out of its 23,000 total.
On March 31, 2021, Alaska Airlines officially joined the Oneworld alliance, adding seven new airline partners, including Iberia, Malaysia Airlines, Qatar Airways, Royal Air Maroc, Royal Jordanian, S7 Airlines, and SriLankan Airlines.
More Airbus leases from Virgin America are set to expire between 2021 and 2024.
In May 2022, Alaska Airlines removed their inflight magazine, Alaska Beyond, and moved to an online blog due to COVID-19 cleaning procedures.
In August 2022, Alaska Airlines was reported to be an investor in Twelve, a sustainable aviation fuel (SAF) startup and chemical technology company based in Berkeley, California, that aims to make fuel out of carbon dioxide instead of things like organic vegetable oils. Twelve's E-Jet fuel would have 90% lower emissions than conventional fuel but not require changing existing aircraft. At proper scale, it would be cost-competitive with existing fuel and be helpful in allowing Alaska Airlines to meet emissions goals.
In October 2022, Alaska Airlines announced an agreement with Boeing to purchase 52 additional Boeing 737 MAX aircraft, the airline's largest aircraft order thus far.
In January 2023, Alaska Airlines announced that it had officially dropped plastic cups from its inflight food and beverage services, becoming the first U.S. airline to do so. The move is part of plans to replace its top five waste-producing items from onboard services by 2025.
In December 2023, the Alaska Air Group announced it planned to acquire Hawaiian Airlines for $1.9 billion, or $18 per share. Airline industry analysts had promoted the merger for years. The merger would provide Alaska, which is primarily a domestic carrier with narrowbody aircraft, with Hawaiian's widebody jets, pilots, and international networks. The deal, if approved by regulators, would retain both Alaska Airlines and Hawaiian Airlines as separate brands. Under the deal, Hawaiian Airlines would become a Oneworld member and the two airlines would operate a combined frequent-flier program.
In December 2023, Alaska Airlines revealed its plan to purchase Hawaiian Airlines for $1.9 billion.
In 2023, Alaska Airlines announced a partnership with Taiwan-based Starlux Airlines. Mokulele Airlines, a small commuter airline in Hawaii, and its parent company, Southern Airways Express, both became partner airlines in 2023. Porter Airlines, a Canadian airline, became a partner prior to starting service from Toronto to San Francisco, Los Angeles, and Las Vegas. A partnership with Kenmore Air was resumed in 2023, first introduced in 2010. Flights from Everett to the San Juan Islands became bookable on Alaska Airlines' website.
On April 17, 2024, the FAA announced a Ground Stop Advisory for Alaska Airlines, stopping all of the airline's flights. The FAA did not announce a reason for this.
More Airbus leases from Virgin America are set to expire between 2021 and 2024.
Alaska Airlines plans to replace its top five waste-producing items from onboard services by 2025.