Alaska Air Group reports second quarter 2017 net income of US$296m

Alaska Air Group reported net income for the second quarter under Generally Accepted Accounting Principles (GAAP) of US$296m, compared to net income of US$260m in 2016. As the acquisition of Virgin America closed on Dec. 14, 2016, second quarter 2017 information reflects the results of Virgin America, including the impacts associated with purchase accounting. Second quarter 2016 results do not include Virgin America. Second quarter net income, excluding merger-related costs and mark-to-market fuel hedging adjustments, was US$312m, compared to US$263m in the second quarter of 2016. Alaska Air Group generated approximately US$1.1bn of operating cash flow and used approximately US$512m for capital expenditures, resulting in US$572m of free cash flow in the second quarter of 2017.