SEATTLE--(BUSINESS WIRE)--July 27, 2001--Horizon Air has reached a tentative contract agreement with the union representing its pilots.

The agreement was reached early this morning in Washington, D.C., after the most recent round of talks with pilot negotiators and the International Brotherhood of Teamsters, which represents Horizon's pilots. The negotiations were mediated by the National Mediation Board.

The agreement is subject to a ratification vote among the pilots. A voting schedule has not yet been announced and contract details are not being made public.

"This agreement, which follows other successful negotiations with represented employee groups, underscores our commitment to providing all employees with a total compensation package that is competitive within the regional airline industry," said George Bagley, Horizon president and CEO. "It's this philosophy that enables us to retain and attract highly qualified employees," said Bagley.

"I can't think of a better way to mark Horizon's upcoming 20th anniversary," said Bagley. "This is extremely good news for all Horizon employees, our customers, and the communities we serve. Once this contract is ratified, we will be able to fully focus our attention on growing and improving Horizon, which is at a crucial juncture in its fleet transition. By this time next year, we should have one of the youngest, most efficient regional airline fleets in the sky."

Horizon serves 40 cities throughout five states and two provinces in Canada. Horizon Air and Alaska Airlines are subsidiaries of Alaska Air Group, Inc. For more information, visit http://newsroom.horizonair.com.

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