Alaska Air Group Announces 3.0 Million Share Offering.

SEATTLE--(BUSINESS WIRE)--Nov. 17, 1997--Alaska Air Group, Inc. (NYSE: ALK) announced that it plans to offer 3.0 million shares of its common stock.

The company expects to complete the transaction in early December.

Proceeds from the sale of the common stock will be added to working capital and used for general corporate purposes. The managing underwriters for the offering will be Merrill Lynch and Morgan Stanley Dean Witter.

The offering will be made under the company's existing shelf registration statement which has been declared effective by the Securities and Exchange Commission. These securities may not be sold nor may offers to buy be accepted without the delivery of a prospectus supplement and prospectus.

This communication shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any State in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such State.

Alaska Air Group is the Seattle-based holding company for Alaska Airlines, Inc. and Horizon Air Industries, Inc., which together serve 75 cities in Alaska, Mexico, Canada, Russia and seven Western states.

CONTACT: Alaska Air Group

Jack Evans, 206/433-3134

Lou Cancelmi, 206/433-3170