Alaska Air Group, Inc. is a holding company that, through its subsidiaries, Alaska Airlines, Inc. and Horizon Air Industries, Inc., is engaged in the provision of air transportation services. It operates through three segments: Alaska Mainline, Alaska Regional, and Horizon. The Alaska Mainline segment includes flying Boeing 737 aircraft and all associated revenue and costs. The Alaska Regional segment records actual onboard passenger revenue, less costs such as fuel, distribution costs, and payments made to Horizon, SkyWest, and PenAir under the respective Capacity Purchase Agreements. The Horizon segment operates Q400 turboprop aircraft. The company was founded in 1985 and is based in Seattle, WA.