Alaska Airlines and Hawai`i BioEnergy Sign Agreement for the Carrier to Purchase Sustainable Fuel

   Alaska Airlines and Hawai`i BioEnergy Sign Agreement for the Carrier to
                          Purchase Sustainable Fuel

Hawaiian Island-based consortium of landowners pioneering production of
bio-based fuels

PR Newswire

HONOLULU, July 24, 2013

HONOLULU  , July 24, 2013 /PRNewswire/ --Alaska Airlines and Hawai`i
BioEnergy LLC announced today they have signed an agreement for the carrier to
purchase sustainable biofuel for its aircraft. Founded in 2006, Hawai`i
BioEnergy is a consortium of three of Hawaii's largest landowners and three
venture capital companies who plan to use locally grown feedstocks to produce
biofuels.

Alaska Airlines is Hawai`i BioEnergy's second customer, and the first airline
to sign a contract. Hawaiian Electric Co. previously announced it had agreed
to purchase 10 million gallons of fuel a year from Hawai`i BioEnergy for power
generation to the state, pending approval by the Hawaii Public Utilities
Commission. Hawai`i BioEnergy will ramp up production of the sustainable fuels
within five years of regulatory approval, allowing Alaska Airlines to begin
procuring sustainable jet fuel for its Hawaii flights possibly as soon as fall
2018.

"We are pleased to be partnering with Hawai`i BioEnergy to encourage the
production and commercial distribution of sustainable fuels," said Keith
Loveless, Alaska Air Group's executive vice president and general counsel.
"Beyond the environmental advantages, it improves the fuel supply integrity in
the state of Hawaii, which will allow for the further growth of our airline
operations throughout the Islands."

"Alaska Airlines shares our goals of environmental responsibility and our
commitment to sustainable, local energy production," said Joel Matsunaga,
executive vice president and chief operating officer of Hawai`i BioEnergy.
"The development and commercialization of local, renewable energy is of
critical importance to Hawaii, given the state imports 95 percent of its
energy needs. Use of locally grown feedstocks for biofuel production will
improve Hawaii's energy sustainability and security while creating jobs in our
communities."

The feedstock for the biofuel is anticipated to be woody biomass-based and
will be consistent with the sustainability criteria established by the
Roundtable for Sustainable Biofuels, an international multi-stakeholder
initiative concerned with ensuring the sustainability of biomass production
and processing.

Alaska Airlines has reduced its carbon footprint intensity by 30 percent
(measured by revenue passenger miles) since 2004. In 2011, Alaska Airlines and
Horizon Air were the first domestic airlines to fly multiple passenger flights
powered by a biofuel blend.

Alaska Airlines, a subsidiary of Alaska Air Group (NYSE: ALK), together with
its partner regional airlines, serves 95 cities through an expansive network
in Alaska, the Lower 48, Hawaii, Canada and Mexico. Alaska Airlines has ranked
"Highest in Customer Satisfaction Among Traditional Network Carriers" in the
J.D. Power and Associates North America Airline Satisfaction Study^SM for six
consecutive years from 2008 to 2013. For reservations, visit
www.alaskaair.com. For more news and information, visit the Alaska Airlines
Newsroom at www.alaskaair.com/newsroom.

Hawai`i BioEnergy LLC (HBE) is a consortium established by three of Hawaii's
largest landowners: Kamehameha Schools, Grove Farm Company Inc., and Maui Land
& Pineapple Inc., along with venture capital partnerships including Vinod
Khosla, Ulupono Initiative and Finistere Ventures. HBE's mission is to
contribute to a sustainable energy future for the state of Hawai`i through the
production of bio-based liquid fuels, power and other valuable co-products
from locally grown feedstocks. For more information, visit
www.hawaiibioenergy.com.

SOURCE Alaska Airlines

Website: http://www.alaskaair.com
Contact: Marianne Lindsey, Alaska Airlines, (206) 392-5101; or Joel Matsunaga,
Hawai`i BioEnergy, (808) 534-7777
 
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