Operating segment information is as follows (in millions):



	Three Months Ended June 30, 2013
	Alaska
	Mainline			Regional			Horizon			Consolidating			Air Group Adjusted^(a)			Special Items			Consolidated
Operating revenues
Passenger
Mainline	$	896		$	—		$	—		$	—		$	896		$	—		$	896
Regional				192			—			—			192			—			192
Total passenger revenues	896			192			—			—			1,088			—			1,088
CPA revenues	—			—			91			(91		)	—						—
Freight and mail	29			1			—			—			30			—			30
Other-net	120			16			2			—			138			—			138
Total operating revenues	1,045			209			93			(91		)	1,256			—			1,256

Operating expenses
Operating expenses, excluding fuel	569			149			84			(92		)	710			—			710
Economic fuel^(b)	327			44			—			—			371			1			372
Total operating expenses	896			193			84			(92		)	1,081			1			1,082

Nonoperating income (expense)
Interest income	4			—			—			—			4			—			4
Interest expense	(9		)	—			(4		)	(1		)	(14		)	—			(14		)
Other	6			(1		)	1			(1		)	5			—			5
	1			(1		)	(3		)	(2		)	(5		)	—			(5		)
Income (loss) before income tax	$	150		$	15		$	6		$	(1	)	$	170		$	(1	)	$	169



	Three Months Ended June 30, 2012
	Alaska
	Mainline			Regional		Horizon			Consolidating			Air Group Adjusted^(a)			Special Items			Consolidated
Operating revenues
Passenger
Mainline	$	863		$	—	$	—		$	—		$	863		$	—		$	863
Regional	—			188		—			—			188			—			188
Total passenger revenues	863			188		—			—			1,051			—			1,051
CPA revenues	—			—		89			(89		)	—			—			—
Freight and mail	30			1		—			—			31			—			31
Other-net	115			15		2			—			132			—			132
Total operating revenues	1,008			204		91			(89		)	1,214			—			1,214

Operating expenses
Operating expenses, excluding fuel	532			139		83			(89		)	665			—			665
Economic fuel^(b)	317			46		—			—			363			70			433
Total operating expenses	849			185		83			(89		)	1,028			70			1,098

Nonoperating income (expense)
Interest income	4			—		—			1			5			—			5
Interest expense	(12		)	—		(4		)	(1		)	(17		)	—			(17		)
Other	5			—		—			—			5			—			5
	(3		)	—		(4		)	—			(7		)	—			(7		)
Income (loss) before income tax	$	156		$	19	$	4		$	—		$	179		$	(70	)	$	109



	Six Months Ended June 30, 2013
	Alaska
	Mainline			Regional			Horizon			Consolidating			Air Group Adjusted^(a)			Special Items			Consolidated
Operating revenues
Passenger
Mainline	$	1,692		$	—		$	—		$	—		$	1,692		$	—		$	1,692
Regional	—			374			—			—			374			—			374
Total passenger revenues	1,692			374			—			—			2,066			—			2,066
CPA revenues	—			—			186			(186		)	—			—			—
Freight and mail	54			2			—			—			56			—			56
Other-net	234			31			3			—			268			—			268
Total operating revenues	1,980			407			189			(186		)	2,390			—			2,390

Operating expenses
Operating expenses, excluding fuel	1,116			296			173			(187		)	1,398			—			1,398
Economic fuel^(b)	650			90			—			—			740			13			753
Total operating expenses	1,766			386			173			(187		)	2,138			13			2,151

Nonoperating income (expense)
Interest income	9			—			—			—			9			—			9
Interest expense	(21		)	—			(7		)	(1		)	(29		)	—			(29		)
Other	11			(1		)	1			(1		)	10			—			10
	(1		)	(1		)	(6		)	(2		)	(10		)	—			(10		)
Income (loss) before income tax	$	213		$	20		$	10		$	(1	)	$	242		$	(13	)	$	229



	Six Months Ended June 30, 2012
	Alaska
	Mainline			Regional		Horizon			Consolidating			Air Group Adjusted^(a)			Special Items			Consolidated
Operating revenues
Passenger
Mainline	$	1,586		$	—	$	—		$	—		$	1,586		$	—		$	1,586
Regional	—			361		—			—			361			—			361
Total passenger revenues	1,586			361		—			—			1,947			—			1,947
CPA revenues	—			—		176			(176		)	—			—			—
Freight and mail	53			2		—			—			55			—			55
Other-net	218			29		4			—			251			—			251
Total operating revenues	1,857			392		180			(176		)	2,253			—			2,253

Operating expenses
Operating expenses, excluding fuel	1,051			276		161			(175		)	1,313			—			1,313
Economic fuel^(b)	611			90		—			—			701			50			751
Total operating expenses	1,662			366		161			(175		)	2,014			50			2,064

Nonoperating income (expense)
Interest income	9			—		—			1			10			—			10
Interest expense	(25		)	—		(8		)	—			(34		)	—			(34		)
Other	10			—		1			—			11			—			11
	(6		)	—		(7		)	1			(13		)	—			(13		)
Income (loss) before income tax	$	189		$	26	$	12		$	—		$	226		$	(50	)	$	176


^(a)	The adjusted column represents the financial information that is reviewed by management to assess performance of operations and determine capital allocations and does not include certain charges.


^(b)	Represents adjustments to reflect the timing of gain or loss recognition resulting from mark-to-market fuel-hedge accounting.

Total assets were as follows (in millions):



	June 30, 2013			December 31, 2012
Alaska^(a)	$	5,582		$	5,177
Horizon	868			823
Parent company	2,070			1,832
Elimination of inter-company accounts	(2,668		)	(2,327		)
Consolidated	$	5,852		$	5,505


^(a)	There are no assets associated with purchased capacity flying at Alaska.