Alaska Air Group, Inc. (Air Group) is a holding company with two principal subsidiaries: Alaska Airlines, Inc. (Alaska) and Horizon Air Industries, Inc. (Horizon). Through these subsidiaries, the Company provide passenger air service to approximately 25 million passengers per year to nearly 100 destinations. Alaska operates an all-jet fleet with an average passenger trip length of 1,051 miles. As of December 31, 2007, Alaska's operating fleet consisted of 115 jet aircraft. Horizon is a regional airline, operates turboprop and jet aircraft, and its average passenger trip is 386 miles. As of December 31, 2007, Horizon's operating fleet consisted of 21 jets and 49 turboprop aircraft. Alaska and Horizon integrate their flight schedules to provide connections between most points served by their systems.