Horizon to shed brand flying in favor of an all-CPA model
Seattle-based Horizon Air will end all its so-called “branded” flying under a plan to move to a 100-percent capacity purchase agreement (CPA) model startin
Seattle-based Horizon Air will end all its so-called “branded” flying under a plan to move to a 100-percent capacity purchase agreement (CPA) model starting January 1. As a result, Alaska Air Group’s other subsidiary, Alaska Airlines, will assume complete responsibility for managing Horizon’s route network, along with all the risk associated with marketing and selling seats on the airline’s fleet of Bombardier Q400 turboprops and CRJ700s.
Today, only about 43 percent of Horizon’s schedule falls under a CPA with Alaska. Under that agreement, Alaska pays a fee to Horizon for each departure it completes, pays for Horizon’s fuel and covers various operating costs.
