SEATTLE--(BUSINESS WIRE)--Jan. 28, 2003--Alaska Airlines (NYSE:ALK) and the Transport Workers Union of America (TWU), representing the airlines' dispatchers, today jointly announced the conclusion of interest arbitration that settles outstanding points on a contract ratified in August.

The five-year contract covers the airlines' 29 dispatchers, all of whom are represented by TWU.

The arbitrator awarded a cost of living increase of 3 percent the first year of the contract and of 2 percent each of the following two years. The award also includes a shift differential and a longevity override.

All other points of the contract had been ratified previously.

Alaska's dispatchers are responsible for flight planning and monitoring the progress of each flight conducted by the airline from origin to destination. They are also the primary ground-to-air communication link with Alaska pilots providing en route weather, airport facility and other information.

Alaska Airlines is the nation's ninth largest airline with more than 11,000 employees. The Seattle-based airline serves more than 50 destinations in the United States, Canada and Mexico.

--30--KS/se*