The steady demand for our product in the face of fare increases indicates that the market currently is less price-sensitive that it has been in the past. It also tells us that we are hitting the mark in delivering customer value.

We're very pleased to report an adjusted net profit for what is seasonally our weakest quarter. Our people are working hard to provide excellent value for our customers and improve efficiency. Add to that a fare environment that allows us to recover a greater portion of our high fuel costs, and we've got a great start to the year.

Sacrifices by our employees, strong revenue performance and the benefit of our fuel hedging program enabled us to be one of only a couple of major airlines that posted a significant adjusted profit for 2005.

I want to say unequivocally that safety is our number one priority. Nothing will ever compromise that.

While this investment is substantial, it represents an important step toward ensuring our long-term competitiveness.

The Customer Service Legend Award is a long-standing tradition at Alaska Airlines. Recipients personify everything that has made Alaska Airlines great for nearly 75 years-a unique blend of spirit, resourcefulness, integrity, professionalism and caring.