Traffic wholly inside Alaska or flights that start or end in Alaska and land or take off from the lower 48 or Hawaii are 21% of Alaska Air's business and that number continues to fall. The only path Alaska has to growth is from the West Coast to markets in Texas, the Midwest and the East. Without acquiring Virgin, they were doomed to shrink and then get gobbled up by Delta. This move ensures their survival and keeps Alaskans with a viable competitor.

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