EXHIBIT 18.1

LETTER FROM KPMG LLP REGARDING CHANGE IN ACCOUNTING PRINCIPLE

May 6, 2005

Alaska Air Group, Inc.
Seattle, Washington

Ladies and Gentlemen:

We have been furnished with a copy of the quarterly report on Form 10-Q of
Alaska Air Group, Inc. (the "Company") for the three months ended March 31,
2005, and have read the Company's statements contained in Note 2 to the
condensed consolidated financial statements included therein. As stated in Note
2, the Company changed its method of accounting for major airframe and engine
overhauls from the capitalize and amortize method to the direct expense method.
Under the new accounting method, overhaul costs are recognized as expense as
maintenance services are performed. Also, as stated in Note 2, the Company
believes that the newly adopted accounting principle is preferable because it
eliminates the judgment and estimation needed to determine overhaul versus
repair allocations in maintenance activities. Additionally, the Company's
approved maintenance program for the majority of its airframes now focuses more
on shorter, but more frequent, maintenance visits that result in a higher
portion of the work being repair activity. Management of the Company also
believes that the direct expense method is the predominant method used in the
airline industry. In accordance with your request, we have reviewed and
discussed with Company officials the circumstances and business judgment and
planning upon which the decision to make this change in the method of accounting
was based.

We have not audited any financial statements of the Company as of any date or
for any period subsequent to December 31, 2004, nor have we audited the
information set forth in the aforementioned Note 2 to the condensed consolidated
financial statements; accordingly, we do not express an opinion concerning the
factual information contained therein.

With regard to the aforementioned accounting change, authoritative criteria have
not been established for evaluating the preferability of one acceptable method
of accounting over another acceptable method. However, for purposes of the
Company's compliance with the requirements of the Securities and Exchange
Commission, we are furnishing this letter.

Based on our review and discussion, with reliance on management's business
judgment and planning, we concur that the newly adopted method of accounting is
preferable in the Company's circumstances.

Very truly yours,

(signed) KPMG LLP