Full year 2017 Fully Diluted Earnings per Share of $11.93
Full year 2017 Fully Diluted Earnings per Share Excluding Fourth Quarter Special Items¹ was $9.55
Fourth Quarter 2017 Fully Diluted Earnings per Share of $5.13
Fourth Quarter 2017 Fully Diluted Earnings per Share Excluding Fourth Quarter Special Items¹ was $2.71

LAS VEGAS, Jan. 31, 2018 (GLOBE NEWSWIRE) -- Allegiant Travel Company (NASDAQ:ALGT) today reported the following financial results for the full year as well as fourth quarter 2017, as well as comparisons to the prior year:

	Three Months Ended  December 31,									Twelve Months Ended  December 31,
Unaudited		2017			2016		Change				2017			2016		Change
Total operating revenue (millions)	$	378.6		$	335.9		12.7	%		$	1,503.8		$	1,362.8		10.3	%
Operating income (millions)	$	26.2		$	68.1		(61.6	)%		$	227.2		$	370.6		(38.7	)%
Adjusted operating income (millions)*	$	61.5		$	68.1		(9.7	)%		$	262.5		$	370.6		(29.2	)%
Net income (millions)	$	82.5		$	41.3		99.7	%		$	194.9		$	219.6		(11.2	)%
Adjusted net income (millions)*	$	43.7		$	41.3		5.8	%		$	156.1		$	219.6		(28.9	)%
Diluted earnings per share	$	5.13		$	2.48		106.9	%		$	11.93		$	13.21		(9.7	)%
Adjusted diluted earnings per share*	$	2.71		$	2.48		9.3	%		$	9.55		$	13.21		(27.7	)%

* - see appendix for reconciliation of non-GAAP financial measures

"We are proud to have produced another profitable year and our 60th consecutive profitable quarter," stated Maurice J. Gallagher, Jr., chairman and CEO of Allegiant Travel Company.  "We have achieved this record, even as oil climbed above $145 per barrel, and during one of the worst recessions in the country’s history.  Our positioning for the next 60 quarters is equally exciting.  Our transition to an all-Airbus fleet by the year end is progressing on schedule.  This return to a single fleet type will allow us to maintain the same corporate model and nimbleness we have shown in the past, able to react to both economic and competitive changes.  These industry-leading results would not have been possible without the hard work of our professional team members across all departments during the past 15 years."

Fourth quarter special items

• MD-80 write down in the fourth quarter was $35 million
  •  Impairment caused by the accelerated retirement of the MD-80 fleet
  
• Tax benefit - Received a one time tax benefit of approximately $74 million
  •  Remeasurement of deferred tax assets and liabilities due to the passage of the Tax Cuts and Jobs Act of 2017

Shareholder returns

• 2017 shareholder returns - Returned $132 million in 2017 through dividends and open market share repurchases
  •  Will pay dividends of $0.70 per share on March 16, 2018 to shareholders of record as of March 2, 2018
  •  Current share repurchase authority of $100 million as of January 31, 2018

Balance sheet update

• Additional secured debt - Raised $191 million, net of revolver payoff, in the fourth quarter
  •  Thirteen Airbus aircraft are unencumbered as of January 31, 2018

2018 outlook

• 2018 tax rate impact - 2018 effective tax rate is expected to be between 24 and 25 percent
• First quarter scheduled and system ASMs are expected to grow between ten and fourteen percent vs last year

Guidance, subject to revision
Full year 2018 guidance		Previous*				Current
Fuel cost per gallon		$2.17				$2.17
Available seat miles (ASMs) / gallon		77.5 to 79.5				77.5 to 79.5
Interest expense (millions)		$50 to $60				$50 to $60
Tax rate		37 to 38%				24 to 25%
Share count (millions)		15.9				15.9
Earnings per share		$8 to $10				$10 to $12
System ASMs - year over year change		11 to 15%				11 to 15%
Scheduled service ASMs - year over year change		11 to 15%				11 to 15%
Depreciation expense / aircraft / month (thousands)		$120 to $130				$120 to $130
Maintenance expense / aircraft / month (thousands)		$95 to $105				$95 to $105
Full year 2018 CAPEX guidance
Capital expenditures (millions) **		$290				$290
Capitalized Airbus deferred heavy maintenance (millions) ***		$45				$45

* - Previous guidance as of November 29, 2017
** - Excludes Sunseeker Resorts
*** - Not included in capital expenditure total

Aircraft fleet plan by end of period
Aircraft - (seats per AC)		YE17		1Q18		2Q18		3Q18		YE18
MD-80 (166 seats)		37		32		27		19		—
A319 (156 seats)		22		26		31		31		32
A320 (177/186 seats)		30		33		42		45		50
Total		89		91		100		95		82

Aircraft listed in table above include only in-service aircraft, planned retirements and future aircraft under contract (subject to change)

Allegiant Travel Company will host a conference call with analysts at 4:30 p.m. ET Wednesday, January 31, 2018 to discuss its full year and fourth quarter 2017 financial results. A live broadcast of the conference call will be available via the Company’s Investor Relations website homepage at http://ir.allegiant.com. The webcast will also be archived in the “Events & Presentations” section of the website.

Allegiant.®

Las Vegas-based Allegiant (NASDAQ:ALGT) is focused on linking travelers in small cities to world-class leisure destinations. The airline offers industry-low fares on an all-jet fleet while also offering other travel-related products such as hotel rooms and rental cars. All can be purchased only through the company website, Allegiant.com. Beginning with one aircraft and one route in 1999, the company has grown to more than 80 aircraft and 400 routes across the country with base airfares less than half the cost of the average domestic roundtrip ticket. For downloadable press kit, including photos, visit: http://gofly.us/iiFa303wrtF.

Media Inquiries: mediarelations@allegiantair.com

Investor Inquiries: ir@allegiantair.com

Under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, statements in this press release that are not historical facts are forward-looking statements. These forward-looking statements are only estimates or predictions based on our management's beliefs and assumptions and on information currently available to our management. Forward-looking statements include our statements regarding future expenses, ASM growth, departure growth, expected capital expenditures, number of contracted aircraft to be placed in service in the future, timing of aircraft retirements, as well as other information concerning future results of operations, business strategies, financing plans, industry environment and potential growth opportunities. Forward-looking statements include all statements that are not historical facts and can be identified by the use of forward-looking terminology such as the words "believe," "expect," “guidance,” "anticipate," "intend," "plan," "estimate", “project”, “hope” or similar expressions.

Forward-looking statements involve risks, uncertainties and assumptions. Actual results may differ materially from those expressed in the forward-looking statements. Important risk factors that could cause our results to differ materially from those expressed in the forward-looking statements generally may be found in our periodic reports filed with the Securities and Exchange Commission at www.sec.gov. These risk factors include, without limitation, an accident involving, or problems with, our aircraft, our reliance on our automated systems, limitation on growth as we transition to a single fleet type, risk of breach of security of personal data, volatility of fuel costs, labor issues and costs, the ability to obtain regulatory approvals as needed , the effect of economic conditions on leisure travel, debt covenants and balances, the ability to finance aircraft under contract, terrorist attacks, risks inherent to airlines, our competitive environment, our reliance on third parties who provide facilities or services to us, the possible loss of key personnel, economic and other conditions in markets in which we operate, the ability to successfully develop a hotel-condo project in Southwest Florida, governmental regulation, increases in maintenance costs and cyclical and seasonal fluctuations in our operating results.

Any forward-looking statements are based on information available to us today and we undertake no obligation to update publicly any forward-looking statements, whether as a result of future events, new information or otherwise.

Detailed financial information follows:

Allegiant Travel Company
Consolidated Statements of Income
(in thousands, except per share amounts)
(Unaudited)
	Three Months Ended December 31,										Percent
		2017					2016				change
OPERATING REVENUE:
Scheduled service revenue	$		202,359			$		185,325			9.2
Ancillary revenue:
Air-related charges		138,689					122,598				13.1
Third party products		13,313					10,458				27.3
Total ancillary revenue		152,002					133,056				14.2
Fixed fee contract revenue		14,588					9,282				57.2
Other revenue		9,609					8,220				16.9
Total operating revenue		378,558					335,883				12.7
OPERATING EXPENSES:
Aircraft fuel		92,863					74,363				24.9
Salary and benefits		94,291					80,789				16.7
Station operations		34,602					27,739				24.7
Maintenance and repairs		25,870					29,054				(11.0	)
Depreciation and amortization		29,142					29,254				(0.4	)
Sales and marketing		15,967					3,753				325.4
Other		24,402					22,813				7.0
Special charge		35,253					—				NM*
Total operating expense		352,390					267,765				31.6
OPERATING INCOME		26,168					68,118				(61.6	)
OTHER (INCOME) EXPENSE:
Interest income		(1,616		)			(908		)		78.0
Interest expense		11,659					7,269				60.4
Other, net		(305		)			(254		)		20.1
Total other (income) expense		9,738					6,107				59.5
INCOME BEFORE INCOME TAXES		16,430					62,011				(73.5	)
PROVISION FOR INCOME TAXES		(66,072		)			20,699				NM*
NET INCOME	$		82,502			$		41,312			99.7
Earnings per share to common shareholders (1):
Basic	$	5.13				$	2.49				106.0
Diluted	$	5.13				$	2.48				106.9
Weighted average shares outstanding used in computing earnings per share to common shareholders (1):
Basic		15,868					16,382				(3.1	)
Diluted		15,879					16,404				(3.2	)

*NM - Not meaningful
(1) The Company's unvested restricted stock awards are considered participating securities as they receive non-forfeitable rights to cash dividends at the same rate as common stock. The Basic and Diluted earnings per share calculations for the periods presented reflect the two-class method mandated by ASC Topic 260, "Earnings Per Share." The two-class method adjusts both the net income and the shares used in the calculation. Application of the two-class method did not have a significant impact on the Basic and Diluted earnings per share for the periods presented.

Allegiant Travel Company
Operating Statistics
(Unaudited)
	Three Months Ended December 31,								Percent
	2017				2016				change*
OPERATING STATISTICS
Total system statistics:
Passengers	3,077,039				2,717,769				13.2
Revenue passenger miles (RPMs) (thousands)	2,766,503				2,451,391				12.9
Available seat miles (ASMs) (thousands)	3,430,711				3,073,455				11.6
Load factor	80.6		%		79.8		%		0.8
Operating expense per ASM (CASM) (cents)**	10.27				8.71				17.9
Fuel expense per ASM (cents)	2.71				2.42				12.0
Operating CASM, excluding fuel (cents)**	7.56				6.29				20.2
ASMs per gallon of fuel	75.4				71.6				5.3
Departures	23,322				21,070				10.7
Block hours	53,224				48,191				10.4
Average stage length (miles)	872				868				0.5
Average number of operating aircraft during period	89.3				83.3				7.2
Average block hours per aircraft per day	6.5				6.3				3.2
Full-time equivalent employees at end of period	3,752				3,416				9.8
Fuel gallons consumed (thousands)	45,509				42,933				6.0
Average fuel cost per gallon	$	2.04			$	1.73			17.9
Scheduled service statistics:
Passengers	3,027,401				2,682,148				12.9
Revenue passenger miles (RPMs) (thousands)	2,717,524				2,416,503				12.5
Available seat miles (ASMs) (thousands)	3,284,429				2,954,118				11.2
Load factor	82.7		%		81.8		%		0.9
Departures	22,077				20,003				10.4
Block hours	50,764				46,225				9.8
Total scheduled service revenue per ASM (TRASM) (cents)***	10.79				10.78				0.1
Average fare - scheduled service	$	66.84			$	69.10			(3.3	)
Average fare - ancillary air-related charges	$	45.81			$	45.71			0.2
Average fare - ancillary third party products	$	4.40			$	3.90			12.8
Average fare - total	$	117.05			$	118.70			(1.4	)
Average stage length (miles)	881				879				0.2
Fuel gallons consumed (thousands)	43,392				41,237				5.2
Average fuel cost per gallon	$	2.02			$	1.70			18.8
Percent of sales through website during period	93.9		%		93.8		%		0.1

* Except load factor and percent of sales through website, which is percentage point change.
** These numbers reflect the special charge (impairment charge) in 2017. CASM without regard to the impairment charge is shown on Appendix A.
*** Various components of this measurement do not have a direct correlation to ASMs. These figures are provided on a per ASM basis to facilitate comparison with airlines reporting revenues on a per ASM basis.

Allegiant Travel Company
Consolidated Statements of Income
(in thousands, except per share amounts)
(Unaudited)
	Twelve Months Ended December 31,										Percent
		2017					2016				change
OPERATING REVENUE:
Scheduled service revenue	$		818,136			$		753,414			8.6
Ancillary revenue:
Air-related charges		546,476					499,542				9.4
Third party products		52,707					44,940				17.3
Total ancillary revenue		599,183					544,482				10.0
Fixed fee contract revenue		48,708					31,972				52.3
Other revenue		37,751					32,963				14.5
Total operating revenue		1,503,778					1,362,831				10.3
OPERATING EXPENSES:
Aircraft fuel		343,333					257,332				33.4
Salary and benefits		371,599					291,974				27.3
Station operations		142,581					124,052				14.9
Maintenance and repairs		113,481					111,070				2.2
Depreciation and amortization		121,713					105,216				15.7
Sales and marketing		52,711					20,527				156.8
Aircraft lease rentals		3,098					924				235.3
Other		92,840					81,178				14.4
Special charge		35,253					—				NM*
Total operating expense		1,276,609					992,273				28.7
OPERATING INCOME		227,169					370,558				(38.7	)
OTHER (INCOME) EXPENSE:
Interest income		(5,808		)			(3,010		)		93.0
Interest expense		38,990					28,836				35.2
Other, net		(1,559		)			(1,226		)		27.2
Total other (income) expense		31,623					24,600				28.5
INCOME BEFORE INCOME TAXES		195,546					345,958				(43.5	)
PROVISION FOR INCOME TAXES		644					126,368				(99.5	)
NET INCOME		194,902					219,590				(11.2	)
Earnings per share to common shareholders (1):
Basic	$	11.94				$	13.23				(9.8	)
Diluted	$	11.93				$	13.21				(9.7	)
Weighted average shares outstanding used in computing earnings per share to common shareholders (1):
Basic		16,073					16,465				(2.4	)
Diluted		16,095					16,489				(2.4	)

*NM - Not meaningful
(1) The Company's unvested restricted stock awards are considered participating securities as they receive non-forfeitable rights to cash dividends at the same rate as common stock. The Basic and Diluted earnings per share calculations for the periods presented reflect the two-class method mandated ASC Topic 260, "Earnings Per Share." The two-class method adjusts both the net income and shares used in the calculation. Application of the two-class method did not have a significant impact on the Basic and Diluted earnings per share for the periods presented.

Allegiant Travel Company
Operating Statistics
(Unaudited)
	Twelve Months Ended December 31,								Percent
	2017				2016				change*
OPERATING STATISTICS
Total system statistics:
Passengers	12,310,122				11,128,191				10.6
Revenue passenger miles (RPMs) (thousands)	11,106,772				10,282,827				8.0
Available seat miles (ASMs) (thousands)	13,612,003				12,375,505				10.0
Load factor	81.6		%		83.1		%		(1.5	)
Operating expense per ASM (CASM) (cents)**	9.38				8.02				17.0
Fuel expense per ASM (cents)**	2.52				2.08				21.2
Operating CASM, excluding fuel (cents)**	6.86				5.94				15.5
ASMs per gallon of fuel	73.0				71.6				2.0
Departures	93,061				82,341				13.0
Block hours	212,405				190,706				11.4
Average stage length (miles)	870				889				(2.1	)
Average number of operating aircraft during period	87.3				83.3				4.8
Average block hours per aircraft per day	6.7				6.3				6.3
Full-time equivalent employees at end of period	3,752				3,416				9.8
Fuel gallons consumed (thousands)	186,563				172,796				8.0
Average fuel cost per gallon**	$	1.84			$	1.49			23.5
Scheduled service statistics:
Passengers	12,138,146				11,003,864				10.3
Revenue passenger miles (RPMs) (thousands)	10,901,161				10,130,675				7.6
Available seat miles (ASMs) (thousands)	13,031,824				11,921,733				9.3
Load factor	83.7		%		85.0		%		(1.3	)
Departures	88,432				78,747				12.3
Block hours	202,752				183,290				10.6
Total scheduled service revenue per ASM (TRASM) (cents)***	10.88				10.89				(0.1	)
Average fare - scheduled service	$	67.41			$	68.47			(1.5	)
Average fare - ancillary air-related charges	$	45.02			$	45.40			(0.8	)
Average fare - ancillary third party products	$	4.34			$	4.08			6.4
Average fare - total	$	116.77			$	117.95			(1.0	)
Average stage length (miles)	876				895				(2.1	)
Fuel gallons consumed (thousands)	178,298				166,528				7.1
Average fuel cost per gallon**	$	1.83			$	1.48			23.6
Percent of sales through website during period	94.0		%		94.2		%		(0.2	)

* Except load factor and percent of sales through website, which is percentage point change.
** Includes effect of $8.3 million fuel tax refunds in the second quarter of 2016. Additionally, the CASM numbers reflect the special charge (impairment charge) in 2017. CASM without regard to the impairment charge is shown on Appendix A.
*** Various components of this measurement do not have a direct correlation to ASMs. These figures are provided on a per ASM basis to facilitate comparison with airlines reporting revenues on a per ASM basis.

Summary Balance Sheet

(millions)	12/31/2017				12/31/2016				Change
	(unaudited)
Unrestricted cash
Cash and cash equivalents	$	59.4			$	64.7			(8.2	)%
Short-term investments	352.7				269.3				31.0
Long-term investments	78.6				124.8				(37.0	)
Total unrestricted cash and investments	490.7				458.8				7.0
Debt
Current maturities of long-term debt, net of related costs	214.8				86.2				149.2
Long-term debt, net of current maturities and related costs	950.1				722.0				31.6
Total debt	1,164.9				808.2				44.1
Total Allegiant Travel Company shareholders’ equity	$	547.9			$	473.6			15.7	%

Summary Cash Flow

	Twelve Months Ended December 31,
Unaudited (millions)	2017				2016				Change
Cash provided by operating activities	$	384.8			$	346.9			10.9	%
Purchase of property and equipment, including capitalized interest*	580.2				325.2				78.4
Repurchase of common stock	90.5				66.4				36.3
Cash dividends paid to shareholders**	45.7				67.5				(32.3	)
Proceeds from the issuance of long-term debt	497.5				321.2				54.9
Principal payments on long-term debt	$	138.9			$	154.1			(9.9	)%

* Includes aircraft pre-delivery deposits.
** 2016 amount includes a special dividend declared in December 2015 and paid in January 2016.

Appendix A
Non-GAAP Presentations
Three and Twelve Months Ended December 31, 2017 and 2016
(Unaudited)

Adjusted operating income (also referred to as operating income excluding special item), adjusted net income (also referred to as net income as adjusted for special items), adjusted diluted earnings per share (also referred to as diluted earnings per share as adjusted for special items), total operating expense less special item and total operating expense less fuel and special item all eliminate the effect of the non-cash impairment charge for the accelerated retirement of the MD-80 fleet which is not reflective of our ongoing operating performance. As such, all of these are non-GAAP financial measures. The net income and earnings per share measures also eliminate the effect of the one-time adjustment to tax expense attributable to the Tax Cuts and Jobs Act of 2017.

The SEC has adopted rules (Regulation G) regulating the use of non-GAAP financial measures. Because of our use of non-GAAP financial measures in this press release to supplement our consolidated financial statements presented on a GAAP basis, Regulation G requires us to include in this press release a presentation of the most directly comparable GAAP measure, which is operating income, net income, earnings per share or operating expenses and a reconciliation of the non-GAAP measures to the most comparable GAAP measure. Our utilization of non-GAAP measurements is not meant to be considered in isolation or as a substitute for net income or other measures of financial performance prepared in accordance with GAAP. Neither adjusted operating income, adjusted net income, adjusted diluted earnings per share, total operating expenses less special item nor total operating expense less fuel and special item are GAAP measurements and our use of these measures may not be comparable to similarly titled measures employed by other companies in the airline and travel industry. The reconciliations of these measures to the most comparable GAAP measure for the periods indicated below follow.

Reconciliation of Non-GAAP Financial Measures

	Three Months Ended December 31,				Twelve Months Ended December 31,
	2017				2017
Reconciliation of operating income excluding special item (millions)
Operating income as reported (GAAP)	$	26.2			$	227.2
Special item:
Write down of MD-80 fleet	35.3				35.3
Operating income excluding special item*	61.5				262.5

	Three Months Ended December 31,				Twelve Months Ended December 31,
	2017				2017
Reconciliation of operating CASM, excluding special item (millions)
Total operating expense (GAAP)	$	352.4			$	1,276.6
Special item:
Write down of MD-80 fleet	35.3				35.3
Total operating expense less special item*	317.1				1,241.3
System available seat miles	3,430.7				13,612.0
Cost per available seat mile (cents) as reported	10.27				9.38
Cost per available seat mile excluding special item (cents)*	9.24				9.12

	Three Months Ended December 31,				Twelve Months Ended December 31,
	2017				2017
Reconciliation of operating CASM, excluding fuel and special item (millions)
Total operating expense (GAAP)	$	352.4			$	1,276.6
Less aircraft fuel expense	92.9				343.3
Total operating expense less fuel*	259.5				933.3
Special item:
Write down of MD-80 fleet	35.3				35.3
Total operating expense less fuel and special item*	224.2				898.0
System available seat miles	3,430.7				13,612.0
Cost per available seat mile (cents) as reported	10.27				9.38
Cost per available seat mile excluding fuel and special item (cents)*	6.54				6.60

	Three Months Ended December 31,				Twelve Months Ended December 31,
	2017				2017
Reconciliation of net income as adjusted for special items (millions)
Net income as reported (GAAP)	$	82.5			$	194.9
Special items:
Write down of MD-80 fleet	35.3				35.3
Less benefit related to tax reform	(74.1		)		(74.1		)
Net income as adjusted for special items*	43.7				156.1

	Three Months Ended December 31,				Twelve Months Ended December 31,
	2017				2017
Reconciliation of diluted earnings per share as adjusted for special items
Net income as reported (GAAP)	$	82.5			$	194.9
Net income as adjusted for special items (in millions)*	$	43.7			$	156.1
Diluted shares used for computation (thousands)	15,879				16,095
Diluted earnings per share as reported (per share) (GAAP)	$	5.13			$	11.93
Diluted earnings per share as adjusted for special items (per share)*	$	2.71			$	9.55

* Denotes Non-GAAP figure.

¹Special items include a charge for the MD-80 impairment and the tax benefit due to the passage of the Tax Cuts and Jobs Act of 2017. See appendix for reconciliation of non-GAAP financial measures.

Source: Allegiant Travel Company