Founded in 1997 and commencing operations in June 1998, Allegiant Airlines is an ultra-low-cost carrier specializing in scheduled and charter flights. It holds the status of being North America's fourteenth-largest commercial airline company.

Allegiant Airlines is wholly owned by Allegiant Travel Company, a publicly-traded entity with over 4,000 employees and a market capitalization exceeding $2.6 billion in 2016. The corporate headquarters of the airline are situated in Summerlin, Nevada.

History

Originally founded as WestJet Express in January 1997 by Mitch Allee, Jim Patterson, and Dave Beadle, the airline underwent a name change to Allegiant Air after losing a trademark dispute with WestJet Air Center in Rapid City. It received FAA and US DOT certification and secured authority for charter services to Mexico and Canada.

1990s

The airline commenced scheduled services on October 15, 1998, operating between Las Vegas and its original hub in Fresno, utilizing Douglas DC-9-21 and McDonnell Douglas DC-9-51 jetliners. By the latter half of 1999, Allegiant Air offered nonstop flights connecting Las Vegas, Burbank, Lake Tahoe, and Fresno.

2000s

Expanding its reach, Allegiant Air established a small hub in Long Beach, California in 2000, introducing nonstop flights to Fresno and Las Vegas, in addition to services from Long Beach to Lake Tahoe, Portland, Oregon, and Reno. The company filed for Chapter 11 Bankruptcy protection in 2000, ultimately leading to the involvement of Maurice J. Gallagher Jr., a major creditor and influential figure in the airline industry.

Exiting bankruptcy in the fall of 2001, Allegiant Air signed a long-term contract with Harrah's in March 2002 to provide charter services to casinos in Laughlin and Reno. During this period, the airline also acquired its first McDonnell Douglas MD-80 jetliner.

In May 2005, Allegiant Travel, the airline's holding company, successfully completed a private equity placement worth $39.5 million. Preparations for a planned public offering of common stock led to the filing of a registration statement with the Securities and Exchange Commission in November 2006.

By 2006, Allegiant Air operated a fleet of 21 MD-80s, providing nonstop services to and from 40 smaller cities, primarily connecting to its hub in Las Vegas. In October 2007, the airline inaugurated its fourth focus city and operations base at Phoenix-Mesa, serving 13 cities, including a new addition to the Phoenix metropolitan area.

Allegiant also expanded further, opening its fifth focus city on November 14, 2007. In January 2008, it established its sixth base in Bellingham, Washington. The 2010s witnessed continued growth as the airline celebrated one million passengers departing from Phoenix-Mesa Gateway Airport in January 2010 and opened its ninth base at Gerald R. Ford International Airport in February 2010.

Corporate Affairs

Allegiant Airlines operates as a wholly owned subsidiary of its holding company, Allegiant Travel Company, which is publicly traded on NASDAQ.

Business Models

The airline primarily caters to leisure travelers, especially those residing in colder northern climates seeking warm-weather tourist destinations such as Tampa Bay, Las Vegas, Orlando, Los Angeles, and Punta Gorda. Allegiant also serves smaller destinations with limited direct flights offered by major carriers. In markets like Illinois and Peoria, the airline provides commuter services requiring connections at airline hubs.