I take subsidized by someone as getting them to pay x amount to fly specific cities or being financed by casinos like National was. We do much the same as expedia they allow us to sell their hotel rooms which we package with our flights and we get to share in the profit of booking the room for them. Allegiant operates as a travel company which owns an airline.
My brother has websites that sell Harley biker shirts he has a deal with Hotel's dot com and if someone books a hotel through one of his sites he gets 10% of the profit.
With allegiant and my brother they are getting paid for bringing the customer to their partner.
We also do rental cars.
Allegiant makes it money by booking vacation packages with Hotel,flights, and rental cars. We also sell eveything onboard, which includes things like Vegas Show Tickets.