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Alaska Airlines will acquire Hawaiian Airlines for $1.9 billion
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Both airlines will maintain their individual brands while integrating into a unified operating platform
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The merger will triple nonstop and one-stop destinations for Hawaii residents, offering a total of 138 destinations
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Honolulu set to become a key hub for Alaska Airlines, facilitating increased international connectivity for West Coast travelers
Alaska Airlines (ASA) will acquire Hawaiian Airlines (HAL) for $1.9 billion in cash, including $0.9 billion of the latter’s net debt.
Alaska Air Group and Hawaiian Holdings, Inc. signed the agreement which aims to offer more travel choices, expanding air service options globally.
Key agreement highlights include the preservation of both ASA and HAL brands but integrated into a single platform; an expanded product offering catering to diverse consumer segments; and complementary networks that open up travel options to 138 destinations, including 29 top international destinations.
The combined network will offer improved international connectivity through alliances like the oneworld Alliance.
Ben Minicucci, CEO of ASA, expressed enthusiasm about the collaboration, saying, “This combination is an exciting next step in our collective journey to provide a better travel experience for our guests and expand options for West Coast and Hawaii travelers.”
Minicucci emphasized the deep respect for HAL and their significant role as a top employer in Hawaii, highlighting the shared values grounded in caring for the places and people they serve.
Peter Ingram, president and CEO of HAL, echoed Minicucci’s sentiments, saying, “In ASA, we are joining an airline that has long served Hawaii, and has a complementary network and a shared culture of service. With the additional scale and resources that this transaction with ASA brings, we will be able to accelerate investments in our guest experience and technology, while maintaining the HAL brand.”
For Hawaii residents, the merger will triple the number of destinations throughout North America that can be reached nonstop or one stop from the Islands, while maintaining neighbor-island service and increasing air cargo capacity.
Honolulu is poised to become an ASA hub, facilitating greater international connectivity for West Coast travelers throughout the Asia-Pacific region.
The collaboration also benefits Hawaii by maintaining and growing union jobs, providing career opportunities, and investing in communities, all while aligning with environmental stewardship goals.
Regulatory approvals and shareholder agreement are expected in early 2024, with the deal closing in 12-18 months.
