Alaska Airlines to acquire Hawaiian Airlines

Though as you said, there are some costs including training, signage changes and IT updates.

HA is going to be run as if it was part of AS (one airline, two brands). So those won't be an issue.

Definitely won't be oneworld connect. It will be affiliate, like Qantaslink or BA Cityflyer.

However like with US Airways, I predict it will be marketed as a full member (ie gets its tail on various signs & promos) as it does enhance the oneworld brand to have an extra member. But as it is subordinate to AS, it will function as an affiliate. This is especially true as AS will hold the combined loyalty system.
 
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Reading that US regulatory would potentially take at least 12-18months (potentially longer) to get approval.
 
HA just quit HND. Won’t be much of an international network left at this rate.

HA has the remaining US night slots, which have historically not worked well for the US carriers (at least from the US mainland). It is the only night slots for HND that the US retained after they handed back the rest in 2019 in exchange for the current day slots.
UA is already asking for them to fly from Guam.
 
HA just quit HND. Won’t be much of an international network left at this rate.

Doesn't necessarily mean leaving TYO though. Also are they returning all their HND slots? Says they're returning 7 slots, i thought they had more than that.

HA also has NRT flights so they may shift their focus there and use JL codeshare more for HND.
 
Doesn't necessarily mean leaving TYO though. Also are they returning all their HND slots? Says they're returning 7 slots, i thought they had more than that.

HA also has NRT flights so they may shift their focus there and use JL codeshare more for HND.

Ah yeah I misread the article, they are still retaining the daytime slots in HND (I think 2x daily). They're handing back the daily night time slots.
 
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The US went into the last HND slot allocation in 2019 with 1 night slot and 5 day slots, having returned the other 3 night slots for the day slots in the 2016 round.
They were given 12 additional day slots in 2019.

They went into 2019 with:
AA 1
DL 2
UA 1
HA 2 (inc night slot)

In the 2019 allocation, they got
DL 5
UA 4
AA 2
HA 1

DL was forced to give up one of their slots, which was awarded to AA a few days ago.
UA, after losing their application for the DL slot, is now after the HA slot, asking for a route which the DOT rejected in 2019.

HA should still have 2 slots if they are only handing back 1 daily HND frequency.
 

HA has now confirmed they will seek OW membership once AS completes the acquisition.

I think a crucial and logical step for HA (once they join) would be to abandon their alliance with VA so they can avoid a provocative mess in Australia and not affect the current good state that QF-AS relations are in.

An Australian domestic codeshare agreement with QF is the most sensible option for HA.
 

HA has now confirmed they will seek OW membership once AS completes the acquisition.

I think a crucial and logical step for HA (once they join) would be to abandon their alliance with VA so they can avoid a provocative mess in Australia and not affect the current good state that QF-AS relations are in.

An Australian domestic codeshare agreement with QF is the most sensible option for HA.

Why would that be sensible? QR has better relationships with VA than QF.
 

HA has now confirmed they will seek OW membership once AS completes the acquisition.

I think a crucial and logical step for HA (once they join) would be to abandon their alliance with VA so they can avoid a provocative mess in Australia and not affect the current good state that QF-AS relations are in.

An Australian domestic codeshare agreement with QF is the most sensible option for HA.

Post merger (if approved), HA will cease to be an independent airline with its own partners, it will be a brand of AS and fold in to their existing loyalty system.

AS and QF have a very good relationship and AS already codeshares on QF’s HNL flights (amongst others). ACCC wouldn’t allow a JV from HNL but using QF for domestic connections is a no brainer, and QF already uses HA for Hawaiian domestic connections.

The VA/HA partnership is a very weak partnership. You can no longer book flights to Hawaii with a VA code (or through VA at all) and there is absolutely no status recognition. There really isn’t much left of the relationship so will barely be missed.
 
The USA Department of Justice date for consideration(20/08/2024) has expired with nothing published. From FT that is a defacto approval., as not rejected or with conditions. But little published by AS or HA. Expect a lot more to published. Next step USA Department of Transport.
HA flights as part of Oneworld a good route expansion.
Hawaiian Governor Office of the Governor – Gov. Green Statement on Hawaiian-Alaska Airlines Merger
Originally Posted by hawaii.gov
Office of the Governor – Gov. Green Statement on Hawaiian-Alaska Airlines Merger
Posted on Aug 19, 2024 in Latest Department News, Newsroom, Office of the Governor Press ReleasesJOSH GREEN, M.D.

GOVERNOR
KE KIAʻĀINA
GOVERNOR GREEN STATEMENT ON HAWAIIAN-ALASKA AIRLINE MERGER
FOR IMMEDIATE RELEASE

August 19, 2024

HONOLULU — Today, the proposed merger of Alaska Airlines and Hawaiian Airlines cleared an important milestone. The regulatory review period for the U.S. Department of Justice has ended. The proposed merger remains subject to the receipt of the U.S. Department of Transportation’s approval of an interim exemption application.

“Over the past several months, my administration and I have worked with the leadership of Alaska Airlines to carefully review the potential impacts of a consolidation and we insisted that any changes expand travel options for our residents and preserve union jobs,” said Governor Josh Green, M.D.

“Alaska has reinforced commitments to our state and will maintain the Hawaiian Airlines brand, preserve and grow union jobs in our Hawai‘i, as well as continue to provide crucial passenger and air cargo service to, from, and within the islands.”

“The merger will vastly expand the number of destinations throughout North America for Hawai‘i residents that can be reached nonstop or one-stop from the islands, and HawaiianMiles members will retain the value of their miles while gaining access to more destinations around the world.”

“I am confident that by the joining of these two airlines, a stronger company will emerge and offer more travel options for Hawai‘i residents and local businesses — and will enhance competition across the U.S. airline industry,” Governor Green said.

“I appreciate the DOJ’s strong consideration of Hawai‘i’s unique needs during its review of the proposed merger. I look forward to this merger proceeding and the overwhelming consumer, employee and community benefits that will result from it.”
 
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The USA Department of Justice date for consideration(20/08/2024) has expired with nothing published. From FT that is a defacto approval., as not rejected or with conditions. But little published by AS or HA. Expect a lot more to published.
HA flights as part of Oneworld a good route expansion.
Hawaiian Governor Office of the Governor – Gov. Green Statement on Hawaiian-Alaska Airlines Merger
Looking forward to some more business Classic Rewards inventory to HNL - took me about 10 years to get 3 x U seats on a QF flight during a period I wanted!
 
HA flights as part of Oneworld a good route expansion.
Currently, the oneworld fare products (such as the xONEx), don't allow you to go 'backwards' from Hawaii where you would otherwise be able to. ie, once you've gone to Hawaii from the North American mainland, you then can't return to the mainland, you have to continue on to Asia or South West Pacific.
I wonder if that will change if/when HA joins oneworld.
 
Green light :)

The U.S. Department of Transportation (DOT) today issued an order under its authority to grant an exemption relating to the transfer of international route authorities in the combination of Alaska Airlines and Hawaiian Airlines. The two companies expect to close their merger transaction in the coming days. 

In connection with the DOT’s issuance of the order, the two airlines and the DOT agreed to certain commitments. These commitments align with the plans Alaska announced at the time it signed the transaction and are consistent with its longstanding commitment to exceptional customer service, serving air service dependent communities, and an industry-leading loyalty program. These commitments do not impact the synergies of the deal, which will enhance competition and expand choice for consumers.

“We look forward to formally welcoming Hawaiian Airlines’ guests and employees into Alaska Air Group. We sincerely appreciate the exceptional care and service that employees of both companies have continued to show for one another and our guests throughout this process, and the support of both airlines’ labor unions, as we proceed to realize the vision for this combination and build a stronger future together.”

– Ben Minicucci
CEO of Alaska Air Group

More information about the combined organization will be shared in the coming days. 

Now that final clearance has been received from regulators, Alaska Airlines can close the transaction and shift focus to obtaining a single operating certificate from the FAA. Until that time, Alaska Airlines and Hawaiian Airlines will operate as one organization with two separate airline operations, under two individual operating certificates. The interim Honolulu leadership team will lead the Hawaiian Airlines operation during this time.

Joe Sprague, Alaska Airlines’ regional president for Hawai‘i/Pacific, will become CEO of Hawaiian Airlines, overseeing operations until the FAA issues a single operating certificate.
 
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Interesting that UA were complaining the merger will hurt their business, due to existing interline and loyalty program arrangements with HA.

Surely they jest?

So I guess HA is now officially joining oneworld, which is fantastic. Let’s hope their availability is viewable on QFF unlike VFF.
 
Interesting that UA were complaining the merger will hurt their business, due to existing interline and loyalty program arrangements with HA.
Surely they jest?

So I guess HA is now officially joining oneworld, which is fantastic. Let’s hope their availability is viewable on QFF unlike VFF.
It will take some time to merge the AS & HA IT reservation systems or move HA to the AS IT reservation system. Cannot see that happening until they have 1 operating certificate.
Expect will be a tremendous amount of bureaucracy and spend on IT.
 
It will take some time to merge the AS & HA IT reservation systems or move HA to the AS IT reservation system. Cannot see that happening until they have 1 operating certificate.

Those two things are completely unrelated from two very different aspects of the business. Neither is a prerequisite for the other, and the AOC is probably the more complex one that could take years (as it did with AA/US IIRC).

The GDS is a bit easier, especially if they just move one airline to the other. I would normally say it's likely for HA to move to AS, but considering HA just setup a new system on Amadeus, and AS uses a mix of Sabre and Amadeus, maybe AS will be the ones to move. Then again, they probably want to stay on the same system as AA.

But yes, we'll be doing well to see either within a year.
 

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