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Alaska-Hawaiian Merger Achieves ‘Milestone’ Step

The time period for the U.S. Department of Justice (DOJ) to complete its regulatory investigation of the proposed combination of Alaska Airlines and Hawaiian Airlines…

Written by:

Harvey Chipkin

Published on:

August 21, 2024
Alaska-Hawaiian Merger Achieves ‘Milestone’ Step

The time period for the U.S. Department of Justice (DOJ) to complete its regulatory investigation of the proposed combination of Alaska Airlines and Hawaiian Airlines under the HSR Act (an antitrust measure) has expired, according to an announcement from the airlines. Alaska made an offer of $1.9 billion for Hawaiian late last year.

This is a significant milestone in the process of joining the airlines, according to the announcement. During the DOJ’s review, said the announcement, Alaska worked closely with the Hawaii attorney general to reinforce and expand upon its commitments for the future of Hawaiian Airlines and to Hawaii consumers. These include plans to maintain the Hawaiian Airlines brand and local jobs and continue providing strong service between, to, and from the Islands.

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The proposed combination remains subject to other customary closing conditions, including approval from the U.S. Department of Transportation (DOT) of an interim exemption application. Following that step, according to Alaska, the company will complete work to close the transaction and proceed with integrating the two companies. That will include welcoming Hawaiian Airlines customers and employees into Alaska Air Group; and expanding benefits and choice for consumers throughout Hawaii, the Asia-Pacific region, the continental US and globally.

Governor Josh Green of Hawaii said in a statement, “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.

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

The merger, said the governor, will vastly expand the number of destinations throughout North America for Hawaii 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. The governor concluded that he is confident that with the joining of the two carriers, “a stronger company will emerge and offer more travel options for Hawaii residents and local businesses — and will enhance competition across the US airline industry,”

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