Hawaiian Airlines CEO Share Insights on New 787, Alaska Merger

HONOLULU- Hawaiian Airlines (HA) is renowned for various aspects, including its exceptional on-time performance, provision of hot meals on extended economy flights, and its distinctive Hawaiian-style onboard service.

However, this year, the airline is making headlines for other achievements, notably introducing a new fleet of Boeing 787-9 Dreamliners and a proposed merger with Alaska Airlines (AS), all under the leadership of longstanding airline executive and CEO Peter Ingram.

Photo: Alaska Airlines and Hawaiian Airlines

Hawaiian Airlines CEO Insights

Pending approval from the Department of Justice (DOJ), the acquisition could significantly expand the airline’s reach.

Brian Sumers, the founder and editor of The Airline Observer, expresses hope for the DOJ’s approval of the merger, highlighting the airline’s limited market scope without it, particularly in its primary operations between the Hawaiian islands and the mainland United States.

“In his widely-read subscription newsletter, Sumers mentions the challenge of relying solely on one state for business,” Sumers mentions. “The positive aspect, however, is the robust demand and substantial revenue from flights between the Lower 48 states and Hawaii.”

Sumers reference Hawaiian Airlines’ recent earnings call, emphasizing Ingram’s effective management in securing a promising future for the airline.

He notes that the board appears content with the decision to merge with Alaska Airlines.

In a recent interview, Hawaiian Airlines’ Ingram reflects on the strategic decisions that have propelled the leisure-focused airline to its current position and discuss future plans contingent on the merger’s approval.

Photo: Alaska Airlines

Merger with Alaska Airlines

There are two primary stages to the process. The first stage, which has already been completed, involved the shareholders voting to proceed with the merger.

The Department of Justice (DOJ) will now review the merger and address any concerns regarding competition before granting approval.

The initial application was submitted in January, and we are confident about the merger because it promotes consumer welfare and fosters healthy competition. While there may be some route overlaps between Alaska and Hawaiian, other carriers also operate similar routes.

This merger differs from those of other airlines in that it will maintain two separate operating brands under a single airline platform. Both Alaska and Hawaiian have dedicated followings in their respective markets. When the merger was announced in Hawaii, there were concerns among locals about losing the unique Hawaiian touch of their home-grown airline.

However, although the airline will no longer be locally owned, both brands will continue to operate independently, preserving the distinct Hawaiian identity.

With nearly a century of history, Hawaiian and Alaska Airlines are important to their respective communities.

Photo: Hawaiian Airlines

Boeing 787 Fleet

Currently, two Boeing 787-9 aircraft are already in operation, with a third expected to join the fleet by the end of the year.

The Dreamliner will fulfill a dual role: replacing some of the Airbus A330s in the fleet and potentially facilitating the expansion of new routes or increasing capacity on existing ones.

Due to its premium-heavy configuration, the aircraft is well-suited for markets such as Honolulu to New York, Tokyo, and Sydney, where there is demand for a flat-bed product combined with its long-range capabilities.

With a total of 300 seats compared to the A330’s 278, including 34 premium seats—nearly double the Airbus plane—the 787 offers enhanced fuel efficiency as a newer generation aircraft.

Initially, the Dreamliners are being deployed on routes to the U.S. West Coast. San Francisco was the first destination, followed by Phoenix and Los Angeles in May.

This scheduling strategy allows for greater flexibility, enabling maintenance between shorter flights and providing pilots with opportunities to gain certification and flight hours on the aircraft. Managing these functions becomes more challenging when the planes operate longer-haul routes with less downtime between flights.

Moreover, these aircraft will be well-suited for cities like Los Angeles and Seattle, where there is substantial demand for premium and economy cabins originating and destined for those locations.

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