Yesterday we reported on the fact that the Alaska Airlines and Hawaiian Airlines merger had been approved by the Department of Transportation (DOT) and today, the merger has been finalized (they sure moved quickly).
The $1.9 billion dollar merger will retain the two distinct airline brands and enable travelers to reach 141 destinations directly, including 29 international markets. Honolulu (HNL) will also become the combined airline’s second largest hub, behind Seattle-Tacoma International Airport (SEA).
The combined carrier will operate more than 1,500 daily flights from its hubs in Seattle, Honolulu, Los Angeles (LAX), San Francisco (SFO), Portland (PDX), San Diego (SAN) and Anchorage (ANC).
Alaska Airlines and Hawaiian Airlines will now begin the work to secure a single operating certificate with the Federal Aviation Administration (FAA), which will allow the two airlines to operate as a single carrier with an integrated passenger service system.
In the meantime, the airlines will continue to operate as separate carriers with no immediate changes to operations and will maintain separate websites, reservation systems and loyalty programs until later in the integration process. The press release notes that travelers can continue to book flights with either airline in the interim.
Ben Minicucci, CEO of Alaska Air Group, said this about the merger:
“This is a historic day for Alaska Airlines as we officially join with Hawaiian Airlines. Alaska and Hawaiian share tremendous pride in connecting communities with award-winning service, and we look forward to inviting more guests on board to experience what makes both brands unique. Among Alaska, Hawaiian and Horizon Air, we have more than 230 years of history flying guests and serving communities. I know we will build on that legacy and become stronger together – providing the excellent operation guests have come to expect, expanding options to seamlessly travel nearly anywhere in the world, and securing the financial stability and value that inspires investment.”
Alaska Airlines and Hawaiian Airlines Integration Timeline
Alaska Air Group has broken the passenger facing aspects of the merger into four parts, many of which were conditions of the merger being approved by the DOT. The first part, effective immediately, will include:
- Miles earned in both loyalty programs are secure and, according to Alaska, more valuable than ever.
- Alaska Lounge members and guests can enjoy Alaska Lounge locations when flying on Hawaiian.
- Hundreds of flyers have accrued more than one million miles or more flying Hawaiian Airlines. We’re acknowledging our appreciation for their business with new benefits.
Over the next few weeks the combined carrier is expected to:
- Allow travelers to transfer miles between Alaska Mileage Plan and HawaiianMiles at a 1:1 ratio.
- Purchase tickets for flights on both brands on either airline website.
- Launch a new Hawai’i specific travel program called Huaka‘i by Hawaiian. It will include discounts and benefits exclusively for Hawai‘i residents. Huaka‘i members will enjoy exclusive benefits when traveling interisland, including 10% off one booking per quarter and a free checked bag.
Over the next few months, passengers will have the ability to:
- Accrue Alaska Mileage Plan miles or HawaiianMiles when flying either airline based on your preference.
- Redeem Mileage Plan miles directly on all Hawaiian flights including international destinations beginning in 2025. This includes combining Hawaiian flights with Alaska or partner flights when redeeming miles.
- Match status across the Mileage Plan and HawaiianMiles programs by linking accounts.
Finally, the combined carrier will work to roll out elite status reciprocity with plans to create a unified frequent flyer program. Details on the new program are expected to be unveiled in mid-2025.
Additionally, Hawaiian Airlines’ stock will be delisted and cease trading on the NASDAQ on September 18th. The combined organization will continue to trade under the ticker ALK on the New York Stock Exchange.
Alaska and Hawaiian’s Fleet Plans
Alaska Airlines has historically operated an all-Boeing fleet of 737NG and MAX aircraft. The carrier even has the phrase “Proudly All Boeing” painted on the nose of its aircraft. When Alaska purchased Virgin America, an all Airbus operator, it promptly sold off Virgin’s fleet of A319, A320, and A321 aircraft.
Now, with its acquisition of Hawaiian, Alaska’s fleet just got much more complicated. The combined carrier will operate:
- 2 Boeing 787-9s (with 10 more on order)
- 24 Airbus A330s
- 18 Airbus A321neos
- 235 Boeing 737s (with 75 more on order)
- 19 Boeing 717s
- 44 Embraer E175 via Horizon Air (with 9 more on order)
- 8 dedicated freighters (3 Boeing 737-700s, 2 Boeing 737-800s and 3 Airbus A330s)
With the amount of long-haul flying Hawaiian does from its Honolulu hub (including to my home airport of Austin), those Airbus aircraft aren’t going anywhere anytime soon. However, it will be interesting to see whether they transition back to an all-Boeing fleet in the long run as 737 and 787 deliveries continue.
Summary
Alaska Airlines and Hawaiian Airlines have finalized the merger of the latter into Alaska Air Group. The airlines will continue to operate as separate brands while working towards a unified booking and travel experience for passengers. This includes a new, revamped frequent flyer program with details expected in mid-2025.
(Images courtesy Alaska Airlines)
