Hawaiian Airlines Prepares For Alaska Airlines Merge

Thanks to a new application, Hawaiian Airlines and Alaska Airlines continue pursuing takeover ambitions.

The application sent to the U.S. Department of Transportation involves the transfer of international route authority.

As part of the multi-billion dollar merger that will see Hawaiian Airlines join the Alaska Airlines network, much deliberation is being held over the future of the respective networks.

The application to the U.S. Department of Transportation is an essential step among many that must occur before a formal deal can conclude, permitting regulatory approval.

Alaska Airlines and Hawaiian Airlines know they’ll face obstacles, but they believe their coming together will be possible if they take the necessary steps to appease competition watchdogs.

As part of the application, there is a request for the de facto transfer of the international route authorities from Hawaiian Airlines to Alaska Airlines. Furthermore, each airline’s global route authorities are issued in the other name.

If and when the merger is completed, Alaska Airlines and Hawaiian Airlines will not operate under the same branding. The pair will have their own identity stemming from the branding but will instead be owned and operate together to benefit markets worldwide.

Once a deal goes through, the airlines look to serve more than 54 million passengers annually, with 138 destinations part of the route network. However, this would extend to well over a thousand, considering the impacts of codeshare arrangements and membership in the Oneworld alliance.

In recent years, more U.S.-based airlines have sought to consolidate in an overall bid to lessen the gap between them and the big three airlines in the U.S. Alaska Airlines believes a merger with its fellow U.S. carrier would allow it to join the big three or big four and obtain more significant market share.

The two airlines’ argument for merging is that this will create greater competition, bring down fares, and provide greater connectivity for passengers.

However, the merger continues to be put under review as the airlines prepare to find ways to seek approval and prove those doubting the endeavour wrong.