Category Archives: Hawaiian Airlines

Hawaiian signs a contract for 16 new Airbus A321neo aircraft

Hawaiian Airlines (Honolulu), having reached key labor agreements with its pilot and flight attendant unions on the introduction of new aircraft, today announced that it has signed a definitive purchase agreement with Airbus to acquire 16 new A321neo aircraft between 2017 and 2020, with rights to purchase an additional nine aircraft.

The transaction, which finalizes the Memorandum of Understanding announced in January, is the latest step in Hawaiian’s phased fleet plan designed to supplement its current wide-body fleet of 26 aircraft, expand its long-range fleet, and enable it to open new domestic and international nonstop services to Hawaii. The long-range, single-aisle A321neo will complement Hawaiian’s existing fleet of wide-body, twin-aisle aircraft used for long-haul flying between Hawai’i and the U.S. West Coast.

Terms of the purchase agreements were not disclosed. The order has a combined list-price value of approximately $2.8 billion if all purchase rights are exercised.

Hawaiian’s A321neo aircraft will seat approximately 190 passengers in a two-class configuration (First and Coach) and have an operating range of 3,650 nautical miles. Hawaiian’s A321s will offer the more comfortable seat widths found in its twin-aisle A330s.

The A321 fleet expansion is expected to generate roughly 1,000 additional jobs at Hawaiian.

Hawaiian currently operates a fleet of 44 aircraft, comprised of 26 wide-body, long-haul aircraft (294-seat Airbus A330-200 aircraft and 264-seat Boeing 767-300 ER aircraft), and 18 narrow-body 123-seat Boeing 717-200 aircraft for Neighbor Island flights.

Hawaiian’s existing aircraft orders include an additional 12 new A330s between 2013 and 2015, and six next-generation, longer-range A350XWB-800 aircraft starting in 2017. The existing fleet of 16 Boeing 767s will phase out over the next 10 years.

Image: Airbus.

Hawaiian Airlines:

Hawaiian Airlines’ flight attendants ratify a new narrow-body aircraft agreement

Hawaiian Airlines‘ (Honolulu) flight attendants have ratified a tentative agreement reached earlier this month between the company and the Association of Flight Attendants (AFA) on new contract terms covering the operation of long-range, single-aisle aircraft the company plans to acquire to complement its current fleet of wide-body aircraft serving Hawai’i from the U.S. West Coast.

On January 7, Hawaiian announced the signing of a Memorandum of Understanding with airframe manufacturer Airbus to acquire 16 new A321neo aircraft between 2017 and 2020, with rights to purchase an additional nine aircraft.

The company also announced that the acquisitions are contingent upon the signing of new agreements with its pilots’ and flight attendants’ unions covering operation of the new aircraft type.

Hawaiian’s pilots ratified a similar agreement between the company and the Air Line Pilots Association on January 28.

The fleet expansion is expected to generate roughly 1,000 new jobs at Hawaiian.

The long-range, single-aisle A321neo aircraft will complement Hawaiian’s existing fleet of
wide-body, twin-aisle aircraft used for long-haul flying between Hawai’i and the U.S. West Coast.

Copyright Photo: Andy Jung. Hawaiian currently operates the narrow-body Boeing 717 in the inter-island network. The new A321s will open some new thin long-range Mainland routes previously pioneered by Aloha Airlines and largely filled recently by Alaska Airlines with its Boeing 737-800s. The pictured Boeing 717-2BD N488HA (msn 55101) arrives at the Honolulu hub.

Hawaiian Airlines:

Hawaiian Airlines is coming to Sendai, Japan

Hawaiian Airlines (Honolulu) will add its fifth Japan gateway in June with the launch of new service three times a week to Sendai, Japan, starting June 25, pending Japan government approval.

The new flights will be the first scheduled service between Sendai and Hawai’i since another carrier left the market in 2004, and among the first new services to be introduced at Sendai Airport since it was closed for more than a month in 2011 due to damage caused by the Tohoku earthquake and subsequent tsunami.

Hawaiian’s new Sendai service will connect with and complement its existing service to Sapporo, operating nonstop from Honolulu to Sendai, with one-stop service returning to Honolulu via Sapporo.

Starting June 25, Hawaiian’s Flight HA 441 will depart Honolulu International Airport on Tuesdays, Thursdays, and Saturdays at 12:15 p.m., cross the international dateline, and arrive at Sendai Airport at 4:00 p.m. the following day.

The return Flight HA 442 will then continue to Sapporo’s New Chitose Airport at 5:55 p.m. on Wednesdays, Fridays and Sundays, arriving at New Chitose at 7:10 p.m. before departing to Honolulu at 9:10 p.m., crossing the international dateline, and arriving in Honolulu at 9:50 a.m. the same day.

Hawaiian will operate the Honolulu-Sendai-Sapporo flights using its wide-body, twin-aisle Boeing 767-300 ER aircraft that seat up to 264 passengers.

Sendai is the largest city in the Tohoku region of northern Honshu, which has a population of more than 9 million. Sendai is known in Japan as “Mori no Miyako,” or Forest City, for its many green spaces in its city center. It is also known for its high quality rice and for its summer Tanabata Festival, which draws thousands of visitors from across Japan.

Sendai will be the tenth new destination that Hawaiian has introduced or announced in less than three years, following the launches of service to Tokyo in November 2010, Seoul in January 2011, Osaka in July 2011, Fukuoka in April 2012, New York in June 2012, Sapporo in October 2012, and Brisbane in November 2012. The company has previously announced new service to Auckland, New Zealand commencing on March 13, and to Taipei, Taiwan in July 2013.

Copyright Photo: Ton Jochems. Boeing 767-3G5 ER N586HA (msn 24259) taxies on the ramp at Los Angeles International Airport.

Hawaiian Airlines:

Route Map:

Hawaiian Airlines introduces ‘Ohana by Hawaiian brand for its ATR 42 regional flights

Hawaiian Airlines (Honolulu) has introduced a separate new ‘Ohana by Hawaiian name and brand for its new ATR 42 regional division. Well done Hawaiian! Thank you for your originality in aircraft designs and brands.

The company issued this statement:

A kapa pattern symbolizing ancestry, family and transportation will mark the turboprop aircraft flown by Hawai‘i’s newest interisland operation when ‘Ohana by Hawaiian inaugurates service to Moloka‘i and Läna‘i this summer.

The name and brand identity of the new service, as well as the aircraft design by renowned artist and designer Sig Zane and his son Kuha‘o, were unveiled on February 11 at Honolulu International Airport.

“The name ‘Ohana perfectly captures the idea behind this service and the role it will play in our community. This new service has always been about making it easier for friends and families throughout the islands and from overseas to share time together,” said Mark Dunkerley, President and CEO of Hawaiian Holdings, Inc. and its subsidiary Hawaiian Airlines. “Sig and Kuha‘o Zane’s design weaves the concept of family with symbols for heritage and transportation, acknowledging our proud history as the first company to connect our islands through flight.”

The Hilo-based designers used Hawaiian Airlines’ interisland route map as a basis for the design, and incorporated three kapa patterns: piko, representing ancestor and progeny; manu, representing both a bird in flight and the prow of a canoe, the traditional form of migration; and kalo, representing family.

“Today we invite our ancestors and kupuna to join us as we holoholo between the islands. We celebrate their art and recognize all who have traveled before us,” Zane said. “This symbol of our heritage is now a cherished piece for everyone to see.”

‘Ohana by Hawaiian will launch daily service to Moloka‘i and Lana’i this summer using 48-seat ATR 42 turboprop aircraft operated by Empire Airlines of Idaho.

Copyright Photo: Ivan K. Nishimura/Blue Wave Group. (Left to Right) Hawaiian CEO Mark Dunkerley, livery co-designers Kuha‘o Zane and Sig Zane.

Design:

Top Image: Hawaiian Airlines: Our fleet of modern, ATR 42 turboprop aircraft evokes some of the magic and nostalgia of a bygone era, soaring along scenic shorelines. Service aboard ‘Ohana’s 48-passenger twin-turboprop aircraft will feature the friendly, world-class service Hawaiian Airlines is famous for, delivered in a lighter, more casual local style.

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Video:

Hawaiian reports net income of $55.6 million for 2012, up almost 29%

Hawaiian Holdings, Inc. (Honolulu), parent company of Hawaiian Airlines, Inc. (Honolulu), reported its financial results for the full year 2012 and the fourth quarter of 2012.

2012 Full Year Financial Highlights

Adjusted net income, reflecting economic fuel expense and excluding lease termination costs, of $55.6 million or $1.06 per diluted share, an increase of 28.7% year-over-year.
GAAP net income of $53.2 million or $1.01 per diluted share.
Operating cost per available seat mile (CASM), excluding fuel and lease termination costs, decrease of 6.0% year-over-year.
Adjusted operating margin of 7.0%, reflecting economic fuel expense and excluding lease termination costs.
Unrestricted cash and cash equivalents increase of 33.5% year-over-year.
Return on invested capital, pre-tax, of 14.9%.

Fourth Quarter 2012 Financial Highlights

Available seat mile (ASM) for scheduled operations increase of 29.2% year-over-year.
Adjusted net income, reflecting economic fuel expense, of $0.1 million or $0.00 per diluted share.
GAAP net loss of $3.4 million or $0.07 cents per diluted share.
CASM, excluding fuel, decrease of 11.3% year-over-year.
Unrestricted cash and cash equivalents of $405.9 million.

Mark Dunkerley, the Company’s President and Chief Executive Officer, commented that “A good year of growth and improving financial performance was finished off by a disappointing break-even result in the fourth quarter. The sharp weakening of the Yen, continued excess capacity in certain markets and an accounting charge all worked to depress our earnings for the period despite many other things going right for the business.

The year as a whole was every bit as busy and exciting as we had forecast. We added four new long haul destinations, eight long haul and short haul aircraft, opened a hub on Maui and added approximately 600 employees to our rolls, all in 2012. Throughout it all, the employees of Hawaiian Airlines continued to deliver the very highest quality travel and shipping experience to our customers. Our employees’ tireless dedication to our customers and to our business is a distinguishing strength of Hawaiian Airlines. 2013 promises to be an equally exciting year for the company with new destinations, new aircraft and more employees being planned.”

The fourth quarter 2012 results reflect an out-of-period frequent flyer adjustment related to the timing of revenue recognized for mileage credits sold to participating companies in previous years. This adjustment resulted in a net decrease to pre-tax income of $7.3 million in the quarter, or $0.08 per diluted share ($7.9 million decrease to passenger revenue and $0.6 million decrease to other operating expense). See Table 2 for the impact of this adjustment on selected statistical data.

Statistical data, as well as a reconciliation of the reported non-GAAP financial measures, can be found in the accompanying tables.

Liquidity and Capital Resources
As of December 31, 2012, the Company had:

Unrestricted cash and cash equivalents of $405.9 million.
Available borrowing capacity of $68.9 million under Hawaiian’s Revolving Credit Facility.
Outstanding debt and capital lease obligations of approximately $661 million consisting of the following:
- $246.4 million outstanding under secured loan agreements to finance a portion of the purchase price for four Airbus A330-200 aircraft.
- $170.7 million in secured loan agreements for a portion of the purchase price for 15 previously leased Boeing 717-200 aircraft.
- $106.3 million in capital lease obligations for an Airbus A330-200 and two Boeing 717-200 aircraft.
- $64.7 million outstanding under floating rate notes issued in conjunction with the acquisition of three Boeing 767-300 ER aircraft.
- $72.7 million outstanding of Convertible Senior Notes.

The Company expects to take delivery of five Airbus A330-200 aircraft in 2013, and has entered into debt and lease financing commitments for the first four deliveries in the first half of the year. The increase in Hawaiian’s fleet resulting from the delivery of these five Airbus A330-200 aircraft in 2013 will be partially offset by a decrease of four Boeing 767-300ER aircraft during the year, with three aircraft returned at the end of their lease terms and one planned retirement.

In January 2013, the Company signed a Memorandum of Understanding for the purchase of 16 new Airbus A321neo aircraft for delivery between 2017 and 2020, with the rights to purchase an additional nine aircraft. The long-range, single-aisle aircraft will complement Hawaiian’s existing fleet of wide-body, twin-aisle aircraft used for long-haul flying between Hawai’i and the U.S. West Coast.

2012 Highlights

Operational Highlights

Ranked #1 nationally for on-time performance, for 10 out of the 11 months reported in 2012, by the U.S. Department of Transportation Air Travel Consumer Report.
Ranked second overall in the 2012 Airline Quality Rating Report.
Introduced a Maui hub offering improved connections between Maui and Neighbor Island destinations, as well as additional flights to and from the West Coast.
Provided chartered air transportation for the Oakland Raiders for the 13^th consecutive season.
Signed a new three-year contract with the Association of Flight Attendants.
Became the first airline to receive aviation carbon credits for reducing carbon dioxide emissions.

Fleet

Added four new Airbus A330-200 aircraft (see above) in March, April, May and June in 2012 for North America and International service.
Added two Boeing 717-200 aircraft in January and February 2012 for Neighbor Island service.
Took delivery of two ATR 42-500 twin-turboprop aircraft to inaugurate new service to Molokai and Lanai in 2013.

New routes and increased frequencies

Honolulu to Fukuoka, Japan daily service launched April 2012
Honolulu to New York City (JFK), New York, daily service launched June 2012
Honolulu to Sapporo, Japan three-times-weekly service launched October 2012
Honolulu to Brisbane, Australia three-times-weekly service launched November 2012
Honolulu to Seoul, South Korea increased from four times weekly to daily July 2012
Maui to San Jose and Oakland, California increased from three and four times weekly, respectively, to daily October 2012
Announced Honolulu to Auckland, New Zealand three-times-weekly service beginning March 2013
Announced Honolulu to Taipei, Taiwan with service daily beginning July 2013
Honolulu to Sydney, Australia from daily to ten weekly flights April to May 2013
Maui to Los Angeles, California increased from daily to twice daily service summer 2013

New Partnership, Code-Share and Frequent Flyer agreements

Partnered with Air China and China International Travel Service to offer connections and market Hawaii vacation packages in China.
Entered into new frequent flyer and code-share agreements with All Nippon Airways, JetBlue and Virgin America.

Hawaiian Airlines:

Hawaiian’s pilots ratify a tentative agreement to operate Airbus A321s

Hawaiian Airlines (Honolulu) pilots have ratified a tentative agreement reached earlier this month between the company and the Air Line Pilots Association (ALPA) on new contract terms covering the operation of long-range, single-aisle aircraft the company plans to acquire to complement its current fleet of wide-body, twin-aisle aircraft serving Hawai’i from the U.S. West Coast.

The company also announced that the acquisitions are contingent upon the signing of new agreements with its pilots’ and flight attendants’ unions covering operation of the new aircraft type.

Hawaiian is in talks with the Association of Flight Attendants (AFA) about a similar agreement.

The A321neo fleet expansion is expected to generate roughly 1,000 additional jobs at Hawaiian.

The long-range, single-aisle A321neo aircraft will complement Hawaiian’s existing fleet of wide-body, twin-aisle Boeing B767 and Airbus A330 aircraft used for long-haul flying between Hawai’i and the U.S. West Coast.

Terms of the agreement were not disclosed, however, the aircraft have a total list-price value of approximately $2.8 billion if all of the purchase rights are exercised.

Image: Hawaiian Airlines.

Hawaiian Airlines:

Hawaiian Airlines sets a new passenger record in 2012

Hawaiian Airlines, Inc. (Honolulu), a subsidiary of Hawaiian Holdings, Inc, today announced its systemwide traffic statistics for December, fourth quarter, and full year 2012.

Hawaiian carried 9,484,204 passengers in 2012, the most in the company’s history. Passenger statistics for December and the fourth quarter were also company records.

SYSTEMWIDE OPERATIONS

FULL YEAR	2012	2011	% Change
PAX	9,484,204	8,666,319	9.4%
RPMS (000)	12,217,635	10,151,216	20.4%
ASMS (000)	14,687,472	12,039,937	22.0%
LF	83.2%	84.3%	(1.1 pts.)

FOURTH QUARTER	2012	2011	% Change
PAX	2,413,629	2,155,310	12.0%
RPMS (000)	3,279,105	2,607,548	25.8%
ASMS (000)	4,006,840	3,104,833	29.1%
LF	81.8%	84.0%	(2.2 pts.)

DECEMBER	2012	2011	% Change
PAX	812,395	740,660	9.7%
RPMS (000)	1,095,269	892,269	22.8%
ASMS (000)	1,371,367	1,077,262	27.3%
LF	79.9%	82.8%	(2.9 pts.)

PAX: Passengers transported
RPM: One paying passenger transported one mile
ASM: One seat transported one mile
LF: Percentage of seating capacity utilized

Copyright Photo: Michael B. Ing. Airbus A330-243 N383HA (msn 1217) completes its final approach into Los Angeles International Airport.

Hawaiian Airlines:

Hawaiian Airlines to acquire 16 Airbus A321neo aircraft to open up new markets

Hawaiian Airlines (Honolulu) today announced the signing of a Memorandum of Understanding (MOU) with airframe manufacturer Airbus to acquire 16 new A321neo aircraft between 2017 and 2020, with rights to purchase an additional nine aircraft.

The long-range, single-aisle aircraft will complement Hawaiian’s existing fleet of wide-body, twin-aisle aircraft used for long-haul flying between Hawai’i and the U.S. West Coast.

“Everyone at Hawaiian wants us to keep our position as the market leader in service quality, cost efficiency and choice of destinations. Ordering the A321neo will secure this legacy on routes to the U.S. West Coast beyond the middle of this decade,” said Mark Dunkerley, president and CEO of Hawaiian Airlines. “The A321neo will be the most fuel-efficient aircraft of its type after its introduction in 2016. With its slightly smaller size we’ll be able to open new markets that are not viable for wide-body service, while also being able to augment service on existing routes to the West Coast of North America.”

At 146-feet-long, the A321neo will seat approximately 190 passengers in a two-class configuration (First and Coach) and has a range of 3,650 nautical miles. The aircraft will offer the more comfortable seat widths found in the twin-aisle Airbus A330. Terms of the agreement were not disclosed, however, the aircraft have a total list-price value of approximately $2.8 billion if all of the purchase rights are exercised.

The new acquisitions are also contingent upon Hawaiian signing new agreements with its pilots and flight attendant unions covering operation of the new aircraft type. If new agreements are reached, the fleet expansion is expected to generate roughly 1,000 additional jobs at Hawaiian.

“This is a significant investment in the future of both Hawaiian and Hawai’i. Our tourism-based economy and local employment will benefit as we continue our strategy of diversifying our business while improving the efficiency of our operation,” Dunkerley commented.

“We have come to think of Hawaiian Airlines as ‘ohana’ (family) and are very pleased to add yet another branch to our tree with this pending expansion of the Hawaiian Airbus fleet,” said John Leahy, Airbus chief operating officer, customers. “Hawaiian has gotten great results with their A330s. The passengers, the employees and the accountants for the airline all recognize the advantages of Airbus aircraft, and now they will benefit even further by flying the most popular single-aisle family in the sky.”

Hawaiian currently operates a fleet of 43 aircraft, comprised of 25 wide-body, long-haul aircraft (294-seat Airbus A330-200 aircraft and 264-seat Boeing 767-300 ER aircraft), and 18 narrow-body 123-seat Boeing 717-200 aircraft for Neighbor Island flights.

Hawaiian’s existing orders include an additional 13 new A330s between 2013 and 2015, and six next-generation, longer-range A350XWB-800 aircraft starting in 2017. The existing fleet of 16 Boeing 767s will phase out over the next 10 years.

Image: Hawaiian Airlines.

Hawaiian Airlines:

Empire Airlines to operate the ATR 42-500s for Hawaiian Airlines

Empire Airlines (Idaho) (3rd) (Coeur d’Alene) will operate the newly-acquired ATR 42-500s for Hawaiian Airlines (Honolulu) according to this report by HNL Rarebirds. Hawaiian has signed a three-year MOU for Empire to operate and maintain the new type. Both N801HC and N804HC are currently at Empire’s base awaiting delivery to the islands.

Empire currently operates the type for FedEx Express as a FedEx Feeder. The company started operations in May 1977 as Clearwater Flying Service before changing to the current name in January 1983.

Read the full report: CLICK HERE

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Empire Airlines current route map:

Please click on the map to expand.

Hawaiian Airlines to fly to Taipei, Taiwan starting in July 2013

Hawaiian Airlines (Honolulu) today announced plans to launch nonstop service between Taipei, Taiwan and Honolulu in July 2013, further extending the airline’s strategic expansion into Asia.

The new service, which would operate three times a week, capitalizes on the extension of the U.S. Visa Waiver Program to cover citizens of Taiwan.

Hawaiian will operate the Taipei-Honolulu route using its new 294-seat, wide-body Airbus A330-200 aircraft, adding nearly 46,000 new air seats to the market annually to the benefit of Hawai’i’s visitor industry. According to the Hawai’i Tourism Authority, the economic impact of restoring nonstop service from Taipei will be significant for Hawai’i.

Taipei is the capital city of Taiwan and its economic center, with the surrounding metropolitan area of Taipei, New Taipei, and Keelung being home to nearly seven million people. As a whole, Taiwan has more than 23 million people and is considered one of the “Four Asian Tiger Economies” with one of the highest Per Capita GDP in Asia.

Taipei will be the ninth new gateway that Hawaiian has introduced or announced new service to since November 2010, following Tokyo, Osaka, Fukuoka, and Sapporo, Japan; Seoul, South Korea; New York City; Brisbane, Australia; and Auckland, New Zealand (March 13, 2013).

Copyright Photo: Roy Lock. Airbus A330-243 N381HA (msn 1114) powerfully climbs away from the runway at Los Angeles International Airport.

Hawaiian Airlines: