Hawaiian Airlines and Delta Air Lines signed (09-Sep-2010) anew codesharing agreement that will offer Delta's customers access to connecting services within the Hawaiian Islands for the first time. From 15-Sep-2010, passenger will be able to connect between Delta flights and 70 daily inter-island flights operated by Hawaiian Airlines on a single ticket, with Hawaiian to connect Delta customers between Honolulu and Kahului, Lihue, Kona and Hilo, as well as between Kona and Kahului. Hawaiian and Delta's new codesharing agreement expands on an earlier frequent flier agreement between the two carriers. [more]
Hawaiian and Delta sign codeshare agreement
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Hawaiian Airlines emerges as the unit revenue champion among US airlines in 1H2016
Hawaiian Airlines’ unique geography continues to benefit the company in 2016 as favourable capacity trends are one factor in its industry outperformance in unit revenue metrics. Hawaiian’s outlook for the remainder of 2016 remains positive as industry capacity on its routes to North America and long haul destinations remains relatively benign.
The airline is acknowledging slight pressure in its inter-island operations due to heightened competition with the smaller operator Island Air. Hawaiian plans to adjust its inter-island schedule later in 2016 to maximise peak flying and cut some off-peak flights.
Hawaiian is expanding service to the Tokyo market in 2016 after being awarded new slots at Haneda airport. But the expansion is not affecting Hawaiian’s overall growth targets of a 2.5% to 5.5% increase in capacity, which is significantly lower than the double-digit expansion it recorded from 2011 to 2013.
Hawaiian Airlines' favourable geography helps it post a PRASM performance that outshines its peers
Hawaiian Airlines’ unique geographical positioning is helping the airline to deliver a passenger unit revenue performance that is outstripping its peers, who are more exposed to a lack of pricing traction and growing capacity on many domestic routes on the US mainland. Demand to Hawaii remains solid and competitive capacity growth in Hawaiian’s markets remains reasonable.
Hawaiian’s capacity expansion has been tempered during the last couple of years after a massive push into long haul markets earlier in the decade. Its planned capacity growth for 2016 is 2.5% to 5.5%, and expansion in 2017 is expected to remain in the low single digits. The airline plans to use existing capacity to support additional services to Tokyo Haneda, which will allow the airline to improve its service offering in one its most important markets – Hawaiian estimates that Hawaii is the end destination for one in four passengers travelling from Japan to the US.
Alaska Air Group’s intention to purchase Virgin America and merge with its rival has fuelled speculation about other potential M&A deals in the US market. Hawaiian believes that its attributes could create value for another company but stresses that it is not for sale, and many opportunities remain for the airline to grow independently.