Linebacker35

Anythoughts on a Hawaiian-Aloha merger. Seems like it would put the two in a much better position to fight GO!

Sniper

It would likely trigger some anti-trust issues. I don't know the #'s, but if Mesa's got 6 planes that do island hopping, the only other airline that does some real lifting out there is Island Air, with 8 aircraft. I'd think a good 80% of the routes would be under the control of one company if Aloha and Hawaiian merged. That's a pretty big #. They would also control about 50% of the routes to Hawaii from the mainland (not as much of an antitrust issue there, since there's about 10 airlines that fly to Hawaii who are more than willing to undercut each other on a leisure market where the profit is already razor thin @ best). However, both Aloha and Hawaiian complain that go! is driving the fares down below cost, so if the 2 of them merged it'd still be the same issue - Aloha and Hawaiian charging customers less $ than it costs them to provide the service. Merging the two wouldn't change this really. As long as an airline sells their product below cost, the bleeding will continue.

Interestingly, Island Air has 8 aircraft, each 37 seats, or 296 seats total. go! has 300 seats total. Why does everyone @ Aloha and Hawaiian get up in arms about go! but isn't bothered by Island Air? I just priced a roundtrip HNL-OGG 5/26 return 5/27 (random days) on both go! and Island Air. $54 each way on Island Air, $59 on go! (Aloha was usually $54, but got as low as $49 on the same ticket). Why is it ok for Island Air to charge $54 but not ok for go! to charge $59 (I could have got a $39 if I connected in LNY to OGG, which makes no sense from a cost perspective, but that's standard for all airlines)? Both airlines employ Hawaiians and bring the same benefits to the economy so, from the native Hawaiian perspective ("we grew here, you flew here"), there's no difference either.

Is it just all about the CEO of Mesa Air Group? I know about the lawsuits, and congrats to Hawaiian and good luck to Aloha there. But, lawsuit or not, if you're matching go!'s prices, then you've got to take responsibility for that action.

BYUFlyr

I thought this was "predatory pricing" which is illegal as far as I understand it. Pricing below your marginal with the purpose to drive someone else out is an illegal practice.

I don't really have a side to pick in this fight, but just an observation

DYNASTY HVY

Happens all the time in this biz .

OKLATEX

Any Aloha guys have any info of what is going on? When they intially went Chapter 11 they said they would operate for the rest of the month (March) From what I have read the state is trying to put some loans together and a possible sale of the cargo division. Can you offer any more info?

Good luck!