DOT Approves Alaska Airlines/Hawaiian Airlines Merger

On September 17, the United States Department of Transportation (DOT) officially approved the $1.9 Billion merger between Alaska Airlines and Hawaiian Airlines, with conditions ensuring the two carriers and Alaska’s subsidiary, Horizon Air, continue to operate as separate entities.

“We look forward to formally welcoming Hawaiian Airlines’ guests and employees into Alaska Air Group,” said Ben Minicucci, CEO of the Alaska Air Group.

“We sincerely appreciate the exceptional care and service that employees of both companies have continued to show for one another and our guests throughout this process, and the support of both airlines’ labor unions, as we proceed to realize the vision for this combination and build a stronger future together.”

Besides maintaining the carriers as independent entities, Alaska Air Group and Hawaiian Holdings agreed to ten commitments, which remain binding and enforceable for the next six years, including:

• Maintaining nonstop service on overlapping routes where Alaska and Hawaiian are the sole or primary competitors.
• Preserving interline agreements with other U.S. carriers.
• Ensuring fair access to airport infrastructure at Honolulu International Airport.
• Aligning customer service plans to improve onboard services for children, frequent fliers, military personnel and rebooked passengers. The goal is to meet DOT’s Customer Service Dashboard standards.
• Continuing service to rural and underserved communities, including Alaska’s participation in the Essential Air Service program, and upholding the interline agreement with Mokulele Airlines.
• Protecting both airlines' loyalty programs until a new, unified program is launched.

By locking in these conditions from Alaska and Hawaiian upfront, the DOT seeks to establish a more proactive approach to the merger review process that prioritizes protecting the public interest from the outset. On September 18, the $1.9 Billion merger deal was finalized, with expectations that both airlines would maintain and fulfill the required obligations.