Hawaiian Airlines Reports May 2018 Traffic Statistics and Updates Expected Second Quarter and Full Year 2018 Metrics

HA logo

HONOLULU, June 11, 2018 /PRNewswire/ — Hawaiian Airlines, Inc., a subsidiary of Hawaiian Holdings, Inc. (NASDAQ: HA) ("Hawaiian" or the "Company"), today announced its system-wide traffic statistics for the month ended May 31, 2018. The Company also updated its expectations for certain second quarter financial metrics and its fuel costs for the full year 2018.

 (PRNewsfoto/Hawaiian Holdings, Inc.)

Hawaiian welcomed more than 1 million guests in May 2018, a record for the month of May and an increase of 4.7% over the same period last year. Total traffic (revenue passenger miles) increased 5.6% on an increase of 6.5% in capacity (available seat miles). Load factor decreased 0.8 points to 85.9%.

The table below summarizes May and year-to-date traffic statistics compared to the respective prior-year periods.

SYSTEM-WIDE OPERATIONS1

 

MAY

2018

2017

% CHANGE

PAX

1,011,175

966,179

4.7%

RPMS (000)

1,445,663

1,369,417

5.6%

ASMS (000)

1,683,228

1,579,843

6.5%

LF

85.9%

86.7%

(0.8) pts.

       

YEAR-TO-DATE

2018

2017

% CHANGE

PAX

4,864,128

4,574,329

6.3%

RPMS (000)

6,863,068

6,462,948

6.2%

ASMS (000)

8,042,653

7,619,942

5.5%

LF

85.3%

84.8%

0.5 pts.

 

PAX

Passengers transported

RPM

Revenue Passenger Miles; one paying passenger transported one mile

ASM

Available Seat Miles; one seat transported one mile

LF

Load Factor; percentage of seating capacity filled

 

1Includes the operations of contract carriers under capacity purchase agreements.

Second Quarter Outlook

The Company has revised its expectations for the quarter ending June 30, 2018, provided in its First Quarter 2018 Earnings Release on April 24, 2018.

Specifically, the Company:

  • lowered its expectations for operating revenue per available seat mile (RASM) primarily due to a reduction in the pace of domestic bookings following an increase in volcanic activity on the Big Island of Hawai'i;
  • revised its expectations for operating cost per available seat mile (CASM) excluding fuel and special items associated primarily with two specific items: an unscheduled maintenance event for one of its A330-200 aircraft, and a one-time expense related to an interim agreement with one of its labor groups pertaining to the Company's intent to purchase Boeing 787-9 aircraft as announced on March 6, 2018;
  • revised its expectations for gallons of jet fuel consumed; and
  • revised its expectations for economic fuel cost per gallon.

The table below summarizes the Company's revised expectations for the quarter ending June 30, 2018, expressed as an expected percentage change compared to the results for the quarter ended June 30, 2017.

Item

 

Original
Second
Quarter 2018
Guidance

 

Revised
Second
Quarter 2018
Guidance

 

GAAP
Equivalent

 

Original
GAAP Second
Quarter 2018
Guidance

 

Revised
GAAP Second
Quarter 2018
Guidance

Operating revenue per available seat mile (ASM)

 

Flat to up 3.0%

 

Down 0.5% to up 1.5%

           

Cost per ASM (CASM) excluding aircraft fuel and special items (a)

 

Up 4.0% to up 7.0%

 

Up 5.0% to up 7.0%

 

Cost per ASM

 

Up 8.6% to up 12.1%

 

Up 10.7% to up 12.7%

Gallons of jet fuel consumed

 

Up 5.0% to up 7.0%

 

Up 6.0% to up 7.0%

           

Economic fuel cost per gallon (b)(c)

 

$2.00 to $2.10

 

$2.05 to $2.10

 

Fuel cost per gallon (b)

 

$2.11 to $2.21

 

$2.20 to $2.25

   

(a)

See Table 1 for a reconciliation of GAAP operating expenses to operating expenses excluding aircraft fuel and special items.  Excluded from the Company's expectations for CASM excluding aircraft fuel and special items are any assumptions related to the amendable contract with its flight attendant union.

(b)

Fuel cost per gallon estimates are based on the June 8, 2018 fuel forward curve.

(c)

See Table 2 for a reconciliation of GAAP fuel costs to economic fuel costs.

Full Year 2018 Outlook

The Company also revised its expectations for economic fuel cost per gallon for the full year ending December 31, 2018, also previously provided on April 24, 2018, as noted in the table below.

Item

 

Original Full
Year 2018
Guidance

 

Revised Full
Year 2018
Guidance

 

GAAP
Equivalent

 

Original
GAAP Full
Year 2018
Guidance

 

Revised
GAAP Full
Year 2018
Guidance

Economic fuel cost per gallon (a)(b)

 

$1.97 to $2.07

 

$2.05 to $2.15

 

Fuel cost per gallon (a)

 

$2.02 to $2.12

 

$2.14 to $2.24

   

(a)

Fuel cost per gallon estimates are based on the June 8, 2018 fuel forward curve.

(b)

See Table 2 for a reconciliation of GAAP fuel costs to economic fuel costs.

The Company's expectations for the full year CASM excluding aircraft fuel and special items remain unchanged.

Non-GAAP Financial Reconciliations

Table 1. Operating Costs per Available Seat Mile (CASM)
(in thousands, except CASM data) (unaudited)

   

Estimated three months ending June 30, 2018

GAAP operating expenses

 

$

620,029

 

to

$

642,853

 

  Less: aircraft fuel, including taxes and delivery

 

(150,672)

 

to

(155,445)

 

Adjusted operating expenses – excluding aircraft fuel and special items

 

$

469,357

 

to

$

487,408

 

Available Seat Miles

 

4,972,266

 

to

5,066,975

 

CASM – GAAP

 

12.47

¢

to

12.69

¢

  Less: aircraft fuel

 

(3.03)

 

to

(3.07)

 

CASM – excluding aircraft fuel and special items

 

9.44

¢

to

9.62

¢

Table 2. Economic Fuel Expense
(in thousands, except per-gallon amounts) (unaudited)

   

Estimated three months ending June 30, 2018

Aircraft fuel expense, including taxes and delivery

 

$

150,672

 

to

$

155,455

 

Realized losses on settlement of fuel derivative contracts

   

(10,500)

 

to

 

(10,500)

 

Economic fuel expense

 

$

140,172

 

to

$

144,945

 

Fuel gallons consumed

   

68,376

 

to

 

69,021

 

Economic fuel costs per gallon

 

$

2.05

 

to

$

2.10

 
   

Estimated full year ending December 31, 2018

Aircraft fuel expense, including taxes and delivery

 

$

573,811

 

to

$

617,346

 

Realized losses on settlement of fuel derivative contracts

   

(25,000)

 

to

 

(25,000)

 

Economic fuel expense

 

$

548,811

 

to

$

592,346

 

Fuel gallons consumed

   

267,712

 

to

 

275,510

 

Economic fuel costs per gallon

 

$

2.05

 

to

$

2.15

 

Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect the Company's current views with respect to certain current and future events and financial performance.  Such forward-looking statements include, without limitation, the Company's expectations regarding operating revenue per available seat mile, cost per available seat mile, cost per available seat mile excluding fuel and special items, gallons of jet fuel consumed, fuel cost per gallon, and economic fuel cost per gallon for the quarter ending June 30, 2018; and fuel cost per gallon and economic fuel cost per gallon for the year ending December 31, 2018 ; and statements as to other matters that do not relate strictly to historical facts or statements of assumptions underlying any of the foregoing.  Words such as "expects," "anticipates," "projects," "intends," "plans," "believes," "estimates," variations of such words, and similar expressions are also intended to identify such forward-looking statements.  These forward-looking statements are and will be, as the case may be, subject to many risks, uncertainties and assumptions relating to the Company's operations and business environment, all of which may cause the Company's actual results to be materially different from any future results, expressed or implied, in these forward-looking statements.  These risks and uncertainties include, without limitation, the Company's ability to accurately forecast quarterly and annual results; economic volatility; macroeconomic developments; political developments; the price and availability of aircraft fuel; fluctuations in demand for transportation in the markets in which the Company operates; changes in the volcanic activity on the Big Island of Hawai'i and its effects on bookings; the Company's dependence on tourist travel; labor negotiations and related developments; competitive pressures, including the potential impact of rising industry capacity between North America and Hawai'i; the Company's ability to continue to generate sufficient cash flow to support the payment of a quarterly dividend; changes in the Company's future capital needs; foreign currency exchange rate fluctuations; and the Company's ability to implement its growth strategy.

The risks, uncertainties and assumptions referred to above that could cause the Company's results to differ materially from the results expressed or implied by such forward-looking statements also include the risks, uncertainties and assumptions discussed from time to time in the Company's other public filings and public announcements, including the Company's Annual Report on Form 10-K and the Company's Quarterly Reports on Form 10-Q, as well as other documents that may be filed by the Company from time to time with the Securities and Exchange Commission.  All forward-looking statements included in this document are based on information available to the Company on the date hereof.  The Company does not undertake to publicly update or revise any forward-looking statements to reflect events or circumstances that may arise after the date hereof even if experience or future changes make it clear that any projected results expressed or implied herein will not be realized.

About Hawaiian Airlines
Hawaiian® has led all U.S. carriers in on-time performance for each of the past 14 years (2004-2017) as reported by the U.S. Department of Transportation. Consumer surveys by Condé Nast Traveler, Travel + Leisure and TripAdvisor have placed Hawaiian among the top of all domestic airlines serving Hawai'i.

Now in its 89th year of continuous service, Hawaiian is Hawai'i's biggest and longest-serving airline. Hawaiian offers non-stop service to Hawai'i from more U.S. gateway cities (12) than any other airline, along with service from Japan, South Korea, China, Australia, New Zealand, American Samoa and Tahiti. Hawaiian also provides approximately 170 jet flights daily between the Hawaiian Islands, with a total of more than 250 daily flights system-wide.

Hawaiian Airlines, Inc. is a subsidiary of Hawaiian Holdings, Inc. (NASDAQ: HA). Additional information is available at HawaiianAirlines.com. Follow Hawaiian's Twitter updates (@HawaiianAir), become a fan on Facebook (Hawaiian Airlines), and follow us on Instagram (hawaiianairlines). For career postings and updates, follow Hawaiian's LinkedIn page.

For media inquiries, please visit Hawaiian Airlines' online newsroom.

 

 

Cision View original content with multimedia:https://www.prnewswire.com/news-releases/hawaiian-airlines-reports-may-2018-traffic-statistics-and-updates-expected-second-quarter-and-full-year-2018-metrics-300664338.html

SOURCE Hawaiian Airlines

Alaska simplifies boarding process

You may have a complicated relationship with boarding an aircraft. On the one hand, it means you will soon settle into your seat and you’re almost on your way. On the other hand, it can sometimes be stressful if you’re not sure when it’s your turn to board. At one point or another, you’ve probably seen a big queue of people – let’s be honest, sometimes it’s just a shapeless blob – that forms when people aren’t sure if it’s their time to board.

Starting July 18, Alaska will be launching a new group boarding process that will simplify the process for guests. This identifies which of the six groups – First Class, Group A, Group B, Group C, Group D or Group E – you belong to. You’ll simply approach the gate with the rest of your group when your group is announced.

This new boarding process doesn’t change anything about where you sit once you’re inside the plane – Alaska Airlines still has confirmed, assigned seats that you may select in advance. There’s no change to that.

Here’s a quick rundown on what this all means for you the next time you fly Alaska Airlines.

Boarding Pass

For flights on or after July 18, 2018, you will see some changes to the boarding pass design – such as larger fonts and more streamlined information.

Your boarding pass is really a guide for your journey. You want to know, first and foremost, where you need to be (your gate) and when you need to be there (your boarding time).

You’ll notice these two pieces of information are now big and bold. In tests, guests were quickly and easily able to get the information they needed from their boarding passes.

You will find your group letter listed on your boarding pass. If you have multiple flight segments, you’ll see each one on a separate line and an assigned group letter for each. If you’re a Mileage Plan MVP traveling with other people on the same reservation, you will all see the same boarding group noted on your boarding pass.

Read More

E komo mai!

In Hawai‘i, oral storytelling has long served as a cultural messenger, spreading centuries worth of traditions, values, legends and historical allusions throughout generations. For Hawaiian Airlines – one of the world’s first commercial airlines – our legacy has lived on since our founding in 1929 through our employees, our guests, and the experiences they share onboard each flight and while visiting our shores.

In honor of our deeply-rooted history, today we introduce you to Mana‘o, the blog of Hawaiian Airlines.

Intro Timeline

Why Mana‘o?

Mana‘o (meaning thought, idea, and knowledge) will serve as the platform to share the everyday expertise, stories, and happenings from our company’s ‘ohana.

What information can I expect?

With each post, you’ll learn how Hawaiian is making an impact in our local community and throughout the markets we serve, take a walk in the shoes of our employees and partners, and dive deep into interesting, aviation-related happenings taking place within our company.

How do I stay updated?

Anyone can sign up for real-time blog updates by entering an email address in the Subscribe box, located on our page’s sidebar.

You can also contact us at news@hawaiianair.com for more information.

Video: A stylist’s take on San Francisco

Alaska Airlines recently partnered with Darling Media to launch the “Go, Be You” video series, which follows eight women as they explore eight Alaska Airlines destinations. Each video is hosted by a traveler who shares the hidden gems that define the personality of each city.

San Francisco with Bethany Menzel

The quirks are the perks. Unconventional museums. Vintage shops. Stylish restaurants. Content Creator Bethany Menzal’s hilly adventure shares the city’s creativity and unique architecture.

Watch more videos in the series

Stirred to action: Alaska Airlines to ditch plastic straws in favor of marine-friendly stir sticks

By Jacqueline Drumheller, Sustainability Manager

These days, most 16-year-olds are focused on getting their driver’s licenses, playing Fortnite or deciding who they want to ask to prom, but Shelby O’Neil isn’t your average teenager. She’s a Girl Scout who created Jr Ocean Guardians for her 2017 Girl Scout USA Gold Award Project to share her passion to save our oceans and marine life for future generations.

Shelby O’Neil reached out to Alaska Airlines last year, asking us to eliminate single-use plastic stir straws to reduce the amount of plastic pollution that is damaging our oceans.

Shelby reached out to Alaska Airlines last year, urging us to eliminate single-use plastic straws to reduce plastic pollution that is damaging our oceans. Little did she know, we were on the cusp of becoming the first U.S. airline to make this change, building on our decades-long commitment to environmental stewardship.

Starting this summer, we’re replacing non-recyclable plastic stir straws and citrus picks – we used 22 million last year – with sustainable, marine-friendly alternatives on all domestic and international flights, as well as in Alaska’s lounges across the country. For people with special needs, we’ll happily provide non-plastic, marine-friendly option, upon request.

We’ve partnered with the Seattle-based nonprofit Lonely Whale, an organization that drives impactful market-based change on behalf of our oceans, to support this initiative.

Read More

Copper River salmon 2018: Alaska brings first fish to Seattle

This week marks the official start of the 2018 Copper River King Salmon season in Cordova, Alaska. For many people, the kick-off of Copper River salmon season means that summer is officially here.

As part of the tradition to celebrate the first catch, Alaska Airlines hosted the 9th annual Copper Chef Cook-off on Friday at Seattle-Tacoma International Airport.

Read More

Video: A beautician’s take on San Diego

Alaska Airlines recently partnered with Darling Media to launch the “Go, be you” video series, which follows eight women as they explore eight Alaska Airlines destinations. Each video is hosted by a traveler who shares the hidden gems that define the personality of each city.

San Diego with Jeanette Ogden

A breath of perfect air. The ultimate facial. Authentic Japanese Matcha. Campfire-inspired cuisine. Jeanette Ogden (founder of Shut the Kale Up – a wellness, health, and fitness platform) takes in the relaxing and rejuvenating air and aura of San Diego, and its surrounding natural beauty. Ready to fly? Shop now.

Read More

Tap to taste: Alaska expands pre-flight ordering for first class meals on more than 200 daily flights

Great trips require great planning. Whether you’re traveling for business, or flying some place new with the family, there’s a lot that goes into getting ready for travel.

You’ve scrolled through options for hotels, activities and restaurants, and made your selections. And now on Alaska, if you’ve splurged on a first class seat, or snagged an upgrade with your elite status, you can do the same with your in-flight meal options.

Read More

Video: A wellness blogger’s take on Palm Springs

Alaska Airlines recently partnered with Darling Media to launch the “Go, be you” video series, which follows eight women as they explore eight Alaska Airlines destinations. Each video is hosted by a traveler who shares the hidden gems that define the personality of each city.

“Alaska provides West Coast residents with the most nonstop flights to places where they can truly discover themselves, rejuvenate and create memories,” said Natalie Bowman, Alaska’s managing director of marketing and advertising. “Partnering with Darling has allowed us to highlight these travel opportunities in such an authentic and engaging way.”

Read More

Hawaiian Airlines Reports April 2018 Traffic Statistics

HA logo

HONOLULU, May 7, 2018 /PRNewswire/ — Hawaiian Airlines, Inc., a subsidiary of Hawaiian Holdings, Inc. (NASDAQ: HA) ("Hawaiian"), today announced its system-wide traffic statistics for the month ended April 30, 2018.

Hawaiian welcomed more than 961 thousand guests in April 2018, a record for the month of April and an increase of 6.3% over the same period last year.  Total traffic (revenue passenger miles) increased 7.1% on an increase of 7.3% in capacity (available seat miles).  Load factor decreased 0.1 points to 85.2%.

The table below summarizes April and year-to-date traffic statistics compared to the respective prior-year periods.

SYSTEM-WIDE OPERATIONS1

APRIL

2018

2017

% CHANGE

PAX

961,431

904,048

6.3%

RPMS (000)

1,386,621

1,295,039

7.1%

ASMS (000)

1,627,927

1,517,745

7.3%

LF

85.2%

85.3%

(0.1) pts.

       

YEAR-TO-DATE

2018

2017

% CHANGE

PAX

3,852,953

3,608,150

6.8%

RPMS (000)

5,417,404

5,093,531

6.4%

ASMS (000)

6,359,424

6,040,099

5.3%

LF

85.2%

84.3%

0.9 pts.

   

PAX

Passengers transported

RPM

Revenue Passenger Miles; one paying passenger transported one mile

ASM

Available Seat Miles; one seat transported one mile

LF

Load Factor; percentage of seating capacity filled

 

1Includes the operations of contract carriers under capacity purchase agreements.

About Hawaiian Airlines
Hawaiian® has led all U.S. carriers in on-time performance for each of the past 14 years (2004-2017) as reported by the U.S. Department of Transportation. Consumer surveys by Condé Nast Traveler, Travel + Leisure and TripAdvisor have placed Hawaiian among the top of all domestic airlines serving Hawai'i.

Now in its 89th year of continuous service, Hawaiian is Hawai'i's biggest and longest-serving airline. Hawaiian offers non-stop service to Hawai'i from more U.S. gateway cities (11) than any other airline, along with service from Japan, South Korea, China, Australia, New Zealand, American Samoa and Tahiti. Hawaiian also provides approximately 170 jet flights daily between the Hawaiian Islands, with a total of more than 250 daily flights system-wide.

Hawaiian Airlines, Inc. is a subsidiary of Hawaiian Holdings, Inc. (NASDAQ: HA). Additional information is available at HawaiianAirlines.com. Follow Hawaiian's Twitter updates (@HawaiianAir), become a fan on Facebook (Hawaiian Airlines), and follow us on Instagram (hawaiianairlines). For career postings and updates, follow Hawaiian's LinkedIn page.

 

 

Cision View original content:https://www.prnewswire.com/news-releases/hawaiian-airlines-reports-april-2018-traffic-statistics-300643828.html

SOURCE Hawaiian Airlines

Careers ready for takeoff – Alaska Airlines Aviation Day celebrates 10th anniversary

On May 5, 2,000 students descended on Alaska’s Seattle hangar for a taste of the aviation industry. What they got was a nine-course meal.

Students tried their hand at landing a Boeing 737 in-flight simulator, built gliders with guidance from Boeing engineers, chatted up military fighter pilots, performed maintenance checks with Alaska mechanics and attended lectures with the pros to learn what it takes to pursue aviation careers.

Read More

Giving back to Habitat for Humanity, while breaking new ground

As Alaska Air Group breaks ground on a new office building near Sea-Tac Airport, we’re giving back to our communities and keeping as much as we can out of landfills.

Earlier this spring, Alaska teamed up with a group of volunteers from Habitat for Humanity to clear out each room of the former Sandstone Inn in SeaTac, across the street from Alaska’s Corporate Headquarters, to get it ready for the construction of the new office building.

“Habitat for Humanity is a valued partner serving communities where Alaska employees live and work,” said Shaunta Hyde, managing director of community relations. “As we strive to build a better future for our people, partnering with Habitat to benefit the lives of families in our backyard seemed like a logical next step for Alaska.”

Read More

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