As the flagship carrier of Hawai‘i for nine decades, we are proud to indulge our guests in the flavors, sights and sounds of the Islands each time they fly with us. Behind the scenes, we’re working closely with movers and shakers across the state to weave their products and stories into the flight experience.
The upcoming three-day marketplace will feature hundreds of Hawai‘i businesses from throughout the Islands, including our interactive, entrepreneur-focused booth done in collaboration with our partner, Mana Up, a local initiative helping companies scale their products.
What to Expect at MIHF
Festival attendees who stop by the Hawaiian Airlines x Mana Up booth will learn more about the stories behind six featured brands: Hanalei, Kunoa Cattle Company, Macapan, Manele Spice Company, Kaimana Jerky, and Voyaging Foods. Visitors can also purchase products, speak to select business owners and play to win exclusive prizes.
Hawaiian Airlines first launched its partnership with Mana Up in 2018 as part of a long-term commitment to support island-based retail and food companies. Through this collaboration, local businesses can leverage our robust flight route network to reach a global audience while also complementing our award-winning service.
“Our goal in working together is to support innovative minds from our island home and share their local products with our guests on a global scale,” said Robert Sorensen, vice president of marketing at Hawaiian Airlines.
Today, our guests can enjoy in-flight products sourced from three businesses that have participated in Mana Up’s product accelerator program. These companies include:
The Hawaiian Pie Company is a family-owned bakery known for its delectable artisan pies and home-style baked goods. Guests flying to the U.S. Mainland in our First Class cabin receive a bite-size baked pie as part of our Hawai‘i-inspired meal service.*
Hanalei creates gentle skincare products, inspired by Hawaii’s lush, tropical landscape and native botanicals. Made with treasured tropical ingredients ranging from pressed kukui nut oil, aloe, papaya, lavender and raw cane sugar, their unique formulations are perfect for everyday use and for any skin type. Hanalei’s beauty products can be purchased on our international flights from our Duty Free catalog.
Kunoa Cattle Company is a sustainable Hawai‘i meat company. It manages a herd of several thousand cattle on Kaua‘i, operates Hawaii’s largest meatpacking facility, and sells fresh and value-added Hawai‘i meat products to retailers, food service, and direct to consumers. Kunoa’s beef bar can be purchased on all U.S. Mainland and select international flights from our Pau Hana Cart.
Serving Local at 35,000 Feet
Our guests can experience the tastes of Hawai‘i through a variety of local products available onboard our aircraft, from Maui-brewed beer to locally roasted coffee. The list continues to grow, and today includes:
Aloha Maid POG
Kona Chips
Aloha Wai
Kunoa Cattle Company
Cropsticks (coming Sept. 1)
La Tour Bakehouse
Hawaiian Chip Company
Lion Coffee
Hawaiian Host
Maui Brewing Company
Honolulu Pie Company
Ocean Vodka
Honolulu Cookie Company
Primo Popcorn
Island Princess
Samurai
Koloa Rum
Tea Chest Hawaii
To learn more about what we offer on our aircraft, click here.
*Excludes redeye flights
It’s happening! Flights between Everett’s Paine Field and Spokane now on sale
When it comes to adding new destinations from Paine Field, we heard your love for the Lilac City loud and clear. So, Snohomish County – say hello to Spokane!
We’re excited to launch daily, nonstop jet service between Paine Field in Everett and Spokane in Eastern Washington starting Nov. 4 – just in time for holiday travel.
“When it comes to flights at Paine Field, our guests have been eager for one city to be added above all others right now – they said make it Spokane,” said David Besse, our manager of network planning. “We believe this route will be very popular, easily connecting family and friends, workers and businesses, between two dynamic regions of the state.”
Our start of service at Paine Field began just five months ago. In that short time, flying in and out of Everett has become a popular, convenient option for many travelers, especially those who live north of Seattle. It prevents a drive to Sea-Tac Airport. As of late July, nearly 300,000 guests have flown with us at Paine Field.
All Alaska flights at Paine Field are operated by Horizon Air with jet service using the Embraer 175 aircraft, which features a three-class cabin. From Paine Field, guests can currently fly to eight destinations: Las Vegas; Los Angeles; Orange County, California; Phoenix; Portland, Oregon; San Diego; San Francisco; and San Jose, California. Alaska recently announced Palm Springs will become its ninth destination from Everett, with tickets already on sale.
The sky really is the limit from Paine Field. Our guests can connect with our Global Partners at our gateway airports on the West Coast – such as Los Angeles and San Francisco – to fly to more than 900 destinations around the globe. Flyers can also earn and redeem miles with our highly-acclaimed Mileage Plan program.
Creating lift: Imagine what’s possible for the environment, our communities and our people
If you’ve flown with a kid lately, you know that the moment the airplane leaves the ground, it feels like magic. In fact, the Alaska Airlines employees-turned-elves Fantasy Flight crew in Spokane, Washington, have made that magic very real the first weekend of every December for the last 20 years—giving kids who wouldn’t otherwise have the opportunity a ride to “Santa’s workshop” for holiday cheer, warm clothes and a gift request come true.
That magical moment is thanks to the physics concept of “lift.” Centuries upon centuries after sailboats used this concept to cross oceans, engineers built curves into airplane wings—forcing air above the wing to travel farther, and therefore faster, than air below the wings, lifting the plane into the air.
But what if we could translate this idea, the collective force of air particles acting around a wing, into our environment, our communities and the people who make up our business? In its origin, lift was a bold idea—seemingly simple, but creating infinite possibilities for people, commerce and connection.
For us, it’s both our past and our future. It’s why we work here. We love aviation, and we know that being a resilient, responsible business requires us to create lift on all fronts. It means investing in our people, cultivating a diverse and talented workforce, innovating to reduce our environmental impact and resource use, using our flying to support those in need, and enabling and inspiring young people to pursue their dreams.
These aren’t easy things, and we don’t have all the answers. We value the chance to partner with those who are also on the path to fly and live greener, better, more sustainably. In 2018, we worked hard across Alaska and Horizon toward our social and environmental impact goals and priorities:
Removing 22 million plastic straws and stir sticks from our aircraft in favor of sustainable alternatives
Improving our inflight recycling—already the best in the business—by Integrating our inflight service training across all aircraft types in our mainline fleet
Half of our independent board members are women—and we were the first West Coast based Fortune 500 company to do this. This means better diversity of thought, and ultimately better decisions
Bringing the total number of Airbus 321 neo aircraft in our fleet to eight, each over 50% more efficient than the older Airbus 319s.
Signing memorandum of understanding agreements with Sea-Tac International Airport, San Francisco International Airport, and Neste, a sustainable fuels company, to continue to figure out ways to be more fuel-efficient and to make sustainable aviation jet fuel a commercially viable and locally-produced option
How we are creating lift at Alaska Airlines
This slideshow requires JavaScript.
(Graphic by Jason Wilcox, Alaska Airlines)
We also began to focus our social impact to inspire, empower, and enable young people—especially those who don’t start out with a lot of opportunity—to make career connections and improve economic mobility. We’re making a long-term commitment to hone our own version of lift: fueling to explore and learn critical thinking and critical skills; mentoring and enabling programs for kids to find their voice and believe in their strengths; providing internships for young people to explore work pathways; and hiring, training and promoting a diverse workforce. We’ll continue to learn with and from our people, our partners and our communities about where and how we can best contribute.
We’re made of up 23,000 and the many more who’ve served our company over the decades. Millions more fly with us, inspire us and keep us striving for better ways to serve. Many of these remarkable people started with us as young people themselves, growing families, exploring new realms of aviation or growing their careers to finish school and try new things. As our hubs and the beautiful places we live and fly continue to grow and flourish, we owe it to each other to be strong, resilient and thriving for the long term.
That kind of lift will take all of us. Thank you for being part of this journey.
HONOLULU – Maui residents visiting Hawai‘i’s adopted “ninth island” will be able to fly straight to the popular Nevada destination when Hawaiian Airlines inaugurates its newest narrow-body Airbus A321neo aircraft route later this year. The airline announced today that it will begin four-times-weekly service between Maui’s Kahului Airport (OGG) and Las Vegas’ McCarran International Airport (LAS) on December 15.
To celebrate the new route, Hawaiian is offering special $199 one-way fares through Aug. 14 at www.HawaiianAirlines.com. As a mahalo to the airline’s loyal frequent flyers, new and existing HawaiianMiles members will also receive an additional 10 percent discount when booking nonstop flights between Maui and Las Vegas during the promotional period.
The airline today also announced the start of sales for two other new A321neo routes — thrice-weekly nonstop service between Honolulu’s Daniel K. Inouye International Airport (HNL) and Seattle-Tacoma International Airport (SEA) starting Jan. 7; and seasonal winter service between OGG and Los Angeles International Airport (LAX) from Dec. 14 through Jan. 5. The new flights complement existing daily nonstop service offered on each route with wide-body Airbus A330 aircraft.
“Hawaiian has been carrying local residents to and from Las Vegas, and welcoming our Nevada visitors to Hawai‘i for over 30 years,” said Peter Ingram, president and CEO at Hawaiian Airlines. “We’re thrilled to once again offer the convenience of nonstop flights between the Valley Isle and the ninth island. We’re also excited to add a second Honolulu-Seattle flight and seasonal service between Maui and Los Angeles, offering our guests more options when traveling between Hawai‘i and the U.S. West Coast.”
Kahului (OGG) – Las Vegas (LAS)
FLIGHT
ROUTE
DEPARTS
ARRIVES
FREQUENCY
START DATE
HA32
OGG-LAS
8:50 p.m.
4:30 a.m.
Mon., Wed., Fri., Sun.
Dec. 15, 2019
HA31
LAS-OGG
6:30 a.m.
11:00 a.m.
Mon., Tues., Thurs., Sat.
Dec. 16, 2019
Honolulu (HNL) – Seattle (SEA)
FLIGHT
ROUTE
DEPARTS
ARRIVES
FREQUENCY
START DATE
HA28
HNL-SEA
10:00 p.m.
5:50 a.m.
Tues., Thurs., Sat.
Jan. 7, 2020
HA27
SEA-HNL
7:20 a.m.
11:40 a.m.
Wed., Fri., Sun.
Jan. 8, 2020
Kahului (OGG) – Los Angeles (LAX)
FLIGHT
ROUTE
DEPARTS
ARRIVES
FREQUENCY
START DATE
END DATE
HA56
OGG-LAX
9:45 p.m.
5:00 a.m.
Tues., Thurs., Sat.
Dec. 14, 2019
Jan. 4, 2020
HA55
LAX-OGG
12:00 p.m.
3:50 p.m.
Wed., Fri., Sun.
Dec. 15, 2019
Jan. 5, 2020
Hawaiian first launched Honolulu-Las Vegas service in September 1985 with Lockheed L-1011 aircraft, and previously operated OGG-LAS flights from October 2010 to October 2012 with Boeing 767 aircraft. Hawaiian, which today offers up to three daily nonstop flights between Honolulu and Las Vegas with A330 aircraft, carried more than 470,000 guests between the two cities in 2018.
On the new flights between Maui and Las Vegas, Hawaiian will welcome guests into the comfort of its quiet and fuel-efficient A321neo aircraft. The A321neo features 16 luxurious leather recliners in First Class, 44 Extra Comfort premium economy seats, and 129 Economy seats. In addition to Hawaiian's warm hospitality, including complimentary meals and in-flight entertainment, guests will have access to USB outlets and additional overhead stowage space.
About Hawaiian Airlines
Hawaiian® has led all U.S. carriers in on-time performance for each of the past 15 years (2004-2018) 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 90th 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 (13) than any other airline, along with service from Japan, South Korea, Australia, New Zealand, American Samoa and Tahiti. Hawaiian also provides, on average, more than 170 jet flights daily between the Hawaiian Islands, and over 260 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.
Hawaiian Airlines Awarded New Haneda-Honolulu Route
HONOLULU – Hawaiian Airlines today confirmed plans to increase service between Tokyo and Honolulu in the summer of 2020, after receiving final U.S. Department of Transportation approval to operate one additional daily nonstop flight between Haneda Airport (HND) and Daniel K. Inouye International Airport (HNL).
“As the U.S. airline offering the most flights to the most markets between Japan and Hawai‘i, we look forward to building on the popularity of our authentic Hawaiian hospitality by adding another convenient option for guests traveling between Haneda and Honolulu,” said Peter Ingram, president and CEO of Hawaiian Airlines. “Our new service will allow more travelers from Tokyo and beyond to enjoy our unparalleled network of flights connecting Japan and the Hawaiian Islands.”
Hawaiian’s new Haneda slot will enable the airline to substantially grow connectivity to banks of flights departing and arriving from points throughout Japan with codeshare partner Japan Airlines, increasing the quantity and quality of service options as well as needed competition in some underserved locales ahead of the 2020 Olympic Summer games.
Hawaiian has significantly invested in the Japan-Hawai‘i market since it launched daily Haneda-Honolulu flights in 2010 and became the first U.S. airline to serve the Tokyo airport. In 2016, Hawaiian added additional flights at Haneda, serving Honolulu four times a week and Kona three times per week. That same year, the carrier also commenced daily flights between Tokyo’s Narita airport and Honolulu.
Hawaiian, which today operates a leading 31 weekly nonstop flights between Japan and Hawai‘i with wide-body Airbus A330 aircraft, will further expand its network on Nov. 26, when it begins four weekly flights between Fukuoka and Honolulu. The airline also offers flights between Hawai‘i and both Kansai International Airport in Osaka and New Chitose Airport in Sapporo.
Today’s announcement by the U.S. DOT comes as Hawaiian and JAL await government approvals for their antitrust immunized joint venture application. The proposed alliance, which promises significant consumer benefits including lower fares, increased capacity and enhanced consumer choice, would facilitate Hawaiian’s access to 34 destinations throughout Japan, including Nagoya and Okinawa, as well as 11 points in Asia beyond Japan. Japan Airlines and its customers, in turn, would enjoy improved access to Hawaiian’s Neighbor Island network as well as its non-stop flights to Honolulu from Haneda and Sapporo.
About Hawaiian Airlines
Hawaiian® has led all U.S. carriers in on-time performance for each of the past 15 years (2004-2018) 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 90th year of continuous service, Hawaiian is Hawai‘i’s biggest and longest-serving airline. Hawaiian offers nonstop service to Hawai‘i from more U.S. gateway cities (13) than any other airline, along with service from Japan, South Korea, Australia, New Zealand, American Samoa and Tahiti. Hawaiian also provides, on average, more than 170 jet flights daily between the Hawaiian Islands, and over 260 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.
Capturing the journey: A photographer’s guide to making great photos from your airplane seat
There’s a bit of a wow factor to the job title, staff photographer at Alaska Airlines. It does include glamorous moments: celebrity partnerships, behind-the-scenes views, and of course, my favorite part – the airplane travel. To be fair, not everything is dazzling. There is constant pressure to deliver perfect images and I spend a lot of days (and nights) away from my two young girls and incredibly supportive husband. But the positives far outweigh any negative as I frequently – meaning, more than 70 flights in the past 12 months – find myself jetting up and down the West Coast.
Ingrid Barrentine on the 2017 Great American Eclipse flight.
My love of travel isn’t new. I grew up in a small town where travel meant road trips, and my family of six was good at them. We loved them so much that we took a year sabbatical, crammed into an RV, and meandered across the United States. It was on that trip, while in the red rock canyons of the American Southwest, that I began to see photography as a way of capturing the journey. I was 15 and my father, who loved landscape photography but had discovered an interest in camcorder-crafted video, handed me his Nikon film camera and asked me to help document our adventure. I didn’t know what I was doing, but I was hooked. I had to travel. And I had to travel with a camera. Fast-forward to my first time on an airplane – at 17 – and that wanderlust exploded. I spent the better part of the next few years traveling – with a camera – to Europe, where I worked in Romania as a volunteer educator. Once back in the U.S., I went to school for photography and landed an internship with my local newspaper. Learning how to tell stories with a camera turned into career gold and I’m forever grateful that I get to do what I love. Every. Single. Day.
Enough about me! Let’s talk about my office – the airplane. The romantic notion of photographing air travel can be quickly dashed by the realization that an airplane is NOT an easy place to make nice images. It’s often crowded and you have no control over the light. That said, here are some things you can do to ensure that you document the story of your trip from the start.
What are some tools for creating good photos on a plane?
Do you own a professional camera or do you make images with your phone? You can capture good photos with both! The key is to plan ahead.
For a DSLR, make sure your ISO and/or shutter speed are high enough to stop motion. Choose a versatile lens. I personally like the 24-70 2.8mm or the 35 or 50 1.4mm. These lenses are small and can be handheld with no issues.
If a phone is your camera of choice, make sure you have enough free memory to handle all your vacation images. And don’t forget your charging cable! Good natural light always helps a phone image look better, so try and snag a window seat. A multitude of apps help make phones powerful storytelling tools. You can capture video, stills, and create time-lapses. Just remember to focus lock on your subject. (Google it for your type of phone.) Photo-retouching apps like Snapseed are affordable and offer a lot of customization options. Social media powers like Instagram allow you to share your adventure in real time. And they provide some pretty fun tools – boomerangs anyone? – to help you get creative as you capture your journey.
What apps might help me take or alter that perfect shot?
For mobile:
Snapseed: A popular image editing app.
Lightroom: The phone app is my mobile editing method of choice.
ImgPlay Pro: A fun gif maker – think IG stories.
iMovie: A great app for cutting video clips on the fly.
Unfold: A lovely IG story layout app. Makes those stories pop!
LightTrac: Want to know where the sun will be at any given moment in a specific location? This is your friend.
FlightAware: This is handy if you’re interested in watching your flight’s path.
For laptop:
Adobe Creative Suite: Photoshop and Lightroom are the perfect tools to edit your images.
PhotoMechanic: A photojournalist’s best friend! And a fabulous software for ingesting, sorting and tagging imagery.
What are three things people can do to get a great shot out an airplane window?
1. Choose a window seat.
It is more challenging to get good inflight images from an aisle seat, so I always opt for the window. Choose your seat based on what side of the plane will have the most interesting scenery. Look up the flight route on a map. And this site lists all aircraft seat maps. For example, if I’m flying from Seattle to California, I’ll choose a window seat on the left side of the plane (the A seats), so that I will be able to capture imagery of Mount Rainier as I’m flying by.
Pro-tip: Add a screen wipe or soft cotton cloth to your travel bag. Sometimes the windows need a little cleaning.
If your window seat is in the front of the plane, you can capture unobstructed views of the landscape like the image of Molokini on the approach to Maui.
Camera data: Canon 5D Mark IV, 24-70 2.8 lens, ISO 640 Aperture 3.5, Shutter Speed 1/3200
Whereas if you’re sitting on the wing, you’ll have to incorporate it into the view.
One of our aircraft – the Airbus A320neo – has a unique small round window mid-cabin. I love how the shape of this window perfectly frames the wing. Camera data: Canon 5D Mark IV, 24-70 2.8 lens, ISO 400 Aperture 5.6, Shutter Speed 1/8000
And if your seat is in the back, the wing will frame the landscape below like in this next image above downtown San Francisco.
Pro-tip: If you’re flying to SEA from SFO, choose a window seat on the A side. More often than not, you’ll have a fabulous view of the city as you circle it after takeoff.
Camera data: Canon 5D Mark IV, 70-200 2.8 lens, ISO 145 Aperture 2.8, Shutter Speed 1/5000
Incorporate storytelling aircraft elements like the window or wing to give the viewer a sense of place.
Banking over West Seattle. Camera data: Nikon D4, 35mm 1.4 lens, ISO 250 Aperture 6.3, Shutter Speed 1/2000
2. Look for the light.
Select your seat based upon the time of day. Do you take off at sunrise? Do you want to shoot into the sun? Will you land at sunset? Look at the route the aircraft will take and if possible, select your seat based on where you want to be to capture the best light.
Sunrise above the clouds. Camera data: Canon 5D Mark IV, 24-70 2.8 lens, ISO 200 Aperture 2.8, Shutter Speed 1/500
Dusk and Mount Rainier. Camera data: Canon 5D Mark IV, 24-70 2.8 lens, ISO 160 Aperture 2.8, Shutter Speed 1/1250
Twilight over Boston. Camera data: Canon 5D Mark IV, 24-70 2.8 lens, ISO 5000 Aperture 2.8, Shutter Speed 1/20
3. Keep your camera with you at all times.
This sounds like I’m stating the obvious, but if you stow your camera for takeoff and landing, you might miss those interesting angles when you are nearer to the ground. I have my camera and a versatile lens – such as a 24-70mm – in my hands as we ascend and descend. Don’t have a fancy camera? A phone will do! Just make sure it is in airplane mode.
Sometimes the plane circles a destination prior to landing, which can give you an opportunity to capture unique angles.
Approach into SEA. Camera data: Nikon D4s, 24 1.4 lens, ISO 50 Aperture 7.1, Shutter Speed 1/200
West Maui – Highway 30. Camera data: Canon 5D Mark IV, 24-70 2.8 lens, ISO 640 Aperture 3.5, Shutter Speed 1/8000
Takeoff at SEA from the window of a Q-400. I slowed my shutter speed to capture the movement of the aircraft engine blades. Camera data: Canon 5D Mark IV, 24-70 2.8 lens, ISO 100 Aperture 4.5, Shutter Speed 1/125
What is your favorite inflight photo and why?
During the Great American Eclipse, I was fortunate to fly with Alaska Airlines and document the event. We had a small window of opportunity to capture totality from 35,000 feet and I wanted to make sure to show an element of the aircraft that was unique to the airline and told the story of us witnessing the event from the air. The pilots and NASA scientists worked their magic and put us in a perfect position to capture the moment. I had 30 seconds to nail the exposure, make sure I had proper focus and line the wing up with the eclipse. Fortunately it worked! The image was shared around the world and the whole experience was one that I won’t soon forget.
Camera data: Nikon D4s, 24 1.4 lens, ISO 400 Aperture 3.2, Shutter Speed 1/80
What are some fun ideas for documenting your journey on a plane? Especially if you get bored?
I personally am a fan of the Instagram story. And if you don’t have a fancy camera, it’s OK because you can make a story on your phone! Telling the story of my trip from boarding to landing is always fun. I like to capture my food (cheese plate, anyone?) and beverage and the window seat views along the way. If you get really bored, play around with Hyperlapse of the scenery or clouds going past your window.
Do you have tips for taking photos of kids while you travel?
I frequently fly with my two daughters and love to watch them process all things travel. From arriving at the airport to takeoff, most kids love to fly. So capturing their excitement is something I enjoy. When we all fly together, I snag the aisle seat and have them take turns at the window (outbound for one, and the return trip for the other). The aisle position allows me to photograph them at the window or together in their seats. As always when traveling with kids, pack your patience! I’ve given up trying to find the perfect angle and instead aim to capture them being them.
Pro-tip: Turn up your ISO and use a wide aperture like f2.8 when you’re on the plane and you’ll have much better results freezing the motion that is a fidgeting child in the darker space of a plane.
Camera data: Nikon D4s, 35 1.4 lens, ISO 640 Aperture 3.2, Shutter Speed 1/200
Camera data: Nikon D4s, 35 1.4 lens, ISO 2000 Aperture 2.2, Shutter Speed 1/80.
Camera data: Nikon D4, 24 1.4 lens, ISO 1250 Aperture 3.5, Shutter Speed 1/3200.
What about airports? Any interesting insights to offer people before they get on a plane?
As a frequent flier, I spend a good amount of time in airports. I’ve also purchased a lounge membership so I can grab a pre-flight coffee or snack in a quiet space. When traveling with camera equipment, I try and pack only what I can carry on the aircraft. I keep my cameras close so that I can make images prior to boarding. You never know when you’ll catch a rainbow before your flight!
On the ground at Sea-Tac International Airport. Camera data: Nikon D4s, 80-200 2.8 lens, ISO 200 Aperture 3.2, Shutter Speed 1/400.
Hawaiian Airlines Appoints Robin Kobayashi as Interim Senior Vice President of Human Resources
HONOLULU – Hawaiian Airlines today announced the appointment of Robin Kobayashi as interim senior vice president of human resources. In her new role, Kobayashi leads Hawaiian’s employment strategy, recruitment efforts, and the administration of benefits, recognition programs, talent management and labor relations for the airline’s 7,300 employee workforce.
“Robin’s leadership and expertise managing labor and employment initiatives made her a standout candidate for this position,” said Peter Ingram, president and CEO at Hawaiian Airlines. “As we expand our business, I look forward to continue working alongside Robin to grow and support our employee ‘ohana.”
Kobayashi, who brings two decades of legal experience to her new post, previously served as Hawaiian’s managing director and associate general counsel of labor and employment. Throughout her tenure, she successfully oversaw the company’s labor and employment efforts related to the Office of Federal Compliance Programs, equal employment opportunity, and privacy. Kobayashi has also served as the executive director of the Hawaii Immigrant Justice Center and was a staff attorney on the National Labor Relations Board in Washington D.C.
Born and raised on O‘ahu, Kobayashi earned a Juris Doctor from the University of Washington and a bachelor’s degree in English literature from the University of Hawai‘i.
Hawaiian Airlines Hiring in Kahului, Līhu‘e and Kona
HONOLULU – Hawaiian Airlines is recruiting for guest service, cargo and ramp agent positions at Kahului Airport, Līhu‘e Airport and Kona International Airport. The airline will be holding open houses to provide more information about the career opportunities on the following dates and locations:
Hawaiian Airlines guest service agents welcome guests with the airline’s signature Hawaiian hospitality at the ticket counter and gate. Ramp agents are responsible for loading and offloading guests’ baggage with care and in a timely manner. Cargo agents provide personalized services and solutions to meet customer shipping needs.
Hawaiian® has led all U.S. carriers in on-time performance for each of the past 15 years (2004-2018) 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 90th year of continuous service, Hawaiian is Hawaii’s biggest and longest-serving airline. Hawaiian offers nonstop service to Hawai‘i from more U.S. gateway cities (13) than any other airline, along with service from Japan, South Korea, Australia, New Zealand, American Samoa and Tahiti. Hawaiian also provides, on average, more than 170 jet flights daily between the Hawaiian Islands, and over 260 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.
As a frequent flyer – and a longtime fan of Alaska Airlines – I’ve earned and redeemed more than a million miles with Alaska over the last decade. Along the way, I’ve learned some tips that can make your international travel experience with Mileage Plan a little more rewarding.
Take advantage of free stopovers: Booking award travel on Alaska Global Partners follows different rules than you may be accustomed to with other airline loyalty programs. Each partner has its own award chart, so you can’t combine multiple partners on the same award. What you can do is book different partners in each direction, so a roundtrip itinerary can have two partners, plus additional flights operated by Alaska Airlines or Horizon Air.
Mileage Plan makes up for this with free stopovers that let you visit two or three cities for the price of one. Let’s say you’re booking a trip to Singapore. Consider flying on Japan Airlines to Tokyo: Stop there for a few days, and then continue your journey to Singapore. On the way back, you could visit Hong Kong before continuing home with Cathay Pacific. Singapore Airlines also recently became a Mileage Plan partner.
Singapore’s Changi Airport opened its new Jewel hub – with a five-story waterfall – in June 2019. Singapore Airlines also adds a new direct Seattle-Singapore route on September 3. (Photo by Kim I. Mott)
Always search for award travel one flight at a time. An itinerary with connections will require that every flight has award space. If one flight is missing, you’ll see zero results. The solution is to search for the longest flight first and consider a few alternatives before building out the rest of the itinerary.
Imagine you want to fly from Sacramento to Barcelona. Look for flights to London on British Airways that depart from San Jose, San Francisco or Los Angeles. After you find availability, look for flights from Sacramento to your local international gateway, and for a connecting flight from London to Barcelona. Record the dates of each flight and perform a new multicity search to book the complete trip.
Call on agents for assistance. When searching for award availability on alaskaair.com, be aware that award-travel options on some carriers can be more difficult to find. Call an Alaska reservations agent for assistance with partner airlines not found on the website. They may be able to suggest more options.
Earn miles while flying internationally. You can also earn Mileage Plan miles with Alaska Global Partners, including Aer Lingus, British Airways, Cathay Pacific, Fiji Airways, Icelandair, Qantas, Singapore Airlines and more. To earn miles with Mileage Plan, make sure to provide your account number when you book your ticket, or ask the agent to add or change your account number when you check in. Earning rates vary by partner.
Remember to check Alaska Airlines first for flights to Canada, Mexico and Costa Rica. If you’re flying internationally within North and Central America, check your options on alaskaair.com first to take advantage of the fact that when flying on any Alaska or Horizon flight, a mile flown equals a mile earned. You’ll also be able to take advantage of your Mileage Plan elite benefits, such as complimentary upgrades based on availability.
As a bonus: If you have the Alaska Airlines Visa Signature® card, remember that it comes with Alaska’s Famous Companion Fare™ offer. The companion fare can be used on any one-way or roundtrip flight operated by Alaska Airlines or Horizon Air, as long as there are still two seats for sale in the Main Cabin or Premium Class. The primary passenger pays the usual price, while the companion pays just $99 plus taxes and fees (from $22 roundtrip) – making it a great value for more-expensive trips such as that vacation to Mexico or Costa Rica. Even better, the companion is still eligible for complimentary elite upgrades and will continue to earn miles for the trip just as they would with any other fare. In my opinion, it is the single most important card benefit and one reason I’ve held onto the card for several years.
Scott Mackenzie founded Travel Codex, a blog devoted to maximizing travel loyalty–program value.
The Alaska credit card program is issued and administered by Bank of America, N.A. Visa and Visa Signature are registered trademarks of Visa International Service Association and are used by the issuer pursuant to license from Visa U.S.A. Inc.
Hawaiian Holdings Reports 2019 Second Quarter Financial Results
Hawaiian Holdings, Inc. (NASDAQ: HA) (the “Company”), parent company of Hawaiian Airlines, Inc. (“Hawaiian”), today reported its financial results for the second quarter of 2019.
Second Quarter 2019 – Key Financial Metrics
GAAP
YoY Change
Adjusted
YoY Change
Net Income
$57.8M
($21.6M)
$58.9M
($14.4M)
Diluted EPS
$1.21
($0.35)
$1.23
($0.21)
Pre-tax Margin
11.2%
(3.6) pts.
11.4%
(2.3) pts.
“We’re encouraged by another quarter of strong performance,” said Peter Ingram, Hawaiian Airlines president and CEO. “For the last year and a half, we’ve delivered consistently solid operational and financial results while facing heightened competitive pressures head on. I want to thank the entire Hawaiian ‘ohana for demonstrating day in and day out that no other airline is better suited to serve the needs of guests traveling to, from, and within the Hawaiian Islands than Hawaiian Airlines.”
Statistical information, as well as a reconciliation of the non-GAAP financial measures, can be found in the accompanying tables.
Shareholder Returns, Liquidity and Capital Resources
The Company returned $25.3 million to shareholders in the second quarter through share repurchases of $19.6 million and a dividend payment of $5.7 million.
On July 19, 2019, the Company's Board of Directors declared a quarterly cash dividend of 12 cents per share to be paid on August 30, 2019 to all shareholders of record as of August 16, 2019.
As of June 30, 2019, the Company had:
• Unrestricted cash, cash equivalents and short-term investments of $539 million
• Outstanding debt and finance lease obligations of $565 million
Second Quarter 2019 Highlights
Leadership and People
• Welcomed Justin Doane as Vice President of Labor Relations and David LeNoir Jr. as Vice President of Financial Planning and Analysis.
Operational
• Ranked #1 nationally for on-time performance year-to-date through May 2019 as reported in the U.S. Department of Transportation Air Travel Consumer Report, adding to its record of 15 consecutive years as the most punctual U.S. airline.
• Became the first U.S. airline to adopt the Pacelab Flight Profile Optimizer, a cutting-edge application by software provider PACE that enhances real-time aircraft and weather data to help determine the safest, most comfortable, and efficient flight routes while lowering annual fuel consumption and carbon emissions.
• Announced the expansion of its in-house pilot training capabilities with its planned purchase of a Boeing 787-9 flight simulator to prepare for the arrival of its new Dreamliner fleet beginning early 2021.
Customer Experience
• Debuted a newly designed lobby at Maui’s Kahului Airport (OGG), Hawai‘i’s second busiest airport, as part of its ongoing plans to improve the day-of travel experience for its guests. Similar lobby renovations are expected in 2019 at Kona International Airport (KOA), Hilo International Airport (ITO), and Lihue Airport (LIH).
Routes and Network
• Received a preliminary decision from the U.S. Department of Transportation for additional service from Tokyo Haneda Airport (HND) to Honolulu’s Daniel K. Inouye International Airport (HNL). The additional service, expected to begin in early 2020, will expand Hawaiian’s existing service between Tokyo and Hawai'i that consists of flights between Haneda (HND) and Honolulu (HNL) and Kona (KOA), and Tokyo Narita International Airport (NRT) and Honolulu (HNL).
• Continued its international expansion with the announcement of non-stop service between Fukuoka Airport (FUK) and Honolulu (HNL) beginning November 2019.
• Continued its domestic expansion with the launch of non-stop service between Sacramento International Airport (SMF) and Maui (OGG), and non-stop service between Boston's Logan International Airport (BOS) and Honolulu (HNL).
Fleet & Financing
• Took delivery of one Airbus A321neo aircraft in May, increasing the size of its A321neo fleet to thirteen aircraft.
• Retired its Boeing 717-200 Aircraft Facility with scheduled payments of approximately $45 million, increasing its unencumbered fleet to 37 aircraft.
• On July 1, 2019, Fitch Ratings affirmed Hawaiian’s and the Company’s corporate rating of BB- with Stable outlook.
Third Quarter and Full Year 2019 Outlook
The table below summarizes the Company’s expectations for the third quarter ending September 30, 2019, and the full year ending December 31, 2019, expressed as an expected percentage change compared to the results for the quarter ended September 30, 2018, and the full year ended December 31, 2018, as applicable.
For the full year ending December 31, 2019, the Company expects its effective tax rate to be in the range of 26% to 28%.
Third Quarter
GAAP Third Quarter
Item
2019 Guidance
GAAP Equivalent
2019 Guidance
ASMs
Down 1.5% – Up 0.5%
Operating revenue per ASM
Down 1.5 – 4.5%
Cost per ASM excluding fuel and non-recurring items (a)
Up 3.5 – 6.5%
Cost per ASM (a)
Down 0.5% – Up 1.7%
Gallons of jet fuel consumed
Down 2.5 – 4.5%
Economic fuel cost per gallon (b)(c)
$2.11
Fuel cost per gallon (b)
$2.07
Full Year
GAAP Full Year
Item
2019 Guidance
GAAP Equivalent
2019 Guidance
ASMs
Up 1.5 – 2.5%
Cost per ASM excluding fuel and non-recurring items (a)
Up 1.0 – 2.5%
Cost per ASM (a)
Down 2.1 – 3.2%
Gallons of jet fuel consumed
Down 1.0 – 2.0%
Economic fuel cost per gallon (b)(c)
$2.07
Fuel cost per gallon (b)
$2.03
(a) See Table 4 for a reconciliation of GAAP operating expenses to operating expenses excluding aircraft fuel and non-recurring items.
(b) Fuel cost per gallon estimates are based on the July 9, 2019 fuel forward curve.
(c) See Table 3 for a reconciliation of GAAP fuel costs to economic fuel costs.
Investor Conference Call
Hawaiian Holdings’ quarterly earnings conference call is scheduled to begin today (July 30, 2019) at 4:30 p.m. Eastern Time (USA). The conference call will be broadcast live over the Internet. Investors may access and listen to the live audio webcast on the investor relations section of the Company’s website at HawaiianAirlines.com. For those who are not available for the live webcast, a replay of the webcast will be archived for 90 days on the investor relations section of the Company's website.
About Hawaiian Airlines
Hawaiian® has led all U.S. carriers in on-time performance for each of the past 15 years (2004-2018) 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 90th 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 (13) than any other airline, along with service from Japan, South Korea, Australia, New Zealand, American Samoa and Tahiti. Hawaiian also provides, on average, more than 170 jet flights daily between the Hawaiian Islands, with over 260 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.
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 available seat miles, cost per available seat mile, cost per available seat mile excluding fuel and non-recurring items, gallons of jet fuel consumed, fuel cost per gallon, and economic fuel cost per gallon for the quarter ending September 30, 2019 and full year ending December 31, 2019; the Company's expectations regarding operating revenue per available seat mile for the quarter ending September 30, 2019; the Company's expected tax rate for the year ending December 31, 2019; 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, including due to the occurrence of natural disasters such as hurricanes, earthquakes and tsunamis; the Company’s dependence on tourist travel; labor negotiations and related developments; competitive pressures, including the impact of rising industry capacity between North America and Hawai‘i and interisland; 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.
Table 1.
Hawaiian Holdings, Inc.
Consolidated Statements of Operations (unaudited)
Three Months Ended June 30,
Six Months Ended June 30,
2019
2018
% Change
2019
2018
% Change
(in thousands, except per share data)
Operating Revenue:
Passenger
$
653,423
$
655,162
(0.3
)%
$
1,254,727
$
1,266,762
(1.0
)%
Other
58,766
60,285
(2.5
)%
114,213
114,097
0.1
%
Total
712,189
715,447
(0.5
)%
1,368,940
1,380,859
(0.9
)%
Operating Expenses:
Wages and benefits
180,070
171,555
5.0
%
355,135
340,264
4.4
%
Aircraft fuel, including taxes and delivery
140,600
153,026
(8.1
)%
266,704
286,472
(6.9
)%
Maintenance, materials and repairs
58,131
60,970
(4.7
)%
121,176
119,111
1.7
%
Aircraft and passenger servicing
39,641
38,626
2.6
%
78,541
75,144
4.5
%
Depreciation and amortization
39,527
32,919
20.1
%
77,678
65,164
19.2
%
Commissions and other selling
32,471
31,853
1.9
%
63,307
63,778
(0.7
)%
Aircraft rent
30,843
29,865
3.3
%
61,239
61,765
(0.9
)%
Other rentals and landing fees
31,386
31,184
0.6
%
62,432
61,999
0.7
%
Purchased services
32,733
31,474
4.0
%
65,186
62,595
4.1
%
Contract terminations expense
—
—
—
%
—
35,322
(100.0
)%
Other
37,906
41,047
(7.7
)%
75,985
80,052
(5.1
)%
Total
623,308
622,519
0.1
%
1,227,383
1,251,666
(1.9
)%
Operating Income
88,881
92,928
(4.4
)%
141,557
129,193
9.6
%
Nonoperating Income (Expense):
Interest expense and amortization of debt discounts and issuance costs
(7,300
)
(7,627
)
(14,830
)
(16,182
)
Interest income
3,074
1,931
6,057
3,405
Capitalized interest
1,257
2,355
2,542
4,593
Gains (losses) on fuel derivatives
(3,220
)
18,952
(2,650
)
23,569
Other, net
(3,083
)
(2,752
)
(4,108
)
(1,696
)
Total
(9,272
)
12,859
(12,989
)
13,689
Income Before Income Taxes
79,609
105,787
128,568
142,882
Income tax expense
21,776
26,307
34,377
34,860
Net Income
$
57,833
$
79,480
$
94,191
$
108,022
Net Income Per Common Stock Share:
Basic
$
1.21
$
1.57
$
1.96
$
2.12
Diluted
$
1.21
$
1.56
$
1.96
$
2.12
Weighted Average Number of Common Stock Shares Outstanding:
Basic
47,854
50,776
48,122
50,915
Diluted
47,889
50,878
48,158
51,038
Table 2.
Hawaiian Holdings, Inc.
Selected Statistical Data (unaudited)
Three months ended June 30,
Six months ended June 30,
2019
2018
% Change
2019
2018
% Change
(in thousands, except as otherwise indicated)
Scheduled Operations (a) :
Revenue passengers flown
2,957
3,018
(2.0
)%
5,777
5,909
(2.2
)%
Revenue passenger miles (RPM)
4,487,362
4,333,125
3.6
%
8,615,090
8,363,783
3.0
%
Available seat miles (ASM)
5,153,025
5,019,962
2.7
%
10,003,748
9,751,275
2.6
%
Passenger revenue per RPM (Yield)
14.56
¢
15.12
¢
(3.7
)%
14.56
¢
15.15
¢
(3.9
)%
Passenger load factor (RPM/ASM)
87.1
%
86.3
%
0.8
pt.
86.1
%
85.8
%
0.3
pt.
Passenger revenue per ASM (PRASM)
12.68
¢
13.05
¢
(2.8
)%
12.54
¢
12.99
¢
(3.5
)%
Total Operations (a) :
Revenue passengers flown
2,959
3,018
(2.0
)%
5,781
5,910
(2.2
)%
Revenue passenger miles (RPM)
4,491,974
4,333,178
3.7
%
8,620,459
8,363,961
3.1
%
Available seat miles (ASM)
5,157,677
5,020,026
2.7
%
10,009,598
9,751,523
2.6
%
Operating revenue per ASM (RASM)
13.81
¢
14.25
¢
(3.1
)%
13.68
¢
14.16
¢
(3.4
)%
Operating cost per ASM (CASM)
12.09
¢
12.40
¢
(2.5
)%
12.26
¢
12.84
¢
(4.5
)%
CASM excluding aircraft fuel and non-recurring items (b)
9.38
¢
9.35
¢
0.3
%
9.62
¢
9.54
¢
0.8
%
Aircraft fuel expense per ASM (c)
2.73
¢
3.05
¢
(10.5
)%
2.66
¢
2.94
¢
(9.5
)%
Revenue block hours operated
54,840
51,477
6.5
%
106,466
100,223
6.2
%
Gallons of jet fuel consumed
67,277
68,627
(2.0
)%
131,798
133,906
(1.6
)%
Average cost per gallon of jet fuel (actual) (c)
$
2.09
$
2.23
(6.3
)%
$
2.02
$
2.14
(5.6
)%
Economic fuel cost per gallon (c)(d)
$
2.14
$
2.07
3.4
%
$
2.07
$
2.02
2.5
%
(a) Includes the operations of the Company's contract carrier under a capacity purchase agreement.
(b) See Table 4 for a reconciliation of GAAP operating expenses to operating expenses excluding aircraft fuel and non-recurring items.
(c) Includes applicable taxes and fees.
(d) See Table 3 for a reconciliation of GAAP fuel costs to economic fuel costs.
Table 3.
Hawaiian Holdings, Inc.
Economic Fuel Expense (unaudited)
The Company believes that economic fuel expense is a good measure of the effect of fuel prices on its business as it most closely approximates the net cash outflow associated with the purchase of fuel for its operations in a period. The Company defines economic fuel expense as GAAP fuel expense plus losses/(gains) realized through actual cash (receipts)/payments received from or paid to hedge counterparties for fuel hedge derivative contracts settled during the period.
Three months ended June 30,
Six months ended June 30,
2019
2018
% Change
2019
2018
% Change
(in thousands, except per-gallon amounts)
Aircraft fuel expense, including taxes and delivery
$
140,600
$
153,026
(8.1
)%
$
266,704
$
286,472
(6.9
)%
Realized losses (gains) on settlement of fuel derivative contracts
3,051
(10,827
)
NM
5,895
(16,488
)
NM
Economic fuel expense
$
143,651
$
142,199
1.0
%
$
272,599
$
269,984
1.0
%
Fuel gallons consumed
67,277
68,627
(2.0
)%
131,798
133,906
(1.6
)%
Economic fuel costs per gallon
$
2.14
$
2.07
3.4
%
$
2.07
$
2.02
2.5
%
Estimated three months ending
September 30, 2019
Estimated full year ending
December 31, 2019
(in thousands, except per-gallon amounts)
Aircraft fuel expense, including taxes and delivery
$
142,552
to
$
145,596
$
544,996
to
$
550,664
Realized losses (gains) on settlement of fuel derivative contracts
2,800
to
2,800
10,400
to
10,400
Economic fuel expense
$
145,352
to
$
148,396
$
555,396
to
$
561,064
Fuel gallons consumed
68,887
to
70,330
268,307
to
271,045
Economic fuel costs per gallon
$
2.11
to
$
2.11
$
2.07
to
$
2.07
Table 4.
Hawaiian Holdings, Inc.
Non-GAAP Financial Reconciliation (unaudited)
The Company evaluates its financial performance utilizing various GAAP and non-GAAP financial measures, including net income, diluted net income per share, CASM, PRASM, RASM, Passenger Revenue per RPM and EBITDAR. Pursuant to Regulation G, the Company has included the following reconciliation of reported non-GAAP financial measures to comparable financial measures reported on a GAAP basis. The adjustments are described below:
• Changes in fair value of derivative contracts, net of tax, are based on market prices for open contracts as of the end of the reporting period. This line item includes the unrealized amounts of fuel derivatives (not designated as hedges) that will settle in future periods and the reversal of prior period unrealized amounts.
• Unrealized loss (gain) on foreign debt is based on fluctuations in foreign exchange rates related to foreign-denominated debt agreements the Company executed during the three months ended June 30, 2018.
• During the three and six months ended June 30, 2019, the Company recorded a gain on disposal of Boeing 767-300 aircraft equipment of $0.9 million and $1.9 million, respectively, in conjunction with the retirement of its Boeing 767-300 fleet.
The Company believes that excluding the impact of these derivative adjustments, fluctuations in foreign exchange rates, and the sale of aircraft and aircraft equipment helps investors better analyze the Company's operational performance and compare its results to other airlines in the periods presented.
2018 contract terminations expense
• During the six months ended June 30, 2018, the Company terminated two contracts which resulted in a $35.3 million contract terminations expense. In February 2018, the Company exercised its right to terminate its purchase agreement with Airbus for six Airbus A330-800neo aircraft and the purchase rights for an additional six Airbus A330-800neo aircraft. The Company recorded a contract terminations expense to reflect a portion of the termination penalty. In January 2018, the Company entered into a transaction with its lessor to early terminate and purchase three Boeing 767-300 aircraft leases and concurrently entered into a forward sale agreement for the same three Boeing 767-300 aircraft, including two Pratt & Whitney 4060 engines for each aircraft. These aircraft were previously accounted for as operating leases. In order to exit the leases and purchase the aircraft, the Company agreed to pay a total of $67.1 million (net of all deposits) of which a portion was expensed immediately and recognized as a lease termination fee. The expensed amount represents the total purchase price over fair value of the aircraft purchased as of the date of the transaction.
Three months ended June 30,
Six months ended June 30,
2019
2018
2019
2018
Total
Diluted Per Share
Total
Diluted Per Share
Total
Diluted Per Share
Total
Diluted Per Share
(in thousands, except per share data)
GAAP Net Income, as reported
$
57,833
$
1.21
$
79,480
$
1.56
$
94,191
$
1.96
$
108,022
$
2.12
Add (deduct): changes in fair value of derivative contracts
169
0.00
(8,125
)
(0.16
)
(3,245
)
(0.07
)
(7,081
)
(0.14
)
Add: unrealized loss (gain) on foreign debt
2,167
0.05
(64
)
(0.00)
1,537
0.03
(64
)
(0.00)
Add: loss (gain) on sale of aircraft and equipment
(851
)
(0.02
)
—
—
(1,948
)
(0.04
)
—
—
Add: contract terminations expense
—
—
—
—
—
—
35,322
0.69
Deduct: tax effect of adjustments
(386
)
(0.01
)
2,047
0.04
951
0.02
(7,045
)
(0.14
)
Adjusted Net Income
$
58,932
$
1.23
$
73,338
$
1.44
$
91,486
$
1.90
$
129,154
$
2.53
Three months ended June 30,
Six months ended June 30,
2019
2018
2019
2018
(in thousands)
Income Before Income Taxes, as reported
$
79,609
$
105,787
$
128,568
$
142,882
Add (deduct): changes in fair value of derivative contracts
169
(8,125
)
(3,245
)
(7,081
)
Add: unrealized loss (gain) on foreign debt
2,167
(64
)
1,537
(64
)
Add: loss (gain) on sale of aircraft and equipment
(851
)
—
(1,948
)
—
Add: contract terminations expense
—
—
—
35,322
Adjusted Income Before Income Taxes
$
81,094
$
97,598
$
124,912
$
171,059
Operating Costs per Available Seat Mile (CASM)
The Company has separately listed in the table below its fuel costs per ASM and non-GAAP unit costs, excluding fuel and non-recurring items. These amounts are included in CASM, but for internal purposes the Company consistently uses cost metrics that exclude fuel and non-recurring items (if applicable) to measure and monitor its costs.
Three months ended June 30,
Six months ended June 30,
2019
2018
2019
2018
(in thousands, except CASM data)
GAAP Operating Expenses
$
623,308
$
622,519
$
1,227,383
$
1,251,666
Less: aircraft fuel, including taxes and delivery
(140,600
)
(153,026
)
(266,704
)
(286,472
)
Less: (loss) gain on sale of aircraft and equipment
851
—
1,948
—
Less: contract terminations expense
—
—
—
(35,322
)
Adjusted Operating Expenses
$
483,559
$
469,493
$
962,627
$
929,872
Available Seat Miles
5,157,677
5,020,026
10,009,598
9,751,523
CASM – GAAP
12.09
¢
12.40
¢
12.26
¢
12.84
¢
Less: aircraft fuel
(2.73
)
(3.05
)
(2.66
)
(2.94
)
Less: (loss) gain on sale of aircraft and equipment
0.02
—
0.02
—
Less: contract terminations expense
—
—
—
(0.36
)
Adjusted CASM
9.38
¢
9.35
¢
9.62
¢
9.54
¢
Estimated three months ending
September 30, 2019
Estimated full year ending
December 31, 2019
(in thousands, except CASM data)
GAAP Operating Expenses
$
630,427
to
$
657,806
$
2,478,624
to
$
2,532,391
Less: aircraft fuel, including taxes and delivery
(142,552
)
to
(145,596
)
(544,996
)
to
(550,664
)
Less: (loss) gain on sale of aircraft and equipment
—
to
—
1,948
to
1,948
Adjusted Operating Expenses
$
487,875
to
$
512,210
$
1,935,576
to
$
1,983,675
Available Seat Miles
5,272,681
to
5,379,741
20,474,490
to
20,676,209
CASM – GAAP
11.96
¢
to
12.23
¢
12.11
¢
to
12.25
¢
Less: aircraft fuel
(2.70
)
to
(2.71
)
(2.66
)
to
(2.66
)
Less: (loss) gain on sale of aircraft and equipment
—
to
—
0.01
to
0.01
Adjusted CASM
9.25
¢
to
9.52
¢
9.45
¢
to
9.59
¢
Pre-tax margin
The Company excludes unrealized gains from fuel derivative contracts, losses on extinguishment of debt, and non-recurring items from pre-tax margin for the same reasons as described above.
Three months ended June 30,
Six months ended June 30,
2019
2018
2019
2018
Pre-Tax Margin, as reported
11.2
%
14.8
%
9.4
%
10.3
%
Add: changes in fair value of derivative contracts
0.0
(1.1
)
(0.2
)
(0.5
)
Add: unrealized loss (gain) on foreign debt
0.3
0.0
0.1
0.0
Add: loss (gain) on sale of aircraft and equipment
(0.1
)
—
(0.1
)
—
Add: contract terminations expense
—
—
—
2.6
Adjusted Pre-Tax Margin
11.4
%
13.7
%
9.2
%
12.4
%
Leverage ratio
The Company uses adjusted total debt, including aircraft rent, in addition to long-term adjusted debt and finance leases, to represent long-term financial obligations. The Company excludes unrealized (gains) losses from fuel derivative contracts, losses on extinguishment of debt, and non-recurring items from earnings before interest, taxes, depreciation, amortization and rent (EBITDAR) for the reasons described above. Management believes this metric is helpful to investors in assessing the Company’s overall debt.
Twelve months ended
June 30, 2019
(in thousands, except Leverage Ratio)
Debt and finance lease obligations
$
565,283
Plus: Aircraft leases capitalized at 7x last twelve months' aircraft rent
878,045
Adjusted debt and finance lease obligations
$
1,443,328
EBITDAR:
Income Before Income Taxes
$
286,844
Add back:
Interest and amortization of debt discounts and issuance costs
31,649
Depreciation and amortization
152,380
Aircraft rent
125,435
EBITDAR
$
596,308
Adjustments:
Add: changes in fair value of derivative contracts
$
23,809
Add: unrealized loss (gain) on foreign debt
1,981
Add: loss (gain) on sale of aircraft and equipment
(1,639
)
Adjusted EBITDAR
$
620,459
Leverage Ratio
2.3
x
Hawaiian Airlines, ‘Ohana by Hawaiian Launching New Pilot Recruitment Program
HONOLULU – Pilots seeking to join Hawaiian Airlines will soon be able to pursue a new recruitment pathway available through the carrier’s ‘Ohana by Hawaiian operation.
Starting this fall, pilots interviewing for a position at ‘Ohana by Hawaiian will have the opportunity to also apply to Hawaiian’s Flow-Through hiring program. Candidates accepted to the program will be able to transition to Hawaiian after flying with ‘Ohana as Empire Airlines pilots in good standing for two years and achieving certain required qualifications. Pilots currently working at ‘Ohana will also be eligible for the Flow-Through program, which will invite applications periodically throughout the year.
“Our Flow-Through program provides ‘Ohana by Hawaiian pilots more opportunities to transition to Hawaiian Airlines while incentivizing pilots to remain in Hawai‘i as they build their flight qualifications,” said Ken Rewick, vice president of flight operations at Hawaiian Airlines. “We look forward to welcoming more of our ‘Ohana pilot colleagues to our team as we continue to grow our fleet and network.”
“This partnership creates an attractive career pathway that makes both ‘Ohana and Hawaiian more desirable options for pilots in Hawai‘i and throughout the United States,” said Pete Broschet, director of human resources at Empire Airlines.
Hawaiian has 860 pilots among its 7,300-plus employee workforce, with approximately seven percent of pilots hired each year arriving from ‘Ohana by Hawaiian. As Hawaiian continues to grow with delivery of additional Airbus A321neo aircraft and a new Boeing 787-9 fleet, it expects the Flow-Through program will allow the airline to significantly increase the percentage of ‘Ohana pilots it hires annually.
‘Ohana by Hawaiian, operated by Empire Airlines, started service between Honolulu’s Daniel K. Inouye International Airport (HNL) and Moloka‘i Airport and Lāna‘i Airport in spring 2014 with ATR-42 turboprop aircraft. In 2016, it added non-stop daily flights between HNL and Kapalua Airport in West Maui. The service complements Hawaiian’s robust Neighbor Island network offering more than 170 jet flights daily connecting Kaua‘i, O‘ahu, Maui and the Island of Hawai‘i.
Last year, ‘Ohana launched all-cargo service between HNL, Līhu‘e Airport and Hilo International Airport with ATR-72 aircraft. Cargo flights between HNL and Kahului Airport and Kona International Airport are planned to commence later this year.
Pilots interested in the Flow-Through program can obtain more information by emailing HALPilot@HawaiianAir.com.
About Hawaiian Airlines
Hawaiian® has led all U.S. carriers in on-time performance for each of the past 15 years (2004-2018) 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 90th year of continuous service, Hawaiian is Hawai‘i’s biggest and longest-serving airline. Hawaiian offers nonstop service to Hawai‘i from more U.S. gateway cities (13) than any other airline, along with service from Japan, South Korea, Australia, New Zealand, American Samoa and Tahiti. Hawaiian also provides, on average, more than 170 jet flights daily between the Hawaiian Islands, and over 260 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.
Flyback Friday: Our Favorite Old-Time Photos of Hawaiian’s Promo Team
It was the summer of 1958 and Waikīkī was bustling with Hawaiian Airlines flight attendants and travel experts from around the country. Hawaiian, which sponsored the American Society of Travel Agents conference, deployed a select cluster of lively employees to welcome hundreds of attendees amid the rise of tourism in the Islands.
These Hawaiian Airlines ambassadors, known as our Promo Team, were a group of camera-ready stewardesses and sales agents who represented our airline when they weren’t welcoming guests onboard our Convairs and DC-3s or working at our Honolulu-based headquarters. They made their appearance in dazzling white dresses accented with red carnation lei and straw hats wrapped with a bright red Hawaiian Airlines ribbon.
Throughout the conference, the team promoted travel to the Neighbor Islands and hosted complimentary showings of our company produced travel films.
The ambassadors would also join the fun at the conference’s big finale at Kapi‘olani Park, which featured hula dancing, a luau, surfing lessons, canoe rides, carnival rides, and a tethered hot-air balloon lifted into the air for sightseeing.
Our Promo Team members gathered in the basket of a tethered hot-air balloon.
Do you own a professional camera or do you make images with your phone? You can capture good photos with both! The key is to plan ahead.
