(San Francisco) Alaska Airlines announced Sunday that it will buy another American airline, Hawaiian Airlines, for $1.9 billion, including $900 million in debt.
Both brands will continue to exist under the terms of the agreement, which could take up to a year and a half to finalize, according to a statement.
The fifth American airline will thus have a fleet of 365 planes in total, which will allow passengers to reach 138 destinations.
Based in Seattle, Alaska Airlines mainly serves the American West. Honolulu, the capital of the state of Hawaii, will become its second main hub.
Residents of Hawaii will benefit from “extended service to the continental United States,” emphasize the two companies, and the merger will create “new connections to Asia and the entire Pacific for travelers throughout the United States.
The two companies have in common an anchorage in areas which “particularly depend on air transport”, the Pacific archipelago and the very rural state of Alaska.
“The commitment to Hawaii remains steadfast,” they assure, “including maintaining robust air service to neighboring islands and a more competitive platform to support growth, employment opportunities for employees, investment in community and environmental management”.
“With the additional scale and resources this transaction with Alaska Airlines brings, we will be able to accelerate investments in passenger experience and technology, while retaining the Hawaiian Airlines brand,” said congratulated Peter Ingram, the boss of Hawaiian Airlines cited in the press release.
“We are also pleased to deliver significant and immediate value to our shareholders through this all-cash transaction,” he added.