Alaska Airlines acquires Hawaiian Airlines in $1.9 billion deal

Alaska Airlines announced that it will be merging with Hawaiian Airlines after acquiring the company in a $1.9 billion deal.

Both companies made the announcement on Sunday, stating that combining the two airlines would expand benefits and choice for travelers on the West Coast and throughout the Hawaiian Islands while still upholding their individual brands.

"This combination is an exciting next step in our collective journey to provide a better travel experience for our guests and expand options for West Coast and Hawai'i travelers," said Ben Minicucci, Alaska Airlines CEO. "We have a longstanding and deep respect for Hawaiian Airlines, for their role as a top employer in Hawai'i, and for how their brand and people carry the warm culture of aloha around the globe." 

The $1.9 billion acquisition is inclusive of $900 million of Hawaiian Airlines net debt, according to the company's press release. 

BOEING ELIMINATED FROM AIR FORCE'S 'DOOMSDAY PLANE' COMPETITION

"Since 1929, Hawaiian Airlines has been an integral part of life in Hawai'i, and together with Alaska Airlines we will be able to deliver more for our guests, employees and the communities that we serve," said Peter Ingram, Hawaiian Airlines President and CEO. "In Alaska Airlines, we are joining an airline that has long served Hawai'i, and has a complementary network and a shared culture of service.

Honolulu is expected to become a key hub for the combined airline with expanded service for residents of Hawai'i to the Continental U.S. and creating new connections to Asia and throughout the Pacific for travelers across the U.S.

VIRGIN ATLANTIC CEO SAYS LEISURE TRAVEL REMAINS ROBUST, EXPECTS TO RETURN TO PROFITABILITY IN 2024

According to company officials, the deal is expected to close in about 12 to 18 months pending approval by Hawaiian shareholders.

CLICK HERE TO GET THE FOX NEWS APP