Passengers Revive Lawsuit to Block Alaska Airlines-Hawaiian Airlines Merger
HONOLULU — A renewed legal challenge is underway to halt the merger between Alaska Airlines and Hawaiian Airlines, with passengers alleging the combination creates a monopoly in Hawaii air travel, leading to reduced flight options and increased prices. The lawsuit seeks to restore Hawaiian Airlines as an independent entity.
Merger Background and Approval
Alaska Airlines completed its acquisition of Hawaiian Airlines in September 2024, a deal initially announced in December 2023 . The merger was approved by shareholders of Hawaiian Airlines in April 2024, following approvals from both companies’ boards . The Department of Justice gave de-facto approval in August 2024, and the Department of Transportation officially cleared the deal shortly before its completion . The deal was valued at $1.9 billion in cash, plus the assumption of approximately $900 million in Hawaiian Airlines’ debt .
Plaintiffs’ Concerns
Plaintiffs in the revived lawsuit argue that the merger has already begun to monopolize the Hawaii air travel market. Court documents indicate that Alaska Airlines now controls more than 40% of Hawaii’s routes to the continental U.S. . They cite a decrease in available flights and a corresponding rise in airfares as evidence of the merger’s negative impact on consumers .
Government Conditions and Previous Legal Challenges
The federal government approved the merger in 2024 with stipulations requiring Alaska Airlines to maintain certain routes and improve customer service . However, the plaintiffs contend these conditions are insufficient to prevent the monopolistic effects of the merger. This is not the first legal challenge to the deal; an initial antitrust lawsuit was filed in an attempt to block the merger before its completion .
Alaska Airlines’ Response
Hawaii News Now has reached out to Alaska Airlines for comment and is awaiting a response .
Recent Developments
The lawsuit is seeking a restraining order that would require Hawaiian Airlines to operate as a standalone airline whereas the court reviews the case. This comes nearly 18 months after the merger was finalized, with passengers now arguing the deal is harming competition and driving up costs .