Aloha Airlines

Infobox_Airline
airline=Aloha Airlines
logo=Aloha Airlines Logo.svg
logo_size=250px
fleet_size=22
destinations=11
IATA=AQ
ICAO=AAH
callsign=ALOHA
parent=Aloha Air Group
founded=July 26, 1946 (as Trans-Pacific Airlines)cite book|last=Norwood|first=Tom|coauthors=Wegg, John|title=North American Airlines Handbook|publisher=Airways International|location=Sandpoint, ID|year=2002|edition=3rd|isbn=0-9653993-8-9|pages=p. 9|url=http://www.airwaysnews.com]
commenced= July 26, 1946
ceased= March 31, 2008 (All operations transferred to Aloha Air Cargo for cargo flights)
headquarters=Honolulu, Hawaii
key_people=
hubs=Honolulu International Airport
focus_cities=
frequent_flyer=AlohaPass
lounge=Aliokinai Club
alliance=
website=http://www.alohaairlines.com

Aloha Airlines was an American airline headquartered in Honolulu, Hawaii, USA, operating from a hub at Honolulu International Airport. Operations ceased on March 31, 2008.

History

Propeller era

The airline was founded as charter carrier Trans-Pacific Airlines by publisher Ruddy Tongg as a competitor to Hawaiian Airlines, commencing operations on Aloha Friday, July 26, 1946, with a single World War II-surplus Douglas C-47 (DC-3) on a flight from Honolulu to Maui and Hilo. The name reflected Tongg's vision of a trans-oceanic airline connecting California, Hawaii, and China. It soon earned the nickname "The Aloha Airline" and was flying four aircraft by the end of the year. Approval to operate as a scheduled airline came when President Harry S. Truman signed the certificate on February 21, 1949, with the first scheduled flight on June 6, 1949, following ceremonies held the previous day.

In 1952, the airline reported its first annual profit: $36,410.12. The airline's market share rose to 30% that year, up from 10% in 1950, the year the airline adopted the name TPA-The Aloha Airline. However, the introduction of the Convair 340 at Hawaiian Airlines halted further growth of TPA's market share for over five years. In 1958, real estate developer Hung Wo Ching, whose family held a sizable stake in the airline and following overtures by Tongg, was elected president of the airline. In November of that year, the company changed its name again, becoming Aloha Airlines. On April 15, 1959, Aloha took delivery of its first Fairchild F-27 turboprop aircraft. These aircraft were unique to Aloha, built with a stronger keel beam and thicker belly skin to satisfy concerns about ditching the high-wing aircraft. That summer, Aloha's market share jumped to 42%.

Jet engine era

Aloha retired its last DC-3 on January 3, 1961, becoming the second airline in the United States to operate an all-turbine fleet. In 1963, the airline took delivery of two Vickers Viscounts from Austrian Airlines and soon acquired a third. Soon, the airline made the move to pure jets, with its first BAC One-Eleven arriving in Honolulu on April 16, 1966. The last F-27 was retired from service in June 1967. As Hawaiian took delivery of larger Douglas DC-9-30s, Aloha realized its smaller One-Elevens, which also took performance penalties in Kona, put it at a disadvantage. The airline went shopping and placed an order for two Boeing 737-200s in December. Named "Funbirds", the Boeing jets entered service on March 2, 1969. The massive capacity increase hurt both airlines, and in 1970, the first of three unsuccessful merger attempts between the two rivals (the others coming in 1988 and 2001) was made. In October 1971, the airline sold its remaining Viscounts and became an all-jet airline.

In 1983, Aloha introduced its AlohaPass frequent flyer program. In 1984, the airline leased a McDonnell Douglas DC-10-30, and on May 28, inaugurated service with the aircraft between Honolulu, Guam, and Taipei under the name Aloha Pacific. The operation, however, was unable to compete with Continental Airlines, and was discontinued on January 12, 1985. In October of that year, Aloha acquired Quick-Change 737 aircraft that could be quickly converted from a passenger configuration to all-cargo freighter for nighttime cargo flights. In February 1986, Aloha began weekly flights between Honolulu and Kiritimati (Christmas Island), becoming the first airline to operate ETOPS 737s.

In late 1986, Ching and vice-chairman Sheridan Ing announced plans to take the company private, and it remained in the hands of the Ing and Ching families until its emergence from bankruptcy in 2006, when additional investors including The Yucaipa Cos., Aloha Aviation Investment Group, and Aloha Hawaii Investors LLC took stakes in the airline. In 1987, the airline acquired Princeville Airways, renaming Aloha IslandAir, which became known as Island Air in 1995. In 2003, Island Air was sold to Gavarnie Holding and became an independent airline.

On February 14, 2000, the airline began mainland service, flying newly-delivered Boeing 737-700s from Honolulu and Kahului to Oakland, California.

Aloha Airline's longest inter-island route was 216 miles, while the shortest route was a mere 62 miles. Average travel distance per inter-island flight was 133 miles.Fact|date=April 2007 Aloha also marketed some inter-island routes served by partner Island Air, and passengers earned miles in either its own frequent flyer program, AlohaPass, or in United Airlines' Mileage Plus program.cite web|title=Where we Fly | url=http://www.alohaairlines.com/WhereWeFly.php | publisher=Aloha Airlines | accessdate=2007-04-09] [cite web|title=AlohaPass | url=http://www.alohaairlines.com/AlohaPass.php | accessdate=2007-04-09] [http://www.alohaairlines.com/travel_info/travel_policies/_codeshare_faq.php Codeshare partners] ]

Economic challenges and passenger shutdown

Rising costs and an economic recession in Japan put Aloha into a defensive position in the early 2000s, soon exacerbated by the September 11, 2001 terrorist attacks, the SARS panic of 2003, and soaring fuel prices. On December 30, 2004, Aloha Airlines filed for Chapter 11 bankruptcy protection in an attempt to cut costs and remain competitive with other airlines serving Hawaii. Following approval of new labor contracts and securing additional investment from new investors, the airline emerged from bankruptcy protection on February 17, 2006. On August 30, 2006, Gordon Bethune was named Chairman of the Board.

Citing losses from a protracted fare war incited by inter-island competitor go! and high fuel prices, Aloha filed for Chapter 11 bankruptcy protection again on March 20, 2008. [cite news | url=http://www.bizjournals.com/pacific/stories/2008/03/17/daily42.html | title=Aloha Airlines files for second bankruptcy in 3 years, blames go! for losses | first=Chad | last=Blair | work=Pacific Business News | date=2008-03-20 | accessdate=2008-03-20] Ten days later, on March 30, 2008, Aloha Airlines announced the suspension of all scheduled passenger flights, with the final day of operation to be March 31, 2008. [cite news | last=McAvoy | first=Audrey | url=http://www.businessweek.com/ap/financialnews/D8VO2HT80.htm | title=Aloha Airlines halting passenger service | work=BusinessWeek | date-2008-03-30 | accessdate=2008-04-25] The shutdown resulted in the layoffs of about 1,900 of the company's roughly 3,500 employees. [cite news | last=Segal | first=Dave | url=http://starbulletin.com/2008/03/31/news/story01.html | title=Aloha Air shuts down | work=Honolulu Star-Bulletin | date-2008-03-31 | accessdate=2008-05-03] Hawaii Governor Linda Lingle asked the bankruptcy court involved to delay the shutdown of Aloha Airlines passenger services, and forcibly restore passenger service, [cite news | url=http://www.honoluluadvertiser.com/apps/pbcs.dll/article?AID=/20080330/BREAKING01/80330070 | title=Lingle asks court to delay Aloha passenger service shutdown | work=The Honolulu Advertiser | date=2008-03-30 | accessdate=2008-04-25] however, federal Bankruptcy Judge Lloyd King declined, saying the court should not interfere with business decisions. [cite news | url=http://starbulletin.com/2008/04/01/news/story03.html | title=Ending service is Aloha’s call, court says | work=Honolulu Star-Bulletin | first=Dave | last=Segal | date=2008-04-01 | accessdate=2008-05-03]

After the shutdown of passenger operations, Aloha and its creditors sought to auction off its profitable cargo and contract services division. Pacific Air Cargo emerged as the highest bidder for the contract services division; the sale of the division to Pacific Air Cargo is currently in progress. [cite press release| url=http://pacificaircargo.com/NEWS/Alohaairlines.htm | title= Pacific Air Cargo is Highest Bidder for Aloha's Contract Services Unit | publisher=Aloha Airlines | date=2008-04-21 | accessdate=2008-04-28] Pacific Air Cargo will operate the division under the name Aloha Contract Services. [cite web|title="Aloha Contract Services | url =http://www.pacificaircargo.com/NEWS/alohaapplication.pdf | accessdate=2008-05-02|format=PDF]

Several companies expressed interest in purchasing Aloha's cargo division, including Seattle-based Saltchuk Resources, California-based Castle & Cooke Aviation, and Hawaii-based Kahala Capital (which included Richard Ing, a minority investor in the Aloha Air Group and member of Aloha's board of directors). [cite news | url=http://starbulletin.com/2008/04/02/news/story01.html | title=Turbulent aftermath | work=Honolulu Star-Bulletin | first=Dave | last=Segal | date=2008-04-02 | accessdate=2008-05-03] However, a disagreement between cargo division bidders and Aloha's primary lender, GMAC Commercial Finance, ended with the bidders dropping out of the auction.cite news | url=http://starbulletin.com/2008/04/29/news/story04.html | title=Bidders drop out and funding halts | work=Honolulu Star-Bulletin | first=Dave | last=Segal | date=2008-04-29 | accessdate=2008-05-03] Almost immediately afterwards, GMAC halted all funding to Aloha's cargo division, forcing all cargo operations to cease; at the same time, Aloha's board of directors decided to convert its Chapter 11 bankruptcy reorganization filing into a Chapter 7 bankruptcy liquidation.

Saltchuk Resources decided to renew its bid to purchase the cargo division at the urging of U.S. Senator Daniel Inouye, and a deal between Aloha and Saltchuk was struck and approved by the federal bankruptcy court, where Saltchuk would purchase the cargo division for $10.5 million. [cite news | url=http://starbulletin.com/2008/05/02/news/story01.html | title=Return flight | work=Honolulu Star-Bulletin | first=Dave | last=Segal | date=2008-05-02 | accessdate=2008-05-03] The sale was approved by federal Bankruptcy Judge Lloyd King on May 12, 2008, with the sale expected to close two days later. [cite news | url=http://starbulletin.com/2008/05/13/news/story02.html | title=Court allows Seattle firm to buy Aloha’s cargo division | date=2008-05-13 | accessdate=2008-05-14 | first=Dave | last=Segal | work=Honolulu Star-Bulletin]

Prior to its bid for Aloha, Saltchuk Resources was already present in Hawaii through its subsidiaries Young Brothers/Hawaiian Tug & Barge, Hawaii Fuel Network, Maui Petroleum and Minit Stop Stores. The company also owns Northern Air Cargo, Alaska's largest cargo airline. A new subsidiary, Aeko Kula Inc., was set up by Saltchuk to operate Aloha Air Cargo.

Destinations

Prior to the shutdown of its passenger services on March 31, 2008, Aloha Airlines provided passenger service the following cities:

United States

California

*Oakland (Oakland International Airport)
*Sacramento (Sacramento International Airport)
*San Diego (San Diego International Airport)
*Santa Ana (John Wayne Airport) Focus City

Hawaii

*Hilo (Hilo International Airport)
*Honolulu (Honolulu International Airport) Hub
*Kahului (Kahului Airport) Focus City
*Kona (Kona International Airport)
*Lihue (Lihue Airport)

Nevada

*Las Vegas (McCarran International Airport)
*Reno (Reno/Tahoe International Airport)

* Note: Aloha Airlines also codeshared on Island Air flights to Hoolehua, Kapalua, and Lanai City using de Havilland Canada Dash 8 aircraft.

Fleet

At the time of its shutdown Aloha Airlines fleet consisted of the following aircraft

As of March 2008, the average age of the Aloha Airlines fleet was 18.2 years. [ [http://www.airfleets.net/ageflotte/?file=calcop&opp=Aloha%20Airlines Aloha Airlines Fleet Age] ]

Codeshare agreements

Aloha Airlines had codeshare agreements with the following airlines:
*Island Air [cite news | url=http://www.usatoday.com/travel/news/2004-05-12-island-air_x.htm | title=Island Air launches independent Maui-Kona service | work=USA Today | publisher=Associated Press | date=2004-05-12 | accessdate=2008-05-01]
*United Airlines [cite news | url=http://seattletimes.nwsource.com/html/travel/2004356123_trairlinetips20.html | title=Feel like you're flying by the seat of your pants? Sit back and relax with these tips | work=The Seattle Times | date=2008-04-20 | accessdate=2008-05-10]

Incidents and accidents

On April 28, 1988, Aloha Airlines Flight 243, a 19-year-old Boeing 737 (registry N73711) en route from Hilo Airport to Honolulu International Airport, with 89 passengers and six crew on board, rapidly decompressed when an 18-foot section of the fuselage roof and sides was torn away. Clarabelle Lansing, a flight attendant was sucked from the aircraft; her body was never recovered. Several passengers nearly died from their injuries, which included head trauma. The pilots declared an emergency and landed at Kahului Airport on Maui despite the damage. Subsequent investigations concluded that the accident was caused by metal fatigue. The disaster caused almost all major United States air carriers to retire their oldest airplane models. [ [http://www.airdisaster.com/cgi-bin/view_details.cgi?date=04281988&reg=N73711&airline=Aloha+Airlines Aloha Airlines Crash] ]

The event was dramatised in a 1990 television movie titled "Miracle Landing" starring Connie Sellecca, Wayne Rogers and Nancy Kwan. The incident was also the focus of an episode of the series "Mayday" ("Air Crash Investigation" and "Air Emergency"), shown on the National Geographic Channel.

References

*cite news| title=Aloha Airlines: Ready to Protect Their Beachfront in Paradise | last=Young | first=Branden | work= | publisher=Airliners Publications | pages=35-39 | date=July/August 2006
*cite book| last=Forman | first=Peter | title=Wings of Paradise: Hawaii's Incomparable Airlines | publisher=Barnstormer Books | year=2005 | location=Kailua, HI | isbn=978-0-9701594-4-1

External links

* [http://www.alohaaircargo.com/ Aloha Airlines Cargo]
* [http://www.alohaairlines.com/ Aloha Airlines]
* " [http://www.spiritofaloha.com/ Spirit of Aloha] " (inflight magazine)
* Planespotters.net: [http://www.planespotters.net/Airline/Aloha_Airlines?show=all Aloha Airlines Fleet Detail]
* [http://pacific.bizjournals.com/pacific/stories/2008/03/24/daily52.html?ana=yfcpc Aloha Airlines to stop flying Monday; CEO calls it 'an incredibly dark day']
* [http://money.cnn.com/2008/03/30/news/companies/aloha_bankruptcy.ap/index.htm?cnn=yes Aloha Air calls it quits after bankruptcy] Dead link|date=June 2008
* [http://www.kitv.com/money/15746095/detail.html Aloha Airlines Ending Passenger Flights] KITV-TV