Alaska Air ALK has declared its intent to acquire Hawaiian Airlines HA in a deal worth $1.9 billion.
As reported by CNN on Sunday, this merger is expected to provide customers with a broader range of domestic and international options.
Both airlines will retain their individual brands, a decision prompted by respect for their nearly century-long history and the communities to whom they provide services.
The CEOs of both companies, Ben Minicucci of Alaska Airlines and Peter Ingram of Hawaiian Airlines, expressed optimism about the deal.
“This is a fantastic deal that brings two airlines with amazing loyalties in our regions together,” stated Minicucci.
Ingram shared similar sentiments, noting that the merger will allow for added investments in guest experience and technology, and preserve the Hawaiian Airlines brand.
Minicucci, who will assume the role of CEO for both airlines, believes the move will stimulate greater domestic competition, particularly with United, Delta, Southwest, and American airlines, who currently hold 80% of the market share.
The announcement follows a recent court hearing involving JetBlue Airways‘ proposed $3.8 billion acquisition of Spirit Airlines, which faced an antitrust lawsuit by the Justice Department.
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