Alaska-Hawaiian merger clears DOT, must preserve rewards miles and routes

Published On Sep 17, 2024, 12:52 PM

The Department of Transportation (DOT) has approved the merger between Alaska Airlines and Hawaiian Airlines, with conditions aimed at protecting the interests of travelers. The DOT requires that both airlines preserve their rewards miles programs and essential routes. This represents a shift towards a more proactive stance in overseeing airline mergers, focusing on ensuring fair competition and protecting the traveling public. U.S. Transportation Secretary Pete Buttigieg emphasized the aim to lower costs for families and maintain access for smaller airlines at critical hubs.

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With the DOT's approval and the conditions placed on the merger ensuring consumer protections, Alaska Airlines may see an increase in customer trust and loyalty due to maintained rewards programs. However, they may also face operational challenges in merging the two airlines effectively. Meanwhile, Hawaiian Airlines stands to gain from expanded route options and synergies with Alaska Airlines, suggesting a more positive outlook.

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