DOJ Approves Alaska Airlines' Deal to Buy Rival Hawaiian

Alaska Airlines' massive deal to buy competitor Hawaiian Airlines has been approved by the United States Department of Justice (DOJ), and it is now moving on to the next steps in the acquisition process.

Back in December, Alaska Airlines announced that it was planning to buy its biggest rival, Hawaiian Airlines, for $1.9 billion in a huge deal. The four biggest American carriers are Southwest, American, Delta, and United, and Alaska is the fifth-largest. In this move to buy their largest competitor, Alaska can now build their income and become a larger force in the United States airline industry, possibly turning that top four into a top five. They agreed that both airlines would still keep their respective names, though, in honor of their 100+ year history in aviation.

However, the process to acquire another airline is extensive, and can be blocked at any part of the journey. If any government agency even thinks for a moment that the purchase could lead to a monopoly, the merger will be blocked due to violation of antitrust laws. In fact, this happened recently when JetBlue attempted to buy Spirit Airlines for $3.8 billion in January, with the massive deal being blocked by a federal judge.

Unfortunately for Alaska, the process is not over yet. They still have to clear another hurdle with the Department of Transportation (DOT), and only then will the deal truly go through. If it does continue, the merger will add dozens of new nonstop destinations for Hawaiians to enhance their travel experience while also benefiting both Alaska and Hawaiian.