Alaska Airlines has completed its acquisition of Hawaiian Airlines for $1 billion, a strategic move that allows Hawaiian to retain its brand identity. The deal was finalized after the federal government cleared the last significant regulatory barriers, enabling Alaska to assume about $900 million in Hawaiian's debt. To secure approval from the Transportation Department, both airlines agreed to maintain current service levels on critical routes within Hawaii and between the islands and the mainland. Furthermore, they established consumer protections, ensuring that the value of frequent-flyer rewards will not diminish during the integration of their loyalty programs. The Justice Department, which has previously challenged other airline mergers, did not oppose this acquisition, indicating a smoother regulatory approval process.

Following the announcement, Alaska Airlines' stock fell by 3%, although it has increased by 2% since the beginning of the year. This acquisition not only enhances Alaska Airlines' market position but also solidifies its status as the fifth-largest airline in the U. S. by revenue. The deal reflects the ongoing consolidation trends within the airline industry, with Alaska Airlines aiming to leverage Hawaiian's established routes and customer base.