Airline Will Exit Bankruptcy June 1
HONOLULU –- The U.S. Bankruptcy Court has issued a written order confirming Hawaiian Airlines plan of reorganization.
Hawaiian Airlines Trustee Joshua Gotbaum commented, “We now have the court's approval of our reorganization plan. Hawaiian will exit bankruptcy on June 1, a better, stronger airline. Many have contributed to this accomplishment in many ways and everyone associated with Hawaiian should be very proud.”
Gotbaum developed the joint plan with Hawaiian's Official Committee of Unsecured Creditors and Ranch Capital LLC, the controlling shareholder of Hawaiian Holdings, Hawaiian's parent company. The plan's highlights are as follows:
- Creditors receive 100% of the value of their claims, most of them in cash.
- Existing stockholders keep their shares, whose value has risen during the bankruptcy.
- Employees have new negotiated contracts, which, for the first time, have pay and benefits comparable to or better than those at Hawaiian's competitors.
About Hawaiian Airlines
Hawaiian Airlines, the nation's number one on-time carrier, is recognized as one of the best airlines in America. Readers of two prominent national travel magazines, Condé Nast Traveler and Travel + Leisure, have both rated Hawaiian as the top domestic airline serving Hawaii in their most recent rankings, and the fifth best domestic airline overall.
Celebrating its 76th year of continuous service, Hawaiian is Hawaii's biggest and longest-serving airline, and the second largest provider of passenger air service between Hawaii and the U.S. mainland. Hawaiian offers nonstop service to Hawaii from more U.S. gateway cities than any other airline. Hawaiian also provides approximately 100 daily jet flights among the Hawaiian Islands, as well as service to Australia, American Samoa and Tahiti.
Hawaiian Airlines, Inc. is a subsidiary of Hawaiian Holdings, Inc. (AMEX and PCX: HA). Since the appointment of a bankruptcy trustee in May 2003, Hawaiian Holdings has had no responsibility for the management of Hawaiian Airlines and has had limited access to information concerning the airline. Additional information is available at www.HawaiianAir.com.