Hawaiian Airlines and Alaska Airlines Form Alliance

HONOLULU, October 11, 2001 -- Hawaiian Airlines, Inc. (AMEX and PCX: HA) and Alaska Airlines (NYSE: AKL) have announced the formation of a comprehensive marketing alliance that allows Hawaiian Airlines and Alaska Airlines and its sister carrier Horizon Air to offer their customers substantially expanded products and services.

The agreement, which became effective on October 1, 2001, provides for the carriers' participation in each other's frequent flyer programs as well as reciprocal code sharing.

“This is a significant enhancement to our business,” said John B. Happ, senior vice president, Marketing and Sales for Hawaiian. “Our route structures are complementary, and the addition of Alaska Airlines and Horizon Air to our list of alliances virtually expands Hawaiian's presence into 21 new markets, giving our customers seamless access between points along the West Coast and throughout Hawaii.”

Reciprocal frequent flyer provisions will allow members of Hawaiian's HawaiianMiles and Alaska's Mileage Plan programs to earn mileage credits and be able to use awards across the carriers' respective route systems. Code sharing, which allows a carrier to sell flights on another carrier as its own by attaching its two-letter booking code to the other carrier's flights listed in worldwide computer reservations systems, provides customers with more travel options and generates incremental revenues for the partner airlines.

“This new partnership with Hawaiian Airlines provides exciting and exotic new destinations for Alaska and Horizon customers,” said Gregg Saretsky, Alaska's senior vice president, marketing and planning. “This makes it even easier for our customers to fly to our most popular award destination. And we welcome Hawaiian's customers to the Alaska Airlines world -- from Alaska to Mexico.”

Alaska Airlines and Horizon Air became the first North American carriers to sell tickets online in 1995, and in 1999 they were the first carriers in the world to allow customers to check in for flights online via the Internet. Earlier this year, Alaska Airlines was voted “World's Best Domestic Airline” by readers of Travel & Leisure magazine. Together, Alaska and Horizon serve 75 cities in the Lower 48, Alaska, Canada and Mexico. For more news and information, visit the Alaska Airlines Newsroom on the Internet at http://newsroom.alaskaair.com.

Founded in 1929 as Inter-Island Airways, Hawaiian Airlines is Hawaii's largest and longest-serving airline. From its Honolulu hub, Hawaiian serves the Islands of Maui, Kauai, Lanai, Molokai and the Big Island of Hawaii with more than 130 daily jet flights aboard new Boeing 717-200 aircraft. The nation's 12th largest carrier, it also operates 14 wide body DC-10 flights a day between Hawaii and six gateways on the U.S. mainland. Its DC-10 South Pacific service links Honolulu with American Samoa and Tahiti weekly. Hawaiian Airlines has earned numerous international awards for service in recent years and most recently was rated the top U.S. carrier overall in the “Premium” service category in the 2001 Zagat Survey. Additional information on Hawaiian Airlines is available via the airline's Web site at www.hawaiianair.com.