HONOLULU, April 14, 2004 -- Hawaiian Airlines announced today that Boeing Capital Corporation (BCC) has agreed to a six-week extension on the leases for its BCC-owned aircraft under Section 1110 of the U.S. Bankruptcy Code.
Subject to court approval, the new expiration date for the leases will be May 31, 2004. During this period, no action may be taken on the part of the aircraft owner while the parties negotiate new lease terms.
“We appreciate Boeing's continued cooperation as we move closer to entering the final stages for Hawaiian's successful exit from bankruptcy,” stated Joshua Gotbaum, trustee for Hawaiian Airlines. The BCC leases had been scheduled to expire on April 15, 2004.
Hawaiian currently leases 11 Boeing 717-200 aircraft for interisland flights and three Boeing 767-300ER aircraft for transpacific flights from BCC, both directly and through
BCC-controlled trust arrangements. The company will continue to operate the aircraft at interim reduced lease rates.
Hawaiian has already secured lower aircraft lease rates on more than a third of its fleet with its other lessors, and has been seeking reductions from BCC to implement a successful plan of reorganization for the airline.
The company previously received court approval to assume renegotiated lease agreements with Ansett Worldwide Aviation Services, which owns seven Boeing 767-300ER aircraft operated by Hawaiian, and with International Lease Finance Corp., which owns four Boeing 767-300ER aircraft operated by Hawaiian.
About Hawaiian Airlines
Hawaiian Airlines, the nation's number one on-time carrier, is recognized as one of the best airlines in America. Business travelers recently surveyed byCondé Nast Traveler rated Hawaiian Airlines as having the best in-flight service and meals of any U.S. carrier. Hawaiian was recently ranked fourth best in the nation overall by Travel + Leisure.
Celebrating its 75th year of continuous service, Hawaiian Airlines is Hawaii's largest and longest-serving airline, and the second largest provider of passenger air service between Hawaii and the mainland U.S. Hawaiian offers nonstop service to Hawaii from more mainland U.S. gateways
than any other airline. Hawaiian also provides approximately 100 daily jet flights among the Hawaiian Islands, as well as service to 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 on May 16, 2003, Hawaiian Holdings has had no involvement in the management of Hawaiian Airlines and has had limited access to information concerning the airline.
Additional information on Hawaiian Airlines is available at www.HawaiianAir.com