Hawaiian Airlines Marks Its First Ever Full Year of Profits

Company Reports 12th Consecutive Profitable Month and Best-Ever Operating Results for March and First Quarter

HONOLULU, April 22, 2004 -- Hawaiian Airlines marked its first ever full year of consecutive monthly operating profits with the court filing of its monthly operating report. The company recorded its best operating results ever for both the month of March and the first quarter of a year.

“At a time when many airlines continue to struggle and report loss after loss, Hawaiian is thriving,” said Joshua Gotbaum, trustee for Hawaiian Airlines. “Hawaiian, always recognized for outstanding service, continues to be the nation's most punctual airline, and one of the most profitable. But we are not resting on our laurels. With the launch next month of our Australia route, Hawaiian will bring its unique service to even more travelers.”

For March, Hawaiian reported an operating profit of $9.5 million on revenue of $66.5 million. Hawaiian's March operating results represent a year-over-year improvement of $10.3 million compared to an operating loss of $774,000 on revenue of $56.2 million for March 2003.

The most significant area of improvement was in overall revenue, which increased by $10.3 million or 18 percent over March of last year, a reflection of Hawaiian's continued ability to attract customers and meet strengthening consumer demand for travel to and within Hawaii.

Operating expenses in March remained constant year over year at $57.0 million despite the spiraling price of fuel, which resulted in a $600,000 increase in fuel costs.

Hawaiian's capacity, as measured by Available Seat Miles (ASMs), increased by 3.8 percent in March. Hawaiian's Revenue Per Available Seat Mile (RASM) jumped by 14.1 percent, while its Cost Per Available Seat Mile (CASM) dropped by 3.5 percent compared to the same month last year.

Hawaiian recorded net income of $4.3 million in March, a $7.0 million improvement over a net loss of $2.7 million reported for March 2003.

Company Records Best Ever First Quarter
The success that Hawaiian enjoyed in March assured the company of its best financial results ever for a first quarter, with an operating profit of $17.4 million on revenue of $183.0 million. This represents a year-over-year improvement of $30.9 million compared to an operating loss of $13.5 million on revenue of $157.1 million for first quarter 2003.

Most notably, scheduled passenger revenue improved by $30.7 million, which more than offset a $9.9 million decline in charter revenue from reduced charter service.

First quarter operating expenses improved by $5.0 million, with the biggest improvements in maintenance of $4.1 million and aircraft rent of $2.9 million, offset by a $2.5 million increase in fuel expense.

Operating revenues increased by 16.5 percent for first quarter 2004 compared to 2003. RASM increased 18 percent, while CASM decreased by 1.5 percent over the same period last year.

The company recorded first quarter net income of $8.2 million, a $23.6 million improvement over a net loss of $15.4 million reported for first quarter 2003.

“In the past, the first quarter was a tough time for Hawaiian. There were fewer travelers and fewer profits. It was at the end of the first quarter last year that the airline had to file for bankruptcy. Now the first quarter is a chance to show how far Hawaiian has come. It's been a tremendous start to 2004 and we're confident of even brighter days ahead,” said Gotbaum.

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