Mechanics Approve New Contract with Hawaiian

Four of Six Unions Have Ratified New Three-Year Labor Agreements

HONOLULU -- Hawaiian Airlines announced that, by a comfortable margin, members of the International Association of Machinists (IAM) District Lodge 142 voted yesterday to ratify a new three-year contract.

The new contract covers 376 employees of the IAM Mechanics unit who work as aircraft inspectors, mechanics, line servicemen and cleaners at Hawaiian.

Four of Hawaiian's six labor unions have now ratified new three-year contracts.

Trustee Joshua Gotbaum stated, “We congratulate IAM's leadership for continuing to negotiate and work toward a mutually agreeable contract, as well as IAM's membership for approving a contract that is a necessary step for Hawaiian to successfully exit bankruptcy.”

After Mechanics unit members failed to ratify an earlier negotiated agreement on January 20th, IAM's leaders and Hawaiian continued to negotiate until reaching a new agreement that addressed concerns of employees while keeping costs in line for the company.

Earlier this month, IAM's Clerical unit, representing 1,329 employees working in accounting, reservations, customer services and ramp services, ratified a new three-year contract with the company. The Transport Workers Union, which comprises Hawaiian's dispatchers, and the Network Engineering Group, representing the company's computer engineers, have also ratified new three-year contracts.

The new contracts for the two IAM units, like the others Hawaiian has negotiated, are contingent on reaching similar agreements with all six labor groups at Hawaiian.

Earlier this week, members of the Association of Flight Attendants failed by a narrow margin to ratify a tentative agreement negotiated with Hawaiian. The parties are currently in discussion about next steps.

In addition, Hawaiian is continuing attempts to negotiate a new agreement with the Air Line Pilots Association.

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 75th 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