21 Jan 2008

Hawaiian Airlines delays purchase of new aircraft

11:00 am on 21 January 2008

Hawaiian Airlines says its plan to buy 24 Airbus widebody jets for US $4.4 billion has been delayed and may not be completed.

In its filings with the U.S. Securities and Exchange Commission, Hawaiian says the delay is the result of an impasse in negotiations with its pilots union.

Hawaiian said it needs to get an agreement with the Air Line Pilots Association over the terms andconditions under which the new planes would enter its fleet before it can sign an agreement for the planes.

The company says it may have to abandon the deal if it can't reach an agreement with the pilot's union.

Hawaiian announced in November that it planned to replace its existing trans-Pacific fleet of 18 Boeing 767-300 planes with the new Airbus jets, which not

only have a longer range but also have more seats.