Alaska and Hawaiian Bring the B737 to Interisland Flying Starting This Fall


Who’s excited for a special Wednesday post? Actually, all of you who don’t care about Hawaiʻi should be. I was going to just do this on my regular Thursday, but I figured some of you would kill me if I had another entire week dedicated to the islands. So, enjoy today, and then there will be a non-Hawaiʻi post as usual tomorrow.


Hawaiian officially announced yesterday that it will replace its B717 fleet with the B737-800 as first reported by The Air Current, and as we discussed on The Air Show podcast. I had the chance to sit with Hawaiian CEO Diana Birkett Rakow and Head of Hawaiʻi Operations Jim Landers on Tuesday to learn more about the plan.

Hawaiian has been in a bind. The B717 fleet has aged noticeably over the last couple of years, requiring more downtime and maintenance work. Temporarily expanding that fleet was considered a non-starter, and so the interisland operation has suffered. There have been operational issues, and the only solution was to pull down the schedule to give the existing fleet more of a breather. The problem has become so acute, especially in the middle of the day, that Hawaiian is putting a temporary solution into place.

Starting this October, Alaska — not Hawaiian — will fly three daily roundtrips between Honolulu and Kahului (Maui) on a B737 that will rotate back into the mainland fleet. Since this is Alaska-branded, there will be no pog juice or any Hawaiian-style service. This is simply a band-aid until they can bring the real solution into place.

That will start in 2028 when the first B737-800 painted in the Hawaiian livery and with Hawaiian-branded service will enter the fleet. The full timeline for the retirement of the B717 has not been determined, but this will not be drawn out. They just don’t have all the answers yet.

Rendering via Hawaiian

For example, we don’t yet know how many of these airplanes will enter the Hawaiian fleet. They need to figure out exactly how many flights at what time of day they need to operate with these higher-capacity aircraft, so they will back into the exact number later. That’s easy to do when you have a whole fleet of -800s at Alaska today that gives flexibility, but I was assured that this will continue to be a high-frequency operation the same way it is today. And when asked if all interisland routes that operate today would continue to be flown with these bigger airplanes, Diana responded, “I don’t see us pulling out of any of those markets”

What will these look like on the inside? If you’ve been on an Alaska -800 today, it will be pretty similar. Those airplanes just had a full refresh, so the configuration will remain the same with 16 First Class, 30 Premium Class (extra legroom), and 115 in coach for a total of 161 onboard. While none of that will change, the color schemes onboard will, including the bulkheads and seat covers. This will look like a Hawaiian-branded airplane.

This means the interisland experience will be better in several ways. Most notably, these airplanes will have an extra inch of pitch in coach, a full extra legroom section, and double the number of First Class seats onboard compared to the 128-seat B717. The reality is that with 33 more seats on the airplane, they don’t need to try to squeeze more capacity into the aircraft, so they can make it a little more comfortable.

The bigger First Class cabin and new Premium class also means improvement for elites who will have more upgrade opportunity, but it also means more seats are available in general. Diana said, “a lot of guests really do purchase First Class.” First Class is also helpful for paid connectors in First Class, especially those from Japan and Australia who have to funnel via Honolulu before going to another island.

Diana and Jim highlighted a lot more about the improved onboard experience including power outlets and Starlink onboard, but who really cares when your longest flight is less than 45 minutes? I suppose it’s still a nice bonus, especially for the local business traveler. But ultimately, this is just something they’re going to milk since it’s already on the fleet at Alaska today.

The Decision

I was most curious about how they arrived at the -800 as the right airplane, and Jim gave some really helpful context since he was at Hawaiian before the merger. He explained that while “there isn’t another perfect 128-seat tank being built,” it was a previous generation narrowbody which seemed to be the best fit. Pre-merger Hawaiian was circling its efforts on a second-hand fleet of either A319ceo or A320ceo aircraft since it would give more commonality with the Airbus fleet.

Now that Hawaiian is part of Alaska, the decision tipped in favor of a B737 fleet instead, but it’s for the same basic reason… engines. New generation Pratt & Whitney GTF or GE LEAP engines just don’t work well for short, frequent hops. I did ask about the Embraer 195 E1 which uses engines from that generation, but the combination of already having the -800s in the fleet and wanting more capacity made the -800 a no-brainer, especially in the middle of the day when they don’t have enough capacity now They would rather have bigger planes with enough capacity during the peak and then fly with more empty seats in off-peak.

I did ask if this meant the A321neo was not long for the fleet, Diana said that wasn’t the case. As she explained it, “we are maximally using every airplane we have at our disposal right now, we want all those airplanes.” What to do with the A321neos is something for much further down the line.

The Added Bonus

These airplanes will be based in Honolulu and will be flown only within the islands… usually. There is an added bonus of having this fleet in the same configuration it is in now, and that is the ability to sub the airplanes on to mainland routes if needed. This isn’t going to be something that’s scheduled, but what if a plane breaks in Honolulu? In my view, they don’t need to have significant spare capacity for the mainland fleet, because they can press a -800 into service if needed and maintain the schedule.

They have yet to figure out how training and maintenance and all that will be handled, and that’s going to make some Honolulu-based employees a little anxious. But Diana did point out that Alaska just opened a new global training center in Renton outside Seattle. I would be surprised if that’s not where primary training happens which would obviously be a change from how training is done on the B717 fleet. Maintenance functions will, of course, be significant in Honolulu, but they don’t know what the plan is for heavy checks yet. Or at least, they aren’t ready to talk about it.

While this will make some people anxious, Diana did say, “we intend to keep a strong headquarters [in Honolulu] with training and front line resources.”

The Cargo Angle

Also announced yesterday was that Alaska Air Cargo will expand from five to nine aircraft, and at least some of those airplanes will be branded Hawaiian Air Cargo and will be based in Honolulu to fly between the islands. The exact split isn’t yet ready to be announced, but they will start flying in the first half of 2027.

Rendering via Hawaiian

Hawaiian hasn’t had a dedicated cargo fleet in nearly a decade. Back then, it leveraged the ATRs that were flying to Molokai and Lānaiʻi to bring in some cargo-only aircraft to fly between the bigger stations. Jim was there for that, and I actually met with him in 2018 to learn more about the operation. But the pandemic brought big issues. With reduced jet flying, the outsourced passenger ATRs had to be grounded to avoid busting the pilot contract. In the end, Hawaiian decided the operation just wasn’t worth it, so it shut the whole thing down.

Now, Jim is bullish once again. He said that there were “bright spots in the ATR service,” but they also had real reliability issues thanks partially to their age. That was magnified by the fact that routine service and parts availability were all pain-points. Jim says they had “plenty of customers lining up,” and now they’ll be able to go back to them with much bigger airplanes. I can’t imagine Aloha and Kamaka are thrilled about this prospect, but with Transair having a much-diminished presence flying only Shorts 360s after crashing a B737 in 2021, maybe there is opportunity for all.

Either way, with Alaska already having a successful air cargo business, adding more to the fleet to fly within the islands is a whole lot easier than standing something up from scratch. All of these changes show some of why Alaska taking over Hawaiian can have a real benefit.

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Brett Avatar

57 responses to “Alaska and Hawaiian Bring the B737 to Interisland Flying Starting This Fall”

  1. Tim Dunn Avatar
    Tim Dunn

    The 800s can presumably fly to the mainland at least on a one-off basis which the 717s can’t do at least in revenue operations.

    AS/HA is likely to reduce frequency on many intrastate routes so WN’s cut in frequencies is not going to be as much of a disadvantage.

    Logical choice as AS gets its costs down as part of merger integration by eliminating a fleet type.

  2. Bevvy Avatar
    Bevvy

    I think that it would make more sense to use a right-size and more reliable and customer-loved plane like the A220 rather than a Boeing. UGHH

    1. GM Avatar
      GM

      The problem the A220 and other next gen airframes is the engines do not do well on the short flight times of interisland flying. The engines would require even more maintenance at more cost which ultimately would lead to higher prices. Most new engine and their replacement parts are also in short supply which could lead to schedule disruptions. The -800s might not be perfect but they are probably the lowest cost alternative which should ultimately be good for travelers as prices should remain lower

      1. E175 Respecter Avatar
        E175 Respecter

        Plus, from a financial standpoint, you want to press new aircraft into service on high revenue, high utilization flights where you can best justify the cost of the expensive new asset. The additional benefits of type commonality with Alaska mainline (maintenance, parts, etc.) aside, using their existing -800s that are “paid off” keeps costs down and allows the lower fares on these short routes to remain profitable.

        Oftentimes the cheapest car is the one you already have in the garage.

    2. O'Hare Is My Second Home Avatar
      O’Hare Is My Second Home

      Licking Airbutt. And Franco-Canadian Spaghetti-Os isn’t as reliable or as loved as you think it is. Boeing above all others.

      1. Joe Putz Avatar
        Joe Putz

        Airbus is preferred for all of the intelligent flyers. The under-educated can fly the outdated broken pieces of crap

        1. FlyingDJ Avatar
          FlyingDJ

          I guess someone “uneducated” takes one to know one. Take the hate somewhere else, as it’s getting OLD. Both companies have had their struggles, both have made them stronger.

    3. 1990 Avatar
      1990

      Bevvy, I’m a huge fan of the A220 and E2 from a passenger-experience standpoint (like, gimme 2-3 or 2-2 any day, far better than 3-3, if you want to avoid those dreaded middle seats), but as others have mentioned, the A220 is a poor fit for high-cycle, short inter-island flights.

      If you’re looking for a real-world case study (beyond the broader P&W GTF supply chain issues), look to Southwest Indian Ocean. Air Austral (based in Réunion) proved that while the A220’s passenger comfort and fuel burn are fantastic on 2- to 4-hour thin routes (like Delta, Breeze, Air France, or Air Baltic fly), using it as a 30-minute shuttle bus destroys the economics of its complex geared-turbofan engines under that kind of rapid thermal stress.

      Alaska and Hawaiian dodge that pitfall by going with the 737-800 as a replacement for the 717.

  3. Patrick Avatar
    Patrick

    I can understand somebody wanting comfort on a long haul flight but 16 first class seats between HNL and OGG? What a waste of money! It will be interesting to see how many people they can sucker into paying $$$$ for such a short hop.

    1. Southside Emil Avatar
      Southside Emil

      Doesn’t Delta have most of the premium suckers? I mean how many can there be?

    2. Alex Hill Avatar
      Alex Hill

      One factor might be checked bags. For people with a checked bag or two (moving stuff around, tourists who can’t pack efficiently moving between islands), inter-island first class can be cheaper than coach plus two checked bag fees. Plus of course connecting long haul business class passengers. And as Cranky says, they don’t need more than 161 seats on inter-island planes anyway, so why not have the extra F capacity?

    3. EasyMoney Avatar
      EasyMoney

      It’s cheaper to leave em in than to tear em out. And it’s a good loyalty incentive for kama‘aina compared to what the only competition Southwest can currently offer

    4. TWA 720 Avatar
      TWA 720

      Never underestimate the greed for 1st. I swear people would pony up for 1st just to taxi to the opposite side of the airport as long as they could put that smug “I’m in 1st and you’re not” look on their faces.

    5. KKR Avatar
      KKR

      Being able to offer consistent upgrades (both to first and to premium) will be big for locals adjusting to the “new Hawaiian”. In a merger you run the risk of losing the airline’s customer base, as Alaska saw with Virgin, so it makes sense to try to lean into it and err on the side of being generous to make sure you keep those pax around. Some are lamenting the loss of the 2-seat side on the 717, but I’m sure when it’s all said and done people will be much happier with the 737s being more spacious, reliable, free WiFi, etc.. tons of benefits.

      An interesting feature of the merger is Alaska’s plan to make all Hawaii flying be Hawaiian-branded: that could mean that in a few years Hawaiian Airlines is actually much larger than it was before being acquired. They might just all be 737s and A330s

    6. John Avatar
      John

      Hawaii is a quite a Premium focused destination and many travellers (mostly from West Coast) are affluent and want first for their flights, even if it’s a short connecting hop from HNL.

  4. Bruce C Avatar
    Bruce C

    Aloha just can’t catch a break!

  5. MetroCity Avatar
    MetroCity

    I will miss the 717, but it is definitely time for them to bask in the Arizona sun.

    It probably was an airplane born in the wrong decade. And Boeing was too consumed with super-sizing everything to understand its potential long term value.

    1. David M Avatar

      I think Boeing also had a “not-invented-here” attitude. Sure, the merger was effectively a takeover of Boeing by McDonnell Douglas, but Boeing still seemed like they’d rather sell a 737 than a 717, even though in the end the 717 outsold the similarly sized 737-600 by more than 2:1.

      1. Kitsune4px Avatar
        Kitsune4px

        David,

        So this is a topic for Cranky’s buddy Jon to deeply research for The Air Current, but here are a few things I heard back in the old days (late 1990s) when I was a young aerospace engineering student in the Southland, who had interactions with some of the DAC folks at Long Beach. (Yes they still considered themselves DAC (Douglas Aircraft Corp) even though they had been McD for a long time by that point.)

        1) Yes, the Seattle marketing guys took over in the combined company and when folks would come asking about the MD-95 (or 717 if you like), they’d spend a day talking about it and then pivot to the reasons why buying 737s would be a better deal.

        2) The MD-95 was originally envisioned to have a stretched version, Boeing wouldn’t launch it because it would have eaten the bottom out of the 737, even though a lot of airlines would show up wanting to buy both members of the 717 family. Instead, see above.

        3) In fairness to the BCA folks in Seattle, to launch MD-95, Long Beach had to bring on risk sharing partners (this was one of the cancers McD management brought to Boeing on the 787 program); this had resulted in a pretty messed up industrialization of the MD-95 so the learning curve on cost wasn’t great. This made it more attractive to shed the program than to further invest in additional variants. (I’m sure MD-95 lessons learned was how famously the Long Beach engineer was able to make a bunch of predictions about how messed up 787 industrialization would be because of outsourcing, but I digress.)

        You could argue that when Airbus NEO / Bombardier C-Series came around later in the 2010s Boeing would have been better positioned to respond if they had kept the 717 and 757 programs (both of which would have been easier to modify with GTF/LEAP) and ended the 737 with the NGs, but that’s not the direction the company went for a number of good reasons and maybe some not so good reasons.

        If Jon O. reads CrankyFlier, maybe he’ll be inspired to do a deep dive into comparing and contrasting how Boeing handled the MD-95 vs how Airbus has handled the C-Series. (PS I’m still waiting for your second article on the MD-12 program you never published but promised years ago on TAC.)

  6. Jason Avatar
    Jason

    There has been ongoing discussion about bringing over 4 E175 from Horizon to strictly operate Molokai and lanai service. The proposed service would be subsidized by private investors and government EAS funds.
    Pre Merger Hawaiian was financial strapped so they scrapped their own plans for service restoration to these communities.

    AlaskaAir agreed to explore bring in assets to facilitate services these isolated communities to Whew local politicians to support the merger.

    As for Both Airbus aircraft they will be slowly replacing by Boeing aircraft between 2030-35.

    1. KKR Avatar
      KKR

      I was under the impression that interisland service was required to be Mainline as part of the merger agreement but maybe there’s a carve out for small markets like that. Would be a huge benefit to bring in the E175! Curious too if Hilo might get mainland service to Seattle eventually

      1. Brett Avatar

        KKR – That is correct, but I wouldn’t expect to see any E175s in the islands. Molokai in particular has a very short runway, and I don’t know that the 175 could even do it. It’s probably not worth Alaska even bothering to do something like this when others can serve the market. There’s not enough benefit.

        1. Bill from DC Avatar
          Bill from DC

          Can’t they dust off a few old horizon Q400s? I’m sure there are a few gathering dust in the Mojave!

  7. southbay flier Avatar
    southbay flier

    There really isn’t any other better option than the 738. A remember flying Aloha in 1991 on the 732(?) and it had a small first class section. Did they have open seating? I don’t recall seat assignments with Aloha.

  8. Sean in SAN Avatar
    Sean in SAN

    A special Wednesday post is always welcome, no matter the topic. Anything to keep the brain occupied from reading the actual news. Thank you!

  9. Matt D Avatar
    Matt D

    Too bad we can’t post pictures here. You might like some of the digital creations I’ve done.

    A mix of vintage airlines on modern planes like a Delta Widget on a 747-8 or modern planes and color schemes that don’t (at least for now anyway) exist. Like a Southwest 787 or a JetBlue 737-MAX8.

    I’ve also done a few whimsical creations like a Southwest 737-MAX8 “In-N-Out Burger” LogoJet.

    Many of them came out very lifelike I think. Of course it helped that I started with real pictures (that I took) and just heavily modified them with the picture program I use.

    1. Emilio Vigil-Vazquez Avatar
      Emilio Vigil-Vazquez

      What program do you use?

    2. David M Avatar

      You’d probably do a better job than Alaska, which I suspect used AI. The passenger “Hawaiian 737-800” looks too short. I think it’s a MAX 7 with NG engines, note that it has the MAX’s AT winglet rather than the split scimitars that are the latest NG winglet. It also has the double overwing exits that the MAX 7 has. But the engines lack the chevrons on the back like the MAX engines.

      The Hawaiian Air Cargo freighter looks about the right length for an -800, but still has the MAX’s AT winglets and NG engines.

  10. Anon Avatar
    Anon

    Is there a reason they didn’t go with old 737-700s? I think Alaska has like 12 of those left. they’re a closer capacity match to the 717s.

    1. Eric C Avatar
      Eric C

      The 700s are older than the 717s.

    2. Brett Avatar

      Anon – That’s a tiny fleet. They need more than that, and these planes are working well in Alaska primarily anyway.

  11. Yo Avatar
    Yo

    I’m gonna miss the 717, nifty little plane that even McDonnell Douglas didn’t screw up.

  12. Brian W Avatar
    Brian W

    Is the 800 replacement with its upgauge in capacity compared to the 717, planned to absorb the traffic that SWA will be leaving behind as it reduces service?

    1. Brett Avatar

      Brian W – There really isn’t much being left behind by Southwest. I mean sure, in Kahului – Honolulu Southwest will cut flights in half, but that is probably why Alaska is bringing in its own -800 in the short run to absorb capacity.

  13. Eric C Avatar
    Eric C

    What’s interesting to me is that the changeover starts in 2028. What’s not mentioned is they’re still expecting 25 Max 10 in 2027 and they have a dozen -700s that are even older than the 717s. I’d be surprised if most passenger 700s aren’t gone by the end of ’27 and then they get to the 717s in ’28 (and 321s thereafter)

    Alaska has some -800s with maybe 13 years life left, but most have around ten.

    1. Steve Avatar
      Steve

      They only refurbished the -700s a few years ago and as Cranky mentioned in another reply, they’re ideal for Alaskan operations. Will be sticking around for a while longer at least…

  14. GringoLoco Avatar
    GringoLoco

    This *must* be an error:

    Starting this October, Alaska — not Hawaiian — will fly three daily roundtrips between Honolulu and Kahului (Maui) on a B737 that will rotate back into the mainland fleet. Since this is Alaska-branded, there will be no pog juice or any Hawaiian-style service. This is simply a band-aid until they can bring the real solution into place.”

    No POG? Really brah? That’s lolo! ;)

    1. Brett Avatar

      Gringo – They are very serious about keeping the brands separate.

      1. Seanny Avatar
        Seanny

        But Alaska branded flights do serve POG juice on flights to/from Hawaii I thought!

        1. Brett Avatar

          Seanny – I dunno what to tell you, but this is what they said when I asked them.

        2. Goforride Avatar
          Goforride

          I suspect that trying to servce a 737-800’s worth of juice on a HNL-OGG flght just wouldn’t work.

  15. 1990 Avatar
    1990

    Brett, while much of the focus so far has been on the metal, I see the crew lifestyle shift as another major change here. Like, I’m thinking of crews who complete their 4-6 daily hops, then return to their own beds in Oahu or Maui each night. Going from interisland day turns on the 717 to a blended 737 fleet that mixes with mainland layovers would be a major change for Hawaiian’s flight crews and scheduling teams. Have they addressed scope and fencing so Alaska pilots don’t trigger a dispute with local Hawaiian crews? I see potential conflicts there.

    1. Brett Avatar

      1990 – There is no change. These are still dedicated interisland aircraft operated by the HNL base, and I would imagine they will build dedicated interisland lines. But that’s to be figured out down the line when the joint contract gets agreed upon.

      1. 1990 Avatar
        1990

        So, nothing to see here? Huh. Probably should tell that to the flight attendants represented by AFA-CWA… https://afaalaska.org/mec/alaska-management-announces-plan-to-operate-boeing-737-aircraft-on-neighbor-island-flights

        1. Brett Avatar

          1990 – That’s all union bluster. They are trying to get to a single contract and have to rally the troops. I’d love to hear what the alternative is. Those Hawaiian aircraft are being flown as much as possible, so the choice is either screw locals and have too little capacity or bring in a temp solution. It’s not like this is replacing other Hawaiian capacity that could be flown by Hawaiian-branded aircraft.

          1. 1990 Avatar
            1990

            Fair points. And, as far as mergers go, not too bad so far; at least nothing like +8 years of US-American West, or 6 years of United-Continental. Can’t all be Delta-Northwest.

  16. SAN Greg Avatar
    SAN Greg

    Great write up and insight for us av-geeks. Mahalo!

  17. Stan F Avatar

    What Alaska is doing with the -800s harkens back to another tactic that both Aloha and Hawaiian used when it came to fleet management. If one remembers back to the 1980s and 1990s, both airlines would regularly swap out aircraft for other like-model types as their fleet needs and the economics changed. Remember, for instance, the Hooters-painted Aloha plane? Aircraft came and went, and newer and older versions of the same type could move through the fleet depending on what made economic sense at the time.

    Alaska is essentially doing its own version of the same thing, except it has the advantage of doing it within a much larger fleet. Alaska already owns several -800s, has enough of them to support the Hawai?i operation, and can put those aircraft into short-haul, high-cycle interisland service while increasingly using the newer MAX 8, 9, and eventually 10 aircraft on longer routes where their fuel efficiency produces greater savings.

    In other words, Alaska is not necessarily making money simply by swapping one airplane for another. It is extracting greater economic value from both types of aircraft. An older, owned -800 may make perfectly good economic sense flying short interisland segments, while a newer MAX can generate greater operating savings flying five or six hours across the Pacific or on the Mainland.

    Of course, that is a very basic way of looking at Alaska’s game here. There is much more involved, including maintenance costs, aircraft cycles, remaining useful life, engine costs, and overall fleet utilization. Alaska still has to determine whether all of that pencils out.

    But in a broader sense, what Alaska is doing does harken back to prior practices in the interisland market: putting the aircraft into the mission where its economics make the most sense, rather than assuming that the newest airplane always belongs on the route.

  18. Exit Row Seats Avatar
    Exit Row Seats

    More spare parts for Delta!! ==;-)

  19. bzcat Avatar
    bzcat

    Sounds like we need to make a trip to Hawaii this year for farewell rides on the 717

  20. SouthBayJ Avatar
    SouthBayJ

    Note Southwest cutting inter-island

  21. Jason Avatar
    Jason

    I hate to sound like a bean counter, but is the ability to rotate into a mainland service worth a 4th FA on each flight?

    1. Brett Avatar

      Jason – If that were the only reason, then no. But they already have these airplanes in the fleet with brand new interiors, so it’s a very cheap aircraft for them. And there are some times of the day when this is the right level of capacity. The ability to rotate into the mainland is just an added bonus. Considering the alternatives, it makes sense.

      1. Iowa Airspace? Avatar
        Iowa Airspace?

        Couldn’t they not sell middle seats in 6 rows of coach (12 seats total), call those rows “economy couches,” and bring the maximum pax count down to 149/ eliminate the need for a 4th FA?

        1. Brett Avatar

          Iowa – No, it’s based on actual capacity even if they don’t sell it. So the seat has to go away

  22. Jerry Avatar
    Jerry

    They better hope they get a single ALPA and AFA contract – and training done – before this starts. If AS is having mainline based AS-crews operating these, it’ll be a PR mess. And it will blow up all these tightly worded narratives AAG has tried to spin about maintaining HA (while it really doesn’t exist anymore).

  23. Joe United Avatar
    Joe United

    I would encourage all travelers looking for a beach or tropical vacation to go to Mexico instead of Hawaii. No charge to park at the beach, the food tastes better and is cheaper, most important of all the locals are so much friendlier and respectful. Why would you spend your hard earned money traveling somewhere that you are treated with a lack of dignity and contempt. Aloha, baby!

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