CASE STUDY

When Alaska Airlines prepared for its $1.9 billion acquisition of Hawaiian Airlines, the company turned to its longstanding aviation regulatory counsel, Cozen O'Connor. The acquisition solidifies Alaska Airlines as the nation’s fifth-largest passenger airline and will reshape the travel industry, enhance competition, and expand guests’ access to domestic and international destinations while maintaining Alaska Airlines' and Hawaiian Airlines' distinct brands.

The Cozen O’Connor team prepared the airlines’ joint applications to the U.S. Department of Transportation (DOT) for approval of the transfer of Hawaiian Airlines’ various DOT licenses and authorizations. DOT issued an interim approval relating to that transfer, enabling the parties to close the transaction. In an unprecedented move, DOT required Alaska Airlines to enter into an agreement involving specific air service, competition, and consumer protection-related “commitments” before DOT would grant the interim approval. The Cozen O’Connor team played a key role in helping Alaska Airlines secure that agreement.

Kyle Levine, Alaska Airlines’ SVP, Legal and General Counsel, stated: “Cozen O’Connor is a longtime trusted partner to Alaska Air Group and David [Heffernan] is a true superstar in the field of aviation regulation. He and the Cozen O’Connor team have been integral to our success over the years, from assisting us in the Virgin America acquisition, to advising on our airline alliances and entry into a global alliance, to navigating the regulatory complexities associated with the COVID pandemic. We were grateful to have David’s expertise and equanimity as we worked our way through a challenging regulatory landscape to close the Hawaiian Airlines transaction.”

Cozen O’Connor continues to advise Alaska Airlines on DOT, Federal Aviation Administration (FAA), Transportation Security Administration (TSA), and Federal Communications Commission (FCC) regulatory compliance issues related to the integration of the two airlines’ operations.