Aloha Airlines Files for Protection

Hawaii’s Aloha Airlines blamed predatory pricing and said it was filing for bankruptcy protection Friday.

It’s a travesty and a tragedy that the illegal actions of a competitor and other factors completely beyond our control have forced us to take this action, Aloha’s Chief Executive Officer David Banmiller said in a statement.

The airline said it was filing to protect 3,500 jobs, honor thousands of passenger travel reservations, and keep the U.S. Mail and air cargo moving between the islands.

The airline filed for protection in 2004 and emerged from that in 2006. Within a year, however, they ran into competition from Mesa Air Group, which drove prices down, the Honolulu Star-Bulletin reported.

Hawaii Gov. Linda Lingle issued a statement expressing concern for the airline’s employees who have sacrificed a lot over the years.

The continued, uninterrupted service of the airline is in the best interest of the employees, Hawaii residents and visitors and our state’s economy, she said.