Aloha Airlines Shuts Down

Fierce competition and rising fuel costs push carrier over the edge
By Jim O'Neill,  Newser User
Posted Mar 31, 2008 7:11 AM CDT
Tourists disembark from a flight from Maui, Hawaii on go! Airlines at the Honolulu International Airport.   (AP Photo/Marco Garcia, file)
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(Newser) – Unable to find a buyer and running out of cash, Hawaii’s ubiquitous Aloha Airlines is shutting down operations after today, idling 1,900 workers and ending more than six decades of island-hopping and transpacific flights, the Honolulu Advertiser reports. The airline filed for bankruptcy March 20 because of rising fuel prices and fierce competition from startup go! airlines.

Aloha, Hawaii’s second-largest carrier, operated some 700 interisland flights and 120 flights to the mainland weekly. Aloha said it is working with code-share partner United Airlines to honor Aloha tickets, and Hawaiian Airlines said it would increase capacity and take as many Aloha passengers as it can for free through April 3.