Hawaiian Airlines to boost inter-island flight capacity

• Hawaiian will replace all 19 Boeing 717s (20+ years old, 128 seats) with larger 737 NG aircraft (160 seats) beginning in 2028
• The capacity increase targets growing demand for short inter-island flights, particularly during midday peak periods
• Alaska Airlines, which owns Hawaiian, will expand its freighter fleet from five to nine aircraft with four new 737 freighters entering service in 2028

Summary: Hawaiian Airlines to Boost Inter-Island Flight Capacity

Hawaiian Airlines announced plans to retire its entire fleet of 19 Boeing 717 aircraft and replace them with larger Boeing 737 Next Generation (NG) jets to meet growing demand for inter-island flights, beginning in 2028. The announcement was made at the Farnborough Airshow on July 21.

Key Details:

The 737 NGs offer significantly increased capacity with approximately 160 seats compared to 128 seats on the aging 717s, which are all over 20 years old. Hawaiian Airlines CEO Diana Birkett Rakow indicated the additional capacity is needed particularly during mid-day peak travel periods.

Parent Company Expansion:

Alaska Airlines, which owns Hawaiian Airlines, simultaneously announced plans to nearly double its freighter capacity by leasing four additional 737 freighters. These aircraft will enter service in 2028, expanding Alaska's cargo fleet from five to nine aircraft.

Market Implications:

The fleet modernization represents a significant capital investment by Alaska Airlines Group in Hawaiian operations, signaling confidence in Hawaii's tourism recovery and inter-island travel demand growth. The timing—with aircraft entering service in 2028—suggests a multi-year strategic planning horizon. The 25% increase in per-aircraft seat capacity could improve operational efficiency and unit economics on high-demand routes.

The expansion of Alaska's freighter operations indicates growing cargo demand in the Pacific region and potential revenue diversification beyond passenger services. Both moves position the combined airline group for capacity growth without necessarily adding aircraft numbers, potentially improving fleet utilization and profitability.