The Economy

Isles are rapidly recovering lost airline traffic

Hawaii’s projected 9.8 percent growth in air seats this year has put the state on track to recover most of the capacity it lost when the recent economic downturn resulted in the closure of Aloha Airlines and ATA Airlines, both of which were big players in the local market, in 2008.

That lost capacity is coming back as more routes have been added and Alaska Airlines and Allegiant Air have introduced new Hawaii flights. Most of the specific routes lost by the demise of Aloha and ATA — such as those to the West Coast — have been restored, and total volume of air seats coming to Hawaii is nearing 2007 levels. Alaska Airlines, which is based in Seattle, has gone from having no presence in Hawaii in September 2007 to 111 nonstop flights a week to Hawaii from the West Coast and Alaska by next March.

Scheduled domestic nonstop air seat capacity now is expected to end 2010 at 92 percent of 2007 levels, according to the Hawaii Tourism Authority and the Hawaii Visitors & Convention Bureau. Total air seats to Hawaii for 2010 are expected to reach 9.2 million, up 6 percent from 8.7 million air seats in 2009, according to data from the Hawaii Tourism Authority and the state Department of Business, Economic Development and Tourism.

Hawaiian Airlines, which now accounts for 50 percent of Hawaii’s domestic travel market, has invested $5 billion in a fleet of aircraft and sees Asia as a new frontier for growth with its soon-to-launch Tokyo and Seoul, South Korea, routes.

Hawaii’s air-seat growth this year is outpacing other destinations, such as the Caribbean with 3.9 percent, Alaska with 3.8 percent, Florida with 2.9 percent, Mexico with 2.5 percent, Europe with 1.8 percent, according to the most recent data from Sabre Airline Solutions.