This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Hawaiian Holdings Management Presents At Deutsche Bank 2012 Aviation And Transportation Conference (Transcript)

On top of that, we’re in the midst of implementing a growth strategy and diversifying our business. We’re roughly two times the size we were five years ago as measured by revenue.

In the strategy, on top of the business model has several advantages. And I believe these are sustainable competitive advantages, just being focused on Hawaii doing one thing that’s important. We’re growing into regions where the demand for the Hawaii Vacation is growing and we’ll look at some of those numbers in a bit. As the leisure carrier, we’re less sensitive to economic downturns, and we’re enjoying economies of scale as we grow.

Let’s take a quick look at our fleet. We have narrow body and wide body aircrafts totaling 43 today. We operate 18 Boeing 717s in our inter-island network with about 123 seats. And it’s the perfect airplane for short-haul, high-frequency flying. The airplane is durable, it has good economics. And it should get us through the decade, if not further.

We’re transitioning our wide body fleet by retiring 767s and adding Airbus A330s to our longer haul services. Currently we have 15 767s worth about 264 seats and nine A330s with 294 seats. The 767 is a fine airplane, but the A330 gives us about 30 more seats, a bit more range and a better cargo capabilities. In 2015, our transition will look like this, we’ll have 22 A330s, and nine 767s.

So, let’s take a look at the network broadly. I know you can’t read this. But the point here is that we have a lot of reach. We’re on the East Coast of the US, we were in the Far East. Also note how everything connects to Hawaii, that’s the point, we’re a destination carrier, and we’re converging in the middle.

So, let’s break the network down. First, we have the neighbor island it’s about quarter of our revenues. It’s a unique, very high frequency, very short-haul market. We have a very strong competitive position with over 85% seat-share. Several routs in this network or among (inaudible) to the US, it surprised me to learn when I came to Hawaii and that we operate a 170 round-trips in the network each day. And as an example, Honolulu to Maui, we operate 32 round-trips per day, very busy.

2 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,098.45 +18.88 0.11%
S&P 500 2,003.37 +6.63 0.33%
NASDAQ 4,580.2710 +22.5760 0.50%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs