Aloha Airlines narrows gap for loss in 1st quarter

By Kelly Yamanouchi
Advertiser Staff Writer

Aloha Airlines lost nearly $7.2 million in the first three months of this year, improving from a $12.9 million loss in the same period a year ago.

Aloha had operating revenues of $106 million in the first quarter of 2004, up from $87.5 million a year ago. Aloha had operating expenses of $112 million in the quarter, up from $98.7 million in the first quarter of 2003.

"We're gratified by our revenue growth in the quarter, reflecting strong demand for travel to Hawai'i. Expenses were negatively impacted to some degree by fuel prices and a significant increase in employee benefit costs," said Aloha's president and chief executive Glenn Zander through a spokesman.

Aloha had a $5.6 million operating loss in the first quarter, compared with an $11.2 million operating loss in the year-ago quarter.

Aloha, a private company, is not required to report earnings to the U.S. Securities and Exchange Commission but files quarterly reports with the federal Bureau of Transportation Statistics.

Competitor Hawaiian Airlines had a first-quarter operating profit of $17.4 million on revenue of $183 million. That compared with an operating loss of $13.5 million on revenue of $157.1 million in the first quarter 2003.

Aloha also announced that starting in September it will begin daily nonstop flights between Las Vegas and Honolulu, and between Sacramento and Maui. Tickets go on sale June 18, for travel beginning Sept. 7.

The new fall flights will be among 10 daily nonstops Aloha will offer between the Mainland and Hawai'i.

Reach Kelly Yamanouchi at kyamanouchi@honoluluadvertiser.com or 535-2470.