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Mokulele Airlines Begins Interisland Jet Service

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BB.

Well, so far the results are mixed. The flights are operating and no one filed for an injunction to stop them, but having said that, they did have some issues with the TSA and their loads have not been what they expected.

From their website it looks like there is some confusion among the passengers as to where they are supposed to check in since they operate out of two terminals in HNL, but the feeback on the E170's seems to be quite good.
 
Better or worse than expected?

Worse - but in fairness to Mokulele, they just about picked the worst time to start an airline. They are riding the downward wave in tourism, have no code share partners, they didn't draw much media attention and have only two aircraft operating at the moment. Like always, the Hawaiian interisland market is a game of endurance. Ironically, the existing carriers should be profitable right now, but the $45 fares will likely pull the carriers back in to negative territory. Sound familiar?
 
Maybe Mokulele pilots have no leverage and are easily relplaced, but what if on day two of the announcement the Midwest pilots were being replaced, what if they said syonara to Midwest, why facilitate the orderly transfer of their companies name to a subcontractor. It's not about capitalism if the company says you'll all be replaced by cheaper labor but I need you to stay for a few months to train the replacements and fill in the gaps then bye! They are getting replaced anyway, better sooner than later in my book.

Yes!....you are right. Better to quit before you know what might happen. You am an iggit.
 
Worse - but in fairness to Mokulele, they just about picked the worst time to start an airline. They are riding the downward wave in tourism, have no code share partners, they didn't draw much media attention and have only two aircraft operating at the moment. Like always, the Hawaiian interisland market is a game of endurance. Ironically, the existing carriers should be profitable right now, but the $45 fares will likely pull the carriers back in to negative territory. Sound familiar?

How much money can Mokulele have to withstand the storm?
 
How much money can Mokulele have to withstand the storm?

That is the ultimate question. Republic must have some comfort level with them since they have a serious credit risk with Mokulele. I know BB has a very wealthy backer, but so did Aloha. It looks like we are going to test the limits here. Their per seat costs are relatively low, but their per flight costs are realtively high (ie v. Mesa).

I keep wondering why Mesa didn't send a couple of Dash 8's out here to recapture the Lana'i and Moloka'i flying in light of the litigation. Like most turf wars though, we should expect more irrational moves.
 

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