Alaska Air Group's Acquisition of Hawaiian Airlines Clears DOJ: What to Know
The proposed Alaska Air-Hawaiian Holdings merger cleared a regulatory hurdle after the DOJ's investigation period expired. Here's what happens next.


Alaska Air Group's (ALK) proposed acquisition of Hawaiian Airlines parent Hawaiian Holdings (HA) has cleared the U.S. Department of Justice after the period for its regulatory investigation expired yesterday. Hawaiian Holdings' stock has responded to the news by jumping more than 11% in Tuesday's session, while ALK shares are down slightly at last check.
"This is a significant milestone in the process to join our airlines," Alaska Air Group said in a statement. The air carrier added that during the Department of Justice's review, it worked closely with Hawaii's attorney general "to reinforce and expand upon our commitments for the future of Hawaiian Airlines" as well as local consumers. "These include plans to maintain the Hawaiian Airlines brand and local jobs and continue providing strong service between, to, and from the Islands," it said.
The $1.9 billion merger, first announced last December, still does not have the all-clear, though. While this is a major regulatory win, the transaction still remains subject to other closing conditions, including approval by the U.S. Department of Transportation (DOT), Alaska Air Group said.

Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
According to CNBC, the Department of Transportation released a statement Tuesday saying it "is reviewing the application and can only approve a transfer if it is in the public interest."
Hawaii Governor Josh Green said Tuesday that he is "confident that by the joining of these two airlines, a stronger company will emerge and offer more travel options for Hawaii residents and local businesses – and will enhance competition across the U.S. airline industry."
Is Alaska Air stock a buy, sell or hold?
Alaska Air Group has struggled on the price charts in 2024, down nearly 11% for the year to date. Still, analysts are hopeful the industrial stock can stage a turnaround. According to S&P Global Market Intelligence, the consensus analyst target price for ALK stock is $52.07, representing an upside of nearly 50% to current levels. Additionally, the consensus recommendation is Buy.
However, not all analysts are bullish on the stock. Financial services firm CFRA Research has a Hold rating on ALK stock with a $39 price target.
CFRA Research analyst Siye Desta says the air carrier faces several growth risks, including weaker domestic demand, higher labor costs and the grounding of its Boeing 797-9 Max fleet.
Still, Desta's $39 price target on ALK stock sits nearly 12% above where it's currently trading.
Related Content
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

Joey Solitro is a freelance financial journalist at Kiplinger with more than a decade of experience. A longtime equity analyst, Joey has covered a range of industries for media outlets including The Motley Fool, Seeking Alpha, Market Realist, and TipRanks. Joey holds a bachelor's degree in business administration.
-
How to Shop Smarter as Tariffs Drive Up Prices in 2025
Tariff fatigue is real. Here’s how to save as prices rise and uncertainty grows.
-
Retirement Reimagined: Finding Your Tribe in LGBTQ-Focused Communities
Demand for LGBTQ retirement communities in the U.S. is high, but inventory is not easy to find. Here are some safe havens to explore.
-
The $1 Million Retirement Question: Are You Being Tax-Smart About Your Pension?
A financial planner raises some key considerations for navigating retirement with a pension and recommends four strategies.
-
The Costly Mistake You Might Be Making With Your First 401(k)
Most people start contributing to their retirement savings later in life. That could be a big-time mistake, literally costing you thousands of dollars.
-
Why I Trust Bonds, Even Now
Columnist Jeffrey Kosnett explains why he stands by investing in bonds.
-
An Estate Planning Attorney's Guide to the Importance of POAs
Regularly updating your financial and health care power of attorney documents ensures they reflect your current intentions and circumstances. It's also important to clearly communicate your wishes to your chosen agents.
-
Divorce and Your Home: An Expert's Guide to Avoiding a Tax Bomb
Your home is probably your biggest asset, so if you're getting a divorce, the stakes are high. Keep it? Sell it? You need to have a good plan in place for how to handle it.
-
Stock Market Today: Stocks Grapple for Peace Trade Gains
Of course dramatic tension is high on Fed Day, only this time it's about war and peace as well as monetary policy.
-
Fewer Agents, Fewer Audits: How IRS Staff Cuts Are Changing Enforcement
Significant reductions in the IRS workforce appear to be increasing the number of 'no change' audit closures. The shift could potentially increase the overall tax gap — the difference between taxes that should have been paid and those that were.
-
What if You Could Increase Your Retirement Income by 50% to 75%? Here's How
Combining IRA investments, lifetime income annuities and a HECM into one plan could significantly increase your retirement income and liquid savings compared to traditional planning.