At the beginning of the week, it appeared that Alaska Airlines' acquisition of Hawaiian Airlines had been cleared by the Department of Justice (DOJ) over antitrust concerns. All that remained was the Department of Transportation's signoff, which seemed likely to come quickly.
Hawaiian Airlines shares were trading at $4.86 before Alaska Airlines agreed to pay $18 per share for the company, plus assuming $900 million in debt. Hawaiian shares closed Thursday at $17.36, down slightly from Wednesday but still reflecting high certainty that the deal would close.
"The deal seemed likely, as long as the parties could find a compromise," an observer noted earlier this week. "There’s not a fundamental competition problem, and there wasn’t political clamoring against it. Hawaii politicians supported it, and labor unions didn’t actively oppose it. Alaska doesn’t compete today on inter-island routes, and the mainland – Hawaii market is highly competitive. There’s a zone of possible agreement."