As we closely monitor the ongoing developments between Hawaiian Airlines, Alaska Airlines and the U.S. Justice Department, this announcement of a 20% transfer bonus from American Express points to HawaiianMiles comes at an interesting juncture. Amid back and forth rumors and sentiment about the potential success of the merger between these two airlines, this promotion presents an opportunity to upguage your mile value, should the merger culminate successfully. Thus it reflects a personal strategic move as these airlines continue to navigate their future.
Details of this Hawaiian Airlines promotion.
Transfer details: Until August 31, 2024, Amex cardholders can transfer Membership Rewards points to HawaiianMiles at a higher (1:1.20) ratio. Thus, transferring 1,000 points will yield 1,200 HawaiianMiles, providing an attractive 20% incentive for travelers.
Implications of a potential merger: The possible acquisition of Hawaiian Airlines by Alaska Airlines introduces the interesting dynamic to this offer. Should the merger go through, Alaska Airlines has said that HawaiianMiles will be integrated directly into Alaska’s Mileage Plan, potentially enhancing the value of these points in the future. This makes the current promotion speculative, but potentially rewarding as an opportunity for those betting on the merger’s success.
“Because these are very different programs, even with Alaska confirming a 1:1 points conversion, HawaiianMiles will still work differently when converted to Mileage Plan. Other considerations include how much upgrades and award tickets cost, their availability, and other things.”
Beat of Hawaii
Sentiment on Hawaiian Airlines acquisition swings widely.
We’ve reported on both positive and negative sentiment among industry insiders and followers as to whether or not the merger will culminate successfully. No one knows at this point. On Thursday, Hawaiian Airlines stock, which previously had seen significant swings, was down by nearly 7%.
Value of HawaiianMiles should merger not be consummated.
Should the merger not come to fruition, there remain concerns about Hawaiian Airlines’ future. Should they enter bankruptcy, there exists the possibility of a reduced value of their HawaiianMiles. That was the case for multiple other airlines, including US Airways, Delta Air Lines, United Airlines, and American Airlines previouisly. While those programs retained value post-bankruptcy, there were significant changes to redemption rates, availability, and partnerships that negatively impacted the real value of accrued miles to consumers.
Read: What Should You Do With HawaiianMiles Amidst Merger Plans Or Possible Bankruptcy?
Strategic considerations.
Increased value post-merger?: If Hawaiian Airlines is acquired, the value of HawaiianMiles would become part of Alaska’s loyalty program, which is known for its flexibility and range of partners. This would make HawaiianMiles more versatile and possibly more valuable. We like having Mileage Plan miles far more than having HawaiianMiles due this far better flexibility in using them both for Alaska and non-Alaska flights.
Speculative vs. use-it-now transfers: While the bonus is enticing, we are evaluating whether this transfer aligns with our own immediate travel goals. Transferring points without a specific redemption plan always carries risks, especially in times of change such as Hawaiian Airlines currently faces.
This promotion, which has occurred previously, is different now and more than just a bonus offer, it’s a strategy move amid the changing landscape of these airlines.
Are you transferring points to HawaiianMiles?
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I have found Alaska Airlines planes are filthy and substandard compared to Hawaiian Airline planes. In addition the cabin crew are far more friendly and attentive on Hawaiian Airlines. I fear Hawaiian airlines will fall into the same business practices I have found so undesirable on Alaska Airlines.
Our taxes, for our sometimes short term rental, went from ($9,000.00 to$14,000.00) already this year. Very high percentage increase. Due to the inflated selling prices of like condos near us. We visit Maui 3 times a yr, about 1 1/2 months each stay. Now they want to raise our taxes again when travel is down. Outrageous!
Aloha Rob+Jeff Quick question. What will happen to the HA credit card if the merger goes through? Will we be getting a Alaska credit card? Would it still be by the came bank? An article on that would be great to read from you. Should I use my Ha miles soon? Never flew Alaska before. Am worried my miles may get reduced or who knows. Any info is appreciated as are both of you by me. Mahalo nui loa.
Hi Debra.
Alaska is BofA and Hawaiian is Barclay. Not likely they would keep both. As someone else just commented and we confirmed, Alaska doesn’t allow upgrades using points while Hawaiian does. Lots of things to be sorted out if this goes forward. Using miles now vs. later is something we’ve already written about a lot. There’s nothing new to add at this juncture.
Aloha.
Hopefully this was a smart move, I went ahead and booked 2 roundtrip tickets on a flight from LA-OGG in late spring with the HA miles I had in account. I’m thinking it could take awhile before the miles plan and routes are ironed out.
Sounds like the winner of all this drama could be American Express. When a company files bankruptcy they are not obligated to pay off any outstanding debts which airline miles would fall under. Sorry HA. If Kroger and Safeway merger got federally blocked IMO I would think the Alaska/HA would fall under a monopoly decision too. Another 20% of nothin is still nothin.
Hmmmmm . . . . Well, in the not-so-distant past, I saw HA virtually double the number of miles required for free/supplimented air travel to/in HI. This 20% credit with AmerExpress looks like it could be a justification to do the same thing again, saying in effect that the introduction of AmerExpress miles/points ‘waters down’ the value of HA miles. As the world churns . . . . . . Time will tell!
Thanks BOH for keeping us up to date on the AS/HA merger. I’m a longtime loyal and regular HA passenger on the SFO/HNL route. I use my accumulated HA miles for upgrades. 25k miles will get me from main cabin coach to the forward cabin, confirmed with seat assignment, and usually available if I book far enough in advance. After scouring the AS website, I haven’t found a similar offering in the AS mileage program. Thus, am somewhat leary as to what is instore if/when the merger goes through. Have you or any BOH readers discovered the ability to ungrade using miles on the AS program?
Hi JonL.
You’re correct. From the AS website: “Upgrades are currently not available for purchase with miles. You can redeem miles for a First Class ticket or pay for an upgrade.”
Aloha.