Aloha Air behind
on payments to state

The airline disputes nearly
a third of the $980,000 amount

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By Lyn Danninger
ldanninger@starbulletin.com

Aloha Airlines owes the state more than $980,000 in landing fees and rent, according to state figures.

Of that amount, the airline disputes $280,735 that it says it shouldn't have to pay.

"Some of the dispute is over leased space we are are unable to use such as the fourth floor drive-thru area that has been closed since Sept. 11," said Aloha spokesman Stu Glauberman.

Glauberman said the airline is working with the state to resolve the matter.

"Aloha Airlines is working with the state to reconcile the difference of opinion over what is owed and we hope to resolve the issues very soon and will pay what is owed," he said.

Of the amount the state says Aloha owes, nearly $389,000 is more than 60 days overdue.

The state airports system lost more than $43 million last fiscal year, mainly due to a large drop in rent paid by airport concessionaires who were hit hard by the downturn in tourism after 9/11.

Airline landing fees, waived for six months after 9/11, fell 60.3 percent to $14.3 million during the fiscal year, which ended June 30, 2002.

Aloha competitor Hawaiian Airlines filed for Chapter 11 bankruptcy last month, and the state was not listed among its top 20 unsecured creditors.

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Aloha Airlines
State Department of Transportation