---

BACK TO TOP
|

Hawaiian gets OK to return plane

Hawaiian Airlines, which last week said it had reached an agreement to return two of its leased 717 aircraft to Boeing Capital Corp., received U.S. Bankruptcy Court approval yesterday to give back one of the two planes.

A hearing on the other plane is expected shortly after the applicable motion is filed with the court.

Judge Robert Faris granted the carrier's request to return a 717 on or around Dec. 1 to a site in Miami so that Boeing Capital can reconfigure and paint the aircraft. Boeing Capital has an agreement to lease that plane to Atlanta-based AirTran Airways. AirTran currently operates 51 717s and has another six on order.

AirTran also has agreed to lease the other 717 that Hawaiian wants to relinquish. However, a motion has not been filed yet regarding that request since Hawaiian wanted to use the second plane for its busy holiday season.

Hawaiian spokesman Keoni Wagner said yesterday the second 717 will be turned over in January.

Hawaiian, which will have 11 717s and three 767s after the planes are returned, is negotiating with Boeing Capital on restructuring the remaining leases. The deadline for reaching an agreement, now in its sixth extension, is Dec. 15. Without the extensions, Boeing Capital would be allowed to repossess the planes under federal bankruptcy law.

"The parties have agreed to work toward finalizing our lease negotiations by Dec. 15," Wagner said. "If we meet that goal, no extension will be necessary. If we don't, then one will be."