Allegiant Travel Company to Launch Service to Hawaii

Allegiant Travel Company has signed a forward purchase agreement to acquire six Boeing 757-200 aircraft, which will enable the company to expand its leisure travel strategy into Hawaii, with flights to be operated by Allegiant Air, LLC, its airline subsidiary.

The company says that its existing MD-80 fleet cannot provide service to Hawaii, and has purchased the aircraft in a bid to pick up some of the destination's leisure market. The airline expects to spend between $75 and $90 million through 2012 acquiring and preparing this fleet.

The company's plan to acquire six Boeing 757-200 for its new routes to Hawaii will be in addition to the 14 new air routes and three existing routes with increased service in 2010. Allegiant plans to take delivery of these aircraft and place them in service with Allegiant Air on the following schedule:
*    Two aircraft delivered within the next two months to be placed into service in the fourth quarter of 2010
*    One aircraft delivered in November 2010 and another in January 2011 to be placed into service in the first half of 2011
*    Two aircraft delivered in the fourth quarter of 2011 with planned in-service dates in the first half of 2012

The six 757 aircraft are sister-ships, and have been in service with a single European operator since original delivery from Boeing. The aircraft come equipped for extended twin-engine operations (ETOPS), as required for long overwater flights. 

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