After a bruised year in the aviation industry, Hawaiian Airlines CEO Peter Ingram told CNBC he thought it just started here.
Airlines have spent a large portion of 2020 cutting routes and cutting flights due to reduced travel demand due to the coronavirus pandemic, but companies like Delta and United Airlines have announced some new additions in recent months.
Hawaiian Airlines joins the fight with new non-stop flights from Honolulu to Austin, Texas; Orlando, Florida, and Ontario, California, to be added in the spring. The Honolulu-based company expects a rebound in air travel in the new year and is seeking to take advantage of population trends in the southern states.
He said, “The reason why the time has come to announce three new tracks is that we are … very optimistic about the year 2021.”Closing Bell“These are the places we have been looking for for a long time. They have a strong good demand for Hawaii. “
Austin has established itself among the nation’s top tech scenes, to rival the traditional tech ecosystem for which the San Francisco Bay Area is famous. The Texas capital has attracted the interest of several technology companies that have opened factories there or announced plans to move their headquarters from California.
Earlier this month, Oracle, a pillar of Silicon Valley, said it would move its headquarters to Austin. It is one of a series of companies planning to move the company’s operations outside of California.
Tesla CEO Elon Musk moved his personal residence to Texas, dividing the bulk of his time between Austin and Boca Chica, where SpaceX facilities are located. Tesla, still headquartered in Palo Alto, California, and Musk Tunnel startup, Boring Co. They both work in Austin.
Apple is also increasing its presence in the Texas capital, as it is investing $ 1 billion in a 3 million square foot campus. The site is expected to employ 5,000 people and is scheduled to open in 2022.
“I’ve seen a live coverage of how Austin is thriving as a tech hub these days, and we think many of these people would want to travel to Hawaii,” Ingram said. “The same is true of Orlando, which is a growing population.”
Florida is a long-running hotspot for retirees relocating, and the state’s population has grown steadily. Because Population shifts in the United StatesThe Associated Press reported that Texas is expected to add three seats to its delegation in the US House of Representatives and Florida is expected to gain two.
Based on Census Bureau estimates, 10 states, including New York, Michigan and California, are at risk of losing at least one seat in the House of Representatives, which could have a noticeable impact on the country’s political map, according to the Associated Press.
Hawaiian Airlines reported a revenue drop of nearly 90% in its last two quarterly reports.
“In a period when the depth of some of our traditional paths may not be what they used to be, it’s a good opportunity for us to look at expanding our network, and see fantastic opportunities from all of these, not just for the next year but for the long term,” Ingram said.
Hawaiian Airlines shares plunged 1.55% in a short day of trading in celebration of Christmas Eve. At $ 17.78 per share, the stock is still down 39% since the start of the year.
The stock more than doubled its lowest pandemic level of $ 7.55 since mid-March.