Thu, Nov 01, 2007
Judge Rules Carrier Used Confidential Information
Mesa Air Group's new
low-cost carrier will cost them some big bucks. A US Bankruptcy
Court judge ruled Tuesday Mesa illegally used confidential
information obtained from Hawaiian Airlines to launch its new go!
interisland airline... and ordered Mesa to cough up $80
million.
The Associated Press reports Judge Robert J. Faris ordered the
fine to compensate for damages Hawaiian Airlines has incurred since
go! entered the Hawaii market.
Faris determined Mesa used information it obtained while a
bankrupt Hawaiian Airlines courted Mesa as a possible investor --
including profitability figures for local and Hawaii-US mainland
routes, and passenger profiles -- to turn around and launch its own
airline. The judge said Mesa breached a confidentiality agreement
when it failed to return the information to Hawaiian, or destroy
it.
Faris rejected Hawaiian's request to ban Mesa from selling
interisland tickets for one year, however, and he refused to order
Mesa to compensate Hawaiian for future damages. The airline had
sought such damages to compensate for what Hawaiian believes are
the unnaturally low fares that have resulted since go! launched --
to an average of $40.
Still, Hawaiian president and CEO Mark Dunkerely called the
ruling "a triumph for fair competition and ethics over dishonesty
and illegal behavior."
Mesa has maintained it studied the Hawaiian market for years,
and it launched go! because Hawaiian Airlines and Aloha Airlines
were charging too much.
Faris said it's inevitable all three airlines will soon have to
raise fares, due to financial losses despite an increase in
passenger traffic. Hawaiian and Aloha lost a combined $82.1 million
for 2006, according to the AP.
More News
The Industry Continues to be Rocked By Some Questionable Operations Recent investigations and a great deal of data has resulted in ANN’s SportPlane Resource Guide’s rep>[...]
Make Sure You NEVER Miss A New Story From Aero-News Network Do you ever feel like you never see posts from a certain person or page on Facebook or Instagram? Here’s how you c>[...]
Visual Approach Slope Indicator (VASI) An airport lighting facility providing vertical visual approach slope guidance to aircraft during approach to landing by radiating a directio>[...]
Airport Marking Aids Markings used on runway and taxiway surfaces to identify a specific runway, a runway threshold, a centerline, a hold line, etc. A runway should be marked in ac>[...]
Aero Linx: The Skyhawk Association The Skyhawk Association is a non-profit organization founded by former Skyhawk Pilots which is open to anyone with an affinity for the A-4 Skyhaw>[...]