Aloha Airlines is trying to find a buyer to take over the company in whole or in parts, as they also struggle with dwindling cash under Chapter 11 bankruptcy protection.

The airline’s cash plan stretches out just 10 days. Today lawmakers said they'll try to help keep the airline afloat.
Aloha didn't think they'd be here again so soon -- bankruptcy court for the second time in less than 4 years.

At today's first bankruptcy court session, the airline got approval to continue operations. They can honor existing reservations, book new flights, and stay on schedule with passengers, air cargo and ground handling services they provide for other airlines.

"I would caution against any fear factor vis-a-vi employees and our sense that the first 24 hours is that they understand, they've been through it before,” said Aloha Airlines CEO David Banmiller. “I hate to say it but it's become common in our industry."

Attorneys for Aloha told the court a sale is anticipated -- but it remains to be seen whether they'd be bought in whole or split up between interisland passengers, transpacific, contract work and cargo. Aloha handles 85 percent of interisland cargo.

"Aloha airlines is 60 years old -- we're older than Disneyland,” said Aloha pilot Randall Cummings. “I think we have a lot more value together than we do in pieces."

Aloha hopes the protection of bankruptcy proceedings will result in interim financing until they can rebuild or sell off. And time is ticking.
In its bankruptcy filing, Aloha revealed it has just under $3 million in cash as of today, and in 10 days will have just $1.3 million. One payroll alone can cost $1.7 million in wages and benefits.

State government is worried about the consequences if Aloha can't pull through, like all the jobs, and the cargo dependence for the neighbor islands.

"Especially when you think about the jobs -- 3,500 plus jobs -- and the impact the neighbor islands will suffer," said Senate President Colleen Hanabusa.

State lawmakers are looking at loan guarantees, jet fuel tax waivers, or even money support if the state can afford it at a time of declining revenues themselves. Anything they do would have to be available to any other airline.

“We've got some hard decisions to make but we've got to do it,” Hanabusa said. “The implications and the impact on our state is too great."