From foe to friend

PALMER — The recent merger of Alaska commuter air companies won’t affect operations of a Valley maintenance facility, said Mike Hageland, owner of Hageland Aviation Services.

Anchorage-based Hageland is one of four companies now operating under a single banner, Era Alaska. Along with Frontier Flying Services Inc., Arctic Circle Air Service and Era Aviation Inc. The former competitors are joining forces to keep afloat in a stingy economy, Hageland said.

“Well, we’re not really merging,” he said. “We combining forces, and the benefits are people can book tickets from anyplace in the Bush or to the Bush from anywhere in the world. It’s under the one name, basically. Era Alaska is a brand name. We’re all going to have our same names, but operate under Era Alaska. So, it’ll be less confusing to the traveling public. They can just look for the one name anyplace in the state.”

Although the companies will still operate independently, the Era Alaska partnership allows them access to more “economies of scale” benefits, Hageland said. They can purchase fuel and supplies more efficiently as a collaborative unit, he said.

It’s a dramatic change for companies that have been fierce competitors.

“We were competitors, but my feeling is competition is old,” he said. “There’s a lot of competitors out in the Bush and this (partnership) just creates economies of scale. Hopefully, we’re going to get rid of some overhead and increase efficiency and stay in business.”

What the new arrangement means for Hageland’s Palmer maintenance operation is business as usual, Hageland said.

Creating a single brand is similar to how large airlines in the Lower 48 operate commuter services, he said. For example, the United Express brand is made up of many smaller independent commuter services.

“That’s exactly the way we’re doing it,” Hageland said. “Only hopefully better, because they’re all broke.”

Era Alaska began operations at the beginning of the new year and Hageland is hopeful the new business model will mean greater success for all involved.

“The economy started losing money several years ago,” he said. “It just made sense for us to combine forces. Fish prices are down and the economy out in the Bush is terrible, and that’s where a lot of our revenue is.”

While tight finances make staying in business more difficult, Hageland said Alaska still provides the best working environment for a pilot.

“I love it,” he said. “Beautiful views every day.”

Contact Greg Johnson at greg.johnson@frontiersman.com or 352-2269.