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Mesa Air Group Inc. and Hawaiian Airlines announced this morning that they have settled their long-running dispute over inter-island Hawaiian service.

Under the terms of the settlement, Mesa did not admit wrongdoing but will pay Hawaiian $52.5 million from a bond it previously posted. Mesa said the agreement does not prevent its go! subsidiary from flying in the interisland market.

Phoenix-based Mesa launched go! in June 2006. Honolulu-based Hawaiian sued Mesa that same year, alleging the company misused company secrets — including figures on route profitability, passenger profiles, and expansion plans — Hawaiian gave Mesa when the former was going through bankruptcy reorganization and seeking investors.

From June 1, 2008 to December 31, 2008, The Royal Hawaiian will temporarily close its doors to undergo a complete renovation. The hotel will reopen January 1, 2009.

The ultimate Hawaii locale for love is found in the heart of Waikiki. An icon of comfort and romance, The Royal Hawaiian has captured the warmth of a true Hawaiian home, calling back visitors year after year.

Please visit sister Starwood properties such as the Sheraton Princess Kaiulani and the Sheraton Waikiki.

Associated Press

VOLCANO, Hawai'i — Hawaii Volcanoes National Park will reopen this morning after being closed for two days due to elevated sulfur dioxide levels from Kilauea Volcano.

Park officials say trade winds that push the noxious gas away from visitor areas have returned.

They say the visitor center will open at 10 a.m., a little later than usual.

Officials Tuesday evacuated 2,000 people from the park, including the 42-room Volcano House hotel and the Kilauea Military Camp, a vacation destination for military families. The evacuees were taken to hotels in Hilo.

Kilauea, one of the world's most active volcanoes, began erupting Jan. 3, 1983.

Elevated levels of sulfur dioxide have been pouring from Kilauea's Halema'uma'u Crater and Pu'u 'O'o vent.

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After nearly two months of being out of service, the Hawaii Superferry set sail for Maui Monday morning. The Alakai left Honolulu Harbor at around 6:20 a.m. with less than 100 passengers. It had been in dry dock because of damage to its rudder and hull.

The voyage is raising concerns about whale strikes, invasive species and traffic, but Hawaii Superferry officials expect smooth sailing.

The voyage came two weeks earlier than expected. This after Aloha Airlines abruptly shut down its passenger service last week. Superferry officials say while the timing is just coincidence, they're looking to fill at least some of the void left by the inter-island service.

Aloha Airlines announced that its last day of operations will be today, as a result of the company going out of business. Already flights from Oakland to Las Vegas have been cancelled. The company said that United Airlines and other airlines will assist and accommodate passengers who have been impacted by the cancellation. The shut down of the passenger operations will affect about 1,900 employees. Also, AlohaPass miles will no longer be honored. Those who paid for a flight with a credit card should contact their travel agent to see about a refund, or a bankruptcy court if they paid cash, the airline said.

Molokai Properties Ltd. said Monday it will shut down Molokai Ranch by the end of March.

The closure will result in the laying off of 120 staff over the next two months.

CEO Peter Nicholas said the decision was "purely a business one" related to delays in approving a master plan for the 60,000-acre ranch.

Nicholas said Molokai Properties Ltd. would "mothball" the company's assets on the ranch and close access to the property indefinitely.

Operations being closed include the Molokai Lodge, Kaluakoi Golf Course, Kaupoa Beach Village, Maunaloa Tri-Plex theater and gas station, and cattle-rearing and maintenance.

It was unclear whether Molokai Ranch's proposed plans to build 200 luxury homes around Laau Point, opposed by many residents, will be affected by the ranch's closure. The master plan stipulates that Laau Point would be the last development on ranch lands outside the resort area.

An explosion atop the long-erupting Kilauea volcano rained gravel-size rocks onto a tourist lookout, road and trail before dawn Wednesday, injuring no one but forcing parts of a national park to close.

It was the first explosion in Kilauea's main Halemaumau Crater since 1924, scattering debris over about 75 acres, said Jim Kauahikaua, scientist-in-charge at Hawaiian Volcano Observatory on the Big Island.

The 4,190-foot volcano has been erupting from fissures along its side steadily for more than a quarter-century. Hawaii Volcanoes National Park draws thousands of people daily, with a visitors center and lodge near the crater rim.

Scientists monitoring the summit say that there's a "remote possibility" of an eruption inside the half-mile-wide crater, but that it's unlikely because other indicators of an eruption aren't present.

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There is no evidence to suggest that Hawai'i's smoke-free workplace law, in effect since November 2006, has harmed the hospitality or tourism industries, according to a study released today by the state Department of Health.

The report, which looked at economic indicators from the visitor industry, concluded there are 212 more people working in the industry after the law went into effect compared to the year before the law.

Visitor spending in all visitor markets, including Japan, was comparable before and after the law, according to the report.

The Hawaii Superferry will be out of service even longer than expected, extending its dry dock for a second time.

The interisland ferry Alakai was taken out of service Feb. 13. The ship was originally set to be put back in service March 3, but was extended to March 25. The dry dock has now been extended to April 22.

The company said Saturday the extension is needed to repair damage to the ship that occurred during the dry-docking process.

The Superferry said it is accepting reservations for sailings between Oahu and Maui after April 22 and that it would issue further updates as they become available.

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Mega star David Beckham will be playing in the Pan Pacific Soccer Tournament on Wednesday and Saturday at Aloha Stadium.

Members of the Los Angeles Galaxy arrived on Monday.

Beauty queens and musicians greeted the players at the airport.

As Beckham and other members of the Los Angeles Galaxy team appeared the crowd went wild. The beauty queens gave leis and the band played. Fans ducked under the ropes and posed for a picture.

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