EL AL Israel Airlines
A History: From the Birth of a Nation to the Skies of the 21st Century

Origins and Humanitarian Missions (1948–1991)

From its humble beginnings in 1948, EL AL, Israel’s national airline, has adhered to the same objectives as the day it was chartered—assisting those in need, reuniting thousands of families, and providing Jewish immigrants from hostile countries with a chance for a new life in Israel. Most importantly, EL AL secures and maintains a regular air link with Israel at all times.
EL AL’s initial dream was to bring Israel’s first president, Chaim Weizman, from Geneva home to Israel in 1948. Since that historic first flight, EL AL passengers have included new settlers, families on pilgrimages, international celebrities, and participants in massive airlifts of Jews from oppressed nations. When the Jewish population in Yemen was in grave danger, “Operation Magic Carpet” began in 1950. Planes flew around the clock airlifting 47,000 Yemenite Jews to safety in Israel.
In May of 1991, EL AL assisted in airlifting more than 14,000 Ethiopian Jews as part of “Operation Solomon,” one of the most dramatic rescue missions in the history of Israel’s national airline. One specially configured EL AL 747 Boeing aircraft carried 1,087 Ethiopians—almost two-and-a-half times the normal number of passengers—setting an international aviation record.
As part of “Operation Exodus,” EL AL carried hundreds of thousands of Soviet immigrants to Israel. On board their flights to Israel, the new immigrants were welcomed in a special video in Russian, produced by EL AL to help them adjust with ease into their new lives. Continuing with its tradition of helping those in need, EL AL has made a standing pledge to the government of Israel that at any time of the day or night, EL AL will organize and operate a flight to carry immigrants to Israel from anyplace within 12 hours.

Commercial Growth and Route Records (1961–2002)

Although EL AL takes pride in its many humanitarian missions, it is primarily a commercial airline that has continually expanded. In May 1961, EL AL launched its first Boeing 707 flight between Tel Aviv and New York. A month later, it set the world record for the longest commercial flight, covering 5,760 statute miles in nine hours and 33 minutes on a nonstop Boeing 707 between New York and Tel Aviv. In June 1971, EL AL inaugurated 747 service between Tel Aviv and New York, and in June 1995, EL AL became the first airline to operate nonstop flights from Los Angeles to Tel Aviv, in a record time of 12 hours and 32 minutes.
When EL AL faced increased costs for labor, fuel, and operations in 1982, former President Rafi Harlev fused eight labor unions into one, initiated new routes, and transformed EL AL into one of the leading cargo carriers in the world. In June 2000, EL AL announced 1999 net profits of $16 million, achieved despite rising fuel costs, a devaluation of the Israeli shekel, and the fact that EL AL flies only 82% of the time due to the observance of the Jewish Sabbath. In 1999 EL AL added six new aircraft, including the fourth 747-400, and received three new Boeing 777 aircraft in 2001 and the fourth in the spring of 2002.

The Road to Privatization (2003–2005)

The outbreak of the Second Intifada in 2001 devastated tourism to Israel, forcing EL AL to cut back service sharply. The airline’s financial struggles accelerated the Israeli government’s long-stalled plans to privatize the carrier. In June 2003, 15 percent of EL AL’s shares were listed on the Tel Aviv Stock Exchange for the first time. By June 2004, 50 percent of the company had been sold to the public, and EL AL ceased to be a government company for the first time in its history. By the end of 2003, EL AL had returned to profitability.
In December 2004, the Israeli company Knafaim-Arkia Holdings, controlled by the Borovich family and already the owner of a conglomerate of Israeli aviation, transport, and tourism companies, acquired approximately 40 percent of EL AL’s shares—enough to become the controlling shareholder. The privatization included critical protections for Israeli national interests: the government retained a “golden share,” enabling it to maintain national air transport in times of war or other emergency, and Israeli citizenship requirements ensured that ownership and management control remained in Israeli hands. In January 2005, the airline’s shareholders completed the privatization process by appointing a new board of directors, with Professor Israel (“Izzy”) Borovich as Chairman.

Competition and Challenges (2005–2015)

Under private ownership, EL AL faced fierce new competitive pressures. Israel’s “Open Skies” agreements with the European Union, which took effect in 2013, brought a flood of low-cost European carriers to Ben Gurion Airport. At the same time, EL AL continued to bear far higher security costs than any other airline, and its routes to the East faced higher costs because boycotting Arab and Muslim countries did not allow Israeli aircraft to fly over their airspace. As a result, EL AL’s market share at Ben Gurion Airport fell from 43.3 percent in 2004 to 37.5 percent in 2009.
In 2004, EL AL became the first commercial airline in the world to integrate an anti-missile defense system onto its aircraft, further cementing its reputation as the world’s most secure airline. Also in 2004, the new Terminal 3 opened at Ben Gurion Airport as the centerpiece of a $1 billion improvement project, with EL AL acquiring the largest presence of any airline in the new facility. In March 2014, EL AL launched “UP,” a low-cost brand using repainted 737-800 aircraft for European routes. However, in October 2018, EL AL merged the UP brand back into its main operation and replaced it with a tiered pricing model offering Flex, Classic, and Lite options for economy class passengers.

The Dreamliner Revolution (2015–2023)

In 2015, EL AL placed an order for 16 Boeing 787 Dreamliner aircraft—a mix of 787-9 and 787-8 variants—to replace its aging fleet of 747-400s and 767-300s. The first Dreamliner, a 787-9, arrived in Israel in August 2017, launching a new era for the airline. The 787 represented a revolution in passenger experience, introducing a new full-flat business class in a 1-2-1 pod configuration, a new premium economy class, high-definition personal entertainment screens in all classes, and high-speed WiFi. The aircraft’s carbon-fiber composite construction delivered fuel savings of up to 47 percent on the Tel Aviv–New York route compared to the 747.
The Dreamliner’s inaugural service was from Tel Aviv to London and Paris, with transatlantic service to Newark following shortly after. The arrival of the Dreamliners allowed EL AL to retire its iconic 747 passenger fleet. First class, which had been offered exclusively on the 747s, was discontinued in 2019 along with the retirement of the last 747 passenger aircraft, marking the end of an era. The final 787-8, delayed by the COVID pandemic, was delivered in July 2023, bringing the total Dreamliner fleet to 16 aircraft—four 787-8s and twelve 787-9s.

The COVID-19 Crisis and New Ownership (2020–2022)

In March 2020, EL AL suspended operations as the COVID-19 pandemic shut down global air travel. The Israeli government announced that all arrivals would face a 14-day quarantine, effectively closing the country. EL AL put 80 percent of its 6,300 employees on unpaid leave, cut management salaries by 20 percent, and halted investments. Some Dreamliners were converted to cargo configuration to transport medical supplies from China to Europe via Tel Aviv. On July 1, 2020, after returning substantial numbers of leased aircraft, EL AL canceled all flights and suspended operations indefinitely. For a time, it appeared the airline might not survive.
The Israeli government assembled a $400 million rescue package consisting of $250 million in government-backed loans and a $150 million public share offering on the Tel Aviv Stock Exchange. In a surprising twist, a previously unknown investor emerged: Eli Rozenberg, a 27-year-old Israeli-American yeshiva student living in Jerusalem, backed by funds from his father Kenneth (“Kenny”) Rozenberg, CEO of a U.S.-based nursing home chain. On September 15, 2020, Eli Rozenberg, through his newly created company Kanfei Nesharim Aviation (“Wings of Eagles”), purchased a controlling 42.85 percent stake for approximately $150 million. The Borovich family, which had controlled EL AL through Knafaim Holdings since 2005, lost control of the airline.
The rescue came at a painful cost: approximately 2,000 workers—one-third of the workforce—were let go as part of a massive streamlining program mandated by the government. The Rozenbergs, through Kanfei Nesharim and directly, ultimately injected $238 million into EL AL during 2020–2022 to keep the airline going. The government also provided a $210 million advance on future security-related payments, enabling EL AL to pay debts owed to suppliers and customers. The cost-cutting and restructuring measures would prove transformative, creating a leaner operation that would later drive record profitability.

The Abraham Accords and New Horizons (2020–2023)

On August 31, 2020, EL AL operated the first-ever commercial flight from Israel to the United Arab Emirates, landing in Abu Dhabi as part of the Abraham Accords normalization agreements brokered by the Trump administration. The flight crossed Saudi airspace—territory previously off-limits to Israeli aircraft—in a moment of historic symbolism. The normalization of relations between Israel and the UAE, Bahrain, and Morocco opened entirely new route possibilities for EL AL. The airline launched regular service to Dubai, and by 2023 was also serving Marrakesh and Casablanca in Morocco.
As COVID restrictions lifted, EL AL embarked on an ambitious route expansion. In March 2023, the airline inaugurated its long-anticipated route to Tokyo-Narita, originally planned for 2020 but delayed by the pandemic. EL AL also signed a letter of intent to launch direct flights to Melbourne, Australia—its first regular scheduled service to the continent. The airline had operated one-off flights to Perth and Melbourne during the pandemic to bring stranded Israelis home, marking the first-ever nonstop flights between Israel and Australia. Under new CEO Dina Ben Tal Ganancia, who took the helm in 2022, EL AL reported net profits of $117 million for 2023, having returned to profitability and repaid its government loans.

The Gaza War and Record Profits (2023–2025)

The Hamas attack of October 7, 2023, and the subsequent war in Gaza fundamentally reshaped Israel’s aviation landscape. Within days, nearly every major foreign airline—including Delta, American Airlines, United, Lufthansa, British Airways, and dozens of others—suspended flights to and from Tel Aviv due to security concerns. EL AL’s market share, which had hovered around 20 percent before the war, surged to over 70 percent within days and remained above 50 percent for months. On at least 38 of 53 routes, EL AL operated as the sole carrier.
True to its founding pledge, EL AL maintained the air bridge between Israel and the world throughout a multi-front war—including the campaign in Gaza, the conflict with Hezbollah in Lebanon, and direct Iranian missile attacks. On April 13, 2024, when Iran fired 120 ballistic missiles at Israel along with drones and cruise missiles, CEO Ganancia raced to Ben Gurion Airport to manage operations from the underground bunker. EL AL planes continued to fly.
The combination of near-monopoly status and overwhelming demand produced staggering financial results. For 2024, EL AL reported record revenue of $3.4 billion—a 37 percent increase over 2023—and a record net profit of $545 million, nearly five times the previous year’s $117 million. Load factors exceeded 90 percent. Third-quarter revenue alone topped $1 billion. EL AL’s share price more than doubled, rising 130 percent in 2024, and the airline was added to the Tel Aviv Stock Exchange’s TA-125 index.
However, EL AL’s wartime windfall was not without controversy. Customers accused the airline of price gouging, with economy tickets from New York to Tel Aviv exceeding $3,000 during peak periods. CEO Ganancia maintained that average fares rose “just 16 percent” and that EL AL had voluntarily capped some prices. Israel’s Competition Authority launched a formal investigation, eventually announcing in early 2026 its intent to impose a 121 million shekel (approximately $39 million) fine—the maximum penalty allowed by law—alleging that EL AL charged “excessive and unfair” prices during the first months of the war. The airline is also facing class-action lawsuits seeking hundreds of millions of dollars in damages. EL AL has denied the allegations and said it will contest the findings. Ganancia stepped down as CEO and was replaced by Levy Halevy.

Fleet Modernization and the Future

EL AL continues to invest heavily in fleet modernization. Beyond its 16 Dreamliners, the airline has ordered additional 787-9s, with deliveries planned through 2026, bringing the widebody fleet toward a target of 22 Boeing 787s by 2028. In August 2024, EL AL placed its largest single aircraft order in history: 20 Boeing 737 MAX narrow-body aircraft, with options for up to 11 more, to replace and expand its fleet of 24 Boeing 737-800s and 737-900ERs used on short- and medium-range European routes. The first 737 MAX deliveries are expected in 2028. The airline has also signed preliminary orders for up to nine additional 787-9 Dreamliners for delivery in 2029–2030.
As of mid-2025, Kanfei Nesharim, controlled by Eli Rozenberg, owns approximately 46 percent of EL AL’s shares, with the remainder held by institutional investors and the public. The government retains its “golden share.” The airline’s market capitalization has reached approximately $2.1 billion, and EL AL has set a target of $4 billion in annual revenue by 2030.
Even though privatized, EL AL has continued its policy of not operating scheduled passenger flights on Shabbat or on major Jewish holidays. This means EL AL must accomplish in 306 days a year what other carriers do in 365—a constraint that has driven a relentless focus on operational efficiency. The airline continues to operate cargo flights and perform aircraft maintenance on all days, and its subsidiary Sun d’Or International Airlines provides low-cost charter and leisure flights.
From a single converted C-54 Skymaster carrying Israel’s first president home from Geneva in 1948, to a modern fleet of Dreamliners connecting Tel Aviv to more than 50 destinations worldwide, EL AL’s story mirrors the story of the State of Israel itself—a journey marked by audacity, resilience, and an unshakable commitment to keeping the skies open, no matter the circumstances.