I got the following post from a military travel site that I participate in. I think I've found my airline of choice for inter-island travel.
"I left Honolulu for the island of Kauai this afternoon. Upon check in, I presented my retired military I.D. card for identification and told the lady my flight number. She printed my boarding pass and stamped it with a star. I said," what's the star for"? Sir, On behalf of Mokulele Airlines we wish to thank and honor our men and women in uniform and you as a military retiree. This month is military appreciation month. Then She said, "We and I, appreciate your service". Upon boarding, you are requested to go ahead of the line and also your checked bag is at no cost. Wow! Sure made my day."