AirTran Airways Announces Additional Fuel Hedging Agreement; Agreement Covers an Additional 20 Percent Through the Fourth Quarter of 2002.

Business Editors

ORLANDO, Fla.--(BUSINESS WIRE)--June 27, 2001

AirTran Airways Inc., a wholly-owned subsidiary of AirTran Holdings, Inc. (AMEX: AAI), today announced that it has entered into a fuel hedging agreement covering an additional 20 percent of its estimated fuel consumption through the fourth quarter of 2002 at a price below $0.73 per gallon of heating oil. In addition AirTran Airways has converted its existing fuel hedges through December 2002 to heating oil contracts which, it anticipates will provide increased effectiveness in offsetting future increases in jet fuel prices.

"These new fuel hedges will contribute to maintaining our already low cost structure," said AirTran Airways Chief Financial Officer Stan Gadek. "By keeping our costs down we can continue to be the low fare leader and offer the greatest value to our customers."

When combined with current hedge positions, AirTran Airways will have hedged approximately 50 percent of its remaining 2001 fuel needs and 30 percent of its anticipated 2002 fuel needs at a price no higher than $0.71 per gallon of heating oil.

Systemwide, AirTran Airways operates 336 daily departures to 34 cities. Offering the convenience of easy, same concourse connections in Atlanta, AirTran Airways operates 153 daily departures from Hartsfield Atlanta International Airport, the world's busiest airport.

Named "Best Low-Fare Airline" for 2001 by Entrepreneur magazine, AirTran Airways provides everyday, affordable air travel throughout the eastern United States and, unlike other airlines, never requires a roundtrip purchase or Saturday night stay. AirTran Airways is the launch customer for the Boeing 717, today's newest, most innovative and most environmentally friendly commercial aircraft. AirTran Airways is a subsidiary of AirTran Holdings, Inc. (AMEX: AAI).

For more information and reservations, visit AirTran Airways' Web site at www.airtran.com (America Online keyword: AirTran), call your travel agent or call AirTran Airways at 800-AIRTRAN (800-247-8726) or 770-994-8258 (in Atlanta).

Editor's Note: The company's revenue figures are released quarterly. Statements regarding the Company's predictions of fuel prices and cost control efforts are forward-looking statements and are not historical facts. Instead, they are estimates or projections involving numerous risks or uncertainties, including but not limited to, consumer demand and acceptance of services offered by the Company, the Company's ability to maintain current cost levels, disruptions in the supply or production of jet fuel, effectiveness of fuel hedges, the ability of financial partners to honor hedging agreements, regulatory matters and general economic conditions. The Company disclaims any obligation to update or correct any of its forward-looking statements. Additional information concerning factors that could cause actual results to differ materially from those in the forward-looking statements is contained from time to time in the company's SEC filings, including but not limited to the company's report on Form 10-K for the year ended December 31, 2000. Copies of this filing may be obtained by contacting the Company or the SEC.