AirTran Airways Teamsters Members Ratify New Five-Year Contract; Agreement Provides Wage Increases, Company-Funded Pension Plan.

Business Editors/Aviation & Travel Writers

ORLANDO, Fla.--(BUSINESS WIRE)--Oct. 9, 2000

AirTran Airways (AMEX:AAI) and the International Brotherhood of Teamsters, Local 528, today jointly announced the ratification of a new five-year contract. The agreement provides the company's approximately 350 Teamster-represented aircraft Mechanics and Inspectors increased wages, benefits and job security over the life of the contract and a new airline-funded defined contribution pension program.

In addition, the parties will benefit from a new apprentice cooperative work study program, which is designed to develop future licensed Airframe & Powerplant mechanics for future employment at AirTran Airways. The airline, with the Teamsters' assistance, is developing its first such program with the Heart of Georgia Technical Institute in Eastman, Georgia.

"Our valued Mechanics and Inspectors have contributed greatly to the prosperity associated with AirTran Airways' turnaround, and this contract recognizes that contribution," said AirTran Airways Chairman and Chief Executive Joe Leonard. "The contract, reached before the amendable date of the old contract, shows that we and the Teamsters both want to work together for the benefit of our Mechanics and Inspectors and the Company. I applaud both negotiating committees."

"We are pleased with the results of the negotiations. The increased wages and benefits, as well as the introduction of a company-funded defined contribution pension plan, are well deserved by our members. But in addition to these improvements, this contract, and the way in which it was negotiated, shows that AirTran Airways' management not only appreciates our members, but also desires harmonious relations with its unions," stated Atlanta-based Teamsters Local 528 President Kenneth Hilbish. "We know that a strong and healthy AirTran Airways is the best insurance for the long-term security of our members, and we will continue to work with the airline's management to achieve those goals."

Systemwide, AirTran Airways operates 294 daily departures to 32 cities. Offering the convenience of same-concourse connections in Atlanta, AirTran Airways operates 135 daily departures from Hartsfield Atlanta International Airport, the world's busiest airport.

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 commercial aircraft. AirTran Airways is a subsidiary of AirTran Holdings, Inc. (AMEX:AAI).

For more information and reservations, visit AirTran Airway's web site at www.airtran.com, call your travel agent or call AirTran Airways at 1-800-AIRTRAN (1-800-247-8726) or 770-994-8258 (in Atlanta).