AirTran Holdings Hails Firm Financing Commitment to Retire April 2001 Notes.

Business Editors/Travel Writers

ORLANDO, Fla.--(BUSINESS WIRE)--Nov. 13, 2000

AirTran Holdings, Inc. (AMEX:AAI), parent of AirTran Airways, Inc., hailed today a financing commitment from Boeing Capital Services Corporation that, when consummated and combined with internally generated sources, will be sufficient to retire at scheduled maturity the $150 million of AirTran Holdings' outstanding 10 1/4% Senior Notes due April 2001 and the $80 million of AirTran Airways' outstanding 10 1/2% Senior Secured Notes due April 2001.

"This is one of the most important developments in the six-year history of AirTran Airways and sets the stage for AirTran to implement its growth strategy and bring affordable fares to communities throughout the eastern United States," said Joe Leonard, AirTran's chairman and chief executive officer.

"When I came to this company as CEO in January 1999, everyone said that we couldn't be profitable, that we couldn't launch or finance our Boeing 717 aircraft, and that we shouldn't be able to recapitalize the company and satisfy our debt obligations," Leonard said. "I am thus most delighted to announce that we have achieved seven consecutive quarters of profitability, that the introduction of the B-717 into our fleet has been a huge success, and that we have successfully financed our 717s and solved our debt refinancing issues," Leonard added, "Perhaps as important as Boeing's substantial investment in our company is its validation of our team, our strategy, and our potential to succeed and to grow."

The Boeing Capital financing to AirTran involves a series of long-term secured loans by Boeing to AirTran Holdings and AirTran Airways.

Speaking at today's Salomon Smith Barney Transportation Conference in New York, AirTran Airways president Bob Fornaro said, "This transaction continues the airline's tremendous momentum and positions us for long-term growth." Commenting on the new transaction, Fornaro stated, "We were most impressed by the creativity and resourcefulness of the Boeing Capital team in working with us to structure this transaction. Although we had attractive alternatives to the Boeing financing, we determined that our stakeholders would be best served by fortifying the extraordinary strategic partnership we have with our most important equipment supplier. Boeing Capital is well on its way to achieving its goal of being a leading provider of global aviation financial products and services."

Although AirTran Airways will use a portion of its own cash to satisfy the outstanding indebtedness, the company confirmed that it expects to have a strong cash position after completing the recapitalization. "We are very comfortable with our liquidity going forward," said Steve Rossum, AirTran Airways' vice president and treasurer. "And to strengthen our cash position, we are in discussions with a number of financial institutions regarding revolving credit facilities." Commenting on the airline's relationship with Boeing Capital, Rossum concluded, "They are an invaluable partner to AirTran Airways."

Editor's note: Statements regarding the Company's future financing activities and financing commitments 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, the ability of the Company to satisfy any conditions to such financing activities, consumer demand and acceptance of services offered by the Company, the Company's ability to maintain current cost levels, fare levels and actions by competitors, regulatory matters and general economic conditions. Additional information concerning factors that could cause actual results to differ materially from those in forward looking statements is contained from time to time in the Company's SEC filings, including but not limited to the Company's annual report on Form 10K for the year ending December 31, 1999. The Company disclaims any obligation or duty to update or correct any of its forward-looking statements.