L-Air Holding, Inc. Announces $18 Million Contract With VGAA.

Business Editors/Travel & Airlines Writers

TORONTO--(BUSINESS WIRE)--Feb. 13, 2003

L-Air Holding, Inc, (the "Company") (OTCBB:LAIR) announces it has executed a contract for the benefit of "Belgium Universal Airways" with the Brussels based Tour Operator VGAA N.V., with registered office at 400 Leopold I, represented by Mr. H. YERISTAN.

Under the terms of this agreement, Belgium Universal Airways will operate a route from Brussels to Yerevan with a stop in Lyon France then to Los Angeles (LAX) once a week with an Airbus A340-300 in a three class configuration for the benefit of VGAA N.V.

Belgium Universal Airways will receive as payment for this rotation the sum of US$ 360,000 per week in advance of the rotation. This will generate recurring annual revenue stream of over $18,000,000 for less than 40 hours of flight per week. An Airbus A340-300 has the capability of flying close to 120 hours a week. The Company has finalized negotiations to contract with a major aircraft manufacturer to lease immediately two A340-300's for its fleet operations.

The Airline plans to begin flight operations in April 2003, or as soon as its Air Operating Certificate will be approved by Belgium Civil Aviation Authorities. It will then operate two A340 Aircraft and will increase its fleet to five Aircrafts by the end of 2003.

The anticipated network BUA will be operating for the coming Spring/Summer season, including such destinations as Punta Cana (Dominican Republic), Toronto, Montreal, Delhi, as well as Yerevan Lyon and Los Angeles, all departing from Brussels. The fall/winter will see an addition of new destinations including Tokyo, Bangkok, Dubai, St Marteen, and Mauritius Island.

A highly qualified team of managers all trained and experienced from SABENA will lead this venture to reinstate a global network from Brussels, Belgium, which has traditionally been a major European Hub with NATO and the European Commissions based there. There hasn't been a major carrier based in Belgian since the closure of the Belgian national carrier, Sabena, after the collapse of its parent Company Swiss Air in 2001. This has left a vacuum at this important international hub, with major direct routes having gone under serviced. L-Air Holding, Inc., through its acquisition of Belgian Universal Airline, will once again revive many of these routes.

The Company has also amended its articles of incorporation to prohibit the registration of shares of New Common in the name of DTC or any other securities clearing house. The Company believes these registration restrictions may force speculators who have previously sold stock in naked short transaction to cover their prior short sale by purchasing stock in the open market.

About the Company - Belgian Universal Airlines (OTCBB: LAIR)

Europe needs a safe and decent, well run Airline, managed by highly qualified and experienced staff, that will provide good service at a fair price for everyone. Since the closure of Sabena in 2001 (the Belgian National Airline) due to Swiss Air's bankruptcy (Swiss Air had recently bought Sabena), there has been a need to revive the once thriving wide International Flight Network based in Brussels. In addition, since the September 11 tragedy, carriers that are not terrorist targets are increasingly being called upon to pick up these routes.

Through an acquisition of 49% of Belgian Universal Airways by OTCBB: LAIR, UCP and Sabena's Captain Raymond Nicolai are now preparing to meet this need. Universal Capital Partners (UCP) is currently negotiating with the airline to finalize an acquisition that will give 49% ownership to OTCBB: LAIR. UCP is the single largest shareholder of OTCBB: LAIR currently. This structure is necessary to meet ownership requirements mandating that 51% of a European air carrier be European owned.

Captain Raymond Nicolai has dedicated his life to Aviation since 1968. He is an ex-Belgian Air Force fighter pilot and is an instructor on many types of Aircraft including the company's chosen A340. Captain Nicolai is bringing many of the former Sabena management and staff that will comprise the bulk of the company's 200 plus in number workforce. These well-trained ex-Sabena staff members are dedicated to the Company's (OTCBB: LAIR) mission of creating a new Belgian National Airline that represents excellence in all aspects, including on-time flights, the highest level of customer service, cost efficiencies in operations and maximization of profitability for its investors.

With the addition of many new international direct routes to markets including Asia, Middle East, Africa, USA, Canada, Caribbean and Europe the Company has a better than average chance of achieving success due to the lack of any competition servicing these routes currently. Belgian Universal will operate a fleet of 5 Airbus A340-300 aircraft capable of seating 220 Economy seats, 30 Business class full comfort pitch seat, and 10 First class sleeperettes. All Belgian Universal's aircraft feature roomy seats each equipped with satellite phones and full individual multi-media systems capable of delivering many different forms of entertainment, including: a large selection of movies/videos, music (MP3 and other format), computer/video games, and the soon to be offered "on-board" Internet services. All available at every seat along with the many high-quality amenities not found on existing air carriers competing with the Company (OTCBB:LAIR).

With Belgian Universal, all seats are assigned, a good percentage of travel is ticketless, all fares are one-way, and a Saturday night stay is never required. For more information, schedules and fares, please visit www.l-air-holding.com. Press releases can be found on www.l-air-holding.com. Airline industry experts agree that the most promising source of revenue growth with the current political situation and insurance cost nightmare for U.S. and other majors is within the group of small carriers with high-traffic routes and low-maintenance cost aircraft. Focusing on profitable long haul routes with low-cost maintenance jets, while providing exceptional customer service, OTCBB: LAIR is one of these carriers. The Company's commitment to cost efficiencies and customer satisfaction is at the core of its business model, just like JetBlue (Nasdaq:JBLU), Southwest Air (NYSE:LUV), and easyJet.com, all of whom are very successful within their respective markets and industry leaders. This international carrier is on the path to success.

For more information, please contact Capital Consultants at 310-374-9777

www.L-Air-holding.com

The following constitutes a "Safe Harbor" statement under the Private Securities Litigation Reform Act of 1995: This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934. Any statements that express or involve discussion with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical facts may be forward-looking statements. Forward-looking statements are based on expectations, estimates and projections at the time the statements are made to involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. For a summary of such risks and uncertainties, see the Company's periodic reports and other filings with the Securities and Exchange Commission.