Mesaba Negotiations update for June 26, 2006

The second hearing on Mesaba's motion to reject the collective bargaining agreements of ALPA, AFA and AMFA began today. Opening Statements were made by
Mesaba's counsel and followed by counsel for all three unions. Following opening state;ments, Mesaba called the VP of finance, Tom Schmidt and questioned him
until lunch. Mr. Schmidt was crossed by the three unions after court resumed. ALPA then called its first witness, Jane Schraft. Ms. Schraft is ALPA' s in house
attorney who assists with negotiations. She explained ALPA's negotiations with Mesaba and outlined managements term sheet to ALPA.

Tomorrow's session will begin at 9am and will start with the cross examination of Jane Schraft.