Mesaba Negotiations update:  June 29, 2006

Closing arguments were heard today in bankruptcy court. Mesaba's attorney Mike Myers started arguments today at 8:30 am. Mr. Myers stated that as we stand here
today, there is a need of 19.4% and six years. He also said that no credit should be given to AMFA because there is no provision in the collective bargaining agreement
for AMFA headcount. He also stated that Mesaba wants consensual agreements, but we are running out of time. He requested a ruling by the end of next week.

ALPA attorney Jim Lindsey made closing statements for all three unions. He explained that the company can't seem to get along with any major union and that there is
not one outlying union.

AFA attorney Robert Clayman explained that defects of the company's model can reduce the 19.4% and that we must ask what would the result have been of the unions
receiving the model in February. He also said that the models lacked updating until the objections were filed and that the company has failed to satisfy the 1113c.

AMFA attorney Lucas Middlebrook made closing remarks for AMFA. In his statement he said that the arbitrary headcount reduction issue is simple yet has serious
implications with respect to AMFA and that no other labor group is being asked for similar further reductions. He also addressed what happens next if Mesaba's motion
was rejected. Mr. Middlebrook stated that if the motion is denied, it will lead to immediate bargaining between the parties in an effort to reach a consensual agreement.

Judge Kishel reported that it looks like he would render a decision at the beginning of the week of July 10th and that the attorneys would be contacted.

Nate