Mesaba Negotiations update for July 13, 2006

The AMFA negotiating team met with Mesaba management again this Thursday morning and afternoon. We provided to Mesaba another off the record proposal before
the session ended. Mesaba and AMFA have scheduled a conference call for Friday morning to discuss the costing of the proposal once Mesaba has had some time to
review it and to schedule further negotiations.

The bankruptcy court's decision on Mesaba's second 1113c motion to reject the collective bargaining agreements of AMFA, ALPA, and AFA will be delivered in open
court on Friday morning at 10am. Once the decision is delivered, I will update you via email.

Nate