REPUBLIC AIRLINES SELECTS LOUISVILLE, KENTUCKY, AS SITE FOR CORPORATE HEADQUARTERS AND MAINTENANCE FACILITY

Airline plans to bring 355 skilled jobs to Louisville

Louisville, Kentucky, (February 24, 2003) – Republic Airlines, a wholly owned subsidiary of Republic Airways Holdings, announced today that it has selected Louisville International Airport as the location for the company's corporate headquarters, crew base and primary aircraft maintenance facility. The airline selected Louisville after reviewing detailed proposals from several other locations.

Republic Airlines is in the process of completing its DOT and FAA certification to fly 50-passenger regional jet aircraft as a US Airways Express carrier. The airline expects to complete the certification process within the next 6 months with scheduled service beginning in the summer of 2003. The carrier plans to operate twenty 50-passenger Embraer ERJ 145 jet aircraft. Republic plans to have 10 aircraft in operation by the end of 2003, and 20 aircraft in scheduled service by July of 2004.

"I want to personally thank the Regional Airport Authority of Louisville and Jefferson County and especially Chairman Michael Brown and Airport General Manager James DeLong and the entire staff of Greater Louisville Inc. for putting together a very compelling development package. In addition, I would like to thank the Commonwealth of Kentucky and specifically the Kentucky Cabinet for Economic Development for their efforts in putting together the necessary incentives for Republic Airlines," said Tom Hanley, President and Chief Operating Officer of Republic Airlines.

Republic Airlines plans to employ a staff of 355 including pilots, flight attendants, maintenance technicians, management and support staff. In the short term the airline will occupy temporary facilities until a new corporate headquarters and maintenance facility is built at Louisville International Airport. The facility is expected to be completed in the fall of 2004.

"Republic Airlines' investment in Louisville brings good-paying corporate and airline-maintenance jobs to our community and the prospect of additional air service for our citizens. We are delighted Republic Airlines chose Louisville, and we welcome them to our community." Said Mayor Jerry Abramson.

"We are thrilled that Louisville has been selected as the site for Republic Airlines corporate headquarters and maintenance facility. The regional airline industry continues to grow despite the sluggish economy. Republic Airlines selection of Louisville positions our airport for continued growth and will help in securing additional regional jet departures from Louisville," said J. Michael Brown, Chairman of the Regional Airport Authority.

"The Greater Louisville metro area will benefit from the presence of Republic Airlines in our city. Quality regional jet air service to major business markets will help in our efforts to continue to attract businesses to Louisville," said Steve Higdon, President & CEO, Greater Louisville Inc.

"I am pleased that Republic Airlines has selected Louisville for its headquarters and primary maintenance base. Regional airlines have been consistently profitable in all economic cycles and the more favorable cost structures of regional airlines, like Republic Airlines, are an important part of the continued growth of the US airline industry," said Senator Mitch McConnell of Kentucky.

Republic Airlines is a wholly owned subsidiary of Republic Airways Holdings based in Indianapolis, Indiana. Republic Airlines will operate 20 Embraer ERJ 145 regional jets for US Airways under a marketing agreement. The airline expects to begin commercial operations in the Fall of 2003 and employ 355 aviation professionals by the end of 2004. Republic Airways Holdings is also the parent company of Chautauqua Airlines. Chautauqua Airlines is a regional airline offering scheduled passenger service on approximately 400 flights daily to 48 cities in 24 states, the Bahamas and Canada under marketing agreements with American Airlines, America West Airlines, Delta Air Lines and US Airways. All of its flights are operated as, AmericanConnection, America West Express, Delta Connection or US Airways Express providing, American, America West, Delta Air Lines and US Airways with portions of their regional service, including service out of their hubs in Boston, Columbus, Indianapolis, New York, Philadelphia, Orlando and St. Louis. Chautauqua Airlines employs approximately 1,500 aviation professionals. Chautauqua Airlines has won the prestigious Diamond Award from the FAA for the past ten years.