SkyWest Inc confirms offer made for ExpressJet Holdings Inc

Airline Industry Information, April 28, 2008

AIRLINE INDUSTRY INFORMATION-(C)1997-2008 M2 COMMUNICATIONS LTD

SkyWest Inc (Nasdaq: SKYW), the operator of SkyWest Airlines and Atlantic Southeast Airlines, confirmed on Friday (25 April) that it had put forward a proposal to acquire all outstanding shares of common stock in ExpressJet Holdings Inc for USD3.50 per share in cash.

The airline group said that its offer was not subject to a financing condition, but was subject to the completion of due diligence and also certain clarification or amendments to the collective bargaining agreement between ExpressJet and its pilots.

SkyWest also noted that it has negotiated the principal terms of a new Capacity Purchase Agreement with Continental Airlines, which would become effective upon satisfactory completion of due diligence and consummation of the proposed transaction.

In a statement, SkyWest expressed disappointment that its proposal had been rejected by ExpressJet's Special Committee, and the group said it would be reviewing its alternatives.

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