Based upon this retroactive calculation, the Court had issued a preliminary injunction in June 2008 prohibiting Delta from terminating the agreement. In reaching its decision today, the Court reversed its prior preliminary injunction preventing Delta from terminating the agreement. The Company is in the process of reviewing the Order and evaluating options going forward. Mesa has not yet reviewed its options for appeal.

"We are extremely disappointed by the District Court's decision. We have at all times sought to act as a good partner and work with Delta as a member of Delta Connection. Unfortunately Freedom's willingness to proactively cancel flights in JFK at Delta's request for the benefit of Delta was held against Freedom and was used as the sole basis to terminate our contract. It is disheartening that our Company and people will be punished retroactively for taking actions in good faith at Delta's direction," said Jonathan Ornstein, Chairman and Chief Executive of Mesa Air Group.

"We are greatly concerned for our approximately 500 employees who will be significantly impacted as a result of this decision, despite their hard work and commitment which has placed Freedom's operation at or near the top of the Delta Connection portfolio over the last year. The loss of these jobs, particularly under these circumstances is extremely disappointing. I would like to thank all of the employees at Freedom for the outstanding job they have done over the last two years under extremely difficult circumstances," continued Mr. Ornstein.