Alpine Air Express Has Been Awarded Contracts Worth More Than 25 Million Dollars

Provo, UT - Alpine Air Express Inc. stated that its operating subsidiary Alpine Air, a provider of regional air cargo transport and logistics services, has been awarded new contracts for the regional air transportation of U.S. Postal Service mail for the states of Montana and South Dakota. The contracts have an initial three-year term with three additional one-year extension options. The total three-year contract is estimated to generate more than 25 million dollars in gross revenue to the company.

Gene Mallette, CEO of Alpine Air, commented, "Alpine Air is excited to announce the award of these new contracts. This represents a tremendous success for our company. We are currently operating these routes, so no new infrastructure is needed and no additional aircraft are necessary. Additionally, we have all personnel in place to service the contracts, which commence on July 15, 2006."

Mallette added, "With these new contracts in place, it allows Alpine to continue the synergies we enjoy by operating multiple routes throughout the western United States and Hawaii. Although the company is currently flying these routes, this new contract allows Alpine to re-price these operations adjusting for current fuel prices, exact mail volume and other inflationary pressures that we have experienced in the past two years. These contracts will allow our company to have an extremely solid base of revenue and projected long-term profitability. Our management team expects this foundation to enable our previously announced acquisition strategy to move vigorously ahead, providing security for our employees, their families and our company in this highly competitive industry."

SOURCE: Alpine Air Express Inc.