In an unexpected move, Aloha Airlines announced today that it will be halting all interisland and transpacific passenger flight operations. The last day of operations will be Monday, March 31, 2008. This comes on the heels of the airline filing for bankruptcy and will affect over 1,900 employees. Passengers who are booked on flights should contact United Airlines who will assist those inconvenienced.

Passengers who do not wish to be re-accommodated by another airline should contact their travel agent or credit card company to request a refund. Effective immediately, Aloha will stop selling tickets for travel beyond March 31, 2008.

Aloha also announced that its air cargo and aviation services units will continue to operate as usual while the U.S. Bankruptcy Court seeks bids from potential buyers. On March 27, 2008, Saltchuk Resources, Inc., announced its intention to buy Aloha�'s air cargo business.

"This is an incredibly dark day for Hawaii," said David A. Banmiller, Aloha�'s president and chief executive officer. "Despite the groundswell of support from the community and our elected officials, we simply ran out of time to find a qualified buyer or secure continued financing for our passenger business. We had no choice but to take this action.

"We deeply regret the impact this will have on our dedicated employees who have made Aloha one of the best operating airlines in the country. "Aloha Airlines was founded in 1946 to give Hawaii�'s people a choice in inter-island air transportation.