Kansas City, MO—Vanguard Airlines, Inc. (NASDAQ: VNGD) reported that for the month of June 1999, traffic increased 43% to approximately 80.7 million revenue passenger miles (RPMs) in June 1999 from approximately 56.5 million in June 1998. Capacity increased 39% to approximately 113.6 million available seat miles (ASMs) in June 1999 versus 81.6 million in June 1998. Load factor increased two points to 71.1% in June 1999 from approximately 69.3% in June 1998.

Year-to-date RPMs increased 18% to approximately 396.5 million in 1999 from approximately 337.3 million in 1998. Year-to-date ASMs increased 12% to approximately 567.9 million in 1999 from approximately 508.1 million in 1998. Year-to-date load factor increased approximately three points to 69.8% in 1999 from 66.4% in 1998.

Vanguard, which began service in December 1994 and is headquartered in Kansas City, is a low-fare, passenger airline providing convenient, scheduled jet service. Vanguard serves the following ten cities: Atlanta, Buffalo/Niagara Falls (effective July 15, 1999), Chicago-Midway, Cincinnati, Dallas/Ft. Worth, Denver, Kansas City, Minneapolis/St. Paul, Myrtle Beach and Pittsburgh. The Company employs approximately 900 full-time equivalent employees and currently operates a fleet of eleven Boeing 737-200`s, with one more due for delivery in July 1999. The Company has also singed letters of intent for two more replacement aircraft, with anticipated delivery dates in the second half of 1999. Vanguard reported its first-ever annual operating profit in 1998 and its fourth consecutive quarter of operating profits in the first quarter of 1999. For more information on Vanguard, please visit our web site at http://www.flyvanguard.com

RPMs (000)
June 1999: 80,715
June 1998: 56,505
% Change: 43%
YTD 1999: 396,454
YTD 1998: 337,319
% Change: 18%

ASMs (000)
June 1999: 113,562
June 1998: 81,579
% Change: 39%
YTD 1999: 567,922
YTD 1998: 508,058
% Change: 12%

Load Factor
June 1999: 71.1%
June 1998: 69.3%
Change: 2 Pts.
YTD 1999: 69.8%
YTD 1998: 66.4%
Change: 3 Pts.

Passengers
June 1999: 177,523
June 1998: 122,542
% Change: 45%
YTD 1999: 871,781
YTD 1998: 713,482
% Change: 22%

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