Kansas City, MO—Vanguard Airlines, Inc. (NasdaqSC: VNGD) today announced that Mr. Jeff S. Potter has become Vanguard Airlines new Chief Executive Officer and President. Mr. Potter will replace Robert J. Spane who has been CEO and President since June 1997. Mr. Spane will remain with the Company as Chairman of the Board. Mr. Potter was also elected as a member of the Board of Directors.

Mr. Spane said, “We are indeed fortunate to engage Mr. Potter as Vanguard’s new CEO and President. Jeff brings almost 20 years of Airline experience to Vanguard. In his most recent position as Vice President of Marketing for Frontier Airlines, he was pivotal in Frontier’s turnaround and success. We are confident he will make a major impact at Vanguard. Jeff brings the experience, enthusiasm, and energy that will provide Vanguard with the direction it needs to further define its strategy to successfully transition the Company into the future.”

Mr. Spane continued, “With Jeff effectively leading Vanguard, I will be able to devote the appropriate time to those issues that are ‘external’ to Vanguard. I believe we will make a very effective team.”

Mr. Potter said, “I am excited at the opportunity to lead Vanguard Airlines. I am happy to be a part of the Vanguard team, which is comprised of hundreds of dedicated and hardworking employees. Vanguard has survived and thrived in an extremely competitive industry, a feat that few airlines achieve. Vanguard has made great progress under Mr. Spane’s leadership. I look forward to Mr. Spane’s continued input as the Chairman of the Board.”

Vanguard, which began service in December 1994 and is headquartered in Kansas City, is a low-fare, 100% ticketless passenger airline providing convenient and frequent scheduled jet services to the following nine cities: Atlanta, Buffalo/Niagara Falls, Chicago-Midway, Dallas/Ft. Worth, Denver, Kansas City, Minneapolis/St. Paul, Myrtle Beach and Pittsburgh. The Company employs approximately 950 full-time equivalent Employees and currently operates a fleet of 15 Boeing 737s. For more information on Vanguard or to book reservations online, please visit the Company’s Web site at www.FlyVanguard.com.

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