ISLAND AIR TO BECOME ARC-PARTICIPATING CARRIER

Arlington, VA, July 28, 2004 - Hawaii Island Air, Inc., doing business as Island Air (347/WP), will join ARC as participating carrier effective with sales starting August 2, 2004, giving 25,000 ARC accredited travel agency and corporate travel department locations the ability to settle Island Air transactions through ARC's trusted settlement system.

Island Air is headquartered in Honolulu, Hawaii.   Operating a fleet of Dash 8-100 aircraft, Island Air offers daily flights to the islands of Oahu, Molokai, Lanai, Maui, and the Big Island of Hawaii.

As Island Air has elected the General Concurrence method of agent appointment, all ARC-accredited agencies are automatically appointed as agents of the carrier.  In addition to cash, the carrier accepts the following forms of credit card payment: American Express, Discover Card, MasterCard, and Visa.

For inquiries, reservations, or sales information, contact the following:

Island Air
99 Kapalulu Place
Honolulu, HI 96819
Reservations: (808) 484-2222
Toll Free Continental U.S.: (800) 323-3345
Toll Free Hawaiian Islands: (800) 652-6541
www.islandair.com


About ARC
ARC is the premier provider of financial settlement solutions and data and analytical services for the travel industry.  Airlines, travel agencies, corporate travel departments, railroads, and other travel suppliers process more than $60 billion annually through ARC's world-class settlement system, making it the financial backbone of travel distribution.  ARC COMPASS®, the leading, trusted source for travel transaction information, powers data and analytical tools that help ARC customers make confident business decisions. ARC is an airline-owned company that builds on values of integrity, teamwork, innovation, cost-effectiveness, and excellence. For more information, please visit http://www.arccorp.com.