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"No Go" for Air Tran Bill

March 31, 2006 By: Susan Young Travel Agent

AirTran Airways, a subsidiary of AirTran Holdings, said it appreciated the Georgia General Assembly's fair hearing of a modified bill that would have enabled the airline to receive sales tax exemptions on its jet fuel. However, Georgia House Bill 1157 failed to pass Thursday when time ran out on the 2006 legislative session. Airlines like AirTran, faced with skyrocketing jet fuel costs, have been seeking creative ways to cut expenses. Joe Leonard, AirTran Airways' chairman and chief executive officer, said his firm supported all proposals that would have provided equitable relief to air carriers dedicated to growth in Georgia, and that although the legislation did not pass, he recognized the governor and legislature had many issues to consider. AirTran did not say whether it would try again during the next session. Any bill for a tax exemption in Georgia most likely would have mostly benefited the two airlines with major hubs at Atlanta—AirTran and Delta Air Lines.

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