February 3, 2003

Kelley School of Business Presentation

ATA Holdings Corp.

Sean FrickDirector,

Financial Analysis & Strategic Planning

Northwest’s Non-Stop North American Routes

Legacy Hub and Spoke Carriers

Next Generation Low Fare Carriers

American Trans Air

5

Q4 2003 Airline Unit Cost (Cents per Available Seat Mile)

Cost Advantage Allows ATA To Offer Lower Fares

5.9

7.6

8.3

9.39.7 9.8

10.2

12.9

10.7

7.5

12.5

9.1

6.9

8.1

0

2

4

6

8

10

12

14

JetBlue

ATA

Sou

thwes

t

Amer

Wes

t

AirT

ran

Fro

ntier

Nor

thwes

t

Unite

d

Alask

a

Amer

ican

Delt

a

Con

tinen

tal

Midwes

t Exp

US A

irways

Cos

t p

er A

SM

(ce

nts

)

American Trans Air

6

Q3 2003 ATA Performance vs. Major Airlines

ATA Outperforms Industry

Source: Company Press Releases

23.8%22.9%

21.5% 21.1%

18.6%

17.0%

14.1%

12.1%

6.8%

27.6%

11.4%

0%

5%

10%

15%

20%

25%

30%

ATA

Amer

Wes

t

Alask

a

Contin

enta

l

Southwes

t

North

west

Frontie

r

Amer

ican

United

Delta

US Airw

ays

EB

ITD

AR

Mar

gin

American Trans Air

7

Industry Fleet Age

Rapid Fleet Modernization will Improve Cost Structure• ATA’s fleet was one of the

oldest in the industry

• With the new aircraft order, ATA’s fleet is becoming the most modern in the industry

18.8

10.7

9.2 9.1 8.9

7.0

5.5

2.4

10.8

9.1

17.2

10.3

0

2

4

6

8

10

12

14

16

18

20

Northwest

ATA (12/3

1/00)Delt

a

Amer

ican

Amer

ica W

est

Southwes

t

Alask

a

US Airw

ays

United

Continen

tal

ATA (9/30/0

3)

ATA (Sch

eduled

Ser

vice)

Air

craf

t D

eliv

erie

s

Source: Other airlines’ data from “U.S. Airlines Fleet Report” Deutsche Bank. October 1, 2003

American Trans Air

8

History of ATA

1973 J. George Mikelsons founds Ambassadair Travel Club in Indianapolis

1978 Deregulation of U.S. Airlines

1981 ATA begins Charter service, total revenues of $30.5M

1986 ATA begins Scheduled service, total revenues of $185M

1993 ATA completes initial public offering on the NASDAQ

1999 Revenues exceed $1.1B, making ATA the 11th US major airline

2000 ATA completes transaction for 50 new fully financed aircraft

2001 ATA begins successfully implementing new fleet and opens new Midway Terminal

2002 ATA opens new international terminal in Midway

2003 ATA earns first annual profit since 9-11

2004 ATA successfully restructures its debt and lease obligations

American Trans Air

9

ATA Company Profile

• 30th Year of Business

• Leading Market Share in Scheduled and Charter

Service

- # 1 Airline at Chicago-Midway and Indianapolis

- # 1 US Charter Airline

- # 1 Military Passenger Airline

• Re-fleeting to new 737 and 757 aircraft

- Youngest scheduled service fleet of any major airline

• Affordable Fare and Low-Cost Business Strategy

• 10th Largest Major Airline in the US

- $1.5B in Revenue in 2003

American Trans Air

10

2003 Airline Capacity

ATA’s Revenue Sources

79%

64%

5%

16%

13%

13%

10%

0%

20%

40%

60%

80%

100%

2003 ASMs ASMs by Gateway

Ava

ilab

le S

eat

Mil

esMilitary

Hawaii

Indianapolis

Other

Charter

Chicago Midway

Scheduled Service

• ATA’s revenue diversity has benefited its performance since the 9/11 terrorist attacks

American Trans Air

11

5 Year Passenger Growth

Scheduled Service Growth Leads Industry Majors• ATA leads the majors in

scheduled service passenger growth for the past 5 years

15% 12%

-4% -5%-13% -17% -21%

39%

131%

-26%-40%

-20%

0%

20%

40%

60%

80%

100%

120%

140%P

erce

ntag

e G

row

th

Source: Form 41 data

Enplaned Passengers – 2003 (12 Months ended July) versus 1998 (12 Months ended July)

American Trans Air

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ATA is the #1 Carrier in Chicago-Midway and Indianapolis

Indianapolis Enplanements Share

Others11%

United10%

Southwest11%

US Airways12%

American10%

Northwest12%

Delta13%

ATA21%

ATA and Southwest Market Share

20.00%

25.00%

30.00%

35.00%

40.00%

45.00%

50.00%

55.00%

Jan-

01

Apr

-01

Jul-

01

Oct

-01

Jan-

02

Apr

-02

Jul-

02

Oct

-02

Jan-

03

Apr

-03

Jul-

03

Oct

-03

Mid

way

Mar

ket

Sh

are

- E

np

lan

emen

ts

ATA

Southwest

American Trans Air

13

• Curbside check-in• E-ticketing self service check-in• Online boarding pass print-out capability• Electronic Gate Readers

•Advanced Seat Assignment•Comfortable leather seating•Minimum 32” seat pitch•25% increased capacity in new overhead bin design•100% fresh air circulation (B737-800)•Quiet in-cabin experience

• Improved quality of in-flight entertainment

– PAVE program to show targeted short spots based on aircraft routing

– Recent full-length movies on longer flights updated monthly

ATA’s Scheduled Service Product

American Trans Air

14

Strategic Planning- Functions as special projects /

internal consulting group

- Opportunity to work

with other departments

- Direct Exposure to upper-

level management on

critical projects

- Team Oriented

Strategic Planning Profile

Pro Forma

Financials

FINANCE

Process

Diagrams,

Labor

Negotiations

OPERATIONS

Market

Analysis

MARKETING

Presentations,

Financial Releases,

Industry

Comparisons

INVESTOR

RELATIONS

American Trans Air

15

Strategic Planning Process

Research

• Internet

• Libraries

• Proprietary databases

• Trade press

• SEC information

Analysis/Modeling

• Economic modeling

• Regression

• Risk Adjustment

• Excel

• Access

Understanding

• Group sessions

• Brainstorming

• Hypothesis testing

Communication

• Simplify

• Encapsulate

• Present

American Trans Air

16

Career PathVice President

Director

Strategic Planner

Staff

Clerical Operations Management– Maintenance– Flight Operations– Airport Services– Customer Services

Manager

MBA / Law School

Staff Management– Strategic Planning– Finance– Marketing– IS

or

Sr. Strategic Planner

Financial Analyst

American Trans Air

17

ATA Kelley School of Business Alumni

Ken Wolff Former CFO and Executive Vice President

Jack Schultz Director, Accounting

Sean Frick Director, Financial Analysis & Strategic Planning

Peter Tamulonis Manager, Operations Productivity and Analysis

Ryan Poeppelman Manager, Stations

American Trans Air

18

ATA’s “Five” Year Business Plan

Input Output Uses

• Detailed Financial Statements (Income Statement, Balance Sheet, Statement of Cash Flows, etc.)

• Detailed Operating Statistics (Departures, Passengers, Seat Miles, etc.)

• Meaningful Metrics and Ratios (RASM, CASM, EBITDAR, Debt to Equity, etc.)

• Special Projects (Aircraft Acquisition Deal, Privatization, Government Loan Application)

• Supporting the Management Decision Making Process (Asset Allocation, Cost Control, Liquidity Analysis)

• Debt covenants

• Valuable source for historical information

• Begin with aircraft

• Historical unit utilization, revenue, and expenses applied to create income statement

• Income statement flows into balance sheet and cash flow statements

• Adjust for unique transactions and management input

Creation

• Developed according to GAAP

• Regression Analysis performed to determine cost and balance sheet drivers

• Historical data from 1997 to present input into model and updated monthly

• Formatting and printing macros

ATA Airlines, Inc.