793733--3/1/2007--SKYWEST

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Risks Related to Our Operations We are highly dependent on Delta and United. We may be negatively impacted by the troubled financial condition, bankruptcy proceedings and restructurings of Delta and United. We may not achieve the potential benefits of the ASA acquisition. The amounts we receive under our code-share agreements may be less than the actual amounts of the corresponding costs we incur. We have a significant amount of contractual obligations. There are risks associated with our regional jet strategy, including potential oversupply and possible passenger dissatisfaction. We may be limited from expanding our flying within the Delta and United flight systems, and there are constraints on our ability to provide airline services to airlines other than Delta and United. Increased labor costs, strikes, labor disputes and increased unionization of our workforces may adversely affect our ability to conduct our business. We may be unable to obtain all of the aircraft, engines, parts or related maintenance and support services we require, which could have a material adverse impact on our business. Maintenance costs will likely increase as the age of our regional jet fleet increases. If we incur problems with any of our third-party service providers, our operations could be adversely affected. Interruptions or disruptions in service at one of our hub airports, due to adverse weather or for any other reason, could have a material adverse impact on our operations. Fluctuations in interest rates could adversely affect our liquidity, operating expenses and results. Our business could be harmed if we lose the services of our key personnel. Risks Related to the Airline Industry We may be materially affected by the uncertainty of the airline industry. The airline industry is highly competitive and has undergone a period of consolidation and transition leaving fewer potential code-share partners. Terrorist activities or warnings have dramatically impacted the airline industry, and will likely continue to do so. Fuel costs have adversely affected, and may continue to adversely affect, the operations and financial performance of the airline industry. We are subject to significant governmental regulation. The occurrence of an aviation accident would negatively impact our operations and financial condition. Risks Related to Our Common Stock We can issue additional shares without shareholder approval. Distribution of dividends may decrease or cease. Provisions of our charter documents and code-share agreements may affect the ability or desire of others to gain control of our company.

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793733--3/1/2007--SKYWEST_INC