Sky and Oaktree Re-Unite With US$500 Million Global Aircraft Leasing Partnership

SAN FRANCISCO and LOS ANGELES, December 14 - Sky Holding Company and Oaktree Capital Management, L.P. are pleased to
announce a new partnership with the goal of once again becoming the premier
provider of capital to airlines around the world. Sky's management team
previously worked together at Pegasus Aviation and has invested with Oaktree
since the mid 1990's. Together they built Pegasus into one of the world's
largest commercial aircraft lessors before selling the company in 2007. The
new US$500 million investment from funds managed by Oaktree will enable Sky
to finance over US$2 billion of Boeing and Airbus aircraft annually, with
sale/leaseback activities set to begin in the first quarter of 2010.

"Our team and Oaktree have a long and successful track record of
partnering to invest in the aircraft industry," said Rich Wiley, Sky's
founder and CEO. "It started when Pegasus was a young company in the 1990's,
and between 2004 and 2007, we executed on over US$6 billion in aircraft
transactions together. Today's announcement signals the resumption of our
activities and partnership which is positioned to make large commitments to
assist the airlines with their growth requirements. Our airline customers and
global lender network have always valued the strength and reliability of this
combined team, and Sky will be another multi-billion dollar capital source
for our customers as they seek to finance their Boeing and Airbus deliveries
in a challenging environment."

Aaron Bendikson of Oaktree Capital Management, L.P. reinforced this theme
by adding, "Today's announcement signals the recommencement of our
long-standing partnership with Rich Wiley and his team. Sky's broad customer
base and lender network are complemented by our global reach and investment
capability. Together we have the ability to move quickly and to be creative
in order to address carriers' financing needs."

Sky is a full-service aircraft leasing company based in San Francisco
with offices in Seattle, Miami, and Buenos Aires, with a European office
opening in 2010. The management team, which had previously worked together at
Pegasus Aviation, has over 90 years of combined industry experience. The team
has collectively acquired over US$10 billion of aircraft, has purchased
and/or remarketed over 400 aircraft, and has developed relationships with
over 30 commercial lenders and investment banks across Europe, Asia and North
America. "Our airline customers require next-generation, fuel-efficient
aircraft to thrive in this difficult market," said Toby Bright, Sky's head of
marketing. "The demand is there; our goal is to make capital available to the
airlines so that they can update and grow their fleets prosperously. While
many aircraft lessors are wounded in one way or another, Sky is ready to
serve its worldwide customer base without any legacy-related issues."

Scott Weiss, who oversees Sky's origination and capital markets group,
continued, "We have a long and successful history of partnering with
airlines, manufacturers, and lenders in order to finance aircraft deliveries
and execute long-term sale/leaseback transactions. Sky and Oaktree have the
financial strength and the creativity to once again become a dominant player
in the sector. In this market, you have to be able to take on large positions
and have the expertise to manage your way through a difficult time in the
cycle."

Oaktree is a premier global alternative and non-traditional investment
manager with over US$67 billion in assets under management as of September
30, 2009. The firm emphasizes an opportunistic, value-oriented and
risk-controlled approach to investments in distressed debt, high yield and
convertible bonds, specialized private equity (including power
infrastructure), real estate, emerging market and Japanese securities, and
mezzanine finance. Oaktree was founded in 1995 by a group of principals who
have worked together since the mid-1980s. Headquartered in Los Angeles, the
firm today has over 580 employees and offices in 14 cities worldwide.

Sky Holding Company, LLC, +1-415-655-5000, info at skyholding.aero; or Oaktree Capital Management, L.P., +1-213-830-6300, contactus at oaktreecapital.com