Copa Holdings Announces Traffic Statistics for May 2009

PANAMA CITY, June 5 /PRNewswire-FirstCall/ -- Copa Holdings, S.A. (NYSE: CPA), and its Copa Airlines and Aero Republica operating subsidiaries, today released preliminary passenger traffic statistics for May 2009:

    Copa Holdings  (Consolidated)         May           May         Change
                                         2009          2008           (%)
    ASM (mm) (1)                        812.7         700.1          16.1%
    RPM (mm) (2)                        518.2         527.4          -1.7%
    Load Factor (3)                      63.8%         75.3%        -11.6 p.p.

    Copa Airlines Segment
    ASM (mm) (1)                        686.9         580.1          18.4%
    RPM (mm) (2)                        445.6         456.2          -2.3%
    Load Factor (3)                      64.9%         78.7%        -13.8 p.p.

    Aero Republica Segment
    ASM (mm) (1)                        125.7         120.0           4.8%
    RPM (mm) (2)                         72.6          71.2           2.1%
    Load Factor (3)                      57.8%         59.3%         -1.5 p.p.

1. Available seat miles -- represents the aircraft seating capacity multiplied by the number of miles the seats are flown.

2. Revenue passenger miles -- represents the numbers of miles flown by revenue passengers.

3. Load factor -- represents the percentage of aircraft seating capacity that is actually utilized.

For the month of May 2009, Copa Holdings' system-wide passenger traffic (RPM) decreased 1.7% while capacity (ASM) increased 16.1%. System load factor for May 2009 was 63.8%, an 11.6 percentage point decrease when compared to May 2008.

Copa Airlines passenger traffic (RPM) for May 2009 decreased 2.3%, while capacity (ASM) increased 18.4%. This resulted in a load factor of 64.9%, a 13.8 percentage point decrease when compared to May 2008. Monthly passenger traffic was negatively affected as a result of the H1N1 flu crisis, which resulted in lower overall demand for intra-Latin America travel, especially to and from Mexico. During the month, Copa Airlines reduced capacity to Mexican destinations by approximately 20% by reducing frequencies and down gauging aircraft capacity. Without these capacity adjustments, year-over-year capacity expansion for the month of May would have been 19.8%. Preliminary figures for the month of June indicate the situation is normalizing, but will nevertheless affect June load factors and 2Q09 results.

Aero Republica passenger traffic (RPM) for May 2009 increased 2.1%, while capacity (ASM) increased 4.8%. Load factor for the month was 57.8%, a 1.5 percentage point decrease when compared to May 2008.

On a consolidated basis, and taking into consideration the effect of reduced traffic as a result of the regional H1N1 flu crisis, the Company still expects to come in within its operating margin guidance of 16-18% for full year 2009.

Copa Holdings, through its Copa Airlines and Aero Republica operating subsidiaries, is a leading Latin American provider of passenger and cargo service. Copa Airlines currently offers approximately 144 daily scheduled flights to 45 destinations in 24 countries in North, Central and South America and the Caribbean. In addition, Copa Airlines provides passengers with access to flights to more than 120 other international destinations through code share agreements with Continental Airlines and other airlines. Aero Republica, the second-largest domestic carrier in Colombia, provides service to 12 cities in Colombia as well as international connectivity with Copa Airlines' Hub of the Americas through flights from Bogota, Bucaramanga, Cali, Cartagena, Medellin and Pereira. Additionally, Aero Republica has direct daily flights to Caracas, Venezuela from Medellin, Colombia.

CPA-G

SOURCE Copa Holdings, S.A.