Tuesday, February 8, 2005

Jordan Fund Investment in Arab Wings 

Amman, Jordan -  Royal Jordanian Airlines ("Royal Jordanian") today signed an agreement with a number of Jordanian investors, including the Royal Jordanian Air Academy ("RJAA") and the Jordan Fund, to spin off its executive jet business, Arab Wings. The new company, which will begin operations in the second quarter of 2005, will reinvigorate the Arab Wings brand and acquire new generation aircraft to service the growing demand in Jordan and the region for high quality executive jet operations. Royal Jordanian will maintain a shareholding in the new company.

Mr. Samer Majali, the chief executive officer of Royal Jordanian, said, "Arab Wings has a long and pioneering history of offering services to the region. In this group of investors, we have found the right partners to accelerate the company's development and make it a leader in the executive jet space in the Middle East."

Mr. Mohammad Abu-Ghazaleh, the chairman of RJAA, noted that "the aviation business in the region is set to continue its impressive growth. The executive jet business is one of the most promising sectors, and we are delighted to partner with Royal Jordanian on this venture."

About Royal Jordanian
Royal Jordanian, the national carrier of Jordan, was launched in 1963 and is among the oldest airlines in the region with one of the youngest fleets. In its 40 years of operation, it has developed an extensive network of destinations, stopovers and connections, with flights to over 50 destinations in the Middle East, Europe, North America, the Far East and Asia.

About the Royal Jordanian Air Academy
RJAA is a leading flight training institution that was privatized in 2002, and is the only FAA certified flight school in the region. The academy offers training for private and commercial pilots, along with aircraft maintenance engineers and technicians. Since its privatization, the academy experienced significant growth with the number of students increasing from 300 in 2002 to over 1,200 in 2004.

About the Jordan Fund
The Jordan Fund is a $50 million private equity fund targeting investment opportunities in Jordan, having raised its capital from leading investors across the Middle East region. The Investment Managers of the Fund are Atlas Investment Group and Foursan Group, and the International Advisor to the Fund is Deutsche Bank.