=20 ---------------------------------------------------------------------- This article was sent to you by someone who found it on SF Gate. The original article can be found on SFGate.com here: http://www.sfgate.com/cgi-bin/article.cgi?file=3D/news/archive/2003/02/25/f= inancial1229EST0111.DTL ---------------------------------------------------------------------- Tuesday, February 25, 2003 (AP) Atlantic Coast Air tumbles on setback over United pact ROGER CHENG, Dow Jones Newswires (02-25) 09:36 PST (AP) -- NEW YORK (Dow Jones/AP) -- Shares of Atlantic Coast Airlines Holdings, Inc. tumbled Tuesday, after a judge denied the company's bid to force UAL Corp., the parent of United Airlines, to resolve uncertainty over their contract. Atlantic Coast, headquartered in Dulles, Va., serves as a regional carri= er for bankrupt United under the United Express brand. The Atlantic Coast shares were at $5.87 in midday trading, down $1.06, or 15 percent, on heavy volume on the Nasdaq Stock Market. The day's weakest level of $4.78, at that point, was a 52-week low, surpassing the prior low of $6.88 set Feb. 13. As part of bankruptcy proceedings Monday, the judge decline to force UAL to decide whether to reject or follow through with a contract that calls for Atlantic Coast to add 47 regional jets and retire 30 older turboprop planes by April 2004, at a cost of $940 million. UAL is in the process of putting together a reorganization plan, in the wake of its bankrupty filing in December. The fate of a contract that could potentially require huge capital expenses from a small regional carrier like Atlantic has been a persistent concern for investors. Atlantic wanted the court to force UAL to either assume or reject the deal. Also in Monday's court proceedings, UAL considered the close of its Dull= es hub. With UAL gone, Atlantic Coast would lose a major revenue source. The company derives about 85 percent of its revenue through its United Express line. Atlantic Coast wasn't immediately available to comment. =20 ---------------------------------------------------------------------- Copyright 2003 AP