The lawsuit was filed in 2022 on behalf of participants in the WGA ESOP and their beneficiaries (the “Lawsuit”). The Lawsuit asserts claims against Prudent Fiduciary Services LLC, Miguel Paredes, James K. Neff, Carmit P. Neff, James K. Neff Revocable Trust Dated 11/15/12, Carmit P. Neff Revocable Trust Dated 11/15/12, Kelly S. Neff Trust Dated 1/1/10, Danielle J. Neff Trust Dated 1/1/10, and WGA Trust Dated 8/16/13. The Lawsuit is pending in the U.S. District Court for the District of Delaware.

The Lawsuit asserts that Defendants violated a federal statute, the Employee Retirement Income Security Act of 1974 (“ERISA”), in connection with the ESOP’s purchase of WGA stock in 2020 for approximately $510 million (the “ESOP Transaction”). Plaintiffs allege that the ESOP paid more than fair market value for WGA stock. Specifically, the Lawsuit alleges that Defendants violated their duties under ERISA § 404, 29 U.S.C. § 1104, ERISA § 405, 29 U.S.C. § 1105, ERISA § 406, 29 U.S.C. § 1106, and ERISA § 410, 29 U.S.C.§ 1110 in connection with the ESOP’s purchase of WGA stock. The Defendants deny all the allegations in the Lawsuit, none of which have been proven, deny any wrongdoing regarding the ESOP Transaction, and have vigorously defended the Lawsuit.

The Class is defined as: “all participants and beneficiaries of the Western Global Airlines, Inc. Employee Stock Ownership Plan at any time since its inception, excluding Defendants, their family members or beneficiaries.”

Because this Lawsuit will be certified as a mandatory (“non-opt-out”) class action, you cannot exclude yourself from the Class or the benefits of the Settlement.