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We introduce in this paper a cooperative-based augmentation system for aircraft positioning. To that end, we derive a distributed estimation algorithm for cooperative localization over a network of aircraft that are partially connected by communication links and are also connected to ground-based anchor nodes. The proposed framework assumes that only a subset of the aircraft may have access to GPS measurements to perform local state estimation, and that the different aircraft exchange messages with neighboring nodes on the network to improve their own state estimates. Simulation results show that cooperation significantly reduces the average 3D root mean-square localization error when part of the aircraft are flying dead-reckoning and that the average vertical error cumulative distribution function remains below 4 meters for 95% of time when all aircraft have access to GPS measurements.