Air Transport Services Group, Inc. (NASDAQ:ATSG) announced today an
innovative agreement with Amerijet International, Inc. that provides a
best-fit aircraft freighter solution for Amerijet’s expanding air-cargo
network.
The agreement calls for Amerijet, which currently dry-leases three
Boeing 767-200 freighters from ATSG’s subsidiary Cargo Aircraft
Management Inc. (CAM) under long-term agreements, to dry-lease two
larger, extended-range Boeing 767-300 freighters from CAM, under
six-year agreements beginning during the third quarter of 2014. In the
interim, ATSG airline subsidiary Air Transport International (ATI), will
provide a dedicated 767-200 freighter on an ACMI basis to support
Amerijet’s expanded near-term requirements.
Later this year, when the two additional 767-300s are fully deployed,
Amerijet will return one of the Boeing 767-200s it currently dry-leases
from CAM. These arrangements will increase the ATSG aircraft at Amerijet
from three to five. Amerijet has further agreed to extend the lease
maturities on the two remaining Boeing 767-200s for 18 months each, into
the first quarter of 2019.
“This agreement reflects ATSG’s unique ability to put together flexible
freighter aircraft solutions in ways that meet the needs of expanding
cargo airlines like Amerijet,” ATSG President and CEO Joe Hete said. “No
other company matches our ability to creatively combine wet- and
dry-lease solutions for customers seeking midsize freighter aircraft.”
Amerijet, which operates throughout Miami and Central America, has been
a longtime ACMI customer of ABX Air, an ATSG cargo airline, and has been
leasing aircraft from CAM since 2010. It was ATSG’s first Wet2Dry
conversion customer. Wet2Dry is a customized program that allows
airlines to put a freighter aircraft into service via one of ATSG’s
subsidiary airlines, and then convert the wet lease to a dry-leased
asset, thus assuming total control of the aircraft. Wet2Dry
significantly decreases the customer’s risk and increases the likelihood
of success in implementing 767 freighter service.
“Leasing the two additional 767-300 freighters fits with our growth
strategy and improves our efficiencies,” noted Amerijet President Dave
Bassett. “Leasing from CAM gives us access to ATSG’s array of
capabilities. They do an excellent job of bundling their services to get
aircraft into service more quickly. We utilize their parts and
maintenance support, which allows us to leverage their scale advantages.
And we can also rely on ATSG when we need additional short-term lift to
help cover peak needs, or C-Check coverage. Our relationship with ATSG
is very important to Amerijet.”
CAM President Rich Corrado said, "With the placement of these aircraft,
we expect to have twenty-three, or more than half of our forty-three
available Boeing 767 freighter aircraft, under long-term leases with
external customers. The rest are deployed in ACMI service by an
ATSG-owned airline. We are seeing increasing dry-lease demand from
leading cargo airlines and other operators for both replacement and
growth needs. Our fleet of 767s, and the flexibility of the ATSG family
of companies make our offerings very attractive as the air cargo market
begins to rebound.”
About Amerijet
Amerijet operates Boeing 727-200, Boeing 767-200 and Boeing 767-300
aircraft from its primary hub at Miami International Airport, and
provides air freight services from Miami and throughout Central America,
South America and the Caribbean. Its main base is Fort
Lauderdale-Hollywood International Airport. ATSG’s relationship with
Amerijet has grown from one 767 freighter provided on an ACMI basis
through ABX Air, to two dry leased 767-200s and two dry leased 767-300s,
with an additional 767-200 freighter provided on an ACMI basis through
ATSG subsidiary, Air Transport International.
About ATSG
ATSG is a leading provider of aircraft leasing and air cargo
transportation and related services to domestic and foreign air carriers
and other companies that outsource their air cargo lift requirements.
ATSG, through its leasing and airline subsidiaries, is the world's
largest owner and operator of converted Boeing 767 freighter aircraft.
Through its principal subsidiaries, including two airlines with separate
and distinct U.S. FAA Part 121 Air Carrier certificates, ATSG provides
aircraft leasing, air cargo lift, aircraft maintenance services and
airport ground services. ATSG's subsidiaries include ABX Air, Inc.;
Airborne Global Solutions, Inc.; Air Transport International, Inc.;
Cargo Aircraft Management, Inc.; and Airborne Maintenance and
Engineering Services, Inc. For more information, please see www.atsginc.com.
Except for historical information contained herein, the matters
discussed in this release contain forward-looking statements that
involve risks and uncertainties. There are a number of important factors
that could cause Air Transport Services Group's ("ATSG's") actual
results to differ materially from those indicated by such
forward-looking statements. These factors include, but are not limited
to, changes in market demand for our assets and services, the number and
timing of deployments of our aircraft, and other factors that are
contained from time to time in ATSG's filings with the U.S. Securities
and Exchange Commission, including its Annual Report on Form 10-K and
Quarterly Reports on Form 10-Q. Readers should carefully review this
release and should not place undue reliance on ATSG's forward-looking
statements. These forward-looking statements were based on information,
plans and estimates as of the date of this release. ATSG undertakes no
obligation to update any forward-looking statements to reflect changes
in underlying assumptions or factors, new information, future events or
other changes.
Copyright Business Wire 2014