ATSG Airline Subsidiaries Complete Merger
WILMINGTON, Ohio -- March 11, 2013
Air Transport Services Group, Inc. (NASDAQ:ATSG) announced today the
completion of the merger of two of its airline subsidiaries, Air Transport
International Inc. (ATI) and Capital Cargo International Airlines, Inc.
The merger creates a single airline, ATI, with its headquarters in Little
Rock, Ark., its operations center in Wilmington, Ohio, and its management team
led by ATI President Dennis Manibusan. ATI currently operates 13 aircraft,
including seven Boeing 767 freighters (five 767-200s and two 767-300s), three
Boeing 757 freighters, and three DC-8 combi (combination passenger and
main-deck cargo) aircraft. The three DC-8 combis are to be replaced soon with
four Boeing 757 combis.
The Air Carrier Certificate for CCIA has been surrendered to the Federal
Aviation Administration, and its aircraft leases and other assets transferred
to ATI, following that agency’s review and approval of the technical aspects
of ATI’s airline merger plan. Further, the economic authority for CCIA has
been surrendered to the U.S. Department of Transportation for cancellation.
Joe Hete, President and CEO of ATSG, said completing the merger is an
important milestone in an overall effort to make ATSG more profitable, and to
better serve its customers.
“This merger is the most significant of a number of steps we are taking
throughout ATSG to better fit our airline overhead and operating cost
structures to the airline operations we have today, and expect to add in the
future,” Hete said. “Dennis Manibusan and his teams in each company have
worked hard to complete this process, and I applaud their efforts. The larger
scale and strength of the new combined ATI they have created will be better
prepared to support ATI’s customers, including DHL and the U.S. military, and
attract new business in the months to come.”
About Air Transport Services Group, Inc. (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.
Joe Payne, SVP, Corporate General Counsel & Secretary, 937-382-5591
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