ATSG AIRLINE SUBSIDIARIES COMPLETE MERGER - March 11, 2013

Air Transport Services Group, Inc. announced today the completion of the merger of two of its airline subsidiaries: Air Transport International, Inc. (ATI) and Capital Cargo International Airlines, Inc. (CCIA).

The merger creates a single airline, ATI, with its headquarters in Little Rock, AR, its operations center in Wilmington, OH, 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 aircraft.

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 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 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. Learn more at Air Transport Services Group, Inc..


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