ATSG Expands and Extends its Aircraft Leasing and Operating Agreements with Amazon
WILMINGTON, Ohio--(BUSINESS WIRE)--Dec 21, 2018--Air Transport Services Group, Inc. (Nasdaq: ATSG), the leading provider of medium wide-body cargo aircraft leasing, air cargo transportation and related services, today announced agreements to lease and operate ten additional Boeing 767s for Amazon.com Services, Inc., to extend leases for twenty 767 aircraft ATSG currently provides to Amazon, and to extend the operating agreement through which ATSGs airlines operate those aircraft in the Amazon Air network.
In conjunction with the new and amended commercial arrangements, Amazon will be granted warrant rights which, if exercised, would further expand its potential equity stake in ATSG. The arrangements also provide warrant incentives for Amazon to lease up to seventeen additional cargo aircraft from ATSG, not including the ten 767 lease commitments for 2019-2020 and the twenty 767 aircraft ATSG currently provides to Amazon.
Our customers love massive selection and fast delivery, and the Amazon Air capacity we are building enables Prime delivery speeds for customers from Seattle, Washington to Miami, Florida, said Dave Clark, Senior Vice President of Worldwide Operations at Amazon. By expanding the Amazon Air network through our partnership with ATSG were able to ensure we have the capacity to quickly and efficiently deliver packages to customers for years to come.
Were pleased to expand and extend for several years our support of Amazons exceptional ability to provide reliable and ....