ATSG Completes Aircraft Lease Option Agreement with DHL

Will Result in Significant Deleveraging of Balance Sheet
WILMINGTON, Ohio--(Business Wire)--
Air Transport Services Group, Inc. (NASDAQ: ATSG) said today that its subsidiary
ABX Air, Inc. has completed an agreement with its principal customer, DHL,
concerning leases of certain ABX Air aircraft.

The agreement, which is further to a memorandum of understanding that DHL and
ABX Air executed in March 2009, grants DHL options to lease from ABX Air, or an
affiliate, up to four Boeing 767-200SF (freighter configuration) aircraft under
favorable rates, and for terms beginning August 15, 2010, and continuing through
2015.

In exchange, DHL has agreed to assume financial responsibility, retroactive to
January 31, 2009, for ABX Air`s obligations under capital leases on five Boeing
767-200PC (non-standard cargo door configuration) aircraft currently dedicated
to DHL`s U.S. network. As of March 31, 2009, ATSG`s balance sheet reflected
$50.2 million of debt and $21.5 million of net book value related to those
aircraft capital leases.

The agreement calls for ABX Air to grant to DHL up to $10 million of credit
against future rent obligations for the four 767-200SFs. If DHL elects not to
exercise its options for any of the four 767-200SFs, ABX Air would pay DHL $2.5
million for each such option that DHL elects to forego.

ABX Air is expected to continue to operate some or all of the five leased
767-200PCs as required under the current ACMI Agreement between the companies.
The agreement does not stipulate whether ABX Air would continue to operate any
of the four 767-200SF aircraft that DHL may opt to lease.

ATSG CEO and President Joe Hete said, "The completion of this agreement with DHL
formalizes the deleveraging process that we announced earlier this year,
including the restructuring of our promissory note to DHL. The combined effect
of the capital lease transaction and note restructuring, including our
commitment to pay DHL $15 million to further reduce the principal balance of the
note, would be to reduce our outstanding debt principal by approximately $113
million. The note restructuring also removes some of the limitations on our
Board`s ability to consider dividend payments or buybacks for our shareholders.
DHL has worked closely with us in finalizing these agreements, and we continue
to jointly explore opportunities to provide DHL with additional 767-200SF
aircraft on an ACMI or dry lease basis beyond 2010."

About ATSG

ATSG is a leading provider of air cargo transportation and related services to
domestic and foreign air carriers and other companies that outsource their air
cargo lift requirements. Through five principal subsidiaries, including three
airlines with separate and distinct U.S. FAA Part 121 Air Carrier Certificates,
ATSG also provides aircraft leasing, aircraft maintenance services, airport
ground services, fuel management, specialized transportation management, and air
charter brokerage services. ATSG`s subsidiaries include ABX Air, Inc., Air
Transport International, LLC, Capital Cargo International Airlines, Inc., Cargo
Aircraft Management, Inc., Airborne Maintenance and Engineering Services, Inc.
and LGSTX Services, Inc.

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, whether DHL exercises its options to lease one or more of
the aircraft under the Agreementand other factors that are contained from time
to time in ATSG's filings with the U.S. Securities and Exchange Commission,
including its Annual Reports on Form 10-K, and its 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.

ATSG, Inc.
Quint O. Turner, 937-382-5591
Chief Financial Officer

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