ABX Holdings, Inc. (NASDAQ:ABXA) said today that its subsidiary, ABX Air, Inc., and All Nippon Airways Co. (ANA) have signed a new ACMI Agreement that extends their landmark relationship through mid-January 2010.
Under the new agreement, ABX Air will continue to support ANA's cargo operations throughout the Asian market, including Japan, China and Thailand, via two ABX Air 767-200 aircraft and ABX Air flight crews and maintenance personnel. The new agreement contains terms that better reflect the evolving relationship between ANA and ABX Air, while anticipating the potential for growth in that relationship as ANA’s business expands.
The new ACMI agreement replaces a milestone agreement that ABX Air and ANA announced in May 2007. That agreement marked the first time the Japanese Civil Aviation Bureau (JCAB) had approved a foreign carrier to conduct cargo aircraft operations on behalf of a Japanese airline.
“Just as we were honored by the original opportunity to operate our 767 freighter aircraft on behalf of ANA, we are even more pleased to have a new agreement that allows us to better serve them and their customers, and creates a pathway toward an expanded role for ABX Air in ANA’s operations,” President and CEO Joe Hete said. “Asia is, and will likely remain, the world’s fastest growing market for air cargo services. Our plan is to bring all of the capabilities of the ABX family of companies, including those we recently acquired via Cargo Holdings International, to better serve ANA and other companies operating in this vast market.”
Hete said that ABX Air’s revenues from the new ACMI Agreement with ANA are expected to be in excess of $32 million, on an annualized basis.
About ABX Holdings
ABX Holdings has two principal businesses: ABX Air (www.abxair.com), an air cargo services provider operating out of Wilmington, Ohio, and 15 hubs throughout the United States; and Cargo Holdings International, Inc. (www.cargoholdings.com), 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. ABX Air is a Part 121 operator and holds a Part 145 FAA Repair certificate.
Through four subsidiaries, including two companies with separate and distinct U.S. FAA Part 121 Air Carrier Certificates, CHI also provides aircraft leasing, airport ground services, fuel management, specialized transportation management, and air charter brokerage services.
Safe Harbor Statement
Except for historical information contained herein, the matters discussed in this release contain forward-looking statements that involve risks and uncertainties. ABX Holdings Inc.'s actual results may differ materially from the results discussed in the forward-looking statements. There are a number of important factors that could cause the company's actual results to differ materially from those indicated by such forward-looking statements. These factors include, but are not limited to ABX Air's ability to meet its obligations under the ACMI Agreement with ANA, and other factors that are contained from time to time in ABX Holdings' filings with the U.S. Securities and Exchange Commission, including the company's 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 the company's forward-looking statements. These forward-looking statements were based on information, plans and estimates as of the date of this release. ABX Holdings undertakes no obligation to update any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes.