Atlas Air Worldwide Holdings, Inc. (AAWW) (Nasdaq: AAWW) today said that its Atlas Air, Inc. subsidiary (Atlas) has entered into a stipulated order of settlement and dismissal with the Federal Aviation Administration with respect to a maintenance issue that occurred in May 2006 regarding a single weld to an engine exhaust nozzle on one of Atlas’s 747-200 Freighter aircraft.
Resolution of the matter follows discussions between Atlas, the FAA, and the U.S. Attorney’s Office subsequent to the alleged incident, and the terms have been submitted to the federal court for its approval. Pursuant to the terms of the settlement and without admitting or denying any violation of the FAA required maintenance requirements, Atlas has agreed to a payment of $95,000 in full and final compromise of the FAA’s complaint.
“We take our responsibility to operate safe aircraft very seriously,” stated William J. Flynn, President and Chief Executive Officer of AAWW. “We work under the oversight of and in coordination with the FAA to ensure that we meet or exceed all of their regulatory requirements and procedures. The alleged incident cited by the FAA was a one-time event that occurred two years ago, and does not reflect our continuing commitment to the highest levels of aircraft maintenance and safety. We expect this matter to have no impact on the current or future operations of the Company.”
About Atlas Air Worldwide Holdings, Inc.:
AAWW, a leading provider of global air cargo assets and services, is the parent company of Atlas Air, Inc. (Atlas) and the majority shareholder of Polar Air Cargo Worldwide, Inc. (Polar). Through Atlas and Polar, AAWW operates the world’s largest fleet of Boeing 747 freighter aircraft.
Atlas and Polar offer a range of air cargo services that include ACMI aircraft leasing – in which customers receive a dedicated aircraft, crew, maintenance and insurance on a long-term lease basis – military charters, commercial cargo charters, scheduled air cargo service (including express network service for DHL Express later in 2008), and dry-leasing of aircraft.
AAWW’s press releases, SEC filings and other information can be accessed through the Company’s home page, www.atlasair.com.
This release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect AAWW’s current views with respect to certain current and future events and financial performance. Such forward-looking statements are and will be, as the case may be, subject to many risks, uncertainties and factors relating to the operations and business environments of AAWW and its subsidiaries (collectively, the “companies”) that may cause the actual results of the companies to be materially different from any future results, express or implied, in such forward-looking statements.
Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to, the following: the ability of the companies to operate pursuant to the terms of their financing facilities; the ability of the companies to obtain and maintain normal terms with vendors and service providers; the companies’ ability to maintain contracts that are critical to their operations; the ability of the companies to fund and execute their business plan; the ability of the companies to attract, motivate and/or retain key executives and associates; the ability of the companies to attract and retain customers; the continued availability of our wide-body aircraft; demand for cargo services in the markets in which the companies operate; economic conditions; the effects of any hostilities or act of war (in the Middle East or elsewhere) or any terrorist attack; labor costs and relations; financing costs; the cost and availability of war risk insurance; our ability to maintain adequate internal controls over financial reporting; aviation fuel costs; security-related costs; competitive pressures on pricing (especially from lower-cost competitors); volatility in the international currency markets; weather conditions; government legislation and regulation; consumer perceptions of the companies’ products and services; pending and future litigation; and other risks and uncertainties set forth from time to time in AAWW’s reports to the United States Securities and Exchange Commission.
For additional information, we refer you to the risk factors set forth under the heading “Risk Factors” in the Annual Report on Form 10-K filed by AAWW with the Securities and Exchange Commission on February 28, 2008. Other factors and assumptions not identified above may also affect the forward-looking statements, and these other factors and assumptions may also cause actual results to differ materially from those discussed.
AAWW assumes no obligation to update such statements contained in this release to reflect actual results, changes in assumptions or changes in other factors affecting such estimates other than as required by law.
Dan Loh, 914-701-8200