0001193125-16-501916.txt : 20160314 0001193125-16-501916.hdr.sgml : 20160314 20160311214706 ACCESSION NUMBER: 0001193125-16-501916 CONFORMED SUBMISSION TYPE: SC 13D/A PUBLIC DOCUMENT COUNT: 3 FILED AS OF DATE: 20160314 DATE AS OF CHANGE: 20160311 GROUP MEMBERS: RED MOUNTAIN CAPITAL MANAGEMENT, INC. GROUP MEMBERS: RED MOUNTAIN CAPITAL PARTNERS II, L.P. GROUP MEMBERS: RED MOUNTAIN CAPITAL PARTNERS III, L.P. GROUP MEMBERS: RED MOUNTAIN PARTNERS, L.P. GROUP MEMBERS: RMCP GP LLC GROUP MEMBERS: WILLEM MESDAG SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: Air Transport Services Group, Inc. CENTRAL INDEX KEY: 0000894081 STANDARD INDUSTRIAL CLASSIFICATION: AIR COURIER SERVICES [4513] IRS NUMBER: 261631624 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-79181 FILM NUMBER: 161502301 BUSINESS ADDRESS: STREET 1: 145 HUNTER DR CITY: WILMINGTON STATE: OH ZIP: 45177 BUSINESS PHONE: 937-382-5591 MAIL ADDRESS: STREET 1: 145 HUNTER DR CITY: WILMINGTON STATE: OH ZIP: 45177 FORMER COMPANY: FORMER CONFORMED NAME: ABX Holdings, Inc. DATE OF NAME CHANGE: 20080102 FORMER COMPANY: FORMER CONFORMED NAME: ABX AIR INC DATE OF NAME CHANGE: 19950728 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: RED MOUNTAIN CAPITAL PARTNERS LLC CENTRAL INDEX KEY: 0001374588 IRS NUMBER: 731726370 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A BUSINESS ADDRESS: STREET 1: 10100 SANTA MONICA BOULEVARD STREET 2: SUITE 925 CITY: LOS ANGELES STATE: CA ZIP: 90067 BUSINESS PHONE: (310) 432-0207 MAIL ADDRESS: STREET 1: 10100 SANTA MONICA BOULEVARD STREET 2: SUITE 925 CITY: LOS ANGELES STATE: CA ZIP: 90067 SC 13D/A 1 d134521dsc13da.htm SC 13D/A SC 13D/A

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

SCHEDULE 13D/A

Under the Securities Exchange Act of 1934

(Amendment No. 11)

AIR TRANSPORT SERVICES GROUP, INC.

 

(Name of Issuer)

Common Stock, par value $0.01 per share

 

(Title of Class of Securities)

00922R105

 

(CUSIP Number)

Red Mountain Capital Partners LLC

Attn: Willem Mesdag

10100 Santa Monica Boulevard, Suite 925

Los Angeles, California 90067

Telephone (310) 432-0200

 

(Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications)

March 8, 2016

 

(Date of Event Which Requires Filing of this Statement)

If the filing person has previously filed a statement on Schedule 13G to report the acquisition that is the subject of this Schedule 13D, and is filing this schedule because of Rule 13d-1(e), 13d-1(f) or 13d-1(g), check the following box. ¨

Note. Schedules filed in paper format shall include a signed original and five copies of the schedule, including all exhibits. See Rule 13d-7 for other parties to whom copies are to be sent.


 

CUSIP No. 00922R105    SCHEDULE 13D/A    PAGE 2 OF 14 PAGES
             
1  

NAME OF REPORTING PERSONS

I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)

 

Red Mountain Capital Partners LLC

  73-1726370    
2  

CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*

 

     

(a) x

(b) ¨

3  

SEC USE ONLY

 

       
4  

SOURCE OF FUNDS*

 

  AF (See Item 3)    
5  

CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED

PURSUANT TO ITEMS 2(d) or 2(e)

 

      ¨
6  

CITIZENSHIP OR PLACE OF ORGANIZATION

 

Delaware

       

NUMBER OF

 

SHARES

 

BENEFICIALLY

 

OWNED BY

 

EACH REPORTING

 

PERSON

 

WITH

  7  

SOLE VOTING POWER

 

11,230,354 shares (See Item 5)

 
  8  

SHARED VOTING POWER

 

None (See Item 5)

 
  9  

SOLE DISPOSITIVE POWER

 

11,230,354 shares (See Item 5)

 
  10  

SHARED DISPOSITIVE POWER

 

None (See Item 5)

   
11  

AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

 

11,230,354 shares (See Item 5)

   
12  

CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES

CERTAIN SHARES*

 

 

¨

13  

PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

 

17.4% (See Item 5)

   
14.  

TYPE OF REPORTING PERSON*

 

OO – Limited Liability Company

   

* See Instructions


 

CUSIP No. 00922R105    SCHEDULE 13D/A    PAGE 3 OF 14 PAGES
             
1  

NAME OF REPORTING PERSONS

I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)

 

Red Mountain Capital Partners II, L.P.

  20-4117535    
2  

CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*

 

     

(a) x

(b) ¨

3  

SEC USE ONLY

 

       
4  

SOURCE OF FUNDS*

 

  WC (See Item 3)    
5  

CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED

PURSUANT TO ITEMS 2(d) or 2(e)

 

      ¨
6  

CITIZENSHIP OR PLACE OF ORGANIZATION

 

Delaware

       

NUMBER OF

 

SHARES

 

BENEFICIALLY

 

OWNED BY

 

EACH REPORTING

 

PERSON

 

WITH

  7  

SOLE VOTING POWER

 

None (See Item 5)

 
  8  

SHARED VOTING POWER

 

None (See Item 5)

 
  9  

SOLE DISPOSITIVE POWER

 

None (See Item 5)

 
  10  

SHARED DISPOSITIVE POWER

 

None (See Item 5)

   
11  

AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

 

None (See Item 5)

   
12  

CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES

CERTAIN SHARES*

 

 

¨

13  

PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

 

0% (See Item 5)

   
14.  

TYPE OF REPORTING PERSON*

 

PN – Limited Partnership

   

* See Instructions


 

CUSIP No. 00922R105    SCHEDULE 13D/A    PAGE 4 OF 14 PAGES
             
1  

NAME OF REPORTING PERSONS

I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)

 

Red Mountain Capital Partners III, L.P.

  20-5329858    
2  

CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*

 

     

(a) x

(b) ¨

3  

SEC USE ONLY

 

       
4  

SOURCE OF FUNDS*

 

  WC, OO (See Item 3)
5  

CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED

PURSUANT TO ITEMS 2(d) or 2(e)

 

      ¨
6  

CITIZENSHIP OR PLACE OF ORGANIZATION

 

Delaware

       

NUMBER OF

 

SHARES

 

BENEFICIALLY

 

OWNED BY

 

EACH REPORTING

 

PERSON

 

WITH

  7  

SOLE VOTING POWER

 

None (See Item 5)

 
  8  

SHARED VOTING POWER

 

None (See Item 5)

 
  9  

SOLE DISPOSITIVE POWER

 

None (See Item 5)

 
  10  

SHARED DISPOSITIVE POWER

 

None (See Item 5)

   
11  

AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

 

None (See Item 5)

   
12  

CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES

CERTAIN SHARES*

 

 

¨

13  

PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

 

0% (See Item 5)

   
14.  

TYPE OF REPORTING PERSON*

 

PN – Limited Partnership

   

* See Instructions


 

CUSIP No. 00922R105    SCHEDULE 13D/A    PAGE 5 OF 14 PAGES
             
1  

NAME OF REPORTING PERSONS

I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)

 

Red Mountain Partners, L.P.

  20-4117349    
2  

CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*

 

     

(a) x

(b) ¨

3  

SEC USE ONLY

 

       
4  

SOURCE OF FUNDS*

 

  AF (See Item 3)
5  

CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED

PURSUANT TO ITEMS 2(d) or 2(e)

 

      ¨
6  

CITIZENSHIP OR PLACE OF ORGANIZATION

 

Delaware

       

NUMBER OF

 

SHARES

 

BENEFICIALLY

 

OWNED BY

 

EACH REPORTING

 

PERSON

 

WITH

  7  

SOLE VOTING POWER

 

11,152,425 shares (See Item 5)

 
  8  

SHARED VOTING POWER

 

None (See Item 5)

 
  9  

SOLE DISPOSITIVE POWER

 

11,152,425 shares (See Item 5)

 
  10  

SHARED DISPOSITIVE POWER

 

None (See Item 5)

   
11  

AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

 

11,152,425 shares (See Item 5)

   
12  

CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES

CERTAIN SHARES*

 

 

¨

13  

PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

 

17.3% (See Item 5)

   
14.  

TYPE OF REPORTING PERSON*

 

PN – Limited Partnership

   

* See Instructions


 

CUSIP No. 00922R105    SCHEDULE 13D/A    PAGE 6 OF 14 PAGES
             
1  

NAME OF REPORTING PERSONS

I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)

 

RMCP GP LLC

  20-4442412    
2  

CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*

 

     

(a) x

(b) ¨

3  

SEC USE ONLY

 

       
4  

SOURCE OF FUNDS*

 

  AF (See Item 3)
5  

CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED

PURSUANT TO ITEMS 2(d) or 2(e)

 

      ¨
6  

CITIZENSHIP OR PLACE OF ORGANIZATION

 

Delaware

       

NUMBER OF

 

SHARES

 

BENEFICIALLY

 

OWNED BY

 

EACH REPORTING

 

PERSON

 

WITH

  7  

SOLE VOTING POWER

 

11,152,425 shares (See Item 5)

 
  8  

SHARED VOTING POWER

 

None (See Item 5)

 
  9  

SOLE DISPOSITIVE POWER

 

11,152,425 shares (See Item 5)

 
  10  

SHARED DISPOSITIVE POWER

 

None (See Item 5)

   
11  

AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

 

11,152,425 shares (See Item 5)

   
12  

CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES

CERTAIN SHARES*

 

 

¨

13  

PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

 

17.3% (See Item 5)

   
14.  

TYPE OF REPORTING PERSON*

 

OO – Limited Liability Company

   

* See Instructions


 

CUSIP No. 00922R105    SCHEDULE 13D/A    PAGE 7 OF 14 PAGES
             
1  

NAME OF REPORTING PERSONS

I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)

 

Red Mountain Capital Management, Inc.

  13-4057186    
2  

CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*

 

     

(a) ¨

(b) x

3  

SEC USE ONLY

 

       
4  

SOURCE OF FUNDS*

 

  AF (See Item 3)
5  

CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED

PURSUANT TO ITEMS 2(d) or 2(e)

 

      ¨
6  

CITIZENSHIP OR PLACE OF ORGANIZATION

 

Delaware

       

NUMBER OF

 

SHARES

 

BENEFICIALLY

 

OWNED BY

 

EACH REPORTING

 

PERSON

 

WITH

  7  

SOLE VOTING POWER

 

11,230,354 shares (See Item 5)

 
  8  

SHARED VOTING POWER

 

None (See Item 5)

 
  9  

SOLE DISPOSITIVE POWER

 

11,230,354 shares (See Item 5)

 
  10  

SHARED DISPOSITIVE POWER

 

None (See Item 5)

   
11  

AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

 

11,230,354 shares (See Item 5)

   
12  

CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES

CERTAIN SHARES*

 

 

¨

13  

PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

 

17.4% (See Item 5)

   
14.  

TYPE OF REPORTING PERSON*

 

CO – Corporation

   

* See Instructions


 

CUSIP No. 00922R105    SCHEDULE 13D/A    PAGE 8 OF 14 PAGES
             
1  

NAME OF REPORTING PERSONS

I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY)

 

Willem Mesdag

       
2  

CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*

 

     

(a) ¨

(b) x

3  

SEC USE ONLY

 

       
4  

SOURCE OF FUNDS*

 

  AF (See Item 3)
5  

CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED

PURSUANT TO ITEMS 2(d) or 2(e)

 

      ¨
6  

CITIZENSHIP OR PLACE OF ORGANIZATION

 

U.S. Citizen

       

NUMBER OF

 

SHARES

 

BENEFICIALLY

 

OWNED BY

 

EACH REPORTING

 

PERSON

 

WITH

  7  

SOLE VOTING POWER

 

11,230,354 shares (See Item 5)

 
  8  

SHARED VOTING POWER

 

None (See Item 5)

 
  9  

SOLE DISPOSITIVE POWER

 

11,230,354 shares (See Item 5)

 
  10  

SHARED DISPOSITIVE POWER

 

None (See Item 5)

   
11  

AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON

 

11,230,354 shares (See Item 5)

   
12  

CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES

CERTAIN SHARES*

 

 

¨

13  

PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)

 

17.4% (See Item 5)

   
14.  

TYPE OF REPORTING PERSON*

 

IN – Individual

   

* See Instructions


CUSIP No. 00922R105    SCHEDULE 13D/A    PAGE 9 OF 14 PAGES

 

This Amendment No. 11 amends and supplements the Schedule 13D filed with the Securities and Exchange Commission (the “SEC”) on November 20, 2006, as amended by Amendment No. 1 thereto, filed with the SEC on September 24, 2007, Amendment No. 2 thereto, filed with the SEC on February 7, 2008, Amendment No. 3 thereto, filed with the SEC on December 3, 2008, Amendment No. 4 thereto, filed with the SEC on January 6, 2009, Amendment No. 5 thereto, filed with the SEC on February 3, 2009, Amendment No. 6 thereto, filed with the SEC on May 26, 2009, Amendment No. 7 thereto, filed with the SEC on June 1, 2009, Amendment No. 8 thereto, filed with the SEC on August 29, 2011, Amendment No. 9 thereto, filed with the SEC on June 18, 2012, and Amendment No. 10 thereto, filed with the SEC on August 14, 2012 (together, this “Schedule 13D”), by (i) Red Mountain Capital Partners LLC, a Delaware limited liability company (“RMCP LLC”), (ii) Red Mountain Capital Partners II, L.P., a Delaware limited partnership (“RMCP II”), (iii) Red Mountain Capital Partners III, L.P., a Delaware limited partnership (“RMCP III”), (iv) RMCP GP LLC, a Delaware limited liability company (“RMCP GP”), (v) Red Mountain Capital Management, Inc., a Delaware corporation (“RMCM”), and (vi) Willem Mesdag, a natural person and citizen of the United States of America, with respect to the common stock, par value $0.01 per share (the “Common Stock”), of Air Transport Services Group, Inc., a Delaware corporation (“ATSG”), formerly known as ABX Holdings, Inc. and ABX Air, Inc. Through this Amendment No. 11, Red Mountain Partners, L.P., a Delaware limited partnership (“RMP”), joins as a filer of this Schedule 13D. In addition, this Amendment No. 11 will constitute an exit filing for RMCP II and RMCP III. RMCP LLC, RMCP II, RMCP III, RMP and RMCP GP are sometimes collectively referred to herein as “Red Mountain.” Red Mountain, RMCM and Mr. Mesdag are sometimes collectively referred to herein as the “Reporting Persons.” The filing of any amendment to this Schedule 13D (including the filing of this Amendment No. 11) shall not be construed to be an admission by the Reporting Persons that a material change has occurred in the facts set forth in this Schedule 13D or that such amendment is required under Rule 13d-2 of the Securities Exchange Act of 1934, as amended.

 

ITEM 2. IDENTITY AND BACKGROUND.

Item 2 of this Schedule 13D is hereby amended to include the following information:

Red Mountain Partners, L.P., a Delaware limited partnership (“RMP”), joins as a filer of this Schedule 13D. RMCP GP is the general partner of RMP and thus may be deemed to control RMP. The principal executive offices of RMP are located at 10100 Santa Monica Boulevard, Suite 925, Los Angeles, California 90067. The principal business of RMP is investment. RMP was not formed for the specific purpose of investing in the securities of ATSG.

During the last five years, RMP has not been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors) or been a party to a civil proceeding of a judicial or administrative body of competent jurisdiction as a result of which RMP was or is subject to a judgment, decree or final order enjoining future violations of, or prohibiting or mandating activities subject to, federal or state securities laws or finding any violation with respect to such laws.

 

ITEM 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION.

Item 3 of this Schedule 13D is hereby amended to include the following information:

Amendment No. 10 to this Schedule 13D, which was filed with the SEC on August 14, 2012, reported that RMCP II and RMCP III held in the aggregate 10,550,425 shares of Common Stock. Between August 14, 2012 and August 16, 2012, RMCP II acquired an additional 602,000 shares of Common Stock using its own working capital increasing the aggregate Common Stock held by RMCP II and RMCP III to 11,152,425 shares.

Prior to December 31, 2012, RMP was the sole limited partner of each of RMCP II and RMCP III, and RMCP GP was the sole general partner of each of RMP, RMCP II and RMCP III. On December 31, 2012 as part of an internal restructuring, RMCP II and RMCP III distributed all Common Stock held by them to RMP in a transaction that resulted in a change in the form of ownership of such Common Stock by RMP but not in a change in pecuniary interest in such Common Stock by RMP or a change in the control over such Common Stock by RMCP GP and RMCP LLC. As a result of such internal restructuring, RMP became the direct holder of these shares of Common Stock, and RMCP II and RMCP III ceased to beneficially own any Common Stock. Each of RMCP II and RMCP III was subsequently dissolved.

In connection with Mr. Teets’ service on the Board of ATSG since 2009, ATSG has issued Mr. Teets, in the aggregate, 77,929 restricted stock units for a zero purchase price (the “RSUs”) as part of his director compensation, all of which RSUs are fully vested. Mr. Teets has transferred beneficial ownership of all such RSUs to RMCP LLC.


CUSIP No. 00922R105    SCHEDULE 13D/A    PAGE 10 OF 14 PAGES

 

ITEM 5. INTEREST IN SECURITIES OF THE ISSUER.

Items 5(a) and 5(b) of this Schedule 13D are hereby amended and restated as follows:

 

  (a)-(b) RMCP II and RMCP III each ceased to own any Common Stock and ceased to have any power to vote or direct the vote, or any power to dispose or direct the disposition, of any shares of Common Stock, in each case, as of December 31, 2012.

RMP beneficially owns, in the aggregate, 11,152,425 shares of Common Stock, which represent approximately 17.3% of the outstanding Common Stock(1). RMP has the sole power to vote or direct the vote, and the sole power to dispose or direct the disposition, of all such 11,152,425 shares of Common Stock.

Due to its ownership of the RSUs, RMCP LLC may be deemed to beneficially own directly 77,929 shares of Common Stock underlying the RSUs (the “RSU Shares”), representing approximately 0.1% of the outstanding Common Stock (after giving effect to the RSU Shares). RMCP LLC has the sole power to vote or direct the vote, and the sole power to dispose or direct the disposition, of the RSU Shares.

Because each of RMCP GP, RMCP LLC, RMCM and Mr. Mesdag may be deemed to control RMP, each of RMCP GP, RMCP LLC, RMCM and Mr. Mesdag may be deemed to beneficially own, and to have the power to vote or direct the vote, or dispose or direct the disposition of, all of the Common Stock beneficially owned by RMP. As a result, RMCP LLC may be deemed to beneficially own, in the aggregate, 11,230,354 shares of Common Stock, representing 17.4% of the outstanding Common Stock after giving effect to the RSU Shares. In addition, because each of RMCM and Mr. Mesdag may be deemed to control RMCP LLC, RMCM and Mr. Mesdag may be deemed to beneficially own, and to have the power to vote or direct the vote, or dispose or direct the disposition of, all of the RSU Shares beneficially owned by RMCP LLC, as well as all of the shares of Common Stock beneficially owned by RMP. Therefore, each of Mr. Mesdag and RMCM may be deemed to beneficially own, in the aggregate, 11,230,354 shares of Common Stock, representing 17.4% of the outstanding Common Stock after giving effect to the RSU Shares.

Other than shares of Common Stock beneficially owned by RMP and RMCP LLC, none of the Reporting Persons or Mr. Teets may be deemed to beneficially own any shares of Common Stock.

Each of RMCP LLC, RMP and RMCP GP affirms membership in a group with each other but disclaims membership in a group with RMCM or Mr. Mesdag. Each of RMCM and Mr. Mesdag disclaims membership in a group with any person.

The filing of this Schedule 13D shall not be construed as an admission that any Reporting Person is the beneficial owner of any of the shares of Common Stock that such Reporting Person may be deemed to beneficially own. Without limiting the foregoing sentence, each of RMCM and Mr. Mesdag disclaims beneficial ownership of all shares of Common Stock reported in this Schedule 13D. In addition, the filing of this Schedule 13D shall not be construed as an admission that any partner, member, director, officer or affiliate of any Reporting Person is the beneficial owner of any of the shares of Common Stock that such partner, member, director, officer or affiliate may be deemed to beneficially own. Without limiting the foregoing sentence, Mr. Teets disclaims beneficial ownership of all shares of Common Stock reported in this Schedule 13D.

Item 5(e) of this Schedule 13D is hereby amended to include the following information:

 

  (e) RMCP II and RMCP III each ceased to beneficially own any Common Stock on December 31, 2012.

 

 

 

  (1) 

All calculations of percentage ownership in this Schedule 13D are based on approximately 64,359,057 shares of Common Stock estimated to be issued and outstanding as of November 6, 2015, as reported in the Quarterly Report on Form 10-Q for the Quarterly Period ended September 30, 2015, which was filed by ATSG with the SEC on November 6, 2015.


CUSIP No. 00922R105    SCHEDULE 13D/A    PAGE 11 OF 14 PAGES

 

ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH RESPECT TO SECURITIES OF THE ISSUER

Item 6 of this Schedule 13D is hereby amended to include the following information:

On March 8, 2016, RMP entered into a voting agreement with Amazon.com, Inc. (“Amazon”) and ATSG (the “Voting Agreement”), pursuant to which RMP has agreed to vote all of its shares of Common Stock in favor of, among other things, an amendment to ATSG’s certificate of incorporation that would authorize a sufficient number of shares to permit the exercise in full of certain warrants granted to Amazon in connection with commercial agreements whereby ATSG agreed to operate an air cargo network to serve Amazon customers in the United States. The Voting Agreement also contains a restriction on RMP’s ability to sell its shares of Common Stock until immediately following ATSG’s annual meeting of stockholders to be held in the 2016 calendar year.

The Voting Agreement will terminate upon the earliest to occur of several events, but no later than immediately following ATSG’s annual meeting of stockholders to be held in the 2017 calendar year; provided that the restrictions on RMP’s ability to sell its shares of Common Stock shall terminate immediately after ATSG’s annual meeting of stockholders to be held in the 2016 calendar year.

The foregoing references to and description of the Voting Agreement do not purport to be complete and are subject, and are qualified in their entirety by reference, to the full text of the Voting Agreement, which is incorporated by reference in this Item 6.

 

ITEM 7. MATERIALS TO BE FILED AS EXHIBITS.

Item 7 of this Schedule 13D is hereby amended to include the following information:

 

Exhibit No.

  

Description of Exhibit

6    Joint Filing Agreement dated as of March 11, 2016, by and among the Reporting Persons (filed herewith).
7    Voting Agreement dated as of March 8, 2016, by and among Red Mountain Partners, L.P., Amazon.com, Inc., and Air Transport Services Group, Inc. (filed herewith).


CUSIP No. 00922R105    SCHEDULE 13D/A    PAGE 12 OF 14 PAGES

 

SIGNATURE

After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct.

Dated: March 14, 2016

 

RED MOUNTAIN CAPITAL PARTNERS LLC

/s/ Willem Mesdag

By:   Willem Mesdag
Title:   Authorized Signatory
RED MOUNTAIN CAPITAL PARTNERS II, L.P.
By:   RMCP GP LLC, its general partner
 

/s/ Willem Mesdag

  By:   Willem Mesdag
  Title:   Authorized Signatory
RED MOUNTAIN CAPITAL PARTNERS III, L.P.
By:   RMCP GP LLC, its general partner
 

/s/ Willem Mesdag

  By:   Willem Mesdag
  Title:   Authorized Signatory
RED MOUNTAIN PARTNERS, L.P.
By:   RMCP GP LLC, its general partner
 

/s/ Willem Mesdag

  By:   Willem Mesdag
  Title:   Authorized Signatory
RMCP GP LLC

/s/ Willem Mesdag

By:   Willem Mesdag
Title:   Authorized Signatory


CUSIP No. 00922R105    SCHEDULE 13D/A    PAGE 13 OF 14 PAGES

 

RED MOUNTAIN CAPITAL MANAGEMENT, INC.

/s/ Willem Mesdag

By:   Willem Mesdag
Title:   President
WILLEM MESDAG

/s/ Willem Mesdag


CUSIP No. 00922R105    SCHEDULE 13D/A    PAGE 14 OF 14 PAGES

 

EXHIBIT INDEX

 

Exhibit No.

  

Description of Exhibit

1    Joint Filing Agreement, dated as of November 20, 2006, by and among certain of the Reporting Persons (incorporated by reference to Exhibit 1 to the Schedule 13D filed by the Reporting Persons with the SEC on November 20, 2006).
2    Letter, dated as of September 24, 2007, from Red Mountain Capital Partners LLC to the board of directors of ABX Air, Inc. (incorporated by reference to Exhibit 2 to the Amendment No. 1 to this Schedule 13D filed by the Reporting Persons with the SEC on September 24, 2007).
3    Confidentiality and Standstill Agreement, dated as of February 6, 2008, by and between ABX Holdings, Inc. and Red Mountain Capital Partners LLC (incorporated by reference to Exhibit 3 to the Amendment No. 2 to this Schedule 13D filed by the Reporting Persons with the SEC on February 7, 2008).
4    Confidentiality and Standstill Agreement, dated as of February 2, 2009, by and between Air Transport Services Group, Inc. and Red Mountain Capital Partners LLC (incorporated by reference to Exhibit 4 to the Amendment No. 5 to this Schedule 13D filed by the Reporting Persons with the SEC on February 3, 2009).
5    First Amendment to Confidentiality and Standstill Agreement, dated as of June 11, 2012, by and between Air Transport Services Group, Inc. and Red Mountain Capital Partners LLC (incorporated by reference to Exhibit 10.1 of the Form 8-K filed by ATSG with the SEC on June 18, 2012).
6    Joint Filing Agreement dated as of March 11, 2016, by and among the Reporting Persons (filed herewith).
7    Voting Agreement dated as of March 8, 2016, by and among Red Mountain Partners, L.P., Amazon.com, Inc., and Air Transport Services Group, Inc. (filed herewith).
EX-99.6 2 d134521dex996.htm EX-99.6 EX-99.6

Exhibit 6

JOINT FILING AGREEMENT

In accordance with Rule 13d-1(k)(1) promulgated under the Securities Exchange Act of 1934, as amended, the undersigned agree to the joint filing on behalf of each of them of a Schedule 13D (including any and all amendments thereto) with respect to the common stock, par value $0.01 per share, of Air Transport Services Group, Inc., and further agree that this Joint Filing Agreement shall be included as an exhibit to such joint filings.

The undersigned further agree that each party hereto is responsible for the timely filing of such Schedule 13D and any amendments thereto, and for the completeness and accuracy of the information concerning such party contained therein; provided that no party is responsible for the completeness or accuracy of the information concerning any other filing party, unless such party knows or has reason to believe that such information is inaccurate.

This Joint Filing Agreement may be executed in one or more counterparts, each of which shall be deemed to be an original instrument, but all of such counterparts together shall constitute but one agreement.

In evidence thereof the undersigned, being duly authorized, hereby execute this Joint Filing Agreement as of March 11, 2016.

 

RED MOUNTAIN CAPITAL PARTNERS LLC

/s/ Willem Mesdag

By:   Willem Mesdag
Title:   Authorized Signatory
RED MOUNTAIN CAPITAL PARTNERS II, L.P.
By:   RMCP GP LLC, its general partner
 

/s/ Willem Mesdag

  By:   Willem Mesdag
  Title:   Authorized Signatory
RED MOUNTAIN CAPITAL PARTNERS III, L.P.
By:   RMCP GP LLC, its general partner
 

/s/ Willem Mesdag

  By:   Willem Mesdag
  Title:   Authorized Signatory


RED MOUNTAIN PARTNERS, L.P.
By:   RMCP GP LLC, its general partner
 

/s/ Willem Mesdag

  By:   Willem Mesdag
  Title:   Authorized Signatory
RMCP GP LLC

/s/ Willem Mesdag

By:   Willem Mesdag
Title:   Authorized Signatory
RED MOUNTAIN CAPITAL MANAGEMENT, INC.

/s/ Willem Mesdag

By:   Willem Mesdag
Title:   President
WILLEM MESDAG

/s/ Willem Mesdag

EX-99.7 3 d134521dex997.htm EX-99.7 EX-99.7

Exhibit 7

EXECUTION VERSION

VOTING AGREEMENT

This VOTING AGREEMENT, dated as of March 8, 2016 (this “Agreement”), is made by and among the stockholders listed on the signature page(s) hereto (collectively, the “Stockholders” and each individually, a “Stockholder”), Amazon.com, Inc., a Delaware corporation (“Amazon”), and Air Transport Services Group, Inc., a Delaware corporation (the “Company”). Capitalized terms used and not otherwise defined herein shall have the respective meanings ascribed to them in the Investment Agreement (as defined below).

RECITALS

WHEREAS, as of the date hereof, each Stockholder is the record and beneficial owner of the number of shares of common stock of the Company, par value $0.01 per share (the “Shares”), set forth opposite such Stockholder’s name on Schedule A hereto (together with such additional shares of capital stock that become beneficially owned (within the meaning of Rule 13d-3 promulgated under the Exchange Act) by such Stockholder, whether upon the exercise of options, conversion of convertible securities or otherwise, after the date hereof until the Expiration Date, the “Subject Shares”);

WHEREAS, Amazon and the Company have entered into an Investment Agreement, dated as March 8, 2016 (the “Investment Agreement”), pursuant to which, upon the terms and subject to the conditions thereof, the Company will issue the Warrants to Amazon;

WHEREAS, as a condition and inducement to the willingness of Amazon to enter into the Investment Agreement, Amazon has required that the Stockholders enter into this Agreement, and the Stockholders desire to enter into this Agreement to induce the Company to enter into the Investment Agreement;

NOW, THEREFORE, in consideration of the foregoing and the mutual covenants and agreements contained herein, and intending to be legally bound hereby, the parties hereby agree, severally and not jointly, as follows:

1. Voting of Shares. During the period from the date of this Agreement through the Expiration Date, at every meeting of the stockholders of the Company called with respect to any of the following, each Stockholder shall vote or cause to be voted the Subject Shares then owned by such Stockholder that such Stockholder is entitled to vote at such meeting (a) for the approval of (i) an amendment to the certificate of incorporation of the Company authorizing a sufficient number of Shares to permit the exercise in full of the Warrants and (ii) the authorization of such exercise in full under the rules of The NASDAQ Global Select Market, in each case, for the avoidance of doubt, without giving effect to any “cashless” or “net” exercise provisions therein and (b) against any other action or agreement that would reasonably be expected to impede, frustrate, interfere with, delay, postpone or adversely affect the transactions contemplated by the Investment Agreement.


2. Transfer of Shares. During the period from the date of this Agreement until the date of the Company’s annual stockholders’ meeting to be held in 2016 (the “2016 Annual Meeting”), each Stockholder will not, directly or indirectly, (a) transfer, assign, sell, pledge, encumber, hypothecate or otherwise dispose (whether by sale, liquidation, dissolution, dividend or distribution) of or consent to any of the foregoing (“Transfer”), or cause to be Transferred, any of the Subject Shares; provided, that nothing in this clause (a) shall prohibit Transfers from any Stockholder(s) to any other Stockholder(s), (b) deposit any of the Subject Shares into a voting trust or enter into a voting agreement or arrangement with respect to the Subject Shares or grant any proxy or power of attorney with respect thereto that is inconsistent with this Agreement, (c) enter into any contract, option or other arrangement or undertaking with respect to the Transfer of any Shares (except as permitted by the proviso in clause (a)) or (d) take any other action, that would materially restrict, limit or interfere with the performance of such Stockholder’s obligations hereunder.

3. Further Assurances. From time to time and without additional consideration, each Stockholder shall (at the Company’s sole cost and expense) execute and deliver, or cause to be executed and delivered, such additional instruments, and shall take such further actions, as the Company may reasonably request for the purpose of carrying out and furthering the intent of this Agreement.

4. Representations and Warranties of each Stockholder. Each Stockholder on its own behalf hereby represents and warrants to the Company, severally and not jointly, with respect to such Stockholder and such Stockholder’s ownership of the Subject Shares as follows:

(a) Authority. Such Stockholder has all requisite power and authority to enter into this Agreement and to perform its obligations hereunder. This Agreement has been duly authorized, executed and delivered by such Stockholder and constitutes a valid and binding obligation of such Stockholder enforceable in accordance with its terms, except as enforcement may be limited by applicable bankruptcy, insolvency, reorganization, moratorium or similar laws affecting creditors’ rights generally and by general principles of equity (regardless of whether considered in a proceeding in equity or at law). The execution, delivery and performance by such Stockholder of this Agreement does not require any consent, approval, authorization or permit of, action by, filing with or notification to any Governmental Entity, other than (i) filings under the Securities Exchange Act, as amended and (ii) any consent, approval, authorization, permit, action, filing or notification the failure of which to make or obtain would not, individually or in the aggregate, be reasonably expected to prevent or materially delay such Stockholder’s ability to observe and perform such Stockholder’s material obligations hereunder.

(b) No Conflicts. Neither the execution and delivery of this Agreement, nor the performance of such Stockholder’s obligations hereunder, nor compliance with the terms hereof, will violate, conflict with or result in a breach of, or constitute a default (with or without notice or lapse of time or both) under any provision of, any trust agreement, loan or credit agreement, note, bond, mortgage, indenture, lease or other agreement, instrument, permit, concession, franchise, license, judgment, order, notice,

 

2


decree, statute, law, ordinance, rule or regulation applicable to such Stockholder or to such Stockholder’s property or assets, except where any such breach or default would not, individually or in the aggregate, be reasonably expected to prevent or materially delay such Stockholder’s ability to observe and perform such Stockholder’s material obligations hereunder.

(c) The Subject Shares. As of the date hereof, such Stockholder is the record and beneficial owner of the Subject Shares set forth opposite such Stockholder’s name on Schedule A hereto, free and clear of any and all security interests, liens, changes, encumbrances, equities, claims, options or limitations of whatever nature and free of any other limitation or restriction (including any restriction on the right to vote, sell or otherwise dispose of such Subject Shares), other than any of the foregoing that would not prevent or delay such Stockholder’s ability to perform such Stockholders obligations hereunder. As of the date hereof, such Stockholder does not own, of record or beneficially, any shares of capital stock of the Company other than the Subject Shares set forth opposite such Stockholder’s name on Schedule A hereto. The Stockholders have, or will have at the time of the applicable stockholders’ meeting, the sole right to vote or direct the vote of, or to dispose of or direct the disposition of, the Subject Shares set forth opposite such Stockholder’s name on Schedule A hereto to the extent then owned by such Stockholder, and none of the Subject Shares set forth opposite such Stockholder’s name on Schedule A hereto is subject to any agreement, arrangement or restriction with respect to the voting of such Subject Shares that would prevent or delay a Stockholder’s ability to perform its obligations hereunder. There are no agreements or arrangements of any kind, contingent or otherwise, obligating such Stockholder to Transfer, or cause to be Transferred, any of the Subject Shares set forth opposite such Stockholder’s name on Schedule A hereto. No Person has any contractual or other right or obligation to purchase or otherwise acquire any of such Subject Shares.

(d) Reliance by Amazon. Such Stockholder understands and acknowledges that Amazon is entering into the Investment Agreement in reliance upon such Stockholder’s execution and delivery of this Agreement.

(e) Litigation. As of the date hereof, to the knowledge of such Stockholder, there is no action, proceeding or investigation pending or threatened against such Stockholder that questions the validity of this Agreement or any action taken or to be taken by such Stockholder in connection with this Agreement.

5. Representations and Warranties of the Company. The Company represents and warrants to the Stockholders as follows: The Company is a corporation duly incorporated, validly existing and in good standing under the laws of the State of Delaware and has full corporate power and authority to execute and deliver this Agreement and to perform its obligations hereunder. The execution and delivery of this Agreement by the Company and the performance of its obligations hereunder have been duly and validly authorized by the Board of Directors of the Company, and no other corporate proceedings on the part of the Company are necessary to authorize the execution, delivery and performance of this Agreement and the performance of its obligations hereunder. The Company has duly and validly executed this Agreement, and

 

3


this Agreement constitutes a legal, valid and binding obligation of the Company enforceable against the Company in accordance with its terms, except as such enforceability may be limited by applicable bankruptcy, insolvency, reorganization or other similar laws affecting creditors’ rights generally and by general equitable principles (regardless of whether enforceability is considered in a proceeding in equity or at law).

6. Stockholder Capacity. No Person executing this Agreement who is or becomes during the term hereof a director or officer of the Company shall be deemed to make any agreement or understanding in this Agreement in such Person’s capacity as a director or officer. Each Stockholder is entering into this Agreement solely in such Stockholder’s capacity as the record holder or beneficial owner of Subject Shares and nothing herein shall limit or affect any actions taken (or any failures to act) by a Stockholder in such Stockholder’s capacity as a director or officer of the Company or by any other director or officer of the Company acting in such Person’s capacity as a director or officer of the Company. The taking of any actions (or any failures to act) by a Stockholder in such Stockholder’s capacity as a director or officer of the Company (or by any other director or officer of the Company acting in such Person’s capacity as such) shall not be deemed to constitute a breach of this Agreement, regardless of the circumstances related thereto.

7. Termination. This Agreement shall automatically terminate without further action by any party hereto upon the earliest to occur (the “Expiration Date”) of (a) the approval by the requisite number of the Company’s stockholders at an annual or special meeting of the matters described in Section 1(a), (b) the termination of the Investment Agreement in accordance with its terms, (c) the written agreement of the Stockholders, the Company and Amazon to terminate this Agreement, and (d) immediately after the Company’s annual stockholders’ meeting to be held in calendar year 2017. For the avoidance of doubt, the obligations in Section 2 shall automatically terminate without further action by any party hereto immediately after the 2016 Annual Meeting.

8. Specific Performance. Each Stockholder acknowledges and agrees that (a) the covenants, obligations and agreements applicable to it contained in this Agreement relate to special, unique and extraordinary matters, (b) Amazon is relying on such covenants in connection with entering into the Investment Agreement and (c) a violation of any of the terms of such covenants, obligations or agreements will cause Amazon irreparable injury for which adequate remedies are not available at law and for which monetary damages are not readily ascertainable. Therefore, each Stockholder agrees that Amazon shall be entitled to an injunction, restraining order or such other equitable relief (without the requirement to post bond) as a court of competent jurisdiction may deem necessary or appropriate to restrain such Stockholder from committing any violation of such covenants, obligations or agreements. These injunctive remedies are cumulative and shall be Amazon’s sole remedy under this Agreement unless Amazon shall have sought and been denied injunctive remedies, and such denial is other than by reason of the absence of violation of such covenants, obligations or agreements.

 

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9. Governing Law; Jurisdiction. This Agreement shall be governed by, and construed and enforced in accordance with, the laws of the State of Delaware, without regard to any choice or conflict of law provision or rule (whether of the State of Delaware or any other jurisdiction) that would cause the application of the laws of any jurisdiction other than the State of Delaware. In addition, each of the parties (a) submits to the personal jurisdiction of the Delaware Court of Chancery in and for New Castle County, or in the event (but only in the event) that such Delaware Court of Chancery does not have subject matter jurisdiction over such dispute, the United States District Court for the District of Delaware, or in the event (but only in the event) that such United States District Court also does not have jurisdiction over such dispute, any Delaware State court sitting in New Castle County, in the event any dispute (whether in contract, tort or otherwise) arises out of this Agreement or the transactions contemplated hereby, (b) agrees that it shall not attempt to deny or defeat such personal jurisdiction by motion or other request for leave from any such court, and (c) agrees that it shall not bring any claim, action or proceeding relating to this Agreement or the transactions contemplated hereby in any court other than the Delaware Court of Chancery in and for New Castle County, or in the event (but only in the event) that such Delaware Court of Chancery does not have subject matter jurisdiction over such claim, action or proceeding, the United States District Court for the District of Delaware, or in the event (but only in the event) that such United States District Court also does not have jurisdiction over such claim, action or proceeding, any Delaware State court sitting in New Castle County. Each party agrees that service of process upon such party in any such claim, action or proceeding shall be effective if notice is given in accordance with the provisions of this Agreement.

10. WAIVER OF JURY TRIAL. EACH PARTY HEREBY WAIVES TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY RIGHT IT MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY CLAIM, ACTION OR PROCEEDING DIRECTLY OR INDIRECTLY ARISING OUT OF, UNDER OR IN CONNECTION WITH THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY. EACH PARTY (A) CERTIFIES THAT NO REPRESENTATIVE, AGENT OR ATTORNEY OF ANY OTHER PARTY HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT SUCH OTHER PARTY WOULD NOT, IN THE EVENT OF LITIGATION, SEEK TO ENFORCE THE FOREGOING WAIVER AND (B) ACKNOWLEDGES THAT IT HAS BEEN INDUCED TO ENTER INTO THIS AGREEMENT, BY, AMONG OTHER THINGS, THE MUTUAL WAIVERS AND CERTIFICATIONS IN THIS SECTION 10.

11. Amendment. No amendment of any provision of this Agreement shall be effective unless made in writing and signed by Amazon, the Company and each of the Stockholders.

12. Waivers, etc. No waiver shall be effective unless it is in writing signed by the waiving party that makes express reference to the provision or provisions subject to such waiver.

 

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13. Assignment. Neither this Agreement nor any right, remedy, obligation nor liability arising hereunder or by reason hereof shall be assignable by any party without the prior written consent of the other parties, and any attempt to assign any right, remedy, obligation or liability hereunder without such consent shall be void, except that Amazon may transfer or assign, in whole or from time to time in part, to one or more of its direct or indirect wholly owned subsidiaries, its rights and/or obligations under this Agreement, but any such transfer or assignment shall not relieve Amazon of its obligations hereunder. Subject to the preceding sentence, this Agreement shall be binding upon, inure to the benefit of and be enforceable by the parties and their respective successors and assigns.

14. Notices. Any notice, request, instruction or other document to be given hereunder by any party to the other shall be in writing and shall be deemed to have been duly given (a) if sent by registered or certified mail in the United States return receipt requested, upon receipt, (b) if sent by nationally recognized overnight air courier, one Business Day after mailing, (c) if sent by email or facsimile transmission, with a copy mailed on the same day in the manner provided in clauses (a) or (b) of this Section 14 when transmitted and receipt is confirmed, or (d) if otherwise actually personally delivered, when delivered. All notices hereunder shall be delivered as set forth below, or pursuant to such other instructions as may be designated in writing by the party to receive such notice.

If to the Company, to:

 

  Name: Air Transport Services Group, Inc.
  Address: 145 Hunter Drive

Wilmington, Ohio 45177

  Fax: (937) 382-2452
  Email: joe.hete@atsginc.com
  Attn: Joe Hete, President and CEO

with a copy to (which copy alone shall not constitute notice):

 

  Name: Air Transport Services Group, Inc.
  Address: 145 Hunter Drive

Wilmington, Ohio 45177

  Fax: (937) 382-2452
  Email: joe.payne@atsginc.com
  Attn: Joe Payne, General Counsel

if to Amazon, to:

 

  Name: Amazon.com, Inc.
  Address: 410 Terry Avenue North

Seattle, WA 98109-5210

  Fax: (206) 266-7010
  Attn: General Counsel

 

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with a copy to (which copy alone shall not constitute notice):

 

  Name: Debevoise & Plimpton LLP
  Address: 919 Third Avenue

New York, NY 10022

  Fax: (212) 521-7698
  Email: wdregner@debevoise.com
  Attn: William D. Regner

if to any Stockholder to the address set forth its name on its signature page hereto.

15. Severability. If any provision of this Agreement or the application thereof to any person or circumstance is determined by a court of competent jurisdiction to be invalid, void or unenforceable, the remaining provisions hereof, or the application of such provision to persons or circumstances other than those as to which it has been held invalid or unenforceable, shall remain in full force and effect and shall in no way be affected, impaired or invalidated thereby, so long as the economic or legal substance of the transactions contemplated hereby is not affected in any manner materially adverse to any party. Upon such determination, the parties shall negotiate in good faith in an effort to agree upon a suitable and equitable substitute provision to effect the original intent of the parties.

16. No Third Party Beneficiaries. Nothing contained in this Agreement, expressed or implied, is intended to confer upon any person other than the parties (and any wholly owned subsidiary of Amazon to which an assignment is made in accordance with this Agreement) any benefits, rights, or remedies.

17. Entire Agreement. This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof and supersedes all prior agreements and understandings between the parties with respect thereto. No addition to or modification of any provision of this Agreement shall be binding upon any party unless made in writing and signed by all parties in accordance with Section 11.

18. Section Headings. The section headings of this Agreement are for convenience of reference only and are not to be considered in construing this Agreement.

19. Counterparts. This Agreement may be executed in any number of counterparts, each such counterpart being deemed to be an original instrument, and all such counterparts shall together constitute the same agreement.

[Remainder of page intentionally left blank]

 

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IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first above written.

 

AIR TRANSPORT SERVICES GROUP, INC.
By:   /s/ Joseph C. Hete
Name:   Joseph C. Hete
Title:   CEO
AMAZON.COM, INC.
By:  

/s/ Dan Grossman

Name:   Dan Grossman
Title:   VP, Corporate Development

 

[Signature Page to Voting Agreement]


IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first above written.

 

RED MOUNTAIN PARTNERS, L.P.
By:  

/s/ John Christopher Teets

  Name:   John Christopher Teets
  Title:   Partner, Authorized Signatory
Address:  

10100 Santa Monica Boulevard

Suite 925

Los Angeles, California 90067

 

[Signature Page to Voting Agreement]


SCHEDULE A

 

Name of Stockholder

   Number of
Shares
 

Red Mountain Partners, L.P.

     11,152,425   

The foregoing excludes restricted stock units issued in connection with J. Christopher Teets’s service on the Board of the Company.