Air Transport Services Group, Inc. (NASDAQ:ATSG) Q2 2022 Results Conference Call August 5, 2022 10:00 AM ET

Company Participants

Joe Payne - Chief Legal Officer

Rich Corrado - President and CEO

Quint Turner - CFO

Mike Berger - Chief Commercial Officer

Conference Call Participants

Jack Atkins - Stephens

Helane Becker - Cowen

Chris Stathoulopoulos - SIG

Frank Galanti - Stifel

Eric Kulisch - FreightWaves

Operator

Good day, and thank you for standing by. Welcome to the Second Quarter 2022 Air Transport Services Group Conference Call. [Operator Instructions] Please be advised that today’s conference is being recorded.

I would now like to hand the conference over to Joe Payne, Chief Legal Officer. Please go ahead.

Joe Payne

Good morning, and welcome to our second quarter 2022 earnings conference call. We issued our earnings release yesterday after the market closed. It’s on our website, atsginc.com.

Let me begin by advising you that during the course of this call, we will make projections and other forward-looking statements that involve risks and uncertainties. Our actual results and other future events may differ materially from those we describe here. These forward-looking statements are based on information, plans and estimates as of the date of this call. Air Transport Services Group undertakes no obligation to update any forward-looking statements to reflect changes in underlying assumptions, factors, new information or other changes.

These factors include, but are not limited to: the extent to which changes in market conditions impact the number, timing and scheduled routes of aircraft deployments to new and existing customers; the cost and timing with respect to which we were able to purchase and modify aircraft to a cargo configuration, which may be impacted by global supply chain disruptions; our operating airline’s ability to maintain on-time service and control costs; our ability to remain in compliance with key agreements with customers, lenders and government agencies; persistent elevated rates of inflation and changes in general economic and/or industry-specific conditions, such as higher labor costs, increases in interest rates, an economic recession and downturns in customer business cycles; the impact arising from COVID-19 outbreaks, including the emergence of COVID-19 variants; mark-to-market changes on certain financial instruments and other factors as contained from time to time in our filings with the SEC, including the Form 10-Q we will file next week.

We will also refer to non-GAAP financial measures from continuing operations, including adjusted earnings, adjusted earnings per share, adjusted pretax earnings, adjusted EBITDA and adjusted free cash flow. Management believes these metrics are useful to investors in assessing ATSG’s financial position and results. These non-GAAP measures are not meant to be a substitute for our GAAP financials. We advise you to refer to the reconciliations to GAAP measures, which are included in our earnings release and on our website.