Atlas Air Worldwide (AAWW) 10-Q 5 Nov 20 2020 Q3 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2020	Oct. 30, 2020
Cover [Abstract]
Document Type	10-Q
Document period end date	Sep. 30, 2020
Amendment flag	false
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2020
Current fiscal year end date	--12-31
Entity central index key	0001135185
Entity filer category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity registrant name	Atlas Air Worldwide Holdings, Inc.
Entity common stock shares outstanding		27,517,297
Entity Current Reporting Status	Yes
Entity Shell Company	false
Entity File Number	001-16545
Entity Tax Identification Number	13-4146982
Entity Address, Address Line One	2000 Westchester Avenue
Entity Address, Address Line Two	Purchase
Entity Address, State or Province	NY
Entity Address, City or Town	New York
Entity Address, Postal Zip Code	10577
City Area Code	914
Local Phone Number	701-8000
Entity Incorporation, State or Country Code	DE
Title of 12(b) Security	Common Stock, $0.01 Par Value
Trading Symbol	AAWW
Security Exchange Name	NASDAQ
Entity Interactive Data Current	Yes
Document Quarterly Report	true
Document Transition Report	false

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Current Assets
Cash and cash equivalents	$ 717,867	$ 103,029
Restricted cash	11,466	10,401
Short-term investments	0	879
Accounts receivable, net of allowance of $776 and $1,822, respectively	268,376	290,119
Prepaid expenses, assets held for sale and other current assets	171,780	228,103
Total current assets	1,169,489	632,531
Property and Equipment
Flight equipment	5,001,481	4,880,424
Ground equipment	88,327	83,584
Less: accumulated depreciation	(1,113,964)	(977,883)
Flight equipment modifications in progress	49,246	67,101
Property and equipment, net	4,025,090	4,053,226
Other Assets
Operating lease right-of-use assets	182,657	231,133
Deferred costs and other assets	373,074	391,895
Intangible assets, net and goodwill	72,334	76,856
Total Assets	5,822,644	5,385,641
Current Liabilities
Accounts payable	92,805	79,683
Accrued liabilities	645,094	481,725
Current portion of long-term debt and finance leases	296,112	395,781
Current portion of long-term operating leases	139,152	141,973
Total current liabilities	1,173,163	1,099,162
Other Liabilities
Long-term debt and finance leases	2,073,855	1,984,902
Long-term operating leases	281,394	392,832
Deferred taxes	145,952	74,040
Financial instruments and other liabilities	130,857	42,526
Total other liabilities	2,632,058	2,494,300
Commitments and contingencies	0	0
Stockholders’ Equity
Preferred stock, $1 par value; 10,000,000 shares authorized; no shares issued	0	0
Common stock, $0.01 par value; 100,000,000 shares authorized; 31,497,228 and 31,048,842 shares issued, 26,138,539 and 25,870,876 shares outstanding (net of treasury stock), as of September 30, 2020 and December 31, 2019, respectively	315	310
Additional paid-in-capital	813,858	761,715
Treasury stock, at cost; 5,358,689 and 5,177,966 shares, respectively	(217,786)	(213,871)
Accumulated other comprehensive loss	(2,126)	(2,818)
Retained earnings	1,423,162	1,246,843
Total stockholders’ equity	2,017,423	1,792,179
Total Liabilities and Equity	$ 5,822,644	$ 5,385,641

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) (Unaudited) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Statement Of Financial Position [Abstract]
Allowance for doubtful accounts receivable	$ 776	$ 1,822
Preferred stock par value	$ 1	$ 1
Preferred stock shares authorized	10,000,000	10,000,000
Preferred stock shares issued	0	0
Common stock par value	$ 0.01	$ 0.01
Common stock shares authorized	100,000,000	100,000,000
Common stock shares issued	31,497,228	31,048,842
Common stock shares outstanding	26,138,539	25,870,876
Treasury stock shares	5,358,689	5,177,966

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Operating Revenue	$ 809,886	$ 648,539	$ 2,278,641	$ 1,992,140
Operating Expenses
Salaries, wages and benefits	194,265	145,987	534,600	432,911
Aircraft fuel	118,113	123,132	309,673	351,611
Travel	37,731	49,110	114,749	140,513
Navigation fees, landing fees and other rent	42,870	32,270	109,909	110,468
Passenger and ground handling services	36,266	34,453	98,355	97,138
Aircraft rent	24,239	40,048	72,522	122,271
Gain on disposal of aircraft	(163)	0	(6,878)	0
Special charge	547	18,861	16,481	22,130
Transaction-related expenses	490	324	2,286	3,585
Other	54,107	54,494	157,929	160,548
Total Operating Expenses	690,694	649,418	1,977,717	1,937,175
Operating Income (Loss)	119,192	(879)	300,924	54,965
Non-operating Expenses (Income)
Interest income	(225)	(653)	(929)	(3,975)
Interest expense	28,524	30,117	86,749	90,515
Capitalized interest	(203)	(853)	(528)	(1,943)
Loss on early extinguishment of debt	7	559	81	804
Unrealized loss (gain) on financial instruments	43,604	(83,175)	73,351	(78,900)
Other (income) expense, net	(62,689)	1,434	(112,081)	(596)
Total Non-operating Expenses (Income)	9,018	(52,571)	46,643	5,905
Income before income taxes	110,174	51,692	254,281	49,060
Income tax expense (benefit)	36,120	(8,282)	77,962	(68,072)
Net Income	$ 74,054	$ 59,974	$ 176,319	$ 117,132
Earnings per share:
Basic	$ 2.83	$ 2.32	$ 6.76	$ 4.54
Diluted	$ 2.78	$ 2.32	$ 6.72	$ 1.34
Weighted average shares:
Basic	26,135	25,854	26,077	25,814
Diluted	26,619	25,854	26,256	26,909
Service [Member]
Operating Expenses
Maintenance, materials and repairs	$ 116,634	$ 88,240	$ 379,086	$ 305,331
Depreciation and amortization	$ 65,595	$ 62,499	$ 189,005	$ 190,669

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Statement Of Income And Comprehensive Income [Abstract]
Net Income	$ 74,054	$ 59,974	$ 176,319	$ 117,132
Other comprehensive income:
Reclassification to interest expense	290	331	894	1,012
Income tax benefit	(69)	(78)	(202)	(239)
Other comprehensive income	221	253	692	773
Comprehensive Income	$ 74,275	$ 60,227	$ 177,011	$ 117,905

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019
Operating Activities:
Net Income	$ 176,319	$ 117,132
Adjustments to reconcile Net Income to net cash provided by operating activities:
Depreciation and amortization	240,826	241,284
Accretion of debt securities discount	(2)	(237)
Provision for (reversal of) expected credit losses	76	(83)
Loss on early extinguishment of debt	81	804
Special charge, net of cash payments	16,481	22,130
Unrealized loss (gain) on financial instruments	73,351	(78,900)
Gain on disposal of aircraft	(6,878)	0
Deferred taxes	75,331	(68,552)
Stock-based compensation	15,816	16,553
Changes in:
Accounts receivable	23,072	1,397
Prepaid expenses, current assets and other assets	(39,823)	(69,254)
Accounts payable, accrued liabilities and other liabilities	208,058	11,016
Net cash provided by operating activities	782,708	193,290
Investing Activities:
Capital expenditures	(45,134)	(107,594)
Payments for flight equipment and modifications	(102,777)	(153,706)
Proceeds from insurance	0	38,133
Proceeds from investments	881	14,367
Proceeds from disposal of aircraft	45,660	0
Net cash used for investing activities	(101,370)	(208,800)
Financing Activities:
Proceeds from debt issuance	401,419	93,723
Payment of debt issuance costs	(5,172)	(1,316)
Payments of debt and finance lease obligations	(353,795)	(273,142)
Proceeds from revolving credit facility	75,000	50,000
Payment of revolving credit facility	(175,000)	0
Customer maintenance reserves and deposits received	10,465	11,717
Customer maintenance reserves paid	(14,437)	(8,174)
Treasury shares withheld for payment of taxes	(3,915)	(9,336)
Net cash used for financing activities	(65,435)	(136,528)
Net increase (decrease) in cash, cash equivalents and restricted cash	615,903	(152,038)
Cash, cash equivalents and restricted cash at the beginning of period	113,430	232,741
Cash, cash equivalents and restricted cash at the end of period	729,333	80,703
Noncash Investing and Financing Activities:
Acquisition of property and equipment included in Accounts payable and accrued liabilities	11,357	55,610
Acquisition of property and equipment acquired under finance and operating leases	19,521	32,794
Customer maintenance reserves settled with sale of aircraft	$ 6,497	$ 0

Consolidated Statements of Stoc

Consolidated Statements of Stockholders' Equity (Unaudited) - USD ($) $ in Thousands	Total	Common Stock [Member]	Treasury Stock [Member]	Additional Paid-In Capital [Member]	Accumulated Other Comprehensive Loss [Member]	Retained Earnings [Member]
Beginning Balance at Dec. 31, 2018	$ 2,067,964	$ 306	$ (204,501)	$ 736,035	$ (3,832)	$ 1,539,956
Net Income	117,132	0	0	0	0	117,132
Other comprehensive income	773	0	0	0	773	0
Stock-based compensation	16,553	0	0	16,553	0	0
Issuance of warrants	206	0	0	206	0	0
Treasury shares withheld for payment of taxes	(9,336)	0	(9,336)	0	0	0
Issuance of shares of restricted stock	0	4	0	(4)	0	0
Ending Balance at Sep. 30, 2019	2,193,292	310	(213,837)	752,790	(3,059)	1,657,088
Beginning Balance at Jun. 30, 2019	2,127,109	310	(213,728)	746,725	(3,312)	1,597,114
Net Income	59,974	0	0	0	0	59,974
Other comprehensive income	253	0	0	0	253	0
Stock-based compensation	6,527	0	0	6,527	0	0
Issuance of warrants	(462)	0	0	(462)	0	0
Treasury shares withheld for payment of taxes	(109)	0	(109)	0	0	0
Ending Balance at Sep. 30, 2019	2,193,292	310	(213,837)	752,790	(3,059)	1,657,088
Beginning Balance at Dec. 31, 2019	1,792,179	310	(213,871)	761,715	(2,818)	1,246,843
Net Income	176,319	0	0	0	0	176,319
Other comprehensive income	692	0	0	0	692	0
Stock-based compensation	15,816	0	0	15,816	0	0
Issuance of warrants	36,332	0	0	36,332	0	0
Treasury shares withheld for payment of taxes	(3,915)	0	(3,915)	0	0	0
Issuance of shares of restricted stock	0	5	0	(5)	0	0
Ending Balance at Sep. 30, 2020	2,017,423	315	(217,786)	813,858	(2,126)	1,423,162
Beginning Balance at Jun. 30, 2020	1,930,367	315	(217,711)	801,002	(2,347)	1,349,108
Net Income	74,054	0	0	0	0	74,054
Other comprehensive income	221	0	0	0	221	0
Stock-based compensation	5,310	0	0	5,310	0	0
Issuance of warrants	7,546	0	0	7,546	0	0
Treasury shares withheld for payment of taxes	(75)	0	(75)	0	0	0
Ending Balance at Sep. 30, 2020	$ 2,017,423	$ 315	$ (217,786)	$ 813,858	$ (2,126)	$ 1,423,162

Consolidated Statements of St_2

Consolidated Statements of Stockholders' Equity (Parentheticals) (Unaudited) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Statement Of Stockholders Equity [Abstract]
Treasury shares withheld for payment of taxes	1,306	4,064	180,723	184,146
Issuance of shares of restricted stock	0	0	448,386	461,276

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2020
Basis Of Presentation [Abstract]
Basis of Presentation	1. Basis of Presentation Our consolidated financial statements include the accounts of the holding company, Atlas Air Worldwide Holdings, Inc. (“AAWW”), and its consolidated subsidiaries. AAWW is the parent company of Atlas Air, Inc. (“Atlas”) and Southern Air Holdings, Inc. (“Southern Air”). AAWW is also the parent company of several subsidiaries related to our dry leasing services (collectively referred to as “Titan”). AAWW has a 51% equity interest and 75% voting interest in Polar Air Cargo Worldwide, Inc. (“Polar”). We record our share of Polar’s results under the equity method of accounting. The terms “we,” “us,” “our,” and the “Company” mean AAWW and all entities included in its consolidated financial statements. We provide outsourced aircraft and aviation operating services throughout the world, serving Africa, Asia, Australia, Europe, the Middle East, North America and South America through: (i) contractual service arrangements, including those through which we provide aircraft to customers and value-added services, including crew, maintenance and insurance (“ACMI”), as well as those through which we provide crew, maintenance and insurance, but not the aircraft (“CMI”); (ii) cargo and passenger charter services (“Charter”); and (iii) dry leasing aircraft and engines (“Dry Leasing” or “Dry Lease”). The accompanying unaudited consolidated financial statements and related notes (the “Financial Statements”) have been prepared in accordance with the U.S. Securities and Exchange Commission (the “SEC”) requirements for quarterly reports on Form 10-Q, and consequently exclude certain disclosures normally included in audited consolidated financial statements prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). Intercompany accounts and transactions have been eliminated. The Financial Statements should be read in conjunction with the audited consolidated financial statements and the notes included in the AAWW Annual Report on Form 10-K for the year ended December 31, 2019, which includes additional disclosures and a summary of our significant accounting policies. The December 31, 2019 balance sheet data was derived from that Annual Report. In our opinion, the Financial Statements contain all adjustments, consisting of normal recurring items, necessary to fairly state the financial position of AAWW and its consolidated subsidiaries as of September 30, 2020, the results of operations for the three and nine months ended September 30, 2020 and 2019, comprehensive income for the three and nine months ended September 30, 2020 and 2019, cash flows for the nine months ended September 30, 2020 and 2019, and stockholders’ equity as of and for the three and nine months ended September 30, 2020 and 2019. Our quarterly results are subject to seasonal and other fluctuations, including fluctuations resulting from the global COVID-19 pandemic (see Note 3 for further discussion), and the operating results for any quarter are therefore not necessarily indicative of results that may be otherwise expected for the entire year. Except for per share data, all dollar amounts are in thousands unless otherwise noted.

Summary of Significant Accounti

Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2020
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. Summary of Significant Accounting Policies Warrant Liability Common stock warrants that are classified as a liability are marked-to-market at the end of each reporting period with changes in fair value recorded in Unrealized loss (gain) on financial instruments. We utilize a Monte Carlo simulation approach to estimate the fair value of the warrant liability, which requires inputs such as our common stock price, the warrant strike price, estimated common stock price volatility and risk-free interest rate, among others. Our earnings are affected by changes in our common stock price due to the impact those changes have on the fair value of our warrant liability (see Note 5 for further discussion). Heavy Maintenance Except as described in the paragraph below, we account for heavy maintenance costs for airframes and engines using the direct expense method. Under this method, heavy maintenance costs are charged to expense upon induction, based on our best estimate of the costs. We account for heavy maintenance costs for airframes and engines used in our Dry Leasing segment and engines used on our 747-8F aircraft using the deferral method. Under this method, we defer the expense recognition of scheduled heavy maintenance events, which are amortized over the estimated period until the next scheduled heavy maintenance event is required. Amortization of deferred maintenance expense included in Depreciation and amortization was $12.5 million and $5.5 million for the three months ended September 30, 2020 and 2019, respectively, and was $30.8 million and $15.2 million for the nine months ended September 30, 2020 and 2019, respectively. Deferred maintenance included within Deferred costs and other assets is as follows: Balance as of December 31, 2019 $ 184,279 Deferred maintenance costs 34,693 Amortization of deferred maintenance (30,783 ) Balance as of September 30, 2020 $ 188,189 Recent Accounting Pronouncements Adopted in 2020 In November 2019, the Financial Accounting Standards Board (“FASB”) amended its accounting guidance for share-based payment awards issued to a customer. The amended guidance requires share-based payment awards issued to a customer to be recorded as a reduction of the transaction price in revenue based on the fair value at grant date and to be classified on the balance sheet using accounting guidance for stock-based compensation. The amended guidance was effective for fiscal years beginning after December 15, 2019. Effective January 1, 2020, we adopted the amended guidance and applied the modified retrospective approach to the most current period presented. As a result, $14.6 million, or approximately 60% of our customer warrant liability of $24.3 million related to revenue contracts, which was included in Financial instruments and other liabilities as of December 31, 2019, was reclassified as Additional paid-in-capital within Total stockholders’ equity on January 1, 2020. As a result, these customer warrants are no longer marked-to-market at the end of each reporting period with changes in fair value recorded as an unrealized loss (gain) on financial instruments. The amended guidance did not impact the accounting for the remaining portion of our customer warrant liability related to Dry Lease contracts, which was approximately $9.7 million or approximately 40% of the total customer warrant liability as of December 31, 2019. The new guidance did not impact how we account for the amortization of the customer incentive asset (see Note 5 for further discussion). In June 2016, the FASB amended its accounting guidance for the measurement of credit losses on financial instruments. The guidance requires entities to utilize an expected credit loss model for certain financial instruments, including most trade receivables, which replaces the incurred credit loss model previously used. Under this new model, we are required to recognize estimated credit losses expected to occur over time using a broad range of information including historical information, current conditions and reasonable and supportable forecasts. Receivables related to lease contracts are not within the scope of this amended guidance. Effective January 1, 2020, we adopted the amended guidance under the modified retrospective approach and it did not have a material impact on our consolidated financial statements and related disclosures (see Note 6). Recent Accounting Pronouncements Not Yet Adopted In August 2020, the FASB amended its accounting guidance for certain financial instruments with characteristics of liabilities and equity, including convertible debt instruments. For convertible debt with a cash conversion feature, the amended guidance removes the current accounting model to separately account for the liability and equity components, which currently results in the amortization of a debt discount to interest expense. Under this amended guidance, such convertible debt will be accounted for as a single debt instrument with no amortization of a debt discount, unless certain other conditions are met. The amended guidance also requires the use of the if-converted method when calculating the dilutive impact of convertible debt on earnings per share. The amended guidance is effective as of the beginning of 2022, with early adoption permitted no earlier than the beginning of 2021. The two permitted transition methods under the guidance are the full retrospective approach, under which the guidance is applied to all periods presented, or the modified retrospective approach, under which the guidance is applied only to the most current period presented. While we are still assessing the impact the amended guidance will have on our financial statements, we expect it will result in a material reclassification from equity to debt and a reduction in interest expense. In addition, the amended guidance is expected to result in a material reduction of diluted earnings per share.

COVID-19 Pandemic

COVID-19 Pandemic	9 Months Ended
	Sep. 30, 2020
Extraordinary And Unusual Items [Abstract]
COVID-19 Pandemic	3. COVID-19 Pandemic COVID-19 In December 2019, COVID-19 was first reported in China and has since spread to most other regions of the world. In March 2020, COVID-19 was determined to be a global pandemic by the World Health Organization. During the first three quarters of 2020, this public health crisis disrupted global manufacturing, supply chains, passenger travel and consumer spending, resulting in flight cancellations by our ACMI customers and lower U.S. Military Air Mobility Command (“AMC”) passenger flying as the military took precautionary measures to limit the movement of personnel. A reduction of available cargo capacity in the market and increased demand for transporting goods due to the COVID-19 pandemic also resulted in increased commercial charter cargo yields, net of fuel, during the first three quarters of 2020. We have incurred and expect to incur significant additional costs, including premium pay; other operational costs, including costs for continuing to provide a safe working environment for our employees; and higher crew costs related to increased pay rates resulting from our recent interim agreement with our pilots. In addition, the availability of hotels and restaurants; evolving COVID-19-related travel restrictions and health screenings; and cancellations of passenger flights by other airlines globally or airport closures have impacted and could further impact our ability to position employees to operate our aircraft. Our ability to continue to service our debt and meet our lease and other obligations as they come due is dependent on our continued ability to generate earnings and cash flows. To mitigate the impact of any continuation or worsening of the COVID-19 pandemic disruptions, we have : • significantly reduced nonessential employee travel; • reduced the use of contractors; • limited ground staff hiring; • secured vendor pricing discounts for engine overhauls and other maintenance; • implemented a number of other cost reduction initiatives; • taken other actions, such as the sale of certain nonessential assets; • entered into a Payroll Support Program Agreement (the “PSP Agreement”) with the U.S. Department of the Treasury (the “U.S. Treasury”), with respect to payroll support funding (the “Payroll Support Program”) available to cargo air carriers under the CARES Act (see discussion below); and • begun to defer payment of the employer portion of social security taxes as provided for under the CARES Act through the end of 2020. If we are unable to implement these or additional initiatives, or comply with the requirements under the PSP Agreement, it could have a material adverse effect on our financial position, results of operations, and cash flows. We believe the Company will generate sufficient liquidity to satisfy its obligations over the next twelve months. Payroll Support Program under the CARES Act As of May 29, 2020 (the “PSP Closing Date”), Atlas and Southern Air (the “PSP Recipients”) entered into a PSP Agreement with the U.S. Treasury. As of the PSP Closing Date, AAWW also entered into a Warrant Agreement (the “Warrant Agreement”) with the U.S. Treasury, and AAWW issued a senior unsecured promissory note to the U.S. Treasury (the “Promissory Note”), with Atlas and Southern Air as guarantors. In connection with the Payroll Support Program, we are required to comply with the relevant provisions of the CARES Act, including the requirement that funds provided pursuant to the PSP Agreement be used exclusively for the payment of certain employee wages, salaries and benefits of the PSP Recipients. The Payroll Support Program subjects the PSP Recipients and certain of their affiliates to a number of restrictions, including prohibitions against reductions in certain employee salaries, wages and benefits, and certain involuntary terminations and furloughs of employees through September 30, 2020, prohibitions of repurchasing shares in the open market of, or making dividend payments with respect to, our common stock through September 30, 2021, as well as certain limitations on executive compensation until March 24, 2022. Under the PSP Agreement, we must also maintain certain internal controls and records relating to the payroll support funding and we are subject to additional reporting obligations. Pursuant to the PSP Agreement, the U.S. Treasury provided us with payroll support funding in three installments totaling $406.8 million. The first installment of $203.4 million was received on June 1, 2020, the second installment of $101.7 million was received on June 29, 2020 and the third installment of $101.7 million was received on July 30, 2020. As compensation for payroll support funding under the PSP Agreement, we issued the Promissory Note to the U.S. Treasury, which provides for our unconditional promise to pay to the U.S. Treasury $199.8 million. The Promissory Note bears interest on the outstanding principal amount at a rate of 1.00% per annum until the fifth anniversary of the PSP Closing Date and the applicable Secured Overnight Financing Rate (“SOFR”) plus 2.00% per annum thereafter, and interest accrued thereon will be payable in arrears on the last business day of March and September of each year, beginning on September 30, 2020. The aggregate principal amount outstanding under the Promissory Note, together with all accrued and unpaid interest thereon and all other amounts payable under the Promissory Note, will be due and payable in May 2030. The Promissory Note contains customary representations and warranties, covenants and events of default provisions. Interest expense is recognized using the effective interest method over the term of the Promissory Note. We may, at any time and from time to time, voluntarily prepay amounts outstanding under the Promissory Note, in whole or in part, without penalty or premium. If certain change of control triggering events occur, we would be required to prepay the aggregate outstanding principal amount of the Promissory Note within 30 days, together with any accrued interest or other amounts owing under the Promissory Note. As compensation for payroll support funding under the PSP Agreement, we also entered into a Warrant Agreement pursuant to which we granted the U.S. Treasury warrants to acquire shares of our common stock. In connection with the three payroll support funding installments from the U.S. Treasury, we issued warrants to acquire up to 625,452 shares of our common stock. The Warrant Agreement provides the U.S. Treasury certain registration rights with respect to each warrant and the underlying common stock. Each warrant is exercisable at an exercise price of $31.95 per share of common stock (which was the closing price of our common stock on the Nasdaq Global Select Market on May 1, 2020) and will expire on the fifth anniversary of the issue date of such w arrant. Each w arrant may be settled through net share settlement or net cash settlement, at our option . Each w arrant include s customary antidilution provisions and is freely transferable with registration rights. The U.S. Treasury is not permitted to vote any shares it acquires upon exercise of each warrant . The grant date fair value , as determined using the Black-Scholes model, of each warrant wa s recognized as A dditional paid-in-capital and totaled $ million . Each warrant will not be remeasured as long as it continue s to meet the conditions for equity classification. As of September 30, 2020, no portion of the warrant s ha s been exercised. We recognized deferred grant income within Accrued liabilities for the difference between the PSP proceeds received and the amounts recognized for the Promissory Note and the Warrant Agreement for each installment. Grant income is subsequently recognized within Other (income) expense, net in the consolidated statement of operations on a pro-rata basis over the periods that the qualifying employee wages, salaries and benefits are paid. For the three and nine months ended September 30, 2020, we recognized grant income of $64.2

Related Parties

Related Parties	9 Months Ended
	Sep. 30, 2020
Related Party Transactions [Abstract]
Related Parties	4. Related Parties Polar AAWW has a 51% equity interest and 75% voting interest in Polar. DHL Network Operations (USA), Inc. (“DHL”), a subsidiary of Deutsche Post AG, holds a 49% equity interest and a 25% voting interest in Polar. Polar is a variable interest entity that we do not consolidate because we are not the primary beneficiary as the risks associated with the direct costs of operation are with DHL. Under a 20-year blocked space agreement, which began in 2008, Polar provides air cargo capacity to DHL. Atlas has several agreements with Polar to provide ACMI, CMI, Dry Leasing, administrative, sales and ground support services to one another. We do not have any financial exposure to fund debt obligations or operating losses of Polar, except for any liquidated damages that we could incur under these agreements. The following table summarizes our transactions with Polar: For the Three Months Ended For the Nine Months Ended Revenue and Expenses: September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Revenue from Polar $ 80,876 $ 84,957 $ 239,968 $ 283,313 Ground handling and airport fees to Polar 796 568 2,389 1,631 Accounts receivable/payable as of: September 30, 2020 December 31, 2019 Receivables from Polar $ 19,526 $ 10,855 Payables to Polar 2,523 2,161 Aggregate Carrying Value of Polar Investment as of: September 30, 2020 December 31, 2019 Aggregate Carrying Value of Polar Investment $ 4,870 $ 4,870 In addition to the amounts in the table above, Atlas recognized revenue of $48.0 million and $23.8 million for the three months ended September 30, 2020 and 2019, respectively, and $158.5 million and $70.2 million for the nine months ended September 30, 2020 and 2019, respectively, from Charter flying on behalf of Polar. Dry Leasing Joint Venture We hold a 10% interest in a joint venture with an unrelated third party, which we entered into in December 2019, to develop a diversified freighter aircraft dry leasing portfolio. Through Titan, we provide aircraft and lease management services to the joint venture for fees based upon aircraft assets under management, among other things. Our investment in the joint venture is accounted for under the equity method of accounting. Under the joint venture, we have a commitment to provide up to $40.0 million of capital contributions before December 2022. Our investment in the joint venture was $0.5 million and $1.5 million as of September 30, 2020 and December 31, 2019, respectively, and our maximum exposure to losses from the entity is limited to our investment. The joint venture does not currently have any third-party debt obligations and no capital contributions have been made as of September 30, 2020. We had Accounts receivable from the joint venture of $1.5 million as of September 30, 2020 related to the reimbursement of certain expenses by the joint venture. We have recognized no service fee income for the three and nine months ended September 30, 2020. Parts Joint Venture We hold a 50% interest in a joint venture with an unrelated third party to purchase rotable parts and provide repair services for those parts, primarily for 747-8F aircraft. Our investment in the joint venture is accounted for under the equity method of accounting. As of September 30, 2020 and December 31, 2019 , our investment in the joint venture was $ 20.7 million and $ million, respectively. We had Accounts payable to the joint venture of $ 1.1 million as of September 30, 2020 and $ 0.5 million as of December 31, 2019 .

Amazon

Amazon	9 Months Ended
	Sep. 30, 2020
Warrants And Rights Note Disclosure [Abstract]
Amazon	5. Amazon In May 2016, we entered into certain agreements with Amazon.com, Inc. and its subsidiary, Amazon Fulfillment Services, Inc., (collectively “Amazon”), which involves, among other things, CMI operation of up to 20 Boeing 767-300 freighter aircraft for Amazon by Atlas, as well as Dry Leasing by Titan. The Dry Leases have a term of ten years from the commencement of each agreement, while the CMI operations are for seven years from the commencement of each agreement (with an option for Amazon to extend the term to ten years). Between August 2016 and November 2018, we placed all 20 767-300 freighter aircraft into service for Amazon. In February 2019, the number of 767-300 freighters in CMI and Dry Lease service for Amazon was reduced to 19 with the loss of an aircraft. In September 2019, the number of 767-300 freighters in CMI service for Amazon was reduced to 17 with the early termination of CMI services for two aircraft, which remain under dry lease. In conjunction with the agreements entered into in May 2016, we granted Amazon a warrant providing the right to acquire up to 20% of our outstanding common shares, as of the date of the agreements, after giving effect to the issuance of shares pursuant to the warrants, at an exercise price of $37.34 per share, as adjusted (“Warrant A”). As of December 31, 2018, this warrant to purchase 7.5 million shares, as adjusted, had vested in full. Warrant A is exercisable in accordance with its terms through May 2021. As of September 30, 2020, no portion of Warrant A had been exercised. In October 2020, Amazon exercised 3,607,477 shares of Warrant A through a cashless exercise resulting in the issuance of 1,375,421 shares of our common stock. The agreements entered into in May 2016 also provided incentives for future growth of the relationship as Amazon may increase its business with us. In that regard, we granted Amazon a warrant to acquire up to an additional 10% of our outstanding common shares, as of the date of the agreements, after giving effect to the issuance of shares pursuant to the warrants, for an exercise price of $37.34 per share, as adjusted (“Warrant B”). This warrant to purchase 3.77 million shares, as adjusted, will vest in increments of 37,660 shares, as adjusted, each time Amazon has paid $4.2 million of revenue to us, up to a total of $420.0 million, for incremental business beyond the original 20 767-300 freighters. As of September 30, 2020, 338,940 shares, as adjusted, of Warrant B have vested. Upon vesting, Warrant B becomes exercisable in accordance with its terms through May 2023. As of September 30, 2020, no portion of Warrant B has been exercised. In March 2019, we amended the agreements entered into in 2016 with Amazon, pursuant to which we began providing CMI services using Boeing 737-800 freighter aircraft provided by Amazon. The 737-800 CMI operations are for a term of seven years from the commencement of each agreement (with an option for Amazon to extend the term to ten years). As of September 30, 2020, seven 737-800 freighter aircraft were operating in CMI service. In October 2020, an eighth 737-800 freighter aircraft entered CMI service. Amazon may, in its sole discretion, place up to 12 additional 737-800 freighter aircraft into service with us by May 31, 2021. In connection with the amended agreements, we granted Amazon a warrant to acquire up to an additional 9.9% of our outstanding common shares, as of the date of the agreements, after giving effect to the issuance of shares pursuant to the warrants, for an exercise price of $52.67 per share, as adjusted (“Warrant C”). When combined with Warrant A and Warrant B, this provided Amazon with warrants to acquire up to a total of 39.9% of our outstanding common shares, as of the date of the agreements. While Amazon would be entitled to vote the shares it owns up to 14.9% of our outstanding common shares, in its discretion, it would be required to vote any shares it owns in excess of 14.9% of our outstanding common shares in accordance with the recommendation of our board of directors. After Warrant B has vested in full, this warrant to purchase 6.66 million shares, as adjusted, would vest in increments of 45,623 shares, as adjusted, each time Amazon has paid $6.9 million of revenue to us, up to a total of $1.0 billion, for incremental business beyond Warrant A and Warrant B. As of September 30, 2020, no portion of Warrant C has vested. Upon vesting, Warrant C would become exercisable in accordance with its terms through March 2026. In May 2020, the warrants issued to the U.S. Treasury (see Note 3 for further discussion) triggered an antidilution adjustment to certain terms of the Amazon warrants as reflected above. Upon the vesting of Warrant A in previous years, the fair value of the warrant was recognized as a customer incentive asset within Deferred costs and other assets, net and is amortized as a reduction of Operating Revenue in proportion to the amount of revenue recognized over the terms of the Dry Leases and CMI agreements. Determining the amount of amortization related to the CMI agreements requires significant judgment to estimate the total number of Block Hours expected over the terms of those agreements. The fair value of Warrant A was also initially recorded as a warrant liability within Financial instruments and other liabilities (the “Amazon Warrant”). The Amazon Warrant liability is marked-to-market at the end of each reporting period with changes in fair value recorded in Unrealized loss (gain) on financial instruments. As described in Note 2, we adopted the new accounting guidance for share-based payment awards issued to a customer as of January 1, 2020. Under the amended guidance, approximately 60% of the Amazon Warrant liability related to the CMI agreements as of January 1, 2020 was reclassified to Additional paid-in-capital and will no longer be marked-to-market at the end of each reporting period. The amended guidance does not impact the accounting for the remaining portion of the Amazon Warrant liability related to Dry Lease contracts. We recognized net unrealized losses of $43.6 million and $73.4 million on the Amazon Warrant liability during the three and nine months ended September 30, 2020, respectively. We recognized net unrealized gains of $83.2 million and $78.9 million on the Amazon Warrant during the three and nine months ended September 30, 2019, respectively. The fair value of the Amazon Warrant liability was $83.3 million as of September 30, 2020 and $24.3 million as of December 31, 2019. When it becomes probable that an increment of either Warrant B or C will vest and the related revenue begins to be recognized, the grant date fair value of such portion is recognized as a customer incentive asset within Deferred costs and other assets, net and is amortized as a reduction of Operating Revenue in proportion to the amount of related revenue recognized. The grant date fair value of such increment is also recorded as Additional paid-in-capital. At the time of vesting, any amounts recorded in Additional paid-in-capital related to Dry Lease contracts would be reclassified to the Amazon Warrant liability. We amortized $9.9 million and $12.8 million of the customer incentive asset as a reduction of Operating Revenue for the three months ended September 30, 2020 and 2019, respectively. We amortized $28.4 million and $26.0 million of the customer incentive asset for the nine months ended September 30, 2020 and 2019, respectively. Customer incentive asset included within Deferred costs and other assets is as follows: Balance at December 31, 2019 $ 152,534 Initial value for estimate of vested or expected to vest warrants 7,528 Amortization of customer incentive asset (28,414 ) Balance at September 30, 2020 $ 131,648

Supplemental Financial Informat

Supplemental Financial Information	9 Months Ended
	Sep. 30, 2020
Supplemental Financial Information [Abstract]
Supplemental Financial Information	6. Supplemental Financial Information Accounts Receivable Accounts receivable, net of allowance for expected credit losses related to customer contracts, excluding Dry Leasing contracts, was $216.0 million as of September 30, 2020 and $247.5 million as of December 31, 2019. Allowance for expected credit losses, included within Accounts receivable, is as follows: Balance as of December 31, 2019 $ 1,822 Bad debt expense 76 Amounts written off, net of recoveries (1,122 ) Balance as of September 30, 2020 $ 776 Accrued Liabilities Accrued liabilities consisted of the following as of: September 30, 2020 December 31, 2019 Maintenance $ 139,233 $ 136,315 Deferred grant income 108,156 - Salaries, wages and benefits 105,623 75,719 Customer maintenance reserves 100,739 110,355 Deferred revenue 43,720 26,357 Aircraft fuel 33,449 28,821 Other 114,174 104,158 Accrued liabilities $ 645,094 $ 481,725 Revenue Contract Liability Deferred revenue for customer contracts, excluding Dry Leasing contracts, represents amounts collected from, or invoiced to, customers in advance of revenue recognition. The balance of Deferred revenue will increase or decrease based on the timing of invoices and recognition of revenue. Significant changes in our Revenue contract liability balances during the nine months ended September 30, 2020 were as follows: Deferred Revenue Balance as of December 31, 2019 $ 19,234 Revenue recognized (155,781 ) Amounts collected or invoiced 172,996 Balance as of September 30, 2020 $ 36,449 Supplemental Cash Flow Information The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total shown in the consolidated statements of cash flows: September 30, 2020 December 31, 2019 Cash and cash equivalents $ 717,867 $ 103,029 Restricted cash 11,466 10,401 Total Cash, cash equivalents and restricted cash shown in Consolidated Statements of Cash Flows $ 729,333 $ 113,430

Assets Held For Sale and Other

Assets Held For Sale and Other Income	9 Months Ended
	Sep. 30, 2020
Assets Held For Sale And Other Income [Abstract]
Assets Held For Sale and Other Income	7. Assets Held For Sale and Other Income As of December 31, 2019, we had two 737-400 passenger aircraft previously used for training purposes, certain spare CF6-80 engines and three aircraft in our Dry Leasing portfolio classified as held for sale. During the nine months ended September 30, 2020, we received net proceeds of $45.7 million from the completion of the sales of some of the spare CF6-80 engines and two aircraft in our Dry Leasing portfolio, and recognized a net gain of $6.9 million. During the nine months ended September 30, 2020, we recognized an impairment loss of $16.5 million related to fair value adjustments for assets held for sale, within Special charge in the consolidated statement of operations. The carrying value of the assets held for sale as of September 30, 2020 and December 31, 2019 was $96.0 million and $155.9 million, respectively, which was included within Prepaid expense, held for sale and other current assets in the consolidated balance sheets. Sales of the remaining aircraft and engines held for sale are expected to be completed in 2020, except for certain aircraft and engines that are expected to be completed during the first half of 2021. During the nine months ended September 30, 2020, we recognized refunds of $32.9 million related to aircraft rent paid in previous years within Other (income) expense, net.

Debt

Debt	9 Months Ended
	Sep. 30, 2020
Debt Disclosure [Abstract]
Debt	8. Debt Term Loans In February 2020, we refinanced two secured term loans that were originally due later in 2020, with two new term loans. One term loan is for 126 months in the amount of $82.0 million at a fixed interest rate of 3.27% with a final payment of $12.5 million due in July 2030 (the “First 2020 Term Loan”). The other term loan is for 130 months in the amount of $82.0 million at a fixed interest rate of 3.28% with a final payment of $12.5 million due in November 2030 (the “Second 2020 Term Loan”). The First and Second 2020 Term Loans are each secured by a mortgage against a 777-200LRF aircraft and subject to usual and customary fees, covenants and events of default, with principal and interest payable quarterly. In April 2020, we borrowed $14.6 million at a fixed interest rate of 1.15% under an unsecured five-year In August 2020, we borrowed $22.9 million at a fixed interest rate of 0.95% under an unsecured five-year In October 2020, we borrowed $16.3 million at a fixed interest rate of 0.90% under an unsecured five-year Promissory Note See Note 3 for a discussion of the Promissory Note we issued to the U.S. Treasury during the nine months ended September 30, 2020. Convertible Notes In May 2017, we issued $289.0 million aggregate principal amount of 1.875% convertible senior notes that mature on June 1, 2024 (the “2017 Convertible Notes”) in an underwritten public offering. In June 2015, we issued $224.5 million aggregate principal amount of 2.25% convertible senior notes that mature on June 1, 2022 (the “2015 Convertible Notes”) in an underwritten public offering. The 2017 Convertible Notes and the 2015 Convertible Notes (collectively, the “Convertible Notes”) are senior unsecured obligations and accrue interest payable semiannually on June 1 and December 1 of each year. The Convertible Notes are due on their respective maturity dates, unless earlier converted or repurchased pursuant to their respective terms. The Convertible Notes consisted of the following as of September 30, 2020: 2017 Convertible Notes 2015 Convertible Notes Remaining life in months 44 20 Liability component: Gross proceeds $ 289,000 $ 224,500 Less: debt discount, net of amortization (40,359 ) (14,842 ) Less: debt issuance cost, net of amortization (3,121 ) (1,372 ) Net carrying amount $ 245,520 $ 208,286 Equity component (1) $ 70,140 $ 52,903 (1) Included in Additional paid-in-capital on the consolidated balance sheet as of September 30, 2020. The following table presents the amount of interest expense recognized related to the Convertible Notes: For the Three Months Ended For the Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Contractual interest coupon $ 2,618 $ 2,618 $ 7,853 $ 7,853 Amortization of debt discount 4,527 4,253 13,372 12,560 Amortization of debt issuance costs 394 379 1,171 1,126 Total interest expense recognized $ 7,539 $ 7,250 $ 22,396 $ 21,539 Revolving Credit Facility We have a $200.0 million secured revolving credit facility that matures in December 2022 (the “Revolver”).

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2020
Income Tax Disclosure [Abstract]
Income Taxes	9. Income Taxes The income tax expense for the three and nine months ended September 30, 2020 differed from tax at the U.S. statutory rate primarily due to $9.6 million and $16.0 million of nondeductible changes in the fair value of a customer warrant liability, respectively (see Note 5 for further discussion). The income tax benefit for the nine months ended September 30, 2019 differed from tax at the U.S. statutory rate primarily due to $59.8 million of tax benefits related to the favorable completion of an IRS examination of our 2015 income tax return, and to a lesser extent, $17.3 million of nontaxable changes in the fair value of a customer warrant liability. The income tax benefit for the three months ended September 30, 2019 differed from tax at the U.S. statutory rate primarily due to $18.2 million of nontaxable changes in the fair value of a customer warrant liability. For interim accounting purposes, we recognize income taxes using an estimated annual effective tax rate. When finalized, the complete operational merger of Atlas and Southern Air (see Note 12 for further discussion) would result in a material increase to our deferred tax liability.

Financial Instruments

Financial Instruments	9 Months Ended
	Sep. 30, 2020
Fair Value Disclosures [Abstract]
Financial Instruments	10. Financial Instruments Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (exit price). Inputs used to measure fair value are classified in the following hierarchy: Level 1 Unadjusted quoted prices in active markets for identical assets or liabilities; Level 2 Other inputs that are observable directly or indirectly, such as quoted prices in active markets for similar assets or liabilities, or inactive quoted prices for identical assets or liabilities in inactive markets; Level 3 Unobservable inputs reflecting assumptions about the inputs used in pricing the asset or liability. We endeavor to utilize the best available information to measure fair value. The carrying value of Cash and cash equivalents, Short-term investments and Restricted cash is based on cost, which approximates fair value. Term loans and notes consist of term loans, notes guaranteed by the Export-Import Bank of the United States, the Promissory Note issued to the U.S. Treasury and equipment enhanced trust certificates. The fair values of these debt instruments and the Revolver are based on a discounted cash flow analysis using current borrowing rates for instruments with similar terms. The fair value of our Convertible Notes is based on unadjusted quoted market prices for these securities. The fair value of a customer warrant liability and certain long-term performance-based restricted shares are based on a Monte Carlo simulation which requires inputs such as our common stock price, the warrant strike price, estimated common stock price volatility, and risk-free interest rate, among others. The following table summarizes the carrying value, estimated fair value and classification of our financial instruments as of: September 30, 2020 Carrying Value Fair Value Level 1 Level 2 Level 3 Assets Cash and cash equivalents $ 717,867 $ 717,867 $ 717,867 $ - $ - Restricted cash 11,466 11,466 11,466 - - $ 729,333 $ 729,333 $ 729,333 $ - $ - Liabilities Term loans and notes $ 1,862,297 $ 1,931,050 $ - $ - $ 1,931,050 Convertible notes (1) 453,806 589,183 589,183 - - Customer warrant 83,312 83,312 - 83,312 - $ 2,399,415 $ 2,603,545 $ 589,183 $ 83,312 $ 1,931,050 December 31, 2019 Carrying Value Fair Value Level 1 Level 2 Level 3 Assets Cash and cash equivalents $ 103,029 $ 103,029 $ 103,029 $ - $ - Short-term investments 879 879 - - 879 Restricted cash 10,401 10,401 10,401 - - $ 114,309 $ 114,309 $ 113,430 $ - $ 879 Liabilities Term loans and notes $ 1,800,911 $ 1,885,750 $ - $ - $ 1,885,750 Revolver 100,000 103,575 - - 103,575 Convertible notes (1) 439,261 450,668 450,668 - - Customer warrant (2) 24,345 24,345 - 24,345 - $ 2,364,517 $ 2,464,338 $ 450,668 $ 24,345 $ 1,989,325 (1) Carrying value is net of debt discounts and debt issuance costs (see Note 8). (2) Includes $14.6 million that was reclassified to Additional paid-in-capital on January 1, 2020 (see Note 2).

Segment Reporting

Segment Reporting	9 Months Ended
	Sep. 30, 2020
Segment Reporting [Abstract]
Segment Reporting	11. Segment Reporting Our business is organized into three operating segments based on our service offerings: ACMI, Charter and Dry Leasing. All segments are directly or indirectly engaged in the business of air transportation services but have different commercial and economic characteristics. Each operating segment is separately reviewed by our chief operating decision maker to assess operating results and make resource allocation decisions. We do not aggregate our operating segments and, therefore, our operating segments are our reportable segments. We use an economic performance metric called Direct Contribution, which shows the profitability of each segment after allocation of direct operating and ownership costs. Direct Contribution includes Income before income taxes and excludes the following: Special charges, Transaction-related expenses, nonrecurring items, Gain (losses) on the disposal of aircraft, Losses on early extinguishment of debt, Unrealized losses (gains) on financial instruments, Gains on investments and Unallocated income and expenses, net. Direct operating and ownership costs include crew costs, maintenance, fuel, ground operations, sales costs, aircraft rent, interest expense on the portion of debt used for financing aircraft, interest income on debt securities and aircraft depreciation. Unallocated income and expenses, net include corporate overhead, nonaircraft depreciation, noncash expenses and income, interest expense on the portion of debt used for general corporate purposes, interest income on nondebt securities, capitalized interest, foreign exchange gains and losses, other revenue , other non-operating costs and CARES Act grant income . The following table sets forth Operating Revenue and Direct Contribution for our reportable segments reconciled to Operating Income (Loss) and Income before income taxes: For the Three Months Ended For the Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Operating Revenue: ACMI $ 302,756 $ 289,024 $ 873,451 $ 902,869 Charter 470,835 324,046 1,296,011 944,839 Dry Leasing 40,740 43,847 123,572 157,328 Customer incentive asset amortization (9,858 ) (12,796 ) (28,414 ) (26,018 ) Other 5,413 4,418 14,021 13,122 Total Operating Revenue $ 809,886 $ 648,539 $ 2,278,641 $ 1,992,140 Direct Contribution: ACMI $ 42,822 $ 33,401 $ 109,624 $ 114,048 Charter 136,619 36,339 373,371 79,554 Dry Leasing 9,627 12,028 30,046 58,646 Total Direct Contribution for Reportable Segments 189,068 81,768 513,041 252,248 Unallocated expenses and (income), net (34,409 ) (93,507 ) (173,439 ) (255,569 ) Loss on early extinguishment of debt (7 ) (559 ) (81 ) (804 ) Unrealized gain (loss) on financial instruments (43,604 ) 83,175 (73,351 ) 78,900 Special charge (547 ) (18,861 ) (16,481 ) (22,130 ) Transaction-related expenses (490 ) (324 ) (2,286 ) (3,585 ) Gain on disposal of aircraft 163 - 6,878 - Income before income taxes 110,174 51,692 254,281 49,060 Add back (subtract): Interest income (225 ) (653 ) (929 ) (3,975 ) Interest expense 28,524 30,117 86,749 90,515 Capitalized interest (203 ) (853 ) (528 ) (1,943 ) Loss on early extinguishment of debt 7 559 81 804 Unrealized (gain) loss on financial instruments 43,604 (83,175 ) 73,351 (78,900 ) Other (income) expense, net (62,689 ) 1,434 (112,081 ) (596 ) Operating Income (Loss) $ 119,192 $ (879 ) $ 300,924 $ 54,965 The following table disaggregates our Charter segment revenue by customer and service type: For the Three Months Ended September 30, 2020 September 30, 2019 Cargo Passenger Total Cargo Passenger Total Commercial customers $ 333,066 $ 2,193 $ 335,259 $ 127,558 $ 17,075 $ 144,633 AMC 57,952 77,624 135,576 85,382 94,031 179,413 Total Charter Revenue $ 391,018 $ 79,817 $ 470,835 $ 212,940 $ 111,106 $ 324,046 For the Nine Months Ended September 30, 2020 September 30, 2019 Cargo Passenger Total Cargo Passenger Total Commercial customers $ 901,617 $ 5,315 $ 906,932 $ 409,640 $ 27,736 $ 437,376 AMC 170,188 218,891 389,079 234,845 272,618 507,463 Total Charter Revenue $ 1,071,805 $ 224,206 $ 1,296,011 $ 644,485 $ 300,354 $ 944,839 Given the nature of our business and international flying, geographic information for revenue, long-lived assets and total assets is not presented because it is impracticable to do so. We are exposed to a concentration of revenue from the AMC, Polar and DHL (see above and Note 4 to our Financial Statements for further discussion regarding Polar). No other customer accounted for more than 10.0% of our Total Operating Revenue. Revenue from DHL was $150.8 million for the three months ended September 30, 2020 and $91.4 million for the three months ended September 30, 2019. Revenue from DHL was $401.0 million for the nine months ended September 30, 2020 and $267.8 million for the nine months ended September 30, 2019. We have not experienced any credit issues with these customers.

Labor and Legal Proceedings

Labor and Legal Proceedings	9 Months Ended
	Sep. 30, 2020
Labor And Legal Proceedings [Abstract]
Labor and Legal Proceedings	12. Labor and Legal Proceedings Labor Pilots of Atlas and Southern Air, and flight dispatchers of Atlas and Polar are represented by the International Brotherhood of Teamsters (the “IBT”). We have a five-year four-year five-year After we completed the acquisition of Southern Air in April 2016, we informed the IBT of our intention to pursue (and we have been pursuing) a complete operational merger of Atlas and Southern Air. The Atlas and Southern Air CBAs both have a defined and streamlined process for negotiating a joint CBA (“JCBA”) when a merger occurs, as in the case with the Atlas and Southern Air merger. Pursuant to the merger provisions in both CBAs, joint negotiations for a single CBA for Atlas and Southern Air should commence promptly. Further, once an integrated seniority list (“ISL”) of Atlas and Southern Air pilots is presented to the Company by the union, it triggers a nine month agreed-upon timeframe to negotiate a new JCBA with any unresolved issues promptly submitted to binding arbitration. The IBT refused to follow the merger provisions in the Atlas and Southern Air CBAs. This has resulted in significant litigation, arbitrations and delay. As more fully stated below, the Company prevailed in all of the merger related proceedings. After the merger process began, the IBT also filed an application for mediation with the National Mediation Board (“NMB”) on behalf of the Atlas pilots, and subsequently the IBT filed a similar application on behalf of Southern Air pilots. We have opposed both mediation applications as they are not in accordance with the merger provisions in the parties’ existing CBAs. The NMB conducted a premediation investigation on the IBT’s Atlas application in June 2016, which has remained pending (along with the IBT’s Southern Air application) since 2016. Due to the IBT’s refusal to adhere to the merger provisions of the respective CBAs, in February 2017, the Company filed a lawsuit against the IBT to compel arbitration on the issue of whether the merger provisions in Atlas and Southern Air's CBAs apply to the bargaining process. On March 13, 2018, the U.S. District Court for the Southern District of New York (“NY District Court”) ruled in the Company’s favor and ordered arbitration of this issue. The IBT appealed the NY District Court’s decision, and on November 21, 2019, the U.S. Court of Appeals for the Second Circuit Court issued its decision in the Company’s favor affirming the NY District Court’s decision. The Company and the IBT conducted the Atlas and Southern Air arbitrations for this issue in October 2018. The Company prevailed in both the Atlas and Southern Air management grievance arbitrations against the IBT, with decisions rendered on June 12, 2019 and August 26, 2019, respectively. Both arbitrators ruled that the IBT violated the CBAs by refusing to follow merger provisions in the parties’ respective CBAs, which require formulation of a JCBA covering the combined pilot group. The arbitrators each ordered the IBT to promptly comply with the CBAs by submitting an ISL to the Company within 45 days of each arbitration decision, respectively. The IBT failed to comply with both deadlines for submitting the ISL, which passed on July 27, 2019 for Southern Air, and on October 10, 2019 for Atlas. As a result, on October 25, 2019, the Company filed an action in the U.S. District Court for the District of Columbia (“DC District Court”) to enforce the Atlas and Southern Air arbitration decisions. On March 31, 2020, the DC District Court ruled in the Company’s favor, enforcing the arbitration decisions and directing the IBT to produce the ISL by May 15, 2020. The IBT subsequently requested additional time from the Company to complete the ISL and the parties agreed to a joint stipulation. As a result, on April 24, 2020, the DC District Court issued an order modifying its March 31st order, providing that the nine-month timeframe to bargain for a new JCBA will be triggered on May 15, 2020 and that the IBT must produce the ISL by March 31, 2021. Any remaining open issues will then be determined by binding interest arbitration pursuant to the merger provisions in the CBAs. On April 28, 2020, the IBT and Local 2750 filed a Notice of Appeal of the DC District Court’s March 31st order, which remains in place pending appeal (the “March 31 st In connection with its opposition to application of the merger provisions, the IBT commenced lawsuits in the DC District Court seeking to vacate both arbitration awards. On January 28, 2020, the DC District Court ruled in the Company’s favor, granting its motions to dismiss both of the IBT’s lawsuits. On April 28, 2020, the IBT and Local 2750 filed a Notice of Appeal of the DC District Court’s January 28th orders, which remains in place pending appeal (the “January 28 th Appeal”) . On June 8, 2020, the U.S. Court of Appeals for the District of Columbia Circuit (“DC Court of Appeals”) consolidated the January 28 th st (collectively referred to as the “Consolidated Appeals”) The Company and the IBT continue to meet virtually to move the process forward and bargain in good faith for a new JCBA. Substantive progress has been made with tentative agreements for more than half of the articles in a new JCBA. In late September 2019, the Atlas pilots represented by the IBT formed a new local union, IBT Local 2750 to represent them. The Southern Air pilots continue to be represented by IBT Local 1224. The Company continues to work with both Local 2750 and Local 1224 leadership groups. On May 7, 2020, the Company announced that Atlas and Southern Air reached an agreement with IBT Locals 2750 and 1224, which provides for a ten percent pay increase for all pilots, effective as of May 1, 2020. This pay increase provides interim additional compensation to our pilots until a new JCBA is reached. In late November 2017, the DC District Court granted the Company’s request to issue a preliminary injunction to stop an illegal work slowdown and require the IBT to meet its obligations under the Railway Labor Act. Specifically, the DC District Court ordered the IBT to stop “authorizing, encouraging, permitting, calling, engaging in, or continuing” any illegal pilot slowdown activities, which were intended to gain leverage in pilot contract negotiations with the Company. In addition, the Court ordered the IBT to take affirmative action to prevent and to refrain from continuing any form of interference with the Company’s operations or any other concerted refusal to perform normal pilot operations consistent with its status quo obligations under the Railway Labor Act. In December 2017, the IBT appealed the DC District Court’s decision to the DC Court of Appeals. On July 5, 2019, the DC Court of Appeals, in a unanimous three judge panel, affirmed the DC District Court’s ruling and denied the IBT’s appeal. On May 22, 2020, the IBT filed a motion to dismiss the Company’s action for a preliminary injunction, asserting the Company’s claim for injunctive relief was mooted by the DC District Court’s March 31, 2020 decision in a separate case enforcing the management grievance arbitration awards in the Company’s favor. The Company filed an opposition to the IBT’s motion on June 22, 2020, and the IBT’s reply was filed on July 3, 2020. The preliminary injunction remains in full force and effect pending the court’s decision. In April 2020, the Company entered into Coronavirus Memorandum of Understandings (“MOU”) with both Local 2750 and Local 1224, providing for premium pay and enhanced benefits for pilots flying into covered areas designated by the Centers for Disease Control and Prevention (“CDC”) as Red Level 3 Travel Health Notices on its website at the time, as well as providing for an increased per diem and other additional safety measures related to COVID-19. In August 2020, the CDC updated its Travel Health Notices, which affected covered areas eligible for premium pay and certain benefits under the MOU. Nonetheless, the Company has voluntarily offered to maintain the MOU, including all of the enhanced pay, per diem and benefits provided for therein, through December 31, 2020. We are subject to risks of work interruption or stoppage as permitted by the Railway Labor Act and may incur additional administrative expenses associated with union representation of our employees. Matters Related to Alleged Pricing Practices In the Netherlands, Stichting Cartel Compensation, successor in interest to claims of various shippers, has filed suit in the district court in Amsterdam against British Airways, KLM, Martinair, Air France, Lufthansa and Singapore Airlines seeking recovery for damages purportedly arising from allegedly unlawful pricing practices of such defendants. In response, British Airways, KLM, Martinair, Air France and Lufthansa filed third-party indemnification lawsuits against Polar Air Cargo, LLC (“Old Polar”), a consolidated subsidiary of the Company, and Polar, seeking indemnification in the event the defendants are found to be liable in the main proceedings. Another defendant, Thai Airways, filed a similar indemnification claim. Activities in the case have focused on various procedural issues and rulings, some of which are awaiting court decisions on appeal. The ultimate outcome of the lawsuit is likely to be affected by a decision readopted by the European Commission in March 2017, finding EU competition law violations by British Airways, KLM, Martinair, Air France and Lufthansa, among others, but not Old Polar or Polar. If the Company, Old Polar or Polar were to incur an unfavorable outcome, such outcome may have a material adverse impact on our business, financial condition, results of operations or cash flows. We are unable to reasonably estimate a range of possible loss for this matter at this time . Brazilian Customs Claim Old Polar was cited for two alleged customs violations in Sao Paulo, Brazil, relating to shipments of goods dating back to 1999 and 2000. Each claim asserts that goods listed on the flight manifest of two separate Old Polar scheduled service flights were not on board the aircraft upon arrival and therefore were improperly brought into Brazil. The two claims, which also seek unpaid customs duties, taxes and penalties from the date of the alleged infraction, are approximately $3.6 million in aggregate based on September 30, 2020 exchange rates. In both cases, we believe that the amounts claimed are substantially overstated due to a calculation error when considering the type and amount of goods allegedly missing, among other things. In the pending claim for one of the cases, we have received an administrative decision dismissing the claim in its entirety, which remains subject to a mandatory appeal by the Brazil customs authorities. In the other case, we received an administrative decision in favor of the Brazil customs authorities and we are in the process of appealing this decision to the Brazil courts. As required to defend such claims, we have made deposits pending resolution of these matters. The balance was $3.0 million as of September 30, 2020 and $4.1 million as of December 31, 2019, and is included in Deferred costs and other assets. We are currently defending these and other Brazilian customs claims and the ultimate disposition of these claims, either individually or in the aggregate, is not expected to materially affect our financial condition, results of operations or cash flows. Other In addition to the matters described in this note, we have certain other contingencies incident to the ordinary course of business. Unless disclosed otherwise, management does not expect that the ultimate disposition of such other contingencies or matters will materially affect our financial condition, results of operations or cash flows.

Earnings Per Share

Earnings Per Share	9 Months Ended
	Sep. 30, 2020
Earnings Per Share [Abstract]
Earnings Per Share	13. Earnings Per Share Basic earnings per share (“EPS”) represents income divided by the weighted average number of common shares outstanding during the measurement period. Diluted EPS represents income divided by the weighted average number of common shares outstanding during the measurement period while also giving effect to all potentially dilutive common shares that were outstanding during the period using the treasury stock method. The calculations of basic and diluted EPS were as follows: For the Three Months Ended For the Nine Months Ended Numerator: September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Net Income $ 74,054 $ 59,974 $ 176,319 $ 117,132 Less: Unrealized gain on financial instruments, net of tax - - - (81,139 ) Diluted Net Income $ 74,054 $ 59,974 $ 176,319 $ 35,993 Denominator: Basic EPS weighted average shares outstanding 26,135 25,854 26,077 25,814 Effect of dilutive warrants 237 - 82 1,010 Effect of dilutive restricted stock 247 - 97 85 Diluted EPS weighted average shares outstanding 26,619 25,854 26,256 26,909 Earnings per share: Basic $ 2.83 $ 2.32 $ 6.76 $ 4.54 Diluted $ 2.78 $ 2.32 $ 6.72 $ 1.34 Antidilutive shares related to warrants issued in connection with our Convertible Notes and warrants issued to a customer that were out of the money and excluded from the calculation of diluted EPS were 15.6 million for the three and nine months ended September 30, 2020, and 15.3 million and 7.8 million for the three and nine months ended September 30, 2019, respectively. Diluted shares reflect the potential dilution that could occur from restricted shares using the treasury stock method. The calculation of EPS does not include restricted share units and customer warrants in which performance or market conditions were not satisfied of 10.4 million for the three and nine months ended September 30, 2020 and 10.6 million for the three and nine months ended September 30, 2019.

Accumulated Other Comprehensive

Accumulated Other Comprehensive Income (Loss)	9 Months Ended
	Sep. 30, 2020
Accumulated Other Comprehensive Income Loss [Abstract]
Accumulated Other Comprehensive Income (Loss)	14. Accumulated Other Comprehensive Income (Loss) The following table summarizes the components of Accumulated other comprehensive income (loss): Interest Rate Foreign Currency Derivatives Translation Total Balance as of December 31, 2018 $ (3,841 ) $ 9 $ (3,832 ) Reclassification to interest expense 1,012 - 1,012 Tax effect (239 ) - (239 ) Balance as of September 30, 2019 $ (3,068 ) $ 9 $ (3,059 ) Balance as of December 31, 2019 $ (2,827 ) $ 9 $ (2,818 ) Reclassification to interest expense 894 - 894 Tax effect (202 ) - (202 ) Balance as of September 30, 2020 $ (2,135 ) $ 9 $ (2,126 ) Interest Rate Derivatives As of September 30, 2020, there was $2.8 million of unamortized net realized loss before taxes remaining in Accumulated other comprehensive income (loss) related to terminated forward-starting interest rate swaps, which had been designated as cash flow hedges to effectively fix the interest rates on two 747-8F financings in 2011 and three 777-200LRF financings in 2014. The net loss is amortized and reclassified into Interest expense over the remaining life of the related debt. Net realized losses reclassified into earnings were $0.3 million for the three months ended September 30, 2020 and 2019. Net realized losses reclassified into earnings were $0.9 million and $1.0 million for the nine months ended September 30, 2020 and 2019, respectively. Net realized losses expected to be reclassified into earnings within the next 12 months are $1.1 million as of September 30, 2020.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2020
Accounting Policies [Abstract]
Warrant Liability	Warrant Liability Common stock warrants that are classified as a liability are marked-to-market at the end of each reporting period with changes in fair value recorded in Unrealized loss (gain) on financial instruments. We utilize a Monte Carlo simulation approach to estimate the fair value of the warrant liability, which requires inputs such as our common stock price, the warrant strike price, estimated common stock price volatility and risk-free interest rate, among others. Our earnings are affected by changes in our common stock price due to the impact those changes have on the fair value of our warrant liability (see Note 5 for further discussion).
Heavy Maintenance	Heavy Maintenance Except as described in the paragraph below, we account for heavy maintenance costs for airframes and engines using the direct expense method. Under this method, heavy maintenance costs are charged to expense upon induction, based on our best estimate of the costs. We account for heavy maintenance costs for airframes and engines used in our Dry Leasing segment and engines used on our 747-8F aircraft using the deferral method. Under this method, we defer the expense recognition of scheduled heavy maintenance events, which are amortized over the estimated period until the next scheduled heavy maintenance event is required. Amortization of deferred maintenance expense included in Depreciation and amortization was $12.5 million and $5.5 million for the three months ended September 30, 2020 and 2019, respectively, and was $30.8 million and $15.2 million for the nine months ended September 30, 2020 and 2019, respectively. Deferred maintenance included within Deferred costs and other assets is as follows: Balance as of December 31, 2019 $ 184,279 Deferred maintenance costs 34,693 Amortization of deferred maintenance (30,783 ) Balance as of September 30, 2020 $ 188,189
Recent Accounting Pronouncements	Recent Accounting Pronouncements Adopted in 2020 In November 2019, the Financial Accounting Standards Board (“FASB”) amended its accounting guidance for share-based payment awards issued to a customer. The amended guidance requires share-based payment awards issued to a customer to be recorded as a reduction of the transaction price in revenue based on the fair value at grant date and to be classified on the balance sheet using accounting guidance for stock-based compensation. The amended guidance was effective for fiscal years beginning after December 15, 2019. Effective January 1, 2020, we adopted the amended guidance and applied the modified retrospective approach to the most current period presented. As a result, $14.6 million, or approximately 60% of our customer warrant liability of $24.3 million related to revenue contracts, which was included in Financial instruments and other liabilities as of December 31, 2019, was reclassified as Additional paid-in-capital within Total stockholders’ equity on January 1, 2020. As a result, these customer warrants are no longer marked-to-market at the end of each reporting period with changes in fair value recorded as an unrealized loss (gain) on financial instruments. The amended guidance did not impact the accounting for the remaining portion of our customer warrant liability related to Dry Lease contracts, which was approximately $9.7 million or approximately 40% of the total customer warrant liability as of December 31, 2019. The new guidance did not impact how we account for the amortization of the customer incentive asset (see Note 5 for further discussion). In June 2016, the FASB amended its accounting guidance for the measurement of credit losses on financial instruments. The guidance requires entities to utilize an expected credit loss model for certain financial instruments, including most trade receivables, which replaces the incurred credit loss model previously used. Under this new model, we are required to recognize estimated credit losses expected to occur over time using a broad range of information including historical information, current conditions and reasonable and supportable forecasts. Receivables related to lease contracts are not within the scope of this amended guidance. Effective January 1, 2020, we adopted the amended guidance under the modified retrospective approach and it did not have a material impact on our consolidated financial statements and related disclosures (see Note 6). Recent Accounting Pronouncements Not Yet Adopted In August 2020, the FASB amended its accounting guidance for certain financial instruments with characteristics of liabilities and equity, including convertible debt instruments. For convertible debt with a cash conversion feature, the amended guidance removes the current accounting model to separately account for the liability and equity components, which currently results in the amortization of a debt discount to interest expense. Under this amended guidance, such convertible debt will be accounted for as a single debt instrument with no amortization of a debt discount, unless certain other conditions are met. The amended guidance also requires the use of the if-converted method when calculating the dilutive impact of convertible debt on earnings per share. The amended guidance is effective as of the beginning of 2022, with early adoption permitted no earlier than the beginning of 2021. The two permitted transition methods under the guidance are the full retrospective approach, under which the guidance is applied to all periods presented, or the modified retrospective approach, under which the guidance is applied only to the most current period presented. While we are still assessing the impact the amended guidance will have on our financial statements, we expect it will result in a material reclassification from equity to debt and a reduction in interest expense. In addition, the amended guidance is expected to result in a material reduction of diluted earnings per share.

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2020
Accounting Policies [Abstract]
Schedule of Deferred Maintenance	Deferred maintenance included within Deferred costs and other assets is as follows Balance as of December 31, 2019 $ 184,279 Deferred maintenance costs 34,693 Amortization of deferred maintenance (30,783 ) Balance as of September 30, 2020 $ 188,189

Related Parties (Tables)

Related Parties (Tables)	9 Months Ended
	Sep. 30, 2020
Related Party Transactions [Abstract]
Summary of Transactions with Polar	The following table summarizes our transactions with Polar: For the Three Months Ended For the Nine Months Ended Revenue and Expenses: September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Revenue from Polar $ 80,876 $ 84,957 $ 239,968 $ 283,313 Ground handling and airport fees to Polar 796 568 2,389 1,631 Accounts receivable/payable as of: September 30, 2020 December 31, 2019 Receivables from Polar $ 19,526 $ 10,855 Payables to Polar 2,523 2,161 Aggregate Carrying Value of Polar Investment as of: September 30, 2020 December 31, 2019 Aggregate Carrying Value of Polar Investment $ 4,870 $ 4,870

Amazon (Tables)

Amazon (Tables)	9 Months Ended
	Sep. 30, 2020
Warrants And Rights Note Disclosure [Abstract]
Summary of Customer Incentive Asset within Deferred Costs and Other Assets	Customer incentive asset included within Deferred costs and other assets is as follows: Balance at December 31, 2019 $ 152,534 Initial value for estimate of vested or expected to vest warrants 7,528 Amortization of customer incentive asset (28,414 ) Balance at September 30, 2020 $ 131,648

Supplemental Financial Inform_2

Supplemental Financial Information (Tables)	9 Months Ended
	Sep. 30, 2020
Supplemental Financial Information [Abstract]
Summary of Allowance for Expected Credit Losses	Allowance for expected credit losses, included within Accounts receivable, is as follows: Balance as of December 31, 2019 $ 1,822 Bad debt expense 76 Amounts written off, net of recoveries (1,122 ) Balance as of September 30, 2020 $ 776
Schedule of Accrued Liabilities	Accrued liabilities consisted of the following as of: September 30, 2020 December 31, 2019 Maintenance $ 139,233 $ 136,315 Deferred grant income 108,156 - Salaries, wages and benefits 105,623 75,719 Customer maintenance reserves 100,739 110,355 Deferred revenue 43,720 26,357 Aircraft fuel 33,449 28,821 Other 114,174 104,158 Accrued liabilities $ 645,094 $ 481,725
Summary of Significant Changes in Revenue Contract Liability Balances	Significant changes in our Revenue contract liability balances during the nine months ended September 30, 2020 were as follows: Deferred Revenue Balance as of December 31, 2019 $ 19,234 Revenue recognized (155,781 ) Amounts collected or invoiced 172,996 Balance as of September 30, 2020 $ 36,449
Reconciliation of Cash, Cash Equivalents and Restricted Cash	The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the consolidated balance sheets that sum to the total shown in the consolidated statements of cash flows: September 30, 2020 December 31, 2019 Cash and cash equivalents $ 717,867 $ 103,029 Restricted cash 11,466 10,401 Total Cash, cash equivalents and restricted cash shown in Consolidated Statements of Cash Flows $ 729,333 $ 113,430

Debt (Tables)

Debt (Tables)	9 Months Ended
	Sep. 30, 2020
Debt Disclosure [Abstract]
Schedule of Convertible Notes	The Convertible Notes consisted of the following as of September 30, 2020: 2017 Convertible Notes 2015 Convertible Notes Remaining life in months 44 20 Liability component: Gross proceeds $ 289,000 $ 224,500 Less: debt discount, net of amortization (40,359 ) (14,842 ) Less: debt issuance cost, net of amortization (3,121 ) (1,372 ) Net carrying amount $ 245,520 $ 208,286 Equity component (1) $ 70,140 $ 52,903 (1) Included in Additional paid-in-capital on the consolidated balance sheet as of September 30, 2020.
Summary of Interest Expense Recognized	The following table presents the amount of interest expense recognized related to the Convertible Notes: For the Three Months Ended For the Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Contractual interest coupon $ 2,618 $ 2,618 $ 7,853 $ 7,853 Amortization of debt discount 4,527 4,253 13,372 12,560 Amortization of debt issuance costs 394 379 1,171 1,126 Total interest expense recognized $ 7,539 $ 7,250 $ 22,396 $ 21,539

Financial Instruments (Tables)

Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2020
Fair Value Disclosures [Abstract]
Summary of Carrying Value, Estimated Fair Value and Classification of Financial Instruments	The following table summarizes the carrying value, estimated fair value and classification of our financial instruments as of: September 30, 2020 Carrying Value Fair Value Level 1 Level 2 Level 3 Assets Cash and cash equivalents $ 717,867 $ 717,867 $ 717,867 $ - $ - Restricted cash 11,466 11,466 11,466 - - $ 729,333 $ 729,333 $ 729,333 $ - $ - Liabilities Term loans and notes $ 1,862,297 $ 1,931,050 $ - $ - $ 1,931,050 Convertible notes (1) 453,806 589,183 589,183 - - Customer warrant 83,312 83,312 - 83,312 - $ 2,399,415 $ 2,603,545 $ 589,183 $ 83,312 $ 1,931,050 December 31, 2019 Carrying Value Fair Value Level 1 Level 2 Level 3 Assets Cash and cash equivalents $ 103,029 $ 103,029 $ 103,029 $ - $ - Short-term investments 879 879 - - 879 Restricted cash 10,401 10,401 10,401 - - $ 114,309 $ 114,309 $ 113,430 $ - $ 879 Liabilities Term loans and notes $ 1,800,911 $ 1,885,750 $ - $ - $ 1,885,750 Revolver 100,000 103,575 - - 103,575 Convertible notes (1) 439,261 450,668 450,668 - - Customer warrant (2) 24,345 24,345 - 24,345 - $ 2,364,517 $ 2,464,338 $ 450,668 $ 24,345 $ 1,989,325 (1) Carrying value is net of debt discounts and debt issuance costs (see Note 8). (2) Includes $14.6 million that was reclassified to Additional paid-in-capital on January 1, 2020 (see Note 2).

Segment Reporting (Tables)

Segment Reporting (Tables)	9 Months Ended
	Sep. 30, 2020
Segment Reporting Tables [Abstract]
Operating Revenue and Direct Contribution For Our Reportable Business Segments	The following table sets forth Operating Revenue and Direct Contribution for our reportable segments reconciled to Operating Income (Loss) and Income before income taxes: For the Three Months Ended For the Nine Months Ended September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Operating Revenue: ACMI $ 302,756 $ 289,024 $ 873,451 $ 902,869 Charter 470,835 324,046 1,296,011 944,839 Dry Leasing 40,740 43,847 123,572 157,328 Customer incentive asset amortization (9,858 ) (12,796 ) (28,414 ) (26,018 ) Other 5,413 4,418 14,021 13,122 Total Operating Revenue $ 809,886 $ 648,539 $ 2,278,641 $ 1,992,140 Direct Contribution: ACMI $ 42,822 $ 33,401 $ 109,624 $ 114,048 Charter 136,619 36,339 373,371 79,554 Dry Leasing 9,627 12,028 30,046 58,646 Total Direct Contribution for Reportable Segments 189,068 81,768 513,041 252,248 Unallocated expenses and (income), net (34,409 ) (93,507 ) (173,439 ) (255,569 ) Loss on early extinguishment of debt (7 ) (559 ) (81 ) (804 ) Unrealized gain (loss) on financial instruments (43,604 ) 83,175 (73,351 ) 78,900 Special charge (547 ) (18,861 ) (16,481 ) (22,130 ) Transaction-related expenses (490 ) (324 ) (2,286 ) (3,585 ) Gain on disposal of aircraft 163 - 6,878 - Income before income taxes 110,174 51,692 254,281 49,060 Add back (subtract): Interest income (225 ) (653 ) (929 ) (3,975 ) Interest expense 28,524 30,117 86,749 90,515 Capitalized interest (203 ) (853 ) (528 ) (1,943 ) Loss on early extinguishment of debt 7 559 81 804 Unrealized (gain) loss on financial instruments 43,604 (83,175 ) 73,351 (78,900 ) Other (income) expense, net (62,689 ) 1,434 (112,081 ) (596 ) Operating Income (Loss) $ 119,192 $ (879 ) $ 300,924 $ 54,965
Schedule of Disaggregated Charter Segment Revenue by Customer and Service Type	The following table disaggregates our Charter segment revenue by customer and service type: For the Three Months Ended September 30, 2020 September 30, 2019 Cargo Passenger Total Cargo Passenger Total Commercial customers $ 333,066 $ 2,193 $ 335,259 $ 127,558 $ 17,075 $ 144,633 AMC 57,952 77,624 135,576 85,382 94,031 179,413 Total Charter Revenue $ 391,018 $ 79,817 $ 470,835 $ 212,940 $ 111,106 $ 324,046 For the Nine Months Ended September 30, 2020 September 30, 2019 Cargo Passenger Total Cargo Passenger Total Commercial customers $ 901,617 $ 5,315 $ 906,932 $ 409,640 $ 27,736 $ 437,376 AMC 170,188 218,891 389,079 234,845 272,618 507,463 Total Charter Revenue $ 1,071,805 $ 224,206 $ 1,296,011 $ 644,485 $ 300,354 $ 944,839

Earnings Per Share (Tables)

Earnings Per Share (Tables)	9 Months Ended
	Sep. 30, 2020
Earnings Per Share [Abstract]
Calculations of Basic and Diluted EPS	The calculations of basic and diluted EPS were as follows: For the Three Months Ended For the Nine Months Ended Numerator: September 30, 2020 September 30, 2019 September 30, 2020 September 30, 2019 Net Income $ 74,054 $ 59,974 $ 176,319 $ 117,132 Less: Unrealized gain on financial instruments, net of tax - - - (81,139 ) Diluted Net Income $ 74,054 $ 59,974 $ 176,319 $ 35,993 Denominator: Basic EPS weighted average shares outstanding 26,135 25,854 26,077 25,814 Effect of dilutive warrants 237 - 82 1,010 Effect of dilutive restricted stock 247 - 97 85 Diluted EPS weighted average shares outstanding 26,619 25,854 26,256 26,909 Earnings per share: Basic $ 2.83 $ 2.32 $ 6.76 $ 4.54 Diluted $ 2.78 $ 2.32 $ 6.72 $ 1.34

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive Income (Loss) (Tables)	9 Months Ended
	Sep. 30, 2020
Accumulated Other Comprehensive Income Loss [Abstract]
Components of Accumulated Other Comprehensive Income (Loss)	The following table summarizes the components of Accumulated other comprehensive income (loss): Interest Rate Foreign Currency Derivatives Translation Total Balance as of December 31, 2018 $ (3,841 ) $ 9 $ (3,832 ) Reclassification to interest expense 1,012 - 1,012 Tax effect (239 ) - (239 ) Balance as of September 30, 2019 $ (3,068 ) $ 9 $ (3,059 ) Balance as of December 31, 2019 $ (2,827 ) $ 9 $ (2,818 ) Reclassification to interest expense 894 - 894 Tax effect (202 ) - (202 ) Balance as of September 30, 2020 $ (2,135 ) $ 9 $ (2,126 )

Basis of Presentation - Additio

Basis of Presentation - Additional Information (Details) - Polar [Member]	9 Months Ended
	Sep. 30, 2020
Basis Of Presentation [Line Items]
Equity interest	51.00%
Voting interest	75.00%

Summary of Significant Accoun_4

Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) $ in Thousands	Jan. 01, 2020	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Significant Accounting Policies [Line Items]
Deferred maintenance amortization expense		$ 12,500	$ 5,500	$ 30,783	$ 15,200
Customer warrant liability reclassified as additional paid in capital	$ 14,600
Percentage of customer warrant liability	60.00%
Customer warrant liability	$ 24,300
Accounting Standards Update 2019-08 [Member]
Significant Accounting Policies [Line Items]
Change in accounting principle, adopted		true		true
Change in accounting principle, adoption date		Jan. 1, 2020		Jan. 1, 2020
Change in accounting principle, immaterial effect		true		true
Accounting Standards Update 2016-13 [Member]
Significant Accounting Policies [Line Items]
Change in accounting principle, adopted		true		true
Change in accounting principle, adoption date		Jan. 1, 2020		Jan. 1, 2020
Change in accounting principle, immaterial effect		true		true
Dry Leases [Member]
Significant Accounting Policies [Line Items]
Percentage of customer warrant liability	40.00%
Customer warrant liability	$ 9,700

Summary of Significant Accoun_5

Summary of Significant Accounting Policies - Schedule of Deferred Maintenance (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Accounting Policies [Abstract]
Beginning Balance			$ 184,279
Deferred maintenance costs			34,693
Amortization of deferred maintenance	$ (12,500)	$ (5,500)	(30,783)	$ (15,200)
Ending Balance	$ 188,189		$ 188,189

COVID-19 Pandemic - Additional

COVID-19 Pandemic - Additional Information (Details) $ / shares in Units, $ in Thousands	Jul. 30, 2020USD ($)	Jun. 29, 2020USD ($)	Jun. 01, 2020USD ($)	May 29, 2020USD ($)Installment	Sep. 30, 2020USD ($)$ / sharesshares	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)$ / sharesshares	Sep. 30, 2019USD ($)
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Operating Revenue					$ 809,886	$ 648,539	$ 2,278,641	$ 1,992,140
Payroll Support Program Agreement [Member] | Grant [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Operating Revenue					$ 64,200		$ 64,200
Payroll Support Program Agreement [Member] | US Treasury [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Number of installment | Installment				3
Payroll support funding				$ 406,800
Exercise price of warrants exercisable | $ / shares					$ 31.95		$ 31.95
Warrants grant date fair value recognized as additional paid in capital					$ 14,400		$ 14,400
Number of warrant exercised | shares					0		0
Payroll Support Program Agreement [Member] | US Treasury [Member] | Maximum [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Number of warrants issued to acquire common stock | shares					625,452		625,452
Payroll Support Program Agreement [Member] | US Treasury [Member] | Commercial Paper
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Proceeds from line of credit							$ 199,800
Interest on outstanding principal amount until fifth anniversary				1.00%
Payroll Support Program Agreement [Member] | US Treasury [Member] | Commercial Paper | SOFR [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Percentage of additional bears interest after fifth anniversary				2.00%
Payroll Support Program Agreement [Member] | US Treasury [Member] | First Installment on June 1, 2020 [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Payroll support funding received			$ 203,400
Payroll Support Program Agreement [Member] | US Treasury [Member] | Second Installment on June 29, 2020 [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Payroll support funding received		$ 101,700
Payroll Support Program Agreement [Member] | US Treasury [Member] | Third Installment on July 30, 2020 [Member]
Collaborative Arrangements And Noncollaborative Arrangement Transactions [Line Items]
Payroll support funding received	$ 101,700

Related Parties - Polar - Addit

Related Parties - Polar - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Polar [Member]
Related Party Transaction [Line Items]
Revenue recognized	$ 48	$ 23.8	$ 158.5	$ 70.2
Polar [Member]
Related Party Transaction [Line Items]
Equity interest	51.00%		51.00%
Voting interest			75.00%
DHL [Member] | Polar [Member]
Related Party Transaction [Line Items]
Equity interest	49.00%		49.00%
Voting interest			25.00%

Related Parties - Summary of Tr

Related Parties - Summary of Transactions with Polar (Details) - Polar [Member] - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2019
Related Party Transaction [Line Items]
Revenue from related party	$ 80,876	$ 84,957	$ 239,968	$ 283,313
Ground handling and airport fees to Polar	796	$ 568	2,389	$ 1,631
Receivables from related party	19,526		19,526		$ 10,855
Payables to related party	2,523		2,523		2,161
Aggregate Carrying Value of Polar Investment	$ 4,870		$ 4,870		$ 4,870

Related Parties - Dry Leasing J

Related Parties - Dry Leasing Joint Venture - Additional Information (Details) - Dry Leasing Joint Venture [Member] - USD ($)	1 Months Ended	3 Months Ended	9 Months Ended
	Dec. 31, 2019	Sep. 30, 2020	Sep. 30, 2020
Related Party Transaction [Line Items]
Voting interest	10.00%
Investment in joint venture	$ 1,500,000	$ 500,000	$ 500,000
Capital contributions		0	0
Accounts receivable from joint venture		1,500,000	1,500,000
Service fee income		0	0
Maximum [Member]
Related Party Transaction [Line Items]
Commitment to capital contributions		$ 40,000,000	$ 40,000,000

Related Parties - Parts Joint V

Related Parties - Parts Joint Venture - Additional Information (Details) - Parts Joint Venture [Member] - Variable Interest Entity Not Primary Beneficiary [Member] - USD ($) $ in Millions	9 Months Ended	12 Months Ended
	Sep. 30, 2020	Dec. 31, 2019
Related Party Transaction [Line Items]
Voting interest	50.00%	50.00%
Investment in joint venture	$ 20.7	$ 20
Payables to related party	$ 1.1	$ 0.5

Amazon - Additional Information

Amazon - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands	Jan. 01, 2020	Oct. 31, 2020	Mar. 31, 2019	May 31, 2016	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019	Dec. 31, 2018	Dec. 31, 2019
Class Of Warrant Or Right [Line Items]
Revenues					$ 809,886	$ 648,539	$ 2,278,641	$ 1,992,140
Percentage of customer warrant liability	60.00%
Warrant liability unrealized (gains) losses					43,600	(83,200)	73,400	78,900
Fair value of warrant liability					83,300		83,300			$ 24,300
Amortization of customer incentive asset					$ 9,900	$ 12,800	$ 28,414	$ 26,000
Warrant A [Member]
Class Of Warrant Or Right [Line Items]
Right to acquire outstanding common shares							up to 20% of our outstanding common shares, as of the date of the agreements
Warrant exercise price				$ 37.34
Warrant for number of shares fully vested									7,500,000
Warrant vesting year				2021-05
Warrants exercised							0
Exercise price of warrants exercisable				$ 37.34
Warrant A [Member] | Subsequent Event [Member]
Class Of Warrant Or Right [Line Items]
Warrants exercised		3,607,477
Common Stock [Member] | Subsequent Event [Member]
Class Of Warrant Or Right [Line Items]
Warrants exercised through cashless issuance of shares		1,375,421
Warrant B [Member]
Class Of Warrant Or Right [Line Items]
Warrant exercise price				37.34
Warrants exercised							0
Additional warrant to acquire outstanding shares							up to an additional 10% of our outstanding common shares, as of the date of the agreements
Exercise price of warrants exercisable				$ 37.34
Additional warrant to buy number of shares vesting				3,770,000
Vesting increments of Amazon warrants				37,660
Revenues				$ 4,200
Warrant vested					338,940		338,940
Additional warrant vesting year				2023-05
Warrant C [Member]
Class Of Warrant Or Right [Line Items]
Right to acquire outstanding common shares							up to an additional 9.9% of our outstanding common shares, as of the date of the agreements
Warrant exercise price			$ 52.67
Warrant vesting year							2026-03
Exercise price of warrants exercisable			$ 52.67
Vesting increments of Amazon warrants			45,623
Revenues			$ 6,900
Warrant vested					0		0
Incremental warrant to buy number of shares vesting.			6,660,000
Warrant A, B and C [Member]
Class Of Warrant Or Right [Line Items]
Right to acquire outstanding common shares							up to a total of 39.9% of our outstanding common shares, as of the date of the agreements
Maximum [Member]
Class Of Warrant Or Right [Line Items]
Amazon entitled to vote shares of it owns of outstanding common shares percentage			14.90%
Maximum [Member] | Warrant A [Member]
Class Of Warrant Or Right [Line Items]
Warrant providing right to acquire outstanding common shares percentage				20.00%
Maximum [Member] | Warrant B [Member]
Class Of Warrant Or Right [Line Items]
Percentage of additional warrant to acquire outstanding common shares				10.00%
Revenues				$ 420,000
Maximum [Member] | Warrant C [Member]
Class Of Warrant Or Right [Line Items]
Warrant providing right to acquire outstanding common shares percentage			9.90%
Revenues			$ 1,000,000
Maximum [Member] | Warrant A, B and C [Member]
Class Of Warrant Or Right [Line Items]
Warrant providing right to acquire outstanding common shares percentage			39.90%
Dry Leases [Member]
Class Of Warrant Or Right [Line Items]
Lease term					10 years		10 years
Percentage of customer warrant liability	40.00%
CMI Operation [Member]
Class Of Warrant Or Right [Line Items]
Lease term			7 years		7 years		7 years
Lease term option to extend			true				true
Lease term of extension			10 years		10 years		10 years
Percentage of customer warrant liability	60.00%

Amazon - Summary of Customer In

Amazon - Summary of Customer Incentive Asset within Deferred Costs and Other Assets (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Warrants And Rights Note Disclosure [Abstract]
Balance at December 31, 2019			$ 152,534
Initial value for estimate of vested or expected to vest warrants			7,528
Amortization of customer incentive asset	$ (9,900)	$ (12,800)	(28,414)	$ (26,000)
Balance at September 30, 2020	$ 131,648		$ 131,648

Supplemental Financial Inform_3

Supplemental Financial Information - Additional Information (Details) - USD ($) $ in Millions	Sep. 30, 2020	Dec. 31, 2019
Supplemental Financial Information [Abstract]
Accounts receivable related to customer contracts excluding dry leasing contracts	$ 216	$ 247.5

Supplemental Financial Inform_4

Supplemental Financial Information - Summary of Allowance for Expected Credit Losses (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2020USD ($)
Supplemental Financial Information [Abstract]
Balance as of December 31, 2019	$ 1,822
Bad debt expense	76
Amounts written off, net of recoveries	(1,122)
Balance as of September 30, 2020	$ 776

Supplemental Financial Inform_5

Supplemental Financial Information - Schedule of Accrued Liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019
Supplemental Financial Information [Abstract]
Maintenance	$ 139,233	$ 136,315
Deferred grant income	108,156	0
Salaries, wages and benefits	105,623	75,719
Customer maintenance reserves	100,739	110,355
Deferred revenue	43,720	26,357
Aircraft fuel	33,449	28,821
Other	114,174	104,158
Accrued liabilities	$ 645,094	$ 481,725

Supplemental Financial Inform_6

Supplemental Financial Information - Summary of Significant Changes in Revenue Contract Liability Balances (Details) - Non-Dry Lease Revenue Contracts with Customers [Member] $ in Thousands	9 Months Ended
	Sep. 30, 2020USD ($)
Revenue Recognition [Line Items]
Balance as of December 31, 2019	$ 19,234
Revenue recognized	(155,781)
Amounts collected or invoiced	172,996
Balance as of September 30, 2020	$ 36,449

Supplemental Financial Inform_7

Supplemental Financial Information - Reconciliation of Cash, Cash Equivalents and Restricted Cash (Details) - USD ($) $ in Thousands	Sep. 30, 2020	Dec. 31, 2019	Sep. 30, 2019	Dec. 31, 2018
Supplemental Financial Information [Abstract]
Cash and cash equivalents	$ 717,867	$ 103,029
Restricted cash	11,466	10,401
Total Cash, cash equivalents and restricted cash shown in Consolidated Statements of Cash Flows	$ 729,333	$ 113,430	$ 80,703	$ 232,741

Assets Held For Sale and Othe_2

Assets Held For Sale and Other Income - Additional Information (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)Engine	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)Engine	Sep. 30, 2019USD ($)	Dec. 31, 2019USD ($)Engine
Impairment Of Aircraft Engines Held For Sale [Line Items]
Net gain from sale of aircraft	$ 163	$ 0	$ 6,878	$ 0
Net proceeds from sale of aircraft			45,660	0
Impairment loss on assets held for sale	547	$ 18,861	16,481	$ 22,130
Prepaid Expenses and Other Current Assets [Member]
Impairment Of Aircraft Engines Held For Sale [Line Items]
Carrying value of asset held for sale	$ 96,000		$ 96,000		$ 155,900
Certain Spare CF6-80 Engines [Member]
Impairment Of Aircraft Engines Held For Sale [Line Items]
Number of aircraft held for sale | Engine	2		2
Aircraft Engines [Member] | Other (Income) Expense , Net [Member]
Impairment Of Aircraft Engines Held For Sale [Line Items]
Aircraft rent refunds			$ 32,900
Dry Leasing Portfolio [Member]
Impairment Of Aircraft Engines Held For Sale [Line Items]
Number of aircraft held for sale | Engine	2		2		3

Debt - Term Loans - Additional

Debt - Term Loans - Additional Information (Details)	Feb. 01, 2020USD ($)TermLoan	Oct. 31, 2020USD ($)	Aug. 31, 2020USD ($)	Apr. 30, 2020USD ($)
Secured Term Loan [Member]
Debt Instrument [Line Items]
Number of term loans | TermLoan	2
Secured Term Loan [Member] | First 2020 Term Loan [Member]
Debt Instrument [Line Items]
Debt instrument, term	126 months
Debt instrument face amount	$ 82,000,000
Debt instrument fixed interest rate	3.27%
Debt instrument final payment	$ 12,500,000
Debt instrument maturity	2030-07
Secured Term Loan [Member] | Second 2020 Term Loan [Member]
Debt Instrument [Line Items]
Debt instrument, term	130 months
Debt instrument face amount	$ 82,000,000
Debt instrument fixed interest rate	3.28%
Debt instrument final payment	$ 12,500,000
Debt instrument maturity	2030-11
Unsecured Term Loan [Member] | Third 2020 Term Loan [Member]
Debt Instrument [Line Items]
Debt instrument, term				5 years
Debt instrument face amount				$ 14,600,000
Debt instrument fixed interest rate				1.15%
Debt instrument maturity				2025-04
Unsecured Term Loan [Member] | Fourth 2020 Term Loan [Member]
Debt Instrument [Line Items]
Debt instrument, term			5 years
Debt instrument face amount			$ 22,900,000
Debt instrument fixed interest rate			0.95%
Debt instrument maturity			2025-06
Unsecured Term Loan [Member] | Fifth 2020 Term Loan [Member] | Subsequent Event [Member]
Debt Instrument [Line Items]
Debt instrument, term		5 years
Debt instrument face amount		$ 16,300,000
Debt instrument fixed interest rate		0.90%
Debt instrument maturity		2025-09

Debt - Convertible Notes - Addi

Debt - Convertible Notes - Additional Information (Details) - USD ($) $ in Thousands	1 Months Ended
	May 31, 2017	Jun. 30, 2015	Sep. 30, 2020
2017 Convertible Notes [Member]
Debt Instrument [Line Items]
Convertible notes aggregate principal amount	$ 289,000		$ 289,000
Convertible notes, interest rate	1.875%
Convertible notes, date of maturity	Jun. 1, 2024
2015 Convertible Notes [Member]
Debt Instrument [Line Items]
Convertible notes aggregate principal amount		$ 224,500	$ 224,500
Convertible notes, interest rate		2.25%
Convertible notes, date of maturity		Jun. 1, 2022

Debt - Schedule of Convertible

Debt - Schedule of Convertible Notes (Details) - USD ($) $ in Thousands		9 Months Ended
		Sep. 30, 2020	May 31, 2017	Jun. 30, 2015
2017 Convertible Notes [Member]
Debt Instrument [Line Items]
Remaining life in months		44 months
Gross proceeds		$ 289,000	$ 289,000
Less: debt discount, net of amortization		(40,359)
Less: debt issuance cost, net of amortization		(3,121)
Net carrying amount		245,520
Equity component	[1]	$ 70,140
2015 Convertible Notes [Member]
Debt Instrument [Line Items]
Remaining life in months		20 months
Gross proceeds		$ 224,500		$ 224,500
Less: debt discount, net of amortization		(14,842)
Less: debt issuance cost, net of amortization		(1,372)
Net carrying amount		208,286
Equity component	[1]	$ 52,903
[1]	Included in Additional paid-in-capital on the consolidated balance sheet as of September 30, 2020.

Debt - Summary of Interest Expe

Debt - Summary of Interest Expense Recognized (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Short Term Debt [Line Items]
Total interest expense recognized	$ 28,524	$ 30,117	$ 86,749	$ 90,515
Convertible Notes [Member]
Short Term Debt [Line Items]
Contractual interest coupon	2,618	2,618	7,853	7,853
Amortization of debt discount	4,527	4,253	13,372	12,560
Amortization of debt issuance costs	394	379	1,171	1,126
Total interest expense recognized	$ 7,539	$ 7,250	$ 22,396	$ 21,539

Debt - Revolving Credit Facilit

Debt - Revolving Credit Facility - Additional Information (Details) - Revolver [Member]	9 Months Ended
	Sep. 30, 2020USD ($)
Debt Instrument [Line Items]
Borrowing capacity	$ 200,000,000
Debt instrument maturity	2022-12
Outstanding balance	$ 0
Unused availability	$ 200,000,000

Income Taxes - Additional Infor

Income Taxes - Additional Information (Details) - U.S. Internal Revenue Service [Member] - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Income Taxes [Line Items]
Tax (benefits) expense related to favorable completion of examination			$ (59.8)	$ (59.8)
Income tax examination tax year under examination			2015
Nontaxable changes in fair value of customer warrant liability		$ 18.2		$ 17.3
Non deductible changes In fair value of customer warrant liability	$ 9.6		$ 16

Financial Instruments - Summary

Financial Instruments - Summary of Carrying Value, Estimated Fair Value and Classification of Financial Instruments (Details) - USD ($) $ in Thousands		Sep. 30, 2020	Dec. 31, 2019
Assets
Short-term investments		$ 0	$ 879
Restricted cash		11,466	10,401
Liabilities
Customer warrant		131,648	152,534
Carrying (Reported) Amount, Fair Value Disclosure [Member]
Assets
Cash and cash equivalents		717,867	103,029
Short-term investments			879
Restricted cash		11,466	10,401
Financial instruments assets		729,333	114,309
Liabilities
Term loans and notes		1,862,297	1,800,911
Convertible notes	[1]	453,806	439,261
Customer warrant		83,312	24,345	[2]
Financial instruments liabilities		2,399,415	2,364,517
Revolver			100,000
Estimate of Fair Value, Fair Value Disclosure [Member]
Assets
Cash and cash equivalents		717,867	103,029
Short-term investments			879
Restricted cash		11,466	10,401
Financial instruments assets		729,333	114,309
Liabilities
Term loans and notes		1,931,050	1,885,750
Convertible notes	[1]	589,183	450,668
Customer warrant		83,312	24,345	[2]
Financial instruments liabilities		2,603,545	2,464,338
Revolver			103,575
Fair Value, Inputs, Level 1 [Member]
Assets
Cash and cash equivalents		717,867	103,029
Short-term investments			0
Restricted cash		11,466	10,401
Financial instruments assets		729,333	113,430
Liabilities
Term loans and notes		0	0
Convertible notes	[1]	589,183	450,668
Customer warrant		0	0	[2]
Financial instruments liabilities		589,183	450,668
Revolver			0
Fair Value, Inputs, Level 2 [Member]
Assets
Cash and cash equivalents		0	0
Short-term investments			0
Restricted cash		0	0
Financial instruments assets		0	0
Liabilities
Term loans and notes		0	0
Convertible notes	[1]	0	0
Customer warrant		83,312	24,345	[2]
Financial instruments liabilities		83,312	24,345
Revolver			0
Fair Value, Inputs, Level 3 [Member]
Assets
Cash and cash equivalents		0	0
Short-term investments			879
Restricted cash		0	0
Financial instruments assets		0	879
Liabilities
Term loans and notes		1,931,050	1,885,750
Convertible notes	[1]	0	0
Customer warrant		0	0	[2]
Financial instruments liabilities		$ 1,931,050	1,989,325
Revolver			$ 103,575
[1]	Carrying value is net of debt discounts and debt issuance costs (see Note 8).
[2]	Includes $14.6 million that was reclassified to Additional paid-in-capital on January 1, 2020 (see Note 2).

Financial Instruments - Summa_2

Financial Instruments - Summary of Carrying Value, Estimated Fair Value and Classification of Financial Instruments (Parenthetical) (Details) $ in Millions	Jan. 01, 2020USD ($)
Long Term Investments Details [Abstract]
Customer warrant liability reclassified as additional paid in capital	$ 14.6

Segment Reporting - Additional

Segment Reporting - Additional Information (Details) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020USD ($)	Sep. 30, 2019USD ($)	Sep. 30, 2020USD ($)Segment	Sep. 30, 2019USD ($)
Segment Reporting Information [Line Items]
Number of operating segments | Segment			3
Operating Revenue	$ 809,886	$ 648,539	$ 2,278,641	$ 1,992,140
DHL [Member]
Segment Reporting Information [Line Items]
Operating Revenue	$ 150,800	$ 91,400	$ 401,000	$ 267,800

Segment Reporting - Operating R

Segment Reporting - Operating Revenue and Direct Contribution For Our Reportable Business Segments (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Operating Revenue:
Customer incentive asset amortization	$ (9,858)	$ (12,796)	$ (28,414)	$ (26,018)
Other	5,413	4,418	14,021	13,122
Total Operating Revenue	809,886	648,539	2,278,641	1,992,140
Direct Contribution:
Total Direct Contribution for Reportable Segments	189,068	81,768	513,041	252,248
Unallocated expenses and (income), net	(34,409)	(93,507)	(173,439)	(255,569)
Loss on early extinguishment of debt	(7)	(559)	(81)	(804)
Unrealized gain (loss) on financial instruments	(43,604)	83,175	(73,351)	78,900
Special charge	(547)	(18,861)	(16,481)	(22,130)
Transaction-related expenses	(490)	(324)	(2,286)	(3,585)
Gain on disposal of aircraft	163	0	6,878	0
Income before income taxes	110,174	51,692	254,281	49,060
Interest income	(225)	(653)	(929)	(3,975)
Interest expense	28,524	30,117	86,749	90,515
Capitalized interest	(203)	(853)	(528)	(1,943)
Loss on early extinguishment of debt	7	559	81	804
Unrealized (gain) loss on financial instruments	43,604	(83,175)	73,351	(78,900)
Other (income) expense, net	(62,689)	1,434	(112,081)	(596)
Operating Income (Loss)	119,192	(879)	300,924	54,965
ACMI [Member]
Operating Revenue:
Operating Revenue	302,756	289,024	873,451	902,869
Direct Contribution:
Total Direct Contribution for Reportable Segments	42,822	33,401	109,624	114,048
Charter [Member]
Operating Revenue:
Operating Revenue	470,835	324,046	1,296,011	944,839
Direct Contribution:
Total Direct Contribution for Reportable Segments	136,619	36,339	373,371	79,554
Dry Leasing [Member]
Operating Revenue:
Operating Revenue	40,740	43,847	123,572	157,328
Direct Contribution:
Total Direct Contribution for Reportable Segments	$ 9,627	$ 12,028	$ 30,046	$ 58,646

Segment Reporting - Schedule of

Segment Reporting - Schedule of Disaggregated Charter Segment Revenue by Customer and Service Type (Details) - Charter [Member] - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Segment Reporting Information [Line Items]
Total Charter Revenue	$ 470,835	$ 324,046	$ 1,296,011	$ 944,839
Commercial Customers [Member]
Segment Reporting Information [Line Items]
Total Charter Revenue	335,259	144,633	906,932	437,376
AMC [Member]
Segment Reporting Information [Line Items]
Total Charter Revenue	135,576	179,413	389,079	507,463
Cargo [Member]
Segment Reporting Information [Line Items]
Total Charter Revenue	391,018	212,940	1,071,805	644,485
Cargo [Member] | Commercial Customers [Member]
Segment Reporting Information [Line Items]
Total Charter Revenue	333,066	127,558	901,617	409,640
Cargo [Member] | AMC [Member]
Segment Reporting Information [Line Items]
Total Charter Revenue	57,952	85,382	170,188	234,845
Passenger [Member]
Segment Reporting Information [Line Items]
Total Charter Revenue	79,817	111,106	224,206	300,354
Passenger [Member] | Commercial Customers [Member]
Segment Reporting Information [Line Items]
Total Charter Revenue	2,193	17,075	5,315	27,736
Passenger [Member] | AMC [Member]
Segment Reporting Information [Line Items]
Total Charter Revenue	$ 77,624	$ 94,031	$ 218,891	$ 272,618

Labor and Legal Proceedings - A

Labor and Legal Proceedings - Additional Information (Details) - USD ($) $ in Millions	May 01, 2020	Sep. 30, 2020	Dec. 31, 2019
Brazilian Customs Claim [Member]
Loss Contingencies [Line Items]
Brazilian claims in the aggregate		$ 3.6
Amounts on deposit for Brazilian claims included in deferred costs and other assets		$ 3	$ 4.1
Atlas Pilots [Member]
Loss Contingencies [Line Items]
Collective bargaining agreement period		5 years
Southern Air Pilots [Member]
Loss Contingencies [Line Items]
Collective bargaining agreement period		4 years
Atlas and Polar Dispatchers [Member]
Loss Contingencies [Line Items]
Collective bargaining agreement period		5 years
All Pilots [Member]
Loss Contingencies [Line Items]
Percentage of pay increase to pilots	10.00%

Earnings Per Share - Calculatio

Earnings Per Share - Calculations of Basic and Diluted EPS (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Numerator:
Net Income	$ 74,054	$ 59,974	$ 176,319	$ 117,132
Less: Unrealized gain on financial instruments, net of tax	0	0	0	(81,139)
Diluted Net Income	$ 74,054	$ 59,974	$ 176,319	$ 35,993
Denominator:
Basic EPS weighted average shares outstanding	26,135	25,854	26,077	25,814
Effect of dilutive warrants	237	0	82	1,010
Effect of dilutive restricted stock	247	0	97	85
Diluted EPS weighted average shares outstanding	26,619	25,854	26,256	26,909
Earnings per share:
Basic	$ 2.83	$ 2.32	$ 6.76	$ 4.54
Diluted	$ 2.78	$ 2.32	$ 6.72	$ 1.34

Earnings Per Share - Additional

Earnings Per Share - Additional Information (Details) - shares shares in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Restricted shares and units in which performance or market conditions were not satisfied	10.4	10.6	10.4	10.6
Warrants [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Anti-dilutive shares excluded from the calculation of diluted EPS	15.6	15.3	15.6	7.8

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive Income (Loss) - Components of Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance	$ 1,930,367	$ 2,127,109	$ 1,792,179	$ 2,067,964
Reclassification to interest expense	290	331	894	1,012
Tax effect			(202)	(239)
Ending Balance	2,017,423	2,193,292	2,017,423	2,193,292
Interest Rate Derivatives [Member]
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance			(2,827)	(3,841)
Reclassification to interest expense			894	1,012
Tax effect			(202)	(239)
Ending Balance	(2,135)	(3,068)	(2,135)	(3,068)
Foreign Currency Translation [Member]
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance			9	9
Reclassification to interest expense			0	0
Tax effect			0	0
Ending Balance	9	9	9	9
Accumulated Other Comprehensive Income (Loss) [Member]
Accumulated Other Comprehensive Income Loss [Line Items]
Beginning Balance	(2,347)	(3,312)	(2,818)	(3,832)
Ending Balance	$ (2,126)	$ (3,059)	$ (2,126)	$ (3,059)

Accumulated Other Comprehensi_4

Accumulated Other Comprehensive Income (Loss) - Additional Information (Details) - USD ($) $ in Millions	3 Months Ended		9 Months Ended
	Sep. 30, 2020	Sep. 30, 2019	Sep. 30, 2020	Sep. 30, 2019
Accumulated Other Comprehensive Income Loss [Abstract]
Unamortized realized loss in Accumulated other comprehensive income (loss) related to forward-starting interest rate swaps	$ 2.8		$ 2.8
Net realized losses reclassified into earnings	0.3	$ 0.3	0.9	$ 1
Realized losses related to forward-starting interest rate swaps expected to be reclassified into earnings within the next 12 months	$ 1.1		$ 1.1