Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2013 | Nov. 06, 2013 | |
Document and Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'Air Transport Services Group, Inc. | ' |
Entity Central Index Key | '0000894081 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Accelerated Filer | ' |
Document Type | '10-Q | ' |
Document Period End Date | 30-Sep-13 | ' |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Amendment Flag | 'false | ' |
Entity Common Stock, Shares Outstanding | ' | 64,666,881 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
CURRENT ASSETS: | ' | ' |
Cash and cash equivalents | $16,864 | $15,442 |
Accounts receivable, net of allowance of $543 in 2013 and $749 in 2012 | 45,680 | 47,858 |
Inventory | 8,952 | 9,430 |
Prepaid supplies and other | 11,075 | 8,855 |
Deferred income taxes | 19,154 | 19,154 |
Aircraft and engines held for sale | 2,491 | 3,360 |
TOTAL CURRENT ASSETS | 104,216 | 104,099 |
Property and equipment, net | 848,550 | 818,924 |
Other assets | 21,427 | 20,462 |
Intangibles | 4,958 | 5,146 |
Goodwill | 86,980 | 86,980 |
TOTAL ASSETS | 1,066,131 | 1,035,611 |
CURRENT LIABILITIES: | ' | ' |
Accounts payable | 32,988 | 36,521 |
Accrued salaries, wages and benefits | 22,936 | 22,917 |
Accrued expenses | 8,258 | 8,502 |
Current portion of debt obligations | 23,572 | 21,265 |
Unearned revenue | 9,771 | 10,311 |
TOTAL CURRENT LIABILITIES | 97,525 | 99,516 |
Long term debt obligations | 368,331 | 343,216 |
Post-retirement liabilities | 149,326 | 185,097 |
Other liabilities | 61,592 | 62,104 |
Deferred income taxes | 62,066 | 46,422 |
TOTAL LIABILITIES | 738,840 | 736,355 |
Commitments and contingencies (Note G) | ' | ' |
STOCKHOLDERS’ EQUITY: | ' | ' |
Preferred stock, 20,000,000 shares authorized, including 75,000 Series A Junior Participating Preferred Stock | 0 | 0 |
Common stock, par value $0.01 per share; 75,000,000 shares authorized; 64,672,632 and 64,130,056 shares issued and outstanding in 2013 and 2012, respectively | 647 | 641 |
Additional paid-in capital | 524,554 | 523,087 |
Accumulated deficit | -83,972 | -107,185 |
Accumulated other comprehensive loss | -113,938 | -117,287 |
TOTAL STOCKHOLDERS’ EQUITY | 327,291 | 299,256 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $1,066,131 | $1,035,611 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, except Share data, unless otherwise specified | ||
Assets, Current [Abstract] | ' | ' |
Allowance for doubtful accounts | $543 | $749 |
Stockholders' Equity Attributable to Parent [Abstract] | ' | ' |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized (in shares) | 75,000,000 | 75,000,000 |
Common stock, shares issued (in shares) | 64,672,632 | 64,130,056 |
Common stock, shares outstanding (in shares) | 64,672,632 | 64,130,056 |
Preferred Stock [Member] | ' | ' |
Stockholders' Equity Attributable to Parent [Abstract] | ' | ' |
Preferred stock, shares authorized (in shares) | 20,000,000 | 20,000,000 |
Series A Junior Participating Preferred Stock [Member] | ' | ' |
Stockholders' Equity Attributable to Parent [Abstract] | ' | ' |
Preferred stock, shares authorized (in shares) | 75,000 | 75,000 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
REVENUES | $140,877 | $153,826 | $423,060 | $452,886 |
OPERATING EXPENSES | ' | ' | ' | ' |
Salaries, wages and benefits | 41,498 | 44,153 | 126,771 | 135,827 |
Fuel | 11,356 | 12,038 | 38,157 | 39,962 |
Maintenance, materials and repairs | 24,644 | 26,751 | 71,783 | 75,135 |
Depreciation and amortization | 23,392 | 21,057 | 66,077 | 62,871 |
Travel | 4,409 | 5,618 | 13,908 | 17,162 |
Rent | 6,958 | 6,745 | 20,528 | 18,719 |
Landing and ramp | 2,227 | 3,877 | 8,264 | 11,823 |
Insurance | 1,559 | 1,944 | 4,466 | 5,780 |
Other operating expenses | 8,224 | 9,348 | 25,914 | 27,908 |
Operating Expenses | 124,267 | 131,531 | 375,868 | 395,187 |
OPERATING INCOME | 16,610 | 22,295 | 47,192 | 57,699 |
OTHER INCOME (EXPENSE) | ' | ' | ' | ' |
Interest income | 17 | 38 | 56 | 104 |
Interest expense | -3,814 | -3,668 | -10,500 | -10,886 |
Net gain (loss) on derivative instruments | -317 | 294 | 425 | 956 |
Other Nonoperating Income (Expense) | -4,114 | -3,336 | -10,019 | -9,826 |
EARNINGS FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 12,496 | 18,959 | 37,173 | 47,873 |
INCOME TAX EXPENSE | -4,697 | -7,403 | -13,958 | -18,436 |
EARNINGS FROM CONTINUING OPERATIONS | 7,799 | 11,556 | 23,215 | 29,437 |
LOSS FROM DISCONTINUED OPERATIONS, NET OF TAXES | 0 | -186 | -2 | -576 |
NET EARNINGS | $7,799 | $11,370 | $23,213 | $28,861 |
BASIC EARNINGS PER SHARE | ' | ' | ' | ' |
Continuing operations (in dollars per share) | $0.12 | $0.18 | $0.36 | $0.46 |
Discontinued operations (in dollars per share) | $0 | $0 | $0 | ($0.01) |
TOTAL BASIC EARNINGS PER SHARE (in dollars per share) | $0.12 | $0.18 | $0.36 | $0.45 |
DILUTED EARNINGS PER SHARE | ' | ' | ' | ' |
Continuing operations (in dollars per share) | $0.12 | $0.18 | $0.36 | $0.46 |
Discontinued operations (in dollars per share) | $0 | $0 | $0 | ($0.01) |
TOTAL DILUTED NET EARNINGS PER SHARE (in dollars per share) | $0.12 | $0.18 | $0.36 | $0.45 |
WEIGHTED AVERAGE SHARES | ' | ' | ' | ' |
Basic (in shares) | 64,052 | 63,456 | 63,972 | 63,439 |
Diluted (in shares) | 65,036 | 64,667 | 64,807 | 64,478 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
NET EARNINGS | $7,799 | $11,370 | $23,213 | $28,861 |
OTHER COMPREHENSIVE INCOME (LOSS): | ' | ' | ' | ' |
Gains and Losses on Derivatives | -7 | -9 | -23 | -27 |
TOTAL OTHER COMPREHENSIVE INCOME | 1,117 | 867 | 3,349 | 2,601 |
TOTAL COMPREHENSIVE INCOME | 8,916 | 12,237 | 26,562 | 31,462 |
Pension Plans [Member] | ' | ' | ' | ' |
OTHER COMPREHENSIVE INCOME (LOSS): | ' | ' | ' | ' |
Defined Benefit Pension and Post-Retirement | 1,958 | 1,682 | 5,874 | 5,047 |
Post-Retirement Plans [Member] | ' | ' | ' | ' |
OTHER COMPREHENSIVE INCOME (LOSS): | ' | ' | ' | ' |
Defined Benefit Pension and Post-Retirement | ($834) | ($806) | ($2,502) | ($2,419) |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
OPERATING ACTIVITIES: | ' | ' |
Net earnings from continuing operations | $23,215 | $29,437 |
Net loss from discontinued operations | -2 | -576 |
Adjustments to reconcile net earnings to net cash provided by operating activities: | ' | ' |
Depreciation and amortization | 66,077 | 62,871 |
Pension and post-retirement | 5,295 | 4,172 |
Deferred income taxes | 13,736 | 17,682 |
Amortization of stock-based compensation | 2,123 | 2,668 |
Amortization of DHL promissory note | -4,650 | -4,650 |
Net gain on derivative instruments | -425 | -956 |
Changes in assets and liabilities: | ' | ' |
Accounts receivable | 2,183 | 2,618 |
Inventory and prepaid supplies | -2,516 | -2,509 |
Accounts payable | -157 | -4,811 |
Unearned revenue | -5,676 | 4,002 |
Accrued expenses, salaries, wages, benefits and other liabilities | 1,520 | 3,811 |
Pension and post-retirement liabilities | -35,771 | -24,689 |
Other | -3,439 | -2,106 |
NET CASH PROVIDED BY OPERATING ACTIVITIES | 61,513 | 86,964 |
INVESTING ACTIVITIES: | ' | ' |
Capital expenditures | -96,766 | -108,339 |
Proceeds from property and equipment | 1,337 | 3,484 |
NET CASH (USED IN) INVESTING ACTIVITIES | -95,429 | -104,855 |
FINANCING ACTIVITIES: | ' | ' |
Principal payments on long term obligations | -47,928 | -9,399 |
Proceeds from bank borrowings | 80,000 | 25,000 |
Reimbursement of hangar construction costs | 3,266 | 0 |
NET CASH PROVIDED BY FINANCING ACTIVITIES | 35,338 | 15,601 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 1,422 | -2,290 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR | 15,442 | 30,503 |
CASH AND CASH EQUIVALENTS AT END OF PERIOD | 16,864 | 28,213 |
SUPPLEMENTAL CASH FLOW INFORMATION: | ' | ' |
Interest paid, net of amount capitalized | 9,976 | 9,240 |
Federal alternative minimum and state income taxes paid | 1,014 | 272 |
SUPPLEMENTAL NON-CASH INFORMATION: | ' | ' |
Debt extinguished | 4,650 | 4,650 |
Accrued capital expenditures | $1,394 | $15,390 |
Summary_of_Financial_Statement
Summary of Financial Statement Preparation and Significant Accounting Policies | 9 Months Ended | |
Sep. 30, 2013 | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |
Summary of Financial Statement Preparation and Significant Accounting Policies | ' | |
SUMMARY OF FINANCIAL STATEMENT PREPARATION AND SIGNIFICANT ACCOUNTING POLICIES | ||
Nature of Operations | ||
Air Transport Services Group, Inc. is a holding company whose principal subsidiaries include an aircraft leasing company and independently certificated airlines. Air Transport Services Group, Inc. and its subsidiaries, (the "Company") provides airline operations, aircraft leases, aircraft maintenance and other support services primarily to the cargo transportation and package delivery industries. The Company offers a range of complementary services to delivery companies, freight forwarders, airlines and government customers. | ||
The airlines, ABX Air, Inc. (“ABX”) and Air Transport International, Inc. (“ATI”), each have the authority, through their separate U.S. Department of Transportation ("DOT") and Federal Aviation Administration ("FAA") certificates, to transport cargo worldwide. The Company's leasing subsidiary, Cargo Aircraft Management, Inc. (“CAM”), leases aircraft to each of the Company's airlines as well as to non-affiliated airlines and other lessees. | ||
The Company provides aircraft and airline operations to its customers, typically under contracts providing for a combination of aircraft, crews, maintenance and insurance ("ACMI") services. The Company serves a base of concentrated customers who have a diverse line of international cargo traffic. DHL Network Operations (USA), Inc. and its affiliates, “DHL,” is the Company's largest customer. ATI provides passenger transportation, primarily to the U.S. Military, using "combi" aircraft, which are certified to carry passengers as well as cargo on the main deck. | ||
In addition to its airline operations and aircraft leasing services, the Company sells aircraft parts, provides aircraft and equipment maintenance services, and operates mail sorting facilities for the U.S. Postal Service (“USPS”). | ||
Basis of Presentation | ||
The accompanying unaudited condensed financial statements include the accounts of Air Transport Services Group, Inc. and its wholly-owned subsidiaries. Inter-company balances and transactions have been eliminated. The financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information. Certain information and footnote disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission for Form 10-Q. Accordingly, the accompanying financial statements do not include all of the information and footnotes required by GAAP for complete financial statements. These financial statements should be read in conjunction with the audited financial statements of the Company and notes thereto included in the annual report on Form 10-K filed with the Securities and Exchange Commission for the year ended December 31, 2012. | ||
In the opinion of management, the accompanying financial statements contain all adjustments, including normal recurring adjustments, necessary for the fair presentation of the Company’s results of operations and financial position for the periods presented. | ||
Use of Estimates | ||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect amounts reported in the consolidated financial statements. Estimates and assumptions are used to record allowances for uncollectible amounts, self-insurance reserves, spare parts inventory, depreciation and impairments of property, equipment, goodwill and intangibles, post-retirement obligations, income taxes, contingencies and litigation. Changes in estimates and assumptions may have a material impact on the consolidated financial statements. | ||
Cash and Cash Equivalents | ||
The Company classifies short-term, highly liquid investments with maturities of three months or less at the time of purchase as cash and cash equivalents. These investments, consisting of money market funds, are recorded at cost, which approximates fair value. Substantially all deposits of the Company’s cash are held in accounts that exceed federally insured limits. The Company deposits cash in common financial institutions which management believes are financially sound. | ||
Accounts Receivable and Allowance for Uncollectible Accounts | ||
The Company's accounts receivable is primarily due from its significant customers (see Note B), other airlines, the USPS and freight forwarders. The Company performs a quarterly evaluation of the accounts receivable and the allowance for uncollectible accounts by reviewing specific customers' recent payment history, growth prospects, financial condition and other factors that may impact a customer's ability to pay. The Company establishes an allowance for uncollectible accounts for probable losses due to a customer's potential inability or unwillingness to make contractual payments. Account balances are written off against the allowance when the Company ceases collection efforts. | ||
Inventory | ||
The Company’s inventory is comprised primarily of expendable aircraft parts and supplies used for aircraft maintenance. Inventory is generally charged to expense when issued for use on a Company aircraft. The Company values its inventory of aircraft parts and supplies at weighted-average cost and maintains a related obsolescence reserve. The Company records an obsolescence reserve on a base stock of inventory for each fleet type. The amortization of base stock for the obsolescence reserve corresponds to the expected life of each fleet type. Additionally, the Company monitors the usage rates of inventory parts and segregates parts that are technologically outdated or no longer used in its fleet types. Slow moving and segregated items are actively marketed and written down to their estimated net realizable values based on market conditions. | ||
Management analyzes the inventory reserve for reasonableness at the end of each quarter. That analysis includes consideration of the expected fleet life, amounts expected to be on hand at the end of a fleet life, and recent events and conditions that may impact the usability or value of inventory. Events or conditions that may impact the expected life, usability or net realizable value of inventory include additional aircraft maintenance directives from the FAA, changes in DOT regulations, new environmental laws and technological advances. | ||
Goodwill and Intangible Assets | ||
The Company assesses, during the fourth quarter of each year, the carrying value of goodwill. Finite-lived intangible assets are amortized over their estimated useful economic lives. The Company also conducts impairment assessments of goodwill, indefinite-lived intangible assets and finite-lived intangible assets whenever events or changes in circumstance indicate an impairment may have occurred. | ||
Property and Equipment | ||
Property and equipment held for use is stated at cost, net of any impairment recorded. The cost and accumulated depreciation of disposed property and equipment are removed from the accounts with any related gain or loss reflected in earnings from operations. | ||
Depreciation of property and equipment is provided on a straight-line basis over the lesser of the asset’s useful life or lease term. Depreciable lives of operating equipment are summarized as follows: | ||
DC-8 combi aircraft and flight equipment | Less than 1 year | |
Boeing 767 and 757 aircraft and flight equipment | 10 to 20 years | |
Support equipment | 5 to 10 years | |
Vehicles and other equipment | 3 to 8 years | |
The Company periodically evaluates the useful lives, salvage values and fair values of property and equipment. Acceleration of depreciation expense or the recording of significant impairment losses could result from changes in the estimated useful lives of assets due to a number of reasons, such as excess aircraft capacity or changes in regulations governing the use of aircraft. | ||
Aircraft and other long-lived assets are tested for impairment when circumstances indicate the carrying value of the assets may not be recoverable. To conduct impairment testing, the Company groups assets and liabilities at the lowest level for which identifiable cash flows are largely independent of cash flows of other assets and liabilities. For assets that are to be held and used, impairment is recognized when the estimated undiscounted cash flows associated with the asset group is less than the carrying value. If impairment exists, an adjustment is made to write the assets down to fair value, and a loss is recorded as the difference between the carrying value and fair value. Fair values are determined considering quoted market values, discounted cash flows or internal and external appraisals, as applicable. For assets held for sale, impairment is recognized when the fair value less the cost to sell the asset is less than the carrying value. | ||
The Company’s accounting policy for major airframe and engine maintenance varies by subsidiary and aircraft type. The costs for ABX's Boeing 767-200 airframe maintenance, which is the majority of the Company's aircraft fleet, are expensed as they are incurred. The costs of major airframe maintenance for the Company's other aircraft are capitalized and amortized over the useful life of the overhaul. The Company's General Electric CF6 engines that power the Boeing 767-200 aircraft are maintained under “power by the hour” agreements with an engine maintenance provider. Under the power by the hour agreements, the engines are maintained by the service provider for a fixed fee per flight hour; accordingly, the cost of engine maintenance is generally expensed as flight hours occur. Maintenance for the airlines’ other aircraft engines, including those on the Boeing 767-300 and Boeing 757 aircraft, are typically contracted to service providers on a time and material basis and the costs of those engine overhauls are capitalized and amortized over the useful life of the overhaul. | ||
Under certain leases, the Company is required to make periodic payments to the lessor for future maintenance events such as engine overhauls and major airframe maintenance. These payments are recorded as deposits until drawn for qualifying maintenance costs. The maintenance costs are expensed or capitalized in accordance with the airline's accounting policy for major airframe and engine maintenance. The Company evaluates at the balance sheet date, whether it is probable that an amount on deposit will be returned by the lessor to reimburse the costs of the maintenance activities. When an amount on deposit is less than probable of being returned, it is recognized as additional maintenance expense. | ||
Capitalized Interest | ||
Interest costs incurred while aircraft are being modified are capitalized as an additional cost of the aircraft until the date the asset is placed in service. Capitalized interest was none and $0.7 million for the quarters ended September 30, 2013 and 2012, respectively and $1.0 million and $2.0 million for the nine month periods ended September 30, 2013 and 2012, respectively. | ||
Discontinued Operations | ||
A business component whose operations are discontinued is reported as discontinued operations if the cash flows of the component have been eliminated from the ongoing operations of the Company, and the Company will no longer have any significant continuing involvement in the business component. The results of discontinued operations are aggregated and presented separately in the consolidated statements of operations. | ||
The Company's results of discontinued operations consist primarily of pension expenses and other benefits for former employees previously associated with ABX's former freight sorting and aircraft fueling services provided to DHL. ABX is self-insured for medical coverage and workers’ compensation, and may incur expenses and cash outlays in the future related to pension obligations, reserves for medical expenses and wage loss for former employees. | ||
Exit Activities | ||
One-time, involuntary employee termination benefits are generally expensed when the Company communicates the benefit arrangement to the employee that it will no longer require the services of the employee beyond a minimum retention period. Liabilities for contract termination costs associated with exit activities are recognized in the period incurred and measured initially at fair value. | ||
Self-Insurance | ||
The Company is self-insured for certain workers’ compensation, employee healthcare, automobile, aircraft, and general liability claims. The Company maintains excess claim coverage with common insurance carriers to mitigate its exposure to large claim losses. The Company records a liability for reported claims and an estimate for incurred claims that have not yet been reported. Accruals for these claims are estimated utilizing historical paid claims data and recent claims trends. Other liabilities included $30.7 million and $31.6 million at September 30, 2013 and December 31, 2012, respectively, for self-insured reserves. Changes in claim severity and frequency could result in actual claims being materially different than the costs accrued. | ||
Income Taxes | ||
Income taxes have been computed using the asset and liability method, under which deferred income taxes are provided for the temporary differences between the financial reporting basis and the tax basis of the Company’s assets and liabilities. Deferred taxes are measured using provisions of currently enacted tax laws. A valuation allowance against net deferred tax assets is recorded when it is more likely than not that such assets will not be fully realized. Tax credits are accounted for as a reduction of income taxes in the year in which the credit originates. | ||
The Company recognizes the benefit of a tax position taken on a tax return, if that position is more likely than not of being sustained on audit, based on the technical merits of the position. An uncertain income tax benefit is not recognized if it has less than a 50% likelihood of being sustained. The Company recognizes interest and penalties accrued related to uncertain tax positions in operating expense. | ||
Comprehensive Income | ||
Comprehensive income includes net earnings and other comprehensive income or loss. Other comprehensive income or loss results from certain changes in the Company’s liabilities for pension and other post-retirement benefits and gains and losses associated with interest rate hedging instruments. | ||
Fair Value Information | ||
Assets or liabilities that are required to be measured at fair value are reported using the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. FASB ASC Topic 820-10 Fair Value Measurements and Disclosures establishes three levels of input that may be used to measure fair value: | ||
• | Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | |
• | Level 2: Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. | |
• | Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include items where the determination of fair value requires significant management judgment or estimation. | |
Revenue Recognition | ||
Revenues generated from airline service agreements are typically recognized based on hours flown or the amount of aircraft and crew resources provided during a reporting period. Certain agreements include provisions for incentive payments based upon on-time reliability. These incentives are typically measured on a monthly basis and recorded to revenue in the corresponding month earned. Revenues for operating expenses that are reimbursed through customer agreements, including consumption of aircraft fuel, are generally recognized as the costs are incurred. Revenues from charter service agreements are recognized on scheduled and non-scheduled flights when the specific flight has been completed. Aircraft lease revenues are recognized as operating lease revenues on a straight-line basis over the term of the applicable lease agreements. Revenues from the sale of aircraft parts and engines are recognized when the parts are delivered. Revenues earned and expenses incurred in providing aircraft-related maintenance, repair or technical services are recognized in the period in which the services are completed and delivered to the customer. Revenues derived from sorting parcels are recognized in the reporting period in which the services are performed. |
Significant_Customers
Significant Customers | 9 Months Ended |
Sep. 30, 2013 | |
Significant Customers [Abstract] | ' |
Significant Customers | ' |
SIGNIFICANT CUSTOMERS | |
DHL | |
The Company has had long term contracts with DHL since August 2003. Revenues from continuing operations performed for DHL were approximately 55% and 55% of the Company's consolidated revenues from continuing operations for the three and nine month periods ended September 30, 2013, respectively, compared to 55% and 53% for the corresponding periods of 2012. The Company’s balance sheets include accounts receivable with DHL of $22.2 million and $18.3 million as of September 30, 2013 and December 31, 2012, respectively. | |
The Company leases Boeing 767 aircraft to DHL under both long-term and short-term lease agreements. Under a separate crew, maintenance and insurance (“CMI”) agreement, the Company operates Boeing 767 aircraft that DHL leases from the Company and Boeing 767 aircraft that DHL owns. Pricing for services provided through the CMI agreement is based on pre-defined fees, scaled for the number of aircraft operated and the number of flight crews provided to DHL for its U.S. network. The Company provides DHL with scheduled maintenance services for aircraft that DHL leases or owns. The Company also provides Boeing 767 and Boeing 757 air cargo transportation services for DHL through additional ACMI agreements in which the Company provides the aircraft, crews, maintenance and insurance under a single contract. Revenues generated from the ACMI agreements are typically based on hours flown. The Company also provides ground equipment, such as power units, air starts and related maintenance services to DHL under separate agreements. | |
U.S. Military | |
A substantial portion of the Company's revenues are also derived from the U.S. Military. The U.S. Military awards flights to U.S. certificated airlines through annual contracts and through temporary "expansion" routes. Revenues from services performed for the U.S. Military were approximately 17% and 17% of the Company's total revenues from continuing operations for the three and nine month periods ending September 30, 2013, respectively, compared to 15% and 16% for the corresponding periods of 2012. The Company's balance sheets included accounts receivable with the U.S. Military of $4.2 million and $4.2 million as of September 30, 2013 and December 31, 2012, respectively. |
Goodwill_and_Other_Intangibles
Goodwill and Other Intangibles | 9 Months Ended | ||||||||||||
Sep. 30, 2013 | |||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||
Goodwill and Other Intangibles | ' | ||||||||||||
GOODWILL AND OTHER INTANGIBLES | |||||||||||||
The Company has two reporting units that have goodwill, ATI (a component of the ACMI Services segment) and CAM. The carrying amounts of goodwill by reportable segment, are as follows (in thousands): | |||||||||||||
ACMI Services | CAM | Total | |||||||||||
Carrying value as of December 31, 2012 | $ | 52,585 | $ | 34,395 | $ | 86,980 | |||||||
Carrying value as of September 30, 2013 | $ | 52,585 | $ | 34,395 | $ | 86,980 | |||||||
The Company's intangible assets relate to the ACMI Services segment and are as follows (in thousands): | |||||||||||||
Customer | Airline | ||||||||||||
Relationships | Certificates | Total | |||||||||||
Carrying value as of December 31, 2012 | $ | 2,146 | $ | 3,000 | $ | 5,146 | |||||||
Amortization | (188 | ) | — | (188 | ) | ||||||||
Carrying value as of September 30, 2013 | $ | 1,958 | $ | 3,000 | $ | 4,958 | |||||||
The customer relationship intangible amortizes over eight more years. The airline certificates have an indefinite life and therefore are not amortized. |
Fair_Value_Measurements
Fair Value Measurements | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair Value Measurements | ' | |||||||||||||||
FAIR VALUE MEASUREMENTS | ||||||||||||||||
The Company’s money market funds and interest rate swap are reported on the Company’s consolidated balance sheets at fair values based on market values from identical or comparable transactions. The fair value of the Company’s money market funds and interest rate swap are based on observable inputs (Level 2) from comparable market transactions. The use of significant unobservable inputs (Level 3) was not necessary in determining the fair value of the Company’s financial assets and liabilities. | ||||||||||||||||
The following table reflects assets and liabilities that are measured at fair value on a recurring basis (in thousands): | ||||||||||||||||
As of September 30, 2013 | Fair Value Measurement Using | Total | ||||||||||||||
Level 1 | Level 2 | Level 3 | ||||||||||||||
Assets | ||||||||||||||||
Cash equivalents—money market | $ | 20 | $ | 3,797 | $ | — | $ | 3,817 | ||||||||
Total Assets | $ | 20 | $ | 3,797 | $ | — | $ | 3,817 | ||||||||
Liabilities | ||||||||||||||||
Interest rate swaps | $ | — | $ | (2,721 | ) | $ | — | $ | (2,721 | ) | ||||||
Total Liabilities | $ | — | $ | (2,721 | ) | $ | — | $ | (2,721 | ) | ||||||
As of December 31, 2012 | Fair Value Measurement Using | Total | ||||||||||||||
Level 1 | Level 2 | Level 3 | ||||||||||||||
Assets | ||||||||||||||||
Cash equivalents—money market | $ | 18 | $ | 339 | $ | — | $ | 357 | ||||||||
Total Assets | $ | 18 | $ | 339 | $ | — | $ | 357 | ||||||||
Liabilities | ||||||||||||||||
Interest rate swaps | $ | — | $ | (3,146 | ) | $ | — | $ | (3,146 | ) | ||||||
Total Liabilities | $ | — | $ | (3,146 | ) | $ | — | $ | (3,146 | ) | ||||||
As a result of lower market interest rates for the aircraft loans compared to the stated interest rates of the Company’s fixed rate debt obligations, the fair value of the Company’s debt obligations, based on Level 2 observable inputs, was approximately $2.8 million more than the carrying value, which was $391.9 million at September 30, 2013. The non-financial assets, including goodwill, intangible assets and property and equipment are measured at fair value on a non-recurring basis. |
Property_and_Equipment
Property and Equipment | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Property and Equipment | ' | |||||||
PROPERTY AND EQUIPMENT | ||||||||
The Company's property and equipment consists primarily of cargo aircraft, aircraft engines and flight equipment. Property and equipment, to be held and used, is summarized as follows (in thousands): | ||||||||
September 30, | December 31, | |||||||
2013 | 2012 | |||||||
Aircraft and flight equipment | $ | 1,232,284 | $ | 1,148,781 | ||||
Support equipment | 51,179 | 52,209 | ||||||
Vehicles and other equipment | 1,706 | 1,597 | ||||||
Leasehold improvements | 1,091 | 814 | ||||||
1,286,260 | 1,203,401 | |||||||
Accumulated depreciation | (437,710 | ) | (384,477 | ) | ||||
Property and equipment, net | $ | 848,550 | $ | 818,924 | ||||
CAM owned aircraft with a carrying value of $254.4 million and $273.4 million that were under leases to external customers as of September 30, 2013 and December 31, 2012, respectively. | ||||||||
The carrying value of Boeing 727 and DC-8 freighter aircraft and engines available for sale totaled $2.5 million and $3.4 million as of September 30, 2013 and December 31, 2012, respectively. |
Debt_Obligations
Debt Obligations | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Debt Disclosure [Abstract] | ' | |||||||
Debt Obligations | ' | |||||||
DEBT OBLIGATIONS | ||||||||
Long term obligations consisted of the following (in thousands): | ||||||||
September 30, | December 31, | |||||||
2013 | 2012 | |||||||
Unsubordinated term loan | $ | 135,000 | $ | 144,375 | ||||
Revolving credit facility | 190,500 | 143,000 | ||||||
Aircraft loans | 57,103 | 63,156 | ||||||
Promissory note due to DHL, unsecured | 9,300 | 13,950 | ||||||
Total long term obligations | 391,903 | 364,481 | ||||||
Less: current portion | (23,572 | ) | (21,265 | ) | ||||
Total long term obligations, net | $ | 368,331 | $ | 343,216 | ||||
The Company executed a syndicated credit agreement ("Senior Credit Agreement") in May 2011 which includes an unsubordinated term loan and a revolving credit facility. In July 2012, the Company executed the first amendment to the Senior Credit Agreement (“Credit Amendment”). The Credit Amendment increased the amount available under the revolving credit facility by $50.0 million to $225.0 million, extended the maturity of the term loan and revolving credit facility to July 20, 2017, and provided for an accordion feature whereby the Company could draw up to an additional $50.0 million, subject to the lenders' consent. The Senior Credit Agreement provides for the issuance of letters of credit on the Company's behalf. In October 2013, the lenders agreed to make the accordion funds of $50.0 million available to the Company, increasing the capacity of the revolving credit facility to $275.0 million. At this time, the unused revolving credit facility totals $74.1 million, net of draws of $190.5 million and outstanding letters of credit of $10.4 million. | ||||||||
Under the terms of the Senior Credit Agreement, interest rates are adjusted no more than quarterly based on the Company's earnings before interest, taxes, depreciation and amortization expenses ("EBITDA"), its outstanding debt level and prevailing LIBOR or prime rates. At the Company's current debt-to-EBITDA ratio, the LIBOR based financing for the unsubordinated term loan and revolving credit facility bear a variable interest rate of 2.555% and 2.555%, respectively. The Credit Amendment did not affect the EBITDA based pricing or covenants of the Senior Credit Agreement. | ||||||||
The aircraft loans are collateralized by six aircraft, and amortize monthly with a balloon payment of approximately 20% with maturities between 2016 and early 2018. Interest rates range from 6.74% to 7.36% per annum payable monthly. | ||||||||
The promissory note payable to DHL becomes due in August 2028 as a balloon payment, unless it is extinguished sooner under the terms of the CMI agreement. Beginning April 1, 2010 and extending through the term of the CMI agreement, the balance of the note is amortized ratably without cash payment in exchange for services provided and, thus, is expected to be completely amortized by April 2015. The promissory note bears interest at a rate of 5% per annum, and DHL reimburses ABX the interest expense from the note through the term of the CMI agreement. | ||||||||
The Senior Credit Agreement is collateralized by certain of the Company's Boeing 767 and 757 aircraft that are not collateralized under aircraft loans. Under the terms of the Senior Credit Agreement, the Company is required to maintain collateral coverage equal to 150% of the outstanding balance of the term loan and total capacity of the revolving credit facility. The Senior Credit Agreement contains covenants including, among other things, limitations on certain additional indebtedness, guarantees of indebtedness, as well as a total debt to EBITDA ratio and a fixed charge coverage ratio. The Senior Credit Agreement stipulates events of default, including unspecified events that may have material adverse effects on the Company. If an event of default occurs, the Company may be forced to repay, renegotiate or replace the Senior Credit Agreement. The Company is currently in compliance with the financial covenants specified in the Senior Credit Agreement. The Senior Credit Agreement limits the amount of dividends the Company can pay and the amount of common stock it can repurchase to $50.0 million during any calendar year, provided the Company's total debt to EBITDA ratio is under two times, after giving effect to the dividend or repurchase. Under the provisions of its promissory note due to DHL, the Company is required to prepay the DHL note in the amount of $0.20 for each dollar of dividend distributed to its stockholders. The same prepayment stipulation applies to stock repurchases. |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended | ||
Sep. 30, 2013 | |||
Commitments and Contingencies Disclosure [Abstract] | ' | ||
Commitments and Contingencies | ' | ||
COMMITMENTS AND CONTINGENCIES | |||
Lease Commitments | |||
The Company leases six Boeing 767 aircraft, airport facilities, office space, maintenance facilities and certain equipment under operating leases. In December 2012, the Company entered into agreements with the Clinton County Port Authority ("CCPA") to construct and lease an aircraft hangar in Wilmington, Ohio, adjacent to the existing aircraft maintenance facility currently leased by the Company. The Company is acting as the construction agent for the CCPA and began construction of the 100,000 square foot aircraft hangar in January 2013. While the current facility houses aircraft as large as the Boeing 767, the new hangar will provide the capability of servicing aircraft as large as a Boeing 747-400 and a Boeing 777. The hangar is anticipated to cost approximately $15.7 million and is expected to take 14 to 16 months to complete. The CCPA is financing the construction of the hangar primarily through a State of Ohio bond program and a State of Ohio loan on incremental taxes. The costs incurred to build the hangar are included in "Property and equipment" and the amounts reimbursed through the State of Ohio and the CCPA are included in "Other liabilities" on the Company's balance sheet. The Company will begin to make lease payments for the hangar directly to the trustee for the State of Ohio beginning in 2014. | |||
Guarantees and Indemnifications | |||
Certain leases and agreements of the Company contain guarantees and indemnification obligations to the lessor, or one or more other parties that are considered reasonable and customary (e.g. use, tax and environmental indemnifications), the terms of which range in duration and are often limited. Such indemnification obligations may continue after expiration of the respective lease or agreement. | |||
Civil Action Alleging Violations of Immigration Laws | |||
On December 31, 2008, a former ABX employee filed a complaint against ABX, a total of four current and former executives and managers of ABX, Garcia Labor Company of Ohio, and three former executives of the Garcia Labor companies, in the U.S. District Court for the Southern District of Ohio. The case was filed as a putative class action against the defendants, and asserts violations of the Racketeer Influenced and Corrupt Practices Act (RICO). The complaint, which was later amended to include a second former employee plaintiff, seeks damages in an unspecified amount and alleges that the defendants engaged in a scheme to hire illegal immigrant workers to depress the wages paid to hourly wage employees during the period from December 1999 to January 2005. | |||
On December 2, 2011, the plaintiffs agreed to settle this matter in exchange for the payment by ABX to plaintiffs and the putative class members of a monetary amount, which amount management believes to be less than it would have cost to defend the case at trial. The final settlement was approved by the Court on July 9, 2013 and following a 30-day appeal period during which no objections were received, the settlement funds were paid to the class administrator for distribution in accordance with the terms of the settlement agreement. | |||
Brussels Noise Ordinance | |||
The Brussels Instituut voor Milieubeheer ("BIM"), a governmental authority in the Brussels-Capital Region of Belgium that oversees the enforcement of environmental matters, imposed four separate administrative penalties on ABX in the approximate aggregate amount of €0.4 million ($0.5 million) for numerous alleged violations of an ordinance limiting the noise caused by aircraft overflying the Brussels-Capital Region (which is located near the Brussels Airport) during the period from May 2009 through December 2010. ABX has to date exhausted its appeals with respect to two of the administrative penalties. | |||
The ordinance in question is controversial for the reason that it was adopted by the Brussels-Capital Region and is more restrictive than the noise limitations in effect in the Flemish Region, which is where the Brussels Airport is located. The ordinance is the subject of several court cases currently pending in the Belgian courts and numerous airlines have been levied fines thereunder. | |||
Other | |||
In addition to the foregoing matters, we are also currently a party to legal proceedings, including FAA enforcement actions, in various federal and state jurisdictions arising out of the operation of the Company's business. The amount of alleged liability, if any, from these proceedings cannot be determined with certainty; however, we believe that the Company's ultimate liability, if any, arising from the pending legal proceedings, as well as from asserted legal claims and known potential legal claims which are probable of assertion, taking into account established accruals for estimated liabilities, should not be material to our financial condition or results of operations. | |||
Employees Under Collective Bargaining Agreements | |||
As of September 30, 2013, the flight crewmember employees of ABX and ATI were represented by the labor unions listed below: | |||
Airline | Labor Agreement Unit | Percentage of | |
the Company’s | |||
Employees | |||
ABX | International Brotherhood of Teamsters | 14.60% | |
ATI | Airline Pilots Association | 8.90% |
Pension_and_Other_PostRetireme
Pension and Other Post-Retirement Benefit Plans | 9 Months Ended | |||||||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||||||||||||||||||
Pension and Other Post-Retirement Benefit Plans | ' | |||||||||||||||||||||||||||||||
PENSION AND OTHER POST-RETIREMENT BENEFIT PLANS | ||||||||||||||||||||||||||||||||
Defined Benefit and Post-retirement Healthcare Plans | ||||||||||||||||||||||||||||||||
ABX sponsors a qualified defined benefit pension plan for ABX crewmembers and a qualified defined benefit pension plan for a major portion of its other ABX employees that meet minimum eligibility requirements. ABX also sponsors non-qualified defined benefit pension plans for certain employees. These non-qualified plans are unfunded. Employees are no longer accruing benefits under any of the defined benefit pension plans. ABX also sponsors a post-retirement healthcare plan for its ABX employees, which is unfunded. | ||||||||||||||||||||||||||||||||
The accounting and valuation for these post-retirement obligations are determined by prescribed accounting and actuarial methods that consider a number of assumptions and estimates. The selection of appropriate assumptions and estimates is significant due to the long time period over which benefits will be accrued and paid. The long term nature of these benefit payouts increases the sensitivity of certain estimates of our post-retirement costs. The assumptions considered most sensitive in actuarially valuing ABX’s pension obligations and determining related expense amounts are discount rates and expected long term investment returns on plan assets. Additionally, other assumptions concerning retirement ages, mortality and employee turnover also affect the valuations. Actual results and future changes in these assumptions could result in future costs significantly higher than those recorded in our results of operations. The Company’s net periodic benefit costs for its qualified defined benefit pension plans and post-retirement healthcare plans for both continuing and discontinued operations are as follows (in thousands): | ||||||||||||||||||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||||||||
Pension Plans | Post-Retirement Healthcare Plan | Pension Plans | Post-Retirement Healthcare Plan | |||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
Service cost | $ | — | $ | — | $ | 69 | $ | 67 | $ | — | $ | — | $ | 207 | $ | 201 | ||||||||||||||||
Interest cost | 8,989 | 9,272 | 66 | 95 | 26,967 | 27,816 | 198 | 285 | ||||||||||||||||||||||||
Expected return on plan assets | (11,498 | ) | (9,970 | ) | — | — | (34,494 | ) | (29,910 | ) | — | — | ||||||||||||||||||||
Amortization of prior service cost | — | — | (1,413 | ) | (1,388 | ) | — | — | (4,239 | ) | (4,164 | ) | ||||||||||||||||||||
Amortization of net (gain) loss | 3,074 | 2,670 | 104 | 108 | 9,222 | 8,010 | 312 | 324 | ||||||||||||||||||||||||
Net periodic benefit cost (benefit) | $ | 565 | $ | 1,972 | $ | (1,174 | ) | $ | (1,118 | ) | $ | 1,695 | $ | 5,916 | $ | (3,522 | ) | $ | (3,354 | ) | ||||||||||||
During the three and nine month periods ended September 30, 2013, the Company contributed $17.9 million and $27.6 million to the pension plans. The Company does not expect to make additional contributes to the pension plans during the remainder of 2013. |
Income_Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2013 | |
Income Tax Disclosure [Abstract] | ' |
Income Taxes | ' |
INCOME TAXES | |
The provision for income taxes for interim periods is based on management's best estimate of the effective income tax rate expected to be applicable for the current year, plus any adjustments arising from changes in the estimated amount of taxable income related to prior periods. Income taxes recorded through September 30, 2013 have been estimated utilizing a 37.5% rate based upon year-to-date income and projected results for the full year. The final effective tax rate applied to 2013 will depend on the actual amount of pre-tax book income generated by the Company for the full year. | |
The Company has operating loss carryforwards for U.S. federal income tax purposes. Management expects to utilize the loss carryforwards to offset federal income tax liabilities in the future. Due to the Company's deferred tax assets, including its loss carryforwards, management does not expect to pay federal income taxes through 2015 or later. The Company may, however, be required to pay alternative minimum taxes and certain state and local income taxes before then. |
Derivative_Instruments
Derivative Instruments | 9 Months Ended | |||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||||
Derivative Instruments | ' | |||||||||||||||||
DERIVATIVE INSTRUMENTS | ||||||||||||||||||
The Company's Senior Credit Agreement requires the Company to maintain derivative instruments for protection from fluctuating interest rates, for at least fifty percent of the outstanding balance of the term loan. As a result, the Company entered into an interest rate swap in July of 2011 having an initial notional value of $75.0 million and a forward start date of December 31, 2011. Under this swap, the Company pays a fixed rate of 2.02% and receives a floating rate that resets quarterly based on LIBOR. In addition to the interest rate swap above, the Company entered into an interest rate swap in June of 2013 having an initial notional value of $65.6 million and a forward start date of December 31, 2013. Under this swap, the Company will pay a fixed rate of 1.1825% and receive a floating rate that resets monthly based on LIBOR. | ||||||||||||||||||
The outstanding interest rate swaps are not designated as hedges for accounting purposes. The effects of future fluctuations in LIBOR interest rates on derivatives held by the Company will result in the recording of unrealized gains and losses into the statement of earnings. For the quarter ended September 30, 2013, the Company recorded an unrealized loss on derivatives of $0.3 million to reflect the interest rate swaps at market value. The liability for outstanding derivatives is recorded in other liabilities and in accrued expenses. The table below provides information about the Company’s interest rate swaps (in thousands): | ||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||
Expiration Date | Stated | Notional | Market | Notional | Market | |||||||||||||
Interest | Amount | Value | Amount | Value | ||||||||||||||
Rate | (Liability) | (Liability) | ||||||||||||||||
9-May-16 | 2.02% | $ | 67,500 | $ | (2,203 | ) | $ | 72,188 | $ | (3,146 | ) | |||||||
30-Jun-17 | 1.18% | 65,625 | (518 | ) | — | — | ||||||||||||
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Income (Loss) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Stockholders' Equity Note [Abstract] | ' | ||||||||||||||||
Accumulated Other Comprehensive Income | ' | ||||||||||||||||
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |||||||||||||||||
Accumulated other comprehensive income (loss) includes the following items by components for the three and nine month periods ended September 30, 2013 and 2012 (in thousands): | |||||||||||||||||
Defined Benefit Pension | Defined Benefit Post-Retirement | Gains and Losses on Derivative | Total | ||||||||||||||
Balance as of June 30, 2012 | $ | (107,262 | ) | $ | 5,892 | $ | 57 | $ | (101,313 | ) | |||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||||||
Actuarial costs (reclassified to salaries, wages and benefits) | 2,670 | 108 | — | 2,778 | |||||||||||||
Negative prior service cost (reclassified to salaries, wages and benefits) | — | (1,387 | ) | — | (1,387 | ) | |||||||||||
Hedging gain (reclassified to interest expense) | — | — | (14 | ) | (14 | ) | |||||||||||
Income tax (expense) or benefit | (988 | ) | 473 | 5 | (510 | ) | |||||||||||
Other comprehensive income (loss), net of tax | 1,682 | (806 | ) | (9 | ) | 867 | |||||||||||
Balance as of September 30, 2012 | $ | (105,580 | ) | $ | 5,086 | $ | 48 | $ | (100,446 | ) | |||||||
Balance as of December 31, 2011 | $ | (110,626 | ) | $ | 7,504 | $ | 75 | $ | (103,047 | ) | |||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||||||
Actuarial costs (reclassified to salaries, wages and benefits) | 8,011 | 324 | — | 8,335 | |||||||||||||
Negative prior service cost (reclassified to salaries, wages and benefits) | — | (4,162 | ) | — | (4,162 | ) | |||||||||||
Hedging gain (reclassified to interest expense) | — | — | (42 | ) | (42 | ) | |||||||||||
Income tax (expense) or benefit | (2,964 | ) | 1,419 | 15 | (1,530 | ) | |||||||||||
Other comprehensive income (loss), net of tax | 5,047 | (2,419 | ) | (27 | ) | 2,601 | |||||||||||
Balance as of September 30, 2012 | $ | (105,579 | ) | $ | 5,085 | $ | 48 | $ | (100,446 | ) | |||||||
Defined Benefit Pension | Defined Benefit Post-Retirement | Gains and Losses on Derivative | Total | ||||||||||||||
Balance as of June 30, 2013 | $ | (117,686 | ) | $ | 2,609 | $ | 22 | $ | (115,055 | ) | |||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||||||
Actuarial costs (reclassified to salaries, wages and benefits) | 3,074 | 104 | — | 3,178 | |||||||||||||
Negative prior service cost (reclassified to salaries, wages and benefits) | — | (1,413 | ) | — | (1,413 | ) | |||||||||||
Hedging gain (reclassified to interest expense) | — | — | (12 | ) | (12 | ) | |||||||||||
Income tax (expense) or benefit | (1,116 | ) | 475 | 5 | (636 | ) | |||||||||||
Other comprehensive income (loss), net of tax | 1,958 | (834 | ) | (7 | ) | 1,117 | |||||||||||
Balance as of September 30, 2013 | $ | (115,728 | ) | $ | 1,775 | $ | 15 | $ | (113,938 | ) | |||||||
Balance as of December 31, 2012 | $ | (121,602 | ) | $ | 4,277 | $ | 38 | $ | (117,287 | ) | |||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||||||
Actuarial costs (reclassified to salaries, wages and benefits) | 9,222 | 312 | — | 9,534 | |||||||||||||
Negative prior service cost (reclassified to salaries, wages and benefits) | — | (4,239 | ) | — | (4,239 | ) | |||||||||||
Hedging gain (reclassified to interest expense) | — | — | (38 | ) | (38 | ) | |||||||||||
Income tax (expense) or benefit | (3,348 | ) | 1,425 | 15 | (1,908 | ) | |||||||||||
Other comprehensive income (loss), net of tax | 5,874 | (2,502 | ) | (23 | ) | 3,349 | |||||||||||
Balance as of September 30, 2013 | $ | (115,728 | ) | $ | 1,775 | $ | 15 | $ | (113,938 | ) | |||||||
StockBased_Compensation
Stock-Based Compensation | 9 Months Ended | |||||||||||||
Sep. 30, 2013 | ||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||||
Stock-Based Compensation | ' | |||||||||||||
STOCK-BASED COMPENSATION | ||||||||||||||
The Company's Board of Directors has granted stock incentive awards to certain employees and board members pursuant to a long term incentive plan which was approved by the Company's stockholders in May 2005. Employees have been awarded non-vested stock units with performance conditions, non-vested stock units with market conditions and non-vested restricted stock. The restrictions on the non-vested restricted stock awards lapse at the end of a specified service period, which is typically approximately three years from the date of grant. Restrictions could lapse sooner upon a business combination, death, disability or after an employee qualifies for retirement. The non-vested stock units will be converted into a number of shares of Company stock depending on performance and market conditions at the end of a specified service period, lasting approximately three years. The performance condition awards will be converted into a number of shares of Company stock based on the Company's average return on invested capital during the service period. Similarly, the market condition awards will be converted into a number of shares depending on the appreciation of the Company's stock compared to the NASDAQ Transportation Index. Board members were granted time-based awards with approximately a six-month vesting period, which will settle when the board member ceases to be a director of the Company. The Company expects to settle all of the stock unit awards by issuing new shares of stock. The table below summarizes award activity. | ||||||||||||||
Nine Months Ended | ||||||||||||||
30-Sep-13 | 30-Sep-12 | |||||||||||||
Number of | Weighted | Number of | Weighted | |||||||||||
Awards | average | Awards | average | |||||||||||
grant-date | grant-date | |||||||||||||
fair value | fair value | |||||||||||||
Outstanding at beginning of period | 1,463,272 | $ | 5.97 | 1,458,037 | $ | 5.77 | ||||||||
Granted | 627,488 | 5.73 | 601,647 | 5.93 | ||||||||||
Converted | (392,748 | ) | 4.87 | (142,200 | ) | 8.11 | ||||||||
Expired | — | — | — | — | ||||||||||
Forfeited | (7,200 | ) | 6.82 | (88,800 | ) | 5.93 | ||||||||
Outstanding at end of period | 1,690,812 | $ | 6.13 | 1,828,684 | $ | 5.63 | ||||||||
Vested | 441,812 | $ | 4.9 | 483,284 | $ | 4.68 | ||||||||
The average grant-date fair value of each performance condition award, non-vested restricted stock award and time-based award granted by the Company in 2013 was $5.46, the fair value of the Company’s stock on the date of grant. The average grant-date fair value of each market condition award granted in 2013 was $6.78. The market condition awards were valued using a Monte Carlo simulation technique, a risk-free interest rate of 0.4% and a volatility of 60.1% based on volatility over three years using daily stock prices. | ||||||||||||||
For the nine month periods ended September 30, 2013 and 2012, the Company recorded expense of $2.1 million and $2.7 million, respectively, for stock incentive awards. At September 30, 2013, there was $3.5 million of unrecognized expense related to the stock incentive awards that is expected to be recognized over a weighted-average period of 1.3 years. As of September 30, 2013, none of the awards were convertible, 441,812 units of the Board members time-based awards had vested and none of the outstanding shares of the restricted stock had vested. These awards could result in a maximum number of 2,004,812 additional outstanding shares of the Company’s common stock depending on service, performance and market results through December 31, 2015. |
Earnings_Per_Share
Earnings Per Share | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
Earnings Per Share | ' | |||||||||||||||
EARNINGS PER SHARE | ||||||||||||||||
The calculation of basic and diluted earnings per common share follows (in thousands, except per share amounts): | ||||||||||||||||
Three Months Ending | Nine Months Ending | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Earnings from continuing operations | $ | 7,799 | $ | 11,556 | $ | 23,215 | $ | 29,437 | ||||||||
Weighted-average shares outstanding for basic earnings per share | 64,052 | 63,456 | 63,972 | 63,439 | ||||||||||||
Common equivalent shares: | ||||||||||||||||
Effect of stock-based compensation awards | 984 | 1,211 | 835 | 1,039 | ||||||||||||
Weighted-average shares outstanding assuming dilution | 65,036 | 64,667 | 64,807 | 64,478 | ||||||||||||
Basic earnings per share from continuing operations | $ | 0.12 | $ | 0.18 | $ | 0.36 | $ | 0.46 | ||||||||
Diluted earnings per share from continuing operations | $ | 0.12 | $ | 0.18 | $ | 0.36 | $ | 0.46 | ||||||||
The number of equivalent shares that were not included in weighted average shares outstanding assuming dilution, because their effect would have been anti-dilutive, was none and 77,000 at September 30, 2013 and 2012, respectively. |
Segment_Information
Segment Information | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Segment Information | ' | |||||||||||||||
SEGMENT INFORMATION | ||||||||||||||||
The Company operates in two reportable segments, as described below. The CAM segment consists of the Company's aircraft leasing operations and its segment earnings includes an allocation of interest expense. The ACMI Services segment consists of the Company's airline operations, including the CMI agreement with DHL as well as ACMI and charter service agreements that the Company has with other customers. Due to the similarities among the Company's airline operations, the airline operations are aggregated into a single reportable segment, ACMI Services. The Company's other activities, which include contracts with the USPS, the sale of aircraft parts and maintenance services, facility and ground equipment maintenance services and management services for workers' compensation do not constitute reportable segments and are combined in “All other” with inter-segment profit eliminations. Inter-segment revenues are valued at arms-length, market rates. Cash, cash equivalents and deferred tax assets are reflected in Assets - All other below. The Company's segment information from continuing operations is presented below (in thousands): | ||||||||||||||||
Three Months Ending | Nine Months Ending | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Total revenues: | ||||||||||||||||
CAM | $ | 40,089 | $ | 39,155 | $ | 118,420 | $ | 115,073 | ||||||||
ACMI Services | 109,429 | 122,526 | 327,349 | 357,110 | ||||||||||||
All other | 30,037 | 26,773 | 83,242 | 81,876 | ||||||||||||
Eliminate inter-segment revenues | (38,678 | ) | (34,628 | ) | (105,951 | ) | (101,173 | ) | ||||||||
Total | $ | 140,877 | $ | 153,826 | $ | 423,060 | $ | 452,886 | ||||||||
Customer revenues: | ||||||||||||||||
CAM | $ | 17,373 | $ | 18,638 | $ | 53,553 | $ | 56,663 | ||||||||
ACMI Services | 109,429 | 122,526 | 327,349 | 357,110 | ||||||||||||
All other | 14,075 | 12,662 | 42,158 | 39,113 | ||||||||||||
Total | $ | 140,877 | $ | 153,826 | $ | 423,060 | $ | 452,886 | ||||||||
Depreciation and amortization expense: | ||||||||||||||||
CAM | $ | 16,697 | $ | 15,187 | $ | 46,016 | $ | 44,288 | ||||||||
ACMI Services | 6,821 | 5,685 | 19,651 | 18,244 | ||||||||||||
All other | (126 | ) | 185 | 410 | 339 | |||||||||||
Total | $ | 23,392 | $ | 21,057 | $ | 66,077 | $ | 62,871 | ||||||||
Segment earnings (loss): | ||||||||||||||||
CAM | $ | 15,893 | $ | 17,334 | $ | 49,980 | $ | 50,819 | ||||||||
ACMI Services | (7,113 | ) | (1,746 | ) | (21,610 | ) | (11,543 | ) | ||||||||
All other | 4,400 | 3,373 | 9,188 | 8,602 | ||||||||||||
Net unallocated interest expense | (367 | ) | (296 | ) | (810 | ) | (961 | ) | ||||||||
Net gain on derivative instruments | (317 | ) | 294 | 425 | 956 | |||||||||||
Pre-tax earnings from continuing operations | $ | 12,496 | $ | 18,959 | $ | 37,173 | $ | 47,873 | ||||||||
The Company's assets are presented below by segment (in thousands): | ||||||||||||||||
September 30, | December 31, | |||||||||||||||
2013 | 2012 | |||||||||||||||
Assets: | ||||||||||||||||
CAM | $ | 807,571 | $ | 810,664 | ||||||||||||
ACMI Services | 177,603 | 161,650 | ||||||||||||||
All other | 80,957 | 63,297 | ||||||||||||||
Total | $ | 1,066,131 | $ | 1,035,611 | ||||||||||||
Interest expense of $0.1 million and $0.4 million for the three and nine month periods ending September 30, 2013, respectively, compared to $0.2 million and $0.7 million for the corresponding periods in 2012, respectively, was reimbursed through the commercial agreements with DHL and included in the ACMI Services segment earnings above. Interest expense allocated to CAM was $3.3 million and $9.2 million for the three and nine month periods ending September 30, 2013, respectively, compared to $3.1 million and $9.1 million for the corresponding periods of 2012, respectively. |
Summary_of_Financial_Statement1
Summary of Financial Statement Preparation and Significant Accounting Policies (Policies) | 9 Months Ended | |
Sep. 30, 2013 | ||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |
Basis of Presentation | ' | |
Basis of Presentation | ||
The accompanying unaudited condensed financial statements include the accounts of Air Transport Services Group, Inc. and its wholly-owned subsidiaries. Inter-company balances and transactions have been eliminated. The financial statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial information. Certain information and footnote disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission for Form 10-Q. Accordingly, the accompanying financial statements do not include all of the information and footnotes required by GAAP for complete financial statements. These financial statements should be read in conjunction with the audited financial statements of the Company and notes thereto included in the annual report on Form 10-K filed with the Securities and Exchange Commission for the year ended December 31, 2012. | ||
In the opinion of management, the accompanying financial statements contain all adjustments, including normal recurring adjustments, necessary for the fair presentation of the Company’s results of operations and financial position for the periods presented. | ||
Use of Estimates | ' | |
Use of Estimates | ||
The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect amounts reported in the consolidated financial statements. Estimates and assumptions are used to record allowances for uncollectible amounts, self-insurance reserves, spare parts inventory, depreciation and impairments of property, equipment, goodwill and intangibles, post-retirement obligations, income taxes, contingencies and litigation. Changes in estimates and assumptions may have a material impact on the consolidated financial statements. | ||
Cash and Cash Equivalents | ' | |
Cash and Cash Equivalents | ||
The Company classifies short-term, highly liquid investments with maturities of three months or less at the time of purchase as cash and cash equivalents. These investments, consisting of money market funds, are recorded at cost, which approximates fair value. Substantially all deposits of the Company’s cash are held in accounts that exceed federally insured limits. The Company deposits cash in common financial institutions which management believes are financially sound. | ||
Accounts Receivable and Allowance for Uncollectible Accounts | ' | |
Accounts Receivable and Allowance for Uncollectible Accounts | ||
The Company's accounts receivable is primarily due from its significant customers (see Note B), other airlines, the USPS and freight forwarders. The Company performs a quarterly evaluation of the accounts receivable and the allowance for uncollectible accounts by reviewing specific customers' recent payment history, growth prospects, financial condition and other factors that may impact a customer's ability to pay. The Company establishes an allowance for uncollectible accounts for probable losses due to a customer's potential inability or unwillingness to make contractual payments. Account balances are written off against the allowance when the Company ceases collection efforts. | ||
Inventory | ' | |
Inventory | ||
The Company’s inventory is comprised primarily of expendable aircraft parts and supplies used for aircraft maintenance. Inventory is generally charged to expense when issued for use on a Company aircraft. The Company values its inventory of aircraft parts and supplies at weighted-average cost and maintains a related obsolescence reserve. The Company records an obsolescence reserve on a base stock of inventory for each fleet type. The amortization of base stock for the obsolescence reserve corresponds to the expected life of each fleet type. Additionally, the Company monitors the usage rates of inventory parts and segregates parts that are technologically outdated or no longer used in its fleet types. Slow moving and segregated items are actively marketed and written down to their estimated net realizable values based on market conditions. | ||
Management analyzes the inventory reserve for reasonableness at the end of each quarter. That analysis includes consideration of the expected fleet life, amounts expected to be on hand at the end of a fleet life, and recent events and conditions that may impact the usability or value of inventory. Events or conditions that may impact the expected life, usability or net realizable value of inventory include additional aircraft maintenance directives from the FAA, changes in DOT regulations, new environmental laws and technological advances. | ||
Goodwill and Intangible Assets | ' | |
Goodwill and Intangible Assets | ||
The Company assesses, during the fourth quarter of each year, the carrying value of goodwill. Finite-lived intangible assets are amortized over their estimated useful economic lives. The Company also conducts impairment assessments of goodwill, indefinite-lived intangible assets and finite-lived intangible assets whenever events or changes in circumstance indicate an impairment may have occurred. | ||
Property and Equipment | ' | |
Property and Equipment | ||
Property and equipment held for use is stated at cost, net of any impairment recorded. The cost and accumulated depreciation of disposed property and equipment are removed from the accounts with any related gain or loss reflected in earnings from operations. | ||
Depreciation of property and equipment is provided on a straight-line basis over the lesser of the asset’s useful life or lease term. Depreciable lives of operating equipment are summarized as follows: | ||
DC-8 combi aircraft and flight equipment | Less than 1 year | |
Boeing 767 and 757 aircraft and flight equipment | 10 to 20 years | |
Support equipment | 5 to 10 years | |
Vehicles and other equipment | 3 to 8 years | |
The Company periodically evaluates the useful lives, salvage values and fair values of property and equipment. Acceleration of depreciation expense or the recording of significant impairment losses could result from changes in the estimated useful lives of assets due to a number of reasons, such as excess aircraft capacity or changes in regulations governing the use of aircraft. | ||
Aircraft and other long-lived assets are tested for impairment when circumstances indicate the carrying value of the assets may not be recoverable. To conduct impairment testing, the Company groups assets and liabilities at the lowest level for which identifiable cash flows are largely independent of cash flows of other assets and liabilities. For assets that are to be held and used, impairment is recognized when the estimated undiscounted cash flows associated with the asset group is less than the carrying value. If impairment exists, an adjustment is made to write the assets down to fair value, and a loss is recorded as the difference between the carrying value and fair value. Fair values are determined considering quoted market values, discounted cash flows or internal and external appraisals, as applicable. For assets held for sale, impairment is recognized when the fair value less the cost to sell the asset is less than the carrying value. | ||
The Company’s accounting policy for major airframe and engine maintenance varies by subsidiary and aircraft type. The costs for ABX's Boeing 767-200 airframe maintenance, which is the majority of the Company's aircraft fleet, are expensed as they are incurred. The costs of major airframe maintenance for the Company's other aircraft are capitalized and amortized over the useful life of the overhaul. The Company's General Electric CF6 engines that power the Boeing 767-200 aircraft are maintained under “power by the hour” agreements with an engine maintenance provider. Under the power by the hour agreements, the engines are maintained by the service provider for a fixed fee per flight hour; accordingly, the cost of engine maintenance is generally expensed as flight hours occur. Maintenance for the airlines’ other aircraft engines, including those on the Boeing 767-300 and Boeing 757 aircraft, are typically contracted to service providers on a time and material basis and the costs of those engine overhauls are capitalized and amortized over the useful life of the overhaul. | ||
Under certain leases, the Company is required to make periodic payments to the lessor for future maintenance events such as engine overhauls and major airframe maintenance. These payments are recorded as deposits until drawn for qualifying maintenance costs. The maintenance costs are expensed or capitalized in accordance with the airline's accounting policy for major airframe and engine maintenance. The Company evaluates at the balance sheet date, whether it is probable that an amount on deposit will be returned by the lessor to reimburse the costs of the maintenance activities. When an amount on deposit is less than probable of being returned, it is recognized as additional maintenance expense. | ||
Capitalized Interest | ' | |
Capitalized Interest | ||
Interest costs incurred while aircraft are being modified are capitalized as an additional cost of the aircraft until the date the asset is placed in service. | ||
Discontinued Operations | ' | |
Discontinued Operations | ||
A business component whose operations are discontinued is reported as discontinued operations if the cash flows of the component have been eliminated from the ongoing operations of the Company, and the Company will no longer have any significant continuing involvement in the business component. The results of discontinued operations are aggregated and presented separately in the consolidated statements of operations. | ||
The Company's results of discontinued operations consist primarily of pension expenses and other benefits for former employees previously associated with ABX's former freight sorting and aircraft fueling services provided to DHL. ABX is self-insured for medical coverage and workers’ compensation, and may incur expenses and cash outlays in the future related to pension obligations, reserves for medical expenses and wage loss for former employees. | ||
Exit Activities | ' | |
Exit Activities | ||
One-time, involuntary employee termination benefits are generally expensed when the Company communicates the benefit arrangement to the employee that it will no longer require the services of the employee beyond a minimum retention period. Liabilities for contract termination costs associated with exit activities are recognized in the period incurred and measured initially at fair value. | ||
Self-Insurance | ' | |
Self-Insurance | ||
The Company is self-insured for certain workers’ compensation, employee healthcare, automobile, aircraft, and general liability claims. The Company maintains excess claim coverage with common insurance carriers to mitigate its exposure to large claim losses. The Company records a liability for reported claims and an estimate for incurred claims that have not yet been reported. Accruals for these claims are estimated utilizing historical paid claims data and recent claims trends. Other liabilities included $30.7 million and $31.6 million at September 30, 2013 and December 31, 2012, respectively, for self-insured reserves. Changes in claim severity and frequency could result in actual claims being materially different than the costs accrued. | ||
Income Taxes | ' | |
Income Taxes | ||
Income taxes have been computed using the asset and liability method, under which deferred income taxes are provided for the temporary differences between the financial reporting basis and the tax basis of the Company’s assets and liabilities. Deferred taxes are measured using provisions of currently enacted tax laws. A valuation allowance against net deferred tax assets is recorded when it is more likely than not that such assets will not be fully realized. Tax credits are accounted for as a reduction of income taxes in the year in which the credit originates. | ||
The Company recognizes the benefit of a tax position taken on a tax return, if that position is more likely than not of being sustained on audit, based on the technical merits of the position. An uncertain income tax benefit is not recognized if it has less than a 50% likelihood of being sustained. The Company recognizes interest and penalties accrued related to uncertain tax positions in operating expense. | ||
Comprehensive Income | ' | |
Comprehensive Income | ||
Comprehensive income includes net earnings and other comprehensive income or loss. Other comprehensive income or loss results from certain changes in the Company’s liabilities for pension and other post-retirement benefits and gains and losses associated with interest rate hedging instruments. | ||
Fair Value Information | ' | |
Fair Value Information | ||
Assets or liabilities that are required to be measured at fair value are reported using the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. FASB ASC Topic 820-10 Fair Value Measurements and Disclosures establishes three levels of input that may be used to measure fair value: | ||
• | Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. | |
• | Level 2: Observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities. | |
• | Level 3: Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Level 3 assets and liabilities include items where the determination of fair value requires significant management judgment or estimation. | |
Revenue Recognition | ' | |
Revenue Recognition | ||
Revenues generated from airline service agreements are typically recognized based on hours flown or the amount of aircraft and crew resources provided during a reporting period. Certain agreements include provisions for incentive payments based upon on-time reliability. These incentives are typically measured on a monthly basis and recorded to revenue in the corresponding month earned. Revenues for operating expenses that are reimbursed through customer agreements, including consumption of aircraft fuel, are generally recognized as the costs are incurred. Revenues from charter service agreements are recognized on scheduled and non-scheduled flights when the specific flight has been completed. Aircraft lease revenues are recognized as operating lease revenues on a straight-line basis over the term of the applicable lease agreements. Revenues from the sale of aircraft parts and engines are recognized when the parts are delivered. Revenues earned and expenses incurred in providing aircraft-related maintenance, repair or technical services are recognized in the period in which the services are completed and delivered to the customer. Revenues derived from sorting parcels are recognized in the reporting period in which the services are performed. |
Summary_of_Financial_Statement2
Summary of Financial Statement Preparation and Significant Accounting Policies (Tables) | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | |||||||
Property, Plant and Equipment | ' | |||||||
Depreciable lives of operating equipment are summarized as follows: | ||||||||
DC-8 combi aircraft and flight equipment | Less than 1 year | |||||||
Boeing 767 and 757 aircraft and flight equipment | 10 to 20 years | |||||||
Support equipment | 5 to 10 years | |||||||
Vehicles and other equipment | 3 to 8 years | |||||||
Property and equipment, to be held and used, is summarized as follows (in thousands): | ||||||||
September 30, | December 31, | |||||||
2013 | 2012 | |||||||
Aircraft and flight equipment | $ | 1,232,284 | $ | 1,148,781 | ||||
Support equipment | 51,179 | 52,209 | ||||||
Vehicles and other equipment | 1,706 | 1,597 | ||||||
Leasehold improvements | 1,091 | 814 | ||||||
1,286,260 | 1,203,401 | |||||||
Accumulated depreciation | (437,710 | ) | (384,477 | ) | ||||
Property and equipment, net | $ | 848,550 | $ | 818,924 | ||||
Goodwill_and_Other_Intangibles1
Goodwill and Other Intangibles (Tables) | 9 Months Ended | ||||||||||||
Sep. 30, 2013 | |||||||||||||
Goodwill and Intangible Assets Disclosure [Abstract] | ' | ||||||||||||
Schedule of Goodwill | ' | ||||||||||||
The carrying amounts of goodwill by reportable segment, are as follows (in thousands): | |||||||||||||
ACMI Services | CAM | Total | |||||||||||
Carrying value as of December 31, 2012 | $ | 52,585 | $ | 34,395 | $ | 86,980 | |||||||
Carrying value as of September 30, 2013 | $ | 52,585 | $ | 34,395 | $ | 86,980 | |||||||
Schedule Intangible Assets by Major Class | ' | ||||||||||||
The Company's intangible assets relate to the ACMI Services segment and are as follows (in thousands): | |||||||||||||
Customer | Airline | ||||||||||||
Relationships | Certificates | Total | |||||||||||
Carrying value as of December 31, 2012 | $ | 2,146 | $ | 3,000 | $ | 5,146 | |||||||
Amortization | (188 | ) | — | (188 | ) | ||||||||
Carrying value as of September 30, 2013 | $ | 1,958 | $ | 3,000 | $ | 4,958 | |||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis | ' | |||||||||||||||
The following table reflects assets and liabilities that are measured at fair value on a recurring basis (in thousands): | ||||||||||||||||
As of September 30, 2013 | Fair Value Measurement Using | Total | ||||||||||||||
Level 1 | Level 2 | Level 3 | ||||||||||||||
Assets | ||||||||||||||||
Cash equivalents—money market | $ | 20 | $ | 3,797 | $ | — | $ | 3,817 | ||||||||
Total Assets | $ | 20 | $ | 3,797 | $ | — | $ | 3,817 | ||||||||
Liabilities | ||||||||||||||||
Interest rate swaps | $ | — | $ | (2,721 | ) | $ | — | $ | (2,721 | ) | ||||||
Total Liabilities | $ | — | $ | (2,721 | ) | $ | — | $ | (2,721 | ) | ||||||
As of December 31, 2012 | Fair Value Measurement Using | Total | ||||||||||||||
Level 1 | Level 2 | Level 3 | ||||||||||||||
Assets | ||||||||||||||||
Cash equivalents—money market | $ | 18 | $ | 339 | $ | — | $ | 357 | ||||||||
Total Assets | $ | 18 | $ | 339 | $ | — | $ | 357 | ||||||||
Liabilities | ||||||||||||||||
Interest rate swaps | $ | — | $ | (3,146 | ) | $ | — | $ | (3,146 | ) | ||||||
Total Liabilities | $ | — | $ | (3,146 | ) | $ | — | $ | (3,146 | ) | ||||||
Property_and_Equipment_Tables
Property and Equipment (Tables) | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Property, Plant and Equipment [Abstract] | ' | |||||||
Property, Plant and Equipment | ' | |||||||
Depreciable lives of operating equipment are summarized as follows: | ||||||||
DC-8 combi aircraft and flight equipment | Less than 1 year | |||||||
Boeing 767 and 757 aircraft and flight equipment | 10 to 20 years | |||||||
Support equipment | 5 to 10 years | |||||||
Vehicles and other equipment | 3 to 8 years | |||||||
Property and equipment, to be held and used, is summarized as follows (in thousands): | ||||||||
September 30, | December 31, | |||||||
2013 | 2012 | |||||||
Aircraft and flight equipment | $ | 1,232,284 | $ | 1,148,781 | ||||
Support equipment | 51,179 | 52,209 | ||||||
Vehicles and other equipment | 1,706 | 1,597 | ||||||
Leasehold improvements | 1,091 | 814 | ||||||
1,286,260 | 1,203,401 | |||||||
Accumulated depreciation | (437,710 | ) | (384,477 | ) | ||||
Property and equipment, net | $ | 848,550 | $ | 818,924 | ||||
Debt_Obligations_Tables
Debt Obligations (Tables) | 9 Months Ended | |||||||
Sep. 30, 2013 | ||||||||
Debt Disclosure [Abstract] | ' | |||||||
Schedule of Long-term Debt Instruments | ' | |||||||
Long term obligations consisted of the following (in thousands): | ||||||||
September 30, | December 31, | |||||||
2013 | 2012 | |||||||
Unsubordinated term loan | $ | 135,000 | $ | 144,375 | ||||
Revolving credit facility | 190,500 | 143,000 | ||||||
Aircraft loans | 57,103 | 63,156 | ||||||
Promissory note due to DHL, unsecured | 9,300 | 13,950 | ||||||
Total long term obligations | 391,903 | 364,481 | ||||||
Less: current portion | (23,572 | ) | (21,265 | ) | ||||
Total long term obligations, net | $ | 368,331 | $ | 343,216 | ||||
Commitments_and_Contingencies_
Commitments and Contingencies (Tables) | 9 Months Ended | ||
Sep. 30, 2013 | |||
Commitments and Contingencies Disclosure [Abstract] | ' | ||
Schedules of Concentration of Risk, by Risk Factor | ' | ||
As of September 30, 2013, the flight crewmember employees of ABX and ATI were represented by the labor unions listed below: | |||
Airline | Labor Agreement Unit | Percentage of | |
the Company’s | |||
Employees | |||
ABX | International Brotherhood of Teamsters | 14.60% | |
ATI | Airline Pilots Association | 8.90% |
Pension_and_Other_PostRetireme1
Pension and Other Post-Retirement Benefit Plans (Tables) | 9 Months Ended | |||||||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||||||
Compensation and Retirement Disclosure [Abstract] | ' | |||||||||||||||||||||||||||||||
Schedule of Net Benefit Costs | ' | |||||||||||||||||||||||||||||||
The Company’s net periodic benefit costs for its qualified defined benefit pension plans and post-retirement healthcare plans for both continuing and discontinued operations are as follows (in thousands): | ||||||||||||||||||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||||||||||||||||||||||
Pension Plans | Post-Retirement Healthcare Plan | Pension Plans | Post-Retirement Healthcare Plan | |||||||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | 2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
Service cost | $ | — | $ | — | $ | 69 | $ | 67 | $ | — | $ | — | $ | 207 | $ | 201 | ||||||||||||||||
Interest cost | 8,989 | 9,272 | 66 | 95 | 26,967 | 27,816 | 198 | 285 | ||||||||||||||||||||||||
Expected return on plan assets | (11,498 | ) | (9,970 | ) | — | — | (34,494 | ) | (29,910 | ) | — | — | ||||||||||||||||||||
Amortization of prior service cost | — | — | (1,413 | ) | (1,388 | ) | — | — | (4,239 | ) | (4,164 | ) | ||||||||||||||||||||
Amortization of net (gain) loss | 3,074 | 2,670 | 104 | 108 | 9,222 | 8,010 | 312 | 324 | ||||||||||||||||||||||||
Net periodic benefit cost (benefit) | $ | 565 | $ | 1,972 | $ | (1,174 | ) | $ | (1,118 | ) | $ | 1,695 | $ | 5,916 | $ | (3,522 | ) | $ | (3,354 | ) | ||||||||||||
Derivative_Instruments_Tables
Derivative Instruments (Tables) | 9 Months Ended | |||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||||
Schedule of Interest Rate Derivatives | ' | |||||||||||||||||
The table below provides information about the Company’s interest rate swaps (in thousands): | ||||||||||||||||||
September 30, 2013 | December 31, 2012 | |||||||||||||||||
Expiration Date | Stated | Notional | Market | Notional | Market | |||||||||||||
Interest | Amount | Value | Amount | Value | ||||||||||||||
Rate | (Liability) | (Liability) | ||||||||||||||||
9-May-16 | 2.02% | $ | 67,500 | $ | (2,203 | ) | $ | 72,188 | $ | (3,146 | ) | |||||||
30-Jun-17 | 1.18% | 65,625 | (518 | ) | — | — | ||||||||||||
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Income (Loss) (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2013 | |||||||||||||||||
Stockholders' Equity Note [Abstract] | ' | ||||||||||||||||
Schedule of Accumulated Other Comprehensive Income (Loss) | ' | ||||||||||||||||
Accumulated other comprehensive income (loss) includes the following items by components for the three and nine month periods ended September 30, 2013 and 2012 (in thousands): | |||||||||||||||||
Defined Benefit Pension | Defined Benefit Post-Retirement | Gains and Losses on Derivative | Total | ||||||||||||||
Balance as of June 30, 2012 | $ | (107,262 | ) | $ | 5,892 | $ | 57 | $ | (101,313 | ) | |||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||||||
Actuarial costs (reclassified to salaries, wages and benefits) | 2,670 | 108 | — | 2,778 | |||||||||||||
Negative prior service cost (reclassified to salaries, wages and benefits) | — | (1,387 | ) | — | (1,387 | ) | |||||||||||
Hedging gain (reclassified to interest expense) | — | — | (14 | ) | (14 | ) | |||||||||||
Income tax (expense) or benefit | (988 | ) | 473 | 5 | (510 | ) | |||||||||||
Other comprehensive income (loss), net of tax | 1,682 | (806 | ) | (9 | ) | 867 | |||||||||||
Balance as of September 30, 2012 | $ | (105,580 | ) | $ | 5,086 | $ | 48 | $ | (100,446 | ) | |||||||
Balance as of December 31, 2011 | $ | (110,626 | ) | $ | 7,504 | $ | 75 | $ | (103,047 | ) | |||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||||||
Actuarial costs (reclassified to salaries, wages and benefits) | 8,011 | 324 | — | 8,335 | |||||||||||||
Negative prior service cost (reclassified to salaries, wages and benefits) | — | (4,162 | ) | — | (4,162 | ) | |||||||||||
Hedging gain (reclassified to interest expense) | — | — | (42 | ) | (42 | ) | |||||||||||
Income tax (expense) or benefit | (2,964 | ) | 1,419 | 15 | (1,530 | ) | |||||||||||
Other comprehensive income (loss), net of tax | 5,047 | (2,419 | ) | (27 | ) | 2,601 | |||||||||||
Balance as of September 30, 2012 | $ | (105,579 | ) | $ | 5,085 | $ | 48 | $ | (100,446 | ) | |||||||
Defined Benefit Pension | Defined Benefit Post-Retirement | Gains and Losses on Derivative | Total | ||||||||||||||
Balance as of June 30, 2013 | $ | (117,686 | ) | $ | 2,609 | $ | 22 | $ | (115,055 | ) | |||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||||||
Actuarial costs (reclassified to salaries, wages and benefits) | 3,074 | 104 | — | 3,178 | |||||||||||||
Negative prior service cost (reclassified to salaries, wages and benefits) | — | (1,413 | ) | — | (1,413 | ) | |||||||||||
Hedging gain (reclassified to interest expense) | — | — | (12 | ) | (12 | ) | |||||||||||
Income tax (expense) or benefit | (1,116 | ) | 475 | 5 | (636 | ) | |||||||||||
Other comprehensive income (loss), net of tax | 1,958 | (834 | ) | (7 | ) | 1,117 | |||||||||||
Balance as of September 30, 2013 | $ | (115,728 | ) | $ | 1,775 | $ | 15 | $ | (113,938 | ) | |||||||
Balance as of December 31, 2012 | $ | (121,602 | ) | $ | 4,277 | $ | 38 | $ | (117,287 | ) | |||||||
Amounts reclassified from accumulated other comprehensive income: | |||||||||||||||||
Actuarial costs (reclassified to salaries, wages and benefits) | 9,222 | 312 | — | 9,534 | |||||||||||||
Negative prior service cost (reclassified to salaries, wages and benefits) | — | (4,239 | ) | — | (4,239 | ) | |||||||||||
Hedging gain (reclassified to interest expense) | — | — | (38 | ) | (38 | ) | |||||||||||
Income tax (expense) or benefit | (3,348 | ) | 1,425 | 15 | (1,908 | ) | |||||||||||
Other comprehensive income (loss), net of tax | 5,874 | (2,502 | ) | (23 | ) | 3,349 | |||||||||||
Balance as of September 30, 2013 | $ | (115,728 | ) | $ | 1,775 | $ | 15 | $ | (113,938 | ) | |||||||
StockBased_Compensation_Tables
Stock-Based Compensation (Tables) | 9 Months Ended | |||||||||||||
Sep. 30, 2013 | ||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||||
Schedule of Share-based Compensation, Equity Instruments Other Than Options, Activity | ' | |||||||||||||
The table below summarizes award activity. | ||||||||||||||
Nine Months Ended | ||||||||||||||
30-Sep-13 | 30-Sep-12 | |||||||||||||
Number of | Weighted | Number of | Weighted | |||||||||||
Awards | average | Awards | average | |||||||||||
grant-date | grant-date | |||||||||||||
fair value | fair value | |||||||||||||
Outstanding at beginning of period | 1,463,272 | $ | 5.97 | 1,458,037 | $ | 5.77 | ||||||||
Granted | 627,488 | 5.73 | 601,647 | 5.93 | ||||||||||
Converted | (392,748 | ) | 4.87 | (142,200 | ) | 8.11 | ||||||||
Expired | — | — | — | — | ||||||||||
Forfeited | (7,200 | ) | 6.82 | (88,800 | ) | 5.93 | ||||||||
Outstanding at end of period | 1,690,812 | $ | 6.13 | 1,828,684 | $ | 5.63 | ||||||||
Vested | 441,812 | $ | 4.9 | 483,284 | $ | 4.68 | ||||||||
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||
Schedule of Earnings Per Share, Basic and Diluted | ' | |||||||||||||||
The calculation of basic and diluted earnings per common share follows (in thousands, except per share amounts): | ||||||||||||||||
Three Months Ending | Nine Months Ending | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Earnings from continuing operations | $ | 7,799 | $ | 11,556 | $ | 23,215 | $ | 29,437 | ||||||||
Weighted-average shares outstanding for basic earnings per share | 64,052 | 63,456 | 63,972 | 63,439 | ||||||||||||
Common equivalent shares: | ||||||||||||||||
Effect of stock-based compensation awards | 984 | 1,211 | 835 | 1,039 | ||||||||||||
Weighted-average shares outstanding assuming dilution | 65,036 | 64,667 | 64,807 | 64,478 | ||||||||||||
Basic earnings per share from continuing operations | $ | 0.12 | $ | 0.18 | $ | 0.36 | $ | 0.46 | ||||||||
Diluted earnings per share from continuing operations | $ | 0.12 | $ | 0.18 | $ | 0.36 | $ | 0.46 | ||||||||
Segment_Information_Tables
Segment Information (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Schedule of Segment Reporting Information, by Segment | ' | |||||||||||||||
The Company's segment information from continuing operations is presented below (in thousands): | ||||||||||||||||
Three Months Ending | Nine Months Ending | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Total revenues: | ||||||||||||||||
CAM | $ | 40,089 | $ | 39,155 | $ | 118,420 | $ | 115,073 | ||||||||
ACMI Services | 109,429 | 122,526 | 327,349 | 357,110 | ||||||||||||
All other | 30,037 | 26,773 | 83,242 | 81,876 | ||||||||||||
Eliminate inter-segment revenues | (38,678 | ) | (34,628 | ) | (105,951 | ) | (101,173 | ) | ||||||||
Total | $ | 140,877 | $ | 153,826 | $ | 423,060 | $ | 452,886 | ||||||||
Customer revenues: | ||||||||||||||||
CAM | $ | 17,373 | $ | 18,638 | $ | 53,553 | $ | 56,663 | ||||||||
ACMI Services | 109,429 | 122,526 | 327,349 | 357,110 | ||||||||||||
All other | 14,075 | 12,662 | 42,158 | 39,113 | ||||||||||||
Total | $ | 140,877 | $ | 153,826 | $ | 423,060 | $ | 452,886 | ||||||||
Depreciation and amortization expense: | ||||||||||||||||
CAM | $ | 16,697 | $ | 15,187 | $ | 46,016 | $ | 44,288 | ||||||||
ACMI Services | 6,821 | 5,685 | 19,651 | 18,244 | ||||||||||||
All other | (126 | ) | 185 | 410 | 339 | |||||||||||
Total | $ | 23,392 | $ | 21,057 | $ | 66,077 | $ | 62,871 | ||||||||
Segment earnings (loss): | ||||||||||||||||
CAM | $ | 15,893 | $ | 17,334 | $ | 49,980 | $ | 50,819 | ||||||||
ACMI Services | (7,113 | ) | (1,746 | ) | (21,610 | ) | (11,543 | ) | ||||||||
All other | 4,400 | 3,373 | 9,188 | 8,602 | ||||||||||||
Net unallocated interest expense | (367 | ) | (296 | ) | (810 | ) | (961 | ) | ||||||||
Net gain on derivative instruments | (317 | ) | 294 | 425 | 956 | |||||||||||
Pre-tax earnings from continuing operations | $ | 12,496 | $ | 18,959 | $ | 37,173 | $ | 47,873 | ||||||||
Reconciliation of Assets from Segment to Consolidated | ' | |||||||||||||||
The Company's assets are presented below by segment (in thousands): | ||||||||||||||||
September 30, | December 31, | |||||||||||||||
2013 | 2012 | |||||||||||||||
Assets: | ||||||||||||||||
CAM | $ | 807,571 | $ | 810,664 | ||||||||||||
ACMI Services | 177,603 | 161,650 | ||||||||||||||
All other | 80,957 | 63,297 | ||||||||||||||
Total | $ | 1,066,131 | $ | 1,035,611 | ||||||||||||
Summary_of_Financial_Statement3
Summary of Financial Statement Preparation and Significant Accounting Policies (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Capitalized interest | $0 | $0.70 | $1 | $2 | ' |
Other liabilities for self-insured reserves | $30.70 | ' | $30.70 | ' | $31.60 |
Minimum [Member] | Support equipment [Member] | ' | ' | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | ' | '5 years | ' | ' |
Minimum [Member] | Vehicles and other equipment [Member] | ' | ' | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | ' | '3 years | ' | ' |
Maximum [Member] | Support equipment [Member] | ' | ' | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | ' | '10 years | ' | ' |
Maximum [Member] | Vehicles and other equipment [Member] | ' | ' | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | ' | '8 years | ' | ' |
DC-8 combi aircraft and flight equipment [Member] | Aircraft and Flight Equipment [Member] | ' | ' | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | ' | '1 year | ' | ' |
Boeing 767 and 757 aircraft and flight equipment [Member] | Minimum [Member] | Aircraft and Flight Equipment [Member] | ' | ' | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | ' | '10 years | ' | ' |
Boeing 767 and 757 aircraft and flight equipment [Member] | Maximum [Member] | Aircraft and Flight Equipment [Member] | ' | ' | ' | ' | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Property, plant and equipment, useful life | ' | ' | '20 years | ' | ' |
Significant_Customers_Details
Significant Customers (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | DHL [Member] | DHL [Member] | DHL [Member] | DHL [Member] | DHL [Member] | DHL [Member] | US Military [Member] | US Military [Member] | US Military [Member] | US Military [Member] | US Military [Member] | US Military [Member] | ||
Revenues from Leases and Contracted Services [Member] | Revenues from Leases and Contracted Services [Member] | Revenues from Leases and Contracted Services [Member] | Revenues from Leases and Contracted Services [Member] | Accounts Receivable [Member] | Accounts Receivable [Member] | Revenues from Services Performed [Member] | Revenues from Services Performed [Member] | Revenues from Services Performed [Member] | Revenues from Services Performed [Member] | Accounts Receivable [Member] | Accounts Receivable [Member] | |||
Customer Concentration Risk [Member] | Customer Concentration Risk [Member] | Customer Concentration Risk [Member] | Customer Concentration Risk [Member] | Customer Concentration Risk [Member] | Customer Concentration Risk [Member] | Customer Concentration Risk [Member] | Customer Concentration Risk [Member] | |||||||
Concentration Risk [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of consolidated revenues | ' | ' | 55.00% | 55.00% | 55.00% | 53.00% | ' | ' | 17.00% | 15.00% | 17.00% | 16.00% | ' | ' |
Accounts receivable | $45,680 | $47,858 | ' | ' | ' | ' | $22,200 | $18,300 | ' | ' | ' | ' | $4,200 | $4,200 |
Goodwill_and_Other_Intangibles2
Goodwill and Other Intangibles (Schedule of Goodwill) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Goodwill [Roll Forward] | ' | ' |
Carrying value, beginning balance | $86,980 | $86,980 |
Carrying value, ending balance | 86,980 | 86,980 |
ACMI Services [Member] | ' | ' |
Goodwill [Roll Forward] | ' | ' |
Carrying value, beginning balance | 52,585 | 52,585 |
Carrying value, ending balance | 52,585 | 52,585 |
CAM [Member] | ' | ' |
Goodwill [Roll Forward] | ' | ' |
Carrying value, beginning balance | 34,395 | 34,395 |
Carrying value, ending balance | $34,395 | $34,395 |
Goodwill_and_Other_Intangibles3
Goodwill and Other Intangibles (Schedule Intangible Assets) (Details) (USD $) | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 |
ReportingUnits | |
Finite and Indefinite-lived Intangible Assets by Major Class [Line Items] | ' |
Number of business units reporting goodwill (in reporting units) | 2 |
Finite and Indefinite-lived Intangible Assets [Roll Forward] | ' |
Carrying value at beginning of period | $5,146 |
Carrying value at end of period | 4,958 |
ACMI Services [Member] | ' |
Finite and Indefinite-lived Intangible Assets [Roll Forward] | ' |
Carrying value at beginning of period | 5,146 |
Amortization expense | -188 |
Carrying value at end of period | 4,958 |
ACMI Services [Member] | Customer Relationships [Member] | ' |
Finite and Indefinite-lived Intangible Assets [Roll Forward] | ' |
Carrying value at beginning of period | 2,146 |
Amortization expense | -188 |
Carrying value at end of period | 1,958 |
Intangibles useful life | '8 years |
ACMI Services [Member] | Airline Certificates [Member] | ' |
Finite and Indefinite-lived Intangible Assets [Roll Forward] | ' |
Carrying value at beginning of period | 3,000 |
Amortization expense | 0 |
Carrying value at end of period | $3,000 |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (Fair Value, Measurements, Recurring [Member], USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
Level 1 [Member] | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' |
Cash equivalents - money market | $20,000 | $18,000 |
Total Assets | 20,000 | 18,000 |
Liabilities, Fair Value Disclosure [Abstract] | ' | ' |
Interest rate swap | 0 | 0 |
Total Liabilities | 0 | 0 |
Level 2 [Member] | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' |
Cash equivalents - money market | 3,797,000 | 339,000 |
Total Assets | 3,797,000 | 339,000 |
Liabilities, Fair Value Disclosure [Abstract] | ' | ' |
Interest rate swap | -2,721,000 | -3,146,000 |
Total Liabilities | -2,721,000 | -3,146,000 |
Difference between fair value and carrying value, debt | 2,800,000 | ' |
Level 3 [Member] | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' |
Cash equivalents - money market | 0 | 0 |
Total Assets | 0 | 0 |
Liabilities, Fair Value Disclosure [Abstract] | ' | ' |
Interest rate swap | 0 | 0 |
Total Liabilities | 0 | 0 |
Total [Member] | ' | ' |
Assets, Fair Value Disclosure [Abstract] | ' | ' |
Cash equivalents - money market | 3,817,000 | 357,000 |
Total Assets | 3,817,000 | 357,000 |
Liabilities, Fair Value Disclosure [Abstract] | ' | ' |
Interest rate swap | -2,721,000 | -3,146,000 |
Total Liabilities | -2,721,000 | -3,146,000 |
Carrying (Reported) Amount, Fair Value Disclosure [Member] | ' | ' |
Liabilities, Fair Value Disclosure [Abstract] | ' | ' |
Carrying value, debt | $391,900,000 | ' |
Property_and_Equipment_Schedul
Property and Equipment (Schedule of Property and Equipment) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment, Net, by Type [Abstract] | ' | ' |
Property and equipment, gross | $1,286,260 | $1,203,401 |
Accumulated depreciation | -437,710 | -384,477 |
Property and equipment, net | 848,550 | 818,924 |
Aircraft and flight equipment [Member] | ' | ' |
Property, Plant and Equipment, Net, by Type [Abstract] | ' | ' |
Property and equipment, gross | 1,232,284 | 1,148,781 |
Support equipment [Member] | ' | ' |
Property, Plant and Equipment, Net, by Type [Abstract] | ' | ' |
Property and equipment, gross | 51,179 | 52,209 |
Vehicles and other equipment [Member] | ' | ' |
Property, Plant and Equipment, Net, by Type [Abstract] | ' | ' |
Property and equipment, gross | 1,706 | 1,597 |
Leasehold improvements [Member] | ' | ' |
Property, Plant and Equipment, Net, by Type [Abstract] | ' | ' |
Property and equipment, gross | $1,091 | $814 |
Property_and_Equipment_Narrati
Property and Equipment (Narrative) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
Property, Plant and Equipment [Line Items] | ' | ' |
Aircraft and engines held for sale | $2,491,000 | $3,360,000 |
CAM [Member] | Aircraft and flight equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Leased aircraft, carrying value | 254,400,000 | 273,400,000 |
Boeing 727 and DC-8 aircraft and flight equipment [Member] | Aircraft and flight equipment [Member] | ' | ' |
Property, Plant and Equipment [Line Items] | ' | ' |
Aircraft and engines held for sale | $2,500,000 | $3,400,000 |
Debt_Obligations_Schedule_of_L
Debt Obligations (Schedule of Long Term Obligations) (Details) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ' | ' |
Total long term obligations | $391,903 | $364,481 |
Less: current portion | -23,572 | -21,265 |
Total long term obligations, net | 368,331 | 343,216 |
Unsubordinated term loan [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Total long term obligations | 135,000 | 144,375 |
Revolving credit facility [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Total long term obligations | 190,500 | 143,000 |
Aircraft loans [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Total long term obligations | 57,103 | 63,156 |
Promissory note due to DHL, unsecured [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Total long term obligations | $9,300 | $13,950 |
Debt_Obligations_Narrative_Det
Debt Obligations (Narrative) (Details) (USD $) | 9 Months Ended | ||||
Sep. 30, 2013 | Nov. 06, 2013 | Oct. 01, 2013 | Dec. 31, 2012 | Jul. 20, 2012 | |
Debt Instrument [Line Items] | ' | ' | ' | ' | ' |
Long term obligations | $391,903,000 | ' | ' | $364,481,000 | ' |
Unsubordinated term loan and Revolving credit facility [Member] | ' | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' | ' |
Collateral coverage percentage | 150.00% | ' | ' | ' | ' |
Unsubordinated term loan [Member] | ' | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' | ' |
Variable interest rate | 2.56% | ' | ' | ' | ' |
Long term obligations | 135,000,000 | ' | ' | 144,375,000 | ' |
Revolving credit facility [Member] | ' | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' | ' |
Accordion feature amount | ' | ' | 50,000,000 | ' | 50,000,000 |
Increased borrowing capacity | ' | ' | 275,000,000 | ' | 225,000,000 |
Variable interest rate | 2.56% | ' | ' | ' | ' |
Credit facility, revolving credit loan, remaining borrowing capacity | ' | 74,100,000 | ' | ' | ' |
Long term obligations | 190,500,000 | ' | ' | 143,000,000 | ' |
Letters of credit outstanding | ' | 10,400,000 | ' | ' | ' |
Aircraft loans [Member] | ' | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' | ' |
Long term obligations | 57,103,000 | ' | ' | 63,156,000 | ' |
Collateralized property (in aircrafts) | 6 | ' | ' | ' | ' |
Balloon payment percentage | 20.00% | ' | ' | ' | ' |
Variable interest rate, minimum | 6.74% | ' | ' | ' | ' |
Variable interest rate, maximum | 7.36% | ' | ' | ' | ' |
Promissory note due to DHL, unsecured [Member] | ' | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' | ' |
Long term obligations | 9,300,000 | ' | ' | 13,950,000 | ' |
Promissory note interest rate | 5.00% | ' | ' | ' | ' |
Prepayment of note per dollar of dividend distributed (in dollars per dividend) | 0.2 | ' | ' | ' | ' |
Maximum [Member] | Unsubordinated term loan and Revolving credit facility [Member] | ' | ' | ' | ' | ' |
Debt Instrument [Line Items] | ' | ' | ' | ' | ' |
Maximum amount of common stock authorized for repurchase | $50,000,000 | ' | ' | ' | ' |
Commitments_and_Contingencies_1
Commitments and Contingencies (Leases Commitments) (Details) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 |
sqft | |
Operating Leased Assets [Line Items] | ' |
Aircraft hanger square feet | 100,000 |
Cost of aircraft hanger | $15.70 |
Boeing 767 Aircraft [Member] | ' |
Operating Leased Assets [Line Items] | ' |
Number of leased aircrafts | 6 |
Minimum [Member] | ' |
Operating Leased Assets [Line Items] | ' |
Construction of aircraft hanger period | '14 months |
Maximum [Member] | ' |
Operating Leased Assets [Line Items] | ' |
Construction of aircraft hanger period | '16 months |
Commitments_and_Contingencies_2
Commitments and Contingencies (Litigation) (Details) | 9 Months Ended | 1 Months Ended | ||
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 | Dec. 31, 2008 | Dec. 31, 2008 |
Brussels Instituut voor Milieubeheer [Member] | Brussels Instituut voor Milieubeheer [Member] | ABX, Garcia Labor Company of Ohio [Member] | Garcia Labor Companies [Member] | |
USD ($) | EUR (€) | Immigration Law [Member] | Immigration Law [Member] | |
executives | executives | |||
Loss Contingencies [Line Items] | ' | ' | ' | ' |
Number of defendants (in executives) | ' | ' | 4 | 3 |
Administrative penalty amount | $0.50 | € 0.40 | ' | ' |
Commitments_and_Contingencies_3
Commitments and Contingencies (Labor Unions) (Details) (Workforce Subject to Collective Bargaining Arrangements [Member], Labor Unions [Member]) | 9 Months Ended |
Sep. 30, 2013 | |
ABX [Member] | ' |
Concentration Risk [Line Items] | ' |
Percentage of the Company's Employees | 14.60% |
ATI [Member] | ' |
Concentration Risk [Line Items] | ' |
Percentage of the Company's Employees | 8.90% |
Pension_and_Other_PostRetireme2
Pension and Other Post-Retirement Benefit Plans (Net Periodic Benefit Costs) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Pension Plans [Member] | ' | ' | ' | ' |
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | ' | ' | ' | ' |
Service cost | $0 | $0 | $0 | $0 |
Interest cost | 8,989 | 9,272 | 26,967 | 27,816 |
Expected return on plan assets | -11,498 | -9,970 | -34,494 | -29,910 |
Amortization of prior service cost | 0 | 0 | 0 | 0 |
Amortization of net (gain) loss | 3,074 | 2,670 | 9,222 | 8,010 |
Net periodic benefit cost (benefit) | 565 | 1,972 | 1,695 | 5,916 |
Post-Retirement Healthcare Plan [Member] | ' | ' | ' | ' |
Defined Benefit Plan, Net Periodic Benefit Cost [Abstract] | ' | ' | ' | ' |
Service cost | 69 | 67 | 207 | 201 |
Interest cost | 66 | 95 | 198 | 285 |
Expected return on plan assets | 0 | 0 | 0 | 0 |
Amortization of prior service cost | -1,413 | -1,388 | -4,239 | -4,164 |
Amortization of net (gain) loss | 104 | 108 | 312 | 324 |
Net periodic benefit cost (benefit) | ($1,174) | ($1,118) | ($3,522) | ($3,354) |
Pension_and_Other_PostRetireme3
Pension and Other Post-Retirement Benefit Plans (Narrative) (Details) (Pension Plans [Member], USD $) | 3 Months Ended | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 |
Pension Plans [Member] | ' | ' |
Defined Benefit Plan Disclosure [Line Items] | ' | ' |
Employer contributions | $17.90 | $27.60 |
Income_Taxes_Details
Income Taxes (Details) | 9 Months Ended |
Sep. 30, 2013 | |
Income Tax Disclosure [Abstract] | ' |
Effective income tax rate | 37.50% |
Derivative_Instruments_Details
Derivative Instruments (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Dec. 31, 2012 | Jul. 31, 2011 | Sep. 30, 2013 | Jun. 29, 2013 |
May 9, 2016 [Member] | May 9, 2016 [Member] | May 9, 2016 [Member] | June 30, 2017 [Member] | June 30, 2017 [Member] | ||||
Swap [Member] | Swap [Member] | Swap [Member] | Swap [Member] | Swap [Member] | ||||
Derivative [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Stated Interest Rate | ' | ' | ' | 2.02% | ' | ' | 1.18% | ' |
Net gain on derivative instruments | $317 | ($425) | ($956) | ' | ' | ' | ' | ' |
Notional Amount | ' | ' | ' | 67,500 | 72,188 | 75,000 | 65,625 | 65,600 |
Market Value (Liability) | ' | ' | ' | ($2,203) | ($3,146) | ' | ($518) | ' |
Accumulated_Other_Comprehensiv2
Accumulated Other Comprehensive Income (Loss) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Accumulated other comprehensive income (loss), beginning balance | ($115,055) | ($101,313) | ($117,287) | ($103,047) |
Income tax (expense) or benefit | -636 | -510 | -1,908 | -1,530 |
Other comprehensive income (loss), net of tax | 1,117 | 867 | 3,349 | 2,601 |
Accumulated other comprehensive income (loss), ending balance | -113,938 | -100,446 | -113,938 | -100,446 |
Derivative [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Accumulated other comprehensive income (loss), beginning balance | 22 | 57 | 38 | 75 |
Income tax (expense) or benefit | 5 | 5 | 15 | 15 |
Other comprehensive income (loss), net of tax | -7 | -9 | -23 | -27 |
Accumulated other comprehensive income (loss), ending balance | 15 | 48 | 15 | 48 |
Pension Plans [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Accumulated other comprehensive income (loss), beginning balance | -117,686 | -107,262 | -121,602 | -110,626 |
Income tax (expense) or benefit | -1,116 | -988 | -3,348 | -2,964 |
Other comprehensive income (loss), net of tax | 1,958 | 1,682 | 5,874 | 5,047 |
Accumulated other comprehensive income (loss), ending balance | -115,728 | -105,579 | -115,728 | -105,579 |
Post-Retirement Plans [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Accumulated other comprehensive income (loss), beginning balance | 2,609 | 5,892 | 4,277 | 7,504 |
Income tax (expense) or benefit | 475 | 473 | 1,425 | 1,419 |
Other comprehensive income (loss), net of tax | -834 | -806 | -2,502 | -2,419 |
Accumulated other comprehensive income (loss), ending balance | 1,775 | 5,085 | 1,775 | 5,085 |
Actuarial gain [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Amounts reclassified from accumulated other comprehensive income | 3,178 | 2,778 | 9,534 | 8,335 |
Actuarial gain [Member] | Pension Plans [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Amounts reclassified from accumulated other comprehensive income | 3,074 | 2,670 | 9,222 | 8,011 |
Actuarial gain [Member] | Post-Retirement Plans [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Amounts reclassified from accumulated other comprehensive income | 104 | 108 | 312 | 324 |
Negative prior service cost [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Amounts reclassified from accumulated other comprehensive income | -1,413 | -1,387 | -4,239 | -4,162 |
Negative prior service cost [Member] | Post-Retirement Plans [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Amounts reclassified from accumulated other comprehensive income | -1,413 | -1,387 | -4,239 | -4,162 |
Hedging gain [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Amounts reclassified from accumulated other comprehensive income | -12 | -14 | -38 | -42 |
Hedging gain [Member] | Derivative [Member] | ' | ' | ' | ' |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ' | ' | ' | ' |
Amounts reclassified from accumulated other comprehensive income | ($12) | ($14) | ($38) | ($42) |
StockBased_Compensation_Detail
Stock-Based Compensation (Details) (USD $) | 9 Months Ended | |
In Millions, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | ' |
Outstanding at beginning of period (in shares) | 1,463,272 | 1,458,037 |
Granted (in shares) | 627,488 | 601,647 |
Converted (in shares) | -392,748 | -142,200 |
Expired (in shares) | 0 | 0 |
Forfeited (in shares) | -7,200 | -88,800 |
Outstanding at end of period (in shares) | 1,690,812 | 1,828,684 |
Vested (in shares) | 441,812 | 483,284 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' |
Outstanding at beginning of period, Weighted average grant-date fair value (in dollars per share) | $5.97 | $5.77 |
Granted, Weighted average grant-date fair value (in dollars per share) | $5.73 | $5.93 |
Converted, Weighted average grant-date fair value (in dollars per share) | $4.87 | $8.11 |
Expired, Weighted average grant-date fair value (in dollars per share) | $0 | $0 |
Forfeited, Weighted average grant-date fair value (in dollars per share) | $6.82 | $5.93 |
Outstanding at end of period, Weighted average grant-date fair value (in dollars per share) | $6.13 | $5.63 |
Vested (in dollars per share) | $4.90 | $4.68 |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ' | ' |
Share-based compensation expense | $2.10 | $2.70 |
Unrecognized share-based compensation expense | $3.50 | ' |
Unrecognized share-based compensation, weighted average recognition period | '1 year 3 months | ' |
Restricted Stock [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Requisite service period | '3 years | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' |
Granted, Weighted average grant-date fair value (in dollars per share) | $5.46 | ' |
Stock Units [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Requisite service period | '3 years | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ' | ' |
Historical volatility period | '3 years | ' |
Risk-free interest rate | 0.40% | ' |
Expected volatility rate | 60.10% | ' |
Performance Condition Award [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' |
Granted, Weighted average grant-date fair value (in dollars per share) | $5.46 | ' |
Market Condition Award [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' |
Granted, Weighted average grant-date fair value (in dollars per share) | $6.78 | ' |
Time-Based Awards [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ' | ' |
Granted, Weighted average grant-date fair value (in dollars per share) | $5.46 | ' |
Time-Based Awards [Member] | Maximum [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | ' | ' |
Number of additional outstanding shares issued (in shares) | 2,004,812 | ' |
Director [Member] | Time-Based Awards [Member] | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' |
Requisite service period | '6 months | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ' | ' |
Vested (in shares) | 441,812 | ' |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Earnings Per Share Reconciliation [Abstract] | ' | ' | ' | ' |
Earnings from continuing operations | $7,799 | $11,556 | $23,215 | $29,437 |
Weighted-average shares outstanding for basic earnings per share (in shares) | 64,052,000 | 63,456,000 | 63,972,000 | 63,439,000 |
Common equivalent shares: | ' | ' | ' | ' |
Effect of stock-based compensation awards (in shares) | 984,000 | 1,211,000 | 835,000 | 1,039,000 |
Weighted-average shares outstanding assuming dilution (in shares) | 65,036,000 | 64,667,000 | 64,807,000 | 64,478,000 |
Basic earnings per share from continuing operations (in dollars per share) | $0.12 | $0.18 | $0.36 | $0.46 |
Diluted earnings per share from continuing operations (in dollars per share) | $0.12 | $0.18 | $0.36 | $0.46 |
Anti-dilutive securities excluded from computation of earnings per share (in shares) | ' | ' | 0 | 77,000 |
Segment_Information_Segment_Re
Segment Information (Segment Reconciliation) (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Dec. 31, 2012 |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total revenues | $140,877 | $153,826 | $423,060 | $452,886 | ' |
Customer revenues | 140,877 | 153,826 | 423,060 | 452,886 | ' |
Depreciation and amortization expense | 23,392 | 21,057 | 66,077 | 62,871 | ' |
Net unallocated interest expense | -3,814 | -3,668 | -10,500 | -10,886 | ' |
Net gain (loss) on derivative instruments | -317 | 294 | 425 | 956 | ' |
Pre-tax earnings from continuing operations | 12,496 | 18,959 | 37,173 | 47,873 | ' |
Assets | 1,066,131 | ' | 1,066,131 | ' | 1,035,611 |
CAM [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total revenues | 40,089 | 39,155 | 118,420 | 115,073 | ' |
Customer revenues | 17,373 | 18,638 | 53,553 | 56,663 | ' |
Depreciation and amortization expense | 16,697 | 15,187 | 46,016 | 44,288 | ' |
Segment earnings (loss) | 15,893 | 17,334 | 49,980 | 50,819 | ' |
Net unallocated interest expense | -3,300 | -3,100 | -9,200 | -9,100 | ' |
Assets | 807,571 | ' | 807,571 | ' | 810,664 |
ACMI Services [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total revenues | 109,429 | 122,526 | 327,349 | 357,110 | ' |
Customer revenues | 109,429 | 122,526 | 327,349 | 357,110 | ' |
Depreciation and amortization expense | 6,821 | 5,685 | 19,651 | 18,244 | ' |
Segment earnings (loss) | -7,113 | -1,746 | -21,610 | -11,543 | ' |
Net unallocated interest expense | -100 | -200 | -400 | -700 | ' |
Assets | 177,603 | ' | 177,603 | ' | 161,650 |
All other [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total revenues | 30,037 | 26,773 | 83,242 | 81,876 | ' |
Customer revenues | 14,075 | 12,662 | 42,158 | 39,113 | ' |
Depreciation and amortization expense | -126 | 185 | 410 | 339 | ' |
Segment earnings (loss) | 4,400 | 3,373 | 9,188 | 8,602 | ' |
Assets | 80,957 | ' | 80,957 | ' | 63,297 |
Eliminate inter-segment revenues [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Total revenues | -38,678 | -34,628 | -105,951 | -101,173 | ' |
Net unallocated interest expense [Member] | ' | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' | ' |
Net unallocated interest expense | ($367) | ($296) | ($810) | ($961) | ' |
Segment_Information_Narrative_
Segment Information (Narrative) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
segments | ||||
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Number of reportable segments (in segments) | ' | ' | 2 | ' |
Interest expense | $3,814 | $3,668 | $10,500 | $10,886 |
ACMI Services [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Interest expense | 100 | 200 | 400 | 700 |
CAM [Member] | ' | ' | ' | ' |
Segment Reporting Information [Line Items] | ' | ' | ' | ' |
Interest expense | $3,300 | $3,100 | $9,200 | $9,100 |