Air T Announces New Contract from U.S. Air Force

MAIDEN, N.C., Sept. 29, 2010 -- Air T, Inc. (Nasdaq Capital Market:AIRT) announced today that its wholly owned subsidiary, Global Ground Support, LLC, has been awarded a contract to supply flight line tow tractors to the United States Air Force. Global is in receipt of the delivery order for the first pre-production unit which will be tested and evaluated before additional orders are placed. The contract award is for one year commencing September 28, 2010, with four additional one-year extension options that may be exercised by the United States Air Force. The value of the contract, as well as the number of units to be delivered, will be determined based upon annual requirements and available funding of the United States Air Force.

While Global has supplied flight line tow tractors for commercial use to customers including Southwest Airlines, Air Canada and UPS, this contract extends Global’s product line with the United States Air Force. Global currently provides the United States Air Force with aircraft deicing trucks under a separate contract most recently awarded in 2009. Flight line tow tractors are modified commercial-grade truck chassis used for towing loads on and around the flight line.

Walter Clark, Air T’s CEO, stated that, “I am proud that the United States Air Force has once again selected Global Ground Support to be a supplier of important ground support equipment. While this contract was the result of a highly competitive process, it is also a testament to the quality of the products and service that Global Ground Support provides to all of its customers.”