MAIDEN, N.C., Nov. 24, 2015 /PRNewswire/ -- Air T, Inc. (NASDAQ: AIRT) today announced that its Mountain Air Cargo subsidiary has entered into an agreement to extend the lease of its 60,000 square foot maintenance facility at the North Carolina Global TransPark in Kinston, North Carolina. The extension initially runs to 2023, though Mountain Air Cargo has the option to extend the lease for up to four additional five-year periods. The renewal takes effect in 2018, at which time the rental rate will increase by 4% and remain at that level to 2023. Thereafter, the rental rate increases by 10% at the beginning of each five-year renewal term and remains at that level for that five-year term. Mountain Air Cargo, an original tenant at the Global TransPark in Kinston, has operated its primary maintenance facility at that location since 1995.
Nick Swenson, Air T's Chairman and Chief Executive Officer, commented, "With this agreement, Mountain Air Cargo has the ability to extend its lease on this important and long-standing facility to 2043. This agreement provides us with a long-term aircraft maintenance base and the operational flexibility that allows us to continue to provide outstanding maintenance services to our air cargo customer. It also evidences our commitment to our highly skilled and dedicated employees in Kinston. We are proud to be able to continue our association with the Global TransPark, a unique aerospace and logistics business park developed by the State of North Carolina."
Air T, through its subsidiaries, provides overnight air freight service to the express delivery industry, manufactures and sells aircraft deicers and other special purpose industrial equipment, and provides ground support equipment and facilities maintenance to airlines. Air T is one of the largest, small-aircraft air cargo operators in the United States. Air T's Mountain Air Cargo and CSA Air subsidiaries currently operate a fleet of single and twin-engine turbo-prop aircraft nightly in the eastern half of the United States, Puerto Rico and the Caribbean Islands. Air T's Global Ground Support subsidiary manufactures deicing and other specialized military and industrial equipment and is one of the largest providers of deicers in the world. The Global Aviation Services subsidiary provides ground support equipment and facilities maintenance to domestic airline customers.
SOURCE Air T, Inc.