Company: AIRTP
Filing Date: 2025-06-27
Form Type: 10-K
Source: 0000353184-25-000044
Chunk: 13

Company: AIR T INC
Filing Date: 2025-06-27
Form: 10-K
Item: Item 1A
Chunk 13
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 and dispositions of businesses and investments are possible, changing the components of our assets and liabilities, and if unsuccessful or unfavorable, could reduce the value of the Company and its securities.

•We face numerous risks and uncertainties as we expand our business.

•Our business strategy includes acquisitions, and acquisitions entail numerous risks, including the risk of management diversion and increased costs and expenses, all of which could negatively affect the Company’s ability to operate profitably.

•Strategic ventures may increase risks applicable to our operations.

•Rapid business expansions or new business initiatives may increase risk.

•Our policies and procedures may not be effective in ensuring compliance with applicable law.

•Compliance with the regulatory requirements imposed on us as a public company results in significant costs that may have an adverse effect on our results.

•Deficiencies in our public company financial reporting and disclosures could adversely impact our reputation.

Risks Related to Our Segment Operations

•The operating results of our segments may fluctuate, particularly our commercial aircraft, engines and parts segment.

•Our Overnight Air Cargo Segment is dependent on a significant customer.

•Our dry-lease agreements with FedEx subject us to operating risks.

•Because of our dependence on FedEx, we are subject to the risks that may affect FedEx’s operations.

•A material reduction in the aircraft we fly for FedEx could materially adversely affect our business and results of operations.

•Sales of deicing equipment can be affected by weather conditions.

•We are affected by the risks faced by commercial aircraft operators and MRO companies because they are our customers.

•Our engine values and lease rates, which are dependent on the status of the types of aircraft on which engines are installed, and other factors, could decline.

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•Upon termination of a lease, we may be unable to enter into new leases or sell the airframe, engine or its parts on acceptable terms.

•Failures by lessees to meet their maintenance and recordkeeping obligations under our leases could adversely affect the value of our leased engines and aircraft which could affect our ability to re-lease the engines and aircraft in a timely manner following termination of the leases.

•We may experience losses and delays in connection with repossession of engines or aircraft when a lessee defaults.

•Our commercial aircraft, engines and parts segment and its customers operate in a highly regulated industry and changes in laws or regulations may adversely affect our ability to lease or sell our engines or aircraft.

•Our aircraft, engines and parts could cause damage resulting in liability claims.

•We have risks in managing our portfolio of aircraft and engines