----

----

| x | QUARTERLY      REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF      1934 |
|---|---------------------------------------------------------------------------------------------------|

| For      the quarterly period ended | September 30,  2009 |
|-------------------------------------|---------------------|

|  ̈ | TRANSITION      REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF      1934 |
|--------|----------------------------------------------------------------------------------------------------|

| For      the transition period from |   |   | to |   |   |
|-------------------------------------|--------|--------|----|--------|--------|

| Delaware                                                            | 84-0915893                                   |
|---------------------------------------------------------------------|----------------------------------------------|
| (State      or Other Jurisdiction of Incorporation or Organization) | (I.R.S.      Employer Identification Number) |

| 7301 South Peoria, Englewood,      Colorado   | 80112           |
|-----------------------------------------------|-----------------|
| (Address      of Principal Executive Offices) | (Zip      Code) |

| Large      accelerated Filer  ̈                                                             | Accelerated      Filer x              |
|-------------------------------------------------------------------------------------------------|---------------------------------------|
| Non-accelerated      Filer  ̈  (Do      not check if a smaller reporting company) | Smaller reporting company       ̈ |

----

----

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TABLE OF CONTENTS

| PART      I.  | FINANCIAL      INFORMATION |                                                                                                               |
|---------------|----------------------------|--------------------------------------------------------------------------------------------------------------------|
|          |                       |                                                                                                               |   |
|          | Item      1.               | Consolidated Financial Statements                                                                                  |   |
|          |                       |                                                                                                               |   |
|          |                       | Consolidated Balance Sheets – September 30, 2009 and December      31, 2008 (unaudited)                      | 1 |
|          |                       |                                                                                                               |   |
|          |                       | Consolidated Statements of Income for the three and nine      months ended September 30, 2009 and 2008 (unaudited) | 3 |
|          |                       |                                                                                                               |   |
|          |                       | Consolidated Statements of Cash Flows for the nine months      ended September 30, 2009 and 2008 (unaudited)       | 4 |
|          |                       |                                                                                                               |   |
|          |                       | Notes to Consolidated Financial Statements      (unaudited)                                                        | 6 |
|          |                       |                                                                                                               |   |
|          | Item      2.               | Management’s Discussion and Analysis of Financial Condition      and Results of Operations                   |  10 |
|          |                       |                                                                                                               |   |
|          | Item      3.               | Quantitative and Qualitative Disclosures about Market      Risk                                                    | 18 |
|          |                       |                                                                                                               |   |
|          | Item      4.               | Controls and Procedures                                                                                            | 18 |
|          |                       |                                                                                                               |   |
|          |                       |                                                                                                               |   |
| PART      II. | OTHER      INFORMATION     |                                                                                                               |
|          |                       |                                                                                                               |   |
|          | Item      1.               | Legal Proceedings                                                                                                  | 19 |
|          |                       |                                                                                                               |   |
|          | Item      1A.              | Risk Factors                                                                                                       | 19 |
|          |                       |                                                                                                               |   |
|          | Item      2.               | Changes in Securities                                                                                              | 19 |
|          |                       |                                                                                                               |   |
|          | Item      3.               | Defaults upon Senior Securities                                                                                    | 19 |
|          |                       |                                                                                                               |   |
|          | Item      4.               | Submission of Matters to a Vote of Security      Holders                                                           | 19 |
|          |                       |                                                                                                               |   |
|          | Item      5.               | Other Information                                                                                                  | 19 |
|          |                       |                                                                                                               |   |
|          | Item      6.               | Exhibits                                                                                                           | 19 |
|          |                       |                                                                                                               |   |
|          |                       |                                                                                                               |   |
| SIGNATURES    | 20                         |

----

Table of Contents

Item 1. Consolidated Financial 

Air Methods 

|                                                                                                                                   |   | September      30,2009 |    |   | December      31,2008 |   |
|----------------------------------------------------------------------------------------------------------------------------------------|--------|------------------------|---------|--------|-----------------------|--------|
| Assets                                                                                                                                 |   |                   |    |   |                  |   |
|                                                                                                                                   |   |                   |    |   |                  |   |
| Current      assets:                                                                                                                   |   |                   |    |   |                  |   |
| Cash      and cash equivalents                                                                                                         |   | $                      | 23,181  |   |                  |   | 13,147 |   |
| Current      installments of notes receivable                                                                                          |   |                   | 485     |   |                  |   | 753 |   |
| Receivables:                                                                                                                           |   |                   |    |   |                  |   |   |   |
| Trade,      net                                                                                                                        |   |                   | 126,109 |   |                  |   | 133,467 |   |
| Refundable      income taxes                                                                                                           |   |                   | --      |   |                  |   | 2,239 |   |
| Other                                                                                                                                  |   |                   | 1,661   |   |                  |   | 2,487 |   |
|                                                                                                                                   |   |                   |    |   |                  |   |   |   |
| Total      receivables                                                                                                                 |   |                   | 127,770 |   |                  |   | 138,193 |   |
|                                                                                                                                   |   |                   |    |   |                  |   |   |   |
| Inventories                                                                                                                            |   |                   | 21,010  |   |                  |   | 20,283 |   |
| Work-in-process      on medical interiors and products contracts                                                                       |   |                   | 5,445   |   |                  |   | 4,561 |   |
| Assets      held for sale                                                                                                              |   |                   | 14,660  |   |                  |   | 20,712 |   |
| Costs      and estimated earnings in excess of billings on uncompleted      contracts                                                  |   |                   | 9,220   |   |                  |   | 5,840 |   |
| Prepaid      expenses and other                                                                                                        |   |                   | 5,706   |   |                  |   | 4,259 |   |
|                                                                                                                                   |   |                   |    |   |                  |   |   |   |
| Total      current assets                                                                                                              |   |                   | 207,477 |   |                  |   | 207,748 |   |
|                                                                                                                                   |   |                   |    |   |                  |   |   |   |
| Property      and equipment:                                                                                                           |   |                   |    |   |                  |   |   |   |
| Land                                                                                                                                   |   |                   | 251     |   |                  |   | 251 |   |
| Flight      and ground support equipment                                                                                               |   |                   | 247,685 |   |                  |   | 206,189 |   |
| Furniture      and office equipment                                                                                                    |   |                   | 28,541  |   |                  |   | 27,196 |   |
|                                                                                                                                   |   |                   | 276,477 |   |                  |   | 233,636 |   |
| Less      accumulated depreciation and amortization                                                                                    |   |                   | (92,874 | )      |                  |   | (87,469 | ) |
|                                                                                                                                   |   |                   |    |   |                  |   |   |   |
| Net      property and equipment                                                                                                        |   |                   | 183,603 |   |                  |   | 146,167 |   |
|                                                                                                                                   |   |                   |    |   |                  |   |   |   |
| Goodwill                                                                                                                               |   |                   | 20,291  |   |                  |   | 20,291 |   |
| Notes      receivable, less current installments                                                                                       |   |                   | 126     |   |                  |   | 660 |   |
| Other      assets, net of accumulated amortization of $2,148 and $2,411 at September      30, 2009 and December 31, 2008, respectively |   |                   | 17,921  |   |                  |   | 20,058 |   |
|                                                                                                                                   |   |                   |    |   |                  |   |   |   |
| Total      assets                                                                                                                      |   | $                      | 429,418 |   |                  |   | 394,924 |   |

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Table of Contents

|                                                                                                                                                                                                                                                                                        |   | September      30, |    |   | December      31, |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------------|---------|--------|-------------------|--------|
|                                                                                                                                                                                                                                                                                        |   | 2009               |    |   | 2008              |   |
| Liabilities and Stockholders'      Equity                                                                                                                                                                                                                                                   |   |               |    |   |              |   |
|                                                                                                                                                                                                                                                                                        |   |               |    |   |              |   |
| Current      liabilities:                                                                                                                                                                                                                                                                   |   |               |    |   |              |   |
| Notes      payable                                                                                                                                                                                                                                                                          |   | $                  | 12,531  |   |              |   | 19,520 |   |
| Current      installments of long-term debt                                                                                                                                                                                                                                                 |   |               | 14,315  |   |              |   | 14,156 |   |
| Current      installments of obligations under capital leases                                                                                                                                                                                                                               |   |               | 1,015   |   |              |   | 1,482 |   |
| Accounts      payable                                                                                                                                                                                                                                                                       |   |               | 10,590  |   |              |   | 13,892 |   |
| Deferred      revenue                                                                                                                                                                                                                                                                       |   |               | 6,936   |   |              |   | 6,710 |   |
| Billings      in excess of costs and estimated earnings on uncompleted      contracts                                                                                                                                                                                                       |   |               | 105     |   |              |   | 990 |   |
| Accrued      wages and compensated absences                                                                                                                                                                                                                                                 |   |               | 15,824  |   |              |   | 10,422 |   |
| Due      to third party payers                                                                                                                                                                                                                                                              |   |               | 3,882   |   |              |   | 3,559 |   |
| Deferred      income taxes                                                                                                                                                                                                                                                                  |   |               | 9,157   |   |              |   | 9,340 |   |
| Other      accrued liabilities                                                                                                                                                                                                                                                              |   |               | 17,658  |   |              |   | 11,715 |   |
|                                                                                                                                                                                                                                                                                        |   |               |    |   |              |   |   |   |
| Total      current liabilities                                                                                                                                                                                                                                                              |   |               | 92,013  |   |              |   | 91,786 |   |
|                                                                                                                                                                                                                                                                                        |   |               |    |   |              |   |   |   |
| Long-term      debt, less current installments                                                                                                                                                                                                                                              |   |               | 86,869  |   |              |   | 83,784 |   |
| Obligations      under capital leases, less current installments                                                                                                                                                                                                                            |   |               | 1,560   |   |              |   | 2,074 |   |
| Deferred      income taxes                                                                                                                                                                                                                                                                  |   |               | 28,058  |   |              |   | 29,158 |   |
| Other      liabilities                                                                                                                                                                                                                                                                      |   |               | 28,718  |   |              |   | 27,658 |   |
|                                                                                                                                                                                                                                                                                        |   |               |    |   |              |   |   |   |
| Total      liabilities                                                                                                                                                                                                                                                                      |   |               | 237,218 |   |              |   | 234,460 |   |
|                                                                                                                                                                                                                                                                                        |   |               |    |   |              |   |   |   |
| Stockholders'      equity (notes 2 and 3):                                                                                                                                                                                                                                                  |   |               |    |   |              |   |   |   |
| Preferred      stock, $1 par value.  Authorized 5,000,000 shares, none      issued                                                                                                                                                                                                |   |               | --      |   |              |   | -- |   |
| Common      stock, $.06 par value. Authorized 16,000,000 shares; issued 12,391,487 and      12,284,679 shares at September 30, 2009, and December 31, 2008,      respectively; outstanding 12,378,154 and 12,040,462 shares at September      30, 2009, and December 31, 2008, respectively |   |               | 744     |   |              |   | 737 |   |
| Additional      paid-in capital                                                                                                                                                                                                                                                             |   |               | 81,349  |   |              |   | 80,717 |   |
| Treasury      stock at cost, 227,917 shares at December 31, 2008                                                                                                                                                                                                                            |   |               | --      |   |              |   | (4,853 | ) |
| Retained      earnings                                                                                                                                                                                                                                                                      |   |               | 110,107 |   |              |   | 83,863 |   |
|                                                                                                                                                                                                                                                                                        |   |               |    |   |              |   |   |   |
| Total      stockholders' equity                                                                                                                                                                                                                                                             |   |               | 192,200 |   |              |   | 160,464 |   |
|                                                                                                                                                                                                                                                                                        |   |               |    |   |              |   |   |   |
| Total      liabilities and stockholders’ equity                                                                                                                                                                                                                                       |   | $                  | 429,418 |   |              |   | 394,924 |   |

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Table of Contents

Air 

|                                                                      |   | Three      Months EndedSeptember      30, |       |   | Nine      Months EndedSeptember      30, |   |
|---------------------------------------------------------------------------|--------|-------------------------------------------|------------|--------|------------------------------------------|--------|
|                                                                      |   | 2009                                      |       |   | 2008                                     |   |   | 2009 |   |   | 2008 |   |
|                                                                      |   |                                      |       |   |                                     |   |   |   |   |   |   |   |
| Revenue:                                                                  |   |                                      |       |   |                                     |   |   |   |   |   |   |   |
| Flight      revenue, net                                                  |   | $                                         | 131,723    |   |                                     |   | 131,079 |   |   |   | 370,917 |   |   |   | 370,298 |   |
| Medical      interiors and products revenue                               |   |                                      | 5,879      |   |                                     |   | 2,753 |   |   |   | 19,448 |   |   |   | 9,592 |   |
|                                                                      |   |                                      | 137,602    |   |                                     |   | 133,832 |   |   |   | 390,365 |   |   |   | 379,890 |   |
| Operating      expenses:                                                  |   |                                      |       |   |                                     |   |   |   |   |   |   |   |   |   |   |   |
| Flight      centers                                                       |   |                                      | 53,510     |   |                                     |   | 52,504 |   |   |   | 158,499 |   |   |   | 157,624 |   |
| Aircraft      operations                                                  |   |                                      | 26,070     |   |                                     |   | 33,628 |   |   |   | 74,743 |   |   |   | 91,148 |   |
| Aircraft      rental                                                      |   |                                      | 12,908     |   |                                     |   | 12,293 |   |   |   | 37,824 |   |   |   | 35,093 |   |
| Cost      of medical interiors and products sold                          |   |                                      | 3,802      |   |                                     |   | 1,716 |   |   |   | 14,131 |   |   |   | 7,059 |   |
| Depreciation      and amortization                                        |   |                                      | 4,758      |   |                                     |   | 4,328 |   |   |   | 13,976 |   |   |   | 12,628 |   |
| Gain      on disposition of assets, net                                   |   |                                      | (239       | )      |                                     |   | (1,130 | ) |   |   | (772 | ) |   |   | (2,568 | ) |
| General      and administrative                                           |   |                                      | 15,978     |   |                                     |   | 15,947 |   |   |   | 48,388 |   |   |   | 50,671 |   |
|                                                                      |   |                                      | 116,787    |   |                                     |   | 119,286 |   |   |   | 346,789 |   |   |   | 351,655 |   |
|                                                                      |   |                                      |       |   |                                     |   |   |   |   |   |   |   |   |   |   |   |
| Operating      income                                                     |   |                                      | 20,815     |   |                                     |   | 14,546 |   |   |   | 43,576 |   |   |   | 28,235 |   |
|                                                                      |   |                                      |       |   |                                     |   |   |   |   |   |   |   |   |   |   |   |
| Other      income (expense):                                              |   |                                      |       |   |                                     |   |   |   |   |   |   |   |   |   |   |   |
| Interest      expense                                                     |   |                                      | (1,285     | )      |                                     |   | (1,270 | ) |   |   | (3,643 | ) |   |   | (3,943 | ) |
| Other,      net                                                           |   |                                      | 935        |   |                                     |   | 928 |   |   |   | 2,698 |   |   |   | 2,180 |   |
|                                                                      |   |                                      |       |   |                                     |   |   |   |   |   |   |   |   |   |   |   |
| Income      before income taxes                                           |   |                                      | 20,465     |   |                                     |   | 14,204 |   |   |   | 42,631 |   |   |   | 26,472 |   |
|                                                                      |   |                                      |       |   |                                     |   |   |   |   |   |   |   |   |   |   |   |
| Income      tax expense                                                   |   |                                      | 7,861      |   |                                     |   | 5,835 |   |   |   | 16,387 |   |   |   | 10,939 |   |
|                                                                      |   |                                      |       |   |                                     |   |   |   |   |   |   |   |   |   |   |   |
| Net      income                                                           |   | $                                         | 12,604     |   |                                     |   | 8,369 |   |   |   | 26,244 |   |   |   | 15,533 |   |
|                                                                      |   |                                      |       |   |                                     |   |   |   |   |   |   |   |   |   |   |   |
| Basic      income per common share (note 3)                               |   | $                                         | 1.02       |   |                                     |   | .69 |   |   |   | 2.15 |   |   |   | 1.28 |   |
|                                                                      |   |                                      |       |   |                                     |   |   |   |   |   |   |   |   |   |   |   |
| Diluted      income per common share (note 3)                             |   | $                                         | 1.01       |   |                                     |   | .67 |   |   |   | 2.12 |   |   |   | 1.23 |   |
|                                                                      |   |                                      |       |   |                                     |   |   |   |   |   |   |   |   |   |   |   |
| Weighted      average number of common shares outstanding – basic   |   |                                      | 12,337,120 |   |                                     |   | 12,179,714 |   |   |   | 12,218,369 |   |   |   | 12,170,980 |   |
|                                                                      |   |                                      |       |   |                                     |   |   |   |   |   |   |   |   |   |   |   |
| Weighted      average number of common shares outstanding – diluted |   |                                      | 12,498,320 |   |                                     |   | 12,522,932 |   |   |   | 12,397,026 |   |   |   | 12,590,252 |   |

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Table of Contents

 Methods Corporation 

|                                                                                        |   | Nine      Months Ended September 30, |    |
|---------------------------------------------------------------------------------------------|--------|--------------------------------------|---------|
|                                                                                        |   | 2009                                 |    |   | 2008 |   |
| Cash      flows from operating activities:                                                  |   |                                 |    |   |   |   |
| Net      income                                                                             |   | $                                    | 26,244  |   |   |   | 15,533 |   |
| Adjustments      to reconcile net income to net cash provided by operating      activities: |   |                                 |    |   |   |   |   |   |
| Depreciation      and amortization expense                                                  |   |                                 | 13,976  |   |   |   | 12,628 |   |
| Deferred      income tax expense (benefit)                                                  |   |                                 | (1,283  | ) |   |   | 5,363 |   |
| Stock-based      compensation                                                               |   |                                 | 906     |   |   |   | 1,624 |   |
| Tax      benefit from exercise of stock options                                             |   |                                 | (1,347  | ) |   |   | (567 | ) |
| Gain      on disposition of assets, net                                                     |   |                                 | (772    | ) |   |   | (2,568 | ) |
| Unrealized      loss on derivative instruments                                              |   |                                 | 264     |   |   |   | -- |   |
| Changes      in assets and liabilities:                                                     |   |                                 |    |   |   |   |   |   |
| Increase      in prepaid expenses and other current assets                                  |   |                                 | (1,609  | ) |   |   | (669 | ) |
| Decrease      in receivables                                                                |   |                                 | 10,423  |   |   |   | 12,986 |   |
| Increase      in inventories                                                                |   |                                 | (727    | ) |   |   | (3,736 | ) |
| Increase      in work-in-process on medical interiors and costs in excess of      billings  |   |                                 | (4,264  | ) |   |   | (4,290 | ) |
| Increase      in accounts payable, other accrued liabilities, and other      liabilities    |   |                                 | 10,953  |   |   |   | 7,620 |   |
| Increase      (decrease) in deferred revenue and billings in excess of    costs             |   |                                 | (659    | ) |   |   | 394 |   |
| Net      cash provided by operating activities                                              |   |                                 | 52,105  |   |   |   | 44,318 |   |
|                                                                                        |   |                                 |    |   |   |   |   |   |
| Cash      flows from investing activities:                                                  |   |                                 |    |   |   |   |   |   |
| Acquisition      of property and equipment                                                  |   |                                 | (43,246 | ) |   |   | (40,715 | ) |
| Proceeds      from disposition and sale of equipment                                        |   |                                 | 8,060   |   |   |   | 14,486 |   |
| Decrease      (increase) in notes receivable and other assets                               |   |                                 | 2,300   |   |   |   | (631 | ) |
| Net      cash used by investing activities                                                  |   |                                 | (32,886 | ) |   |   | (26,860 | ) |
|                                                                                        |   |                                 |    |   |   |   |   |   |
| Cash      flows from financing activities:                                                  |   |                                 |    |   |   |   |   |   |
| Proceeds      from issuance of common stock, net                                            |   |                                 | 3,239   |   |   |   | 1,114 |   |
| Purchases      of common stock                                                              |   |                                 | --      |   |   |   | (2,905 | ) |
| Tax      benefit from exercise of stock options                                             |   |                                 | 1,347   |   |   |   | 567 |   |
| Net      borrowings (repayments) under line of credit                                       |   |                                 | (19,258 | ) |   |   | 919 |   |
| Proceeds      from issuance of long-term debt                                               |   |                                 | 34,035  |   |   |   | -- |   |
| Payments      for debt issue costs                                                          |   |                                 | (573    | ) |   |   | (145 | ) |
| Payments      of long-term debt and notes payable                                           |   |                                 | (26,544 | ) |   |   | (12,024 | ) |
| Payments      of capital lease obligations                                                  |   |                                 | (1,431  | ) |   |   | (947 | ) |
| Net      cash used by financing activities                                                  |   |                                 | (9,185  | ) |   |   | (13,421 | ) |
|                                                                                        |   |                                 |    |   |   |   |   |   |
| Increase      in cash and cash equivalents                                                  |   |                                 | 10,034  |   |   |   | 4,037 |   |
|                                                                                        |   |                                 |    |   |   |   |   |   |
| Cash      and cash equivalents at beginning of period                                       |   |                                 | 13,147  |   |   |   | 5,134 |   |
|                                                                                        |   |                                 |    |   |   |   |   |   |
| Cash      and cash equivalents at end of period                                             |   | $                                    | 23,181  |   |   |   | 9,171 |   |
|                                                                                        |   |                                 |    |   |   |   |   |   |
| Interest      paid in cash during the period                                                |   | $                                    | 3,516   |   |   |   | 3,592 |   |
| Income      taxes paid in cash during the period                                            |   | $                                    | 8,756   |   |   |   | 312 |   |

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Table of Contents

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Table of Contents

Air Methods 

| (1) | Basis of      Presentation |
|-----|----------------------------|

| (2) | Stockholders’      Equity |
|-----|---------------------------------|

|                                                 |   | Shares      Outstanding |       |   | Amount |   |
|------------------------------------------------------|--------|-------------------------|------------|--------|--------|--------|
|                                                 |   |                    |       |   |   |   |
| Balances      at January 1, 2009                     |   |                    | 12,040,462 |   |   | $      | 160,464 |   |
|                                                 |   |                    |       |   |   |   |   |   |
| Issuance      of common shares for options exercised |   |                    | 334,725    |   |   |   | 3,239 |   |
| Tax      benefit from exercise of stock options      |   |                    | --         |   |   |   | 1,347 |   |
| Stock-based      compensation                        |   |                    | 2,967      |   |   |   | 906 |   |
| Net      income                                      |   |                    | --         |   |   |   | 26,244 |   |
|                                                 |   |                    |       |   |   |   |   |   |
| Balances      at September 30, 2009                  |   |                    | 12,378,154 |   |   | $      | 192,200 |   |

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Table of Contents

| (3) | Income per      Share |
|-----|-----------------------|

|                                                                      |   | 2009   |       |   | 2008   |   |
|---------------------------------------------------------------------------|--------|--------|------------|--------|--------|--------|
| For      quarter ended September 30:                                      |   |   |       |   |   |   |
| Weighted      average number of common shares outstanding – basic   |   |   | 12,337,120 |   |   |   | 12,179,714 |   |
| Dilutive      effect of:                                                  |   |   |       |   |   |   |   |   |
| Common      stock options                                                 |   |   | 155,524    |   |   |   | 337,059 |   |
| Unvested      restricted stock                                            |   |   | 5,676      |   |   |   | 6,159 |   |
| Weighted      average number of common shares outstanding – diluted |   |   | 12,498,320 |   |   |   | 12,522,932 |   |
|                                                                      |   |   |       |   |   |   |   |   |
| For      nine months ended September 30:                                  |   |   |       |   |   |   |   |   |
| Weighted      average number of common shares outstanding – basic   |   |   | 12,218,369 |   |   |   | 12,170,980 |   |
| Dilutive      effect of:                                                  |   |   |       |   |   |   |   |   |
| Common      stock options                                                 |   |   | 174,200    |   |   |   | 416,676 |   |
| Unvested      restricted stock                                            |   |   | 4,457      |   |   |   | 2,596 |   |
| Weighted      average number of common shares outstanding – diluted |   |   | 12,397,026 |   |   |   | 12,590,252 |   |

| (4) | New Accounting      Pronouncements |
|-----|------------------------------------|

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Table of Contents

| (4) | New Accounting      Pronouncements, continued |
|-----|-----------------------------------------------|

| (5) | Fair Value of      Financial Instruments |
|-----|------------------------------------------|

| (6) | Business Segment      Information |
|-----|-----------------------------------|

|   | · | Community-Based      Services (CBS) - provides air medical transportation services to the      general population as an independent service in 21 states. Services      include aircraft operation and maintenance, medical care, dispatch and      communications, and medical billing and  collection. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Hospital-Based      Services (HBS) - provides air medical transportation services to hospitals      in 32 states under exclusive operating agreements. Services include      aircraft operation and maintenance. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Products      Division - designs, manufactures, and installs aircraft medical interiors      and other aerospace and medical transport products for domestic and      international customers. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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Table of Contents

| (6) | Business Segment      Information, continued |
|-----|----------------------------------------------|

| For      quarter ended September 30: |   | CBS    |    |   | HBS    |   |    | Products      Division |   |   | Corporate      Activities |   |   | Intersegment      Eliminations |    |   | Consolidated |   |
|--------------------------------------|--------|--------|---------|--------|--------|--------|---------|------------------------|--------|--------|---------------------------|--------|--------|--------------------------------|---------|--------|--------------|--------|
| 2009                                 |   |   |    |   |   |   |    |                   |   |   |                      |   |   |                           |    |   |         |   |
| External      revenue                |   | $      | 80,194  |   |   |   | 51,553  |                   |   |   | 5,855                     |   |   |                           | --      |   |         |   | -- |   |   |   | 137,602 |   |
| Intersegment      revenue            |   |   | 54      |   |   |   | --      |                   |   |   | 4,563                     |   |   |                           | --      |   |         |   | (4,617 | ) |   |   | -- |   |
| Total      revenue                   |   |   | 80,248  |   |   |   | 51,553  |                   |   |   | 10,418                    |   |   |                           | --      |   |         |   | (4,617 | ) |   |   | 137,602 |   |
|                                 |   |   |    |   |   |   |    |                   |   |   |                      |   |   |                           |    |   |         |   |   |   |   |   |   |   |
| Operating      expenses              |   |   | (60,102 | )      |   |   | (43,642 | )                      |   |   | (7,533                    | )      |   |                           | (4,475  | )      |         |   | 3,723 |   |   |   | (112,029 | ) |
| Depreciation      & amortization |   |   | (2,505  | )      |   |   | (1,854  | )                      |   |   | (141                      | )      |   |                           | (258    | )      |         |   | -- |   |   |   | (4,758 | ) |
| Interest      expense                |   |   | (356    | )      |   |   | (730    | )                      |   |   | (9                        | )      |   |                           | (190    | )      |         |   | -- |   |   |   | (1,285 | ) |
| Other      income (expense), net     |   |   | 984     |   |   |   | --      |                   |   |   | --                        |   |   |                           | (49     | )      |         |   | -- |   |   |   | 935 |   |
| Income      tax expense              |   |   | --      |   |   |   | --      |                   |   |   | --                        |   |   |                           | (7,861  | )      |         |   | -- |   |   |   | (7,861 | ) |
| Segment      net income (loss)       |   | $      | 18,269  |   |   |   | 5,327   |                   |   |   | 2,735                     |   |   |                           | (12,833 | )      |         |   | (894 | ) |   |   | 12,604 |   |
|                                 |   |   |    |   |   |   |    |                   |   |   |                      |   |   |                           |    |   |         |   |   |   |   |   |   |   |
| 2008                                 |   |   |    |   |   |   |    |                   |   |   |                      |   |   |                           |    |   |         |   |   |   |   |   |   |   |
| External      revenue                |   | $      | 82,511  |   |   |   | 48,580  |                   |   |   | 2,741                     |   |   |                           | --      |   |         |   | -- |   |   |   | 133,832 |   |
| Intersegment      revenue            |   |   | 54      |   |   |   | --      |                   |   |   | 6,527                     |   |   |                           | --      |   |         |   | (6,581 | ) |   |   | -- |   |
| Total      revenue                   |   |   | 82,565  |   |   |   | 48,580  |                   |   |   | 9,268                     |   |   |                           | --      |   |         |   | (6,581 | ) |   |   | 133,832 |   |
|                                 |   |   |    |   |   |   |    |                   |   |   |                      |   |   |                           |    |   |         |   |   |   |   |   |   |   |
| Operating      expenses              |   |   | (63,947 | )      |   |   | (45,048 | )                      |   |   | (7,013                    | )      |   |                           | (4,180  | )      |         |   | 5,230 |   |   |   | (114,958 | ) |
| Depreciation      & amortization |   |   | (1,429  | )      |   |   | (2,530  | )                      |   |   | (153                      | )      |   |                           | (216    | )      |         |   | -- |   |   |   | (4,328 | ) |
| Interest      expense                |   |   | (569    | )      |   |   | (609    | )                      |   |   | --                        |   |   |                           | (92     | )      |         |   | -- |   |   |   | (1,270 | ) |
| Other      income, net               |   |   | 877     |   |   |   | --      |                   |   |   | --                        |   |   |                           | 51      |   |         |   | -- |   |   |   | 928 |   |
| Income      tax expense              |   |   | --      |   |   |   | --      |                   |   |   | --                        |   |   |                           | (5,835  | )      |         |   | -- |   |   |   | (5,835 | ) |
| Segment      net income (loss)       |   | $      | 17,497  |   |   |   | 393     |                   |   |   | 2,102                     |   |   |                           | (10,272 | )      |         |   | (1,351 | ) |   |   | 8,369 |   |

| For      nine months ended September 30: |   |   |     |   |   |   |     |   |   |   |    |   |   |   |    |   |   |   |
|------------------------------------------|--------|--------|----------|--------|--------|--------|----------|--------|--------|--------|---------|--------|--------|--------|---------|--------|--------|--------|
| 2009                                     |   |   |     |   |   |   |     |   |   |   |    |   |   |   |    |   |   |   |
| External      revenue                    |   | $      | 220,294  |   |   |   | 150,665  |   |   |   | 19,406  |   |   |   | --      |   |   |   | -- |   |   |   | 390,365 |   |
| Intersegment      revenue                |   |   | 162      |   |   |   | --       |   |   |   | 16,673  |   |   |   | --      |   |   |   | (16,835 | ) |   |   | -- |   |
| Total      revenue                       |   |   | 220,456  |   |   |   | 150,665  |   |   |   | 36,079  |   |   |   | --      |   |   |   | (16,835 | ) |   |   | 390,365 |   |
|                                     |   |   |     |   |   |   |     |   |   |   |    |   |   |   |    |   |   |   |   |   |   |   |   |   |
| Operating      expenses                  |   |   | (176,936 | )      |   |   | (128,475 | )      |   |   | (28,327 | )      |   |   | (13,138 | )      |   |   | 14,063 |   |   |   | (332,813 | ) |
| Depreciation      & amortization     |   |   | (7,379   | )      |   |   | (5,406   | )      |   |   | (436    | )      |   |   | (755    | )      |   |   | -- |   |   |   | (13,976 | ) |
| Interest      expense                    |   |   | (1,074   | )      |   |   | (1,947   | )      |   |   | (18     | )      |   |   | (604    | )      |   |   | -- |   |   |   | (3,643 | ) |
| Other      income, net                   |   |   | 2,649    |   |   |   | --       |   |   |   | --      |   |   |   | 49      |   |   |   | -- |   |   |   | 2,698 |   |
| Income      tax expense                  |   |   | --       |   |   |   | --       |   |   |   | --      |   |   |   | (16,387 | )      |   |   | -- |   |   |   | (16,387 | ) |
| Segment      net income (loss)           |   | $      | 37,716   |   |   |   | 14,837   |   |   |   | 7,298   |   |   |   | (30,835 | )      |   |   | (2,772 | ) |   |   | 26,244 |   |
|                                     |   |   |     |   |   |   |     |   |   |   |    |   |   |   |    |   |   |   |   |   |   |   |   |   |
| 2008                                     |   |   |     |   |   |   |     |   |   |   |    |   |   |   |    |   |   |   |   |   |   |   |   |   |
| External      revenue                    |   | $      | 229,574  |   |   |   | 140,846  |   |   |   | 9,470   |   |   |   | --      |   |   |   | -- |   |   |   | 379,890 |   |
| Intersegment      revenue                |   |   | 162      |   |   |   | --       |   |   |   | 16,489  |   |   |   | --      |   |   |   | (16,651 | ) |   |   | -- |   |
| Total      revenue                       |   |   | 229,736  |   |   |   | 140,846  |   |   |   | 25,959  |   |   |   | --      |   |   |   | (16,651 | ) |   |   | 379,890 |   |
|                                     |   |   |     |   |   |   |     |   |   |   |    |   |   |   |    |   |   |   |   |   |   |   |   |   |
| Operating      expenses                  |   |   | (189,677 | )      |   |   | (129,680 | )      |   |   | (20,803 | )      |   |   | (12,359 | )      |   |   | 13,492 |   |   |   | (339,027 | ) |
| Depreciation      & amortization     |   |   | (5,741   | )      |   |   | (5,915   | )      |   |   | (449    | )      |   |   | (523    | )      |   |   | -- |   |   |   | (12,628 | ) |
| Interest      expense                    |   |   | (1,809   | )      |   |   | (1,910   | )      |   |   | --      |   |   |   | (224    | )      |   |   | -- |   |   |   | (3,943 | ) |
| Other      income, net                   |   |   | 2,033    |   |   |   | --       |   |   |   | --      |   |   |   | 147     |   |   |   | -- |   |   |   | 2,180 |   |
| Income      tax expense                  |   |   | --       |   |   |   | --       |   |   |   | --      |   |   |   | (10,939 | )      |   |   | -- |   |   |   | (10,939 | ) |
| Segment      net income (loss)           |   | $      | 34,542   |   |   |   | 3,341    |   |   |   | 4,707   |   |   |   | (23,898 | )      |   |   | (3,159 | ) |   |   | 15,533 |   |

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| ITEM 2. | Management's      Discussion and Analysis of Financial Condition and Results of      Operations |
|---------|-------------------------------------------------------------------------------------------------|

| · | Community-Based      Services (CBS) - provides air medical transportation services to the      general population as an independent service. Revenue consists of flight      fees billed directly to patients, their insurers, or governmental      agencies, and cash flow is dependent upon collection from these      individuals or entities. In the nine months      ended September 30, 2009, the CBS Division generated 56% of our total      revenue, decreasing from 60% in the nine months ended September 30,      2008. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Hospital-Based      Services (HBS) - provides air medical transportation services to hospitals      throughout the U.S. under exclusive operating agreements. Revenue consists      of fixed monthly fees (approximately 75% of total contract revenue) and      hourly flight fees (approximately 25% of total contract revenue) billed to      hospital customers. In the nine months ended September 30, 2009, the HBS      Division generated 39% of our total revenue, increasing from 37% in the      nine months ended September 30,2008. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Products      Division - designs, manufactures, and installs aircraft medical interiors      and other aerospace and medical transport products for domestic and      international customers. Products Division generated 5% of our total      revenue in the nine months ended September 30, 2009, compared to 3% in the      nine months ended September 30,2008. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Flight      volume. Fluctuations      in flight volume have a greater impact on CBS operations than HBS      operations because almost all of CBS revenue is derived from flight fees,      as compared to approximately 25% of HBS revenue. By contrast, 81% of our      costs primarily associated with flight operations incurred during 2009      (including salaries, aircraft ownership costs, hull insurance, and general      and administrative expenses) are mainly fixed in nature. While flight      volume is affected by many factors, including competition and the      effectiveness of marketing and business development initiatives, the      greatest single variable has historically been weather conditions. Adverse      weather conditions—such as fog, high winds, or heavy precipitation—hamper      our ability to operate our aircraft safely and, therefore, result in      reduced flight volume. Total patient transports for CBS operations were      approximately 10,800 and 30,600 for the quarter and nine months ended      September 30, 2009, respectively, compared to approximately 10,700 and      32,900 for the quarter and nine months ended September 30, 2008,      respectively. Patient transports for CBS bases open longer than one year      (Same-Base Transports) were approximately 9,900 and 28,700 in the quarter      and nine months ended September 30, 2009, respectively, compared to      approximately 10,000 and 30,200 in the quarter and nine months ended      September 30, 2008, respectively. Cancellations due to unfavorable weather      conditions for CBS bases open longer than one year were 220 higher in the      quarter and 231 lower in the nine months ended September 30, 2009,      compared to 2008. We believe that      Same-Base Transports in 2009 were negatively affected by the      overall weaker economic conditions in the United  States. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| · | Reimbursement per      transport. We respond to calls for air medical transports without      pre-screening the creditworthiness of the patient and are subject to      collection risk on services provided to insured and uninsured patients.      Medicare and Medicaid also receive contractual discounts from our standard      charges for flight services. Flight revenue is recorded net of provisions      for contractual discounts and estimated uncompensated care. Both      provisions are estimated during the period the related services are      performed based on historical collection experience and any known trends      or changes in reimbursement rate schedules and payer mix. The provisions      are adjusted as required based on actual collections in subsequent      periods. Net reimbursement per transport for CBS operations is primarily a      function of price, payer mix, and timely and effective collection efforts.      Both the pace of collections and the ultimate collection rate are affected      by the overall health of the U.S. economy, which impacts the number of      indigent patients and funding for state-run programs, such as Medicaid.      Medicaid reimbursement rates in many jurisdictions have remained well      below the cost of providing air medical transportation. In addition, the      collection rate is impacted by changes in the cost of healthcare and      health insurance; as the cost of healthcare increases, health insurance      coverage provided by employers may be reduced or eliminated entirely,      resulting in an increase in the uninsured population. Pending healthcare      legislation, if enacted, may also affect collections. The average gross      charge per transport increased 13.2% in the nine months ended September      30, 2009, compared to 2008, contributing to an increase of 6.8% in net      reimbursement per transport over the same period. Provisions for      contractual discounts and estimated uncompensated care for CBS operations      are as follows: |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                     |   | For      quarters endedSeptember      30,     |   |   | For      nine months endedSeptember      30,        |   |
|------------------------------------------|--------|--------------------------------------------------------------|--------|--------|----------------------------------------------------------------------------------------|--------|
|                                     |   | 2009                                                         |   |   | 2008                                                                                   |   |   | 2009 |   |   | 2008 |   |
| Gross      billings                      |   |                                                         | 100    | %      |                                                                                   |   | 100 | % |   |   | 100 | % |   |   | 100 | % |
| Provision      for contractual discounts |   |                                                         | 37     | %      |                                                                                   |   | 33 | % |   |   | 38 | % |   |   | 34 | % |
| Provision      for uncompensated care    |   |                                                         | 20     | %      |                                                                                   |   | 21 | % |   |   | 20 | % |   |   | 21 | % |

| · | Aircraft maintenance.      Both CBS and HBS operations are directly affected by fluctuations in      aircraft maintenance costs. Proper operation of the aircraft by flight      crews and standardized maintenance practices can help to contain      maintenance costs. Increases in spare parts prices from original equipment      manufacturers tend to be higher for aircraft which are no longer in      production. Three models of aircraft within our fleet, representing 25% of      the rotor wing fleet, are no longer in production and are, therefore,      susceptible to price increases which outpace general inflationary trends.      In addition, on-condition components are more likely to require      replacement with age. Since January 1, 2008,      we have taken delivery of 41 new aircraft and expect to take delivery of      five additional aircraft through the end of 2009. We have replaced      discontinued models and other older aircraft with the new aircraft, as      well as provided capacity for base expansion. Replacement models of      aircraft typically have higher ownership costs than the models targeted      for replacement but lower maintenance costs. Total maintenance expense for      CBS and HBS operations decreased 23.9% and 17.3% from the quarter and nine      months ended September 30, 2008, to the quarter and nine months ended      September 30, 2009, respectively, while total flight volume for CBS and      HBS operations decreased 4.9% and 5.6% over the same periods. Maintenance      cost per hour on newer aircraft has remained relatively constant on an      annual basis. Maintenance cost per hour on older models of aircraft,      however, may vary more widely on a quarterly basis depending on component      overhaul and replacement and aircraft refurbishment  cycles. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Competitive pressures from      low-cost providers. We are recognized within the industry for our      standard of service and our use of cabin-class aircraft. Many of our      regional competitors utilize aircraft with lower ownership and operating      costs and do not require a similar level of experience for aviation and      medical personnel. Reimbursement rates established by Medicare, Medicaid,      and most insurance providers are not contingent upon the type of aircraft      used or the experience of personnel. However, we believe that higher      quality standards help to differentiate our service from competitors and,      therefore, lead to higherutilization. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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| · | Employee recruitment and      relations. The ability to deliver quality services is partially      dependent upon our ability to hire and retain employees who have advanced      aviation, nursing, and other technical skills. In addition, hospital      contracts typically contain minimum certification requirements for pilots      and mechanics. In September 2003, our pilots voted to be represented by a      collective bargaining unit, and we signed a collective bargaining      agreement on March 31, 2006. The agreement was effective January 1, 2006,      through April 30, 2009. Negotiations on a new collective bargaining      agreement (CBA) commenced in the fourth quarter of 2008 and were referred      for mediation during the second quarter of 2009. Under the Railway Labor      Act, mediation decisions are non-binding on either party, and the duration      of the process may vary depending upon the mediator assigned and the      complexity of the issues negotiated. Other employee groups may also elect      to be represented by unions in thefuture. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | CBS      – Net flight revenue decreased $2,310,000, or 2.8%, to $80,189,000 for the      third quarter of 2009 and $9,180,000, or 4.0%, to $220,275,000 for the      nine months ended September 30, 2009, for the following      reasons: |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Net      revenue of $7,305,000 for the quarter and nine months ended September 30,      2008, pursuant to a contract to support the Federal Emergency Management      Agency in disaster recovery efforts. No such revenue was generated in the      quarter and nine months ended September 30,  2009. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Decreases      of 171, or 1.7%, and 1,511, or 5.0%, in Same-Base Transports for the      quarter and nine months ended September 30, 2009, respectively, compared      to 2008. Cancellations due to unfavorable weather conditions for CBS bases      open longer than one year were 220 higher in the third quarter of 2009 but      231 lower in the nine months ended September 30, 2009, compared to 2008.      The decline in Same-Base Transports is believed to be primarily      attributable to overall economic      conditions in the UnitedStates. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Increases      of 9.8% and 13.2% in average gross charge per transport for the quarter      and nine months ended September 30, 2009, respectively, compared to 2008.      Net reimbursement per transport increased approximately 6.6% and 6.8%,      over the same periods. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Incremental      net revenue of $7,192,000 and $16,252,000 for the quarter and nine months      ended September 30, 2009, respectively, generated from new service      agreements with another air medical service provider in the Atlanta area      and the addition of twelve new CBS bases, including two bases resulting      from the conversion of an HBS contract, during either 2009 or      2008. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Closure      of seventeen bases during either 2009 or 2008, resulting in decreases in      net revenue of approximately $4,241,000 and $14,628,000 during the quarter      and nine months ended September 30, 2009,  respectively. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | HBS      – Net flight revenue increased $2,954,000, or 6.1%, to $51,534,000 for the      third quarter of 2009 and $9,799,000, or 7.0%, to $150,642,000 for the      nine months ended September 30, 2009, for the following      reasons: |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Incremental      net revenue of $1,540,000 and $7,212,000 for the quarter and nine months      ended September 30, 2009, generated from the addition of one new contract      and the expansion of nine contracts during either 2009 or      2008. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Cessation of service      under eight contracts during either 2009 or 2008 and the conversion of one      contract to CBS operations in the second quarter of 2009, resulting      in decreases in net revenue of approximately $2,321,000 and $7,178,000 for      the quarter and nine months ended September 30, 2009,      respectively. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Annual      price increases in the majority of contracts based on changes in the      Consumer Price Index or spare parts prices from aircraft manufacturers and      the renewal of contracts at higherrates. |
|--------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

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|   | · | Decreases      of 3.6% and 8.2% in flight volume for the quarter and nine months ended      September 30, 2009, respectively, for all contracts excluding new      contracts, contract expansions, and closed contracts discussed      above. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | CBS      – Flight center costs increased $390,000, or 1.2%, to $33,068,000 and      decreased $983,000, or 1.0%, to $96,622,000 for the quarter and nine      months ended September 30, 2009, respectively, for the following      reasons: |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Increases      of approximately $3,193,000 and $7,289,000 for the quarter and nine months      ended September 30, 2009, respectively, for the addition of personnel to      staff new base locations describedabove. |
|--------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Decreases      of approximately $2,255,000 and $8,727,000 for the quarter and nine months      ended September 30, 2009, respectively, due to the closure of base      locations described above. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Increases      in salaries for merit pay raises and in the cost of our medical      insurance. |
|--------|--------|------------------------------------------------------------------------------------------------|

| · | HBS      - Flight center costs increased $616,000, or 3.1%, to $20,442,000 and      $1,858,000, or 3.1%, to $61,877,000 for the quarter and nine months ended      September 30, 2009, respectively, primarily due to the      following: |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Increases      of approximately $453,000 and $2,255,000 for the quarter and nine months      ended September 30, 2009, respectively, for the addition of personnel to      staff new base locations describedabove. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Decreases      of approximately $595,000 and $2,889,000 for the quarter and nine months      ended September 30, 2009, respectively, due to the closure of base      locations described above. |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Increases      in salaries for merit pay raises and in the cost of our medical      insurance. |
|--------|--------|------------------------------------------------------------------------------------------------|

| · | Aircraft      maintenance expense decreased $5,962,000, or 23.9%, to $19,017,000 for the      third quarter of 2009 and $11,690,000, or 17.3%, to $56,025,000 for the      nine months ended September 30, 2009, primarily attributable to our fleet      rejuvenation efforts and to our increasing use of single-engine, rather      than twin-engine, aircraft. Since the first quarter of 2008, we have      placed 47 new helicopters into service (consisting of 27 single-engine      aircraft, 19 twins, and 1 fixed wing aircraft) and eliminated 44 aircraft      which were older models (consisting of 11 single-engine aircraft, 29      twins, and 4 fixed wing aircraft). Maintenance cost per hour on newer      aircraft has remained relatively constant on an annual basis. Maintenance      cost per hour on older models of aircraft, however, may vary more widely      on a quarterly basis depending on component overhaul and replacement and      aircraft refurbishment cycles. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | The      cost of aircraft fuel per hour flown decreased approximately 40.7% and      42.1% for the quarter and nine months ended September 30, 2009,      respectively. Fuel costs decreased by $2,231,000 to a total expense of      $3,284,000 for the third quarter of 2009 and by $6,311,000 to a total      expense of $8,761,000 for the nine months ended September 30, 2009,      compared to 2008. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Decreases      in flight volume for bases open longer than one year for both CBS and HBS      as described above. |
|--------|-------------------------------------------------------------------------------------------------------------------|

| · | Increases      in hull insurance rates effective July 2009 and  2008. |
|--------|-----------------------------------------------------------------------|

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| · | $3,592,000      and $14,076,000 – governmentalentities |
|--------|--------------------------------------------------------------|

| · | $2,287,000      and $5,372,000 – commercialcustomers |
|--------|------------------------------------------------------------|

| · | $1,781,000      and $5,090,000 – governmentalentities |
|--------|-------------------------------------------------------------|

| · | $972,000      and $4,502,000 – commercialcustomers |
|--------|----------------------------------------------------------|

| · | Completion      of the consolidation of the Part 135 Air Carrier Certificate for CJ Systems      Aviation Group, Inc., (CJ) into the Air Methods certificate during      the second quarter of 2008. Costs of $1,195,000 were incurred in the nine      months ended September 30, 2008, related to the    consolidation. |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Reorganization      of field-based program management during the second quarter of 2009,      resulting in the elimination of fifteen positions and the transfer of      other personnel into other open positions within the    Company. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Closure      of the CJ patient billing office and incorporation of these functions into      our existing billing department, resulting in the elimination of sixteen      full-time positions as well as additional contract positions. The      transition was completed during the second quarter of  2008. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Consolidation      of corporate overhead functions. |
|--------|-----------------------------------------------------|

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| Item 3. | Quantitative      and Qualitative Disclosures about MarketRisk |
|---------|----------------------------------------------------------------|

| Item      4. | Controls      and Procedures |
|--------------|------------------------------|

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| Item      1. | Legal      Proceedings |
|--------------|------------------------|

| Item      1A. | Risk      Factors |
|---------------|-------------------|

| Item 2. | Changes      in Securities |
|---------|----------------------------|

| Item 3. | Defaults      upon Senior Securities |
|---------|--------------------------------------|

| Item 4. | Submission      of Matters to a Vote of SecurityHolders |
|---------|---------------------------------------------------------|

| Item      5. | Other      Information |
|--------------|------------------------|

| Item 6. | Exhibits |
|---------|----------|

|   | 31.1 | Chief      Executive Officer Certification adopted pursuant to Section 302 of the      Sarbanes-Oxley Act of 2002 |
|--------|------|-------------------------------------------------------------------------------------------------------------------|

|   | 31.2 | Chief      Financial Officer Certification adopted pursuant to Section 302 of the      Sarbanes-Oxley Act of 2002 |
|--------|------|-------------------------------------------------------------------------------------------------------------------|

|   | 32 | Certification      adopted pursuant to Section 906 of the Sarbanes-Oxley Act of      2002 |
|--------|----|-------------------------------------------------------------------------------------------|

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Table of Contents

SIGN

|                                   | AIR      METHODS CORPORATION |                                      |
|----------------------------------------|------------------------------|-------------------------------------------|
|                                   |                         |                                      |   |
|                                   |                         |                                      |   |
| Date:  November      6, 2009 | By                           | \s\   Aaron D.      Todd   |   |
|                                   |                         | Aaron      D. Todd                        |   |
|                                   |                         | Chief      Executive Officer              |   |
|                                   |                         | (Principal      Executive Officer)        |   |
|                                   |                         |                                      |   |
|                                   |                         |                                      |   |
| Date:  November      6, 2009 | By                           | \s\   Trent J.      Carman |   |
|                                   |                         | Trent      J. Carman                      |   |
|                                   |                         | Chief      Financial Officer              |   |
|                                   |                         | (Principal      Financial Officer)        |   |
|                                   |                         |                                      |   |
|                                   |                         |                                      |   |
| Date:  November      6, 2009 | By                           | \s\   Sharon J.      Keck  |   |
|                                   |                         | Sharon      J. Keck                       |   |
|                                   |                         | Chief      Accounting Officer             |   |
|                                   |                         | (Principal      Accounting Officer)       |   |

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