Securities and Exchange Commission in the mids revealed that over U. In response to these high profile revelations, Congress enacted the FCPA to bring a halt to the bribery of foreign officials and to restore public confidence in the integrity of the American business system.
Air Transport Services Group, Inc. ATSG, through its leasing and airline subsidiaries, is the world's largest owner and operator of converted Boeing freighter aircraft.
Through its principal subsidiaries, including two airlines with separate and distinct U. Those are record totals for us since our business model changed in Two non-cash items, however, had a major effect on those GAAP results.
The largest was a net loss for the year from revaluation of warrants we have issued to Amazon incrementally under commercial agreements we signed with them in These Foreign corrupt practices act occur quarterly, and reflect changes in the size of our warrant liability from share-price changes and additional vested warrants.
Unrealized losses tied to increases in that liability are in part good news for shareholders, as losses are driven mainly by increases in our stock price.
In August, we completed our commitment to supply Amazon with twenty leased s to serve as the backbone of its new air network, plus the flight crews, maintenance, and logistics to support them.
As a result, Amazon became our largest customer inaccounting for 44 percent of our total revenues. DHL revenues were 24 percent, and the U. Military 7 percent of our total revenues. The principal factor for the airlines was expanded flying during a busy peak, which included operations for our principal customers, DHL and Amazon, as well as some peak season flying for other customers.
Taken together, our block hours exceeded the prior year by 22 percent. Also contributing to our airlines improved performance was a reduction in year-over-year expense associated with scheduled airframe inspections.
CAM, our leasing business, had a good year, despite lower margins. Two of those will be from a group of three additional feedstock s we are acquiring in We may buy more if our demand projections prove out.
Under the new rules, revenues related to costs of aircraft fuel and certain other aviation-related expenses that are directly reimbursed to ATSG and controlled by the customer will be reported net of the corresponding expenses. Our aircraft maintenance and conversion operations will now be reported in a new segment called MRO Services.
Other Activities will include our ground services, equipment leasing, and postal center services, plus corporate and other customer support operations. We also took steps last year to de-risk our balance sheet, while preserving our long-term access to attractive low-cost growth capital.
In August, we offloaded a portion of our pension liability to an annuity underwriter. Our cash flow from operations, which rose 22 percent inshould continue to grow as our fleet expands, even as we continue to maintain a conservative debt leverage profile.
Our additional aircraft purchases and planned deployments in are the best way we can tell you that we are very positive about the economy in general, and the express-network portion of the air cargo business that we serve directly.
We expect all of our aircraft deployments to be straight external dry leases that the customer will operate. Most are already committed to customers, and most will use some or all of our maintenance capabilities.
A significant part of the market opportunity we serve is driven by increases in e-commerce fulfillment demand, which is driving the growth of express networks providing same- and second-day service to points throughout the U.
Our goal is to remain the No. With that goal in mind, we are expanding our aircraft type offerings within the midsize niche to offer models that can efficiently extend those networks into smaller markets.
We teamed with Precision Conversions last year to develop a converted freighter variant of the Airbus A, an aircraft with a great record of reliability and efficiency for passenger airlines around the world. It combines the operating efficiency of a smaller narrow-body like the Boeingbut with the cubic capacity of the larger narrow-body Boeing s we operate today.
Once approved, we intend for CAM to invest in As and convert them to freighters to support customers eager for the cost-efficient capacity they can provide.
Our strategy remains to maximize cash flow and invest it where we can find the highest return. Rademacher was formerly the Chief Financial Officer for The Armor Group, a privately owned manufacturer of industrial and commercial products, from to Prior to his current role at Infinity Transportation, Mr.
Baudouin was a principal of Infinity Aviation Capital, LLC, an investment firm involved in aircraft leasing, from toand was a co-founder and former managing director of Aviation Capital Group, a commercial aircraft leasing company, from to Baudouin has been a Director of the Company since January Hete has been with the company since Prior to his retirement from the military, Mr.
Johns led the U. He retired with the rank of General in Januarycapping a year military career. Johns has been a Director of the Company since October Laura Peterson Vice President of The Boeing Company Peterson has 22 years of experience in the global aerospace industry at The Boeing Company, where she held a series of executive positions in aircraft sales, international business development, global strategy, government relations and homeland security.Foreign Corrupt Practices Act of (15 U.S.C.
78dd–2 [and 78dd–3]) until such time as the President certifies to the Committee on Commerce [now Committee on Energy and Commerce] of the House of Representatives. such annual reports (and such copies thereof), certified if required by the rules and regulations of the Commission by independent public accountants, and such quarterly reports (and such copies thereof), as the Commission may prescribe.
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The Foreign Corrupt Practices Act (FCPA) is a U.S. law that prohibits publicly traded corporations, both U.S. and international, from paying bribes to foreign officials and mandates proper financial recordkeeping.
The FCPA applies to issuers, domestic concerns, or persons acting within the U.S. President Donald Trump does not like the Foreign Corrupt Practices Act. As Trump's dealings in India get more attention, some have noted that he could be running afoul of that statute by way of.
The Foreign Corrupt Practices Act (FCPA), enacted in , generally prohibits the payment of bribes to foreign officials to assist in obtaining or retaining business. The FCPA can apply to prohibited conduct anywhere in the world and extends to publicly traded companies and their officers, directors, employees, stockholders, and agents.