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SCHEDULE 13D/A*
(AMENDMENT NO. 2)
Under the Securities Exchange Act of 1934
Air Transport Services Group, Inc.
--------------------------------------------------------------------------------
(Name of Company)
Common Stock, par value $.01
--------------------------------------------------------------------------------
(Title of Class of Securities)
00922R105
--------------------------------------------------------------------------------
(CUSIP Number of Class of Securities)
William Kourakos
Perella Weinberg Partners Capital Management LP
767 Fifth Avenue
New York, NY 10153
(212) 287-3318
--------------------------------------------------------------------------------
(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)
November 4, 2008
--------------------------------------------------------------------------------
(Date of Event which Requires
Filing of this Schedule)
If the filing person has previously filed a statement on Schedule 13G to report
the acquisition that is the subject of this Schedule 13D/A, and is filing this
schedule because of ss.ss.240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the
following box. [x]
NOTE: Schedules filed in paper format shall include a signed original and five
copies of the schedule, including all exhibits. See ss.240.13d-7 for other
parties to whom copies are to be sent.
* The remainder of this cover page shall be filled out for a reporting person's
initial filing on this form with respect to the subject class of securities, and
for any subsequent amendment containing information which would alter
disclosures provided in a prior cover page.
The information required on the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the Securities Exchange Act of
1934 ("Act") or otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act (however, see the
Notes).
SCHEDULE 13D/A
------------------------------------ ---------------------
CUSIP NO. 00922R105 PAGE 2 OF 11 PAGES
------------------------------------ ---------------------
1 NAMES OF REPORTING PERSONS
PERELLA WEINBERG PARTNERS XERION MASTER FUND LTD.
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) [X]
(b) [ ]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC (See Item 3)
--------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
--------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Bermuda
--------------------------------------------------------------------------------
7 SOLE VOTING POWER
0
NUMBER OF -------------------------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY 4,500,000 Shares of Common Stock
EACH -------------------------------------------------------------
REPORTING 9 SOLE DISPOSITIVE POWER
PERSON
WITH 0
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,500,000 Shares of Common Stock
--------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH PERSON
4,500,000 Shares of Common Stock
--------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
--------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) (see Item 5)
7.12%
--------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
OO
--------------------------------------------------------------------------------
SCHEDULE 13D/A
------------------------------------ ---------------------
CUSIP NO. 00922R105 PAGE 3 OF 11 PAGES
------------------------------------ ---------------------
1 NAMES OF REPORTING PERSONS
PERELLA WEINBERG PARTNERS XERION EQUITY LP
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) [X]
(b) [ ]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC (See Item 3)
--------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
--------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------------------------------------------------------
7 SOLE VOTING POWER
0
NUMBER OF -------------------------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY 4,500,000 Shares of Common Stock
EACH -------------------------------------------------------------
REPORTING 9 SOLE DISPOSITIVE POWER
PERSON
WITH 0
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,500,000 Shares of Common Stock
--------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH PERSON
4,500,000 Shares of Common Stock
--------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
--------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) (see Item 5)
7.12%
--------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
--------------------------------------------------------------------------------
SCHEDULE 13D/A
------------------------------------ ---------------------
CUSIP NO. 00922R105 PAGE 4 OF 11 PAGES
------------------------------------ ---------------------
1 NAMES OF REPORTING PERSONS
PERELLA WEINBERG PARTNERS XERION FUND GP LLC
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) [X]
(b) [ ]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC (See Item 3)
--------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
--------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------------------------------------------------------
7 SOLE VOTING POWER
0
NUMBER OF -------------------------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY 4,500,000 Shares of Common Stock
EACH -------------------------------------------------------------
REPORTING 9 SOLE DISPOSITIVE POWER
PERSON
WITH 0
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,500,000 Shares of Common Stock
--------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH PERSON
4,500,000 Shares of Common Stock
--------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
--------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) (see Item 5)
7.12%
--------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
OO
--------------------------------------------------------------------------------
SCHEDULE 13D/A
------------------------------------ ---------------------
CUSIP NO. 00922R105 PAGE 5 OF 11 PAGES
------------------------------------ ---------------------
1 NAMES OF REPORTING PERSONS
PERELLA WEINBERG PARTNERS CAPITAL MANAGEMENT LP
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) [X]
(b) [ ]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC (See Item 3)
--------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
--------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------------------------------------------------------
7 SOLE VOTING POWER
0
NUMBER OF -------------------------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY 4,500,000 Shares of Common Stock
EACH -------------------------------------------------------------
REPORTING 9 SOLE DISPOSITIVE POWER
PERSON
WITH 0
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,500,000 Shares of Common Stock
--------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH PERSON
4,500,000 Shares of Common Stock
--------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
--------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) (see Item 5)
7.12%
--------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
IA
--------------------------------------------------------------------------------
SCHEDULE 13D/A
------------------------------------ ---------------------
CUSIP NO. 00922R105 PAGE 6 OF 11 PAGES
------------------------------------ ---------------------
1 NAMES OF REPORTING PERSONS
PERELLA WEINBERG PARTNERS CAPITAL MANAGEMENT GP LLC
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) [X]
(b) [ ]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC (See Item 3)
--------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
--------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------------------------------------------------------
7 SOLE VOTING POWER
0
NUMBER OF -------------------------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY 4,500,000 Shares of Common Stock
EACH -------------------------------------------------------------
REPORTING 9 SOLE DISPOSITIVE POWER
PERSON
WITH 0
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,500,000 Shares of Common Stock
--------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH PERSON
4,500,000 Shares of Common Stock
--------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
--------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) (see Item 5)
7.12%
--------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
OO
--------------------------------------------------------------------------------
SCHEDULE 13D/A
------------------------------------ ---------------------
CUSIP NO. 00922R105 PAGE 7 OF 11 PAGES
------------------------------------ ---------------------
1 NAMES OF REPORTING PERSONS
PERELLA WEINBERG PARTNERS GROUP LP
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) [X]
(b) [ ]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC (See Item 3)
--------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
--------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------------------------------------------------------
7 SOLE VOTING POWER
0
NUMBER OF -------------------------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY 4,500,000 Shares of Common Stock
EACH -------------------------------------------------------------
REPORTING 9 SOLE DISPOSITIVE POWER
PERSON
WITH 0
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
4,500,000 Shares of Common Stock
--------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH PERSON
4,500,000 Shares of Common Stock
--------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
--------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) (see Item 5)
7.12%
--------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
HC
--------------------------------------------------------------------------------
CUSIP No. 00922R105 SCHEDULE 13D/A Page 8 of 11 Pages
Pursuant to Rule 13d-2 promulgated under the Act, this Schedule 13D/A
("Amendment No. 2") amends the Schedule 13D/A ("Amendment No. 1") filed on
August 4, 2008 which amended the Schedule 13D filed on July 2, 2008 (the
"Original Schedule 13D") by the Reporting Persons (as defined below). This
Amendment No. 2 is being filed by (i) Perella Weinberg Partners Xerion Master
Fund Ltd., a Bermuda limited company (the "Master Fund"), with respect to shares
of Common Stock (as defined below) directly owned by it; (ii) Perella Weinberg
Partners Xerion Equity LP, a Delaware limited partnership (the "Master Fund
Manager"), which serves as the manager of the Master Fund, with respect to
shares of Common Stock directly owned by the Master Fund; (iii) Perella Weinberg
Partners Xerion Fund GP LLC, a Delaware limited liability company (the "GP"),
which serves as the general partner of the Master Fund Manager, with respect to
shares of Common Stock directly owned by the Master Fund; (iv) Perella Weinberg
Partners Capital Management LP, a Delaware limited partnership (the "Investment
Manager") that is registered with the Securities and Exchange Commission as an
investment adviser, which indirectly serves as the investment adviser to the
Master Fund and is also the managing member of the GP, with respect to the
shares of Common Stock directly owned by the Master Fund; (v) Perella Weinberg
Partners Capital Management GP LLC, a Delaware limited liability company
("PWPCMGP"), which serves as the general partner of the Investment Manager,
which indirectly serves as the investment adviser to the Master Fund, with
respect to the shares of Common Stock directly owned by the Master Fund; and
(vi) Perella Weinberg Partners Group LP, a Delaware limited partnership
("Group"), which serves as the managing member of PWPCMGP, the general partner
of the Investment Manager, which indirectly serves as the investment adviser to
the Master Fund, with respect to the shares of Common Stock directly owned by
the Master Fund. The foregoing persons are hereinafter collectively referred to
as the "Reporting Persons." Any disclosures herein with respect to persons other
than the Reporting Persons are made on information and belief after making
inquiry to the appropriate party. This Amendment No. 2 relates to the common
stock, par value $.01, (the "Common Stock") of Air Transport Services Group,
Inc., a Delaware corporation (the "Company"). Unless the context otherwise
requires, references herein to the "Shares" are to the Common Stock of the
Company.
The Reporting Persons are making this single, joint filing because they
may be deemed to constitute a "group" within the meaning of Section 13(d)(3) of
the Act. The agreement among the Reporting Persons to file jointly (the "Joint
Filing Agreement") was previously filed as Exhibit A to the Original Schedule
13D.
The Master Fund Manager, as manager to the Master Fund, which directly owns
the Common Stock to which this filing relates, has voting and dispositive
authority over such Common Stock. As such the Master Fund Manager may be deemed
to be the beneficial owner of such Common Stock. The GP, as general partner to
the Master Fund Manager, may be deemed to control such entity and therefore, may
be deemed to be the beneficial owner of the Common Stock to which this filing
relates. The Investment Manager is the managing member of the GP. As such, it
may be deemed to control such entity and therefore may be deemed to be the
beneficial owner of the Common Stock to which this filing relates. PWPCMGP is
the general partner of the Investment Manager. As such, it may be deemed to
control such entity and therefore, may be deemed to be the beneficial owner of
the Common Stock to which this filing relates. Group is the managing member of
PWPCMGP. As such, it may be deemed to control PWPCMGP and therefore, may be
deemed to be the beneficial owner of the Common Stock to which this filing
relates.
CUSIP No. 00922R105 SCHEDULE 13D/A Page 9 of 11 Pages
Each of the Master Fund Manager, the GP, the Investment Manager,
PWPCMGP and Group disclaims beneficial ownership of all of the Shares reported
in this Amendment No. 2.
ITEM 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION.
Item 3 of Amendment No. 1 and the Original Schedule 13D is hereby
amended and restated as follows:
4,500,000 Shares of Common Stock reported in this Amendment No. 2 were
acquired by the Master Fund. The aggregate purchase price for the 4,500,000
Shares of Common Stock Shares was approximately $5,313,607. The Master Fund
Manager, the GP, the Investment Manager, PWPCMGP and Group do not directly own
any Shares. The source of funds for the purchase of the Shares reported in this
Amendment No. 2 was the working capital of the Master Fund.
ITEM 4. PURPOSE OF TRANSACTION.
Item 4 of Amendment No. 1 and the Original Schedule 13D is hereby
amended and restated as follows:
The Shares reported in this Amendment No. 2 were acquired for
investment in the ordinary course of business. The Reporting Persons do not have
any present plan or proposal that would relate to, or result in, any of the
matters set forth in subparagraphs (a) - (j) of Item 4 of Amendment No. 2. The
Reporting Persons have engaged in discussions with the Company regarding
business, operational and strategic alternatives to maximize value for the
shareholders in the wake of recent developments in the Company's DHL related
business. The primary interest of the Reporting Persons is to ensure that the
value of the Common Stock of the Company is maximized for the benefit of all
shareholders. The Reporting Persons intend to review their investment in the
Company on a continuing basis and may engage in additional discussions with
management, the board of directors, other shareholders of the Company and other
relevant parties concerning the business, operations, management, governance,
strategy and future plans of the Company. Depending on various factors
including, without limitation, the Company's financial position and strategic
direction, the outcome of discussions and actions referenced above, actions
taken by the board of directors, price levels of the Common Stock, other
investment opportunities available to the Reporting Persons, conditions in the
securities market and general economic and industry conditions, the Reporting
Persons may in the future take such actions with respect to their investment in
the Company as they deem appropriate, including, without limitation, purchasing
additional shares of Common Stock or selling some or all of their shares of
Common Stock, engaging in short selling of or any hedging or similar
transactions with respect to the shares of Common Stock, forming and conducting
or otherwise participating in strategic developments, plans or proposals
relating to the Company and its businesses and operations, including such as
potentially may have the purpose or effect of changing or influencing the
control of the Company and/or otherwise changing their intention with respect to
any and all matters referred to in Item 4 of this Amendment No. 2.
CUSIP No. 00922R105 SCHEDULE 13D/A Page 10 of 11 Pages
ITEM 5. INTEREST IN SECURITIES OF THE COMPANY.
Paragraphs (a), (b) and (c) of Item 5 of Amendment No. 1 and the
Original Schedule 13D are hereby amended as follows:
(a) The Reporting Persons may be deemed to beneficially own, in the
aggregate, 4,500,000 Shares of Common Stock Shares, representing approximately
7.12% of the Company's outstanding Common Stock (based upon the 63,227,084
Shares stated to be outstanding by the Company as of August 11, 2008, in the
Company's Form 10-Q for the quarter ended June 30, 2008, filed with the
Securities and Exchange Commission on August 11, 2008.
(b) The Reporting Persons may be viewed as having shared voting and
dispositive power with respect to 4,500,000 Shares of Common Stock.
(c) The following transactions were effected by the Reporting Persons
during the 60 day period preceding this filing. All of the Shares were purchased
or sold in open market transactions.
LIST OF TRANSACTIONS
Name Date Number of Shares Price Per Share
Purchased/ (Sold)
Perella Weinberg Partners Xerion Master 11/05/2008 (707,140) $0.28
Fund Ltd.
Perella Weinberg Partners Xerion Master 11/04/2008 (153,742) $0.32
Fund Ltd.
Perella Weinberg Partners Xerion Master 11/03/2008 (190,490) $0.32
Fund Ltd.
Perella Weinberg Partners Xerion Master 10/29/2008 (366,660) $0.34
Fund Ltd.
Perella Weinberg Partners Xerion Master 10/28/2008 (51,042) $0.35
Fund Ltd.
Perella Weinberg Partners Xerion Master 10/17/2008 (9,366) $0.60
Fund Ltd.
Perella Weinberg Partners Xerion Master 10/16/2008 (16,900) $0.45
Fund Ltd.
Perella Weinberg Partners Xerion Master 10/16/2008 (4,660) $0.46
Fund Ltd.
CUSIP No. 00922R105 SCHEDULE 13D/A Page 11 of 11 Pages
SIGNATURES
After reasonable inquiry and to the best of his knowledge and belief,
the undersigned certifies that the information set forth in this statement is
true, complete and correct.
Dated: November 6, 2008
PERELLA WEINBERG PARTNERS XERION MASTER FUND LTD.
/s/ William Kourakos
--------------------
Name: William Kourakos
Title: Authorized Person
PERELLA WEINBERG PARTNERS XERION EQUITY LP
/s/ William Kourakos
--------------------
Name: William Kourakos
Title: Partner and Authorized Person
PERELLA WEINBERG PARTNERS XERION FUND GP LLC
/s/ William Kourakos
--------------------
Name: William Kourakos
Title: Authorized Person
PERELLA WEINBERG PARTNERS CAPITAL MANAGEMENT LP
/s/ William Kourakos
--------------------
Name: William Kourakos
Title: Partner and Authorized Person
PERELLA WEINBERG PARTNERS CAPITAL MANAGEMENT GP LLC
/s/ William Kourakos
--------------------
Name: William Kourakos
Title: Authorized Person
PERELLA WEINBERG PARTNERS GROUP LP
/s/ William Kourakos
--------------------
Name: William Kourakos
Title: Partner and Authorized Person