Air Transport Services Group, Inc. announced that it has obtained lender commitments for a one-year extension through May 2022 of its secured credit facility, and an expansion of its revolver portion.

The amendment to ATSG’s agreements with a consortium of banks, led by SunTrust, increases the revolving credit portion of the facility by $120 million, to $545 million. Additionally, the amendment preserves ATSG’s access to a $100 million accordion feature, subject to lender consent.

Quint Turner, Chief Financial Officer of ATSG, said, "We appreciate the continued support of our bank consortium as we invest to meet strong domestic and international demand for our expanding fleet of midsize freighter aircraft. The additional credit, along with growing cash flows generated by ATSG’s businesses, provides us with ample resources to meet capital commitments we anticipate in the near term."

The outstanding balance under the revolver was $415 million as of March 31, 2017. The facility also includes an amortizing term loan with an outstanding balance of $82.5 million.

The variable interest rate structure on the revolver remains unchanged. Rates are affected by LIBOR, plus a credit spread that adjusts quarterly based on the actual leverage ratio up to 3.5 times EBITDA. The revolver interest rate is currently 2.99 percent.