Atlas Air Records Highest-Ever Customer Hours.

GOLDEN, Colo.--(BUSINESS WIRE)--Jan. 5, 1999--Atlas Air, Inc. (NYSE:CGO), announced today that its December 1998 block hour production was the highest in its history.

The company, which provides its 747-200 and 747-400 freighters under ACMI (aircraft, crew, maintenance and insurance) contracts to the world's leading international airlines, flew over 9,200 block hours for its customers in December.

In addition, Atlas established a new peak for the scope of its world-wide operations, which normally cover 76 cities in 42 countries. Its December flying, however, expanded to 95 cities and 57 countries around the globe.

"We are truly gratified by the strong customer acceptance of Atlas Air's cargo services and the underlying continued strength of the air freight market that these production levels evidence," said Michael A. Chowdry, Chairman, Chief Executive Officer and President of Atlas Air, Inc. "In particular, the introduction during 1998 of our new 747-400's was very successful, and the high customer demand for these aircraft helped push our block hours to an all-time high. As a result, we are looking forward to 1999, which should see an approximate 50% increase in our block hour performance."

Atlas Air is a United States certificated air carrier that operates a fleet of 747 freighter aircraft. Atlas operates its fleet for customers that include some of the world's leading air carriers, including Alitalia, British Airways, Cargolux, China Airlines, El Al, Emirates, FastAir, FedEx, Iberia, KLM, LAS, SAS and Thai International Airways.

To the extent that any of the statements contained herein relating to the Company's expectations, assumptions and other Company matters are forward-looking, they are made in reliance upon the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements are based on current expectations that involve a number of uncertainties and risks that could cause actual results to differ materially from those projected in the forward-looking statements, including, but not limited to, risks associated with: worldwide business and economic conditions; product demand and the rate of growth in the air cargo industry; the impact of competitors and competitive aircraft and aircraft financing availability; the ability to attract and retain new and existing customers; normalized aircraft operating costs and reliability; management of growth; the continued productivity of its workforce; dependence on key personnel; and regulatory matters. For additional information regarding these and other risk factors, reference is made to the Company's Annual Report on Form 10-K for the year ended December 31, 1997 and the Quarterly Report on Form 10-Q for the period ended September 30, 1998.