ABX Air Subsidiary To Manage Indianapolis HASP for US Portal Service

WILMINGTON, OH- ABX Air (OTC/BB: ABXA) announced today that its subsidiary, ABX Cargo Services, has been awarded the contract to manage the U.S. Postal Service's terminal handling activities at the Indianapolis Hub and Spoke Program ("HASP") in Indiana. The contract calls for ABX to be compensated at a firm price for its fixed costs plus an additional amount based on the volume of mail handled, with projected volumes resulting in $6.5 million in revenues during the two-year term of the contract.

"ABX Air has gained significant experience in hub management during our 24 year history of managing the hub operations for Airborne, Inc.," stated Joe Hete, President and CEO. "We have developed excellent work processes, reporting systems and contingency planning as part of a uniform business model that will be transferable to other USPS operations, should such opportunities arise. For now, we are looking forward to expanding our business relationship with the U.S. Postal Service beyond the on-demand airlift capacity contract currently in place."

ABX Air performs sort facility staffing for DHL at its main hub in Wilmington and 11 others regional hubs throughout the United States on a cost-plus basis, providing package sorting and handling services. The relationship began a year ago when DHL Worldwide Express purchased Airborne, Inc., the former parent of ABX Air, and separated the company into an independent airline and hub services manager.

"This contract represents our commitment to diversifying our revenue stream and growing our non-DHL business," Hete said. "While this non-DHL business generally carries higher margins, we remain focused on controlling costs while delivering exceptional service to all of our customers."

ABX Air is a cargo airline with a fleet of 115 aircraft that operates out of Wilmington, Ohio, and 11 hubs throughout the United States. In addition to providing airlift capacity and sort facility staffing to DHL, ABX Air provides charter and maintenance services to a diverse group of customers. With over 7,000 employees, ABX is the largest employer in a several county area in southwestern Ohio.

For more information, contact ABX Air

Except for historical information contained herein, the matters discussed in this release contain forward-looking statements that involve risks and uncertainties. ABX Air's actual results may differ materially from the results discussed in the forward-looking statements. There are a number of important factors that could cause our actual results to differ materially from those indicated by such forward-looking statements. These factors are contained from time to time in ABX Air's filings with the U.S. Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended 2003, and our Quarterly Report on Form 10-Q for the periods ended March 31st and June 30th, 2004. Readers should carefully review this release and should not place undue reliance on our forward-looking statements. These forward-looking statements were based on information, plans and estimates as of the date of this release. We undertake no obligation to update any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes.