Helicopters Magazine

Air Methods sets sights on Omni

June 3, 2011  By Carey Fredericks

June 3, 2011, Denver, Co. - Air Methods Corporation announced today that it has entered into a definitive merger agreement to acquire OF Air Holdings Corporation and its subsidiaries, including Omniflight Helicopters, Inc. (together, Omniflight).

Omniflight provides air medical transport services throughout the United
States and provides these services under both the community-based and
hospital-based service delivery models, utilizing a fleet of approximately 100 helicopters and fixed-wing aircraft.
Omniflight is headquartered in Addison, Texas, with operations in 18
states involving over 75 base locations.

Air Methods will acquire Omniflight for an aggregate purchase price of
$200 million in cash on a cash-free, debt-free basis, subject to working
capital and other adjustments as provided in the Agreement. Upon
closing, Omniflight will become a wholly-owned subsidiary of Air
Methods. The Agreement has been unanimously approved by the boards of
directors of both companies. The transaction is contingent upon
clearance under the Hart-Scott Rodino Anti-Trust Improvements Act and
certain other closing conditions. The transaction is expected to close
in July 2011.

Omniflight generated unaudited consolidated revenue of $172 million for
the fiscal year ended March 31, 2011. The Company expects to fund the
purchase price through a new commercial bank credit facility.

Aaron Todd, CEO for Air Methods, stated, "We are excited and pleased to
have this opportunity to unite these two industry leaders. The
operational efficiencies that this combination should create will allow
both entities to maintain and enhance the quality of our services, while
providing for a more competitive cost structure resulting from greater
economies of scale. The geographical service areas of both entities are
very complementary and improve the combined entity's ability to maintain
important resources closer to our customers and their communities."


Tom Leverton, CEO of Omniflight, stated, "Air Methods and Omniflight
have long histories in the industry and, together, the two companies
will bring even stronger service to local communities across the
country. We are confident this will bring benefits to the customers and
employees of Omniflight and are thrilled at the opportunity to join Air

In connection with the transaction, Oppenheimer & Co. Inc. acted as
financial advisor and Davis Graham & Stubbs LLP served as legal
advisor to Air Methods.


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