This article is based on an official press release from Air Transport Services Group (ATSG) and Erickson Group Ltd.

Erickson Group Ltd. Acquires Full Ownership of 321 Precision Conversions from ATSG

On February 24, 2026, Erickson Group Ltd. announced the acquisition of full ownership of 321 Precision Conversions, LLC. Through its wholly-owned subsidiary, Precision Aircraft Solutions, LLC, Erickson purchased the minority interest previously held by Air Transport Services Group, Inc. (ATSG). This transaction formally ends the joint venture structure, consolidating the Airbus A321-200 freighter conversion program entirely under the Erickson family office.

The deal marks a significant shift in the narrowbody freighter conversion market. For Erickson, the move signals a deepened commitment to the A321 platform, while for ATSG, the divestiture aligns with a broader strategy to streamline assets and focus on its core leasing and operational models.

Transaction Overview

According to the official announcement, the acquisition allows Erickson Group Ltd. to align the engineering, sales, and marketing of the A321-200PCF program directly with its manufacturing capabilities. Previously, 321 Precision Conversions operated as a joint venture between ATSG and Precision Aircraft Solutions. With this buyout, Erickson moves from a majority stakeholder to a 100% owner.

Gary Warner, President of 321 Precision Conversions, emphasized that the consolidation of ownership will facilitate future growth and development.

“Full ownership under Erickson enables us to invest more boldly in our people, our partners, and the next generation of conversion programs.”

, Gary Warner, President of 321 Precision Conversions

While financial terms of the private transaction were not disclosed in the press release, the operational impact is immediate. Precision Aircraft Solutions, known for developing the industry-standard Boeing 757 freighter conversion, will now fully control the strategic direction of its Airbus counterpart.

Strategic Rationale for ATSG

For ATSG, selling its equity stake in the conversion program represents a strategic pivot rather than a market exit. The company confirmed it will remain a key customer of the A321-200PCF, continuing to lease and market the aircraft as part of its Cargo Aircraft Management (CAM) portfolio.

Todd France, Chief Commercial Officer of ATSG, noted that the relationship between the two entities remains strong despite the change in ownership structure.

“We look forward to continuing to market the A321 converted freighter as part of ATSG’s broader leasing portfolio.”

, Todd France, Chief Commercial Officer, ATSG

AirPro News Analysis

We view this divestiture as a logical step for ATSG as it prepares for its transition to a private entity. Following the shareholder approval of the approximately $3.1 billion acquisition by Stonepeak in February 2025, ATSG has been focused on streamlining its operations. By shedding non-core equity stakes in manufacturing programs, ATSG can concentrate capital on its primary business model: Aircraft, Crew, Maintenance, and Insurance (ACMI) and dry leasing.

Furthermore, the A321-200PCF remains a critical asset for ATSG’s customers. By retaining the commercial relationship without the burden of joint venture management, ATSG mitigates program risk while maintaining access to the feedstock required to replace aging Boeing 757 fleets.

Market Context: The A321 Landscape

The acquisition comes at a time when the narrowbody freighter market is maturing. The A321-200PCF is widely regarded as the designated successor to the Boeing 757-200 freighter, offering the unique ability to carry containerized cargo on the lower deck, a capability unmatched by other narrowbody freighters like the Boeing 737-800BCF.

Erickson’s move to take full control suggests high confidence in the longevity of the A321 program. Industry observers note that the “next generation of conversion programs” mentioned by Warner likely alludes to future developments for the Airbus A321neo (New Engine Option), ensuring the company remains competitive as feedstock for the current A321ceo (Current Engine Option) eventually tightens.

321 Precision Conversions competes primarily with EFW (a joint venture between Airbus and ST Engineering). Precision’s conversion is frequently cited for its lower operating empty weight (OEW), which translates to higher payload capacity, a critical metric for express carriers.

About the Companies

• 321 Precision Conversions: Based in Beaverton, Oregon, the company specializes in the passenger-to-freighter conversion of Airbus A321-200 aircraft. Its flagship product, the A321-200PCF, delivers best-in-class payload and volume metrics.
• Erickson Group Ltd.: The private family office and investment arm of aviation pioneer Jack Erickson. It is the parent company of Precision Aircraft Solutions.
• Air Transport Services Group (ATSG): A leading provider of aircraft leasing and air cargo transportation, serving major clients such as Amazon and DHL.

Sources

• ATSG / Erickson Press Release