<SEC-DOCUMENT>0000353184-20-000020.txt : 20200416
<SEC-HEADER>0000353184-20-000020.hdr.sgml : 20200416
<ACCEPTANCE-DATETIME>20200416110711
ACCESSION NUMBER:		0000353184-20-000020
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20200416
ITEM INFORMATION:		Entry into a Material Definitive Agreement
ITEM INFORMATION:		Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant
FILED AS OF DATE:		20200416
DATE AS OF CHANGE:		20200416

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			AIR T INC
		CENTRAL INDEX KEY:			0000353184
		STANDARD INDUSTRIAL CLASSIFICATION:	AIR COURIER SERVICES [4513]
		IRS NUMBER:				521206400
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			0331

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	001-35476
		FILM NUMBER:		20795499

	BUSINESS ADDRESS:	
		STREET 1:		5930 BALSOM RIDGE ROAD
		CITY:			DENVER
		STATE:			NC
		ZIP:			28037
		BUSINESS PHONE:		7043772109

	MAIL ADDRESS:	
		STREET 1:		P O BOX 488
		CITY:			DENVER
		STATE:			NC
		ZIP:			28037

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	AIR TRANSPORTATION HOLDING CO INC
		DATE OF NAME CHANGE:	19920703

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	ATLANTA EXPRESS AIRLINE CORP
		DATE OF NAME CHANGE:	19840321
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>form8-kxitems101and203xair.htm
<DESCRIPTION>ITEMS 1.01 AND 2.03 - AIR T SBA PPP FINANCING
<TEXT>
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<div><a name="s22A4BFC97AC0D7EAD9557F9BE473FCA3"></a></div><div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div></div><div><br></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div><div style="line-height:120%;"><hr></div><div style="line-height:120%;padding-top:5px;text-align:center;font-size:18pt;"><font style="font-family:inherit;font-size:18pt;font-weight:bold;">UNITED STATES</font></div><div style="line-height:120%;text-align:center;font-size:18pt;"><font style="font-family:inherit;font-size:18pt;font-weight:bold;">SECURITIES AND EXCHANGE COMMISSION</font></div><div style="line-height:120%;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">WASHINGTON, DC 20549</font><font style="font-family:inherit;font-size:12pt;">&#160;</font></div><div style="line-height:120%;padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div><div style="line-height:120%;"><hr></div><div style="line-height:120%;padding-top:17px;text-align:center;font-size:18pt;"><font style="font-family:inherit;font-size:18pt;font-weight:bold;">FORM 8-K</font><font style="font-family:inherit;font-size:12pt;">&#160;</font></div><div style="line-height:120%;padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div><div style="line-height:120%;"><hr></div><div style="line-height:120%;padding-top:17px;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">CURRENT REPORT</font></div><div style="line-height:120%;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Pursuant to Section&#160;13 or 15(d) of the</font></div><div style="line-height:120%;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Securities Exchange Act of 1934</font></div><div style="line-height:120%;padding-top:17px;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Date of report (Date of earliest event reported): </font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">April 10, 2020</font></div><div style="line-height:120%;padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div><div style="line-height:120%;"><hr></div><div style="line-height:120%;padding-top:17px;text-align:center;font-size:22pt;"><font style="font-family:inherit;font-size:22pt;font-weight:bold;">Air T, Inc.</font></div><div style="line-height:120%;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">(Exact Name of Registrant as Specified in Charter)</font><font style="font-family:inherit;font-size:12pt;">&#160;</font></div><div style="line-height:120%;padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div><div style="line-height:120%;"><hr></div><div style="line-height:120%;font-size:12pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:100%;border-collapse:collapse;text-align:left;"><tr><td colspan="5"></td></tr><tr><td style="width:34%;"></td><td style="width:1%;"></td><td style="width:32%;"></td><td style="width:1%;"></td><td style="width:32%;"></td></tr><tr><td style="vertical-align:middle;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">&#160;</font><font style="font-family:inherit;font-size:8pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr><tr><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;text-decoration:underline;">Delaware</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;text-decoration:underline;">001-35476</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;text-decoration:underline;">52-1206400</font></div></td></tr><tr><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;">(State or Other Jurisdiction</font></div><div style="padding-bottom:1px;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;">of Incorporation)</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;">(Commission</font></div><div style="padding-bottom:1px;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;">File Number)</font></div></td><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;">(I.R.S. Employer</font></div><div style="padding-bottom:1px;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;">Identification No.)</font></div></td></tr><tr><td colspan="3" style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:4px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td colspan="2" style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;height:4px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td></tr></table></div></div><div style="line-height:120%;text-align:left;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;">5930 Balsom Ridge Road</font></div><div style="line-height:120%;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;text-decoration:underline;">&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;Denver, North Carolina 28037__________</font></div><div style="line-height:120%;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;">&#32;(Address of Principal Executive Offices, and Zip Code)</font></div><div style="line-height:120%;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;text-decoration:underline;">________________(828) 464-8741__________________</font></div><div style="line-height:120%;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;">Registrant&#8217;s Telephone Number, Including Area Code</font></div><div style="line-height:120%;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:204px;text-indent:6px;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;">&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;&#32;</font><font style="font-family:inherit;font-size:8pt;text-decoration:underline;">Not applicable</font><font style="font-family:inherit;font-size:8pt;">______________________</font></div><div style="line-height:120%;text-align:center;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;font-weight:bold;">(Former Name or Former Address, if Changed Since Last Report)</font></div><div 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style="vertical-align:top;border-bottom:1px solid #00000a;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #00000a;border-right:1px solid #00000a;border-top:1px solid #00000a;"><div style="padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Trading Symbol(s)</font></div></td><td style="vertical-align:top;border-bottom:1px solid #00000a;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #00000a;border-right:1px solid #00000a;border-top:1px solid #00000a;"><div style="padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Name of each exchange on which registered</font></div></td></tr><tr><td style="vertical-align:top;border-bottom:1px solid #00000a;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #00000a;border-right:1px solid #00000a;border-top:1px solid #00000a;"><div style="padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Common Stock</font></div></td><td style="vertical-align:top;border-bottom:1px solid #00000a;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #00000a;border-right:1px solid #00000a;border-top:1px solid #00000a;"><div style="padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">AIRT</font></div></td><td style="vertical-align:top;border-bottom:1px solid #00000a;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #00000a;border-right:1px solid #00000a;border-top:1px solid #00000a;"><div style="padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">NASDAQ Global Market</font></div></td></tr><tr><td style="vertical-align:top;border-bottom:1px solid 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#00000a;"><div style="padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">NASDAQ Global Market</font></div></td></tr><tr><td style="vertical-align:top;border-bottom:1px solid #00000a;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #00000a;border-right:1px solid #00000a;border-top:1px solid #00000a;"><div style="padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Warrant to purchase AIP</font></div></td><td style="vertical-align:top;border-bottom:1px solid #00000a;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #00000a;border-right:1px solid #00000a;border-top:1px solid #00000a;"><div style="padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">AIRTW</font></div></td><td style="vertical-align:top;border-bottom:1px solid #00000a;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #00000a;border-right:1px solid #00000a;border-top:1px solid #00000a;"><div style="padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">NASDAQ Global Market</font></div></td></tr></table></div></div><div style="line-height:120%;padding-top:17px;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (</font><font style="font-family:inherit;font-size:10pt;font-style:italic;">see</font><font style="font-family:inherit;font-size:10pt;">&#32;General Instruction A.2. below):</font></div><div style="line-height:120%;text-align:left;font-size:6pt;"><font style="font-family:inherit;font-size:6pt;">&#160;</font></div><div style="line-height:120%;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:100%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:4%;"></td><td style="width:4%;"></td><td style="width:92%;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:Wingdings;font-size:10pt;">&#168;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Written communication pursuant to Rule 425 under the Securities Act (17 CFR 230.425)</font></div></td></tr></table></div></div><div style="line-height:120%;text-align:left;font-size:6pt;"><font style="font-family:inherit;font-size:6pt;">&#160;</font></div><div style="line-height:120%;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:100%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:4%;"></td><td style="width:4%;"></td><td style="width:92%;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:Wingdings;font-size:10pt;">&#168;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)</font></div></td></tr></table></div></div><div style="line-height:120%;text-align:left;font-size:6pt;"><font style="font-family:inherit;font-size:6pt;">&#160;</font></div><div style="line-height:120%;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:100%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:4%;"></td><td style="width:4%;"></td><td style="width:92%;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:Wingdings;font-size:10pt;">&#168;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Pre-commencement communication pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))</font></div></td></tr></table></div></div><div style="line-height:120%;text-align:left;font-size:6pt;"><font style="font-family:inherit;font-size:6pt;">&#160;</font></div><div><br></div><div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div></div><hr style="page-break-after:always"><div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div></div><div><br></div><div style="line-height:120%;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:100%;border-collapse:collapse;text-align:left;"><tr><td colspan="3"></td></tr><tr><td style="width:4%;"></td><td style="width:4%;"></td><td style="width:92%;"></td></tr><tr><td style="vertical-align:bottom;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="overflow:hidden;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="text-align:left;font-size:10pt;"><font style="font-family:Wingdings;font-size:10pt;">&#168;</font></div></td><td style="vertical-align:top;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Pre-commencement communication pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))</font></div><div style="font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br></font></div></td></tr><tr><td colspan="3" style="vertical-align:middle;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;"><div style="padding-bottom:2px;text-align:center;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#160;</font></div><div style="padding-top:8px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;background-color:#ffffff;">Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR &#167;230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR &#167;240.12b-2).</font></div><div style="font-size:10pt;"><font style="font-family:inherit;font-size:10pt;background-color:#ffffff;">Emerging growth company &#9744;</font></div><div style="padding-top:8px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;background-color:#ffffff;">If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. &#9744;</font></div></td></tr></table></div></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Item 1.01&#160;&#160;&#160;&#160;Entry into a Material Definitive Agreement</font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">To the extent responsive, the information included in Item 2.03 is incorporated herein by reference.</font></div><div style="line-height:120%;text-align:left;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Item 2.03&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant</font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">On April 10, 2020, Air T, Inc., a Delaware corporation (the &#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Company</font><font style="font-family:inherit;font-size:12pt;">&#8221;) entered into a loan with Minnesota Bank &amp; Trust, a Minnesota state banking corporation (&#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">MBT</font><font style="font-family:inherit;font-size:12pt;">&#8221;), in a principal amount of $8,215,100 pursuant to the Paycheck Protection Program (&#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">PPP Loan</font><font style="font-family:inherit;font-size:12pt;">&#8221;) under the Coronavirus Aid, Relief, and Economic Security Act (the &#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">CARES Act</font><font style="font-family:inherit;font-size:12pt;">&#8221;). The PPP Loan is evidenced by a promissory note (&#8220;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">Note</font><font style="font-family:inherit;font-size:12pt;">&#8221;). The PPP Loan bears interest at a fixed annual rate of one percent (1%), with the first six months of interest deferred. Beginning on November 10, 2020, the Company will make seventeen (17) equal monthly installments of principal and interest payments with the final payment due on April 10, 2022. The Note provides for customary events of default including, among other things, cross-defaults on any other loan with MBT. The PPP Loan may be accelerated upon the occurrence of an event of default.</font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">The PPP Loan is unsecured and guaranteed by the United States Small Business Administration. The Company may apply to MBT for forgiveness of the PPP Loan, with the amount which may be forgiven equal to the sum of payroll costs, covered rent and mortgage obligations, and covered utility payments incurred by the Company during the eight-week period beginning on April 10, 2020, calculated in accordance with the terms of the CARES Act.</font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">The foregoing summary of the terms of the PPP Loan does not purport to be complete and is qualified in its entirety by reference to the Note which is filed as Exhibit 10.1 hereto and is incorporated by reference herein.</font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;font-weight:bold;">Item 9.01&#160;&#160;&#160;&#160;Financial Statements and Exhibits</font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:48px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:120%;font-size:12pt;padding-left:0px;"><font style="font-family:inherit;font-size:12pt;">10.1</font></div></td><td style="vertical-align:top;"><div style="line-height:120%;text-align:justify;font-size:12pt;"><a style="font-family:inherit;font-size:12pt;" href="exhibit101-ppppromissoryno.htm"><font style="font-family:inherit;font-size:12pt;">Form of Air T, Inc. Promissory Note, in the principal amount of $8,215,000 in favor of Minnesota Bank &amp; Trust, dated April 10, 2020.</font></a></div></td></tr></table><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">SIGNATURES</font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Pursuant to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.</font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Date: April 16, 2020</font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:justify;padding-left:336px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">AIR T, INC.</font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:justify;padding-left:336px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">By:&#160;</font><font style="font-family:inherit;font-size:12pt;text-decoration:underline;">/s/ Brian Ochocki&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;</font></div><div style="line-height:120%;text-align:left;padding-left:361px;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;">Brian Ochocki, Chief Financial Officer</font></div><div style="line-height:120%;text-align:justify;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:8pt;"><font style="font-family:inherit;font-size:8pt;">19065085v1</font></div><div><br></div><div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div><div style="line-height:120%;text-align:justify;font-size:12pt;"><font style="font-family:inherit;font-size:12pt;"><br></font></div></div>	</div></body>
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<TYPE>EX-10.1
<SEQUENCE>2
<FILENAME>exhibit101-ppppromissoryno.htm
<DESCRIPTION>PPP PROMISSORY NOTE
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		<title>Exhibit</title>
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<div><a name="s73F732158D2955F3E0D87F9D41A76ACF"></a></div><div><div style="line-height:100%;text-align:left;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;padding-top:8px;text-align:center;padding-left:137px;font-size:14pt;"><font style="font-family:Arial;font-size:14pt;font-weight:bold;">PROMISSORY NOTE</font></div><div style="line-height:120%;text-align:left;font-size:9.5pt;"><font style="font-family:Arial;font-size:9.5pt;"><br></font></div><div style="line-height:120%;padding-left:8px;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:98.78048780487805%;border-collapse:collapse;text-align:left;"><tr><td colspan="8"></td></tr><tr><td style="width:16%;"></td><td style="width:12%;"></td><td style="width:11%;"></td><td style="width:16%;"></td><td style="width:13%;"></td><td style="width:14%;"></td><td style="width:9%;"></td><td style="width:9%;"></td></tr><tr><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="text-align:center;padding-left:8px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Principal</font></div><div style="padding-top:1px;text-align:center;padding-left:8px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">$8,215,100.00</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="padding-left:12px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Loan Date</font></div><div style="padding-top:1px;padding-left:5px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">04-10-2020</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="text-align:center;padding-left:1px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Maturity</font></div><div style="padding-top:1px;text-align:center;padding-left:1px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">04-10-2022</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="text-align:center;padding-left:17px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Loan No</font></div><div style="padding-top:1px;text-align:center;padding-left:18px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">511441733</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="padding-top:1px;padding-left:24px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Call / Coll</font></div><div style="padding-top:4px;padding-left:16px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">410</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="padding-left:29px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Account</font></div><div style="padding-top:1px;padding-left:22px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">AIR   TI00</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="padding-left:5px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Officer</font></div><div style="padding-top:1px;padding-left:5px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">06618</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="text-align:left;padding-left:12px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Initials</font></div></td></tr><tr><td colspan="8" style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="padding-top:1px;text-align:center;padding-left:34px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;">References in the boxes above are for Lender's use only and do not limit the applicability of this document to any particular loan or item.</font></div><div style="text-align:center;padding-left:34px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;">Any item above containing "***" has been omitted due to text length limitations.</font></div></td></tr></table></div></div><div style="line-height:120%;text-align:left;font-size:3pt;"><font style="font-family:Arial;font-size:3pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:3pt;"><font style="font-family:Arial;font-size:3pt;"><br></font></div><div style='display:inline-block; width:100%;'><div style='float:left; width:48%;'><div><a name="s2BAF5057CDAB22ED2AE47F9D41C9A9B3"></a></div><div style="line-height:112%;padding-top:2px;text-align:left;padding-left:17px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Borrower:&#160;&#160;&#160;&#160;</font><font style="font-family:Arial;font-size:8pt;font-weight:bold;">AIR T, INC.</font></div><div style="line-height:119%;text-align:left;padding-left:98px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">5930 BALSOM RIDGE RD DENVER, NC 28037</font></div><table cellpadding="0" cellspacing="0" style="padding-top:4px;font-family:Times New Roman; font-size:10pt;"><tr><td style="width:94px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:110%;font-size:10pt;padding-left:17px;"><font style="font-family:inherit;font-size:10pt;">&#32;<br></font><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Lender:</font></div></td><td style="vertical-align:top;padding-left:1.3333333333333333px;"><div style="line-height:110%;text-align:left;font-size:10pt;text-indent:-1.3333333333333333px;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">MINNESOTA BANK &amp; TRUST MINNETONKA</font></div></td></tr></table><div style="line-height:116%;text-align:left;padding-left:96px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">9800 BREN ROAD EAST SUITE 200</font></div><div style="line-height:100%;text-align:left;padding-left:96px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">MINNETONKA, MN 55343-6400</font></div><div style="line-height:100%;text-align:left;padding-left:96px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">(952) 936-7800</font></div><div style="line-height:100%;text-align:left;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;"><br></font></div></div></div><div><a name="s76E6A8C6F75331147F3F7F9D41F92885"></a></div><div style="line-height:120%;padding-top:1px;text-align:left;font-size:5.5pt;"><font style="font-family:Arial;font-size:5.5pt;"><br></font></div><div style="line-height:100%;text-align:left;padding-left:2px;font-size:1.5pt;"><font style="font-family:Arial;font-size:1.5pt;"><br></font></div><div style="line-height:120%;padding-top:9px;text-align:justify;padding-left:28px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Principal Amount:   $8,215,100.00&#160;&#160;&#160;&#160;Date of Note: April 10, 2020</font></div><div style="line-height:118%;padding-top:5px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">PROMISE TO PAY. AIR T, INC. ("Borrower") promises to pay to MINNESOTA BANK &amp; TRUST ("Lender"), or order, in lawful money of the United States of America, the principal amount of Eight Million Two Hundred Fifteen Thousand One Hundred &amp; 00/100 Dollars ($8,215,100.00), together with interest on the unpaid principal balance from April 10, 2020, until paid in full.</font></div><div style="line-height:118%;padding-top:5px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">PAYMENT. Borrower will pay this loan in accordance with the following payment schedule, which calculates interest on the unpaid principal balances as described in the "INTEREST CALCULATION METHOD" paragraph using the interest rates described in this paragraph: 17 monthly consecutive principal and interest payments of $462,321.05 each, beginning November 10, 2020, with interest calculated on the unpaid principal balances using an interest rate of 1.000%; and one principal and interest payment of $462,321.01 on April 10, 2022, with interest calculated on the unpaid principal balances using an interest rate of 1.000%. This estimated final payment is based on the assumption that all payments will be made exactly as scheduled; the actual final payment will be for all principal and accrued interest not yet paid, together with any other unpaid amounts under this Note. Unless otherwise agreed or required by applicable law, payments will be applied first to any accrued unpaid interest; then to principal; and then to any escrow or reserve account payments as required under any mortgage, deed of trust, or other security instrument or security agreement securing this Note. Borrower will pay Lender at Lender's address shown above or at such other place as Lender may designate in writing.</font></div><div style="line-height:118%;padding-top:5px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">INTEREST CALCULATION METHOD. Interest on this Note is computed on a 365/365 simple interest basis; that is, by applying the ratio of the interest rate over the number of days in a year (365 for all years, including leap years), multiplied by the outstanding principal balance, multiplied by the actual number of days the principal balance is outstanding. All interest payable under this Note is computed using this method.</font></div><div style="line-height:118%;padding-top:5px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">PREPAYMENT. </font><font style="font-family:Arial;font-size:8pt;">Borrower may pay without penalty all or a portion of the amount owed earlier than it is due.  Early payments will not, unless agreed to by Lender in writing, relieve Borrower of Borrower&#8217;s obligation to continue to  make  payments  under  the  payment  schedule.  Rather, early payments will reduce the principal balance due and may result in Borrower's making fewer payments. Borrower agrees not to send Lender payments marked "paid in full&#8221;, &#8220;without  recourse",  or  similar  language.  If Borrower sends such a payment,  Lender  may  accept  it  without  losing any of Lender's rights under this Note, and Borrower will remain obligated to pay any further amount owed to Lender. </font><font style="font-family:Arial;font-size:8pt;font-weight:bold;">All written  communications concerning disputed amounts, including any check or other payment instrument that indicates that the payment constitutes "payment in full" of the amount owed or that is tendered with other conditions or limitations or as full satisfaction of a disputed amount must be mailed or delivered to: MINNESOTA BANK &amp; TRUST, MINNETONKA, 9800 BREN ROAD EAST, SUITE 200, MINNETONKA, MN 55343-6400.</font></div><div style="line-height:116%;padding-top:6px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">INTEREST AFTER DEFAULT. </font><font style="font-family:Arial;font-size:8pt;">Upon default, including failure to pay upon final maturity, the total sum due under this Note will continue to accrue interest at the interest rate under this Note, with the final interest rate described in this  Note  applying  after maturity,  or after maturity  would have occurred had there been no default. However, in no event will the interest rate exceed the maximum interest rate limitations under  applicable law.</font></div><div style="line-height:120%;padding-top:6px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">DEFAULT. </font><font style="font-family:Arial;font-size:8pt;">Each of the following shall constitute an event of default ("Event of Default") under this Note:</font></div><div style="line-height:120%;padding-top:5px;text-align:justify;padding-left:52px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Payment Default. </font><font style="font-family:Arial;font-size:8pt;">Borrower fails to make any payment when due under this Note.</font></div><div style="line-height:118%;padding-top:5px;text-align:justify;padding-left:52px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Other Defaults.  </font><font style="font-family:Arial;font-size:8pt;">Borrower fails to comply with or to perform any other term, obligation, covenant or condition contained in this Note or in  any of the related documents or to comply with or to perform any term, obligation, covenant or condition contained in any other agreement between Lender and Borrower.</font></div><div style="line-height:118%;padding-top:5px;text-align:justify;padding-left:52px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Default in Favor of Third Parties. </font><font style="font-family:Arial;font-size:8pt;">Borrower or any Grantor defaults under any loan, extension of credit, security agreement, purchase or sales agreement, or any other agreement, in favor of any other creditor or person that may materially affect any of Borrower's property or Borrower's ability to repay this Note or perform Borrower's obligations under this Note or any of the related documents.</font></div><div style="line-height:118%;padding-top:6px;text-align:justify;padding-left:52px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">False Statements. </font><font style="font-family:Arial;font-size:8pt;">Any warranty, representation or statement made or furnished to Lender by Borrower or on Borrower's behalf under this Note or the related documents is false or misleading in any material respect, either now or at the time made or furnished or becomes false  or misleading at any time thereafter.</font></div><div style="line-height:118%;padding-top:5px;text-align:justify;padding-left:52px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Insolvency. </font><font style="font-family:Arial;font-size:8pt;">The dissolution or termination of Borrower's existence as a going business, the insolvency of Borrower, the appointment of a receiver for any part of Borrower's property, any assignment for the benefit of creditors, any type of creditor workout,  or  the  commencement of any proceeding under any bankruptcy or insolvency laws by or against Borrower.</font></div><div style="line-height:118%;padding-top:5px;text-align:justify;padding-left:52px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Creditor or Forfeiture Proceedings. </font><font style="font-family:Arial;font-size:8pt;">Commencement of foreclosure or forfeiture proceedings, whether by judicial proceeding, self-help, repossession or any other method, by any  creditor  of  Borrower  or by  any  governmental  agency  against  any  collateral  securing  the  loan. This includes  a garnishment  of  any of  Borrower's accounts,  including  deposit accounts,  with Lender.  However,  this  Event of  Default shall   not apply if there is a good faith dispute by Borrower as to the validity or reasonableness of the claim which is the  basis of  the creditor  or  forfeiture proceeding and if Borrower gives Lender written notice of the creditor or forfeiture proceeding and deposits with Lender monies or            a surety bond for the creditor or forfeiture proceeding, in an amount determined by Lender,  in  its  sole  discretion,  as  being  an  adequate  reserve or bond for the dispute.</font></div><div style="line-height:118%;padding-top:5px;text-align:justify;padding-left:52px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Events Affecting Guarantor. </font><font style="font-family:Arial;font-size:8pt;">Any of the preceding events occurs with respect to any guarantor, endorser, surety, or accommodation party of any of the indebtedness or any guarantor, endorser, surety, or accommodation party dies or becomes incompetent, or revokes or  disputes the validity of, or liability under, any guaranty of the indebtedness evidenced by this Note.</font></div><div style="line-height:120%;padding-top:6px;text-align:justify;padding-left:52px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Change In Ownership. </font><font style="font-family:Arial;font-size:8pt;">Any change in ownership of twenty-five percent (25%) or more of the common stock of Borrower.</font></div><div style="line-height:116%;padding-top:5px;text-align:justify;padding-left:52px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Adverse Change. </font><font style="font-family:Arial;font-size:8pt;">A material adverse change occurs in Borrower's financial condition, or Lender believes the prospect of payment or performance of this Note is impaired.</font></div><div style="line-height:120%;padding-top:6px;text-align:justify;padding-left:52px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Insecurity. </font><font style="font-family:Arial;font-size:8pt;">Lender in good faith believes itself insecure.</font></div><div style="line-height:116%;padding-top:5px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">LENDER'S RIGHTS. </font><font style="font-family:Arial;font-size:8pt;">Upon default, Lender may declare the entire unpaid principal balance under this Note and all accrued unpaid interest immediately due, and then Borrower will pay that amount.</font></div><div style="line-height:118%;padding-top:6px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">ATTORNEYS' FEES; EXPENSES. </font><font style="font-family:Arial;font-size:8pt;">Lender may hire or pay someone else to help collect this Note if Borrower does not pay. Borrower will pay Lender that amount. This includes, subject to any limits under applicable law, Lender's reasonable attorneys' fees and Lender's legal expenses, whether or not there is a lawsuit, including reasonable attorneys' fees, expenses for bankruptcy proceedings (including efforts to modify or  vacate any automatic stay or injunction), and appeals.  If not prohibited by applicable law, Borrower also will pay any court costs, in addition to   all other sums provided by law.</font></div><div style="line-height:116%;padding-top:5px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">JURY WAIVER. Lender and Borrower hereby waive the right to any jury trial in any action, proceeding, or counterclaim brought by either Lender or Borrower against the other.</font></div><div style="line-height:118%;padding-top:6px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">WHEN FEDERAL LAW APPLIES. </font><font style="font-family:Arial;font-size:8pt;">When SBA is the holder, this Note will be interpreted and enforced under federal law, including SBA regulations. Lender or SBA may use state or local procedures for filing papers, recording documents, giving notice, foreclosing liens, and other purposes. By using such procedures, SBA does not waive any federal immunity from state or local control, penalty, tax, or liability. As to this Note, Borrower may not claim or assert against SBA any local or state law to deny any obligation, defeat any claim of SBA, or preempt federal law.</font></div><div style="line-height:116%;padding-top:5px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">DISHONORED ITEM FEE. </font><font style="font-family:Arial;font-size:8pt;">Borrower will pay a fee to Lender of $15.00 if Borrower makes a payment on Borrower's loan and the check or preauthorized charge with which Borrower pays is later dishonored.</font></div><div style="line-height:116%;text-align:justify;font-size:11pt;"><font style="font-family:Arial;font-size:11pt;"><br></font></div><div><br></div><div></div><hr style="page-break-after:always"><div><a name="sC6C4FB3E83CAC6B135077F9D421DB56A"></a></div><div><div style="line-height:100%;text-align:left;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;"><br></font></div></div><div><br></div><div style='display:inline-block; width:100%;'><div style='float:left; width:48%;'><div style="line-height:120%;text-align:left;font-size:16pt;"><font style="font-family:Arial;font-size:16pt;"><br></font></div><div style="line-height:120%;text-align:center;padding-left:48px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Loan No: 511441733&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;Page 2</font></div><div style="line-height:129%;padding-top:6px;text-align:center;font-size:12pt;"><font style="font-family:inherit;font-size:10pt;">&#32;<br></font><font style="font-family:Arial;font-size:12pt;font-weight:bold;">PROMISSORY NOTE</font></div><div style="line-height:129%;text-align:center;padding-left:25px;font-size:12pt;"><font style="font-family:Arial;font-size:12pt;font-weight:bold;">(Continued)</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">&#32;<br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;"><br></font></div></div></div><div><a name="sA9DA58618E491898B8567F9D424F3071"></a></div><div style="line-height:120%;text-align:left;font-size:5pt;"><font style="font-family:Arial;font-size:5pt;"><br></font></div><div style="line-height:100%;text-align:left;padding-left:2px;font-size:1.5pt;"><font style="font-family:Arial;font-size:1.5pt;"><br></font></div><div style="line-height:118%;padding-top:10px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">RIGHT OF SETOFF. </font><font style="font-family:Arial;font-size:8pt;">To the extent permitted by applicable law, Lender reserves a right of setoff in all Borrower's accounts with Lender (whether checking, savings, or some other account). This includes all accounts Borrower holds jointly with someone else and all accounts Borrower may open in the future.  However, this does not include any IRA or Keogh accounts, or any trust accounts for which setoff would be prohibited by   law. Borrower authorizes Lender, to the extent permitted by applicable law, to charge or setoff all sums owing on the debt against any and all such accounts.</font></div><div style="line-height:120%;padding-top:5px;text-align:left;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">COLLATERAL. </font><font style="font-family:Arial;font-size:8pt;">This loan is unsecured.</font></div><div style="line-height:100%;padding-top:5px;text-align:left;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">ERRORS AND OMISSIONS AGREEMENT.</font></div><div style="line-height:100%;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;">The undersigned Borrower, for and in consideration of Lender funding the closing of this loan, agrees to the following terms and conditions:</font></div><div style="line-height:118%;padding-left:28px;padding-top:6px;text-align:justify;text-indent:0px;"><font style="padding-top:6px;text-align:justify;font-family:Arial;font-size:8pt;padding-right:14px;">1.</font><font style="font-family:Arial;font-size:8pt;">If any loan document, including but not limited to the Note, Mortgage, Security Agreement, Assignment of Rents, and/or Business Loan Agreement, is lost, misplaced, inaccurate, or missing signatures, Borrower agrees to execute, acknowledge, initial, and deliver to Lender any  item necessary to replace and/or correct the documents.</font></div><table cellpadding="0" cellspacing="0" style="padding-top:5px;font-family:Times New Roman; font-size:10pt;"><tr><td style="width:41px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:120%;font-size:8pt;padding-left:29px;"><font style="font-family:Arial;font-size:8pt;">2.</font></div></td><td style="vertical-align:top;padding-left:1.3333333333333333px;"><div style="line-height:120%;text-align:justify;font-size:8pt;text-indent:-1.3333333333333333px;"><font style="font-family:Arial;font-size:8pt;">Borrower agrees to deliver the corrected loan documents within ten (10) days after receipt.</font></div></td></tr></table><div style="line-height:120%;padding-left:28px;padding-top:5px;text-align:justify;text-indent:0px;"><font style="padding-top:5px;text-align:justify;font-family:Arial;font-size:8pt;padding-right:13px;">3.</font><font style="font-family:Arial;font-size:8pt;">If Borrower fails or refuses to execute, acknowledge, initial, and or deliver the documents within ten (10) days after being requested to do so, Borrower agrees to be liable for all costs which Lender sustains, including but not limited to all reasonable attorney fees.</font></div><div style="line-height:120%;padding-top:5px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;">The undersigned Borrower hereby agrees to comply with the terms and conditions of this agreement.</font></div><div style="line-height:120%;text-align:left;font-size:11.5pt;"><font style="font-family:Arial;font-size:11.5pt;"><br></font></div><div style="line-height:116%;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">IMPORTANT INFORMATION ABOUT PROCEDURES FOR OPENING A NEW ACCOUNT. </font><font style="font-family:Arial;font-size:8pt;">To help the government fight the funding of terrorism and money laundering activities, U.S. Federal law requires financial institutions to obtain, verify, and record information that identifies each person (individuals and businesses) who opens an account. What this means for you: When you open an account, we will ask for your name, address, date of birth and other information that will allow us to identify you. We may also ask for your driver's license or other identifying documents.</font></div><div style="line-height:120%;padding-top:5px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">SUCCESSOR INTERESTS. </font><font style="font-family:Arial;font-size:8pt;">The terms of this Note shall be binding upon Borrower, and upon Borrower's heirs, personal representatives, successors and assigns, and shall inure to the benefit of Lender and its successors and assigns.</font></div><div style="line-height:118%;padding-top:5px;text-align:justify;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">GENERAL PROVISIONS. </font><font style="font-family:Arial;font-size:8pt;">If any part of this Note cannot be enforced, this fact will not affect the rest of the Note. Lender may delay or forgo enforcing any of its rights or remedies under this Note without losing them. In addition, Lender shall have all the rights and remedies provided in the related documents or available at law, in equity, or otherwise. Except as may be prohibited by applicable law, all of Lender's rights and remedies shall be cumulative and may be exercised singularly or concurrently. Election by Lender to pursue any remedy shall not exclude pursuit of any other remedy, and an election to make expenditures or to take  action to perform an obligation of Borrower shall not affect Lender's right  to declare a default and to exercise its rights and remedies. Borrower and any other person who signs, guarantees or endorses this Note, to the extent allowed by law, waive presentment, demand for payment, and notice of dishonor. Upon any change in the terms of this Note, and unless otherwise expressly stated in writing, no party who signs this Note, whether as maker, guarantor, accommodation maker or endorser, shall be released from liability. All such parties agree that Lender may renew or extend (repeatedly and for any length of time) this loan or release any party or guarantor or collateral; or impair, fail to realize upon or perfect Lender's security interest in the collateral; and take any other action deemed necessary by Lender without the consent of or notice to anyone. All such parties also agree that Lender may modify this loan without  the consent of or notice to anyone other than the party with whom the modification is made.  The obligations under this Note are joint and  several.</font></div><div style="line-height:120%;padding-top:5px;text-align:left;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">PRIOR TO SIGNING THIS NOTE, BORROWER READ AND UNDERSTOOD ALL THE PROVISIONS OF THIS NOTE. BORROWER AGREES TO THE TERMS OF THE NOTE.</font></div><div style="line-height:235%;padding-top:5px;text-align:left;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">BORROWER ACKNOWLEDGES RECEIPT OF A COMPLETED COPY OF THIS PROMISSORY NOTE. BORROWER:</font></div><div style="line-height:120%;text-align:left;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;"><br></font></div><div style="line-height:120%;padding-top:10px;text-align:left;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">AIR T, INC.</font></div><div style="line-height:120%;text-align:left;font-size:11.5pt;"><font style="font-family:Arial;font-size:11.5pt;"><br></font></div><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:48px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:118%;font-size:8pt;padding-left:29px;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">By:</font></div></td><td style="vertical-align:top;"><div style="line-height:118%;text-align:left;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">&#32;BRIAN C OCHOCKI, Chief Financial Officer of AIR T, INC.</font></div></td></tr></table><div style="line-height:120%;text-align:left;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;"><br></font></div><div style="line-height:120%;padding-top:8px;text-align:left;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">LENDER:</font></div><div style="line-height:120%;text-align:left;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:28px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">MINNESOTA BANK &amp; TRUST</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;"><br></font></div><div style="line-height:120%;text-align:center;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;"><br></font></div><div style="line-height:100%;text-align:left;text-indent:48px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">X</font></div><div style="line-height:100%;text-align:left;text-indent:48px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Authorized Signer</font></div><div style="line-height:120%;text-align:left;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:7pt;"><font style="font-family:Arial;font-size:7pt;"><br></font></div><div style="line-height:100%;text-align:center;padding-left:137px;font-size:4pt;"><font style="font-family:Arial;font-size:4pt;">LaserPro, Ver. 19.4.10.036 Copr. Finastra USA Corporation 1997, 2020. All Rights Reserved. - MN C:\LaserPro\CFI\LPL\D20.FC TR-138844 PR-2602</font></div><div style="line-height:100%;text-align:center;font-size:4pt;"><font style="font-family:Arial;font-size:4pt;"><br></font></div><div><br></div><div></div><hr style="page-break-after:always"><div><a name="s47B7D22756013578E03E7F9D426ED0A4"></a></div><div><div style="line-height:100%;text-align:left;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;padding-top:5px;text-align:left;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;">DocuSign Envelope ID: 33E2CB4C-8543-458F-AE0A-81E818C7CED4</font></div><div style="line-height:120%;padding-top:10px;text-align:center;padding-left:309px;font-size:14pt;"><font style="font-family:Arial;font-size:14pt;font-weight:bold;">EXHIBIT TO LOAN</font></div><div style="line-height:120%;text-align:left;font-size:9.5pt;"><font style="font-family:Arial;font-size:9.5pt;"><br></font></div><div style="line-height:120%;padding-left:12px;font-size:10pt;"><div style="padding-left:0px;text-indent:0px;line-height:normal;padding-top:10px;"><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman;font-size:10pt;width:98.26689774696708%;border-collapse:collapse;text-align:left;"><tr><td colspan="8"></td></tr><tr><td style="width:16%;"></td><td style="width:12%;"></td><td style="width:11%;"></td><td style="width:16%;"></td><td style="width:13%;"></td><td style="width:15%;"></td><td style="width:8%;"></td><td style="width:9%;"></td></tr><tr><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="text-align:center;padding-left:8px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Principal</font></div><div style="padding-top:1px;text-align:center;padding-left:8px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">$8,215,100.00</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="padding-left:12px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Loan Date</font></div><div style="padding-top:1px;padding-left:5px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">04-10-2020</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="text-align:center;padding-left:1px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Maturity</font></div><div style="padding-top:1px;text-align:center;padding-left:1px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">04-10-2022</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="text-align:center;padding-left:17px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Loan No</font></div><div style="padding-top:1px;text-align:center;padding-left:18px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">511441733</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="padding-top:1px;padding-left:24px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Call / Coll</font></div><div style="padding-top:4px;padding-left:16px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">410</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="padding-left:29px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Account</font></div><div style="padding-top:1px;padding-left:22px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">AIR   TI00</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="padding-left:5px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Officer</font></div><div style="padding-top:1px;padding-left:5px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">06618</font></div></td><td style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="text-align:left;padding-left:12px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Initials</font></div></td></tr><tr><td colspan="8" style="vertical-align:top;border-bottom:1px solid #000000;padding-left:2px;padding-top:2px;padding-bottom:2px;padding-right:2px;border-left:1px solid #000000;border-right:1px solid #000000;border-top:1px solid #000000;"><div style="padding-top:1px;text-align:center;padding-left:34px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;">References in the boxes above are for Lender's use only and do not limit the applicability of this document to any particular loan or item.</font></div><div style="text-align:center;padding-left:34px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;">Any item above containing "***" has been omitted due to text length limitations.</font></div></td></tr></table></div></div><div style="line-height:120%;text-align:left;font-size:3pt;"><font style="font-family:Arial;font-size:3pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:3pt;"><font style="font-family:Arial;font-size:3pt;"><br></font></div><div style='display:inline-block; width:100%;'><div style='float:left; width:48%;'><div><a name="s5014E9D866325702F9747F9D429FAB96"></a></div><div style="line-height:112%;padding-top:2px;text-align:left;padding-left:21px;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Borrower:&#160;&#160;&#160;&#160;</font><font style="font-family:Arial;font-size:8pt;font-weight:bold;">AIR T, INC.</font></div><div style="line-height:119%;text-align:left;padding-left:102px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">5930 BALSOM RIDGE RD DENVER, NC 28037</font></div><table cellpadding="0" cellspacing="0" style="padding-top:4px;font-family:Times New Roman; font-size:10pt;"><tr><td style="width:98px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:110%;font-size:10pt;padding-left:21px;"><font style="font-family:inherit;font-size:10pt;">&#32;<br></font><font style="font-family:Arial;font-size:10pt;font-weight:bold;">Lender:</font></div></td><td style="vertical-align:top;padding-left:1.3333333333333333px;"><div style="line-height:110%;text-align:left;font-size:10pt;text-indent:-1.3333333333333333px;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">MINNESOTA BANK &amp; TRUST MINNETONKA</font></div></td></tr></table><div style="line-height:116%;text-align:left;padding-left:100px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">9800 BREN ROAD EAST SUITE 200</font></div><div style="line-height:100%;text-align:left;padding-left:100px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">MINNETONKA, MN 55343-6400</font></div><div style="line-height:100%;text-align:left;padding-left:100px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">(952) 936-7800</font></div><div style="line-height:100%;text-align:left;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;"><br></font></div></div></div><div><br></div><div></div><hr style="page-break-after:always"><div><a name="s07A253C39DB81E7FC6367F9D42C15473"></a></div><div><div style="line-height:100%;text-align:left;font-size:10pt;"><font style="font-family:Arial;font-size:10pt;"><br></font></div></div><div><br></div><div style="line-height:120%;padding-top:1px;text-align:left;font-size:5.5pt;"><font style="font-family:Arial;font-size:5.5pt;"><br></font></div><div style="line-height:100%;text-align:left;padding-left:6px;font-size:2pt;"><font style="font-family:Arial;font-size:2pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:7.5pt;"><font style="font-family:Arial;font-size:7.5pt;"><br></font></div><div style="line-height:100%;padding-top:6px;text-align:justify;padding-left:32px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Loan Amount</font></div><div style="line-height:118%;text-align:justify;padding-left:32px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;">If the amount of the Note is different than the amount reflected in your PPP Loan Application, by signing the Note and returning it to us, you acknowledge and agree that the loan amount reflected in your application is hereby amended to be the amount of the Note and re-affirm all representations and certifications made in your application based on the amount and as of the date of the Note.</font></div><div style="line-height:100%;padding-top:5px;text-align:justify;padding-left:32px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">Loan Forgiveness</font></div><div style="line-height:118%;text-align:justify;padding-left:32px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;">While the PPP loan program allows for all or part of this loan to be forgiven by the SBA, whether forgiveness will be granted and in what amount is subject to an application to, and approval by, the SBA and may also be subject to further requirements in any regulations and guidelines the SBA may adopt. As a result, we make no representation and can give no assurance that your loan will be forgiven.</font></div><div style="line-height:100%;padding-top:5px;text-align:left;padding-left:32px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">***IMPORTANT***</font></div><div style="line-height:116%;text-align:justify;padding-left:32px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;">Absent a Default, all payments due from the Borrower under the Note will be deferred for 6 months following the date of the Note, thereafter,    the remaining principal balance and accrued interest shall be payable in 17 equal monthly installments of principal and interest, beginning in the 7th month following the date of the Note, and a final payment on the 2nd anniversary of the date of the Note in the amount of all remaining principal, interest and other amounts payable under the Note.</font></div><div style="line-height:120%;text-align:left;font-size:7.5pt;"><font style="font-family:Arial;font-size:7.5pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:32px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">BORROWER:</font></div><div style="line-height:120%;text-align:left;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;"><br></font></div><div style="line-height:120%;text-align:left;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;"><br></font></div><div style="line-height:120%;padding-top:8px;text-align:left;padding-left:32px;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">AIR T, INC.</font></div><div style="line-height:120%;text-align:left;font-size:11.5pt;"><font style="font-family:Arial;font-size:11.5pt;"><br></font></div><table cellpadding="0" cellspacing="0" style="font-family:Times New Roman; font-size:10pt;"><tr><td style="width:52px;"></td><td></td></tr><tr><td style="vertical-align:top"><div style="line-height:118%;font-size:8pt;padding-left:33px;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">By:</font></div></td><td style="vertical-align:top;"><div style="line-height:118%;text-align:left;font-size:8pt;"><font style="font-family:Arial;font-size:8pt;font-weight:bold;">&#32;BRIAN C OCHOCKI, Chief Financial Officer of AIR T, INC.</font></div></td></tr></table><div style="line-height:120%;padding-top:1px;text-align:left;font-size:9pt;"><font style="font-family:Arial;font-size:9pt;"><br></font></div><div style="line-height:120%;text-align:left;padding-left:196px;font-size:4pt;"><font style="font-family:Arial;font-size:4pt;">LaserPro, Ver. 19.4.10.036 Copr. Finastra USA Corporation 1997, 2020. All Rights Reserved. - MN C:\LaserPro\CFI\LPL\G60.FC TR-138844 PR-2602</font></div><div><br></div><div></div>	</div></body>
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