13 .	Related Party Matters

Since

1979

the Company has leased the Little Mountain Airport in Maiden, North Carolina from a corporation whose stock is owned in part by former officers and directors of the Company and an estate of which certain former directors are beneficiaries. The facility consists of approximately

acres with

one

3,000

-foot paved runway, approximately

20,000

square feet of hangar space and approximately

12,300

square feet of office space. The operations of Air T, MAC and ATGL are headquartered at this facility. The lease for this facility provides for monthly rent of

$14,862

and expires on

January 31, 2018,

though the lease

may

be renewed by the Company for

three

additional

two

-year option periods through

January 31, 2024.

The Company does

not

intend to renew the lease for this facility as operations conducted at this facility were relocated to a newly constructed, owned facility on

July 31, 2017.

The lease agreement provides that the Company shall be responsible for maintenance of the leased facilities and for utilities, taxes and insurance.

Contrail Aviation leases its corporate and operating facilities at Verona, Wisconsin from Cohen Kuhn Properties, LLC, a corporation whose stock is owned equally by Mr. Joseph Kuhn, Chief Executive Officer of Contrail Aviation, and Mrs. Miriam Kuhn, Chief Financial Officer of Contrail Aviation. The facility consists of approximately

21,000

square feet of warehouse and office space. The Company paid aggregate rental payments of

$111,189

to Cohen Kuhn Properties, LLC pursuant to such lease during the period from

July 18, 2016

through

March 31, 2017.

The lease for this facility expires on

June 30, 2021,

though the Company has the option to renew the lease for a period of

five

years on the same terms. The lease agreement provides that the Company shall be responsible for maintenance of the leased facilities and for utilities, taxes and insurance. The Company believes that the terms of such leases are

less favorable to the Company than would be available from an independent

third

party.