Air Transport Services Group Inc , a provider of aircraft leasing and air cargo transportation services, said it expects to get lower business from its second largest customer DB Schenker.

Air Transport Services said DB Schenker was planning to adopt a new operating model that does not need a dedicated air-cargo network.

"We estimate that on an annualized basis, each of our eight DC-8 and eight 727 aircraft dedicated to the DB Schenker network generates approximately 1 cent per share in earnings after tax," Chief Executive Joe Hete said.

The company, however, said it cannot yet determine how many of these aircraft will be removed from the DB Schenker service, and how quickly would they be deployed to other customers and realize profits.

Analysts on average were expecting the company to earn 69 cents a share in 2011, on revenue of $743.5 million, according to Thomson Reuters I/B/E/S. (Reuters)