AAR Awarded 7-Year Engine MRO Contract for the Royal Danish Air Force
January 17, 2019
Sustainment for Pratt & Whitney F100-220 engine components on the General Dynamics F-16
WOOD DALE, Illinois, January 17, 2019 — AAR (NYSE: AIR), an independent provider of global aftermarket aviation services, has been awarded a seven-year contract by the Danish Defence Acquisition and Logistics Organisation (DALO) to perform maintenance, repair and overhaul of Pratt & Whitney F100-220 engine components on the General Dynamics F-16 for the Royal Danish Air Force (RDAF).
"We are proud to continue our trusted long-term partnership with the Royal Danish Air Force. This contract reflects our strong relationship, continued focus on exceeding customer expectations and shared core values with the RDAF,” said Eric Bron, General Manager of AAR’s MRO Services Component Repair Amsterdam. “AAR delivers tailored services and capabilities based on commercial best practices that result in quality work and cost savings for the customer.”
“This contract is part of our strategy to sustain the F-100 engine components for the remaining lifetime of the F-16 within the Danish Air Force. We are looking forward to continuing our good relationship with AAR for the years to come,” said Peter Laustsen, Branch Chief F-16 - Ballerup.
AAR’s MRO Services Component Repair Amsterdam facility has been supporting European Participating Air Forces (EPAF) as either a prime or a subcontractor performing repair management, component maintenance, supply chain and depot services for more than three decades.
The Danish Ministry of Defence Acquisition and Logistics Organisation (DALO) is the logistics authority of the Danish Defence. The organization procures, maintains, develops and disposes materiel capacities and ensures provisions in due time for the Danish Defence operations. DALO’s yearly budget is approximately 7 billion DKK. The funds are used to provide efficient support primarily to international operations and operational units within the Danish Armed Forces. DALO has approximately 1,900 employees with headquarters in Ballerup near Copenhagen.
AAR is a global aerospace and defense aftermarket solutions company with operations in over 20 countries. Headquartered in the Chicago area, AAR supports commercial and government customers through two operating segments: Aviation Services and Expeditionary Services. AAR’s Aviation Services include Parts Supply; OEM Solutions; Integrated Solutions; and Maintenance, Repair and Overhaul (MRO) Services. AAR’s Expeditionary Services include Mobility Systems operations. Additional information can be found at www.aarcorp.com.
Media contact: Daniela Pietsch, Vice President Corporate Marketing & Communications, at firstname.lastname@example.org or +1 630-227-5100.
This press release contains certain statements relating to future results, which are forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995, including, but not limited to,statements regarding the agreement to establish The Module Factory,AAR’s estimate that it will manage the teardown, repair, marketing and sales of spare parts of FTAI’s CFM56 engine pool totaling over 200 engines and growing, AAR’s ability to leverage its extensive USM capabilities to offer CFM56 serviceable engine material to the global commercial aviation aftermarket, that the partnership positions AAR well to service the growing demand for USM on a leading engine platform as customers increasingly prioritize more cost-efficient solutions, and the belief that serviceable engine products, combined with FTAI’s proprietary products and partnerships, completes its unique suite of CFM56 aftermarket offerings aimed at delivering the lowest cost per cycle solution to airline customers. Forward-looking statements may also be identified because they contain words such as ‘‘anticipate,’’ ‘‘believe,’’ ‘‘continue,’’ ‘‘could,’’ ‘‘estimate,’’ ‘‘expect,’’ ‘‘intend,’’ ‘‘likely,’’ ‘‘may,’’ ‘‘might,’’ ‘‘plan,’’ ‘‘potential,’’ ‘‘predict,’’ ‘‘project,’’ ‘‘seek,’’ ‘‘should,’’ ‘‘target,’’ ‘‘will,’’ ‘‘would,’’ or similar expressions and the negatives of those terms. These forward-looking statements are based on beliefs of Company management, as well as assumptions and estimates based on information currently available to the Company, and are subject to certain risks and uncertainties that could cause actual results to differ materially from historical results or those anticipated, including those factors discussed under Item 1A, entitled “Risk Factors”, included in the Company’s Form 10-K for the fiscal year ended May 31, 2018. Should one or more of these risks or uncertainties materialize adversely, or should underlying assumptions or estimates prove incorrect, actual results may vary materially from those described. These events and uncertainties are difficult or impossible to predict accurately and many are beyond the Company’s control. The Company assumes no obligation to update any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events. For additional information, see the comments included in AAR’s filings with the Securities and Exchange Commission.