AAR Extends Reach in Middle East with flydubai PBH Contract
August 22, 2016
Dubai-based airline selects global aviation services leader to support fleet
WOOD DALE, Illinois, August 19, 2016 – AAR (NYSE: AIR), a leading provider of aircraft maintenance and integrated supply chain solutions worldwide, has signed a long-term, multimillion-dollar contract to provide power-by-the-hour (PBH) component inventory management and repair services to Dubai-based flydubai. The agreement represents a significant expansion of AAR’s commercial footprint in the Middle East.
AAR will assume nose-to-tail management of components and repairs for flydubai’s Next-Generation Boeing 737-800 fleet, starting with 53 aircraft and increasing to 60. In November 2013, flydubai announced an order for 75 737 MAX 8s and 11 Next-Generation Boeing 737-800s valued at USD 8.8 billion at list prices, in addition to purchase rights for 25 more 737 MAXs. In 2015, flydubai carried more than 9 million passengers across its network of more than 85 destinations, becoming the second largest carrier, by passenger numbers, operating out of Dubai International.
“As flydubai continues on its robust growth trajectory, it must optimize its fleet’s performance while minimizing costs and aircraft-on-ground time,” said Deepak Sharma, President, AAR international supply chain. “Given AAR’s experience helping airlines increase operational efficiencies, flydubai decided we are the right partner for the crucial behind-the-scenes work.”
“Focusing our efforts on supporting customers in the Middle East region has paid off,” said AAR’s Rahul Shah, Senior Vice President, Strategic Growth and Business Development, Asia Pacific, Middle East and Africa. “We are pleased that flydubai has entrusted AAR to provide long-term component support of its Next-Generation Boeing 737-800 fleet.”
Mick Hills, SVP Engineering and Maintenance at flydubai said: “We continue to invest in technologies and partnerships that strengthen our commitment to maintain the highest levels of reliability and safety in our operations. We are excited about our component inventory management and repair services agreement with AAR, which will help us reduce aircraft-on-ground time and consequently contribute to our on-time performance.”
The Dubai-based carrier, operating out of Terminal 2 at Dubai International (DXB) and the newly opened Al Maktoum Airport (DWC), is committed to opening up underserved markets and provides direct links from Dubai to 59 destinations that previously had no or very few links to the UAE.
Dubai-based flydubai strives to remove barriers to travel and enhance connectivity between different cultures across its ever-expanding network. Since launching its operations in 2009, flydubai has:
Created a network of more than 90 destinations in 44 countries, with 19 new routes launched in 2015.
Opened up 59 routes that did not previously have direct air links to Dubai or were not served by a UAE national carrier from Dubai.
Operates a single fleet type of 51 Next-Generation Boeing 737-800 aircraft and will take delivery of more than 100 aircraft by the end of 2023.
In addition, flydubai’s agility and flexibility as a young airline has enhanced Dubai’s economic development, in line with the Government of Dubai’s vision, by creating trade and tourism flows in previously underserved markets.
For more information about flydubai services, please visit flydubai.com.
For further information, please contact:
Kareem Mahjoub, Press Officer; (+971) 55 635 6196; Email:email@example.com.
AAR is a global aerospace and defense aftermarket solutions company that employs more than 6,000 people 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 and Composite Manufacturing 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. 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, 2016 and the Company's Form 10-Q for the fiscal quarter ended February 29, 2020. 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.