AAR PW2000 contract with MTU Maintenance extended for another five years
April 10, 2019
WOOD DALE, Illinois —AAR (NYSE: AIR) just announced that it will be extending its PW2000 engine support contract with MTU Maintenance for another five years. AAR will be supplying PW2000 parts to support MTU, which is one of the largest engine overhaul providers in the world. MTU has recently said they have won contracts valued at more than $700 million and remains committed to its PW2000 engine MRO program for at least another 10 years. AAR is an important source of used serviceable materials (USM) in support of these engine overhauls.
AAR and MTU Maintenance have worked together since the mid-1990’s, collaborating on various engine platforms such as the CF6. Under the PW2000 agreement originally signed in 2009, AAR will continue to supply PW2000 parts via AAR’s facility in Hannover, Germany, which significantly streamlines the logistical processes and supports turnaround time. Partnering with AAR ensures that MTU Maintenance will have a reliable supply of USM for PW2000 shop visits.
“We are excited to extend our PW2000 agreement with one of the world's top commercial aircraft engine maintenance providers,” said Sal Marino, AAR SVP of Parts Supply. “AAR greatly values this multi-decade relationship and is proud to continue offering MTU solutions using the industry’s largest supply of USM quality parts.”
For more information on AAR’s global parts supply services, click here.
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About MTU Maintenance
MTU Maintenance specializes in creating customized solutions for aero engines. The company operates a global network with facilities in the Americas, Asia and Europe. Around 5,000 employees from over 60 nationalities provide customers with a wide range of service solutionsencompasses all aspects of engine MRO,asset management and leasing. With close to 30 engines in its portfolio, MTU Maintenance has performed more than 18,000 shop visits in nearly 40 years. Additional information can be found www.mtu.de.
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 email@example.com 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.