AAR Announces Strike at Its Cadillac, Michigan Operation
WOOD DALE, Ill., /PRNewswire-FirstCall/ -- AAR CORP. (NYSE: AIR) announced today that a strike has been called by Local 1433 of the International United Automobile, Aerospace and Agricultural Implement Workers of America (UAW) at the Company's AAR Mobility Systems Operating unit in Cadillac, Michigan.
The Union called the strike after its membership failed to ratify an agreement reached between AAR Mobility Systems management and the Union negotiating committee, which includes both local and international Union leadership representatives.
"The strike was unexpected as the agreement was unanimously approved by both the Union Local 1433 and international Union leadership representatives," said David P. Storch, President and CEO of AAR CORP. "We remain absolutely committed to maintaining positive relations with our all of our employees. In light of the Union membership's decision, we now need to take steps to ensure our ability to keep the commitments we've made to our customers."
Unless an agreement is reached quickly, the Company anticipates that the strike will have a negative effect on first quarter results but it will recover the sales and earnings over the balance of the year with no long-term loss of business. The facility will continue to operate using salaried and contract employees to enable it to meet its customer commitments.
AAR Mobility Systems manufactures containers, shelters and pallets for military customers and prime contractors. AAR CORP. is the preeminent provider of products and value-added services to the worldwide aerospace/aviation industry. Products and services include proprietary inventory management and logistic support services, encompassing supply, repair and manufacture of spare parts and systems. Headquartered in Wood Dale, Illinois, AAR serves commercial and government aircraft fleet operators and independent service customers throughout the world.
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 7, entitled "Factors Which May Affect Future Results", included in the Company's May 31, 2003 Form 10-K. 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 publicly release the result of any revisions that may be made to 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.
SOURCE AAR CORP.
CONTACT: Chris Mason, Director of Corporate Communications of AAR, +1-630-227-2062, firstname.lastname@example.org
Related newsSee all
February 21, 2024
Airinmar signs extension of aircraft warranty and value engineering services with Philippine Airlines
BERKSHIRE, England — AAR (NYSE: AIR) subsidiary Airinmar, a leading independent provider of component repair cycle management and aircraft warranty solutions, has signed a multi-year support services extension with Philippine Airlines (PAL).
February 20, 2024
Trax announces agreement to provide its eMRO and eMobility software and other cloud services to Archer Aviation
Miami – Trax, a leading global provider of paperless aviation maintenance and engineering software products, announced that it has entered into an agreement with leading electric aviation company, Archer Aviation. Archer will leverage Trax’s web-based enterprise eMRO system and eMobility apps and Trax’s cloud hosting services to manage its planned electric air taxi operations.
February 14, 2024
AAR Prices Upsized Offering of Senior Notes to Finance Triumph Product Support Acquisition
Wood Dale, Illinois – AAR CORP. (“AAR” or the “Company”) (NYSE: AIR), a leading provider of aviation services to commercial and government operators, MROs and OEMs, announced today that AAR Escrow Issuer, LLC, a wholly owned, unrestricted subsidiary of the Company (the “Escrow Issuer”), has successfully priced its offering of $550 million aggregate principal amount of 6.750% senior notes due 2029 (the “Notes”). The offering was upsized to $550 million from the original offering size of $500 million in aggregate principal amount of Notes. The Notes will bear interest at a fixed annual rate of 6.750% and will mature on March 15, 2029. The offering is expected to close on March 1, 2024, subject to customary closing conditions.