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Press release

August 23, 2007

AAR Leads Aviation Services Industry With Renewable Energy Commitment

WOOD DALE, Ill., /PRNewswire-FirstCall/ -- AAR CORP. (NYSE: AIR) announced today that it has purchased Renewable Energy Credits (RECs), equivalent to 100% of the Company's purchased electricity used across their North American operations, through 2010. This landmark purchase of RECs is the largest to date by an aviation services company among Partners in the U.S. Environmental Protection Agency's (EPA's) Green Power Partnership.

An REC purchase ensures that the amount of electricity a company or an individual uses is replaced onto the power grid with renewable electricity. AAR is purchasing 27,500,000 kilowatt hours (KWh) of RECs per year from an array of clean generation sources across the United States that includes wind, biomass and low-impact hydroelectric. These clean resources generate electricity without producing carbon dioxide or other harmful pollutants.

"With the purchase of these RECs, we are taking a major step forward with our environmental initiatives and the support of cutting-edge clean power technologies," said David P. Storch, Chairman and Chief Executive Officer of AAR. "In addition, we are reducing the overall amount of power consumed by our North American operations and adopting a greener operating model."

Based on a national average emissions rate, the U.S. EPA estimates that AAR's green power purchase of more than 27 million kilowatt hours is the equivalent to avoiding the emissions of more than 3,000 passenger cars each year, or the equivalent amount of electricity needed to power 1,700 average American households annually.

"America is shifting to a 'green culture,' with more and more businesses understanding that environmental responsibility is everyone's responsibility," said Marcus Peacock, EPA's Deputy Administrator. "The EPA commends AAR CORP. for making a long-term commitment to protecting the environment."

By buying green power in amounts that exceed the EPA's purchase requirements, AAR also becomes a member of the Green Power Leadership Club. This distinction is given to organizations that significantly surpass the basic purchase requirements to be included in the Green Power Partnership. AAR will also be listed on the EPA's 100% Green Power Purchaser list, which is scheduled for its next quarterly update in October.

AAR has chosen Colorado-based Renewable Choice Energy as its supplier of RECs. Renewable Choice Energy is a leading national provider of renewable energy that is building the market for clean and renewable sources of energy.

AAR is also expanding its commitment to energy efficiency by utilizing high efficiency fluorescent lights in its U.S. facilities. Other green initiatives including reducing energy consumption, conserving water and recycling scrap material, are designed to provide long-term environmental and financial benefits. In addition, employees are encouraged to read and post on "Green Voices," AAR's internal green blog.

About AAR

AAR is a leading provider of products and value-added services to the worldwide aerospace and defense industry. With facilities and sales locations around the world, AAR uses its close-to-the-customer business model to serve airline and defense customers through four operating segments: Aviation Supply Chain; Maintenance, Repair and Overhaul; Structures and Systems and Aircraft Sales and Leasing. More information can be found at

About EPA's Green Power Partnership

EPA's Green Power Partnership is a voluntary program that encourages organizations to purchase green power as a way to reduce the environmental impacts associated with their electricity use. The Green Power Partnership currently has hundreds of Partners voluntarily purchasing billions of kilowatt hours of green power annually. For additional information please visit

About Renewable Choice Energy

Based in Boulder, Colo., Renewable Choice Energy promotes the development of clean alternatives to fossil fuels. Renewable Choice connects renewable energy producers with forward-thinking consumers including Fortune 500 companies, cities, universities and residential consumers across the country. As a pioneer in wind power development, Renewable Choice Energy has helped develop many industry standards and best practices, and is the leading supplier to Leadership in Energy and Environmental Design (LEED) certified green building projects.

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 May 31, 2007 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.

Chris Mason
Director of Corporate Communications of AAR
Michael Kadish
Corporate Communications of Renewable Choice Energy

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