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Press release

December 12, 2012

AAR to Manage Repairs, Procure Spare Parts for UK’s Royal Squadron Fleet

Ministry of Defence to gain single source for 2 critical programs

WOOD DALE, Illinois – AAR (NYSE: AIR) has been selected by the UK Ministry of Defence (UK MoD) to be the exclusive manager and single source of all repairs and spare parts requirements for its fleet of BAe146 and HS125 aircraft, and of all unit exchanges for the HS125. The three-year agreement includes a one-year renewal option.

The aircraft are operated by the No. 32 Royal Squadron at RAF Northolt and are used to transport VIPs, including members of the Royal Family, and more recently to carry passengers and freight between Afghanistan and the UK. The BAe146 also undertakes communications roles as part of its operations. The UK MoD plans to double the number of BAe146s to four in 2013 to support its operations.

The UK MoD previously outsourced the repairs, spares and unit exchanges for the BAe146 and HS125 to multiple vendors. By establishing AAR as a single supplier, these tasks can be managed faster and more efficiently.

“We are excited to grow our existing relationship with the UK Ministry of Defence and to provide them with an efficient and cost-effective component repair and procurement program supporting the vital operational roles these aircraft play,” said John Holmes, Aviation Services Group Vice President, Inventory Management and Distribution. “With our experience managing sophisticated supply chains and our history of solid execution, we look forward to a long and mutually beneficial relationship between AAR and the Ministry of Defence.”

AAR has extensive experience with supply chain and component repair management for commercial airline and government fleets. The Company is part of the Northrup Grumman team supporting the UK MoD Royal Air Force Fleet of E3-D Sentry Airborne Warning and Control System (AWACS) aircraft under its Sentry Whole Life Support Programme. AAR also supplies KC-10 Extender Contractor Logistics Support (CLS).

About AAR

AAR is a global aftermarket solutions company that employs more than 6,000 people in over 20 countries. Based in Wood Dale, Illinois, AAR supports commercial aviation and government customers through two operating segments: Aviation Services and Expeditionary Services. AAR’s Aviation Services include inventory management; parts supply; OEM parts distribution; aircraft maintenance, repair and overhaul; engineering services and component repair. AAR’s Expeditionary Services include airlift operations; mobility systems; and command and control centers in support of military and humanitarian missions. More information can be found at www.aarcorp.com.

Contact
Media Team
Corporate Marketing & Communications
+1-630-227-5100
Editor@aarcorp.com


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, 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.

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