AAR awarded five-year contract to perform airframe maintenance for U.S. Navy's P-8A Poseidon fleet

Rhea-AI Summary

AAR CORP. (NYSE: AIR) has been awarded a five-year contract by the U.S. Navy's Naval Air Systems Command (NAVAIR) to perform P-8A Poseidon depot airframe maintenance and depot field team support. The contract has an aggregate ceiling value of approximately $1.2 billion and covers services for the U.S. Navy, government of Australia, and foreign military sales customers.

AAR will provide scheduled and unscheduled maintenance, in-service repair, technical directive incorporation, airframe modifications, and aircraft-on-ground (AOG) support. This follow-on contract maintains AAR's position as a leader in commercial derivative airframe maintenance for the U.S. Department of Defense and supports Navy readiness.

Positive

• Awarded a five-year contract with a $1.2 billion ceiling value
• Retains position as a leader in commercial derivative airframe maintenance for U.S. Department of Defense
• Expands service provision to include U.S. Navy, Australian government, and foreign military sales customers
• Continues strategic partnership with NAVAIR

Negative

• None.

WOOD DALE, Ill., Sept. 23, 2024 /PRNewswire/ -- AAR CORP. (NYSE: AIR), a leading provider of aviation services to commercial and government operators, MROs, and OEMs, has been awarded a five-year indefinite delivery / indefinite quantity contract with an aggregate ceiling value of approximately $1.2 billion by the U.S. Navy's Naval Air Systems Command (NAVAIR) to perform P-8A Poseidon depot airframe maintenance and depot field team support for the U.S. Navy, government of Australia, and foreign military sales (FMS) customers. 

"Our rapid deployment teams provide on-demand expertise anywhere in the world," said Nicholas Gross.

This follow-on contract continues AAR's strategic partnership supporting NAVAIR. AAR will provide scheduled and unscheduled maintenance, in-service repair, technical directive incorporation, airframe modifications, and aircraft-on-ground (AOG) support.

This contract retains AAR's position as a leader of commercial derivative airframe maintenance for the U.S. Department of Defense and supports the Navy's readiness through the repair of the P-8A Poseidon.

"AAR is pleased to continue our longstanding partnership with NAVAIR and honored to be the prime provider supporting this critical fleet," said Nicholas Gross, AAR's Senior Vice President of Integrated Solutions. "Our rapid deployment teams provide on-demand expertise anywhere in the world."

For more information on AAR's government solutions, visit https://www.aarcorp.com/en/services/government-solutions/.

About AAR
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 four operating segments: Parts Supply, Repair & Engineering, Integrated Solutions, and Expeditionary Services. Additional information can be found at 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, reflecting management's expectations about future conditions, including anticipated activities and benefits under the five-year contract. 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. For a discussion of these and other risks and uncertainties, refer to "Risk Factors" in our most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. 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.

Contact:
Media Team
+1-630-227-5100
Editor@aarcorp.com

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SOURCE AAR CORP.

FAQ

What is the value of AAR's new contract with the U.S. Navy for P-8A Poseidon maintenance?

AAR (NYSE: AIR) has been awarded a five-year contract with an aggregate ceiling value of approximately $1.2 billion for P-8A Poseidon depot airframe maintenance and depot field team support.

What services will AAR provide under the P-8A Poseidon maintenance contract?

AAR will provide scheduled and unscheduled maintenance, in-service repair, technical directive incorporation, airframe modifications, and aircraft-on-ground (AOG) support for the P-8A Poseidon fleet.

Which customers will benefit from AAR's P-8A Poseidon maintenance services?

The contract covers services for the U.S. Navy, government of Australia, and foreign military sales (FMS) customers.

How long is the duration of AAR's new contract for P-8A Poseidon maintenance?

The contract awarded to AAR (NYSE: AIR) for P-8A Poseidon maintenance is a five-year indefinite delivery / indefinite quantity contract.