AAR expands electronics distribution relationship with OTTO Engineering, Inc.

Rhea-AI Summary

AAR (NYSE: AIR), an aviation services provider, has signed an agreement to expand its electronics distribution with OTTO Engineering into the APAC region.

This partnership will see AAR distributing OTTO's electromechanical switches, grips, and joysticks to commercial and defense markets.

The expansion leverages AAR's international presence and market expertise to offer a broader range of products.

OTTO's Director of Sales, Angelo Assimakopoulos, praised the partnership, highlighting AAR's global market service capabilities.

Darren Spiegel, AAR's VP and General Manager of Electronics, emphasized the collaboration's potential to drive innovation amid increasing industry electrification.

Positive

• AAR expands distribution into the APAC region, broadening market reach.
• Partnership with OTTO Engineering offers an extensive range of electromechanical products.
• Leveraging AAR's international presence and market expertise.
• Collaboration aims to drive innovation in aerospace electrification.
• Potentially increased revenue from new market opportunities in the APAC region.

Negative

• Expansion into APAC involves risks and costs associated with new market entry.
• Potential challenges in adapting to APAC market regulations and demands.
• Increased operational costs due to expanded distribution network.
• Dependence on successful integration and collaboration with OTTO Engineering.
• No immediate financial data provided to assess short-term impact.

WOOD DALE, Ill., June 13, 2024 /PRNewswire/ -- AAR CORP. (NYSE: AIR), a leading provider of aviation services to commercial and government operators, MROs, and OEMs, has signed a territory expansion agreement that expands its Americas-based electronics distribution relationship with OTTO Engineering, Inc. (OTTO) into the APAC region. 

"AAR is pleased to grow our relationship with OTTO and expand our electromechanical product offering into APAC."

Under the agreement, AAR will distribute OTTO's extensive line of electromechanical switches, grips, and joysticks to the commercial and defense markets. The agreement leverages AAR's international presence and market expertise to deliver a broader range of products.

"OTTO is excited to embark on this channel expansion with our existing partner," said Angelo Assimakopoulos, Director of Sales at OTTO. "AAR's ability to service the global market with our extensive aerospace control products offering is the right alignment to proliferate and grow our business in the APAC region."

"AAR is pleased to grow our relationship with OTTO and expand our electromechanical product offering into APAC," said Darren Spiegel, Vice President and General Manager of AAR Electronics. "Pairing AAR's customer-centric aerospace focus with OTTO's design expertise will drive further innovation as the industry places a growing emphasis on electrification."

For more information on AAR's Electronics business, part of the Company's Parts Supply segment, visit https://www.aarcorp.com/en/products/distribution/electronics/.

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.

About OTTO
OTTO is a vertically integrated U.S. manufacturer located in Carpentersville, Illinois since 1961. OTTO produces controls and communication products for global markets in the Off-Road machinery, Material Handling, Industrial, Military and Defense markets. Additional information can be found at ottoexcellence.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 expanded distribution relationship. 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 new agreement between AAR and OTTO Engineering?

AAR has signed a territory expansion agreement to distribute OTTO Engineering's electromechanical products in the APAC region.

When was the AAR and OTTO Engineering agreement announced?

The agreement was announced on June 13, 2024.

What products will AAR distribute under the new agreement?

AAR will distribute OTTO's electromechanical switches, grips, and joysticks.

How does the agreement benefit AAR?

The agreement allows AAR to leverage its international presence to expand its product range and enter the APAC market.

What is the stock symbol for AAR?

The stock symbol for AAR is AIR.

What markets will AAR target with OTTO's products in the APAC region?

AAR will target commercial and defense markets in the APAC region.