Airbus Military Selects AAR for Component Repair Management and Logistics Services

AAR (NYSE: AIR) announced today that it has been selected by Airbus Military to provide off-wing repairs management and logistics services. The five-year programs will be managed by AAR's Defense Systems & Logistics operating unit.

AAR will provide a single point of contact for the repair of components that Airbus Military previously outsourced to multiple vendors. The programs will focus primarily on support of CASA C-212, CN-235 and C-295 aircraft but with scope to support other Airbus Military platforms. AAR also has been selected by Airbus Military to establish and manage the logistics of a Repair Hub at the Airbus Military facilities at San Pablo Norte Spain, where the final assembly lines for the A-400M and the rest of CASA Tactical Mission Aircraft are located.

AAR's repair management and logistics services will enable Airbus Military to streamline its supply chain and increase the efficiency of its maintenance operations and performance-based logistics support provided worldwide.

"We have major challenges in the coming years and making that strategy happen requires a Global Transformation Plan to achieve Services Proficiency. The collaboration with AAR forms part of our roadmap towards performance and cost-effective value for our customers all around the world," said Philippe Galland, Senior Vice President of Airbus Military and Head of Customer Services.

"We are excited to work with Airbus Military to provide them with an efficient, cost-effective component repair program and logistics services in support of their maintenance activities," said John Holmes, Division President, AAR Allen Asset Management, who oversees AAR's commercial and defense logistics operations. "With our experience managing sophisticated supply chains and our history of solid execution, we are confident that this is the first step towards a long and mutually beneficial relationship between AAR and Airbus Military."

AAR has extensive experience with supply chain and component repair management for commercial airline and government fleets, including the KC-10 Extender Contractor Logistics Support (CLS) program and the UK Ministry of Defence's fleet of E3-D Sentry Aircraft.

Source: AAR Corporation (NYSE: AIR)
Date: Mar 15, 2012