AAR (NYSE: AIR) announced today that it has signed a Letter of Intent (LOI) with Air Canada to provide airframe maintenance services for the airline's Airbus A320 series aircraft.
The LOI calls for AAR to perform regularly scheduled airframe maintenance and modifications that will enable Air Canada to efficiently maintain its approximately 89 Airbus narrow-body aircraft. AAR and Air Canada are working together to finalize the terms of a five-year agreement for the work to continue through September 2017.
The work is commencing at the Company's aircraft maintenance facility in Miami and is planned to be transitioned to the Company's new AAR Maintenance, Repair and Overhaul facility in Duluth, Minnesota over the next year.
"Air Canada is a flagship carrier in North America with a reputation for excellence and providing a superior flight experience for its passengers," said Dany Kleiman, Aviation Services Group Vice President – Repair and Engineering. "Our team is excited about contributing to Air Canada's efficient operations and the LOI is an important step forward as we prepare to provide multiple services that will enable the airline to operate its fleet safely while maintaining their high levels of passenger service."
Source: AAR Corporation (NYSE: AIR)
Date: Oct 18, 2012