January 15, 2014
AAR Named a SeaPort-e Prime Contractor for the U.S. Navy
Company poised to receive contracts in 14 categories across seven geographic zones
WOOD DALE, Illinois — AAR (NYSE: AIR) announced today that it has been named a prime contractor under the U.S. Navy Seaport-Enhanced Prime Contractor (SeaPort e) program. Through SeaPort-e, all naval agencies can issue AAR Indefinite Delivery/Indefinite Quantity (IDIQ) contracts to procure supply-chain and logistics services in 14 functional categories in support of unrestricted military locations in all seven of the program’s geographic zones, covering the United States.
SeaPort-e provides a standardized means of soliciting, awarding and managing offers among a group of pre-selected businesses. Services provided under the program will support the Naval Sea Systems Command, Naval Air Systems Command, Space and Naval Warfare Systems Command, Naval Supply Systems Command, Military Sealift Command, Naval Facilities Command, Strategic Systems Programs, Office of Naval Research, and the Marine Corps.
“This is an important program that provides critical support, and we look forward to continuing to deliver cost-effective, reliable supply-chain and logistics services to the U.S. Navy,” said John Holmes, AAR’s Aviation Services Group Vice President – Aviation Supply Chain. “We greatly appreciate the confidence the Navy has shown in AAR with this designation.”
The SeaPort-e program was created to reduce the cost of procurement services for the U.S. Navy’s headquarters directorates, program executive offices and field activities by re-engineering their purchasing processes to maximize efficiency. The U.S. government estimates that as much as $5.3 billion of services will be procured annually via SeaPort-e multiple-award contracts.
AAR provides comprehensive supply-chain management services to the U.S. government and its allies and is ranked among the top 100 defense contractors in the world. Through its Aviation Supply Chain businesses, AAR offers a suite of products and services ranging from new and aftermarket airframe and engine parts to complete end-to-end logistics programs involving inventory and repair management. AAR gives commercial and defense customers unmatched access to the aftermarket, maximizing service levels while minimizing total costs. AAR also maintains one of the industry’s most extensive inventories of airframe and engine parts and components and is one of the largest providers of power-by-the-hour component support. Capitalizing on its international network of distribution and repair centers and its cutting-edge tracking technology, AAR expedites delivery of products and services and customizes solutions for airline, MRO and OEM customers around the world.
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.
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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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