AAR and FTAI Aviation Continue Their Partnership for CFM56 Engine Products Until 2030

AAR Expands Agreement with FTAI Aviation

In a strategic move to bolster the aviation service sector, AAR Corp. (NYSE: AIR) has announced the extension of its exclusive agreement with FTAI Aviation Ltd. (Nasdaq: FTAI) concerning Serviceable Engine Products. This partnership is set to continue through 2030, focusing on the provision of used serviceable material (USM) related to the popular CFM56 engine model.

Expansion of Global Availability

This collaboration has allowed for a significant inventory of USM to become accessible to the global aviation aftermarket, benefiting both FTAI's operations at the Module Factory™—which is dedicated to modular repair and refurbishment of CFM56-7B and CFM56-5B engines—and AAR's logistical capabilities. AAR will oversee the process of teardown, repair, marketing, and sales for spare parts sourced from FTAI's extensive pool of over 450 engines, which is poised to grow even further in the upcoming years.

John M. Holmes, AAR's Chairman, President, and CEO, expressed pride in continuing this exclusive partnership, stating, "AAR is proud to be the exclusive service provider for this agreement with FTAI. The demand for this industry-leading engine platform continues to grow, and our collaboration supports the needs of the global aviation aftermarket."

Enhancements in Services

Since the initial partnership was formed in 2020, AAR has expanded its capabilities by acquiring five additional global component repair facilities. These acquisitions enable AAR to effectively support a broader range of engine components under this agreement.

Additionally, Holmes stated, "We are pleased to combine our strong reputation for engine USM offerings, Component Services capabilities, and global sales team with FTAI's market position through 2030."

A Commitment to the Aviation Industry

Joe Adams, Chairman and Chief Executive Officer of FTAI Aviation, also noted, "We are delighted to continue our strong relationship with AAR. This extension underscores our shared commitment to provide cost-effective maintenance solutions that improve efficiency and lower costs per cycle for airlines worldwide."

Through this partnership, both AAR and FTAI underscore their dedication to enhancing operational efficiencies within the aviation sector. The synergy of combining their respective strengths ensures that airlines have access to the essential parts and services that support their daily operations and long-term maintenance needs.

For those interested in learning more about AAR's engine solutions, further information is available at AAR's engine solutions.

About AAR

AAR Corp. operates as a global leader in aerospace and defense aftermarket solutions, with a footprint that spans over 20 countries. Headquartered near Chicago, the company caters to both commercial and government clients through diverse operational segments including Parts Supply, Repair Engineering, Integrated Solutions, and Expeditionary Services. More details about AAR can be found at aarcorp.com.

About FTAI Aviation

FTAI Aviation specializes in the ownership and maintenance of commercial jet engines, primarily focusing on CFM56 and V2500 engines. With a unique portfolio that includes the Module Factory along with a joint venture for manufacturing engine PMA, FTAI is equipped to deliver significant cost savings and flexibility for their clientele, thereby fortifying strong financial returns and asset growth in the aviation industry.

Both companies are positioned to make substantial impacts in the aviation market, through their commitment to innovative solutions and maintaining a quality supply chain for essential aviation components. Ultimately, this extended partnership signals a bright future for airline efficiency, as the aviation industry continues to recover and evolve post-pandemic.