WOOD DALE, Ill., June 30, 2015 /PRNewswire/ -- AAR (NYSE:
AIR) announced that it will close its MRO facility in Hot Springs, Ark., and transfer operations to
its Oklahoma City, Okla., facility
as part of the Company's efforts to optimize its assets and improve
return on invested capital for shareholders.
In response to overcapacity in North
America, AAR will locate maintenance for regional aircraft
in Oklahoma City by August to
better align the capacity of AAR's 1MRO Network with current market demand. The
employees working the two heavy maintenance lines in the
60,000-square-foot facility in Hot
Springs will be offered employment at other AAR facilities.
Customers should expect the same high level of quality and
performance throughout AAR's five remaining facilities in the
Company's MRO network, which was recently named the Best Airframe
MRO Provider worldwide by ATE&M.
"The consolidation of our 1MRO
Network is part of the Company's strategy to rationalize all of its
business units with the objective of improving operating margins
and shareholder returns," said John
Holmes, Chief Operating Officer, Aviation Services. "It
allows us to optimize the capacity of our North American footprint
and focus on better integrating our maintenance, repair and supply
chain offerings for customers."
About AAR
AAR is a global aerospace and defense company that employs more
than 5,000 people in over 20 countries. Based in Wood Dale, Illinois, AAR supports commercial,
government and defense 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; 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.
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, 2014. 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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SOURCE AAR