AAR Announces 5-Year Contract Extension with EADS EFW to Provide Cargo Systems and Support for Airbus Conversions

Wood Dale, IL (July 20, 2010) - AAR (NYSE: AIR) announced today at the Farnborough Air Show that its Cargo Systems division has signed a five-year contract extension with EADS EFW to provide cargo systems and support to convert Airbus A310-300s and A300-600s passenger aircraft into freighters. In addition, the extended agreement makes provisions for EADS EFW to procure A320/A321 and A330 Main Deck Cargo Handling Systems from AAR.

Since 2000, AAR Cargo Systems has provided EADS EFW with engineering and integration support and delivered more than 60 cargo systems for installation at EADS EFW’s cargo conversion facility in Dresden, Germany.

Based in Goldsboro, North Carolina, AAR Cargo Systems specializes in the design and manufacture of in-aircraft cargo systems and has been at the forefront of cargo handling and aerial deliver systems for commercial and military aircraft for more than 50 years.

AAR is a leading provider of products and value-added services to the worldwide aerospace and government/defense industry. With facilities and sales locations around the world, AAR uses its close-to-the-customer business model to serve aviation and government/defense customers through four operating segments: Aviation Supply Chain; Government and Defense Services; Maintenance, Repair and Overhaul; and Structures and Systems. More information can be found at WWW.AARCORP.COM

EADS EFW combines various aviation and technology activities under a single roof: the conversion of Airbus passenger aircraft into freighters, maintenance and repair of Airbus aircraft, the development and manufacturing of flat fibre-reinforced composite components for structures and interiors of the entire Airbus family, as well as engineering services in the context of certification and approval. Further information can be found at www.efw.eads.com