WOOD DALE, Illinois, June 30, 2015 -- 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.
