U.S. Army Selects AAR For CH-47 Component Repair Services

AAR (NYSE: AIR) announced today that it has been awarded a five-year contract by the U.S. Army for the repair and overhaul of a key control component on the CH-47 (Chinook) helicopter, valued at $25 million. The work will be performed by AAR Aircraft Component Services - New York and is scheduled to begin in March 2008.

“AAR is very proud to support the U.S. Army and the CH-47 Chinook Helicopter program,” said Timothy J. Romenesko, AAR’s President and Chief Operating Officer. “The technical skill of our workforce and quality of work at our Garden City, New York facility will contribute to the efficiency of the Chinook program while playing an important role in the maintenance and sustainability of the CH-47 platform.”

This is the second helicopter component repair & overhaul services contract awarded to AAR Aircraft Component Services - New York by the US Army in the last six months. In September 2007, the US Army awarded AAR a five-year contract to provide repair and overhaul services for helicopter engine components.

AAR has played a key role in supporting the CH-47 for more than 25 years. Through a powerful combination of its parts supply, component repair, cargo systems and other manufacturing businesses, AAR is increasing its capabilities in support of a wider range of rotorcraft manufacturing, modernization and sustainment programs.

The CH-47 Chinook is a twin engine, tandem rotor helicopter used to transport ground forces, supplies, ammunition and other battle-critical cargo in support of worldwide defense, contingency and humanitarian relief operations.