AAR Corp Parts Supply and Engineering Initiatives slide image

AAR Corp Parts Supply and Engineering Initiatives

Aircraft deliveries and retirements Depressed deliveries have limited retirements and aged the in-service fleet Qty of Aircraft Delivered per Year Qty of Aircraft Actuals 2018 - 2022 Forecast 2023-2025 Retired per Year Retirements % of Active Fleet 1,800 1,600 1,400 1,200 1,000 800 600 400 200 0 ull 500 400 900 800 700 600 3.5 Retirements as % of In-Service Fleet 3.0 2.5 2.0 40 1.5 300 1.0 200 0.5 100 0 0.0 2018 2019 2020 2021 2022 2023 2024 2025 2018 2019 2020 2021 2022 2023 Jan-Early July Fewer deliveries have extended the existing fleet, which is expected to continue to drive higher aftermarket parts and maintenance requirements Reduction in retirements has limited the availability of USM supply; as new deliveries ramp and older aircraft are retired, USM supply expected to return Source: Aviation Week Fleet Discovery Early July 2023. Naveo analysis Source: Teal Group February 2023. Naveo analysis AAR © 2023 AAR CORP. All rights reserved worldwide. 21
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