AAR Corp Parts Supply and Engineering Initiatives
Parts Supply: Used Serviceable Material
Case study: CFM56 partnership with FTAI Aviation (NYSE: FTAI)
Leading aviation
company with a portfolio
FTAI AVIATION of 350+ CFM56-5B and
-7B engines, which power
the A320 and B737
FTAI commits 40+ CFM56 engines
annually to AAR for teardown on an
exclusive basis through 2027
FTAI maintains ownership
(capital-light model for AAR)
AAR uses technical expertise to
develop tailored approach for each
engine based on condition and history
AAR
AAR
AAR receives
recovery of
investment in
teardown and repair
plus incentive-
based fee
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AAR manages USM sales and
marketing to global aviation
aftermarket
Includes FTAI for use in overhauls
of its existing engines
AAR manages engine teardown and
parts repair via network of providers,
producing pool of USM
AAR invests in teardown and repair
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