AAR Corporation is an aviation company headquartered in Wood Dale, Illinois. An independent aviation services provider, it has pioneered innovative maintenance solutions and supported military operations that echo beyond its origins.
What are AAR Corp.’s Foundation, History, and Significant Achievements?
Let us delve into the chapters of AAR Corp.’s foundation, history and significant achievements and see how they are doing so far.
AAR Corporation’s Foundation
Ira Allen Eichner founded AAR Corporation in 1951 with founding partner Henry Lucas. It all began when Eichner was still a student at Roosevelt University. He managed to start the business with a few hundred dollars borrowed from his fiancée. Four years later, he became Allen Aircraft Radio’s Chief Executive Officer and later assumed the position of Chairman in 1973.
AAR Corporation began as a small entrepreneurial venture with a vision to provide equipment for the rapidly growing commercial aviation sector. Eichner grew up during the Depression and was exposed to electrical parts in Chicago.
The aftermath of World War II and the Korean War resulted in abundant and used aircraft, leading to numerous airlines’ emergence. His involvement in trading surplus military radios helped him develop a connection to the aviation industry.
History of AAR Corporation
1950s
Ira Eichner started Allen Aircraft Radio to provide radios and other equipment to the new commercial aviation industry. The company became incorporated and relocated to downtown Chicago.
1960s
Equity Capital Raised with William Blair & Company
Allen Aircraft Radio secured equity capital for the first time by partnering with William Blair & Company, a financial services firm.
Edgar J. Janotta Becomes First Outside Director
As a part of the company’s growth, Edgar Janotta joined Allen Aircraft Radio as its first outside director.
FAA Repair Station Established in Elk Grove Village
To enhance the company’s capabilities, Allen Aircraft Radio established an FAA repair station dedicated to avionics and instruments in Elk Grove Village, Illinois.
International Expansion through Allen Airmotive in Amsterdam
Expanding its reach beyond the U.S., the company opened the Allen Airmotive component repair facility in Amsterdam. This move allowed Allen Aircraft Radio to serve the global aviation market.
Acquisition of Mars Aircraft Radio Repair Shop
As part of its growth strategy, Allen Aircraft Radio acquired the Mars Aircraft Radio component repair shop in New York. The acquisition, along with two others in the early ’70s, and the Amsterdam shop, later formed the AAR Aircraft Component Services.
Name Change to AAR Corp
Reflecting its evolution and expanded scope, the company underwent a name change and became known as AAR Corp. This new name represented its broader focus on aviation-related services and solutions.
1970s
AAR Corp acquired its first aircraft maintenance business at Will Rogers Airport in Oklahoma City.
1980s
Stock Exchange Listing
AAR Corp was listed on the New York Stock Exchange under the AIR ticker.
Acquisition of AAR Mobility
AAR Corp acquired AAR Mobility, which provides rapid deployment equipment such as pallets and containers.
Expansion into Engine Business
David Storch led the company’s expansion into the engine solutions business, later named AAR’s Aircraft Turbine Center.
Office Opening in Singapore
AAR Corp. established an office in Singapore to serve commercial and government customers in the Asia-Pacific region better.
Entry into Military Aircraft Component Repair
AAR Corp. entered the military aircraft component repair business to focus on high-technology F-15 and F-16 aircraft. This expansion included serving customers such as the Dutch Air Force, the U.S. Air Force, and NATO.
Acquisition of Landing Gear Overhaul Facility
AAR Corp. added to its repair capabilities by acquiring a landing gear overhaul and exchanging facility in Miami.
1990s
AAR Mobility Systems in Operation Desert Storm
During Operation Desert Storm, AAR Mobility Systems played a role in supplying rapid deployment equipment to allied forces.
Listing on the Chicago Stock Exchange
AAR Mobility Systems was listed on the Chicago Stock Exchange
David P. Storch as the Second Chief Executive Officer
David P. Storch became the second CEO in the company’s history
Relocation to the New Headquarters
AAR Mobility Systems moved its corporate headquarters and major business units to a new facility spanning 250,000 square feet in Wood Dale, Illinois.
Acquisition and Rebranding of ATR International
AAR Corp. expanded its operations by acquiring ATR International, a manufacturer specializing in specialty composite structures. ATR International was subsequently renamed AAR Composites.
Entry Into Parts Distribution Business
To broaden its services, AAR Corp. acquired two companies to venture into the parts distribution business. These acquisitions allowed AAR Corp. to incorporate some OEM products into its existing aftermarket network.
2000s
Transition to Military Contracts and Supply Chain Management
In response to a decline in commercial aviation demand and a surge in military aviation activity, AAR Corp. shifted its focus toward securing the U.S. military contracts and its allies. The contracts involved supply chain management for the U.S. Navy helicopters, U.K. AWACs, the Kc-10, and providing support missions over Afghanistan.
AAR Mobility Systems’ Growth in the Middle East
AAR Mobility Systems experienced substantial growth as its products helped facilitate troop movements in the Middle East following the events on September 11.
Lease of Indianapolis Maintenance Center
AAR Corp. secured a lease for the Indianapolis Maintenance Center, which boasted ten hangars and was previously operated by United Airlines. This facility was used for extensive maintenance on the fleets of the United States, Southwest, Delta, and other commercial airlines.
Establishment of Landing Gear Repair Facility in Kuala Lumpur
AAR expanded its operations by establishing a landing gear repair facility in Kuala Lumpur, Malaysia. This enhanced the company’s capabilities in providing landing gear services in the region.
Acquisition and Rebranding of Brown International
Through the acquisition of defense contractor Brown International, AAR Corp. strengthened its communications integration capabilities. The acquired company was subsequently renamed AAR Integrated Technologies.
Acquisition of MRO Facility at Miami International Airport
AAR Corp. acquired a Maintenance, Repair, and Overhaul (MRO) facility at Miami International Airport. This facility served as a point for two continents and effectively expanded the company.
2010s
Acquisition of Aviation Worldwide Services/Presidential Airways
AAR Corp. expanded its capabilities in expeditionary airline services by acquiring Aviation Worldwide Services/Presidential Airways
Growth in Component Repair and Warranty Management
Under John Holmes’ leadership, AAR Corp. acquired AIrinmar, an international provider of component repair and warranty management services. This acquisition fueled the growth of AAR’s component repair and flight-hour support business.
Strengthening of Cargo Systems and Manufacturing
AAR Corp. strengthened its global presence in the cargo systems market by acquiring Telair International, a cargo handling systems manufacturer, and Nordisk Aviation, a container manufacturer.
Establishment of Aircraft Maintenance Facility in Duluth, Minnesota
AAR Corp. opened a state-of-the-art aircraft maintenance facility spanning 188,000 square feet in Duluth, Minnesota.
Recognition in Airlift Services and the U.S. Navy Operations
AAR Corp.’s Airlift business was recognized as a top contractor in Afghanistan and started operations for vertical replenishments with the U.S. Navy.
Expansion of MRO Network and Partnership with AMMROC
With over 5 million man-hours worked, AAR Corp.’s MRO network became the largest in the U.S. and third largest worldwide. Also, the company was selected by the Advanced Military Maintenance Repair & Overhaul Center (AMMROC) to design and integrate the military MRO facility in the UAE.
Supply Chain Expansion and Top Airframe MRO Provider Recognition
AAR Corp. expanded its supply chain services, acquired Sabena Technics in Brussels, and established a new warehouse hub to serve EMEA. This expansion led to a surge in flight-hour part and repair contracts outside the U.S.
Opening of the Aircraft Maintenance Facility in Rockford, Illinois
A new 238,000-square-foot aircraft maintenance facility featuring two 10-story hangar bays was opened by AAR Corp in Rockford, Illinois.
Aircraft Paint Stripping and Washing Business Acquisition
AAR Corp. acquired a business that specializes in aircraft paint stripping and washing at Miami International Airport.
Celebration of 50 Years of Component Repair in Amsterdam
AAR Corp celebrated its 50-year milestone of providing component repair services in Amsterdam.
Acquisition of MRO Facilities in Canada and Shanghai Parts Warehouse
AAR Corp expanded its presence by acquiring maintenance, repair, and overhaul facilities from Premier Aviation in Canada, along with establishing a parts warehouse in Shanghai.
Parts Warehouse at Dubai World Central Airport
To bridge the gap between essential aircraft components and the growing number of commercial and regional carriers in the Middle East, AAR Corp opened a parts warehouse at Dubai World Central Airport.
Transition Phase of Worldwide Aviation Support Services Contract
AAR Corp. received its first work order from the U.S. Department of State and embarked on the Worldwide Aviation Support Services contract.
Joint Venture with Indamer for MRO Facility in India
AAR Corp formed a joint venture with Indamer to establish a new MRO facility in India.
Leadership Change and EAGLE Career Pathway Program
John Holmes became the third CEO of AAR Corp followed by the launch of the EAGLE Career Pathway Program. This program strengthened the aviation maintenance talent pipeline through partnerships with educational institutions.
Utilization of Drone Technology for MRO Inspections
AAR Corp introduced drones for aircraft inspections in its MRO operations.
2020s
Setting the Standard for Safety
AAR Corp became the first independent third-party MRO to receive approval from the FAA for meeting Safety Management System requirements.
Inaugural Environmental, Social, and Governance Report Launch
AAR Corp released its first ESG initiatives in environmental sustainability, social responsibility, and good governance practices.
Leadership Change
John Holmes was named the Chairman, President, and CEO of the company, bringing new leadership and strategic direction to the organization.
Acquisition of Trax
AAR Corp acquired Trax, a provider of aircraft MRO and fleet management software. This strengthened the company’s capabilities in maintenance and fleet management software solutions.
AAR Corp.’s Significant Achievements
AAR Corp has obtained numerous awards this year and in the past, but here are the most notable ones:
- Newsweek’s America’s Greatest Workplaces 2023
AAR Corp. received an award in 2023 for being one of the greatest workplaces in North America. Newsweek and Plant-A Insights Group gave the award based on feedback from over 389,000 employee reviews. This shows AAR’s commitment to promoting, developing, and supporting its employees.
- Newsweek’s America’s Greatest Workplaces for Diversity 2023
AAR was named one of Newsweek’s America’s Greatest Workplaces for Diversity. This recognition was based on a list of 1,000 companies that value diversity, with over 350,000 received. The evaluation process involved analyzing public data, interviewing HR professionals, and gathering anonymous online surveys from diverse employees.
- 2023 Military Friendly Employer and Spouse Employer
AAR Corp received the 2023 Military Friendly Employer Gold Award and the 2023 Military Friendly Spouse Employer Award. AAR Corp understands that military service affects the whole family, so it offers initiatives and opportunities to support military families through investment programs. These serve the company’s military members, spouses, and veterans.
- 2021 Secretary of Defense Performance-Based Logistics (PBL) Award
AAR Corp was honored with the 2021 Secretary of Defense Performance-Based Logistics (PBL) Award for its Landing Gear PBL (LGPBL) Program. This award acknowledged the collaboration between government and industry in developing innovative sustainment solutions.
The LGPBL Program supported and maintained C-130, E-3, and KC-135 aircraft landing gear systems. The AAR Corp-USAF partnership also implemented a PBL solution by employing commercial best practices to optimize the aircraft’s mission readiness.
(All images from AAR)
AAR Corp.’s Executive and Leadership Team
- John M. Holmes, Chairman, President, and CEO,
- Sean Gillen, Senior Vice President and Chief Financial Officer
- Jessica Garascia, Senior Vice President, General Counsel, Chief Administrative Officer, and Secretary
- Christopher A. Jessup, Senior Vice President, Chief Commercial Officer
- Rahul Ghai, Senior Vice President and Chief Digital and Technology Officer
- Eric S. Pachapa, Vice President, Controller and Chief Accounting Officer
- Lori A. Knudson, Vice President, Chief Ethics and Compliance Officer
- John B. Cooper, Vice President, Global Government and Defense (former Deputy Chief of Staff for Logistics, Engineering, and Force Protection)
Know more about AAR Corporation’s contract awards here.