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aar-lands-potential-125m-air-force-cargo-pallet-production-repair-contract

AAR Lands Potential $125M Air Force Cargo Pallet Production, Repair Contract

AAR (NYSE: AIR) has secured a potential five-year, $125M contract to produce and repair 463L cargo pallets for the U.S. Air Force.

The company said Monday its cargo pallets are made of balsa wood core materials that support strength-to-weight performance and designed for use with commercial and military aircraft platforms.

Production work will take place in Cadillac, Mich. The sole-source firm-fixed-price contract has one base year plus four option years.

Lee Krantz, senior vice president of AAR’s mobility systems business, said the company has supplied 463L pallets to U.S. military and its allies for many years.

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