AAR & Sumitomo Corp announce joint venture

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March 31, 2020: WOOD DALE, Illinois — AAR (NYSE: AIR), a leading aviation services provider to commercial airlines and governments worldwide, and Sumitomo Corporation, a top Japanese trading company, are launching a joint venture ― AAR Sumisho Aviation Services. This Chicago-area-based joint venture will distribute aircraft parts and offer aviation logistics management solutions to the Japanese defense market. Additionally, the partnership will distribute parts from OEMs based in Japan to the global aviation aftermarket.

This business initiative builds upon the parties’ successful, long-standing relationship, under which AAR has served as a stocking distributor for OEM factory-new parts to Japanese defense customers via Sumitomo Corporation since 2012.

“We look forward to partnering with AAR to serve our Japanese customers and make our services more accessible to customers around the world,” said Eiji Ishida, Sumitomo Corporation Executive Officer and GM of the Lease, Ship & Aerospace Business Division.

By combining AAR’s global network and competitive expertise in aviation supply chain and parts distribution with Sumitomo’s logistics specialization and large footprint in the Japanese market, AAR Sumisho Aviation Services will be equipped to provide quality services to our Japanese defense customers, as well as play a key role in the export of parts from Japanese OEMs.

“This new venture with Sumitomo presents a tremendous opportunity to further expand our market reach and capabilities in Japan, a highly strategic market for us,” said John Holmes, AAR President and CEO. “Both of our companies have a proven track record within the international defense industry, and we look forward to joining forces to become a leading aircraft parts distributor and provider of services to the Japanese defense market and global aviation aftermarket.”

We expect to form the joint venture following receipt of regulatory clearances.

For more information on AAR Parts Supply and Integrated Solutions, visit aarcorp.com.