Thu, Nov 14, 2013
Military Sealift Command Exercises Second One-Year Option
The Military Sealift Command (MSC) has exercised a second one-year renewal option for AAR's Airlift division to ferry critical supplies to U.S. Navy ships in the Western Pacific and Indian Oceans, and the Arabian Gulf. Military Sealift Command is the leading provider of ocean transportation for the Navy and the U.S. Department of Defense, operating approximately 110 ships daily around the globe. Under the agreement, AAR will support MSC's vertical replenishment program (VERTREP), delivering supplies to support combatant ships at sea.
The contract renewal is valued at approximately $15 million, and includes the use of four helicopters, personnel, and operational and technical support services.
"AAR is proud to support national security by providing critical maritime solutions to Navy ships far from home," said Randy J. Martinez, President and CEO, AAR Airlift Group. "This renewal of a second one-year option reaffirms AAR's position as a preferred provider of airlift and logistics services to government and defense customers."
The original contract, awarded to AAR in 2011, included a one-year initial base period, three one-year options and an additional 11-month option for an estimated total value of $77 million.
AAR provides expeditionary airlift services in support of contingency operations worldwide. The Company currently operates a fleet of more than 50 fixed-wing and rotary-wing aircraft to transport personnel, supplies, and mail for the U.S. Department of Defense in Afghanistan and the Western Pacific.
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