AAR Mobility Systems secures $85 million defense contract

Published 08/07/2025, 22:20
© Reuters.

Investing.com -- AAR (NYSE:AIR) Mobility Systems has been awarded an $85 million contract from the U.S. Department of Defense for specialized shipping and storage containers, shelters, and accessories.

The firm-fixed-price contract includes economic-price-adjustment provisions and is structured as an indefinite-delivery/indefinite-quantity requirements agreement, according to a DoD announcement.

The Cadillac, Michigan-based company secured the deal through a sole-source acquisition, justified under 10 U.S. Code 3204 (a)(1) and Federal Acquisition Regulation 6.302-1.

The contract features a one-year base period with four one-year option periods. The initial ordering period will end on July 7, 2026.

Multiple military branches will utilize the equipment, including the Army, Navy, Air Force, and Marine Corps, along with federal civilian agencies. The contract will be funded through fiscal 2025 and 2026 defense working capital funds.

The Defense Logistics Agency Troop Support in Philadelphia, Pennsylvania, is serving as the contracting activity for the agreement, designated as SPE8ED-25-D-0003.

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