© The four SMS components APRISe : AAR Performance Reporting Information System Safety policy We are proud that AAR has been recognized as the first independent Safety Assurance (SA) third-party MRO for implementing an SMS in accordance with Establishes senior management’s Evaluates the continued effectiveness requirements set forth in the SMS Voluntary Program by the Federal commitment to continually improve safety; Policy of implemented risk control strategies; Aviation Administration (FAA), the European Union Aviation Safety defines the methods, processes and supports the identification of new hazards Agency (EASA), Transport Canada Civil Aviation (TCCA) and the organizational structure needed to meet International Air Transport Association (IATA). safety goals © In 2019, we implemented and advanced APRISe software, our proprietary closed-loop system for quality and safety management SRM SA to track environmental, health and safety, all in one. Our SMS allows us to better serve our customers and the flying public by proactively Safety Risk Management (SRM) Safety promotion identifying quality and safety issues, tracking root causes and contributing factors and verifying corrective actions. This system Determines the need for, and adequacy of, Safety promotion Includes training, communication, and other encourages proactive employee reports to insure that we continue to new or revised risk controls based on the actions to create a positive safety culture deliver the highest level of safety in the aircraft we maintain. assessment of acceptable risk within all levels of the workforce © APRISe includes: • Risk assessments (damage/rework, airworthiness/ • Injury reporting maintenance processes) • Import and export compliance • Audit findings • Investigations of environmental health and safety issues • Communications • Regulatory compliance • Corrective and preventive action requests • Supplier management • Customer feedback Our APRISe© • Directives and IFAs system is implemented in our Repair and Engineering Services facilities and is expected to be implemented • Event management at our MRO AAR sites in the future. • Government communication and visits 41