The COVID-19 pandemic impacted the commercial aviation industry and workforce in ways never seen before. At AAR, one of our core values is “Find a Way. Every Day” and that was never more important than in Fiscal Year (FY) 2021. Our team of dedicated employees worked tirelessly to deliver outstanding service to our customers and strong performance for our shareholders. AAR entered the pandemic from a position of strength and we are emerging even stronger. During the year we focused on cash generation, margin improvement and business optimization. We exited non-core and underperforming activities and invested in processes that will drive increased efficiency going forward. These actions resulted in sequential quarterly progress throughout the year and we expect continued improvements as the market recovers. In addition to the progress we made in reshaping the business, we also increased our ESG efforts. Highlights and achievements are included on pages 10 and 11. More in-depth details of our ESG efforts can be found on our homepage https://www.aarcorp.com/about/ environmental-social-governance-esg/. AAR’s highlights and developments from our FY21 follow below. Financial results FY21 consolidated sales were $1.7 billion, a decrease of 20% from FY20 due to the impact of COVID. Our full FY21 income from continuing operations was $46 million, or $1.30 per diluted share. Our adjusted diluted earnings per share from continuing operations was $1.31 in the current year, compared to $2.15 last year, reflecting the impact of COVID on our commercial business. As we continue to invest capital to grow organically and support our customers, our leadership team focuses on revenue growth, operational income, cash conversion and ROIC. Operational highlights Signs of market recovery in the commercial space are encouraging. We are confident that our differentiated low-cost solutions will see greater demand as airline customers continue to increase flying activity. AAR’s entrepreneurial nature sets us apart — finding new market opportunities continues to be our focus. As one of the largest providers of used serviceable material and distributor of new parts in the world, we have also focused on expanding material supply for our customers. In FY21, AAR ́s OEM Solutions team expanded our longstanding partnership with Unison Industries with an 11-year, $1 billion extension. AAR serves as a value-add salesforce multiplier for Unison’s aftermarket OEM supply chain. Our Parts Supply team signed with Fortress Transportation and Infrastructure Investors an exclusive seven-year partnership to service the growing demand for used serviceable material (USM). Dear fellow shareholders, Strength for the future AAR 2021 ANNUAL REPORT | 1 AAR’s strengths — partnerships, performance, industry knowledge and a global team of professionals — are a result of our continued commitment to Doing It Right ® . They set us apart and position us to meet the rising opportunities that lie ahead. John M. Holmes President and Chief Executive Officer