Dubai Aerospace Enterprise completes acquisition of Standard Aero and Landmark Aviation

DAE will merge the companies as a business enterprise within its DAE Engineering subsidiary. The transaction, valued at US$1.9 billion, brings together two of the world's leading maintenance, repair and overhaul (MRO) providers.

"The closing of this acquisition is an important step forward in the business and investment relationships between Dubai, the United Arab Emirates and the United States," said HH Sheikh Ahmed bin Saeed Al Maktoum, Chairman of DAE. "DAE is making significant strides in the aerospace sector and we appreciate all that went into making this transaction a success."

"This is a significant step forward in our strategy which reinforces the progress that DAE has achieved so far, and for sure it will not be the last one" said HE Dr. Omar Bin Sulaiman, Managing Director of DAE.

"DAE is quickly establishing itself as a significant player in the global aerospace industry," said Bob Johnson, Chief Executive Officer, DAE. "The acquisition of Standard Aero and Landmark Aviation provides a critical platform for DAE to take advantage of growth opportunities in the MRO business around the world."

Based in Dubai, one of the fastest growing cities in the world, DAE is situated at the heart of one of the world's most dynamic regions, and is ideally positioned to shape the trends that will decide the future of the aerospace industry. DAE is developing an integrated aerospace cluster that will eventually be based at Dubai World Central - the new 140 square kilometre airport and logistics city being constructed at Jebel Ali, Dubai, in the United Arab Emirates. DAE has formed six core divisions spanning research and development, manufacturing, engineering, operations, maintenance, repair and overhaul, aircraft leasing and aerospace services.

"We are extremely excited to have Standard Aero and Landmark Aviation as a cornerstone of DAE's Engineering division," said Robert Mionis, Chief Executive Officer of DAE Engineering. "These companies have established themselves as two of the most extensive and experienced aviation services providers in the world and the completion of this acquisition is an important step in our strategy to be a global force in this sector."

The combination of Standard Aero and Landmark Aviation will create a global aviation services network of 12 primary facilities in the United States, Canada, Europe, Singapore and Australia with an additional 14 regionally located service and support locations. Standard Aero provides gas turbine engine and accessory MRO and engineering services to regional airlines, military, business aviation, helicopters and industrial operators located in over 75 countries. Landmark Aviation, with four major maintenance, repair and overhaul operations in the U.S., offers nose-to-tail services that include engine, airframe, avionics, interior refurbishments and paint for mid- to heavy- aircraft. Landmark Aviation also operates Associated Air Center, a completion center that produces luxury aircraft interiors for transport size aircraft manufactured by Boeing and Airbus.

DAE also announced the appointment of Paul Soubry Jr. as President and Chief Executive Officer of the combined companies. Soubry, who will report directly to Mionis, has more than 23 years experience in the technical and aerospace environment, most recently serving as President and Chief Operating Officer of Standard Aero.

"Paul is one of the most experienced and respected people in the MRO business and he is the right person to help spearhead the integration of Standard and Landmark and lead the company forward," added Mionis. "He is an important addition to our management team as DAE Engineering leverages its expertise to take advantage of a very attractive marketplace."

Associated Air Center will report separately into DAE Engineering, where the focus will be on operational excellence and strategically growing the business.

As part of the acquisition, DAE will divest the Landmark Aviation Airport Services business, which includes 33 fixed base operations, an Aircraft Sales, Charter & Management business, and MRO operations associated with the FBO sites. The operations of Landmark Aviation Airport Services and the sale process will be overseen by an independent board of trustees made up of former Secretary of

Defense James Schlesinger, former Senator Bob Kerrey and former Pentagon Comptroller Dov Zakheim. The sale process will be conducted by Merrill Lynch.