AvAir, an industry leading inventory solutions provider for the
aviation aftermarket, and Lufthansa Technik have signed an addendum
to their long-term aftermarket sales agreement. This addendum
includes a second large material takeover. The initial agreement
between the two companies was reached in 2020, in which AvAir took
over 9,000 line items from Lufthansa Technik's worldwide material
pools. The Arizona-based company has now acquired an additional 9,000
aircraft components.

This time, the agreement also includes as-removed and unserviceable
units in addition to serviceable and overhauled items. The agreement
implies that Lufthansa Technik receives a share of the proceeds from
resold components under a profit share agreement. The material is
considered overstock and a majority of the parts comes directly from
the Lufthansa Technik material pool and aircraft teardowns. The sale
significantly contributes to the optimization of inventory at
Lufthansa Technik's warehouses in Germany, delivery of the components
will commence immediately to AvAir facilities in Ireland and
Chandler, Arizona, in the United States. Despite this major
logistical endeavor for teams of Lufthansa Technik on both
continents, the complete transfer of material is expected to be
completed in the next 90 days.

"The initial agreement was signed in 2020, and it has proved to be an
overwhelming success for both parties, Lufthansa Technik's commitment
to adding to the existing agreement is proof of that," said Mike
Bianco, Chief Executive Officer of AvAir.

With this transaction, AvAir has added an even wider range of
commercial and regional aircraft material to its inventory. The
assets include parts for Boeing 737, 737NG, 747-400, 747-8, 777
Freighter, 787, Airbus A320, A330, A340, A350, A380, as well as for
regional aircraft types, and miscellaneous material.

Similar to the first agreement in 2020, the material from this deal
will come with dual or triple release certification (FAA/EASA/CAAC)
from Lufthansa Technik and with a 12-month warranty.

"Our long-standing partnership with AvAir demonstrates our commitment
to continuously improve the allocation of our rotable spare parts
inventory. It is also a sign of a recovering industry and we look
forward to further increasing efficiency in our supply chain with
similar opportunities in the future," said Christian Ehard, Director
Production Alternatives, Lufthansa Technik Component Services.

AvAir will again make the acquired inventory available for both
exchanges and outright sales from AvAir's facilities in Chandler,
Arizona, and Dublin, Ireland, which just celebrated its two year