Benzinga | Apr 13, 2021 08:05AM EDT

VSE Aviation Announces $1B Engine Accessories Distribution Agreement

VSE Corporation (NASDAQ:VSEC), a leading provider of aftermarket distribution and maintenance, repair and overhaul (MRO) services for land, sea and air transportation assets supporting government and commercial markets, today announced that it has entered into a 15-year distribution agreement valued at approximately $1 billion over the life of the contract with a global aircraft engine manufacturer ("OEM").

Under the terms of the agreement, VSE Aviation will be the distributor for more than 6,000 flight-critical components used in more than 100 business and general aviation (B&GA) and regional aviation engine platforms. VSE will support customers with both new and exchange components. VSE expects to service more than 5,000 U.S.-based aircraft with on-demand, flight-critical components on a 24/7 basis to support scheduled line maintenance and AOG (aircraft on-ground) events.