CRISIL upgrades Air Works’ long term rating to BBB/Stable

• Rating upgrade backed by strong business growth and operational efficiencies

New Delhi.26th December 2019. Air Works – India’s biggest, most-diversified, independent MRO and aviation services provider today announced that Crisil – an S&P Global Company, has upgraded both its long-term as well as short-term ratings to BBB/Stable and Crisil A3+. The upgrade reflects Crisil’s “expectation of a significant improvement in the credit risk profile of the Company over the medium term”. These improvements are the result of a change in the Company’s strategy that now increasingly centres around India and South Asia, in line with the Government of India’s focus to foster the development of MRO in the country by virtue of being the world’s third-largest domestic aviation market. 
Over the past 18 months, Air Works has been steadily increasing its capacity utilization and has signed several long-term maintenance contracts with leading airlines and global OEMs such as Boeing & Embraer, leading to a substantial improvement in its operating performance. As part of the ongoing transformation, the Company has also successfully sold certain non-core parts of its portfolio – including Air-Livery, Argus, and parts of ATE France, utilizing the proceeds to not just achieve a massive reduction in debt (by more than 60 percent), but to also expand Air Works’ maintenance footprint to the port city of Kochi – which is expected to be operational by the end of the fiscal.
With Kochi operational, Air Works will have an enviable and widest pan-India presence amongst Indian MRO operators to 27 Indian cities with world-class Base maintenance facilities at Hosur (Tamil Nadu), Mumbai, and Kochi (Kerala), serving a portfolio of clients across business n commercial aviation as well as the Indian defense services. 
Commenting on the development, Mr. D Anand Bhaskar, MD & CEO, Air Works said, “The rating upgrade is an important milestone and it reaffirms our business strategy, including the restructuring of our balance sheet. It is also especially commendable since it recognizes Air Works’ operating efficiency, market position and growth trajectory over the course of the past 18 months, in a scenario where a lot of companies are undergoing stress”. 
As an aviation industry pioneer offering dedicated maintenance services for close to seven decades, Air Works’ engages closely with global aviation OEMs and is an approved or preferred maintenance partner for many of them. The Company’s Hosur facility is both DGCA and EASA-certified since the past 10 years and undertakes high-quality world class maintenance work for its clients that include both domestic and international airlines, aircraft lessors, business or private jets, as well as the Indian defense services.
 Reputed for its excellent workmanship and attention to details, Air Works is highly trusted by the aviation industry for its reliability and has executed and delivered several industry and country-first projects in the field of aviation maintenance including structural works, avionics as well as design. About us Air Works India, a CAR 145 organization, is India’s leading diversified aviation services provider and a trusted partner for aviation OEMs, aircraft owners, lessors, airlines, government agencies and Defence Services. 
Established in 1951, it is today, the country’s largest independent MRO provider with a pan-India presence. Air Works has contributed significantly in shaping Indian aviation and the group, via its strategic partners, subsidiaries and joint ventures, offers a host of services comprising MRO, Line maintenance, Interior & exterior finishing, Avionics upgrades and retrofits, Maintenance training (Part 147), and, Asset Management services to domestic and international clients. 
With a culture that accords paramount importance to our customers, an established infrastructure which leverages technology, proven capabilities, structured processes, and, a comprehensive portfolio of service offerings, Air Works enjoys an impeccable reputation in the industry for our outstanding workmanship, compliance with quality standards, as well as exceptional safety orientation.