Aviall, Inc. is a leading provider of aftermarket supply-chain management services for the aviation and marine industries.

As the world’s largest independent provider of new aviation parts and related aftermarket services, Aviall markets and distributes products for more than 180 manufacturers and distributes approximately 90,000 individual line items. With a market share four times that of its nearest competitor, Aviall has used its advantage in scale and information technology capabilities to win several long-term distribution contracts, including an exclusive 10-year aftermarket service agreement for the Rolls-Royce T56/501-D series engine, the standard engine for the C-130 Hercules transport plane and other military aircraft.

In December 2001, Carlyle signed an agreement to lead a $135 million investment in Aviall, investing $45 million, in support of Aviall’s acquisition of the T56/501-D engine contract. Obtaining this contract was a key win for Aviall CEO Paul Fulchino, who has pursued a strategy focused on establishing substantial long-term relationships with original equipment manufacturers capable of providing Aviall with substantial operating leverage to its existing business base. “The Rolls-Royce deal will further diversify Aviall’s revenue mix,” says Carlyle Managing Director Pete Clare. “With more than 80 percent of revenue derived from the military and general aviation markets, the Company is positioned to deliver strong earnings growth despite the cyclical ups and downs of the commercial aerospace cycle.”