AvAir, the Chandler, Arizona, provider of aftermarket aviation inventory and component support, has signed a long-term aircraft asset management agreement with XAero, a Chinese aircraft lifecycle management company in the Xiamen Airlease group, that starts with the teardown of three US-based commercial aircraft. The first aircraft include Airbus A320 family and Boeing 737NG assets, and AvAir will sell the harvested parts through its global sales channels.

In a press release dated October 28, 2026, AvAir described the agreement as the first phase of an expected wider relationship, intended to maximize aircraft residual value and increase the supply of used serviceable material (USM) to operators worldwide. On November 3, 2026, AvAir also announced $170 million in new revolving credit facilities, which it said it will use in part for inventory investments and strategic acquisitions.

What AvAir will do with the aircraft

Under the agreement, AvAir will handle inventory monetization, repair strategy, global sales and distribution of the material harvested from the three initial teardowns. The program is meant to supply airlines, maintenance, repair and overhaul (MRO) providers, leasing companies and aviation suppliers with serviceable rotable and expendable inventory.

The release does not give the split between A320 family and 737NG aircraft, the aircraft’s ages, where in the United States the teardowns will take place or any financial terms. It says the inventory will be available to operators and maintenance providers through AvAir’s global sales channels once the aircraft have gone through teardown and material recovery.

Brandon Wesson, President of AvAir, called the partnership “another important step in AvAir’s continued expansion” as a global asset management and aftermarket solutions provider. He said:

“The aviation industry continues to demand reliable sources of quality USM, and this agreement further strengthens our ability to deliver inventory solutions to customers around the world.”

Who XAero is

AvAir describes XAero as one of China’s leading aviation asset disposal and aircraft lifecycle management companies. XAero provides engine leasing, aircraft and engine teardown, recycling, asset disposal, engine management and parts distribution in Asia and other international markets. According to the release, it is part of the Xiamen Airlease group and has supported the management and disposition of more than 100 aircraft worldwide.

Paul Nation, XAero’s Managing Director Overseas Business, said the company is committed to growing its overseas presence through its new XAero Singapore and XAero USA entities and by working closely with local and global supply chain partners. He also pointed to AvAir’s experience in managing consignment stock and repairs, and to its North American and global salesforce.

Wesson said AvAir views the agreement as “the beginning of a broader long-term strategic relationship between our organizations.” He added that the companies will continue to evaluate additional aircraft and asset management opportunities together. The release does not say how many aircraft later phases could cover.

How the deal fits AvAir’s expansion in 2026

AvAir was founded in 2000 and is headquartered in Chandler, Arizona. It offers airlines, original equipment manufacturers (OEMs) and MRO providers ways to buy, sell, exchange, loan, lease and consign aircraft components. In July 2026 the company said it held more than 26 million in-stock components, and in June 2025 it said it served more than 3,100 customers in 127 countries, with offices in Chandler and Dublin, Ireland.

On July 15, 2026, AvAir acquired Full Stop Technics, a Milwaukee, Wisconsin, wheel and brake MRO company with FAA and EASA certification. In that announcement, Wesson pointed to AvAir’s recent purchase of more than 1,600 wheels and brakes from Lufthansa Technik and said that pairing AvAir’s inventory with certified repair support creates a faster, more integrated solution.

The November 3 credit facilities came from six lenders, including HSBC Bank USA and Crédit Agricole Corporate and Investment Bank. AvAir said it will use them for general corporate purposes, working capital, inventory investments, strategic acquisitions and other growth initiatives. Chief Financial Officer Bob Knox said the partnership with the banks lets AvAir act quickly on strategic opportunities.

Other aftermarket firms are also buying teardown aircraft

The XAero agreement is one of several recent moves by aftermarket companies to secure aircraft for parts. On October 13, 2026, GA Telesis said it had acquired three more A320neo airframes for used serviceable material, with two more expected before the end of 2026. GA Telesis linked demand for lower-cost serviceable parts to supply chain constraints, longer maintenance turnaround times and a growing global A320neo fleet.

On the 737NG side, AerFin said on November 4, 2026, that it had agreed to buy 44 Boeing 737NG aircraft from Qantas, together with their 88 CFM56-7B engines, with the aircraft transferring over the next seven years. AerFin, which said in the same release that demand for high-quality used serviceable material remains strong, now describes itself as a wholly owned subsidiary of ORIX Aviation, following ORIX Aviation’s acquisition of AerFin. ORIX Aviation said in August 2026 that the purchase marked its entry into the aviation aftermarket business.

In its first phase, the AvAir and XAero program covers three aircraft. The release presents it as the start of a wider relationship that combines XAero’s aircraft asset base with AvAir’s global distribution network, which the partners expect to speed material flow into the aftermarket and raise returns on retired aircraft.

Signia Aerospace, a portfolio company of Arcline Investment Management, has entered into a definitive agreement to acquire Heads Up Technologies, an Addison, Texas, supplier of aircraft cabin management, lighting, and audio and video systems, from JLL Partners. The deal brings cabin electronics into a Signia portfolio whose brands have centered on propellers, wheels and brakes, thermal systems and rescue equipment.

Signia announced the agreement in a press release dated November 4, 2026. The release did not disclose the purchase price or an expected closing date. Harris Williams is financial advisor to Signia, and Lincoln International and Mesirow are financial advisors to Heads Up.

What Heads Up brings to Signia

According to the release, Heads Up provides proprietary aircraft cabin systems and components, including cabin management systems, audio and video distribution, cabin lighting, electronic controls, displays and passenger interfaces, for aerospace OEMs and aircraft operators in business and commercial aviation. Signia said the products are designed into aircraft cabin architectures and that Heads Up holds long-standing positions on major aircraft platforms, with aftermarket demand for replacement parts, upgrades and cabin modernization. The release does not name the platforms.

JLL Partners describes Heads Up as a designer and maker of proprietary cockpit, cabin and aircraft systems and components, “primarily for business jet applications.” Its product categories include interior and exterior lighting systems, cabin management systems and tactile passenger hardware components.

On its website, Heads Up lists six facilities in the US, UK and Germany, including sites operating under the ALTO, STG and Innovative Advantage names. Its Texas operations list an FAA Production Approval Holder (PAH) approval and FAA and EASA Part 145 repair station approvals, its Cwmbran, UK, site a Civil Aviation Authority Production Organisation Approval (POA), and its Hamburg, Germany, office an EASA Design Organisation Approval (DOA). The company says it launched in June 2024 what it describes as “the first sustainable emergency floor path marking product,” called saf-Tglo eco E1.

Norman Jordan, Chief Executive Officer of Signia, said “Heads Up Technologies is an outstanding addition to Signia Aerospace” and that the deal strengthens Signia’s position in highly engineered, proprietary aerospace systems, citing Heads Up’s technology, customer relationships and platform positions. He said it fits Signia’s strategy of investing in businesses whose products are essential to aircraft operation.

Andrew Wall, President of Signia’s Aircraft Systems business, said Heads Up has earned the trust of leading aircraft manufacturers and operators through decades of engineering expertise and product reliability. He described its integrated cabin management and electronics capabilities, along with its lighting and aftermarket portfolio, as a platform for growth.

How Signia has grown since 2022

Arcline formed Signia on July 19, 2022, together with the acquisition of International Mezzo Technologies, a maker of microtube heat exchangers. At launch, Signia had two business units, Thermal Management and Mission Equipment, and Arcline appointed Norman Jordan, a former CEO of Safran Cabin with more than 30 years of aerospace experience, as chief executive.

On July 9, 2024, Signia agreed to buy the Goodrich Hoist & Winch business from Collins Aerospace, an RTX Corporation business, adding rescue hoists and cargo winches to its Mission Systems segment. It acquired Precise Flight of Bend, Oregon, on August 11, 2025, as covered in Signia’s purchase of Precise Flight, and on April 14, 2026, it bought Aerox Aerospace Group, an aviation oxygen systems supplier in Bonita Springs, Florida, in a deal it presented as expanding its aircraft systems capability.

Signia’s brand list now includes ACE Thermal Systems, Cleveland Wheel & Brake Systems, Hartzell Aviation, Hartzell Propeller, International Water Guard, Lifesaving Systems, Meeker Aviation, Mezzo Technologies, Onboard Systems, Onboard Hoist & Winch and Precise Flight. Signia’s own descriptions of those brands cover thermal management, wheels and brakes, welding and engine technology, propellers, onboard water systems, rescue and cargo handling equipment, external payload mounts and safety systems. Heads Up adds cabin management, lighting and passenger-experience technology to that mix.

Arcline’s growing scale

The size Arcline reports in its boilerplate has grown across Signia’s deal announcements. The firm described $8.9 billion in cumulative capital commitments in July 2024 and $14 billion in cumulative capital commitments in August 2025. It cited over $20 billion in assets under management in April 2026 and over $30 billion in assets under management in the Heads Up release. The two later figures use a different measure from the two earlier ones.

Arcline says it builds “Industrial Compounders,” which it describes as market-leading, mission-critical industrial platforms designed to compound earnings over decades. Arcline-backed Arxis began trading on Nasdaq on April 16, 2026, which Arcline describes as the first of its Industrial Compounders to go public, following the Arxis initial public offering.

Signia did not say when it expects the Heads Up transaction to close.

BAE Systems has completed its 1,000th US Air Force KC-135 Stratotanker repair at its facility in Endicott, New York, work that supports a tanker fleet whose last aircraft was delivered to the Air Force in 1965 and which, according to an Air Force fact sheet, Air Mobility Command manages at 396 aircraft.

The company announced the milestone in a press release dated November 6, 2026, describing it as part of a role in keeping the Air Force’s primary refueling fleet flying and operationally ready for more than 40 years. BAE, which says it is the sole provider of the tanker’s safety-critical Fuel Management System (FMS), did not say when the 1,000th repair was completed, over what period the repairs were made or which components they covered.

What BAE maintains on the KC-135

According to the release, BAE employees maintain the KC-135 Fuel Management Advisory Computer (FMAC) and the Integrated Fuel Management Panel (IFMP). The company says it provides maintenance of legacy hardware to prevent obsolescence, alongside modern upgrades intended to help the aircraft operate in contested airspace.

“Reaching this milestone for the KC-135 is a testament to our team’s technical expertise,” said Corson Witham, program manager for sustainment at BAE Systems, who also credited the strength of the system’s design. “By maintaining the reliability of these critical flight systems, we support the U.S. Air Force’s operational readiness goals.”

An FMS upgrade on offer

BAE said it has developed an FMS upgrade built around line-replaceable units (LRUs) that exceed future mean time between failure requirements. Its open architecture complies with the US Air Force’s Aviation Maintenance System Global Requirements Assurance framework, which the company said allows more flexibility for future upgrades and repairs.

The release does not say whether the Air Force has ordered the upgrade, how many aircraft it would cover or what it would cost. It also gives no contract name or value for the repair work itself.

BAE said the KC-135 work draws on 40 years of experience delivering safety-critical aeronautic systems, including fly-by-wire controls, fuel management controls, electronic engine controls, power management systems and other mission-critical avionics. Endicott is also the site of BAE’s new aircraft electrification facility, which AirPro News covered when it opened.

A tanker fleet delivered between 1957 and 1965

The KC-135 has served as the Air Force’s main aerial refueling aircraft for more than 60 years, according to the Air Force fact sheet published by MacDill Air Force Base. It refuels Air Force, Navy, Marine Corps and allied aircraft and can also carry patients on aeromedical evacuation missions. The Air Force bought the first 29 aircraft of a planned 732-aircraft fleet in 1954. The first aircraft flew in August 1956, the first production Stratotanker was delivered to Castle Air Force Base, California, in June 1957, and the last KC-135 was delivered in 1965.

More than 417 of the original KC-135As were re-engined with CFM International CFM-56 turbofans as the KC-135R or KC-135T. The fact sheet says the re-engined tankers offload 50% more fuel, are 25% more fuel efficient and cost 25% less to operate. Each CFM-56 produces 21,634 pounds of thrust, and the aircraft’s prime contractor is The Boeing Company. The last KC-135E retired in 2009.

Air Mobility Command manages 396 Stratotankers, according to the fact sheet, which lists 153 with the active-duty force, 171 with the Air National Guard and 72 with the Air Force Reserve. The tanker can transfer up to 200,000 pounds of fuel, nearly all of it through the flying boom operated from the rear of the aircraft, and some aircraft carry wingtip multipoint pods that can refuel two receivers at once. A drogue attached to the boom lets the tanker refuel probe-equipped aircraft. The basic crew is three, a pilot, a co-pilot and a boom operator, with a navigator added on some missions.

AirPro News has also reported on KC-135 fleet inspections after falsified certifications. BAE’s release does not address the fleet’s retirement timeline or say how long the company expects to support the FMS.