EXHIBIT 21.1

                          SUBSIDIARIES OF AAR CORP.(1)



                                                                                                      STATE OF
                                       NAME OF CORPORATION                                          INCORPORATION
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AAR Allen Airmotive, Inc.........................................................................        Illinois
AAR Aviation Services, Inc.(2)...................................................................        New York
AAR Aviation Trading, Inc.(3)....................................................................        Illinois
AAR Financial Services Corp......................................................................        Illinois
AAR Hardware Corp.(4)............................................................................        Illinois
AAR Manufacturing, Inc.(5).......................................................................        Illinois
AAR Oklahoma, Inc.(6)............................................................................        Oklahoma
AAR PowerBoss, Inc.(7)...........................................................................        Illinois


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(1)     Subsidiaries  required  to be  listed  pursuant to  Regulation  S-K Item
    601(b)(21).

(2)   Also does  business under the name of  AAR Engine Component Services,  AAR
    Landing  Gear Center,  AAR Technical  Service Center,  AAR Technical Service
    Center -- Midwest and Mars Aircraft Radio.

(3)   Also does business under the names AAR Aircraft Turbine Center, AAR  Allen
    Aircraft, AAR Defense Systems and AAR Expendables.

(4)   Also does business under the name AAR Hardware.

(5)    Also does business under  the names AAR Advanced Structures, AAR Cadillac
    Manufacturing,  AAR  Handling  Systems,  AAR  Skydyne  and  Aeronetics.  AAR
    Manufacturing, Inc. was formerly known as AAR Brooks & Perkins Corp.

(6)    Also does business under the names Warsaw Aircraft Parts and AAR Southern
    Star.

(7)   Also does business under the name AAR PowerBoss.