Stumbled across this Adobe Cookbook post that explains how to add Undo/Redo functionality to your AIR Application! Seems pretty easy!
Solution
Every time the document is changed, we save the previous state on a list. To undo, we take the data at the current position in the list, and use it to restore the document. We also need to save the document state before we restore it. This enables us to redo. (Finish the article here, includes source)
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