C&PS Aftermarket Programs Information Letter No. 10

Transcription

1 Honeywell Aerospace -Air Transport & Regional -Business & General Aviation -Defense & Space Issue Date: 1/20/2014 Effective Date: 1/20/ Until Further Notice C&PS Aftermarket Programs Information Letter No. 10 ATTENTION: SUBJECT: All Honeywell TFE731, HTF, CFE738, ATF3, TPE331, ALF502/LF507, LTS D2, Auxiliary Power Unit (APU), and Honeywell Repair Facilities. Also applies to Honeywell APU Operators and Authorized Service Centers Rental Engine and APU Program Requirements; Rental Rates A. ENGINE RENTAL POLICY & PRICING GENERAL ENGINE RENTAL POLICY 1. Operator / Service Center Notes: Business & General Aviation Operator Notes: Rental assets are made available to Business and General Aviation (BGA) Operators through the Honeywell authorized Service Center channel partners. In the interest of asset liability, safety, and approved capabilities, rental requests for BGA Operators will require utilization of a Honeywell authorized Service Center. Business & General Aviation Service Center Notes: Rental assets are made available to Honeywell s Service Center channel partners to support Operator needs and their Service Center selection. Honeywell owns final allocation of all rental assets. As such, rental availability should, in no way, be used as a service differentiator. A purchase order is required from the Service Center installing the rental engine or APU. Air Transport & Regional Operator Notes: Rental assets are made available to air transport and regional (ATR) Operators with the understanding that Operators are properly qualified, under their operating certificate, to remove and install Honeywell equipment. Honeywell will require all documentation prior to shipment. 2. Requirements/Obligations: As a condition of renting an engine or APU, the current Honeywell or CFE Company Equipment Bailment Agreement s must be completed, signed in strict accordance to its terms without any modifications, and returned to Honeywell Customer Support Operations prior to release of the engine or APU for use, and always before aircraft dispatch. Customer Support Operations are located in the following regions: (i) Europe, Middle-East, Africa and India are recommended to contact EngineRentals@Honeywell.com or ; and (ii) all other regions contact EngineRentals@Honeywell.com or call USA / International The Bailment Agreement requires verification by the Operator s insurance carrier of liability and the property loss coverage in the amounts specified in the Bailment Agreement and which will be provided to Honeywell Customer Support Operations in the form of an acceptable certificate of insurance, which must also be delivered to Honeywell prior to release of the engine or APU. All insurance verification documents are to be submitted in electronic form to EngineRentals@Honeywell.com. Honeywell also requires a Purchase Order be submitted to the same s listed above. Terms and Conditions of the Purchase Order are not accepted by Honeywell and will not modify any terms and conditions of the Bailment Agreement. These s must be received prior to release of the engine or APU for rental. The Operator shall be responsible for all transportation charges involved in the rental unless covered by a contractual program that specifically calls out alternative treatment, such as MSP Gold or CSP Gold. Shipments of rented Honeywell assets should be coordinated through Honeywell and failure to do so may result in additional charges or delays. MSP, Page 1 of 18

2 CSP, FMP, MCAP, MSA, EMCPP, NTE and ISS customers should note that terms and conditions related to rental engine or APUs specified in their maintenance agreements take precedence but do not modify the terms and conditions of the Bailment Agreement. Pricing referenced therein will apply for events not supported under contract. Questions related to maintenance agreements should be directed to the appropriate Contract Manager. Honeywell holds the right to refuse shipment until all documents are received. NOTE: Due to product liability risk, Bailment and Proof of Insurance Documents are required prior to release of the customers aircraft. Honeywell reserves the right to recall the rental engine or APU and/ or if the aircraft is released prior to the return of these documents, Honeywell may invoice a fee of $ per document per day until all documents are received. 3. Serviceability Delay Charge: All engine or APUs must be returned to the Authorized Service Center or Honeywell Repair Facility with all parts and operating information intact in the original configuration supplied. Parts are not to be removed or exchanged without authorization from Engine Rental Bank. Any engine or APU returned for post-rental inspection that is missing parts or operating information will delay the return to service of that engine or APU and will be subject to a $ Serviceability Delay Charge. The parts or information must be forwarded within ten (10) business days from the date of notification to avoid additional charges. Parts received after ten (10) business days will be subject to replacement and immediate billing at full list price. Information (log book or other missing information) not received after ten (10) business days will be subject to additional fees equal to the cost Honeywell incurs to obtain information or replacement documents. Serviceability Delay Charges will not be covered by contractual maintenance agreements. 4. Late Return Fee: The prompt return of the rental engine or APU is required and the application of the Daily Late Return Fee will be enforced. For the overall benefit of all Operators, the daily fee will be administered as follows: Late Return Fees will become effective beginning on the sixteenth (16 th ) day, or any portion thereof, after the Operator s engine or APU is ready for reinstallation, delivered or not, and is in addition to applicable rental rates. Note- The Operator engine or APU repair completion date is required as part of the Rental Engine Worksheet or Removal Sheet. The Rental Worksheet must be completed and returned within 24 hrs of removal of the rental engine or APU. A Rental is considered rented, with all applicable fees, until removal paperwork is provided. The above terms do not preclude Honeywell s right to request the return of the rental engine or APU within five (5) days, per terms of Honeywell s or CFE Company standard Engine Rental and Bailment Agreements 5. Rental Charge Computation Rental charges are computed by multiplying the number of hours utilized, times the hourly fee rate for the duration of the Honeywell Equipment Bailment Agreement contract term, except as modified below. If the Minimum Fee is not exceeded in the contracted term, the Minimum Fee is applicable. If an Operator continues to maintain possession of the rental engine or APU, past the contracted term, either installed or not, regardless of the return of the Operator s own engine or APU, the Daily Late Return Fee will be assessed in addition to the aforementioned rental calculations until the engine or APU is returned. Unless specifically noted, Operator engines or APUs repaired at non-authorized Honeywell Service Centers that are supported by a rental asset will be subject to a fifty percent (50%) premium to the contracted rental rate 6. All rates and fees in this Policy are quoted in US Dollars. 7. Cash In Advance Customers Operators that do not carry sufficient credit terms with Honeywell may be required to submit a deposit in advance of rental engine or APU shipment. The amount and terms will be determined on a case by case basis with information from Honeywell Aerospace Credit and Treasury. Page 2 of 18

3 8. Honeywell MyAerospace Website The latest engine or APU rental bank policy and the documents required for pre-and-post rentals, including supplemental policy, are located on the MyAerospace website. Click here for direct access to the website. END OF SECTION A Page 3 of 18

4 B. ENGINE RENTAL POLICY: TFE TFE 731 Rental Fees: In addition to standard rental rates, late fees will be applicable if the rental engine is not removed within 15 days after Operator s engine completion, late fees apply as follows: 15 th 25 th day: $1,000.00/day; 26 th day until removal: $2, Hourly Fee Minimum Fee Daily Late Return Fee Test Cell Fee* Engine Replacement Cost TFE731-2 $411 $6,000 $1,000/$2,000 $9,500 $ 500,000 TFE731-2C $388 $6,000 $1,000/$2,000 $9,500 $ 500,000 TFE731-3 $424 $6,500 $1,000/$2,000 $9,500 $ 650,000 TFE731-3C/D $381 $6,500 $1,000/$2,000 $9,500 $ 650,000 TFE731-4 $802 $7,000 $1,000/$2,000 $10,750 $ 650,000 TFE731-5 $890 $8,000 $1,000/$2,000 $12,000 $ 800,000 TFE731-5B $953 $8,000 $1,000/$2,000 $12,000 $ 800,000 TFE $968 $10,000 $1,000/$2,000 $12,000 $1,200,000 TFE $1,132 $10,000 $1,000/$2,000 $12,000 $1,200,000 TFE $1,144 $10,000 $1,000/$2,000 $12,000 $1,200,000 TFE $1,193 $10,000 $1,000/$2,000 $12,000 $1,200,000 * NON COMPLIANCE OF PRE-REMOVAL RUNS = TEST CELL FEES 2. Rental Engine Removal and Storage: Upon removal of all fan engines, the Service Center or Honeywell repair facility will: 1) Perform 5 pt. Medra Run and record TSN/CSN, T5 & N2 margins on HON Rental Engine Worksheet 2) Perform Visual Inspection, if there is evidence of FOD perform boroscope inspection 3) Perform Periodic Inspections and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) as appropriate 4) Check for Airworthiness Directives and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) 5) For 20/40/60 engines perform cavity pressure check 6) Preserve Fuel System per Maintenance Manual after every removal unless engine booked for immediate (within 2 weeks) rental at same Service Center or Honeywell repair facility 7) Complete Rental Engine Worksheet and forward together with Service Record Sheet 8) HON Rental Engine worksheet to EngineRentals@Honeywell.com 9) Create and attach new certificate to logbook (BOTH FAA AND EASA Form 1 AND other relevant airworthiness certification if appropriate based on shipping location) if not certified to issue dual release (FAA and EASA) contact Honeywell at EngineRentals@Honeywell.com 10) Inspect shipping container for serviceability order replacement shipping containers by contacting EngineRentals@Honeywell.com 11) Long Term Preserve (per engine/maintenance manual) after sixty (60) days of inactivity. Failure to comply with preservation requirements will require Damage Engine Review Board (DERB) analysis and will result in additional costs that may be billed to the appropriate party. 12) Check all rental engines on premise every thirty (30) days for store time expiration per Engine/Maintenance Manual 13) Perform Periodic Engine Runs as Appropriate per engine/maintenance manual END OF SECTION B Page 4 of 18

5 C. ENGINE RENTAL POLICY: HTF 1. HTF7000 Rental Fees: Minimum Daily Late Test Cell Engine Hourly Fee Fee Return Fee Fee* Replacement Cost HTF7000 $1,566 $15,000 $1000 $11,500 $1,800,000 HTF7250 $1,551 $15,000 $1000 $11,500 $1,800,000 * NON COMPLIANCE OF PRE-REMOVAL RUNS = TEST CELL FEES 2. Rental Engine Removal and Storage: Upon removal of all fan engines, Service Center or Honeywell repair facility will: 1) Perform Power Assurance Run per the LMM and submit copy of run data sheet with HON Rental Engine Worksheet Record TSN/CSN on Rental Inf. Sheet 2) Perform Visual Inspection, if there is evidence of FOD perform borescope inspection per maintenance manual. 3) Perform Periodic Inspections as required and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) as appropriate 4) Check for Airworthiness Directives and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) 5) Preserve Fuel System per Engine/Maintenance Manual after every removal unless engine is booked for another rental (within 2 weeks) at same Service Center or Honeywell repair facility 6) Complete HON Rental Engine Worksheet and forward together with Service Record Sheet 7) HON Rental Engine Worksheet to EngineRentals@Honeywell.com 8) Create and attach new certificate to logbook (BOTH FAA AND EASA Form 1) if not certified to issue dual release contact Honeywell at EngineRentals@Honeywell.com 9) Inspect shipping container for serviceability order a replacement (if necessary) by contacting EngineRentals@Honeywell.com 10) Long Term Preservation (per Heavy Maintenance Manual) after thirty (30) days of inactivity. Failure to comply with preservation requirements will require Damage Engine Review Board (DERB) analysis and will result in additional costs that may be billed to the appropriate party. 11) Check all rental engines on premise every thirty (30) days for store time expiration per Engine/Maintenance Manual 12) Perform Periodic Engine Runs as appropriate per Light Maintenance Manual END OF SECTION C Page 5 of 18

6 D. ENGINE RENTAL POLICY: CFE CFE738 Rental Fees: For the first forty five (45) days, rental charges are computed by the number of hours multiplied by the hourly rate in addition to the number of days multiplied by the daily fee rate. Starting on the forty sixth (46 th ) day the daily rate no longer applies and the hourly rate becomes the current Customer Service Plan rate. Note: Rental coverage for CFE MPI is currently covered under CSP contract until further notice. Daily Daily Late Test Cell Engine Hourly Fee Fee Return Fee Fee* Replacement Cost CFE738 $933 $2,717 $1,400 $12,500 $1,800,000 * NON COMPLIANCE OF PRE-REMOVAL RUNS = TEST CELL FEES 2. Rental Engine Removal and Storage: Upon removal of all fan engines, Service Center or Honeywell repair facility will: 1) Perform Power Assurance Run per the LMM and submit copy of run data sheet with HON Rental Engine Worksheet Record TSN/CSN on Rental Inf. Sheet 2) Perform Visual Inspection, if there is evidence of FOD perform borescope inspection per maintenance manual. 3) Perform Periodic Inspections as required and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) as appropriate 4) Check for Airworthiness Directives and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) 5) Perform Log Book review to verify cycle limited components (LMM Chapter 5) and High Pressure turbine blades life (S/B CFE ) have not been exceeded and have sufficient life remaining for continued use for another rental period. 6) Preserve Fuel System per Engine/Maintenance Manual after every removal unless engine is booked for another rental (within 4 weeks) at same Service Center or Honeywell repair facility 7) Complete HON Rental Engine Worksheet and forward together with Service Record Sheet 8) Fax/ HON Rental Engine Worksheet to EngineRentals@Honeywell.com 9) Create and attach new certificate to logbook (BOTH FAA AND EASA Form 1) if not certified to issue dual release contact Honeywell at EngineRentals@Honeywell.com 10) Inspect shipping container for serviceability order a replacement (if necessary) by contacting EngineRentals@Honeywell.com 11) Long Term Preservation (per Light Maintenance Manual) after sixty (60) days of inactivity. Failure to comply with preservation requirements will require Damage Engine Review Board (DERB) analysis and will result in additional costs that may be billed to the appropriate party. 12) Check all rental engines on premise every thirty (30) days for store time expiration per Engine/Maintenance Manual 13) Perform Periodic Engine Runs as appropriate per Light Maintenance Manual END OF SECTION D Page 6 of 18

7 E. ENGINE RENTAL POLICY: ATF3 1. ATF3 Rental Fee: Minimum Daily Late Test Cell Engine Hourly Fee Fee Return Fee Fee* Replacement Cost ATF3 $1,779 $10,000 $1000 $10,000 $600,000 * NON COMPLIANCE OF PRE-REMOVAL RUNS = TEST CELL FEES 2. Rental Engine Removal and Storage: Upon removal of all fan engines, Service Center or Honeywell repair facility will: 1) Perform Power Assurance Run per the LMM and submit copy of run data sheet with HON Rental Engine Worksheet Record TSN/CSN on Rental Inf. Sheet 2) Perform Visual Inspection, if there is evidence of FOD perform borescope inspection per maintenance manual. 3) Perform Periodic Inspections as required and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) as appropriate 4) Check for Airworthiness Directives and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) 5) Preserve Fuel System per Engine/Maintenance Manual after every removal unless engine is booked for another rental (within 2 weeks) at same Service Center or Honeywell repair facility 6) Complete HON Rental Engine Worksheet and forward together with Service Record Sheet 7) Fax/ HON Rental Engine Worksheet to EngineRentals@Honeywell.com 8) Create and attach new certificate to logbook (BOTH FAA AND EASA Form 1) if not certified to issue dual release contact Honeywell at EngineRentals@Honeywell.com 9) Inspect shipping container for serviceability order a replacement (if necessary) by contacting EngineRentals@Honeywell.com 10) Long Term Preservation (per Light Maintenance Manual) after thirty (30) days of inactivity. Failure to comply with preservation requirements will require Damage Engine Review Board (DERB) analysis and will result in additional costs that may be billed to the appropriate party. 11) Check all rental engines on premise every thirty (30) days for store time expiration per Engine/Maintenance Manual 12) Perform Periodic Engine Runs as appropriate per Light Maintenance Manual END OF SECTION E Page 7 of 18

8 F. ENGINE RENTAL POLICY: TPE TPE331 Rental Fee: Rental charges will be assessed as the highest of the following three computations: 1) by multiplying the number of hours utilized times the hourly fee rate for the duration of the Honeywell Equipment Bailment Agreement contract time 2) by multiplying the minimum daily fee rate times the days rented for the duration of the contract time or 3) the minimum fee. Hourly Fee Minimum Daily Fee Minimum Fee Daily Late Return Fee Test Cell Fee* Engine Replacement Cost TPE331-1/2 $164 $122 $3,700 $600 $6,250 $250,000 TPE331-3/-5/-6 $165 $120 $3,700 $600 $6,250 $250,000 TPE331-8 $165 $120 $4,000 $600 $6,250 $275,000 TPE $170 $127 $4,000 $600 $6,250 $300,000 TPE $170 $127 $4,000 $600 $6,250 $300,000 TPE $170 $127 $4,800 $600 $6,250 $300,000 TPE $220 $161 $4,800 $600 $9,750 $400,000 * NON COMPLIANCE OF PRE-REMOVAL RUNS = TEST CELL FEES 2. Rental Engine Removal and Storage: Upon removal of all Turboprop engines, Service Center or Honeywell repair facility will: 1) Complete TPE Pre-Removal Form/Run Sheet and attach to Logbook 2) Rental Engine Worksheet to EngineRentals@Honeywell.com 3) Perform Visual Inspection, if there is evidence of FOD perform boroscope inspection 4) Perform Periodic Inspections and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) as appropriate 5) Check for Airworthiness Directives and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) 6) Preserve For Long Term Storage per Engine/Maintenance Manual after every removal unless engine is booked for immediate (within two (2) weeks) rental at same Service Center or Honeywell repair facility. Failure to comply with preservation requirements will require Damage Engine Review Board (DERB) analysis and will result in additional costs that may be billed to the appropriate party. 7) Complete HON Rental Engine Worksheet and forward together with Service Record Sheet 8) Create and attach new certificate to logbook (BOTH FAA AND EASA Form 1) if not certified to issue dual release (FAA and EASA) contact Honeywell at EngineRentals@Honeywell.com 9) Inspect shipping container for serviceability order replacement shipping container by contacting EngineRentals@Honeywell.com 10) Unless otherwise directed by Honeywell, return all TPE engines in North/South America to Jet Ventures. For all other regions contact Klaus.Maehliss@Honeywell.com Ph: Cell: : Jet Ventures, In 180 McCormick Ave Costa Mesa, CA Ph: Fax: jvipartssupport@aol.com 11) Check all rental engines on premise every thirty (30) days for store time expiration per Engine/Maintenance Manual 12) Perform Periodic Engine Runs as Appropriate per engine/maintenance manual Page 8 of 18

9 END OF SECTION F Page 9 of 18

10 G. ENGINE RENTAL POLICY: ALF502/LF ALF502 / LF507 Rental Fee: Rental charges are computed by the number of hours multiplied by the hourly fee rate in addition to the number of days multiplied by the daily fee rate. Daily Daily Late Test Cell Engine Hourly Fee Fee Return Fee Fee* Replacement Cost ALF502-R $125 $699 $1,180 $10,000 $1,200,000 ALF502-L $607 $844 $1,000 $10,000 $650,000 ALF507-1F $185 $1,020 $1,180 $10,000 $2,100,000 ALF507-1H $179 $986 $1,180 $10,000 $2,100,000 * NON COMPLIANCE OF PRE-REMOVAL RUNS = TEST CELL FEES 2. Rental Engine Removal and Storage: Lessee to accomplish performance/serviceability checks as prescribed by Honeywell prior to engine removal from the airframe results of the checks to be supplied to Honeywell at return of the engine (reference: Customer Support Policy Letter No. 0109K-2, or latest revision). For Honeywell R&O Facility or Authorized Honeywell Service Centers: 1) Perform Periodic Inspections and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) as appropriate 2) Check for Airworthiness Directives and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) as appropriate 3) Preserve For Long Term Storage per Engine/Maintenance Manual at shop visit unless rental engine is reserved for immediate use within 2 weeks. Failure to comply with preservation requirements will require Damage Engine Review Board (DERB) analysis and will result in additional costs that may be billed to the appropriate party. 4) Complete HON Rental Engine Worksheet and forward together with Service Record Sheet 5) to EngineRentals@Honeywell.com 6) Create and attach new certificate to logbook (BOTH FAA AND EASA Form 1) if not certified to issue dual release (both EASA and FAA) contact Honeywell at EngineRentals@Honeywell.com 7) Inspect shipping container for serviceability order replacement containers by contacting EngineRentals@Honeywell.com END OF SECTION G Page 10 of 18

11 H. ENGINE RENTAL POLICY: LTS D2 1. LTS101 Rental Charge Computation: Rental charges are computed by multiplying the number of hours utilized times the hourly rate or number of days times the daily rate, whichever is greater, for the duration of the Honeywell Equipment Bailment Agreement contract time. If an operator continues to maintain possession of the rental engine, past the contracted period, either installed or not, regardless of the return of operator s own engine, the Daily Late Return Fee will be assessed in addition to the aforementioned rental calculations until the engine is returned. Note: A $7 per hour fee will apply for each additional Ng and / or Np cycle per hour greater than 2 cycles per hour. All rates double after 4 months and are subject to an additional $2,700 per month fee. Minimum Daily Late Test Cell Engine Hourly Fee Daily Fee Fee Return Fee Fee* Replacement Cost LTS101 (-43) $ 140 $ 170 $ 5,000 $ 340 $ 5,000 $ 500,000 * NON COMPLIANCE OF PRE-REMOVAL RUNS = TEST CELL FEES 2. Rental Engine Removal and Storage: Upon removal of all LTS101 engines, Service Center or Honeywell repair facility will: 1) Perform a performance run per overhaul manual and record margins, if applicable, on HON Rental Engine Worksheet 2) Perform Visual Inspection, if there is evidence of FOD perform boroscope inspection 3) Perform Periodic Inspections and seek approval through MSP Honeywell Portal as appropriate. 4) Check for Airworthiness Directives and seek approval through MSP Honeywell Portal as appropriate. 5) Preserve Fuel System per Maintenance Manual after every removal unless engine booked for immediate use, (within 2 weeks), at same Service Center or Honeywell. Failure to comply with preservation requirements will require Damage Engine Review Board, (DERB) analysis and may result in additional repair costs to the responsible party. 6) Complete Rental Engine Worksheet and forward together with Service Record Sheet to EngineRentals@Honeywell.com. 7) Create and attach new certificate to logbook (BOTH FAA AND EASA Form 1) if not certified to issue release contact Honeywell at EngineRentals@Honeywell.com. 8) Inspect shipping container for serviceability order replacement shipping containers by contacting Honeywell at EngineRentals@Honeywell.com. 9) Check all rental engines on premise every 30 days for store time expiration per Engine Maintenance Manual Page 11 of 18

12 I. BUSINESS AND GENERAL AVIATION AUXILIARY POWER UNIT 1. APU Rental Fee: The Rental Fees are computed as follows: total daily fee charges will be the greater of the minimum daily fee or the daily fee rate multiplied by the number of days that the Operator has the APU in its possession (excluding installation), plus the accumulated APU operating hourly fees. Operators are responsible for all transportation charges. 2. Late Return Fee: The prompt return of rental APUs is required and the application of the Daily Return Fee will be enforced. For the overall benefit of all Operators, the daily fee will be administered as follows: Late Return Fee will become effective beginning on the sixteenth (16 th ) day, or any portion thereof, after the Operator s APU is ready for reinstallation; delivered or not, and is in addition to applicable rental rates. The Late Return Fee will be assessed starting on the sixteenth (16 th ) day by doubling the daily rate until the APU is returned to Honeywell. Late return fees are not covered by MSP. Note: Operator APU repair completion date is required as part of the Rental Engine Worksheet or Removal Sheet. The above terms do not preclude Honeywell s right to request the return of the rental APU within five (5) days, per terms of Honeywell s standard Aircraft Engine Rental & Bailment Agreements. HRLY DAILY MIN. DAILY TEST REPLACEMENT OPTIONAL RATE RATE FEE CELL FEE* COST FOD COVERAGE FEE GTCP30-92C See note below GTCP30-92C(A) See note below GTCP36-100A $164 $492 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-100E $186 $559 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-100G $186 $559 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-100H $132 $393 $2,520 $7,750 $100,000 $1200/$1800/$2900 GTCP36-150BD $122 $366 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150CL $122 $366 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150CX $122 $366 $2,520 $7,750 $300,000 $1200/$1800/$2900 GCTP36-150DD $122 $366 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150F $122 $366 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150F2M $122 $366 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150FN $122 $366 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150GIV $122 $366 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150G $130 $358 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150HH $122 $366 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150IAI $150 $358 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150RJ $122 $366 $2,520 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150W $158 $471 $2,520 $7,750 $300,000 $1200/$1800/$2900 GCTP36-6 See Note below RE100-CS $127 $381 $2,700 $9,000 $500,000 $1200/$1800/$2900 RE100-LJ $127 $381 $2,700 $9,000 $300,000 $1200/$1800/$2900 RE100-XL $127 $381 $2,700 $9,000 $300,000 $1200/$1800/$2900 RE220-GV $140 $480 $4,800 $9,000 $500,000 $1200/$1800/$2900 RE220-GVI $140 $470 $4,800 $9,000 $500,000 $1200/$1800/$2900 RE220-GX $140 $480 $4,800 $9,000 $500,000 $1200/$1800/$2900 Any orders for 36-6 (BAe/DH 125 and Lockheed Jetstar aircraft application) and (Gulfstream II aircraft application) need to be deferred to Piedmont Aviation at the following phone numbers. Honeywell has sold all of its rentals to Piedmont and Piedmont has taken responsibility for rental support. Honeywell can no longer legally rent 36-6 or APUs. Page 12 of 18

13 Page 13 of 18 Brian Nilsson Phone: (336) Bobby Ashworth Phone: (336) Fax: (336) Main Office Phone: (336) APU FOD REPAIR PROGRAM Honeywell offers a service identified as "APU FOD Repair Program. FOD (foreign object damage) means damage caused by and incidental to impact or ingestion of any substance or element external to the equipment, including but not limited to birds, hail stones or debris. In a FOD event, without the APU FOD Repair Program, customers pay on a "time and material" basis for the repair of the rented APU. This APU FOD Repair Program, if elected when rental is initiated, would be a flat fee charge and Honeywell would pay for repair(s) on the APU including normal wear and tear, up to the maximum value purchased by Operator. Honeywell will direct the APU to the repair facility of its choice. In no case will Honeywell and its affiliates be liable for incidental or consequential damages. APU coverage fees are as stated below: GTCP36-100A/E/G/H/M GTCP36-150A/AA/BD//CL/CX/DD/F/F2M/G/GIV/IAI/M/R/RJ/RR RE100-LJ/-XL RE220-GV/-GX/-RJ MAXIMUM COVERAGE OF $100,000 IS FLAT FEE OF $2,900 MAXIMUM COVERAGE OF $50,000 IS FLAT FEE OF $1,800 MAXIMUM COVERAGE OF $25,000 IS FLAT FEE OF $1,200 GTCP131-9A/-9B/-9D GTCP ER/-250H/-350C/-400/-500/-600 GTCP660-4 TSCP700-4/-4B/-5 GTCP85-129/-129C/CKA/CKB/E/G/H/J/K/-98DHF GTCP36-280B/D/-300A MAXIMUM COVERAGE OF $100,000 IS FLAT FEE OF $3,750 MAXIMUM COVERAGE OF $50,000 IS FLAT FEE OF $2,250 MAXIMUM COVERAGE OF $25,000 IS FLAT FEE OF $1, Rental Engine Removal and Storage: Upon removal of all APUs, Service Center or Honeywell repair facility will: 1) Perform the inspection checks and maintenance actions not to exceed the recommended intervals in accordance with instructions in the latest revisions of the applicable Maintenance Manual 2) Perform Visual Inspection and Periodic Inspections and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) as appropriate 3) Check for Airworthiness Directives and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) as appropriate 4) Preserve For Long Term Storage per Engine/Maintenance Manual at shop visit unless the APU is reserved for use within the next 2 weeks. Failure to comply with preservation requirements will require Damage Engine Review Board (DERB) analysis and will result in additional costs that may be billed to the appropriate party. 5) Complete Rental Engine Worksheet and APU condition form and Engine Inf. Sheet to EngineRentals@Honeywell.com or Create and attach new certificate to logbook (BOTH

14 FAA AND EASA Form 1) if not certified to issue dual release contact Honeywell at 6) Inspect shipping container for serviceability order replacement shipping containers by contacting 7) * NON COMPLIANCE OF PRE-REMOVAL RUNS = TEST CELL FEES If you have any questions or comments, please contact Honeywell Customer Support Operations at ,.or EngineRentals@Honeywell.com END OF SECTION I Page 14 of 18

15 AIR TRANSPORT AND REGIONAL AUXILIARY POWER UNIT 1. APU Rental Charge Computation (HONEYWELL REPAIR): The following APU models are billed a onetime flat fee regardless of utilization, with the initial invoice at time of rental. Operators are responsible for all transportation charges. Operators sending their APUs to Honeywell R&O Centers for repair will be billed a discounted monthly rental fee, labeled below as Honeywell Repair Rates Operator will not be billed for additional months as long as the quote approval time does not exceed 3 days and return policy is adhered to (see Late Fees below). Operators must provide the serial number of the APU being sent in for repair at the time the rental order is placed. The bailment agreement will state both the Honeywell Repair and Out of Network rental rates. Operator will be liable for full Out of Network rental rates if Operator APU repair cannot be confirmed at a Honeywell shop (see below) or there is an excessive delay in returning the unit.. 2. LATE FEES: Beginning on the sixteenth (16 th ) day, or any portion thereof after the Operator s APU is serviceable, delivered or not, Honeywell will bill Operator for an additional month at the OUT OF NETWORK rates for each successive thirty (30) days after Operator s APU is ready for installation. Note- Operator APU repair completion date is required as part of the Rental Engine Worksheet or Removal Sheet. 3. APU Rental Charge Computation (HONEYWELL NETWORK PARTNER REPAIR & OUT OF NETWORK REPAIR): The following APU models are billed on a monthly basis, regardless of utilization, with the initial invoice at time of rental. Operators will be billed every thirty (30) days until engine is returned. Credit will not be given for early return. Operators are responsible for all transportation charges. APUs rented by customers that are not sending an APU to Honeywell for repair will be billed either the Honeywell Network Partner Repair or Out of Network rates as determined at order receipt. Operator will be liable for full Out of Network rental rates if operator engine repair cannot be confirmed at a Honeywell Network Partner Repair facility or there is an excessive delay in returning the unit.. APU Model Honeywell Repair Network Partner Repair Out Of Network Repair Test Cell Fee* APU Replacement Cost Optional FOD Coverage Fees GTCP131-9A $67,586 $88,323 $110,596 $10,250 $450,000 $1350/$2250/$3750 GTCP131-9B $64,428 $84,196 $105,428 $10,250 $450,000 $1350/$2250/$3750 GTCP131-9D $74,110 $98,220 $129,641 $10,250 $450,000 $1350/$2250/$3750 GTCP ER $70,869 $99,217 $136,070 $8,750 $700,000 $1350/$2250/$3750 GTCP H $63,091 $88,328 $121,136 $9,250 $700,000 $1350/$2250/$3750 GTCP C $105,883 $138,370 $173,263 $11,000 $700,000 $1350/$2250/$3750 GTCP $101,467 $132,599 $166,037 $11,000 $850,000 $1350/$2250/$3750 GTCP $132,686 $173,396 $217,122 $11,000 $850,000 $1350/$2250/$3750 GTCP $141,620 $174,536 $218,068 $11,000 $850,000 $1350/$2250/$3750 GTCP36-100M $14,511 $19,650 $27,207 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150A $16,687 $22,598 $31,289 $7,750 $100,000 $1200/$1800/$2900 GTCP36-150AA $14,151 $19,164 $26,535 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150CY $23,298 $32,035 $43,685 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150DD $14,421 $19,529 $27,040 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150M $14,347 $19,164 $26,902 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150R $14,151 $19,164 $26,535 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150RJ $21,310 $30,112 $40,304 $7,750 $300,000 $1200/$1800/$2900 GTCP36-150RR $13,761 $19,445 $26,027 $7,750 $300,000 $1200/$1800/$2900 GTCP36-280B $58,719 $84,013 $113,533 $7,750 $400,000 $1200/$1800/$2900 Page 15 of 18

16 APU Model Honeywell Repair Network Partner Repair Out Of Network Rate Test Cell Fee* APU Replacement Cost Optional FOD Coverage Fees GTCP36-280D $59,325 $84,622 $114,239 $7,750 $400,000 $1200/$1800/$2900 GTCP36-300A $60,751 $86,788 $117,163 $7,750 $400,000 $1200/$1800/$2900 GTCP36-6 GTCP660 See Note See Note GTCP $25,432 $37,088 $52,136 $8,750 $300,000 $1350/$2250/$3750 GTCP85-129C $25,432 $37,088 $52,136 $8,750 $300,000 $1350/$2250/$3750 GTCP85-129CKA $25,432 $37,088 $52,136 $8,750 $300,000 $1350/$2250/$3750 GTCP85-129CKB $25,432 $37,088 $52,136 $8,750 $300,000 $1350/$2250/$3750 GTCP85-129E $25,916 $37,795 $53,129 $8,750 $300,000 $1350/$2250/$3750 GTCP85-129G $25,432 $37,088 $52,136 $8,750 $300,000 $1350/$2250/$3750 GTCP85-129H $25,916 $37,795 $53,129 $8,750 $300,000 $1350/$2250/$3750 GTCP85-129J $25,432 $37,088 $52,136 $8,750 $300,000 $1350/$2250/$3750 GTCP85-129K $25,916 $37,795 $53,129 $8,750 $300,000 $1350/$2250/$3750 GTCP85-98CK $25,432 $37,088 $52,136 $8,750 $300,000 $1350/$2250/$3750 GTCP85-98DCK $25,432 $37,088 $52,136 $8,750 $300,000 $1350/$2250/$3750 GTCP85-98DHF $25,432 $37,088 $52,136 $8,750 $300,000 $1350/$2250/$3750 RE220-RJ $58,923 $83,261 $111,442 $9,000 $500,000 $1200/$1800/$2900 TSCP700-4B TSCP700-4E See Note See Note TSCP700-5 See Note * NON COMPLIANCE OF PRE-REMOVAL RUNS = TEST CELL FEES ** TEST CELL FESS WILL BE APPLIED AT EACH REMOVAL FOR NON-HONEYWELL ENGINES NOTE1: any orders for GTCP660 (B747 application) and TSCP700 (DC10, MD11 and A300 application) need to be deferred to Triumph Group at the following phone numbers by region. Honeywell has sold all of its rentals to Triumph and Triumph has taken responsibility for rental support. Honeywell can no longer legally rent 660 or 700 APUs. To rent these models from Triumph, please call USA UK/Europe Thailand/Asia Any orders for 36-6 (BAe/DH 125 and Lockheed Jetstar aircraft application) and (Gulfstream II aircraft application) need to be deferred to Piedmont Aviation at the following phone numbers. Honeywell has sold all of its rentals to Piedmont and Piedmont has taken responsibility for rental support. Honeywell can no longer legally rent 36-6 or APUs. Brian Nilsson Brian.nilsson@piedmontaviation.com Phone: (336) Bobby Ashworth Bobby.ashworth@piedmontaviation.com Phone: (336) Main Office Phone: (336) Page 16 of 18

17 2. APU FOD REPAIR PROGRAM Honeywell offers a service identified as "APU FOD Repair Program. FOD (foreign object damage) means damage caused by and incidental to impact or ingestion of any substance or element external to the equipment, including but not limited to birds, hail stones or debris. In a FOD event, without the APU FOD Repair Program, customers pay on a "time and material" basis for the repair of the rented APU. This APU FOD Repair Program, if elected when rental is initiated, would be a flat fee charge and Honeywell would pay for repair(s) on the APU including normal wear and tear, up to the maximum value purchased by Operator. Honeywell will direct the APU to the repair facility of its choice. In no case will Honeywell and its affiliates be liable for incidental or consequential damages. APU coverage fees are as stated below: GTCP36-100A/E/G/H/M GTCP36-150A/AA/BD//CL/CX/DD/F/F2M/G/GIV/IAI/M/R/RJ/RR RE100-LJ/-XL RE220-GV/-GX/-RJ MAXIMUM COVERAGE OF $100,000 IS FLAT FEE OF $2,900 MAXIMUM COVERAGE OF $50,000 IS FLAT FEE OF $1,800 MAXIMUM COVERAGE OF $25,000 IS FLAT FEE OF $1,200 GTCP131-9A/-9B/-9D APS3200 GTCP ER/-250H/-350C/-400/-500/-600 GTCP660-4 TSCP700-4/-4B/-5 GTCP85-129/-129C/CKA/CKB/E/G/H/J/K/-98DHF GTCP36-280B/D/-300A MAXIMUM COVERAGE OF $100,000 IS FLAT FEE OF $3,750 MAXIMUM COVERAGE OF $50,000 IS FLAT FEE OF $2,250 MAXIMUM COVERAGE OF $25,000 IS FLAT FEE OF $1, Rental Engine Removal and Storage: Upon removal of all APUs, Service Center or Honeywell repair facility will: 1) 1) Perform the inspection checks and maintenance actions not to exceed the recommended intervals in accordance with instructions in the latest revisions of the applicable Maintenance Manual 2) 2) Perform Visual Inspection and Periodic Inspections and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) as appropriate 3) 3) Check for Airworthiness Directives and seek approval through MSP HONEYWELL PORTAL (FORMERLY CHAMPS) as appropriate 4) 4) Preserve For Long Term Storage per Engine/Maintenance Manual at shop visit unless the APU is reserved for use within the next 2 weeks 5) 5) Complete Rental Engine Worksheet and Engine Inf. Sheet to EngineRentals@Honeywell.com 6) 6) Create and attach new certificate to logbook (BOTH FAA AND EASA Form 1 AND other relevant airworthiness certification if appropriate based on shipping location) if not certified to issue dual release contact Honeywell at EngineRentals@Honeywell.com 7) Inspect shipping container for serviceability order replacement shipping containers by contacting EngineRentals@Honeywell.com 8) * NON COMPLIANCE OF PRE-REMOVAL RUNS = TEST CELL FEES If you have any questions or comments, please contact Honeywell Customer Support Operations at , EngineRentals@Honeywell.com END OF ATR APU SECTION Page 17 of 18

18 APPENDICES Shipping Container Guidelines Check General Exterior Condition of Container for: Condition of bottom skid: The skid must be in a condition that allows the engine container to be loaded safely. A broken or missing skid can allow the engine to slide on the forklift forks. Additionally, the center portion of the skid helps support the engine s weight during shipping. Check Repairs To Container: Containers that have been repaired with material from the local hardware store and leaving the United States may not be acceptable to some countries that require a US (HTTP) stamp and or certification documenting that the container meets specific insect deterrent requirements. Check to ensure repairs to the container will not cause an unsafe condition. i.e. screws, nails, etc. protruding into the container in such a manner that would cause an unsafe condition to the engine, the shipper or end user. Check Box Size For Correct Engine Model: i.e. 72x48x54 = /3.80x48x54 =731-5, etc. Check the Foam shipping material in the container for deterioration due to extended use, contaminates or exposure to the elements. Is the foam s thickness adequate enough to ensure it will absorb any unanticipated shock during the shipping process? Has the foam been exposed to major levels of fuel and oil that would create a shipping hazmat condition or cause damage to the engine or its components. i.e. corrosion, electrical connections, etc. Has the foam been exposed to the elements in such a manner that it has become brittle due to heat or wet soaked due to snow or rain? Is the condition of the plastic liner in an acceptable condition as to help prevent damage to the foam should it be exposed to engine fuel and oil? Is the container free of trash and debris? Containers labeled as Honeywell ERB are intended only for the use of ERB assets. Service Centers / Operators utilizing Honeywell ERB identified containers for the shipment of operators assets will be invoiced the replacement cost of the container. Page 18 of 18