Common use of Formula Clause in Contracts

Formula. Airframe and Optional Features price adjustments (Airframe Price Adjustment) are used to allow prices to be stated in current year dollars at the signing of this Purchase Agreement and to adjust the amount to be paid by Customer at delivery for the effects of economic fluctuation. The Airframe Price Adjustment will be determined at the time of Aircraft delivery in accordance with the following formula: **** Where: Pa = **** P = **** **** **** **** Where: ECIb is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement); ECI is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Employment Cost Index for NAICS Manufacturing – Total Compensation (BLS Series ID CIU2013000000000I), calculated by establishing a three (3) month arithmetic average value (expressed as a decimal and rounded to the nearest tenth) using the values for the 11th, 12th, and 13th months prior to the month of scheduled delivery of the applicable Aircraft. As the Employment Cost Index values are only released on a quarterly basis, the value released for the first quarter will be used for the months of January, February, and March; the value released for the second quarter will be used for the months of April, May, and June; the value released for the third quarter will be used for the months of July, August, and September; the value released for the fourth quarter will be used for the months of October, November, and December. M = **** **** **** Where: CPIb is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement); and CPI is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Consumer Price Index – All Urban Consumers (BLS Series ID CUUR0000SA0), calculated as a three (3) month arithmetic average of the released monthly values (expressed as a decimal and rounded to the nearest tenth) using the values for the 11th, 12th, and 13th months prior to the month of scheduled delivery of the applicable Aircraft. As an example, for an Aircraft scheduled to be delivered in the month of July, the months of June, July, and August of the preceding year will be utilized in determining the value of ECI and CPI. Note:

Formula. Airframe and Optional Features price adjustments (Airframe Price Adjustment) are used to allow prices to be stated in current year dollars at the signing of this Purchase Agreement and to adjust the amount to be paid by Customer at delivery for the effects of economic fluctuation. The Airframe Price Adjustment will be determined at the time of Aircraft delivery in accordance with the following formula: **** Pa = (P+B)(L + M) - P Where: Pa = **** P Airframe Price Adjustment. (For Model 717-200, 737-600, 737-700, 737-800 and 737-900, the Airframe Price includes the Engine Price at its basic thrust level.) L = **** **** **** **** Where: .65 x ( ECI ----- ECIb )where ECIb is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement) M = .35 x ( ICI ----- ICIb ); where ICIb is the base year index (as set forth in Table 1 of this Purchase Agreement) P = Airframe Price plus Optional Features Price (as set forth in Table 1 of this Purchase Agreement). B = 0.005 x (N/12) x (P)where N is the calendar month and year of scheduled Aircraft delivery minus the calendar month and year of the Base Price Year, both as shown in Table 1 of this Purchase Agreement. ECI is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Statistics "Employment Cost Index for NAICS Manufacturing – Total Compensation workers in aerospace manufacturing - Wages and Salaries" (BLS Series ID CIU2013000000000IECI code 3721W), calculated by establishing a three (3) three-month arithmetic average value (expressed as a decimal and rounded to the nearest tenth) using the values for the 11thfifth, 12th, sixth and 13th seventh months prior to the month of scheduled delivery of the applicable Aircraft. As the Employment Cost Index values are only released on a quarterly basis, the value released for the first quarter month of March will be used for the months of January, January and February, and March; the value released for the second quarter will be June used for the months of April, April and May, and June; the value released for the third quarter will be September used for the months of July, July and August, ; and September; the value released for the fourth quarter will be December used for the months of October, October and November, and December. M = **** **** **** Where: CPIb is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement); and CPI ICI is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Consumer Statistics "Producer Prices and Price Index – All Urban Consumers (BLS Series ID CUUR0000SA0)- Industrial Commodities Index ", calculated as a three (3) -month arithmetic average of the released monthly values (expressed as a decimal and rounded to the nearest tenth) using the values for the 11th5th, 12th, 6th and 13th 7th months prior to the month of scheduled delivery of the applicable Aircraft. As an example, for an Aircraft scheduled to be delivered in the month of JulyJanuary, the months of June, July, July and August of the preceding year will be utilized in determining the value of ECI and CPI. Note:ICI.

Formula. Airframe and Optional Features price adjustments (Airframe Price Adjustment) are used to allow prices to be stated in current year dollars at the signing of this Purchase Agreement and to adjust the amount to be paid by Customer at delivery for the effects of economic fluctuation. The Airframe Price Adjustment will be determined at the time of Aircraft delivery in accordance with the following formula: **** Pa = (P+B)(L + M) - P Where: Pa = **** P Airframe Price Adjustment. (For Model 717-200, 737-600, 737-700, 737-800 and 737-900, the Airframe Price includes the Engine Price at its basic thrust level.) L = **** **** **** **** Where: .65 x ( ECI ----- ECIb )where ECIb is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement) M = .35 x ( ICI ----- ICIb ); where ICIb is the base year index (as set forth in Table 1 of this Purchase Agreement) P = Airframe Price plus Optional Features Price (as set forth in Table 1 of this Purchase Agreement). B = 0.005 x (N/12) x (P) where N is the calendar month and year of scheduled Aircraft delivery minus the calendar month and year of the Base Price Year, both as shown in Table 1 of this Purchase Agreement. ECI is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Statistics "Employment Cost Index for NAICS Manufacturing – Total Compensation workers in aerospace manufacturing - Wages and Salaries" (BLS Series ID CIU2013000000000IECI code 3721W), calculated by establishing a three (3) three-month arithmetic average value (expressed as a decimal and rounded to the nearest tenth) using the values for the 11thfifth, 12th, sixth and 13th seventh months prior to the month of scheduled delivery of the applicable Aircraft. As the Employment Cost Index values are only released on a quarterly basis, the value released for the first quarter month of March will be used for the months of January, January and February, and March; the value released for the second quarter will be June used for the months of April, April and May, and June; the value released for the third quarter will be September used for the months of July, July and August, ; and September; the value released for the fourth quarter will be December used for the months of October, October and November, and December. M = **** **** **** Where: CPIb is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement); and CPI ICI is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Consumer Statistics "Producer Prices and Price Index – All Urban Consumers (BLS Series ID CUUR0000SA0)- Industrial Commodities Index ", calculated as a three (3) -month arithmetic average of the released monthly values (expressed as a decimal and rounded to the nearest tenth) using the values for the 11th5th, 12th, 6th and 13th 7th months prior to the month of scheduled delivery of the applicable Aircraft. As an example, for an Aircraft scheduled to be delivered in the month of JulyJanuary, the months of June, July, July and August of the preceding year will be utilized in determining the value of ECI and CPI. Note:ICI.

Formula. Airframe and Optional Features price adjustments (Airframe Price Adjustment) are used to allow prices to be stated in current year dollars at the signing of this Purchase Agreement and to adjust the amount to be paid by Customer at delivery for the effects of economic fluctuation. The Airframe Price Adjustment will be determined at the time of Aircraft delivery in accordance with the following formula: ***Pa = [ * ] Where: Pa = ***Airframe Price Adjustment. [ * P ] = ***Airframe Price plus the price of the Optional Features (as set forth in Table 1 of this Purchase Agreement). [ * ***] = [ * **** **** ] Where: ECIb [ * ] is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement); ECI [ * ] is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Employment Cost Index for NAICS Manufacturing – Total Compensation (BLS Series ID CIU2013000000000I)[ * ], calculated by establishing a three (3) month [ * ] arithmetic average value (expressed as a decimal and rounded to the nearest tenth) using the values for the 11th, 12th, and 13th months [ * ] prior to the month of scheduled delivery of the applicable Aircraft. As the Employment Cost Index [ * ] values are only released on a quarterly basis, the value released for the first quarter will be used for the months of January, February, and March; the value released for the second quarter will be used for the months of April, May, and June; the value released for the third quarter will be used for the months of July, August, and September; the value released for the fourth quarter will be used for the months of October, November, and December. AH5-PA-5094-AE1 Page 2 BOEING PROPRIETARY M = ***[ * **** **** ] Where: CPIb [ * ] is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement); and CPI [ * ] is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Consumer Price Index – All Urban Consumers (BLS Series ID CUUR0000SA0)[ * ], calculated as a three (3) month arithmetic average of the released monthly values (expressed as a decimal and rounded to the nearest tenth) using the values for the 11th, 12th, and 13th months prior to the month of scheduled delivery of the applicable Aircraft. As an example, for an Aircraft scheduled to be delivered in the month of July, the months of June, July, and August of the preceding year will be utilized in determining the value of ECI and CPI[ * ]. Note:

Formula. Airframe and Optional Features price adjustments (Airframe Price Adjustment) are used to allow prices to be stated in current year dollars at the signing of this Purchase Agreement and to adjust the amount to be paid by Customer at delivery for the effects of economic fluctuation. The Airframe Price Adjustment will be determined at the time of Aircraft delivery in accordance with the following formula: **** Where: Pa = **** P = **** **** **** **** Where: ECIb is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement); ECI is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Employment Cost Index for NAICS Manufacturing – Total Compensation (BLS Series ID CIU2013000000000I), calculated by establishing a three (3) month arithmetic average value (expressed as a decimal and rounded to the nearest tenth) using the values for the 11th, 12th, and 13th months prior to the month of scheduled delivery of the applicable Aircraft. As the Employment Cost Index values are only released on a quarterly basis, the value released for the first quarter will be used for the months of January, February, and March; the value released for the second quarter will be used for the months of April, May, and June; the value released for the third quarter will be used for the months of July, August, and September; the value released for the fourth quarter will be used for the months of October, November, and December. M = **** **** **** Where: CPIb is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement); and VLS-PA-03814-AE1 AE1 Page 1 BOEING PROPRIETARY CPI is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Consumer Price Index – All Urban Consumers (BLS Series ID CUUR0000SA0), calculated as a three (3) month arithmetic average of the released monthly values (expressed as a decimal and rounded to the nearest tenth) using the values for the 11th, 12th, and 13th months prior to the month of scheduled delivery of the applicable Aircraft. As an example, for an Aircraft scheduled to be delivered in the month of July, the months of June, July, and August of the preceding year will be utilized in determining the value of ECI and CPI. Note:

Formula. Airframe and Optional Features price adjustments (Airframe Price Adjustment) are used to allow prices to be stated in current year dollars at the signing of this Purchase Agreement and to adjust the amount to be paid by Customer at delivery for the effects of economic fluctuation. The Airframe Price Adjustment will be determined at the time of Aircraft delivery in accordance with the following formula: **** Where: Pa = **** P = **** **** **** **** Where: ECIb is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement); ECI is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Employment Cost Index for NAICS Manufacturing – Total Compensation (BLS Series ID CIU2013000000000I), calculated by establishing a three (3) month arithmetic average value (expressed as a decimal and rounded to the nearest tenth) using the values for the 11th, 12th, and 13th months prior to the month of scheduled delivery of the applicable Aircraft. As the Employment Cost Index values are only released on a quarterly basis, the value released for the first quarter will be used for the months of January, February, and March; the value released for the second quarter will be used for the months of April, May, and June; the value released for the third quarter will be used for the months of July, August, and September; the value released for the fourth quarter will be used for the months of October, November, and December. M = **** **** **** Where: CPIb is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement); and BOEING PROPRIETARY CPI is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Consumer Price Index – All Urban Consumers (BLS Series ID CUUR0000SA0), calculated as a three (3) month arithmetic average of the released monthly values (expressed as a decimal and rounded to the nearest tenth) using the values for the 11th, 12th, and 13th months prior to the month of scheduled delivery of the applicable Aircraft. As an example, for an Aircraft scheduled to be delivered in the month of July, the months of June, July, and August of the preceding year will be utilized in determining the value of ECI and CPI. Note:

Formula. Airframe and Optional Features price adjustments (Airframe Price Adjustment) are used to allow prices to be stated in current year dollars at the signing of this Purchase Agreement and to adjust the amount to be paid by Customer at delivery for the effects of economic fluctuation. The Airframe Price Adjustment will be determined at the time of Aircraft delivery in accordance with the following formula: [**** CTR] Where: Pa = [**** P = **** **** **** **** CTR] Where: ECIb [*CTR] is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement); ECI [*CTR] is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Employment Cost Index for NAICS Manufacturing – Total Compensation (BLS Series ID CIU2013000000000I), [*CTR] calculated by establishing a three (3) three-month arithmetic average value (expressed as a decimal and rounded to the nearest tenth) using the values for the 11th, 12th, 12th and 13th months prior to the month of scheduled delivery of the applicable Aircraft. As the Employment Cost Index [*CTR] values are only released on a quarterly basis, the value released for the first quarter will be used for the months of January, February, and March; the value released for the second quarter will be used for the months of April, May, and June; the value released for the third quarter will be used for the months of July, August, and September; the value released for the fourth quarter will be used for the months of October, November, and December. M = XIA-PA-03807 AE1 SA-3 BOEING PROPRIETARY [**** **** **** CTR] Where: CPIb [*CTR] is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement); and CPI [*CTR] is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Consumer Price Index – All Urban Consumers (BLS Series ID CUUR0000SA0), [*CTR] calculated as a three (3) month arithmetic average of the released monthly values (expressed as a decimal and rounded to the nearest tenth) using the values for the 11th, 12th, and 13th months prior to the month of scheduled delivery of the applicable Aircraft. [*CTR] Where: [*CTR] is the number of calendar months which have elapsed from the Airframe Price base year and month up to and including the month of delivery, both as shown in Table 1 of the Purchase Agreement. The entire calculation of 0.005 X (N/12) will be rounded to 4 places, and the final value of [*CTR] will be rounded to the nearest dollar. As an example, for an Aircraft scheduled to be delivered in the month of July, the months of June, July, and August of the preceding year will be utilized in determining the value of ECI and CPI[*CTR]. Note:

Formula. Airframe and Optional Features price adjustments (Airframe Price Adjustment) ); are used to allow prices to be stated in current year dollars at the signing of this Purchase Agreement the applicable purchase agreement and to adjust the amount to be paid by Customer at delivery for the effects of economic fluctuation. The Airframe Price Adjustment will be determined at the time of Aircraft aircraft delivery in accordance with the following formula: **** P(a) = (P)(L + M - 1) Where: Pa P(a) = **** P Airframe Price Adjustment. (For Model 737-600, 737-700 and 737-800, the Airframe Price includes the Engine Price.) L = **** **** **** **** Where: ECIb is the .65 x ECI --- base year airframe escalation index (as set forth in Table 1 of this Purchase Agreementthe applicable purchase agreement) M = .35 x ICI --- base year index (as set forth in Table 1 of the applicable purchase agreement) P = Airframe Price plus Optional Features Price (as set forth in the applicable purchase agreement); . ECI is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Statistics "Employment Cost Index for NAICS Manufacturing – Total Compensation workers in aerospace manufacturing" (BLS Series ID CIU2013000000000IECI code 3721), calculated by establishing a three (3) three-month arithmetic average value (expressed as a decimal and rounded to the nearest tenth) using the values for the 11thfifth, 12th, sixth and 13th seventh months prior to the month of scheduled delivery of the applicable Aircraftaircraft. As the Employment Cost Index values are only released on a quarterly basis, the value released for the first quarter month of March will be used for the months of January, January and February, and March; the value released for the second quarter will be June used for the months of April, April and May, and June; the value released for the third quarter will be September used for the months of July, July and August, ; and September; the value released for the fourth quarter will be December used for the months of October, October and November, and December. M = **** **** **** Where: CPIb is the base year airframe escalation index (as set forth in Table 1 of this Purchase Agreement); and CPI ICI is a value determined using the U.S. Department of Labor, Bureau of Labor Statistics, Consumer Statistics "Producer Prices and Price Index – All Urban Consumers (BLS Series ID CUUR0000SA0)- Industrial Commodities Index", calculated as a three (3) -month arithmetic average of the released monthly values (expressed as a decimal and rounded to the nearest tenth) using the values for the 11th, 12th, and 13th months prior to the month of scheduled delivery of the applicable Aircraft. As an example, for an Aircraft scheduled to be delivered in the month of July, the months of June, July, and August of the preceding year will be utilized in determining the value of ECI and CPI. Note:the