2285-03
American Trans Air, Inc.
0000 Xxxx Xxxxxxxxxx Xx.
Xxxxxxxxxxxx Xxxxxxxxxxxxx Xxxxxxx
Xxxxxxxxxxxx, Xxxxxxx 00000
Subject: Flight Crew Training Spare Parts Support
Reference: Purchase Agreement 2285 (the Purchase Agreement) between The
Boeing Company (Boeing) and American Trans Air, Inc. (Customer) relating to
Model 757-33N aircraft (the Aircraft)
This Letter Agreement is entered into on the date below, and amends and
supplements the Agreement. All terms used but not defined in this
Letter Agreement have the same meaning as in the Agreement.
DEFINITION OF TERMS:
FLIGHT CREW TRAINING: Flight training conducted by Boeing and occurring
immediately following delivery of the Aircraft.
REMOVED PARTS: Parts removed from an Aircraft during Flight Crew Training.
REPLACEMENT PARTS: Parts taken from Boeing inventory and installed in an
Aircraft because no Standby Parts are available.
STANDBY PARTS: Parts which are owned by Customer and located at Customer's
designated storage area at Boeing to support Flight Crew Training.
TRAINING AIRCRAFT: The Aircraft delivered to Customer and used for Flight
Crew Training.
1. PROVISIONING OF SPARE PARTS
To support Flight Crew Training, Boeing agrees to provide
normal line maintenance and expendable spare parts at no charge on the
Training Aircraft; and Customer agrees to provide Standby Parts for the
Training Aircraft. The Standby Parts list, including part numbers,
exact quantities and on-dock dates, will be established during the
provisioning meeting.
If parts other than those discussed above fail on the Training
Aircraft during Flight Crew Training, Boeing will attempt to provide
Replacement Parts for those failed parts. If Boeing is unable to
provide Replacement Parts, Customer will be responsible for providing
those parts.
2. DISPOSITION OF REMOVED PARTS
With respect to Removed Parts, Boeing may:
(i) repair such Removed Parts, at no charge to Customer, and either retain
such parts as Standby Spare Parts or return the Removed Parts to Customer, at
Customer expense;
(ii) return the Removed Parts to Customer at Customer's expense; or
(iii) return the Removed Parts to the manufacturer for repair or
replacement under such manufacturer's warranty. Upon Boeing's receipt of the
repaired Removed Parts or their replacements, Boeing may retain such Removed
Parts or their replacements as Standby Parts or return such Removed Parts or
their replacements to Customer, at Customer's expense.
Any Removed Parts returned to Customer, or replacements, will
be accomplished in accordance with any written instructions from
Customer received by Boeing prior to such return.
3. REDELIVERY OF STANDBY PARTS
Standby Parts not installed in the Training Aircraft will be
redelivered to Customer on board the last aircraft used for Flight Crew
Training.
4. NON-PERFORMANCE BY CUSTOMER
If Customer's non-performance of obligations in this Letter
Agreement causes a delay in the Flight Crew Training, Customer will be
deemed to have agreed to any such delay in Flight Crew Training. In
addition, Boeing will have the right to:
(i) purchase Standby Spare Parts and invoice Customer for the price of such
Parts and for any necessary adjustment and calibration of such Parts;
(ii) cancel or reschedule the Flight Crew Training.
(iii) invoice Customer for any expenses, including but not limited to
ground handling expenses, maintenance costs and storage costs, that are directly
attributable to the delay in the Flight Crew Training.
5. CUSTOMER WARRANTY
Customer warrants that the Standby Parts will meet the
requirements of the Detail Specification and be in a condition to pass
Boeing's receiving inspection and functional test, and if not in a new
condition, will have an attached FAA Serviceable Parts Tag.
6. TITLE AND RISK OF LOSS
Title to and risk of loss of any Standby Parts or Removed
Parts will remain with Customer. Boeing will have only such liability
for Standby Parts and Removed Parts as a bailee for mutual benefit
would have, but will not be liable for loss of use. For Replacement
Parts, title will transfer to Customer at the time such part is
installed on the Training Aircraft.
Very truly yours,
THE BOEING COMPANY
By
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Its ATTORNEY-IN-FACT
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ACCEPTED AND AGREED TO this
Date: , 2000
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AMERICAN TRANS AIR, INC.
By
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Its
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