Common use of Flight Completion Factor Clause in Contracts

Flight Completion Factor. Mesa shall not permit its FCF (defined below) for any Calendar Quarter to fall below: (i) [***] for Schedules operated out of the Phoenix Sky Harbor International Airport Hub; and (ii) [***] for Schedules operated out of the Columbus, Ohio Hub (each, an “FCF Threshold”). “FCF” is defined as the percentage of published, scheduled Flights completed for a Calendar Quarter. Flights not completed due to: (i) weather; (ii) cancellation or overflight because of no passengers; (iii) air traffic control cancellations; (iv) cancellations resulting from an emergency airworthiness directive from the FAA affecting all aircraft similarly equipped to the Aircraft in any Subfleet (not just those owned or operated by Mesa); or (v) cancellations resulting from the sole acts or omissions of AWA or its employees, including, without limitation, damage to an Aircraft, will not be included in either the numerator or denominator for calculating the FCF. Mesa, within 10 days after receipt of written demand, shall pay to AWA the FCF Penalty Amount for each tenth of a percentage point, or portion thereof, by which Mesa’s FCF for either Hub Schedule falls below the applicable FCF Threshold. The “FCF Penalty Amount” for each Hub is an amount equal to [***] times a fraction, the numerator of which is the daily average of Aircraft providing Flight Services to and from the Hub during the Calendar Quarter and the denominator of which is the daily average of all Aircraft providing Flight Services under this Agreement during the Calendar Quarter. On each anniversary date of the Contract Date the dollar amount used for calculating the FCF Penalty Amount shall be increased by the increase in the CPI, as determined in accordance with Section 7.4. AWA, within 10 days after receipt of written demand, shall pay to Mesa [***] for each tenth of a percentage point by which Mesa’s FCF system wide exceeds [***] in any Calendar Quarter. On each anniversary date of the Contract Date, the bonus amount shall be increased by the increase in CPI, as determined in accordance with Section 7.4.

Appears in 4 contracts

Samples: Code Share and Revenue Sharing Agreement (Mesa Air Group Inc), Code Share and Revenue Sharing Agreement (Mesa Air Group Inc), Code Share and Revenue Sharing Agreement (Mesa Air Group Inc)

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Flight Completion Factor. Mesa shall not permit its FCF (defined below) for any Calendar Quarter to fall below: (i) [***] for Schedules operated out of the Phoenix Sky Harbor International Airport Hub; and (ii) [***] for Schedules operated out of the Columbus, Ohio Hub (each, an "FCF Threshold"). "FCF" is ---------- *** Confidential Treatment Requested defined as the percentage of published, scheduled Flights completed for a Calendar Quarter. Flights not completed due to: (i) weather; (ii) cancellation or overflight because of no passengers; (iii) air traffic control cancellations; (iv) cancellations resulting from an emergency airworthiness directive from the FAA affecting all aircraft similarly equipped to the Aircraft in any Subfleet (not just those owned or operated by Mesa); or (v) cancellations resulting from the sole acts or omissions of AWA or its employees, including, without limitation, damage to an Aircraft, will not be included in either the numerator or denominator for calculating the FCF. Mesa, within 10 days after receipt of written demand, shall pay to AWA the FCF Penalty Amount for each tenth of a percentage point, or portion thereof, by which Mesa’s 's FCF for either Hub Schedule falls below the applicable FCF Threshold. The "FCF Penalty Amount" for each Hub is an amount equal to [***] times a fraction, the numerator of which is the daily average of Aircraft providing Flight Services to and from the Hub during the Calendar Quarter and the denominator of which is the daily average of all Aircraft providing Flight Services under this Agreement during the Calendar Quarter. On each anniversary date of the Contract Date the dollar amount used for calculating the FCF Penalty Amount shall be increased by the increase in the CPI, as determined in accordance with Section 7.4. AWA, within 10 days after receipt of written demand, shall pay to Mesa [***] for each tenth of a percentage point by which Mesa’s 's FCF system wide exceeds [***] in any Calendar Quarter. On each anniversary date of the Contract Date, the bonus amount shall be increased by the increase in CPI, as determined in accordance with Section 7.4.

Appears in 1 contract

Samples: Code Share and Revenue Sharing Agreement (Mesa Air Group Inc)

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