Exhibit 10.21
N281SK
Chautauqua Airlines, Inc.
0000 Xxxxx Xxxx Xxxxxx Xxxx
Xxxxxxxxxxxx, Xxxxxxx 00000
February 23, 2001
First Security Bank, National Association
00 Xxxxx Xxxx Xxxxxx
Xxxx Xxxx Xxxx, Xxxx 00000
General Electric Capital Corporation
000 Xxxx Xxxxx Xxxx
Xxxxxxxx, Xxxxxxxxxxx 00000
Re: Participation Agreement [N281SK], dated as of February 23, 2001 (the
"Participation Agreement"), among Chautauqua Airlines, Inc. (the
"Lessee"), General Electric Capital Corporation ("GECC") and First
Security Bank, National Association, as Owner Trustee (the "Owner
Trustee"). Capitalized terms used and not defined herein shall be given
the meanings assigned in the Participation Agreement.
Dear Madams/Sirs:
The parties hereto agree that this letter shall be an Operative Agreement and
that for all purposes of the Participation Agreement and other Operative
Agreements, the first paragraph of Section 4.02(e) of the Participation
Agreement shall be deemed to be amended by adding at the end thereof:
"In addition to the foregoing requirements, so long as GECC or an
Affiliate of GECC is the Owner Participant, (x) during the first five
(5) years of the Term, the Lessee shall not enter into any merger with
or into or consolidation with, or sell, convey, transfer, lease or
otherwise dispose of in one or a series of transactions all or
substantially all of its assets to any Person nor shall Wexford Air
Holdings, Inc. (the "Wexford Shareholder") sell any of its shares of
common stock in the Lessee (collectively, a "Transaction") without the
prior written consent of the Lessee, such consent not to be
unreasonably withheld, unless: (a) following such Transaction, the
Wexford Shareholder is the shareholder owning the greatest number of
shares of common stock of the Lessee or other surviving entity; or (b)
the acquiring or successor entity in such Transaction is a Certificated
Air Carrier with a tangible net worth of not less than $50,000,000 or a
Group III air carrier as determined under 14 CFR 241, Section 04 (or,
if such determination has not been made, an air carrier with annual
operating revenues of $1,000,000,000) or (c)
immediately following the Transaction, Lessee receives and retains net
proceeds of at least $25,000,000; and (y) clause (2) of the proviso in the
immediately preceding sentence shall not apply during the first five (5)
years of the Term with respect to any Transaction that otherwise fully
satisfies any one of the conditions set forth in subclauses (a), (b) or
(c) in clause (x) of this paragraph.
The agreement stated in this letter is for the sole benefit of GECC and
its Affiliates and shall terminate if at any time GECC or an Affiliate
ceases to be the Owner Participant. Each party agrees that it will not
disclose the terms of this letter (other than to its accountants,
attorneys, agents or consultants), including to potential assignees,
except as required by law.
If you agree with the terms of this letter, please so indicate by
executing the letter where indicated below.
[SIGNATURE PAGE FOLLOWS]
Very truly yours,
CHAUTAUQUA AIRLINES, INC.
By: /s/ Xxxxxx X. Xxxxxx
----------------------------
Name: Xxxxxx X. Xxxxxx
Title: Vice President
ACCEPTED AND AGREED:
FIRST SECURITY BANK, NATIONAL ASSOCIATION,
as Owner Trustee
By: /s/ Xxxx X. Xxxxxx
----------------------------
Name: Xxxx X. Xxxxxx
Title: Vice President
GENERAL ELECTRIC CAPITAL CORPORATION
By: /s/ Xxxxxx Xxx
----------------------------
Name: Xxxxxx Xxx
Title: Vice President
NOTE TO EXHIBIT 10.21
The 15 additional Letter Agreements are substantially identical in all
material respects to the filed Letter Agreement except as follows:
------------------------------------- ----------------------------------- -----------------------------------
TAIL NUMBER CLOSING DATE OWNER-PARTICIPANT
------------------------------------- ----------------------------------- -----------------------------------
N265SK June, 2000 General Electric Capital Corporation
------------------------------------- ----------------------------------- -----------------------------------
N267SK June, 2000 General Electric Capital Corporation
------------------------------------- ----------------------------------- -----------------------------------
N268SK June, 2000 General Electric Capital Corporation
------------------------------------- ----------------------------------- -----------------------------------
N269SK August, 2000 General Electric Capital Corporation
------------------------------------- ----------------------------------- -----------------------------------
N270SK August, 2000 General Electric Capital Corporation
------------------------------------- ----------------------------------- -----------------------------------
N271SK September, 2000 General Electric Capital Corporation
------------------------------------- ----------------------------------- -----------------------------------
N272SK September, 2000 General Electric Capital Corporation
------------------------------------- ----------------------------------- -----------------------------------
N273SK November, 2000 Aircraft Services Corp.
------------------------------------- ----------------------------------- -----------------------------------
N274SK December, 2000 Aircraft Services Corp.
------------------------------------- ----------------------------------- -----------------------------------
N275SK December, 2000 Aircraft Services Corp.
------------------------------------- ----------------------------------- -----------------------------------
N276SK December, 2000 Aircraft Services Corp.
------------------------------------- ----------------------------------- -----------------------------------
N277SK December, 2000 Aircraft Services Corp.
------------------------------------- ----------------------------------- -----------------------------------
N278SK February, 2001 Aircraft Services Corp.
------------------------------------- ----------------------------------- -----------------------------------
N279SK January, 2001 Aircraft Services Corp.
------------------------------------- ----------------------------------- -----------------------------------
N280SK February, 2001 Aircraft Services Corp.
------------------------------------- ----------------------------------- -----------------------------------
------------------------------------- ----------------------------------- -----------------------------------
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