Frontier Airlines 2006 Annual Report Download - page 146

ATTACHMENT “E” - DIRECT MAINTENANCE COST GUARANTEE
e. Parts Repair: All shop repairs shall be performed in Embraer’s or Embraer’s suppliers’ authorized repair shops.
f. Staff levels: Buyer shall have available reasonable staff to properly maintain the Aircraft during scheduled and
unscheduled maintenance. This shall include, but not be limited to, mechanics, electricians, avionics specialists, inspectors,
cleaners, ground personnel and flight crews licensed or certified by the applicable Air Authority as required by the
applicable Air Authority regulations.
g. Training: Buyer is required to put in place a training program approved by the local airworthiness authority, which, at a
minimum, shall include the following items:
1. initial and recurrent training for pilots in the Aircraft;
2. initial and recurrent training for flight attendants in the Aircraft; and
3. initial and recurrent training for the maintenance staff (airframe, powerplant, electric avionics specialists) in the
Aircraft.
A reasonable number of maintenance specialist will require supplier’s training.
Buyer is required to train to the above standards a reasonable number of new hired employee who will work in or on the
Aircraft.
h. Spare Parts Limitation: Spare parts price shall not exceed the prices obtainable from Embraer. In the event that Embraer
cannot supply a part to Buyer in a reasonable time frame, Embraer may authorize the purchase of such part by Buyer from
a third party at a price in excess of Embraer’s price, Embraer and Buyer will mutually agree on the portion of such price to
be included in this guarantee provided Buyer maintained the minimum stock level recommended by Embraer.
i. Buyer will be required to provide Embraer an every three month service bulletin status report, containing service bulletin
number, Aircraft serial number, Aircraft total time and total cycles.
j. Ground Support Equipment: Embraer shall provide Buyer a list of tooling and ground support equipment required to
maintain the Aircraft, this list shall be subject to Buyer’s reasonable approval. Buyer will be required to maintain
these levels of required tooling and ground support equipment in good working order at all times.
k. Reliability Reporting: Buyer is to provide monthly to Embraer an Aircraft reliability report. This report shall include
Aircraft total time and cycles, component removals, shop finding reports and tear down reports (for each failure completed)
by authorized agencies and SDR’s (Service Difficult Report) with date, Aircraft registration, problem description,
maintenance action, and part number and serial number of the components removed and installed. Buyer shall use the ATA
100 chapter breakdown format for all reports.
l. Accounting System:
Source: REPUBLIC AIRWAYS HOLDINGS INC, 10-K, March 15, 2007 Powered by Morningstar® Document Research℠