Frontier Airlines 2006 Annual Report Download - page 256

ARTICLE IV RAI OPERATIONS AND AGREEMENTS WITH FRONTIER
Section 4.01 Crews, Etc. RAI shall be responsible for providing all crews (flight and cabin) and maintenance personnel
necessary to operate the Scheduled Flights and for all aspects (personnel and other) of dispatch control. Flight crews will be domiciled
in Denver, Colorado and Indianapolis, Indiana and any other location deemed suitable for RAI’s staffing requirements. RAI will
maintain pilot reserves sufficient to achieve performance objectives set forth in Section 4.03, but no lower than [* ], throughout the
Term. RAI pilots will wear neutral uniforms with RAI logo items. RAI flight attendants will wear neutral uniforms with accessories
displaying approved Frontier Marks and designs. RAI flight attendants will obtain Frontier branded accessories through Frontier or its
approved vendor (subject to the vendor’s approval), and will be responsible for all costs and expenses, including shipping, relating to
their orders.
Section 4.02 Governmental Regulations. Except as noted in Section 9.01(j), RAI has and shall maintain all certifications,
permits, licenses, certificates, exemptions, approvals, plans, and insurance required by governmental authorities, including, without
limitation, FAA, DOT and TSA, to enable RAI to perform the services required by this Agreement. All flight operations, dispatch
operations and all other operations and services undertaken by RAI pursuant to this Agreement shall be conducted, operated and
provided by RAI in compliance with all U.S. and foreign governmental laws, regulations and requirements, including, without
limitation, those relating to airport security, the use and transportation of hazardous materials and dangerous goods, crew
qualifications, crew training and crew hours, the carriage of persons with disabilities and without any violation of U.S. or foreign laws,
regulations or governmental prohibitions. All Covered Aircraft shall be operated and maintained by RAI in compliance with all laws,
regulations and governmental requirements, RAI's own operations manuals and maintenance manuals and procedures, and all
applicable equipment manufacturers' manuals and instructions.
Section 4.03 Quality of Service. At all times, RAI shall provide Regional Airline Services with appropriate standards of
care, but in no event lower than such standards held by Frontier as of the date of this Agreement. Frontier procedures, performance
standards and means of measurement thereof concerning the provision of air passenger and air cargo services shall be applicable to all
Regional Airline Services provided by RAI. RAI shall achieve at least the comparable quality of airline service as provided by
Frontier, subject to limitations imposed by the type of aircraft used by RAI and its route network. RAI shall comply with all airline
customer service commitments and policies of Frontier as of the date hereof, including without limitation the employee conduct,
appearance and training policies in place as of the date hereof, and shall handle customer-related services in a professional,
businesslike and courteous manner. In connection therewith, RAI shall maintain aircraft cleaning cycles and policies, and shall
maintain adequate staffing levels, to achieve a level of operations that routinely meet or exceed the on-time performance Target
Threshold and the completion factor Target Threshold as set forth in Appendix 2 to Exhibit D. RAI shall provide Frontier with timely
communication regarding the status of all Scheduled Flights. At either party's request, RAI and Frontier will meet to discuss and
review RAI's customer service and handling procedures and policies and its employees' conduct, appearance and training standards
and policies. Frontier shall give RAI not less than 15 days prior written notice of any non-safety-related breach of this Section 4.03
prior to exercising any remedy regarding such breach.
Section 4.04 Incidents or Accidents. RAI shall promptly notify Frontier of all irregularities involving a Scheduled Flight or
Covered Aircraft operated by RAI, including, without limitation, aircraft accidents and incidents, which result in any damage to
persons and/or property or may otherwise result in a complaint or claim by passengers or an investigation by a governmental agency
or authority. RAI shall furnish to Frontier as much detail as practicable concerning such irregularities and shall cooperate with Frontier
at RAI's own expense in any appropriate investigation.
Section 4.05 Emergency Response. RAI shall adopt Frontier's Emergency Response Plan for aircraft accidents or incidents.
In the event of an accident or incident involving a Covered Aircraft or Scheduled Flight, Frontier will have the right to manage the
emergency response efforts on behalf of RAI with full cooperation from RAI and if such right is exercised, RAI acknowledges and
agrees that Frontier representatives will conduct all public communications, and that RAI will make no public statements, regarding
such accident or incident.
Section 4.06 Safety Matters. In the event of a reasonable safety concern, Frontier shall have the right, at its own cost, to
inspect, review, and observe RAI's operations of Scheduled Flights. Notwithstanding the conduct or absence of any such review, RAI
is and shall remain solely responsible for the safe operation of its aircraft and the safe provision of Regional Airline Services,
including all Scheduled Flights, and nothing in this Section 4.06 or otherwise in this Agreement is intended or shall be interpreted to
Source: REPUBLIC AIRWAYS HOLDINGS INC, 10-K, March 15, 2007 Powered by Morningstar® Document Research℠