PURCHASEAGREEMENT No. 1977 SUPPLEMENT No. 27

EX-10.2 5 ex102.htm BOEING PURCHASE AGREEMENT ex102.htm
Exhibit 10.2

PURCHASE AGREEMENT No. 1977 SUPPLEMENT No. 27


PURCHASE AGREEMENT No. 1977 SUPPLEMENT No. 27 (this “Agreement”) dated May ____, 2008 between The Boeing Company (“Boeing”) and American Airlines, Inc. (“Customer”).

R E C I T A L S:

A.  
Boeing and Customer have heretofore entered into that certain Purchase Agreement No. 1977, dated October 31, 1997, as amended and supplemented, (capitalized terms used herein without definition shall have the meanings specified therefor in such Purchase Agreement).

B.  
Pursuant to Letter Agreement No. 6-1162-AKP-075 titled Aircraft Purchase Rights and Substitution Rights (the “Rights Letter”), Boeing and Customer have agreed to, among other things, treatment of aircraft Purchase Rights.

C.  
Customer and Boeing desire to amend and supplement the Purchase Agreement as provided below.

In consideration of the foregoing premises and other good and sufficient consideration, Boeing and Customer hereby agree as follows:


1.  
Amendment to Reflect Customer’s Exercise of MADP Rights.

1.1.  
The Purchase Agreement is amended and supplemented to reflect the exercise of [CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT] Rights Aircraft [CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT] by Customer with the Scheduled Delivery [CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT] (“Exercised MADP Aircraft”).

1.2.  
The Scheduled Delivery Month and Advanced Payment Schedule for the aircraft is set forth in Table 1A (R6), attached hereto.

 
1.3.  In recognition of the fact the configuration of Customer’s Model 737-823 Aircraft is in the process of being updated, the previously selected Optional Features that were selected during initial configuration for the Deferred Aircraft will be incorporated in Table 1A(R6) as a placeholder until Customer selects Optional Features or other desired amendments to the Detail Specification (”Configuration Changes”). The effects of all Configuration Changes, which are mutually agreed upon between Boeing and Customer for incorporation into the Detail Specification will be incorporated into Exhibit A by written amendment no later than [CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT].

2.  
Table of Contents.  The Table of Contents dated April 2008 is replaced in its entirety with the revised Table of Contents dated May 2008 (Attachment A hereto) to reflect amendments made to the Purchase Agreement by this Agreement.

3.  
MADP Rights.  Pursuant to SA 26, Attachment B (R7) to the Rights Letter is hereby replaced in its entirety with the revised Attachment B (R8) attached hereto and hereby incorporated into the Purchase Agreement. The revised number of certain Customer MADP rights pursuant to this Agreement are reflected in the attached Attachment B (R8) hereto.

4.
Supplement Exhibit BFE1. Supplement Exhibit BFE1 (R7) is hereby replaced in its entirety with the revised Supplement Exhibit BFE1 (R8) attached hereto and hereby incorporated into the Purchase Agreement. The updated on-dock dates for all contracted firm Aircraft thru December 2013 are reflected in the attached Supplement Exhibit BFE1 (R8).

5.
Advance Payments for Aircraft.  Due at signing of this Agreement, Customer owes Boeing [CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT].

6.
Effect on Purchase Agreement.  Except as expressly set forth herein, all terms and provisions contained in the Purchase Agreement shall remain in full force and effect. This Agreement contains the entire agreement between the parties with respect to the subject matter hereof and supersedes all previous proposals, and agreements, understandings, commitments or representations whatsoever, oral or written, with respect to the subject matter hereof and may be changed only in writing signed by authorized representatives of the parties.

IN WITNESS WHEREOF, Boeing and Customer have each caused this Agreement
to be duly executed as of the day and year first above written.

AMERICAN AIRLINES, INC.
 
 
By                                                      
Its VP Corporate Development and              Treasurer
THE BOEING COMPANY
 
 
By                                                         
Its    Attorney-In-Fact­­­­ 

 
Attachments:

 
Attachment A, Table of Contents (R8) to Purchase Agreement No. 1977

 
Table 1A (R6) to Purchase Agreement No. 1977, 737-800 Exercised Option Delivery, Description, Price and Advance Payments

 
Attachment B (R8) to Letter Agreement 6-1162-AKP-075, Aircraft Purchase Rights and Substitution Rights

 
Supplement Exhibit BFE1 (R8) to Purchase Agreement No. 1977, 737-823 BFE Variables

 
 

 


TABLE OF CONTENTS


 SA
ARTICLES NUMBER

1.                   Quantity, Model and Description                                                                                            SA21

2.                   Delivery Schedule

3.                   Price

4.                   Payment

5.                   Miscellaneous


TABLE

1(R3)                  Aircraft Delivery, Description, Price and SA23
Advance Payments
-Schedule 1 (R2) SA23
       1A                      (R6)                                                                                                Option Aircraft Delivery, Description, Price and                               SA27
Advance Payments

EXHIBITS

A.                    Aircraft Configuration

B.                    Aircraft Delivery Requirements and Responsibilities

C.                    Defined Terms


SUPPLEMENTAL EXHIBITS

     AE1                      Escalation Adjustment Airframe and Optional Features SA20

BFE1(R8)                                                                                                                             BFE VariablesSA27

CS1                   Customer Support Variables

SLP1                    Service Life Policy Components

EE1                   Engine Escalation, Engine Warranty and Patent Indemnity

 
 

 

LETTER AGREEMENTS

6-1162-AKP-070Miscellaneous Commitments for Model 737, 757,
767 and 777 Aircraft

6-1162-AKP-071                                                              Purchase Obligations

[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]

[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]

6-1162-AKP-074R2 Business Considerations

6-1162-AKP-075Aircraft Purchase Rights and Substitution Rights
- Attachment A
- Attachment B(R8) SA27
- Attachment C(R4) SA26

6-1162-AKP-076 Aircraft Performance Guarantees

6-1162-AKP-077 Spares Matters

6-1162-AKP-078 Model 737 Miscellaneous Commitments

[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]

6-1162-AKP-080 Installation of Cabin Systems Equipment

6-1162-AKP-081 Model 737 Maintenance Cost Commitment

6-1162-AKP-082 Confidentiality

[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]

[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]

[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]

6-1162-AKP-117 Delivery Schedule

[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]

 
 

 

BUYER FURNISHED EQUIPMENT VARIABLES

between

THE BOEING COMPANY

and

AMERICAN AIRLINES, INC.


Supplemental Exhibit BFE1 to Purchase Agreement Number 1977




 
 

 

BUYER FURNISHED EQUIPMENT VARIABLES

relating to

BOEING MODEL 737 AIRCRAFT


This Supplemental Exhibit BFE1 contains vendor selection dates, on-dock dates and other variables applicable to the Aircraft.


1.           Supplier Selection.

Customer will:

1.1           Select and notify Boeing of the suppliers and part numbers of the following BFE items by the following dates:

Galley System                                                                           Complete

Galley Inserts                                                                           Complete

Seats (passenger)                                                                           Complete

Cabin Systems Equipment                                                                                     Complete

Miscellaneous Emergency Equipment                                                                                     Complete

Cargo Handling Systems                                                                           Complete


For a new certification, supplier requires notification [CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT] prior to
Cargo Handling System on-dock date.



 
 

 




2.           On-dock Dates

 On or before [CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT], Boeing will provide to Customer a BFE Requirements On-Dock/Inventory Document (BFE Document) or an electronically transmitted BFE Report which may be periodically revised, setting forth the items, quantities, on-dock dates and shipping instructions relating to the in-sequence installation of BFE.  For planning purposes, a preliminary BFE on-dock schedule is set forth below:


Item                                                              Preliminary On-Dock Dates
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]

     
 
Aircraft
Aircraft
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]
Seats
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]
 
 
Galleys/Furnishings
   
Antennas & Mounting Equipment
   
Avionics
   
Cabin Systems Equipment
   
Miscellaneous Emergency Equipment
   
Textiles/Raw Material
   
Cargo Systems
   
Provision Kits
   
Winglets
   



 
 

 

 
Item                                                              Preliminary On-Dock Dates
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]

     
 
Aircraft
Aircraft
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]
Seats
   
Galleys/Furnishings
   
Antennas & Mounting Equipment
   
Avionics
   
Cabin Systems Equipment
   
Miscellaneous Emergency Equipment
   
Textiles/Raw Material
   
Cargo Systems
   
Provision Kits
   
Winglets
   




Item                                                              Preliminary On-Dock Dates
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]

     
 
Aircraft
Aircraft
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]
Seats
   
Galleys/Furnishings
   
Antennas & Mounting Equipment
   
Avionics
   
Cabin Systems Equipment
   
Miscellaneous Emergency Equipment
   
Textiles/Raw Material
   
Cargo Systems
   
Provision Kits
   
Winglets
   



Item                                                              Preliminary On-Dock Dates

     
 
Aircraft
Aircraft
Seats
   
Galleys/Furnishings
   
Antennas & Mounting Equipment
   
Avionics
   
Cabin Systems Equipment
   
Miscellaneous Emergency Equipment
   
Textiles/Raw Material
   
Cargo Systems
   
Provision Kits
   
Winglets
   



Item                                                              Preliminary On-Dock Dates
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]

     
 
Aircraft
Aircraft
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]
Seats
   
Galleys/Furnishings
   
Antennas & Mounting Equipment
   
Avionics
   
Cabin Systems Equipment
   
Miscellaneous Emergency Equipment
   
Textiles/Raw Material
   
Cargo Systems
   
Provision Kits
   
Winglets
   


 

Item                                                              Preliminary On-Dock Dates

     
 
Aircraft
Aircraft
Seats
   
Galleys/Furnishings
   
Antennas & Mounting Equipment
   
Avionics
   
Cabin Systems Equipment
   
Miscellaneous Emergency Equipment
   
Textiles/Raw Material
   
Cargo Systems
   
Provision Kits
   
Winglets
   

 

Item                                                              Preliminary On-Dock Dates
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]

   
 
Aircraft
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]
Seats
 
Galleys/Furnishings
 
Antennas & Mounting Equipment
 
Avionics
 
Cabin Systems Equipment
 
Miscellaneous Emergency Equipment
 
Textiles/Raw Material
 
Cargo Systems
 
Provision Kits
 
Winglets
 


 
 

 

Item                                                              Preliminary On-Dock Dates

     
 
Aircraft
Aircraft
Seats
   
Galleys/Furnishings
   
Antennas & Mounting Equipment
   
Avionics
   
Cabin Systems Equipment
   
Miscellaneous Emergency Equipment
   
Textiles/Raw Material
   
Cargo Systems
   
Provision Kits
   
Winglets
   



Item                                                              Preliminary On-Dock Dates

     
 
Aircraft
Aircraft
Seats
   
Galleys/Furnishings
   
Antennas & Mounting Equipment
   
Avionics
   
Cabin Systems Equipment
   
Miscellaneous Emergency Equipment
   
Textiles/Raw Material
   
Cargo Systems
   
Provision Kits
   
Winglets
   







Item                                                              Preliminary On-Dock Dates

     
 
Aircraft
Aircraft
Seats
   
Galleys/Furnishings
   
Antennas & Mounting Equipment
   
Avionics
   
Cabin Systems Equipment
   
Miscellaneous Emergency Equipment
   
Textiles/Raw Material
   
Cargo Systems
   
Provision Kits
   
Winglets
   




Item                                                              Preliminary On-Dock Dates

     
 
Aircraft
Aircraft
Seats
   
Galleys/Furnishings
   
Antennas & Mounting Equipment
   
Avionics
   
Cabin Systems Equipment
   
Miscellaneous Emergency Equipment
   
Textiles/Raw Material
   
Cargo Systems
   
Provision Kits
   
Winglets
   






Item                                                              Preliminary On-Dock Dates

     
 
Aircraft
Aircraft
Seats
   
Galleys/Furnishings
   
Antennas & Mounting Equipment
   
Avionics
   
Cabin Systems Equipment
   
Miscellaneous Emergency Equipment
   
Textiles/Raw Material
   
Cargo Systems
   
Provision Kits
   
Winglets
   




[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]
Item                                                              Preliminary On-Dock Dates

   
 
Aircraft
[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]
Seats
 
Galleys/Furnishings
 
Antennas & Mounting Equipment
 
Avionics
 
Cabin Systems Equipment
 
Miscellaneous Emergency Equipment
 
Textiles/Raw Material
 
Cargo Systems
 
Provision Kits
 
Winglets
 



 
 

 



3.  
Additional Delivery Requirements

Customer will insure that Customer’s BFE suppliers provide sufficient information to enable Boeing, when acting as Importer of Record for Customer’s BFE, to comply with all applicable provisions of the U.S. Customs Service.

Table 1A (R6) to Purchase Agreement No. 1977

[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]