Exhibit 10.1
Exhibit 10.1 |
April 14, 2006
ExpressJet Holdings, Inc.
XJT Holdings, Inc.
ExpressJet Airlines, Inc.
Attn.: Frederick S. Cromer
Chief Financial Officer
1600 Smith Street, HQSCE
Houston, TX 77002
Fifth Amendment to the Capacity Purchase Agreement
Ladies and Gentlemen:
As you are aware, ExpressJet Holdings, Inc., XJT Holdings, Inc. and ExpressJet Airlines, Inc. (collectively, “Contractor”) and Continental Airlines, Inc. (“Continental”), are each parties to an Amended and Restated Capacity Purchase Agreement dated as of April 17, 2002, as amended by the first, second, third and fourth amendments thereto, dated March 27, 2003, December 9, 2003, September 28, 2004, and March 11, 2005 respectively (as so amended, the “CPA”). This Fifth Amendment to the CPA is dated April 14, 2006 but shall be effective January 1, 2006.
Continental and Contractor each desire to amend the CPA as follows:
1. Pursuant to Section 3.02 of the CPA, Block Hour Rates and the compensation described in paragraphs A(1) and A(2)(c) of Schedule 3 are hereby adjusted as described in the revised Appendices to Schedule 3 attached hereto.
Capitalized terms not defined herein shall be defined as provided in the CPA. Except as specifically amended or modified hereby, the CPA shall remain in effect as written. This Amendment may be signed in counterparts.
If Contractor is in agreement with the above Fifth Amendment to the CPA, please indicate its agreement by having an authorized representative sign below in the space provided and return a signed copy of this Amendment to the undersigned at the address above.
Very truly yours,
Continental Airlines, Inc.
By: __\s\ Mark A. Erwin______________________
Senior Vice President – Asia/Pacific &
Corporate Development
Agreed: EXPRESSJET HOLDINGS, Inc.
XJT HOLDINGS, INC.
EXPRESSJET AIRLINES, INC.
By: __\s\ Frederick S. Cromer__________
Vice President and Chief Financial Officer
Appendix 1 | |||||||||||||||
| |||||||||||||||
Appendix 1 Expenses (000's) | |||||||||||||||
| Column | Column | Column | Column | Column | Column | Column | Column | Column | Column | Column | Column | Column | Column | Column |
Date | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 |
Jan-06 |
[CONFIDENTIAL MATERIAL OMITTED AND FILED SEPARATELY WITH THE SECURITIES
| ||||||||||||||
Feb-06 |
| ||||||||||||||
Mar-06 | |||||||||||||||
Apr-06 | |||||||||||||||
May-06 | |||||||||||||||
Jun-06 | |||||||||||||||
Jul-06 | |||||||||||||||
Aug-06 | |||||||||||||||
Sep-06 | |||||||||||||||
Oct-06 | |||||||||||||||
Nov-06 | |||||||||||||||
Dec-06 |
Appendix 2 | |||||
| |||||
2006 Benchmark Rates | |||||
| First | First | Second | Headstart Ontime | Baggage Handling |
Date | Benchmark Factor | Cancellation Rate | Cancellation Rate | Benchmark | Benchmark |
Jan-06 | |||||
Feb-06 | [CONFIDENTIAL MATERIAL OMITTED AND FILED SEPARATELY WITH THE SECURITIES | ||||
Mar-06 | |||||
Apr-06 | |||||
May-06 | |||||
Jun-06 | |||||
Jul-06 | |||||
Aug-06 | |||||
Sep-06 | |||||
Oct-06 | |||||
Nov-06 | |||||
Dec-06 |
| |||||
2005 Actual Rates | |||||
| First | First | Second | Headstart Ontime | Baggage Handling |
Date | Benchmark Factor | Cancellation Rate | Cancellation Rate | Benchmark | Benchmark |
Jan-05 | |||||
Feb-05 | [CONFIDENTIAL MATERIAL OMITTED AND FILED SEPARATELY WITH THE SECURITIES | ||||
Mar-05 | |||||
Apr-05 | |||||
May-05 | |||||
Jun-05 | |||||
Jul-05 | |||||
Aug-05 | |||||
Sep-05 | |||||
Oct-05 | |||||
Nov-05 | |||||
Dec-05 |
| |||||
2004 Actual Rates | |||||
| First | First | Second | Headstart Ontime | Baggage Handling |
Date | Benchmark Factor | Cancellation Rate | Cancellation Rate | Benchmark | Benchmark |
Jan-04 | |||||
Feb-04 | [CONFIDENTIAL MATERIAL OMITTED AND FILED SEPARATELY WITH THE SECURITIES | ||||
Mar-04 | |||||
Apr-04 | |||||
May-04 | |||||
Jun-04 | |||||
Jul-04 | |||||
Aug-04 | |||||
Sep-04 | |||||
Oct-04 | |||||
Nov-04 | |||||
Dec-04 |
2003 Actual Rates | |||||
| First | First | Second | Headstart Ontime | Baggage Handling |
Date | Benchmark Factor | Cancellation Rate | Cancellation Rate | Benchmark | Benchmark |
Jan-03 | |||||
Feb-03 | [CONFIDENTIAL MATERIAL OMITTED AND FILED SEPARATELY WITH THE SECURITIES | ||||
Mar-03 | |||||
Apr-03 | |||||
May-03 | |||||
Jun-03 | |||||
Jul-03 | |||||
Aug-03 | |||||
Sep-03 | |||||
Oct-03 | |||||
Nov-03 | |||||
Dec-03 |
2002 Actual Rates | |||||
| First | First | Second | Headstart Ontime | Baggage Handling |
Date | Benchmark Factor | Cancellation Rate | Cancellation Rate | Benchmark | Benchmark |
Jan-02 | |||||
Feb-02 | [CONFIDENTIAL MATERIAL OMITTED AND FILED SEPARATELY WITH THE SECURITIES | ||||
Mar-02 | |||||
Apr-02 | |||||
May-02 | |||||
Jun-02 | |||||
Jul-02 | |||||
Aug-02 | |||||
Sep-02 | |||||
Oct-02 | |||||
Nov-02 | |||||
Dec-02 |
2001 Actual Rates | |||||
| First | First | Second | Headstart Ontime | Baggage Handling |
Date | Benchmark Factor | Cancellation Rate | Cancellation Rate | Benchmark | Benchmark |
Jan-01 | |||||
Feb-01 | [CONFIDENTIAL MATERIAL OMITTED AND FILED SEPARATELY WITH THE SECURITIES | ||||
Mar-01 | |||||
Apr-01 | |||||
May-01 | |||||
Jun-01 | |||||
Jul-01 | |||||
Aug-01 | |||||
Sep-01 | |||||
Oct-01 | |||||
Nov-01 | |||||
Dec-01 |
Appendix 3 | ||
Appendix 3 Block Hour Rates | ||
Date | RJ135 | RJ145 |
Benchmark SL | XXX | XXX |
Jan-06 | ||
Feb-06 | [CONFIDENTIAL | |
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 4 | ||
Appendix 4 Block Hour Rates | ||
Date | RJ135 | RJ145 |
Jan-06 | ||
Feb-06 | [CONFIDENTIAL | |
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 5 | ||||||||||
Appendix 5 Block Hour Rates | GH Variable Block Hour | Variable Pool Expense Block Hour | ||||||||
Date | RJ135 | RJ145 | Date | RJ135 | RJ145 | Date | RJ135 | RJ145 | ||
Jan-06 | Jan-06 | Jan-06 | ||||||||
Feb-06 | [CONFIDENTIAL | Feb-06 | [CONFIDENTIAL | Feb-06 | [CONFIDENTIAL | |||||
Mar-06 | Mar-06 | Mar-06 | ||||||||
Apr-06 | Apr-06 | Apr-06 | ||||||||
May-06 | May-06 | May-06 | ||||||||
Jun-06 | Jun-06 | Jun-06 | ||||||||
Jul-06 | Jul-06 | Jul-06 | ||||||||
Aug-06 | Aug-06 | Aug-06 | ||||||||
Sep-06 | Sep-06 | Sep-06 | ||||||||
Oct-06 | Oct-06 | Oct-06 | ||||||||
Nov-06 | Nov-06 | Nov-06 | ||||||||
Dec-06 | Dec-06 | Dec-06 |
Appendix 6 | ||
Appendix 6 Block Hour Rates | ||
Date | RJ135 | RJ145 |
Jan-06 | ||
Feb-06 | [CONFIDENTIAL | |
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 7 | ||
Appendix 7 Block Hours | ||
Date | RJ135 | RJ145 |
Row 1 | ||
Row 2 | [CONFIDENTIAL | |
Row 3 | ||
Appendix 7 Block Hours |
Appendix 8 | |||
| First Forecast | First Forecast | First Forecast |
Date | Rates | Rate - Component 1 | Rate - Component 2 |
Jan-06 | |||
Feb-06 | [CONFIDENTIAL MATERIAL OMITTED AND FILED SEPARATELY | ||
Mar-06 | |||
Apr-06 | |||
May-06 | |||
Jun-06 | |||
Jul-06 | |||
Aug-06 | |||
Sep-06 | |||
Oct-06 | |||
Nov-06 | |||
Dec-06 |
Appendix 9 | |||
Appendix 9 Rates Per Block Hour | |||
EMB135 | EMB145 | ||
Stage | Gallons | Stage | Gallons |
Length | per Blk Hr | Length | per Blk Hr |
| |||
[CONFIDENTIAL MATERIAL | |||
Appendix 10 | ||
Appendix 10 Fees | ||
Date | Invoice Rate | Reconciliation Rate |
Jan-06 | ||
Feb-06 | [CONFIDENTIAL MATERIAL OMITTED AND FILED SEPARATELY | |
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 11 | ||
First Incremental Cost Rates | ||
Date | RJ135 | RJ145 |
Jan-06 | ||
Feb-06 | [CONFIDENTIAL MATERIAL OMITTED | |
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 12 | ||
Second Incremental Cost Rates | ||
Date | RJ135 | RJ145 |
Jan-06 | ||
Feb-06 | [CONFIDENTIAL | |
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 13 | ||
Appendix 13 Incremental Cost Rates | ||
Date | RJ135 | RJ145 |
Jan-06 | ||
Feb-06 | [CONFIDENTIAL | |
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 14 | ||
Appendix 14 Block Hour Rates | ||
Date | RJ135 | RJ145 |
Benchmark SL | ||
Jan-06 | [CONFIDENTIAL | |
Feb-06 | ||
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 15 | |
Fifth Incremental Cost Rate Allocation | |
Expense | Allocation Methodology |
Aircraft Rent | |
Maintenance Overhead | [CONFIDENTIAL |
Hull Insurance | |
War Risk Insurance | |
Employee Incentives | |
Property Taxes | |
Depreciation | |
Management Fee | |
General & Administrative | |
Airport Overhead | |
CAL Fixed Pool of Expenses | |
Glycol | |
Snow Removal | |
De-icing | |
Airport Facility Rent | |
3rd Party Ground Handling |
Appendix 16a | |||
Pilot Hotel Volume | |||
Date | Cost per Contract | Contract Hotel Stays Per | Rate Per Block Hour For |
| Hotel Stay | Scheduled Block Hour | Extraordinary Hotel Stays |
Jan-06 | |||
Feb-06 | [CONFIDENTIAL MATERIAL OMITTED | ||
Mar-06 | |||
Apr-06 | |||
May-06 | |||
Jun-06 | |||
Jul-06 | |||
Aug-06 | |||
Sep-06 | |||
Oct-06 | |||
Nov-06 | |||
Dec-06 |
Appendix 16b | |||
Flight Attendant Hotel Volume | |||
Date | Cost per Contract | Contract Hotel Stays Per | Rate Per Block Hour For |
| Hotel Stay | Scheduled Block Hour | Extraordinary Hotel Stays |
Jan-06 | |||
Feb-06 | [CONFIDENTIAL MATERIAL OMITTED | ||
Mar-06 | |||
Apr-06 | |||
May-06 | |||
Jun-06 | |||
Jul-06 | |||
Aug-06 | |||
Sep-06 | |||
Oct-06 | |||
Nov-06 | |||
Dec-06 |
Appendix 18a | ||
Pilot Per Diem | ||
| Amount Payable | Per Diem Hours per |
Date | Per Diem Hour | Scheduled Block Hour |
Jan-06 | ||
Feb-06 | [CONFIDENTIAL MATERIAL OMITTED | |
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 18b | ||
Flight Attendant Per Diem | ||
| Amount Payable | Per Diem Hours per |
Date | Per Diem Hour | Scheduled Block Hour |
Jan-06 | ||
Feb-06 | [CONFIDENTIAL MATERIAL OMITTED | |
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 21 | ||||||
Airport Agent Volume Reconciliation | ||||||
| Amount Payable Per | Agent | Implied | Implied | Implied | Implied |
Date | Agent Paid Hour | Paid Hours | Sick Time % | Overtime % | Holiday % | Vacation % |
Jan-06 | ||||||
Feb-06 | [CONFIDENTIAL MATERIAL OMITTED | |||||
Mar-06 | ||||||
Apr-06 | ||||||
May-06 | ||||||
Jun-06 | ||||||
Jul-06 | ||||||
Aug-06 | ||||||
Sep-06 | ||||||
Oct-06 | ||||||
Nov-06 | ||||||
Dec-06 |
Appendix 22 | ||||||||||||||||||
Reconciliation of Expenses (000's) | ||||||||||||||||||
| B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) | B(9)(a) |
Date | (I) | (ii) | (iii) | (iv) | (v) | (v) | (vi) | (vii) | (viii) | (viii) | (viii) | (ix) | (x) | (xi) | (xii) | (xiv) | (xv) | (xvi) |
Jan-06 | ||||||||||||||||||
Feb-06 | [CONFIDENTIAL MATERIAL OMITTED | |||||||||||||||||
Mar-06 | ||||||||||||||||||
Apr-06 | ||||||||||||||||||
May-06 | ||||||||||||||||||
Jun-06 | ||||||||||||||||||
Jul-06 | ||||||||||||||||||
Aug-06 | ||||||||||||||||||
Sep-06 | ||||||||||||||||||
Oct-06 | ||||||||||||||||||
Nov-06 | ||||||||||||||||||
Dec-06 |
Appendix 22a | |||||||
First Implied Rates |
| Second Implied Rates | Third Implied | ||||
Date | RJ135 | RJ145 |
| RJ135 | RJ145 | Expenses (000's) | |
Jan-06 | |||||||
Feb-06 | [CONFIDENTIAL MATERIAL OMITTED | ||||||
Mar-06 | |||||||
Apr-06 | |||||||
May-06 | |||||||
Jun-06 | |||||||
Jul-06 | |||||||
Aug-06 | |||||||
Sep-06 | |||||||
Oct-06 | |||||||
Nov-06 | |||||||
Dec-06 |
Appendix 22b | ||
Fourth Implied Rates | ||
Date | RJ135 | RJ145 |
Benchmark SL | ||
Jan-06 | [CONFIDENTIAL | |
Feb-06 | ||
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 22c | ||
Fifth Implied Rates | ||
Date | RJ135 | RJ145 |
Benchmark SL | ||
Jan-06 | [CONFIDENTIAL | |
Feb-06 | ||
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 22d | ||
Sixth Implied Rates | ||
Date | RJ135 | RJ145 |
Jan-06 | ||
Feb-06 | [CONFIDENTIAL | |
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 23 | ||
Cost Difference | = | [CONFIDENTIAL |
Appendix 24 | ||
Charter Flying | ||
Date | RJ135 | RJ145 |
Jan-06 | ||
Feb-06 | [CONFIDENTIAL MATERIAL OMITTED | |
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 25 | ||
Appendix 25 Rates | ||
Date | A | B |
Jan-06 | ||
Feb-06 | [CONFIDENTIAL MATERIAL OMITTED
| |
Mar-06 | ||
Apr-06 | ||
May-06 | ||
Jun-06 | ||
Jul-06 | ||
Aug-06 | ||
Sep-06 | ||
Oct-06 | ||
Nov-06 | ||
Dec-06 |
Appendix 26 | ||
Performance Period General Ledger Accounts | ||
| Account # | XJT Account Name |
1 | ||
2 | [CONFIDENTIAL MATERIAL OMITTED | |
3 | ||
4 | ||
5 | ||
6 | ||
7 | ||
8 | ||
9 | ||
10 | ||
11 |