Airbus, Blagnac, France

From: To:
Philippe Mhun All Customers
E philippe.mhun@airbus.com
06 December 2018
Bart Reijnen
E bre@satair.com

Our ref: ME1831920

Revised Priority Order Policy – Airbus Proprietary Parts

Dear Customer,

The current Airbus priority orders policy encourages an appropriate use of priorities throughout the
Airbus proprietary parts supply chain.

Over recent years, as a consequence of the current policy, we have experienced a reduction of Aircraft-
On-Ground (AOG) demand, showing that a mechanism is needed to promote a reduction in
unnecessary priority orders. Nevertheless, the share of AOG orders in Airbus Proprietary Parts is
disproportionate compared to other material categories. A reduction of these priority orders will allow us
to focus better on your urgent requests and increase our overall AOG order performance.

We are rolling out new delivery commitments for non-AOG priority orders. Further, we are adopting a
constructive approach to AOG ordering that will incentivize better AOG ordering behaviour. This
incentive approach is based on customer feedback.

Here are the details of the new policy that will be applied to Airbus proprietary parts starting January 1,
2019:

 20% reduced AOG fee of $135 USD per order line

 Elimination of all Work Stoppage (WSP) fees

 Elimination of all WSP and AOG fees from Modification Kits and Airbus Tools

 Elimination of AOG justification forms

 Refund of all AOG fees if the % of AOG orders is kept below 20% share during a calendar year
via a credit note

 Incentive up to 1% of proprietary parts spending in addition to the Refund for customers keeping
AOG orders below a 10% share during a calendar year

Airbus SAS Siège social :

Société par actions simplifiée 2 rond-point Emile Dewoitine,
au capital de 3 226 781 Euros 31700 Blagnac, France
RCS Toulouse 383 474 814 www.airbus.com
  Applicable to all Airbus aircraft programs

We are implementing a 24-hour global delivery commitment in 2019, for all materials in stock ready for
pick-up from all warehouses ordered on Routine and Work Stoppage priorities. We will measure our
performance against this commitment with a target of 95% reliability to take effect in the second quarter
of 2019. Combining our increased service levels with your best ordering practices, the designed policy
thresholds are achievable for all business needs. This allows your teams and ours to focus their full
energy on the urgent demands that truly require maximum attention.

Your Satair Account Director and Airbus Customer Support Director are available to listen and answer
your questions or concerns related to this new policy.

Yours sincerely,

Philippe Mhun Bart Reijnen

HO Customer Services CEO Satair

From Philippe Mhun; Bart Reijnen Date 6 December 2018 Reference ME1831920 Page 2