Exhibit 10.3
Supplemental Agreement No. 5
to
Purchase Agreement No. 3157
between
The Boeing Company
And
Federal Express Corporation
Relating to Boeing Model 777-FREIGHTER Aircraft
THIS SUPPLEMENTAL AGREEMENT, entered into as of the 11th day of January, 2010,
by and between THE BOEING COMPANY (Boeing) and FEDERAL EXPRESS CORPORATION
(Customer);
W I T N E S S E T H:
WHEREAS, the parties entered into that certain Purchase Agreement No. 3157,
dated November 7, 2006 (Purchase Agreement), relating to the purchase and sale
of certain Boeing Model 777-FREIGHTER Aircraft (the Aircraft); and
WHEREAS, Customer desires to re-schedule the delivery of two (2) Aircraft
(Rescheduled Aircraft) as follows;

          Serial   Current Delivery   Revised Delivery Number   Month per SA # 4
  Month [ * ]   [ * ]   [ * ] [ * ]   [ * ]   [ * ]

NOW THEREFORE, in consideration of the mutual covenants herein contained, the
parties hereto agree to supplement the Purchase Agreement as follows:

      *   Blank spaces contained confidential information which has been filed
separately with the Securities and Exchange Commission pursuant to Rule 24b-2
under the Securities Exchange Act of 1934, as amended.

 

 

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Supplemental Agreement 5 to
Purchase Agreement No. 3157
All terms used herein and in the Purchase Agreement, and not defined herein,
shall have the same meaning as in the Purchase Agreement.

1.   Remove and replace, in its entirety, the “Table of Contents” with the
revised Table of Contents attached hereto to reflect the changes made by this
Supplemental Agreement No. 5.   2.   Remove and replace, in its entirety, Table
1 to the Purchase Agreement with the revised Table 1 attached hereto to reflect
changes relating to the Rescheduled Aircraft.   3.   Boeing and Customer agree
that all advance payments for the Rescheduled Aircraft will [ * ].   4.   Boeing
and Customer further agree that the final delivery payment for the Rescheduled
Aircraft will [ * ].

EXECUTED as of the day and year first above written.

              THE BOEING COMPANY   FEDERAL EXPRESS CORPORATION
 
           
By:
  /s/ Richard R. Ochs   By:   /s/ Phillip C. Blum
 
           
 
           
 
  Its: Attorney-In-Fact       Its: Vice President — Aircraft Acquisitions/SAO

      *   Blank spaces contained confidential information which has been filed
separately with the Securities and Exchange Commission pursuant to Rule 24b-2
under the Securities Exchange Act of 1934, as amended.

 

S5 - 2

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TABLE OF CONTENTS

              SA       NUMBER  
ARTICLES
       
 
       
1. Quantity, Model and Description
       
 
       
2. Delivery Schedule
       
 
       
3. Price
       
 
       
4. Payment
       
 
       
5. Miscellaneous
       
 
       
TABLE
       
 
       
1. Aircraft Information Table
    5  
 
       
1B. Block B Aircraft Information Table
    4  
 
       
EXHIBIT
       
 
       
A. Aircraft Configuration
    4  
 
       
A1. Aircraft Configuration (Block B Aircraft)
    4  
 
       
B. Aircraft Delivery Requirements and Responsibilities
       
 
       
SUPPLEMENTAL EXHIBITS
       
 
       
AE1. Escalation Adjustment/Airframe and Optional Features
       
 
       
CS1. Customer Support Variables
       
 
       
EE1. Engine Escalation/Engine Warranty and Patent Indemnity
       
 
       
SLP1. Service Life Policy Components
       

 

 

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Supplemental Agreement 5 to
Purchase Agreement No. 3157

                      SA         NUMBER
LETTER AGREEMENT
           
 
     
3157-01
  777 Spare Parts Initial Provisioning        
 
           
3157-02
  Demonstration Flight Waiver        
 
           
6-1162-RCN-1785
  [ * ]        
 
           
6-1162-RCN-1789
  Option Aircraft Attachment to Letter 6-1162-RCN-1789   Exercised in SA # 4
 
           
6-1162-RCN-1790
  Special Matters        
 
           
6-1162-RCN-1791
  Performance Guarantees     4  
 
           
6-1162-RCN-1792
  Liquidated Damages Non-Excusable
Delay        
 
           
6-1162-RCN-1793
  Open Configuration Matters        
 
           
6-1162-RCN-1795
  AGTA Amended Articles        
 
           
6-1162-RCN-1796
  777 First-Look Inspection Program        
 
           
6-1162-RCN-1797
  Licensing and Customer Supplemental Type Certificates        
 
           
6-1162-RCN-1798
  777 Boeing Converted Freighter   Deleted in SA # 4
 
           
6-1162-RCN-1798 R1
  777 Boeing Converted Freighter     4  
 
           
6-1162-RCN-1799
  [ * ]        
 
           
6-1162-RRO-1062
  Option Aircraft     4  
 
           
6-1162-RRO-1065
  Performance Guarantees for Block B Aircraft     4  
 
           
6-1162-RRO-1066
  Special Matters for Block B Aircraft     4  
 
           
6-1162-RRO-1067
  Special Matters for Option Aircraft detailed in
Letter Agreement 6-1162-RRO-1062     4  
 
           
6-1162-RRO-1068
  Special Provision — Block B Aircraft     4  

 

S5 - 2

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Supplemental Agreement 5 to
Purchase Agreement No. 3157

      SUPPLEMENTAL AGREEMENTS   DATED AS OF:
 
   
Supplemental Agreement No. 1
  May 12, 2008
 
   
Supplemental Agreement No. 2
  July 14, 2008
 
   
Supplemental Agreement No. 3
  December 15, 2008
 
   
Supplemental Agreement No. 4
  January 9, 2009
 
   
Supplemental Agreement No. 5
  January 11, 2010

      *   Blank spaces contained confidential information which has been filed
separately with the Securities and Exchange Commission pursuant to Rule 24b-2
under the Securities Exchange Act of 1934, as amended.

 

S5 - 3

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Table 1 to
Purchase Agreement No. 3157
Aircraft Delivery, Description, Price and Advance Payments

                                         
Airframe Model/MTOW:
  777-Freighter   766000 pounds   Detail Specification: D019W007FED7F-1, Rev NEW
               
Engine Model/Thrust:
  GE90-110B1L   110100 pounds   Airframe Price Base Year/Escalation Formula:  
Jul-06   ECI-MFG/CPI
Airframe Price:
            [ * ]     Engine Price Base Year/Escalation Formula:     N/A      
N/A  
Optional Features:
            [ * ]                          
 
                                     
Sub-Total of Airframe and Features:
    [ * ]     Airframe Escalation Data:                
Engine Price (Per Aircraft):
  $ 0     Base Year Index (ECI):     180.3    
Aircraft Basic Price (Excluding BFE/SPE):
    [ * ]     Base Year Index (CPI):     195.4    
 
                                      Buyer Furnished Equipment (BFE) Estimate:
    [ * ]                           Seller Purchased Equipment (SPE) Estimate:  
$ 0                          
 
                                      Refundable Deposit/Aircraft at Proposal
Accept:     [ * ]                          

                                                              Advance Payment
Per Aircraft (Amts. Due/Mos. Prior to Delivery):         Escalation          
Escalation Estimate   Balance             Delivery   Number of   Factor        
  Adv Payment Base   At Signing   24 Mos.   21/18/15/12/9/6 Mos.   Total Date  
Aircraft   (Airframe)           Price Per A/P   1%   4%   5%   35% Aircraft    
                               
[ * ]
  1   1.0816           [ * ]   [ * ]   [ * ]   [ * ]   [ * ]
[ * ]
  1   1.0832           [ * ]   [ * ]   [ * ]   [ * ]   [ * ]
[ * ]
  1   1.0858           [ * ]   [ * ]   [ * ]   [ * ]   [ * ]
[ * ]
  1   1.0963           [ * ]   [ * ]   [ * ]   [ * ]   [ * ]
[ * ]
  1   1.1087           [ * ]   [ * ]   [ * ]   [ * ]   [ * ]
[ * ]
  1   1.1112           [ * ]   [ * ]   [ * ]   [ * ]   [ * ]
[ * ]
  2   1.1128           [ * ]   [ * ]   [ * ]   [ * ]   [ * ]
[ * ]
  1   1.1325           [ * ]   [ * ]   [ * ]   [ * ]   [ * ]
[ * ]
  1   1.1415           [ * ]   [ * ]   [ * ]   [ * ]   [ * ]
[ * ]
  2   1.1501           [ * ]   [ * ]   [ * ]   [ * ]   [ * ]
[ * ]
  1   1.1612           [ * ]   [ * ]   [ * ]   [ * ]   [ * ]
[ * ]
  1   1.1869           [ * ]   [ * ]   [ * ]   [ * ]   [ * ]
[ * ]
  1   1.1957           [ * ]   [ * ]   [ * ]   [ * ]   [ * ]

      Note:   Boeing and Customer acknowledge that letter 6-1162-RRO-1069
“Delivery Notice and Excusable Delay for Aircraft with Delivery Dates of [ * ]
has been sent to Customer.       Per SA # 5, [ * ]. Per SA # 5, [ * ].   *  
Blank spaces contained confidential information which has been filed separately
with the Securities and Exchange Commission pursuant to Rule 24b-2 under the
Securities Exchange Act of 1934, as amended.

         
FED
      Supplemental Agreement No. 5
50269-1F.TXT
  Boeing Proprietary   Page 1