### May 11, 2015

Exemption No. 1153 2 Regulatory Docket No. FAA

– 20 15

– 0424

Mr. Jonathan B. Hill

Counsel for Integrated Media Technologies, Inc. Cooley, LLP 1299 Pennsylvania Avenue

, NW

. , Suite 700 Washington, DC 20004

− 2400

Dear Mr. Hill :

This letter is to inform you that we have granted your request for exemption. It transmits our decision, explains its basis, and gives you the conditions and limitations of the exemption, including the date it ends.

By letter dated February 17, 2015 , you petitioned the Federal Aviation Administration (FAA)

on behalf of Integrated Media Technologies, Inc. ( hereinafter petitioner or operator ) for an exemption

. The exemption would all ow the petitioner to operate an unmanned ai rcraft system
(UAS) to conduct aerial photography and filming in motion picture and television operations

.

See Appendix A for the petition submitted to the FAA des cribing the proposed operations and

the regulatio ns that the petitioner seeks an exemption

.

The FAA has determined that good cause exists for not publishing a summary of the petition in the Federal Register because the requested exemption would not set a precedent, and any delay in acting on this petiti on would be detrimental to the petitioner

.

Airworthiness Certification

The UAS proposed by the petitioner are the DJI S1000+, DJI Inspire 1, and xFold Cinema.

### 2

In accordance with the statutory criteria provided in Section 333 of P ublic Law 112

− 95 in

reference to 49 U

. S

. C

. § 44704, and in consideration of the size, weight, speed, and limited operating area associated with the aircraft and its operation, the Secretary of Transportation

has determined that this aircraft meets the conditions of Section 33 3. Therefore, the FAA

finds that relief from 14 CFR part 21

, C ertification procedures for products and parts, Subpart H

— Airworthiness Certificates , and any associated noise certification and testing requirements of part 36, is not necessary.

The Basis for Our Decision

You have requested to use a UAS for aerial data collection and closed set motion picture and filming

. The FAA has issued grants of exemption in circumstances similar in all material respects to those presented in your petition. In Grants of Exemption No s

. 11062 to Astraeus Aerial ( see Docket No. FAA−2014−0352), 11109 to Clayco, Inc. ( see Docket No.

FAA

− 2014

− 0507), 11112 to VDOS Global, LLC ( see Docket No. FAA−2014−0382), and

11213 to Aeryon Lab s , Inc. ( see Docket No. FAA−2014−0642), the FAA found that the enhanced safety achieved using an unmanned aircraft (UA) with the specifications described by the petitioner and carrying no passengers or crew, rather than a manned aircraft of significantly greater proportions, carrying crew in ad dition to flammable fuel, gives the FAA good cause to find that the UAS operation enabled by this exemption is in the public interest.

Having reviewed your reasons for requesting an exemption, I find that

—

• They are similar in all material respects to rel ief previously requested in Grant of Exemption Nos. 11062, 11109, 11112, and 11213 ;

• The reasons stated by the FAA for granting Exemption Nos. 11062, 11109, 11112, and

11213 also apply to the situation you present; and

• A grant of exemption is in the public interest.

Our Decision

In consideration of the foregoing, I find that a grant of exemption is in the public interest.
Therefore, pursuant to the authority contained in 49 U.S.C. 106(f), 40113, and 44701, delegated to me by the Administrator, Integrated Media Technologies, Inc. is granted an exemption from 14 CFR §§ 61.23(a) and ( c ), 61.101(e)(4 ) and (5), 61.113(a), 61.315(a)

, 91.7(a), 91.119(c), 91.121, 91.151(a)(1), 91.405(a), 91.407(a)(1), 91.409(a)(1) and (2), and
91.417(a) and (b), to the extent necessary to allow the petitioner to operate a UAS to perform

aerial data collection and closed set motion picture and filming. This exemption is subject to

the conditions and limitations listed below.

Conditions and Limitations

In this grant of exemption, Integrated Media Technologies, Inc. is hereafter referred to as

the operator.

### 3

Failure to comply with any of the conditions and limitations of this grant of exemption will be grounds for the immediate suspension or rescission of this exemption.

1. Operations authorized by this grant of exemption are limited to the DJI S1000+, DJI Inspire 1, and xFold Cinema when weighing less than 55 pounds including payload. Proposed operations of any other aircraft will require a new petition or a petition to

amend this exemption

.

2. Operations for the purpose of closed

- set motion picture and television filming are permitted.

3. The UA may not be operated at a speed exceeding 87 knots (100 miles per hour). The exemption holder may use either grounds peed or calibrated airspeed to determine compliance with the 87 knot speed restriction. In no case will the UA be operated at airspeeds greater than the maximum UA operating airspeed recommended by the

aircraft manufacturer.

4. The UA must be operated at an altitude of no more than 400 feet above ground level
(AGL). Altitude must be reported in feet AGL.

5. The UA must be operated within visual line of sight (VLOS) of the PIC at all times. This requires the PIC to be able to use human vision unaided by any d evice other than corrective lenses, as specified on the PIC’s FAA

- issued airman medical certificate or

U.S. driver’s license.

6. All operations must utilize a visual observer (VO). The UA must be operated within the visual line of sight (VLOS) of the PIC an d VO at all times. The VO may be used to satisfy the VLOS requirement as long as the PIC always maintains VLOS capability. The VO and PIC must be able to communicate verbally at all times ;

e lectronic messaging or texting is not permitted during flight o perations. The PIC must be designated before the flight and cannot transfer his or her designation for the duration of the flight. The PIC must ensure that the VO can perform the duties required of the VO.

7. This exemption and all documents needed to oper ate the UAS and conduct its operations in accordance with the conditions and limitations stated in this grant of exemption, are hereinafter referred to as the operating documents. The operating

documents must be accessible during UAS operations and made a vailable to the Administrator upon request. If a discrepancy exists between the conditions and limitations in this exemption and the procedures outlined in the operating documents, the conditions and limitations herein take precedence and must be followed

. Otherwise, the operator must follow the procedures as outlined in its operating documents. The operator may update or revise its operating documents. It is the

### 4

operator’s responsibility to track such revisions and present updated and revised

documents to the Administrator or any law enforcement official upon request. The operator must also present updated and revised documents if it petitions for extension or amendment to this grant of exemption. If the operator determines that any update

or revision would affect the basis upon which the FAA granted this exemption, then the operator must petition for an amendment to its grant of exemption. The FA A’s UAS Integration Office (AFS− 80) may be contacted if questions arise regarding updates or revisions to the operating documents.

8. Any UAS that has undergone maintenance or alterations that affect the UAS operation or flight characteristics, e.g.

, replacement of a flight critical component, must undergo a functional test flight prior to conducting further ope rations under this exemption. Functional test flights may only be conducted by a PIC with a VO and must remain at

least 500 feet from other people. The functional test flight must be conducted in such a manner so as to not pose an undue hazard to persons and property.

9. The operator is responsible for maintaining and inspecting the UAS to ensure that it is in a condition for safe operation.

10. Prior to each flight, the PIC must conduct a pre

- flight inspection and determine the

UAS is in a condition for safe flight. The pre

- flight inspection must account for all potential discrepancies, e.g.

, inoperable components, items, or equipment. If the inspection reveals a condition that affects the safe operation of the UAS, the aircraft is prohibited from operating until the necessary maintenance has been performed and the UAS is found to be in a condition for safe flight.

11. The operator must follow the UAS manufacturer’s maintenance, overhaul, replacement, inspection, and life limit requirements for the aircraft and

aircraft components.

12. Each UAS operated under this exemption must comply with all manufacturer safety bulletins.

13. Under this grant of exemption, a PIC must hold either an airline transport, commercial, private, recreational, or sport pilot certificate. Th e PIC must also hold a current FAA airman medical certificate or a valid U.S. driver’s license issued by a
state, the District of Col u mbia, Puerto Rico, a territory, a possession, or the Federal government. The PIC must also meet the flight revi ew require ments specified in

14 CFR § 61.56 in an aircraft in which the PIC is rated on his or her pilot certificate.

14. The operator may not permit any PIC to operate unless the PIC demonstrates the ability to safely operate the UAS in a manner consistent with how the UAS will be operated under this exemption, including evasive and emergency maneuvers and maintaining approp riate distances from persons, vessels, vehicles and structures. PIC

### 5

qualification flight hours and currency must be logged in a manner consistent with

14 CFR § 61.51(b). Flights for the purposes of training the operator’s PICs and VOs
(traini ng, proficie ncy, and experience

- building) and determining the PIC’s ability to safely operate the UAS in a manner consistent with how the UAS will be operated under this exemption are permitted under the terms of this exemption. However, training operations may only be conducted during dedicated training sessions. During

traini ng, proficiency, and experience

- building flights, all persons not essential for flight operations are considered nonparticipants, and the PIC must operate the UA with appropriate distance from nonparticipants in accordance with 14 CFR § 91.119.

15. UAS operations may not be conducted during night, as defined in 14 CFR § 1.1. All operations must be conducted under visual meteorological conditions (VMC). Flights under special visual flight rules (S VFR) are not authorized.

16. The UA may not operate within 5 nautical miles of an airport reference point (ARP) as denoted in the current FAA Airport/Facility Directory (AFD) or for airports not denoted with an ARP, the center of the airport symbo l as denoted on the current

FAA

- published aeronautical chart, unless a letter of agreement with that airport’s management is obtained or otherwise permitted by a COA issued to the exemption holder. The letter of agreement with the airport management must be made avail able to the Administrator or any law enforcement official upon request.

17. The UA may not be operated less than 500 feet below or less than 2,000 feet horizontally from a cloud or when visibility is less than 3 statute miles from the PIC.

18. If the UAS loses c ommunications or loses its GPS sign al, the UA must return to a

pre

- determined location within the pr ivate or controlled

- access property.

19. The PIC must abort the flight in the event of unpredicted obstacles or emergencies.

20. The PIC is prohibited from beginning a flight unless (considering wind and forecast weather conditions) there is enough available power for the UA to conduct the intended operation and to operate after that for at least five minutes or with the reserve power recommended by the manuf acturer if greater.

21. Air Traffic Organization (ATO) Certificate of Waiver or Authorization (COA). All operations shall be cond ucted in accordance with an ATO

- issued COA. The exemption holder may apply for a new or amended COA if it intends to conduct

ope rations that cannot be conducted under the terms of the attached COA

.

22. All aircraft operated in accordance with this exemption must be identified by serial number, registered in accordance with 14 CFR part 47, and have identification (N− Number) markings in accordance with 14 CFR part 45, Subpart C. Markings must be as large as practicable.

### 6

23. Documents used by the operator to ensure the safe operation and flight of the UAS and any documents required under 14 CFR §§ 91.9 and 91.203 must be available to the

PI C at the Ground Control Station of the UAS any time the aircraft is operating. These documents must be made available to the Administrator or any law enforcement official upon request.

24. The UA must remain clear and give way to all manned aviation operations and

activities at all times.

25. The UAS may not be operated by the PIC from any moving device or vehicle.

26. All Flight operations must be conducted at least 500 feet from all nonpartici pating persons, vessels, vehicles, and structures unless:

a. Barriers or structures are present that sufficiently protect nonparticipating persons

from the UA and/or debris in the event of an accident. The operator must ensure that nonparticipating persons r emain under such protection. If a situation arises where nonparticipating persons leave such protection and are within 500 feet of the UA, flight operations must cease immediately in a manner ensuring the safety of nonparticipating persons ; and

b. The owner/ controller of any vessels, vehicles or structures has granted permission for operating closer to those objects and the PIC has made a safety assessment of the risk of operating closer to those objects and determined that it does not present an undue hazard

.

The PIC, VO, operator trainees or essential persons are not considered nonparticipating persons under this exemption.

27. All operations shall be conducted over private or control led

- access property with permission from the property owner/controller or authorized representative. Permission from property owner/controller or authorized representative will be obtained for each flight to be conducted.

28. Any incident, accident, or flight op eration that transgresses the lateral or vertical boundaries of the operational area as defined by the applicable COA must be reported

to the FA A's UAS Integration Office (AFS− 80) within 24 hours. Accidents must be reported to the National Transportation Safety Board (NTSB) per instructions

contained on the NTSB Web site: www.ntsb.gov

.

If this exemption permits operations for the purpose of closed

- set motion picture and television filming and production, the following a dditional conditions and limitations apply.

29. The operator must have a motion picture and television operations manual (MPTOM) as documented in this grant of exemption.

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30. At least 3 days before aerial filming, the operator of the UAS affected by this exempti on must submit a written Plan of Activities to the local Flight Standards District Office (FSDO) with jurisdiction over the a rea of proposed filming. The 3

- day notification may be waived with the concurrence of the FSDO. The plan of activities

must inclu de at least the following:

a. Dates and times for all flights;

b. Name and phone number of the operator for the UAS aerial filming conducted under this grant of exemption;

c. Name and phone number of th e person responsible for the on

- scene operation of
the UAS;

d. Mak e, model, and serial or N− Number of UAS to be used;

e. Name and certificate number of UAS PICs involved in the aerial filming;

f. A statement that the operator has obtained permission from property owners and/or local officials to conduct the filming production event; the list of those who gave permission must be made available to the inspector upon request;

g. Signature of exemption holder or representative; and

h. A description of the flight activity, including maps or diagrams of any area, city, town, county, and/or state over which filming will be conducted and the altitudes essential to accomplish the operation.

31. Flight operations may be conducted closer than 500 feet from participating persons consenting to be involved and necessary for the filming production, as specified in the exemption holder’s MPTOM.

Unless otherwise specified in this grant of exemption, the UAS, the UAS PIC, and the UAS operations must comply with all applicable parts of 14 CFR including, but not limited to,

parts 45, 47, 61, and 91.

### 8

This exemption terminates on May 31, 2017 , unless sooner superseded or rescinded.

Sincerely,

/s/

John S. Duncan Director, Flight Standards ServiceJonathan B. Hill

T: +1 202 776 2725 jhill@cooley.com

1299 PENNSYLVANIA AV ENUE, NW, SUITE 700, WASHINGTON, DC 20004

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- 7899 WWW.COOLEY.COM February 17, 2015

U. S. Department of Transportation Docket Management System 1200 New Jersey Ave., SE Washington, DC 20590

Re: Summary Processing: Exemption Request for Integrated Media Technologies,

Inc. Under Section 333 of the FAA Reform Act and Part 11 of the Federal Aviation Regulations from 14 C.F.R. §§ 61.113(a) and (b); 91.119(c); 91.121; 91.151(a); 91.405(a); 91.407(a)(1) ; 91.409(a)(2); 91.417(a) and (b).

Dear Sir or Madam:

Pursuant to Section 333 of the FAA Modernization and Reform Act of 2012 (the Reform Act) and 14 C.F.R. Part 11, Integrated Media Technologies, Inc. (“IMT”) operator of Small Unmanned Aircraft Systems (“sUASs”) equipped to conduct commercial aerial photography for aerial photography and filming (hereinafter “the Purpose”), hereby applies for an exemption from the listed Federal Aviation Regulations (“FARs”) to allow commercial operation of its sUASs, s o long as such operations are conducted within and under the conditions outlined herein or as may be established by the FAA in an exemption granted under either Section 333 or Section 49 U.S.C. § 44701(f). IMT will accept the conditions set forth in Exemp tions Nos. 11062 and its progeny Nos. 11063, 11064, 11065, 11066, 11067, 11080, 11150 and 11158 (“the Similar Exemptions). We ask for summary approval of this exemption request. 1

As this Exemption request is identical to the nine already granted this Exe mption should qualify for summary processing as the FAA has already given public notice of and granted similar exemptions . As with the approval of the Similar Exemptions, approval of this exemption would thereby enhance safety and fulfill the Secretary of Transportation’s (the FAA Administrator’s) responsibilities to “...establish requirements for the safe operation of such aircraft systems in the national airspace system.” Section 333(c) of the Reform Act.

1 IMT notes that the FAA issued its NPRM in Docket FAA

- 2015

- 0150 on February 15, 2015. IMT will accept the terms and conditions of the NPRM in lieu of the Section 333 application submitted herewith, should the FAA be willing to grant a Section 333 exemption based upon the NPRM. If FAA is unwilling to grant a Section 333 exemption wit h those terms and conditions, IMT requests that this application, as submitted, be processed as expeditiously as possible.February 17, 2015 Page Two

1299 PENNSYLVANIA AV ENUE, NW, SUITE 700, WASHINGTON, DC 20004

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- 7899 WWW.COOLEY.COM The name and address of the applicant is:

Integrated Media Technologies, Inc. Bruce Lyon

President and Chief Executive Officer 5200 Lankershim Blvd., Suite 700 North Hollywood, CA 91601

Office: 818

- 761

- 9770

Regulations from which the exemption is requested:

14 C.F.R. § 61.113(a) and (b)

14 C.F .R. § 91.119

14 C.F.R. § 91.121

14 C.F.R. § 91.151(a)

14 C.F.R. § 91.405(a)

14 C.F.R. § 407(a)(1)

14 C.F.R. § 409(a)(2)

14 C.F.R. § 417(a) and (b)

This exemption application is expressly submitted to fulfill Congress’ goal in passing Section 333(a) throug h (c) of the Reform Act. This law directs the Secretary of Transportation to consider whether certain unmanned aircraft systems may operate safely in the national airspace system (NAS) before completion of the rulemaking required under Section 332 of the Reform Act. In making this determination, the Secretary is required to determine which types of UASs do not create a hazard to users of the NAS or the public or pose a threat to national security in light of the following:

• The UASs size, weight, speed, and operational capability;

• Operation of the UAS in close proximity to airports and populated areas; and

• Operation of the UAS within visual line of sight of the operator.

Reform Act § 333(a). Lastly, if the Secretary determines that such vehicles “may o perate safely in the national airspace system, the Secretary shall establish requirements for the safe operation of such aircraft in the national airspace system.” Id. § 333(c) (emphasis added) 2

.

The Federal Aviation Act, in addition to the authority gran ted by Section 333 of Reform Act, expressly grants the FAA the authority to issue exemptions. This statutory authority by its terms includes exempting civil aircraft, as the term is defined under § 40101 of the Act, that includes sUASs, from the requireme nt that all civil aircraft must have a current airworthiness

certificate.

2 Applicant interprets this provision to place the duty on the Administrator to not only process applications for exemptions under se ction 333, but for the Administrator to craft conditions for the safe operation of the UAS , if it should be determined that the conditions set forth herein do not fulfill the statutory requirements for approval.February 17, 2015 Page Three

1299 PENNSYLVANIA AV ENUE, NW, SUITE 700, WASHINGTON, DC 20004

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- 7899 WWW.COOLEY.COM The Administrator may grant an exemption from a requirement of a regulation prescribed under subsection (a) or (b) of this section or any sections 44702

- 44716 of the Transportation Act if the Administrator finds the exemption in the public interest. 49 U.S.C. § 44701(f). See

also 49 U.S.C. § 44711(a); 49 U.S.C. § 44704; 14 C.F.R. § 91.203(a)(1).

IMT is a startup company that will enter the movie and television filming business. I MT UASs are rotorcraft (eight rotors), weighting 55 or fewer lbs. including payload. They operate, under normal conditions at a speed of no more than 50 knots and have the capability to hover, and move in the vertical and horizontal plane simultaneously. They will operate at altitudes of no more than 400 feet, as further explained, and only in line of sight. IMT will be using the DJI S1000+, the DJI Inspire 1 and the xFold Cinema aircraft. They will operate only within the areas

as described in the IMT Group Inc. Flight Operations Manual (“FOM”) and the Aircraft Flight Manuals (“AFM”) (hereinafter “the Manuals”). Operations in compliance with these manuals will insure that the sUAS will “not create a hazard to users of the national airspace system or the public” 3 and that the aircraft will operate in compliance with the conditions set forth in this application.

In support of this application, IMT is submitting, with a request for confidentiality as shown, the following manuals 4 :

• 14 Channel Computer Sys tem 14 SG Instruction Manual, Exhibit 1 (Public)

• A2 Flight Control System User Manual v1.20, Exhibit 2 (Public)

• IMT Group Inc. sUAS Flight Operations Manual, Exhibit 3 (Confidential)

• IMT Global DJI Inspire 1 sUAS Aircraft Flight Manual, Exhibit 4 (Confidential)

• IMT Global DJI s1000+ sUAS Aircraft Flight Manual, Exhibit 5 (Confidential)

• IMT Global xFold Cinema sUAS Aircraft Flight Manual, Exhibit 6 (Confidential)

Given the small size of the sUASs involved and the restricted environment within whic h they will operate, the applicant falls squarely within that zone of safety (an equivalent level of safety) in which Congress envisioned that the FAA must, by exemption, allow commercial operations of UASs to commence immediately. Also due to the size of the UASs, the restricted areas in which the relevant sUASs will operate and the fact that aircraft will be flown by pilots holding at least a FAA private pilot license, approval of the application presents no national security issue. Given the clear dire ction in Section 333 of the Reform Act, the authority contained in the Federal Aviation Act, as amended; the strong equivalent level of safety surrounding the proposed operations, and the significant public benefit, including enhanced safety, reduction in environmental impacts, including reduced emissions associated with allowing battery powered UASs for these functions instead of turbine or gas power aircraft/rotorcraft and operations with pilots having at least a private pilot license, the grant of the

re quested exemptions is in the public interest. Accordingly, the applicant respectfully requests that the FAA grant the requested exemption without delay.

3 Reform Act Section 333(b).

4 Applicant submits the three Aircraft Flight Manuals and a Flight Operations Manual, marked “CONFIDENTIAL”, as they contain propriety business information that is not released to the public and is protected under the Freedom of Information Act 5 U.S.C. § 55 3 etc.February 17, 2015 Page Four

1299 PENNSYLVANIA AV ENUE, NW, SUITE 700, WASHINGTON, DC 20004

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- 7899 WWW.COOLEY.COM AIRCRAFT AND EQUIVALENT LEVEL OF SAFETY

The applicant proposes that the exemption requested herein apply to civil aircraft that have the characteristics and that operate with the limitations listed herein. These limitations provide for at least an equivalent or even higher level of safety to op erations under the current regulatory structure because the proposed operations represent a safety enhancement to the already safe movie and television filing operations conducted with conventional aircraft. 5 IMT notes that has requested that a Certificat e of Authorization (COA) not be required for flight at or below 400 feet AGL, in Class G airspace and outside of 5 nautical miles from the geographic center of airport where a letter of agreement has not been entered with the airport management.

These lim itations and conditions to which IMT agrees to be bound when conducting commercial operations under an FAA issued exemption include:

1. The UA must w e i g h l e ss th a n 55 pounds, in c luding e n e rg y sou r c e ( s) a nd e quipm e nt. Op era tions will be limit e d to the a i rc r af t d e s c r ib e d in the p r op r i e t a r y Manuals:

2. The UA m a y not be f lo w n a t a sp ee d e x cee di n g a g r ound s p ee d of 50 knot s

.

3. F li g hts must be op e r a t e d a t a n a ltitude of no mo r e th a n 400 fee t a bo v e g r o u nd l e v e l ( A G L ) as indicated by the procedures specified in the Operators Manuals

. All a ltitud e s re po r t e d to

ATC must be in fee t A G L

.

4. The UA must be op e ra t e d within visu a l line of si g ht ( V L O S ) of the P I C a t a ll tim e s. This

re qui re s the P I C to be a b l e to use hum a n vision un a id e d b y a n y d e v i c e oth e r th a n c o rr e c tive

l e ns e s, a s sp e c i f i e d on the P I C ’ s F A A

- issu e d m e di ca l c er ti f i ca t e.

5. All op era tions must util i z e a visu a l obs er v e r ( VO )

. The VO m a y b e us e d to s a tis f y the V L OS

re qui re m e nt, a s long a s the P I C a lw a y s m a i nt a ins V L OS c a p a bili t y

. The VO a nd P I C must

be a ble to c o m muni ca te v er b a l l y a t a ll tim e s.

6. The op e r a to r will be bound by and follow the Manuals as accepted by the F AA. Any

a d dition a l re qui re m e nts id e nti f i e d i n th e final conditions for this Exemption will be a dd e d to

the Manuals. The Manuals will be maintained a nd m a d e a v a il a ble to the Administ ra tor upon

r e qu e st. I f a di s cre p a n c y e x i s ts b e tw ee n the c ondit i ons a nd limit a tions in the final e x e mp t ion

a nd the p r o ce d u re s o utlin e d in the Manuals , the c onditions a nd limit a tio n s of the Exemption

will t a ke p re c e d e n c e a nd will be f ollow e d. O t h er wis e , the op era tor will f ollow the p r o ce du r e s

a s outlin e d in its Manuals.

The op e r a tor will upd a te or re vise its M a nu a l. I t will be the o p era t or ’ s re sponsibili t y to t rac k

su c h r e visions a nd p re s e nt upd a t e d a nd re vi s e d do c um e nts to the A d minist ra tor upon

re qu e st. The o p era tor will a lso p re s e nt upd a t e d a nd re vis e d do c um e nts if i t p e titions f or

e x t e nsion or a m e ndm e nt. I f the op e r a tor d e t er min e s th a t a n y up d a te or r e vi s ion would

5 These conditions are reproduced from Exemption 11062 through 11067, 11080, 11150 and 11158.February 17, 2015 Page Five

1299 PENNSYLVANIA AV ENUE, NW, SUITE 700, WASHINGTON, DC 20004

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- 7899 WWW.COOLEY.COM aff e c t the b a sis f or whi c h the F AA g ra nt e d this e x e mption, th e n the op era t o r will p e tition f or

a m e ndm e nt to th e ir e x e mption. The operator will contact the F AA ’ s UAS I nt e g r a tion O ff i c e ( A F S

- 8 0) with q u e stions ar i sing r e g a r ding u pd a t e s or r e visions to the Manual

.

7. P r ior to eac h f l i g ht the P I C will insp ec t the UAS to e nsu r e it is in a c ondition f or s a f e f li g ht. I f

the ins p ec tion r e v ea ls a c ondition th a t a ff ec ts the s a f e op e r a tion of the UA S , the a i rc r af t will

not operate until the necessary maintenance has been performed and the UAS is found to

be in a condition for safe flight. The Ground Control Station, if utilized, will be included in the preflight inspection. All maintenance and alterations will be properly documented in the

a i rc r af t r e c o r ds.

8. A n y U AS th a t h a s und e r g one m a int e n a n c e or a lt e ra tions th a t af f ec t the U A S op era tion or

f li g ht c h a r a c t er isti c s, e

. g

. re pl a c e m e nt of a f li g ht c r iti ca l c ompon e nt, must und e r g o a f un c tion a l t e st f li g ht in a cc o r d a n c e with the Ma nu a l. The P I C w ho c ondu c ts the f un c tion a l

t e st f li g ht mu s t m a ke a n e nt r y in the U AS a i rcr a f t r e c o r ds of the f li g ht. The re qui re m e nts a nd

p r o c e d u re s f or a f un c tion a l t e st f li g ht a nd a i rc r af t r e c o r d e nt r y must be a dd e d to the

Manuals.

9. The op e r a tor will f ollow the m a nu fac t u re r ’ s UAS a i rc r af t/ c ompon e nt, m a i nt e n a n ce, ov er h a ul,

r e pl a c e m e nt, insp ec tion, a nd li f e limit r e qui re m e nts. W h e n un a v a il a bl e

, a i rc r af t

m a int e n a n ce / component /ov er h a ul, r e pl a c e m e nt, a nd insp ec tion/m a int e n a n c e re qu i re m e nts

will be e st a blish e d a nd id e nti f i e d in the Manuals. At a minimum, the f ollowing must be

in c lud e d in the Manual:

(a) A c tu a to r s/ S er vos (b) T ra nsmission ( sin g le r ot o r ) (c) P ow er pl a nt ( moto r s) (d) P r op e ll er s (e) El ec t r onic sp e e d c ont r ol l e r (f) B a tt er i es (g) M ec h a ni c a l d y n a mic c o mpon e nts ( sin g le r oto r ) (h) R e mote c omm a nd a nd c o nt r ol (i) G r ound c ont r ol st a tion ( i f us e d) (j) A n y oth e r c ompon e nts a s d e t er min e d b y the op e ra t or

10. The P I C will poss e ss a t l ea st a p r iv a te pilot c e r ti f i ca te a nd a t l ea st a c u rre n t thi r d

- c l a ss

m e di ca l c e r ti f i ca t e . T h e P I C will a lso m ee t the f l i g ht re vi e w re qui r e m e nts sp ec i f i e d in 14

C. F. R. § 61.56 in a n a i r craf t in whi c h t h e P I C is ra t e d on his/h e r pilot c e r ti f i ca t e

.

11. P r ior to op era tions c ond u c t e d f or the P u r pose, the P I C will h a ve a cc umul a t e d a nd log g e d, in

a m a nn e r c onsist e nt with 14 C. F. R. § 61.51 ( b ) , 25 hou r s o f tot a l time a s a UAS r oto rc r af t pilot a nd a t l ea st t e n hou r s l o g g e d a s a UAS pilot with a simil a r UAS t y pe ( sin g le bl a d e or multi r oto r)

. P r ior do c um e nt e d f light e x p er i e n c e th a t w a s o b t a in e d in c ompli a n c e with

a ppli c a ble r e g ul a tions will be used to s a ti s f y this r e qui re m e nt. T r a i nin g , p r o f i c i e n c y

, a nd

e x p er i e n ce

- building f li g hts may a l so be c ondu c t e d un d e r t h is g ra nt o f e x e mption to

acc omplish the re qui re d f li g ht c y c l e s a nd f li g ht tim e . Du r i n g t ra inin g , p r o f i c i e n c y

, a nd

e x p er i e n ce

- building f li g hts, a ll p e r sons not e ss e nti a l f or f l i g ht op e r a tions will be c onsi d ere dFebruary 17, 2015 Page Six

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no n

- p ar ti c ip a nts, a nd the P I C will op era te the UA with a pp r op r i a te dist a n c e fr om non

p ar ti c i p a nts in acc o r d a n c e with 14 C. F. R. § 91.119.

12. Prior to operations conducted for the purpose of motion picture filming (or similar operations), the PIC must have accumulated and logged, in a manner consistent with 14 C.F.R. § 61.51(b), a minimum of five hours as UAS pilot operating the make and model of UAS to be utilized for operations under the exemption and three take

- offs and three landings in the preceding 90 days. Training, proficiency, experience

- building, and take

- off and landing currency flights can be conducted under this grant of exemption to accomplish the required flight time and 90 day currency. During training, proficiency, experience

- building,

and take

- off and landing currency f lights all persons not essential for flight operations are considered nonparticipants, and the PIC must operate the UA with appropriate distance from nonparticipants in accordance with 14 C.F.R. § 91.119.

13. Prior to any flight operations authorized by this g rant of exemption, the PIC and VO must have successfully completed a qualification process, as outlined in the operator’s manual. As this is a requirement stipulated by the operator, the test must be developed and implemented by a qualified person designat ed at the sole discretion of the operator. A record of completion of this qualification process must be documented and made available to the Administrator upon request.

14. P r ior to op era tions c ond u c t e d f or the P u r pose, a f li g ht d e m onst ra tion, a dminist ere d b y a n

o p era t o r

- approved a nd

- qu a li f i e d pilot will be su cce ss f ully c ompl e t e d a nd do c u m e nt e d. This

do c um e nt a tion will be a v a il a ble f o r re vi e w up o n re qu e st b y the Administ ra to r

. B eca u s e the

know l e dge a nd a i r m a nship t e st qu a li f i ca t ions will be d e v e lop e d b y the o p era to r

, a nd th e r e

a r e no e st a blish e d p rac ti c a l t e st st a nd ar ds th a t suppo r t a j u r isdi c tion a l F AA F li g ht S t a nd ar ds

Dist r i c t O ff i c e (F S D O ) e v a lu a tion a nd a pp r o v a l of c omp a n y d e s i g n a t e d e x a min er s, the Operator will c ondu c t th e se t e sts in acc o r d a n c e w ith the Manual.

15. The UA will not be o p e r a t e d di rec t l y ov e r a n y p e r son, e x ce pt a utho r i z e d a nd c ons e nting

p er sonn e l necessary for the Purpose, b e l ow a n a ltitude th a t is h a z ar dous to p er sons or

p r o p er t y on t h e su rfa c e in the e v e nt o f a UAS fa ilu r e or e m e r g e n c y

.

16. Flight operations m ust be conducted at least 500 feet from all nonparticipating persons,
vessels, vehicles, and structures unless:

(a) Barriers or structures are present that sufficiently p r otect nonparticipating persons

from the UA and/or de b ris in the eve n t of an acci d ent. The operator m ust e nsure that nonparticipating persons re m ain under such protection. If a situation arises where nonparticipating persons leave such protection and are within 500 feet of the UA, flight operatio n s m ust cease im m ediately and/ or;

(b) The air c raft is oper a ted n ear ves s els, vehicles or structures where the owner/controller of such vessels, vehicles or structures has granted per m ission and

the PIC has m ade a safety assess m ent of the risk of operating closer to those objects and deter m ined that it does n ot prese n t an undue hazard, and;February 17, 2015 Page Seven

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- 7899 WWW.COOLEY.COM (c) Operations nearer to t h e PIC, VO, operator trainees or essential persons do not
present an u ndue hazard to those p ersons per § 9 1 .119(a).

All operati o ns shall b e conducted o v er pri v ate o r contr o lle d

- access pro p erty with

per m ission from the property owner/controller or authorized representative.

Per m ission from property owner/co n t roller o r author i zed represent a tive w ill b e obt a i n ed for each flight to be conducted. See , Exemptions 11170, 11172 and 111 7 for proposed language.

17. Prior to any flight Operator will only be required to obtain an Air Traffic Organization (ATO) issued Certificate of Waiver or Authorization (COA) for flights that are conducted at heights greater than 400 AGL; in other than Class G airspace; and closer than 5 miles from the geographic center of a non

- towered airport, without a letter of agreement with the airport manager. If requested, Operator will provide telephonic advanced notice to an ATO or file a NOTAM for any flight not re quiring a COA.

18. I f the UAS los e s communications or los e s its Glob a l P ositioning S y s t e m ( G PS ) si g n a l, the UA will be programmed to re tu r n to a p r e

- d e t er min e d lo ca tion wit h in the s ec u r i t y p er im e t e r

a nd l a nd or be rec ov e re d in a cc o r d a n c e with the Manual.

19. The UAS will a bo r t the f li g ht in the e v e nt o f un p re di c t e d obst a c l e s or e m e r g e n c i e s in

acc o r d a n c e with the Manual.

20. E ac h UAS op e ra tion will be c ompl e t e d within 30 minut e s f li g ht time or with 25% b a tt e r y

pow e r r e m a inin g

, whi c h e v e r o cc u r s f i r st.

21. All a i rcr a f t op e r a t e d in a cc o r d a n c e with this e x e mption will be id e nti f i e d b y s e r i a l numb er

, registered in a cc o r d a n c e with 14 C. F. R. p a r t 47, a nd h a ve id e nti f i c a tion ( N

- Numb er )

m a r kin g s in a c c o r d a n c e with 14 C. F. R. p a r t 45, S ubp ar t C . M ar kings will be a s l ar ge a s

p r ac ti c a bl e

.

22. The op e r a tor will d e v e l op p r o ce du r e s to do c um e nt a nd m a int a in a r e c o r d of the UAS

m a int e n a n ce , preventative m a int e n a n c e

, a lt e r a tions, st a tus of re pl a c e m e nt/ov er h a ul

c ompon e nt p ar ts, a nd the tot a l time in s er vi c e of t he UA S . Th e se p r o ce d ur e s will be a dd e d

to the Manual.

23. UAS op e ra t e d un d e r this e x e mption will c omp l y with a ll m a nu f a c tu r e r S afe t y B ull e tins.

24. The op e r a tor will d e v e l op UAS t ec hni c i a n qu a li f i ca tion cr it er i a . T h e se c r i t er ia will be a dd e d to

the Manual.

25. Preflight insp ec tion s ec tion in the Manual will be a m e nd e d to in c lude the f ollowing

r e qui re m e nt: T he p ref l i g ht insp ec tion will acc ount f or a ll dis cr e p a n c i e s, i. e . inop era ble

c ompo n e nts, it e ms, or e quipm e nt, not c ov ere d in the r e l e v a nt p r e f li g ht insp ec tion s ec tions of

the Manual.February 17, 2015 Page Eight

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- 7899 WWW.COOLEY.COM 26. B ef o r e c ond u c ting o p e r a tions, the ra dio fre q u e n c y sp ec t r um used f o r op e r a tion a nd c ont r ol

of the UA will c omp l y with the F e d e r a l C ommuni ca tions C ommis s ion (F CC ) or oth e r

a pp r op r i a te g ov e r n m e nt ov er si g ht a g e n c y r e qui re m e nts.

27. The do c um e nts re qu i re d und e r 14 C. F. R. §§ 91.9 a n d 91.203 will be a v a il a ble to the P I C a t

the g r ound c ont r ol st a t ion of the UAS a n y time the a i rc r af t is op e r a tin g

. Th e se do c um e nts

will be m a de a v a il a ble to the Administ ra tor or a n y l a w e n f o rc e m e nt o ff i c i a l upon re qu e st.

28. The UA will re m a in c l e a r a nd y i e ld the r i g ht of w a y to a ll oth e r m a nn e d op era tions a nd

ac tiviti e s a t a ll tim e s ( in c ludin g , but not limit e d to, ult ra li g ht v e hi c l e s, p ar ac hute ac tiviti e s,

p ara s a ili n g a c tiviti e s, h a ng g lid er s, e t c

. )

.

29. UAS op era tions will not be c ondu c t e d d u r ing n i g h t, a s d ef in e d in 14 C. F. R. § 1.1. All

op era tions will be c on d u c t e d und e r visu a l m e t e o r olo g i c a l c onditions ( V M C )

. F li g hts und e r

sp ec i a l visu a l f li g h t r ul e s ( S V F R ) will not be undertaken.

30. The UAS will not b e op e r a t e d b y the P I C fr om a n y moving d e vi c e or v e hi c l e

.

31. The UA will not be o p e r a t e d l e ss th a n 500 f e e t b e low or l e ss th a n 2,000 f e e t ho r i z ont a l l y fr om a cloud or wh e n vi s ibili t y is l e ss th a n 3 st a tu t e mil e s fr om the P I C

.

32. The UA will not op e ra te in C l a ss B

, C , or D a i r sp a c e without w r itt e n a pp r o v a l fr om the F AA.

T h e UA will not o p era te within 5 n a uti c a l mil e s of the g e o g ra phic c e nt e r of a non

- tow ere d

a i r po r t a s d e no t e d on a c u r r e nt F A A

- publ i sh e d aer o n a uti ca l c h ar t u nl e ss a l e tt er of

a g r e e m e nt with th a t a i r po r t ’ s m a n a g e m e nt is obt a in e d, a nd the op e ra tion is c ondu c t e d in

acc o r d a n c e with a N O TAM a s re qui r e d b y the op era to r’ s C O A. The l e t t e r of a g ree m e nt with

the a i r po r t m a n a g e m e nt will be m a de a v a i l a ble to the Administ ra tor upon re qu e st.

33. A n y 1 ) in c id e nt, 2) a cc i d e nt, or 3) f l i g ht op e r a tion th a t t ra nsg re ss e s the l a t e ra l or v er ti c a l

bound ar i e s of the o p era t i on a l ar e a a s d e f in e d b y t he a ppli ca ble C OA will be re po r t e d to the

Fe d era l Avi a tion A d minist ra tion ’ s (F AA) UA S I nt e g r a tion O ff i c e ( A FS

- 80) within 24 hou r s.
A cc id e nts will be re po r t e d to the N a tion a l T ra nspo r t a tion S afe t y B o ar d ( NT S B ) p e r inst r u c tions c ont a in e d on the NT S B W e b sit e : www.ntsb. g ov

. F u r t h e r f li g ht op era tions will

not be c ondu c t e d u n til the in c id e nt, acc id e nt, or t ra n s g re ssion is re v i e w e d b y A F S

- 80 a nd

a utho r i z a tion to re sume op era tions is p r ovid e d.

Unless otherwise specified in this grant of exemption, the UAS, the UAS PIC, and the UAS operations must comply with all applicable parts of 14 C.F.R. including, but not limited to, parts 45, 47, 61, and 91.February 17, 2015 Page Nine

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- 7899 WWW.COOLEY.COM 14 C.F.R. § 61.113(a) and (b): Private Pilot Privileges and Limitations: Pilot in Command.

Sections 61.113(a) and (b) limit private pilots to non

- commercial operations

. Because the UAS will not carry a pilot or passengers, the proposed operations ca n achieve the equivalent level of safety of current operations by requiring the PIC operating the aircraft to have a private pilot’s license rather than a commercial pilot’s license to operate this small UAS.

Unlike a conventional aircraft that carries th e pilot and passengers, the sUAS is remotely controlled with no living thing on board. The area of operation is controlled and restricted, and all flights are planned and coordinated in advance as set forth in the Manual. The level of safety provided by the requirements included in the Manual exceeds that provided by a single individual holding a commercial pilot’s certificate operating a conventional aircraft. The risks associated with the operation of the sUAS are so diminished from the level of risk a ssociated with commercial operations contemplated by Part 61 when drafted, that allowing operations of the sUAS as requested with a private pilot as the PIC exceeds the present level of safety achieved by 14 C.F.R. § 61.113(a) and (b). The FAA has granted exemptions for private pilots to conduct similar operations in Exemptions 11062, 11063, 11064, 11065, 11066, 11067 and

11080.

14 C.F.R. § 91.119: Minimum Safe Altitudes.

Section 91.119 establishes safe altitudes for operation of civil aircraft. Secti on 91.119(d) allows helicopters to be operated at less than the minimums prescribed, provided the person operating the helicopter complies with any route or altitudes prescribed for helicopters by the FAA. As this exemption is for a sUAS that is a helicop ter and the exemption requests authority to operate at altitudes up to 400 AGL an exemption may be needed to allow such operations. As set forth herein, except for the limited conditions stated in the Manual and in condition #3, page 3, the UAS will never operate at higher than 400 AGL.

The equivalent level of safety will be achieved given the size, weight, speed of the UAS as well as the location where it is operated. No flight will be taken without the permission of the property owner, facility own er and local officials. Because of the advance notice to the property owner and participants all affected individuals will be aware of the planned flight operations as set forth in the Manual. Compared to flight operations with aircraft or rotorcraft wei ghting far more than the maximum 55lbs. proposed herein and the lack of flammable fuel, any risk associated with these operations is far less than those presently presented with conventional aircraft operating at or below 500 AGL in the aerial photography industry. In addition, the low

altitude operations of the sUAS will ensure separation between these small

- UAS operations and the operations of conventional aircraft that must comply with Section 91.119. The FAA has granted exemptions to conduct similar operations in Exemptions 11062, 11063, 11064, 11065,
11066, 11067 and 11080.

14 C.F.R. § 91.121: Altimeter Settings.

This regulation requires each person operating an aircraft to maintain cruising altitude by reference to an altimeter that is set “...to the elevation of the departure airport or an appropriate altimeter setting available before departure.” As the sUAS in a t least one operating mode willFebruary 17, 2015 Page Ten

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- 7899 WWW.COOLEY.COM not have a barometric altimeter, but instead a GPS altitude read out, an exemption will be needed. An equivalent level of safety will be achieved by the operator, pursuant to the Manual and Safety Check list, confirming the altitude of the launch site shown on the GPS altitude indicator before flight. The FAA has granted exemptions to conduct similar operations in Exemptions 11062, 11063, 11064, 11065, 11066, 11067 and 11080.

14 C.F.R. § 91.151(a): Fuel Requirements for F light in VFR Conditions.

Section 91.151 (a) prohibits an individual from beginning “a flight in an airplane under VFR conditions unless (considering wind and forecast weather conditions) there is enough fuel to fly to the first point of intended landing, and, assuming normal cruising speed

– (1) During the day, to fly after that for at least 30 minutes; or (2) At night, to fly after that for at least 45

minutes.”

The battery powering the sUAS provides approximately 40 minutes of powered flight. To

meet the 30 minute reserve requirement in 14 C.F.R. § 91.151, sUAS flights would be limited to approximately 10 minutes in length. Given the limitations on the UAS’s proposed flight area and the location of its proposed operations within a predetermined area, a longer time frame for flight in daylight or night VFR conditions is reasonable.

Applicant believes that an exemption from 14 C.F.R. § 91.151(a) falls within the scope of prior exemptions. See Exemption 10673 (allowing Lockheed Martin Corporation to op erate without compliance with FAR 91.151(a)). Operating the small UAS, in a tightly controlled area where only people and property owners or official representatives who have signed waivers will be allowed, with less than 30 minutes of reserve fuel, does not engender the type of risks that Section 91.151(a) was intended to alleviate given the size and speed of the small UAS.

Applicant believes that an equivalent level of safety can be achieved by limiting flights to 30 minutes or 25% of battery power whi chever happens first. This restriction would be more than adequate to return the sUAS to its planned landing zone from anywhere in its limited operating area.

Similar exemptions have been granted to other operations, including Exemptions 2689F,
5745, 106 73, 10808 and Exemptions 11062, 11063, 11064, 11065, 11066, 11067 and 11080.

14 C.F.R. § § 91.405(a); 407(a)(1); 409(a)(2); 417(a) and (b): Maintenance Inspections.

These regulations require that an aircraft operator or owner “shall have that aircraft inspected as prescribed in subpart E of this part and shall between required inspections, except as provided in paragraph (c) of this section, have discrepancies repaired as prescribed in part 43 of this chapter...,” and others shall inspect or maintain th e aircraft in compliance with Part 43.

Given that these section and Part 43 apply only to aircraft with an airworthiness certificate, these sections will not apply to the applicant. Maintenance will be accomplished by the operator pursuant to the flight manual and operating handbook as referenced in the Flight Operations and Procedures Manual (FOPM) attached as confidential See Exhibit 3 . AnFebruary 17, 2015 Page Eleven

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- 7899 WWW.COOLEY.COM equivalent level of safety will be achieved because these small UASs are very limited in size and will carry a sma ll payload and operate only in areas for limited periods of time. If mechanical issues arise the UAS can land immediately and will be operating from no higher than 400 feet AGL. As provided in the FOPM, the operator will ensure that the UAS is in working order prior to initiating flight, perform required maintenance, and keep a log of any maintenance performed. Moreover, the operator is the person most familiar with the aircraft and
best suited to maintain the aircraft in an airworthy condition to provi de the equivalent level of
safety. The FAA has granted exemptions for similar operations in Exemptions 11062, 11063,

11064, 11065, 11066, 11067 and 11080.

********* Pursuant to 14 C.F.R. Part 11, the following summary is provided for publication in the

Fed eral Register, should it be determined that publication is needed:

Applicant seeks an exemption from the following rules:

14 C.F.R. §§ 61.113 (a) and (b); 91.7(a); 91.119; 91.121; 91.151(a); 91.405(a); 91.407(a)(1); 91.409(a)(2); 91.409(a)(2) and 91.417(a) and (b) to operate commercially a small unmanned vehicle (55 lbs. or less) in motion picture and television operations.

Approval of exemptions allowing commercial operations of sUASs for filming for motion picture and television work will enhance safety by reducing risk. Conventional operations, using jet or piston power aircraft, operate at extremely low altitudes just f eet from the subject being filmed and in extreme proximity to people and structures; and present the risks associated with vehicles that weigh in the neighborhood of 6,000 lbs., carrying large amounts of jet A or other fuel (140 gallons for jet helicopters) . Such aircraft must fly to and from the project location. In contrast, a sUAS weighing fewer than 55 lbs. and powered by batteries eliminates virtually all of that risk given the reduced mass and lack of combustible fuel carried on board. The sUAS is c arried to the target area and not flown. The sUAS will carry no passengers or crew and, therefore, will not expose them to the risks associated with manned aircraft flights.

The operation of small UASs, weighting less than 55 lbs., conducted in the stric t conditions outlined above, will provide an equivalent level of safety supporting the grant of the exemptions requested herein. These lightweight aircraft operate at slow speeds, close to the ground, and in areas that are under the control of the custome r for the inspections and, as a result, are far safer than conventional operations conducted with turbine helicopters operating in close proximity to the ground and people or the use of people to climb the structures to conduct the inspection.

PRIVACY

All flights will occur over private or controlled access property with the property owner’s prior consent and knowledge. Inspection be of inanimate objects in areas where the owners and/or operator will have consented to observation/ filming or otherwise have agreed to be in the area where inspection will take place.February 17, 2015 Page Twelve

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- 7899 WWW.COOLEY.COM Satisfaction of the criteria provided in Section 333 of the Reform Act of 2012

-- size,
weight, speed, operating capabilities, proximity to airports and populated areas and operation

within vis ual line of sight and national security

– provide more than adequate justification for the
grant of the requested exemptions allowing commercial operation of applicant’s UAS for the
Purposes outlined herein and are consistent with exemptions already grante d, including
Exemptions 11062, 11063, 11064, 11065, 11066, 11067,11080,11150 and 11158.

Sincerely,

n

Jonathan B. Hill Cooley, LLP Counsel for Integrated Media Technologies, Inc.

John McGraw John McGraw Aerospace Consulting, LLC Agent for Integrated Media Technologies, Inc.

cc: James Williams Robert Pappas

Jake Troutman

Dean Griffith Thuy H. Cooper

113359999