Document:

Amendment No. 1 to Asset Purchase Agreement

 Exhibit 10.28 
  
 Amendment No. 1 
  
 To Asset Purchase Agreement 
  
 This amendment (“Amendment No. 1”) is made as of this 3rd day of July, 2001 by and between Astrium, GmbH, a German corporation
(“Astrium”), and Spacehab, Incorporated (“SHI”), a state of Washington corporation. 
  
 WHEREAS, Astrium and SHI have entered into an Asset Purchase Agreement dated December 19, 2000 (“Asset Purchase Agreement”) for the sale of
certain commercial space hardware known as the integrated cargo carrier (“ICC”) and related assets (the “ICC System Assets”) and known as vertical cargo carrier (“VCC”) and related assets (the “ICC-V System
Assets”); 
  
 WHEREAS, SHI desires to split the delivery of
the ICC-V System assets into one partial delivery (the “Partial Delivery”) and one final delivery (the “Final Delivery”); 
  
 NOW THEREFORE, for good and valuable consideration, the sufficiency of which is hereby acknowledged, it is hereby agreed that: 
  

 Amendment No. 1 to Asset Purchase Agreement 

	1.	Article 3.2 (b) of the Asset Purchase Agreement is hereby deleted in its entirety and replaced by the following wording: 

  
 “The Second Closing shall occur in two separate steps, i.e. the Partial Delivery and
the Final Delivery of the ICC-V System Assets. Upon the Partial Delivery Seller shall deliver those items to Purchaser as identified for partial delivery in Schedule 1, Section 2, and Purchaser shall make a partial payment of One Million Five
Hundred Thousand Dollars ($1,500,000). The Partial Delivery shall take place in August 2001. Upon the Final Delivery Seller shall deliver to Purchaser those items identified as ICC-V System Assets as far as they have not been delivered under the
Partial Delivery and the Purchaser shall pay Seller Two Million Nine Hundred Thousand Dollars ($2,900,000). The Final Delivery shall occur at such place and on such date and at such time as the parties mutually agree after the ICC-V system has been
qualified for flight onboard Space Shuttle in accordance with the requirements identified in Article 6.2 (e) of this Agreement. Upon the Second Closing, Seller shall execute and deliver to Purchaser (i) a Bill of Sale each for the Partial Delivery
and the Final Delivery and (ii) such other endorsements, assignments and such other instruments of transfer and conveyance, in form and substance reasonably satisfactory to Purchaser, as shall be effective to vest in the Purchaser as of the date of
the Second Closing good title, free and clear of any Claims, to the ICC-V System Assets and all other assets set forth in sections 1.3 (a), (b), (c) and (d) related to the ICC-V System Assets. In addition, both parties shall execute and deliver such
other ancillary documents contemplated by, or arising under, this Agreement as are necessary in order to effect the transfers contemplated for the Second Closing. Completion of the Second Closing shall occur upon performance of the Final
Delivery” 
  

	2.	Article 8.1 (a) of the Asset Purchase Agreement is amended by adding the following sentence at the end of the paragraph: 

  
 “ Purchaser may terminate this Agreement at any time with respect to the Partial
Delivery of the ICC-V System Assets if Seller fails to perform the Final Delivery with respect to the ICC-V System Assets in accordance with the terms of this Agreement.” 
  

	3.	Schedule 1 of the Asset Purchase Agreement is amended by deleting its Section 2.0 in its entirety and replacing it with the annex to this Amendment No. 1.

  

	4.	All capitalized terms used and not defined herein shall have the meaning ascribed to them in the Asset Purchase Agreement. 

  

 Amendment No. 1 to Asset Purchase Agreement 

 IN WITNESS WHEREOF, the undersigned has executed this Amendment No. 1 to the Asset Purchase Agreement as of this
3rd day of July, 2001. 
  

									
	ASTRIUM, GMBH	 	 	 	 
					
	 By:
	 	/s/    DR. STEFAN
GRAUL        	 	 	 	 By:
	 	/s/    DR. ECKART
WOLFF        
	 Name:
	 	Dr. Stefan Graul	 	 	 	 Name:
	 	Dr. Eckart Wolff
	 Title:
	 	Director Orbital Infrastructure & Ops	 	 	 	 Title:
	 	Director of Finance, Control, Procurement & Commercial

  

			
	SPACEHAB, INCORPORATED
		
	 By:
	 	/s/    MICHAEL E.
KEARNEY        
	 Name:
	 	Michael E. Kearney
	 Title:
	 	President

  

 Amendment No. 1 to Asset Purchase Agreement 

					
	 DESCRIPTION

	  	QTY/REF

	 	REF

	 1.0 VCC
	  	 	 	 
	 1,1 FLIGHT HARDWARE
	  	 	 	 
	 VCC1 Flight Unit
	  	1	 	397GK.100
	 VCC NBL Unit (Refinished VCC2)
	  	1	 	397GK.100
	 VCC3 Flight Unit
	  	1	 	397GK.100
	 Flight Spare Parts Kit
	  	2	 	ZIP
	 INSERT (NHP)
	  	2	 	381GK.100
	 INSERT (LONGERON TRUNNION BRACKET)
	  	2	 	381GK.100
	 BOLT (SECTION INTERFACE)
	  	5	 	397GK.000
	 ANGULAR PIN (SECTION INTERFACE)
	  	2	 	397GK.200
	 PIN (SECTION INTERFACE)
	  	5	 	397GK.200
	 BOLT (TRUNNION BRACKET ATTACHMENT)
	  	5	 	397GK.000
	 WASHER (SECTION INTERFACE)
	  	5	 	397GK.000
	 KEEL FITTING ATTACHMENT
	  	2	 	SCREW M    
	 KEEL FITTING ATTACHMENT
	  	2	 	WASHER A
	 SCUFF PLATE ATTACHMENT SCREW M10-6e X 24.26.011
	  	2	 	 
	 PIN (KEEL FITTING ATTACHMENT)
	  	2	 	397GK.300
	 BOLT (KEEL FITTING ATTACHMENT)
	  	2	 	397GK.300
	 1,2 FLIGHT SUPPORT EQUIPMENT
	  	N/A	 	 
	 1,3 GSE AND MISCELLANEOUS HARDWARE
	  	 	 	 
	 Unique Test Hardware
	  	A/R*	 	 
	 VCC2 Spare Parts Kit
	  	1	 	 
	 Special tools for re-assembly
	  	1	 	 
	 GSE Kit (Stabilizing beam for outer section)
	  	3	 	 
	 Special Fixtures for re-assembly
	  	1	 	 
	 Re-useable Shipping Container Sets
	  	3	 	 

  
 Notes: 
  

	1.	All line items marked “P” are included in Partial Delivery 

  

	2.	1 of 3 Shipping Container sets included in partial delivery 

  

 Amendment No. 1 to Asset Purchase AgreementLease Agreement dated February 28, 2001 between the Registrant and Astrium GmbH

 Exhibit 10.29 
  
 LEASE AGREEMENT 
  
 dated as of February 28, 2001 
  
 between 
  
 ASTRIUM NA, INC. 
  
 as LESSOR, 
  
 and 
  
 SPACEHAB, INCORPORATED, 
  
 as LESSEE 
  
 This Lease Agreement has been executed in several counterparts. To the extent, if any, that this Lease Agreement constitutes chattel paper
(as such term is defined in the Uniform Commercial Code as in effect in any applicable jurisdiction), no security interest in this Lease Agreement may be created through the transfer or possession of any counterpart other than the original
counterpart containing the receipt therefor executed by the Lessor immediately following the signature page hereof. 

 TABLE OF CONTENTS 
  

					
	 Section 1.
	  	Definitions	  	1
			
	 Section 2.
	  	Agreement to Lease on the Closing Date	  	1
			
	 Section 3.
	  	Term and Rent	  	1
			
	 Section 4.
	  	Representations and Warranties; Certain Agreements of Lessee	  	2
			
	 Section 5.
	  	Liens	  	2
			
	 Section 6.
	  	Operation, Possession and Sublease	  	3
			
	 Section 7.
	  	Alterations, Modifications and Additions	  	4
			
	 Section 8.
	  	Loss Destruction, Requisition	  	5
			
	 Section 9.
	  	Inspection	  	5
			
	 Section 10.
	  	Assignment	  	5
			
	 Section 11.
	  	Events of Default	  	6
			
	 Section 12.
	  	Remedies	  	7
			
	 Section 13.
	  	Tax Matters	  	8
			
	 Section 14.
	  	Further Assurances; Covenant of Quiet Enjoyment	  	11
			
	 Section 15.
	  	Notices	  	11
			
	 Section 16.
	  	Net Lease, No Set-Off, Counterclaim, etc.	  	11
			
	 Section 18.
	  	Language	  	12
			
	 Section 19.
	  	Miscellaneous	  	13
			
	 Section 20.
	  	Waiver of Jury Trial	  	13

  

 i 

					
	Appendix A	 	 	  	Definitions
	Exhibit I	 	-	  	Equipment (Terms of Lease, Lease Period Dates; Rents)
	Exhibit II	 	 	  	Tax Assumptions

  

 ii 

 Exhibit 10.29 
  
 LEASE AGREEMENT 
  
 This LEASE AGREEMENT, dated as of February 28, 2001 (this “Lease” or this “Agreement”), between ASTRIUM NORTH AMERICA,
INC., a corporation organized and existing pursuant to the laws of Delaware (the “Lessor”), and SPACEHAB, Incorporated, a corporation organized and existing pursuant to the laws of the State of Washington (“SHI” or the
“Lessee”). 
  
 WHEREAS, the parties hereto have
entered into an Agreement on Principles for Lease of ICC/ICC-V, dated as of November 30, 2000 with respect to the subject-matter of this Lease; 
  
 WHEREAS, the parties hereto are also parties to that certain Asset Purchase Agreement (the “Sale Agreement”), dated as of the date hereof,
regarding the sale of the Equipment from the Lessee to the Lessor. 
  
 Section 1. Definitions. 
  
 (a) Unless
otherwise provided herein, capitalized terms used herein without definition shall have the meanings assigned to such terms in Appendix A. 
  
 Section 2. Agreement to Lease on the Closing Date. 
  

Subject to the terms and conditions of this Lease, Lessor hereby agrees to lease to Lessee hereunder, and Lessee hereby agrees to accept delivery of
and to lease from Lessor hereunder, the Equipment on the Closing Date, whereupon the Term shall commence. 
  
 Section 3. Term and Rent. 
  
 (a) Term; Renewal; Rent. Subject to delivery of the Equipment as provided in Section 2, Lessee hereby leases the Equipment from Lessor for the term
of four (4) years (the “Initial Term”) from the Closing Date (the “Initial Termination Date”); provided, that Lessee shall have the option (an “Option”) to renew this Lease for up to two (2) additional
periods of four (4) years each beyond the Initial Termination Date, on the same terms and conditions as are set forth in this Agreement (with such extended period pursuant to the Option exercise the “Extended Term” and the Initial Term and
any Extended Term collectively, the “Term”). Lessee agrees to pay to Lessor Rent for the Equipment in an amount equal to the amount set forth with respect to the Equipment on Exhibit I hereto. Should Lessee exercise the option described
herein, the rent for the subsequent Term covered by such option shall escalate at a rate of 5% per year starting at the beginning of the subsequent term. 
  
 (b) Manner of Payment. All Rent shall be paid by Lessee to Lessor’s Account in Immediately Available Funds not later than 12:00 noon, New York
time, on the date of payment. If any payment hereunder is due on a date that is not a Business Day, such payment shall be made on the next succeeding Business Day, and no interest shall accrue if such payment is made on the next succeeding Business
Day. 

 (c) Interest on Overdue Rent. Lessee also agrees to pay to Lessor any and all Rent promptly as the
same shall become due and owing (or on demand if no due date is specified). In the event of any failure on the part of Lessee to pay any Rent, Lessor and each such other Person shall have all rights, powers and remedies provided for herein or by law
or in equity or otherwise in the case of nonpayment of Rent. Lessee will also pay, on demand, to the extent permitted by Applicable Law, interest at the Overdue Interest Rate on any part of any installment of Rent not paid when due for any period
for which the same shall be overdue for the period from such due date or demand until the same shall be paid. All Rent to be paid pursuant to this Section 3(c) shall be payable in the type of funds and in the manner set forth in Section 3(b).

  
 Section 4. Representations and Warranties; Certain
Agreements of Lessee. 
  
 (a) Representations and
Warranties. Lessee acknowledges and agrees that the Equipment is of a size, design, capacity and manufacture selected by and acceptable to Lessee, and Lessee is satisfied that the Equipment is suitable in design, maintenance, and condition for
its purposes. Lessor does not make or give and shall not be deemed to have made or given, and hereby expressly disclaims any representation or warranty, express or implied, as to the title, value, condition, design, operation, merchantability or
fitness for use of the equipment or any part thereof, or as to the absence of latent or other defects, whether or not discoverable, or as to the absence of any infringement or interference with any patent, trademark or copyright, or as to the
absence of obligations based on strict liability in tort or any other representation or warranty whatsoever, express or implied, with respect to the equipment or any part thereof, except that Lessor warrants that as of the Closing Date Lessor shall
have such interest in the Equipment as was conveyed to it by Lessee under the Sale Agreement and that the Equipment or any Parts (and any interest therein) shall during the Term be free of Lessor Lien attributable to it. Lessor shall be responsible
for the reliability, and maintenance of the Equipment and any Parts thereof. 
  
 (b) Manufacturer’s Warranties. None of the provisions of this Section 4 or any other provision of this Lease shall be deemed to amend, modify or otherwise affect the representations, warranties or other
obligations (expressed or implied) of the Manufacturer or any subcontractor or supplier of the Manufacturer with respect to any Item of the Equipment or any Parts forming a part of in or attached to any Item of Equipment or to release the
Manufacturer or any such subcontractor or supplier from any such representation, warranty or obligation. Lessee shall have the benefit of and shall be entitled to enforce (as it shall deem appropriate), any and all manufacturer’s credits,
guarantees, indemnities, warranties or other benefits, available to Lessor or Lessee in respect of the Equipment. 
  
 Section 5. Liens. 
  
 Lessee will not directly or indirectly create, incur, assume or suffer to exist any Lien on or with respect to the Equipment or any Part, title thereto or
any interest therein or in or to this Lease (or any other Operative Documents to which Lessee is a party) except Permitted Liens. Lessee will promptly, at its own expense, take such action as may be necessary duly to discharge (by bonding or
otherwise) any Lien that is not a Permitted Lien if the same shall arise at any time during the Term. 
  

 2 

 Section 6. Operation, Possession and Sublease. 
  
 (a) Maintenance and Operation, Etc. Lessee, at its own cost and
expense, undertakes (or shall cause any Permitted Sublessee to undertake) that throughout the Term, Lessee (or any Permitted Sublessee) shall comply with the following agreements and undertakings: 
  
 (i) Operation and Use. Lessee shall: 
  
 (A) ensure that the Equipment is used, operated and
controlled in accordance with all Applicable Laws of the United States (and of any country in which the Equipment may be operated). 
  
 (B) ensure that the Equipment is not used for any purpose for which it is not designated or reasonably suited, or outside the tolerances
and limitations for which the Equipment was designed, and will be operated in accordance with Lessor’s operating manuals, and in accordance with all applicable ISS and Shuttle regulations and operating procedures; and 
  
 (C) ensure that the Equipment is used for its intended
function and not for any illegal purpose or in any illegal manner. 
  
 (D) ensure that the Equipment is not used in any manner or location which would cause the loss of any applicable tax exemption or cause Lessor to become subject to taxation in any jurisdiction in which it was not, as
of the date of this Lease, then subject to taxation. 
  
 (ii) Certificates and Licenses. Lessee shall ensure that there are obtained and maintained in full force and effect in good standing at all times all necessary certificates, authorizations and qualifications required to perform the
Lessee’s (and any Permitted Sublease’s) obligations under the Operative Documents and for the use and operation of the Equipment. 
  
 (b) Possession and Subleases. 
  
 (A) General Restrictions. Lessee shall not, without the prior written consent of Lessor (which consent shall not be unreasonably
withheld), sublease or otherwise in any manner deliver, transfer or relinquish possession of any Item of Equipment 
  
 No transaction permitted under this Section 6(b) shall involve any transfer of title in or to any Item of Equipment or any Part thereof
nor shall it in any way diminish, release or discharge any of Lessee’s obligations to Lessor under this Lease or under any other Operative Document. Lessee shall remain primarily liable for the performance of all of its obligations under this
Lease irrespective of any such transaction. 
  
 (ii) Performance by Sublessee. Notwithstanding anything to the contrary contained in this Lease, if any obligation that is required to be performed by Lessee under this Lease is performed or not performed, as the case may be, by any
Permitted 

  

 3 

 
Sublessee, then performance or non-performance by such Permitted Sublessee shall, to the extent thereof only, for the purposes of this Lease constitute
performance or non-performance by Lessee. 
  
 (c) Location of
Equipment. Nothing in this Lease or elsewhere in the Operative Documents shall be deemed to require that the Equipment be maintained in any particular location; provided that (i) prior to relocation of any Item of Equipment to a country
which is not a member of the OECD, Lessee shall provide to Lessor an opinion of counsel in such jurisdiction reasonably acceptable to Lessor to the effect that the laws of such jurisdiction would not impair the right of Lessor to repossess such Item
of Equipment upon the occurrence of an Event of Default and (ii) prior to relocation of any Item of Equipment outside of the United States, Lessee shall provide to Lessor an opinion of counsel in such jurisdiction reasonably acceptable to Lessor
that such relocation shall not cause Lessor to become subject to taxation in such jurisdiction in any respect. 
  
 Section 7. Alterations, Modifications and Additions. 
  
 Upon receiving prior written approval from the Lessor, Lessee or any Permitted Sublessee, at its own expense, may from time
to time make such additions, alterations and modifications, including removal (without replacement) of Parts which Lessee or any Permitted Sublessee deems obsolete or no longer appropriate or suitable for use in the Equipment, and additions to the
Equipment as Lessee or such Permitted Sublessee may deem desirable in the proper conduct of its business; provided that no such alteration, modification, removal or addition decreases the value, utility, residual value or remaining economic
useful life of the Equipment below the value, utility, residual value or remaining economic useful life thereof immediately prior to such alteration, modification, removal or addition assuming the Equipment was then in the condition required to be
maintained by the terms of this Lease. Any severable Part not mandated by Applicable Law to be incorporated or installed in or attached or added to the Equipment as the result of such alteration, modification, removal or addition shall not
constitute part of Lessor’s Interest and may be removed at any time during the Term; provided that (i) such Part is in addition to, and not in replacement of or substitution for, any Part originally incorporated or installed in or
attached or added to the Equipment at the time of the delivery thereof thereunder or any Part in replacement of or substitution for any such Part; (ii) such Part is not otherwise required to be incorporated or installed in or attached to the
Equipment pursuant to the terms hereof or in order to maintain insurance coverage; and (iii) such Part can be removed from such Equipment without damage and without diminishing the value, utility, residual value or remaining economic useful life of
such which the Equipment would have had at such time had such alteration, modification, removal or addition not occurred, assuming such Equipment was maintained in the condition required by the terms of this Lease. All other such Parts and the
rights of Lessor and Lessee with respect thereto shall be subject to the Sale Agreement and this Lease. Upon termination of this Lease or, in the event that this Lease is renewed pursuant to Section 3(a) hereof, the termination of the term of the
last renewal, with respect to any Item of Equipment, Lessor shall have the right to purchase for its then fair market value such Item of Equipment or any severable Part owned by Lessee (or its designee) not removed prior to the return to Lessor
(including pursuant to the exercise of remedies following an Event of Default) of such Item of Equipment. If Lessor elects not to purchase a severable Part owned by Lessee (or its designee), Lessee or a Permitted Sublessee, as the case may be, may
at 

  

 4 

 
its option remove such Part or return the applicable Item of Equipment with such Part intact (in which case such Part shall become subject to the Sale
Agreement without further act by the parties hereto). Any permitted additions or modifications will be permanently recorded and the records of such shall be made available at the request of the Lessor. 
  
 Section 8. Loss, Destruction, Requisition. 
  
 (a) General. Upon the occurrence of an Event of Loss with respect to
any Item of Equipment, Lessee shall be liable only for Rent having accrued and remaining unpaid as of the occurrence of such Event of Loss. Thereafter, Lessee shall not be responsible, and shall bear no liability, for the Item of Equipment having
suffered such Event of Loss and Lessee shall have no further obligations with respect to such Item of Equipment. Notwithstanding the foregoing, Lessee shall forthwith (and, in any event, within five (5) days after such occurrence) give Lessor
written notice of such Event of Loss. 
  
 (b) Seizure and
Requisition. In the event of the seizure or requisition of an Item of Equipment (other than as set forth in Appendix A, paragraphs (c) and (d) of the definition of “Event of Loss”) by any Governmental Authority which results in the
loss of possession of such Item of Equipment (or, if any Permitted Sublease is then in effect, the Permitted Sublessee thereunder) during the Term, the Lessee or, as the case may be, the Permitted Sublessee shall not be responsible for any Rent for
such Item of Equipment attributable to the period of time during which the Item of Equipment was not in the possession of the Lessee or, as the case may, the Permitted Sublessee. 
  
 Section 9. Inspection. 
  
 At reasonable times and upon reasonable written notice to Lessee or any Permitted Sublessee, Lessor, and its respective
authorized representatives may at their own expense (or at the expense of Lessee if an Event of Default shall have occurred and be continuing) and risk conduct a visual walk-around inspection of the Equipment and may inspect the books and records of
Lessee related thereto. No inspection pursuant to this Section 12 shall interfere with the use, operation or maintenance of the Equipment or the normal conduct of the business of Lessee or any Permitted Sublessee of the Equipment, and Lessee shall
not be required to undertake or incur any additional liabilities in connection therewith. Lessor shall have no duty to make any such inspection and shall not incur any liability or obligation by reason of not making any such inspection. 

 
 Section 10. Assignment. 
  
 Except as otherwise provided in Section 6(b) or in the case of any
requisition by the government of the United States of America or Germany referred to in Sections 8 and in “Event of Loss”, Lessee will not, without prior written consent of Lessor, assign any of its rights hereunder, except as expressly
permitted hereunder. Lessor agrees that it will not assign or convey its rights and interests in and to the Sale Agreement, this Lease and the Equipment except 

  

 5 

 
as contemplated thereby. The terms and provisions of this Lease shall be binding upon and inure to the benefit of Lessor and Lessee and their respective
successors and assigns. 
  
 Section 11. Events of
Default. 
  
 The following events shall constitute Events of
Default (whether any such event shall be voluntary or involuntary or come about or be effected by operation of law or pursuant to or in compliance with any judgment, decree or order of any court or any order, rule or regulation of any administrative
or governmental body): 
  
 (a) Lessee shall fail to make any
payment of Rent which has accrued and remains unpaid within five (5) Business Days after delivery of written notice of such failure by Lessor to Lessee; or 
  
 (b) Lessee shall fail to make any other payment of Rent and such failure shall continue un-remedied for a period of thirty days after written demand
therefor by Lessor to Lessee; or 
  
 (c) Lessee shall fail to
perform or observe any covenant (other than the covenants described in paragraphs (a), (b) or (c) of this Section 11), condition or agreement to be performed or observed by it hereunder or under any other Operative Document, and such failure shall
continue unremedied for a period of thirty (30) days after written notice thereof by Lessor to Lessee (or, if such failure is capable of being cured, but not within such 30-day period, and provided Lessee is diligently pursuing such cure, for an
additional period, not to exceed one hundred and eighty (180) days, as may reasonably be required in order for Lessee to cure such failure); or 
  
 (d) any representation or warranty made by Lessee herein, in the Sale Agreement or in any document or certificate furnished by Lessee in connection
herewith or therewith or pursuant hereto or thereto shall prove to have been incorrect in any material respect on the date as of which made and shall not have been corrected within 30 days after receipt of written notice from Lessor of such
incorrectness; or 
  
 (e) Lessee shall consent to the appointment
of a receiver, trustee or liquidator of itself or of a substantial part of its property, or Lessee shall admit in writing its inability to pay its debts generally as they come due, or shall make a general assignment for the benefit of creditors; or

  
 (f) Lessee shall file a voluntary petition in bankruptcy or a
voluntary petition or an answer seeking reorganization in a proceeding under any bankruptcy laws (as now or hereafter in effect) or an answer admitting the material allegations of a petition filed against Lessee in any such proceeding, or Lessee
shall, by voluntary petition, answer or consent or otherwise, seek relief under the provisions of any other now existing or future bankruptcy or other similar law providing for the reorganization or winding-up of corporations, or providing for an
agreement, composition, extension or adjustment with its creditors; or 
  
 (g) an order, judgment or decree shall be entered in any proceeding by any court of competent jurisdiction appointing, without the consent of Lessee, a receiver, trustee or liquidator 

  

 6 

 
of Lessee or any substantial part of its property, or sequestering any substantial part of the property of Lessee, and any such order, judgment or decree or
appointment or sequestration shall remain in force undismissed, unstayed or unvacated for a period of ninety (90) days after the date of entry thereof; or 
  
 (h) a petition against Lessee or a proceeding under applicable bankruptcy laws or other insolvency laws, as now or hereafter in effect, shall be filed and
shall not be withdrawn or dismissed within ninety (90) days thereafter, or if, under the provisions of any law providing for reorganization or winding-up of corporations which may apply to Lessee or, any court of competent jurisdiction shall assume
jurisdiction, custody or control of Lessee or of any substantial part of its property and such jurisdiction, custody or control shall remain in force unrelinquished, unstayed or unterminated for a period of ninety days; or 
  
 (i) any additional proceeding for the relief of financially distressed
debtors is entered into by Lessee voluntarily or involuntarily. 
  
 Section 12. Remedies. 
  
 Upon the
occurrence of any Event of Default and at any time thereafter so long as the same shall be continuing, Lessor may, at its option, declare this Lease to be in default by a written notice to Lessee. At any time thereafter, so long as Lessee shall not
have remedied all outstanding Events of Default, Lessor may do one or more of the following with respect to all or any part of its rights and interests in the Equipment as Lessor in its sole discretion shall elect, to the extent permitted by, and
subject to compliance with any mandatory requirements of, Applicable Law then in effect: 
  
 (a) cause Lessee, upon the written demand of Lessor and at Lessee’s expense, to return promptly to Lessor, and Lessee shall return promptly to Lessor, all or such part of the Equipment as Lessor may so demand or
otherwise in accordance with its order in the manner and condition as if the Equipment were being returned at the end of the Term, or Lessor, at its option, may enter upon the premises where all or any part of the Equipment is located and take
immediate possession of and remove the same by summary proceedings or otherwise, all without liability accruing to Lessor for or by reason of such entry or taking of possession or removal, whether for the restoration of damage to property caused by
such action or otherwise; 
  
 (b) sell all of its rights and
interests in the Equipment or any Item of Equipment at public or private sale, as Lessor may determine, or otherwise dispose of, hold, use, operate, lease to others or keep idle all or any part of the Equipment as Lessor, in its sole discretion, may
determine, all free and clear of any rights of Lessee, except as hereinafter set forth in this Section 12, and without any duty to account to Lessee with respect to such action or inaction or for any proceeds with respect thereto, except (i) to the
extent required by paragraph (c) below if Lessor elects to exercise its rights under such paragraph (c) and (ii) that Lessor shall obtain Lessee’s prior consent to such sale or disposition, such consent of Lessee not to be unreasonably
withheld; 
  
 (c) Lessor may cancel, rescind or terminate this
Lease by delivery of a notice of rescission or termination to Lessee, or may exercise any other right or remedy which may be 

  

 7 

 
available to it under applicable law or may proceed by appropriate court action to enforce the terms of this Lease at Lessee’s expense or to recover
damages for the breach hereof. 
  
 In addition, in the event that
Lessor shall have exercised any of its rights with the result that Lessee no longer enjoys the rights set forth in Section 13(a) of this Agreement, Lessee shall be liable only for any and all unpaid Rent which shall have accrued as of the date upon
which Lessee ceases to have the benefit of the rights as set forth in Section 13(a) of this Agreement and for all reasonable legal fees and other costs and expenses incurred by reason of the occurrence of any Event of Default or the exercise of
Lessor’s remedies with respect thereto, including all costs and expenses incurred in connection with the retaking or return of the Equipment or in placing such Equipment in the condition required. If requested by Lessor, Lessee will use its
best efforts after such return of the Equipment to aid in the sale of Lessor’s rights and interests in the Equipment. At any sale of the Equipment pursuant to this Section 12, Lessee or any of its Affiliates may bid for and purchase the
Equipment. Except as otherwise expressly provided above, no remedy referred to in this Section 12 is intended to be exclusive, but each shall be cumulative and in addition to any other remedy referred to above or otherwise available to Lessor at law
or in equity; and the exercise or beginning of exercise by Lessor of any one or more of such remedies shall not preclude the simultaneous or later exercise by Lessor of any or all of such other remedies. No express or implied waiver by Lessor of any
Event of Default shall in any way be, or be construed to be, a waiver of any future or subsequent Event of Default. To the extent permitted by Applicable Law, Lessee hereby waives any rights, except those set forth in this paragraph, now or
hereafter conferred by statute or otherwise which may require Lessor to sell its rights and interests in the Equipment, or lease or otherwise use the Equipment or any part thereof in mitigation of Lessor’s damages as set forth in this Section
12 or which may otherwise limit or modify any of Lessor’s rights or remedies under this Section 12. Lessor shall provide Lessee with not less than 30 days’ prior notice of any sale or other disposition of the Equipment or any Item of
Equipment pursuant to paragraph (b) above. 
  
 Section 13.
Tax Matters 
  
 (a) Tax Payments. 
  
 (i) Spacehab shall pay all Taxes which are levied, assessed
or imposed on or with respect to Spacehab, the Equipment, or any Part thereof or interest therein or any addition, alteration, modification or improvements thereto, or on the Rent payable hereunder, except the income Taxes described in subsection
(b), but including all penalties, additions to tax, fines and interest in connection with any such Taxes (“Spacehab Taxes”). 
  
 (ii) The Taxes which Spacehab is required to pay pursuant to this Section shall be treated as payments of additional Rent for all purposes
of this Agreement (including the default provisions hereof) except the payment procedures of Section 3(b)), provided however, that in the event Spacehab shall unintentionally have failed to pay any Spacehab Taxes or shall have failed to pay Spacehab
Taxes as a consequence of being reasonably unaware of such requirement, Spacehab shall have a period of 15 days from notice thereof by either any 

  

 8 

 
applicable taxing authority or Astrium NA within=which to make the required payment in full before such failure to pay shall be treated as a default for purposes of this Agreement. 
  
 (iii) To the extent any Spacehab Taxes may be imposed on or payable only by Astrium N A, Spacehab shall pay Astrium N A the full
amount thereof by the date which is 15 days prior to the earlier of: (A) the due date for each such Tax or (B) the date specified by each applicable taxing jurisdiction on which each such Tax shall become a lien on the Equipment or any Part thereof.

  
 (iv) The payment obligations under subsection
(a) shall apply from the effective date hereof through the later of (A) the end of the Term and (B) Spacehab’s actual return of possession of the Equipment in accordance with this Lease. 
  
 (b) Astrium NA shall pay any Federal, national, state, or municipal net
income Tax which is a liability or obligation of Astrium NA. 
  
 (c) Tax Assumptions, Representations, Warranties, and Covenants. 
  
 (i) The parties are entering into the Operative Documents and Astrium NA has calculated the Rent, based on, among other things, the
assumed tax treatment set forth in Exhibit II hereto (the “Tax Assumptions”). In the event of any material change in the Tax Assumptions, the parties shall thereafter, if and to the extent appropriate, promptly renegotiate the Rent
to restore Astrium NA’ economics in a manner consistent with its intended returns under this Lease but taking into account the change in the Tax Assumptions. 
  
 (ii) Spacehab has not and during the Term will not, with respect to the Equipment or any Part thereof, (i)
claim any cost recovery deductions, amortization deductions or interest deductions (each as defined in the Code), or (ii) make any elections or take any position on any Tax return, amended Tax returns, claim for refund or otherwise that is
inconsistent with the Tax Assumptions or (iii) claim to be the owner of such Property for United States Federal (“Federal”), Florida or other country, state or local tax purposes, provided however, that nothing in this subsection
shall operate to restrict or limit the ability of Spacehab to file amended Tax returns for any period ending on or before the earlier of the effective date of this Agreement or the actual date of transfer of title to the Equipment. 
  
 (d) Tax Contests. 
  
 (i) If any written claim shall be made or proceeding
commenced against Spacehab or Astrium NA for any Spacehab Taxes, Spacehab or shall promptly notify the other party in writing (any contest of any such claim or proceeding a “Contest”). 
  
 (ii) Spacehab shall conduct and control any Contest which
must be conducted in its name. 
  

 9 

 (iii) Astrium NA shall conduct and control any other Contest. 
  
 (iv) The party conducting the Contest (“Controlling
Party”) shall consult in good faith with the other party (“Noncontrolling Party”) and its counsel with respect to such Contest but the decisions regarding what actions to be taken shall be made by the Controlling Party in
its sole judgment (exercised in good faith). In addition, the Controlling Party shall keep the Noncontrolling Party reasonably informed as to the progress of the Contest, and shall provide the Noncontrolling Party with a copy of (or appropriate
excerpts from) any reports or claims issued by the relevant auditing agents or taxing authority to the Controlling Party or any affiliate thereof, in connection with such claim, proceeding, Tax or Contest. 
  
 (e) Tax Compliance. With respect to any report, return or statement (a
“Filing”) required to be filed with respect to any Spacehab Tax: 
  
 (i) Spacehab shall promptly notify Astrium NA in writing of any Filing required to be made by that (x) Spacehab has knowledge of; or (y)
Spacehab should have knowledge of based on either the Operative Documents or the responsibilities which are customary for an operator, user or lessor of similar property. Upon receipt of such notice, Astrium NA shall promptly notify Spacehab in a
writing satisfying the requirements of Section 15 whether it will make such Filing or shall require that Spacehab make such Filing. 
  
 (ii) If permitted by applicable Laws to do so, Spacehab shall timely file or cause to be filed such Filing with respect to any Spacehab
Tax (except for any such Filing that Astrium NA has notified Spacehab in writing that Astrium NA intends to file) and will send a copy of such Filing to Astrium NA. 
  
 (iii) If Spacehab is not permitted by applicable Laws to file any Filing contemplated by subsection (ii),
Spacehab will promptly notify Astrium NA of such requirement in writing and prepare and deliver to Astrium NA a proposed form of such Filing within a reasonable time, and in all events at least 15 days prior to the time such Filing is required to be
filed. 
  
 (iv) In the case of any Filing
contemplated by this subsection 13(d), Spacehab and Astrium NA shall provide to each other such information as is necessary to make any such Filing. 
  
 (v) Spacehab shall hold Astrium NA harmless from and against any liabilities, including, but not limited to penalties, additions to tax,
fines and interest, arising out of any insufficiency or inaccuracy in any Filing contemplated by this subsection 13(d), if such insufficiency or inaccuracy is attributable to Spacehab. 
  
 (f) Tax Indemnity. Spacehab shall within 15 days of notice thereof, indemnify and hold Astrium NA harmless with
respect to all Spacehab Taxes which may be imposed against it, its properties or assets or any of its affiliates. 
  
 (g) Survival. The representations, warranties, covenants, indemnities, agreements, obligations, and liabilities of Spacehab and Astrium NA provided
for in this Agreement shall 

  

 10 

 
continue in full force and effect, notwithstanding the expiration or other termination of the Lease or any other Operative Documents, until all such
obligations have been met and such liabilities have been paid in full. 
  
 Section 14. Further Assurances; Covenant of Quiet Enjoyment. 
  
 (a) Further Assurances. Lessee will take all action necessary or desirable under Applicable Laws of New York, Florida, or of any jurisdiction where any Item of Equipment is located to establish and protect
Lessor’s rights and interests in the Equipment. In addition, Lessee will (and Lessee shall ensure that any Permitted Sublessee shall) promptly and duly execute and deliver to Lessor such further documents and assurances and take such further
action as Lessor may from time to time reasonably request in order more effectively to carry out the intent and purpose of this Lease and to establish and protect the rights and remedies created or intended to be created in favor of Lessor
hereunder, including if requested by Lessor, the execution and delivery of supplements or amendments hereto, in recordable form, and the recording or filing of counterparts hereof or thereof, in accordance with the laws of such jurisdictions as
Lessor may from time to time deem advisable, provided that this sentence is not intended to impose upon Lessee any additional liabilities not otherwise contemplated by this Lease. 
  
 (b) Covenant of Quiet Enjoyment. So long as this Lease shall not have been declared in default following the
occurrence of an Event of Default, neither Lessor nor anyone claiming through or under Lessor shall interrupt or interfere with, or take or cause to be taken any action contrary to, Lessee’s rights hereunder (or the rights of any Sublessee,
assignee or transferee permitted hereunder), including the right to quiet enjoyment of, and to continued possession, use or operation of, the Equipment. 
  
 Section 15. Notices. 
  
 All notices required or permitted under the terms and provisions hereof shall be given in writing and in accordance with Section 9.2 of the Sale
Agreement. 
  
 Section 16. Net Lease, No Set-Off,
Counterclaim, etc. 
  
 All Rent shall be paid by Lessee in the
manner provided in Section 3(b). This Lease is a net lease and it is intended that Lessee shall pay all costs and expenses in connection with the use, possession, and operation of the Equipment, provided that Lessor shall be responsible for
the costs incurred by Lessor in discharging its responsibilities and obligations hereunder. Lessee’s obligation to pay all Rent payable hereunder shall be absolute and unconditional and shall not be affected by any circumstance, including (i)
any set-off, counterclaim, recoupment, defense or other right which Lessee may have against Lessor, the Manufacturer or anyone else for any reason whatsoever, (ii) any defect in the title, condition, design, operation, or fitness for use of, or any
damage to or loss or destruction of, the Equipment, or any interruption or cessation in the use or possession thereof by Lessee for any reason whatsoever, (iii) any insolvency, bankruptcy, reorganization or similar proceedings by or against Lessee
or Lessor, (iv) Lessee at 

  

 11 

 
any time having immunity from suit or execution on the grounds of sovereignty or otherwise, either of such not being in effect or any default thereunder, (v)
any failure of a Permitted Sublessee to comply with its obligations under any Permitted Sublease, or (vi) any other circumstance, happening or event whatsoever, whether or not similar to any of the foregoing. If for any reason whatsoever this Lease
shall be terminated in whole or in part by operation of law or otherwise except as specifically provided herein, Lessee nonetheless agrees to pay to Lessor the amount such prorated portion of the Rent having accrued with respect to each Item of
Equipment, based on the portion of the year during which this Lease was in effect. Lessee hereby waives, and hereby agrees to waive at any future time at the request of Lessor, to the extent now or then permitted by Applicable Law, any and all
rights which it may now have or which at any time hereafter may be conferred upon it, by statute or otherwise, to terminate, cancel, quit or surrender this Lease except in accordance with the express terms hereof. Each payment of Rent made by Lessee
to Lessor shall be final as to Lessor and Lessee and, absent manifest error, Lessee will not seek to recover all or any part of any such payment of Rent from Lessor for any reason whatsoever. 
  
 Section 17. Lessee’s Remedies. 
  
 If Lessor creates, incurs, assumes or suffers to exist any Lessor Lien on the
Equipment, then, Lessee may, on behalf of Lessor, itself make such payment as is necessary to discharge such Lessor Lien, and the amount of such payment and the amount of the reasonable expenses of Lessee incurred in connection with such discharge,
together with interest thereon, to the extent permitted by Applicable Law, at the Overdue Interest Rate, shall be payable by Lessor to Lessee upon demand. 
  
 Section 18. Language. 
  
 All notices, communications, evidences, reports, opinions and other documents given under this Lease, unless submitted in the English language, shall be
accompanied by one copy of an English translation thereof for each copy of the foregoing so submitted and the English version shall govern in the event of any conflict with the non-English version thereof. 
  

 12 

 Section 19. Miscellaneous. 
  
 (a) This Lease may be executed in any number of counterparts, each of which when so executed and delivered shall be an
original, but all of such counterparts shall together constitute one and the same instrument. To the extent, if any, that this lease constitutes chattel paper (as such term is defined in the Uniform Commercial Code as in effect in any applicable
jurisdiction), no security interest in this lease may be created through the transfer or possession of any counterpart other than the original counterpart containing the receipt therefor executed by the lessor immediately following the signature
page hereof. 
  
 (b) Unless otherwise specifically provided
herein, this lease shall in all respects be governed by, and construed in accordance with, the law of the state of New York, United States of America, including all matters of construction, validity and performance, but without regard to its choice
of law provisions thereof. 
  
 (c) The section and paragraph
headings in this Lease and the table of contents are for convenience of reference only and shall not modify, define, expand or limit any of the terms or provisions hereof and all references herein to numbered sections, unless otherwise indicated,
are to sections of this Lease. 
  
 (d) The provisions of this
Lease may be modified or amended only by an instrument or instruments in writing signed by all parties hereto. 
  
 (e) Any provision of this Lease that is prohibited or unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective to the extent of
such prohibition or unenforceability without invalidating the remaining provisions hereof in such jurisdiction or affecting the validity or enforceability of any provisions hereof in any other jurisdiction. To the extent permitted by Applicable Law,
Lessor and Lessee hereby waive any provision of law which renders any provision hereof prohibited or unenforceable in any respect. 
  
 Section 20. Waiver of Jury Trial. 
  
 Each of the parties hereto irrevocably waives as against the other party hereto any rights it may have to a jury trial in respect of any civil action
arising under this lease. 
  

 13 

 IN WITNESS WHEREOF, Lessor and Lessee have each caused this Lease Agreement to be duly Executed as of the
day and year first above written. 
  

			
	Astrium N A, Inc., as Lessor
		
	 By:
	 	/s/    STEFAN-FRITZ
GRAUL        
	 Name:
	 	Stefan-Fritz Graul
	 Title:
	 	 
		
	 By:
	 	/s/    ECKART WOLFF        
	 Name:
	 	Eckart Wolff
	 Title:
	 	 
	
	 SPACEHAB, Incorporated, as Lessee

		
	 By:
	 	/s/    MICHAEL E.
KEARNEY        
	 Name:
	 	Michael E. Kearney
	 Title:
	 	President

  
 APPENDIX A
TO LEASE AGREEMENT BETWEEN ASTRIUM NA AND SPACEHAB DATED 28TH FEBRUARY 2001  
  
 DEFINITIONS

  
 The following terms appearing in any Operative Document
(as defined below) which incorporates by reference or refers to this Appendix shall have the meanings set forth below in this Appendix: 
  
 “Affiliate” of any Person shall mean any other Person which, directly or indirectly, controls or is controlled by, or is under common
control with, such Person. For purposes of this definition, “control” when used with respect to any specified Person shall mean the power to direct the management and policies of such Person, directly or indirectly, whether through the
ownership of voting securities, by contract or otherwise, and the terms “controlling” and “controlled” have meanings correlative to the foregoing. 
  
 “Applicable Laws” shall mean all applicable laws, statutes, treaties, codes, certificates, ordinances,
judgments, decrees, injunctions, writs, rules, regulations, orders, interpretations, licenses, permits and orders of any federal, state, county, municipal, foreign, international, supranational, regional or other Governmental Authority, agency,
board, body or instrumentality and judgments, decrees, injunctions, writs, orders or like action of any court, arbitrator or other administrative, judicial or quasi-judicial tribunal or agency of competent jurisdiction. 
  
 “Business Day” means any day other than a Saturday, Sunday
or holiday scheduled by law for commercial banking institutions and foreign exchange markets in New York, New or any other day on which such institutions are permitted to be closed in such city. 
  
 “Closing Date” shall mean the date on which the completion
of the First or Second Closing, as defined in the Asset Purchase Agreement is achieved by the Parties. 
  
 “Code” shall mean the Internal Revenue Code of 1986, as amended from time to time. 
  
 “Dollars”, “US$” and “$”
means lawful currency of the United States of America. 
  
 “Equipment” shall mean the Items described in Exhibit II hereto. [Not used in document.] 
  
 “Event of Default” has the meaning specified in Section 11 of the Lease Agreement. 
  
 “Event of Loss” with respect to any Item of Equipment shall
mean any of the following events with respect to such Item: 
  
 (a) the actual, constructive, compromised or agreed total loss of such Item (including any damage to such Item or requisition for use or hire that results in an insurance settlement on the basis of total loss);

  
 (b) such Item being destroyed, damaged
beyond repair or permanently rendered unfit for normal use for any reason whatsoever; 
  
 (c) any compulsory acquisition, expropriation or condemnation of, or requisition of title to, such Item by any Governmental
Authority or purported Governmental Authority; 
  

 15 

 (d) the theft or disappearance of such Item which results in the loss of
possession of such Item by Lessee (or, if any permitted sublease is then in effect, the Permitted Sublessee thereunder) for 90 consecutive days or more, or in any event if such loss of possession is continuing on the last day of the Term for such
Item; 
  
 (e) the seizure or requisition
of use of such Item (other than where clause (c) or (d) above is applicable) by any Governmental Authority which results in the loss of possession of such Item of Equipment by Lessee (or, if any permitted sublease is then in effect, the Permitted
Sublessee thereunder) for 180 consecutive days or more, or in any event if such loss of possession is continuing on the last day of the Term; 
  
 (f) a requisition for use of such Item by any Governmental Authority of Germany which shall become an Event of Loss on the last day
of the Term with respect to such Item.; 
  
 provided that with respect to
any Event of Loss described in clause (d) or (e) above, if (i) the Item subject to such Event of Loss is returned to Lessee (or, if any permitted sublease is then in effect, the Permitted Sublessee) in the condition required by the Lease within 60
days after the date of such Event of Loss (such return date in no event being later than the last day of the Term or the date of payment of the Termination Value), (ii) Lessor has not been divested of Lessor’s Interest and (iii) the rights,
title and interest of Lessor and Agent in such Item have been restored prior to such date, then no Event of Loss shall be deemed to have occurred. 
  
 “Germany” means the Federal Republic of Germany or any successor thereto. 
  
 “Governmental Authority” shall mean any national, state, local or other political subdivision and any
agency, authority, instrumentality, regulatory body, court or central bank thereof or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative powers or functions of or pertaining to government. 
  
 “Immediately Available Funds” shall mean funds in Dollars
available by wire or similar transfer for immediate use by the recipient not later than the date on which such payment is made and received. 
  
 “Item” or “Item of Equipment” shall mean each item of Equipment individually specified as “Item” in Exhibit
II, but excluding any Item as to which the Lease has terminated in accordance herewith. 
  
 “Lease” or “Lease Agreement” means the Lease Agreement dated as of December     , 2000 between Lessor and Lessee. 
  
 “Lease Period Date” means each date set forth in the column
under the heading “Payment Date” in Exhibit II to the Lease. 
  
 “Lease Supplement” means a Lease Supplement, substantially in the form of Exhibit I to the Lease Agreement, to be entered into between Lessor and Lessee for the purpose of leasing the Equipment (including any Replacement
Equipment) under and pursuant to the terms of the Lease Agreement or any amendment thereto, including any amendment thereto. 
  
 “Lessee” means SPACEHAB, Incorporated. 
  

 16 

 “Lessee Person” shall mean Lessee or any Permitted Sublessee or any other Person using
or in possession of the Equipment or any Part thereof, or any officer, director, employee or agent of any of the foregoing. 
  
 “Lessor” means Astrium N A, Inc. 
  
 “Lessor’s Cost” shall mean with respect to any Item of Equipment the amount set forth opposite such Item of Equipment on Exhibit II.

  
 “Lessor’s Interest” means, with respect
to any Item of Equipment, all right and interest in and to such Item of Equipment and if not otherwise specified, “Lessor’s Interest” means, at any time, the Lessor’s interest with respect to all Items of Equipment subject to the
Lease. 
  
 “Lessor Lien” shall mean any Lien of
or attributable to Lessor or any Affiliate of any thereof on the Equipment or any Part thereof (any Lien attributable to an Affiliate of any of the foregoing Persons being deemed attributable to such Person), or any interest therein arising as a
result of (i) claims against or affecting such Person that are not created by or related to the transactions contemplated by the Lease and the other Operative Documents, (ii) any act or omission of such Person (to the extent such omission is within
such Person’s control) that is not related to the transactions contemplated by, or that is in violation of any of the terms of the Lease or the other Operative Documents. 
  
 “Lien” shall mean any lien, mortgage, encumbrance, pledge, charge, lease, easement, servitude, adverse
claim, right of others or security interest of any kind, including any thereof arising under any conditional sale or other title retention agreement. 
  
 “Manufacturer” shall mean each manufacturer of any Item of Equipment. 
  
 “NASA” means the National Aeronautic & Space Administration. 
  
 “OECD” shall mean the Organization for Economic Cooperation
and Development. 
  
 “Operative Documents” shall
mean this Agreement and the Sale Agreement. 
  
 “Overdue
Interest Rate” means 1% per annum over the one year LIBOR rate announced by The Wall Street Journal on the date the Rent first becomes overdue. 
  
 “Part” or “Parts” shall mean any or all appliances, components, parts, instruments, appurtenances, accessories,
furnishings and other equipment of whatever nature (other than any equipment leased by Lessee or any Permitted Sublessee from any third-party lessor that may be removed without material damage to the Equipment and without materially decreasing the
value, utility, remaining useful life or estimated residual value of the Equipment) that may from time to time be incorporated in or attached to the Equipment so long as the same shall be subject to the Lease in accordance with the terms hereof.

  
 “Permitted Investments” shall mean the
securities in which Lessor is authorized to invest pursuant to Section 18 of the Lease (and subject to the restrictions on maturity specified therein). 
  
 “Permitted Liens” shall mean (i) the respective rights of the Lessor and any Permitted Sublessee as provided in the Lease and the other
Operative Documents, (ii) the rights of Permitted Subleases and other 

  

 17 

 
Persons under subleases, agreements and arrangements to the extent permitted by the terms of the Lease, (iii) Lessor Liens, (iv) Liens for Taxes payable by
Lessee or any Permitted Sublessee either not yet due or being diligently contested in good faith by appropriate proceedings (and for the payment of which adequate reserves have been established by Lessee or any other Lessee Person liable with
respect thereto) so long as such Liens or proceedings do not involve any material risk of the sale, forfeiture or loss of the Equipment or any part thereof, title thereto or interest therein or the use thereof, (v) materialmen’s,
mechanics’, workmen’s, repairmen’s, employees’ or other like Liens arising in the ordinary course of business for amounts the payment of which is either not yet delinquent or is being diligently contested in good faith by
appropriate proceedings (and for the payment of which adequate reserves have been established by Lessee or any other Lessee Person liable with respect thereto) so long as such Liens or proceedings do not involve any material risk of the sale,
forfeiture or loss of the Equipment or any part thereof, title thereto or interest therein or the use thereof, and (vi) Liens arising out of judgments or awards against Lessee or any Permitted Sublessee with respect to which at the time an appeal or
proceeding for review is being diligently prosecuted in good faith by appropriate proceedings (and for the payment of which adequate reserves have been established by Lessee or any other Lessee Person liable with respect thereto) so long as such
Liens or proceedings do not involve any material risk of the sale, forfeiture or loss of the Equipment or any part thereof, title thereto or interest therein or the use thereof. 
  
 “Person” means any individual, corporation, limited liability company, partnership, limited partnership,
joint venture, association, joint-stock company, trust, business trust, unincorporated organization or government or any agency or political subdivision thereof. 
  
 “Regulations” shall mean the income tax regulations issued, published or promulgated from time to time
under and pursuant to the Code. 
  
 “Rent” means
the rent payable for each Item of Equipment pursuant to Section 3(a) of the Lease during the Term. 
  
 “Taxes” means any and all license and qualification fees, documentation fees, taxes (including, without limitation, gross or net income,
gross or net receipts, sales, use, value-added, ad valorem, franchise, business transfer, capital, property (tangible and intangible), excise, minimum or alternative minimum taxable income, tax preferences, excess profits, accumulated earnings,
capital gains, doing business, net worth and stamp taxes), levies, imposts, duties, charges or withholdings, together with any penalties, fines or interest thereon or additions thereto, whether levied or imposed by the United States or any country,
state, or political subdivision or taxing authority thereof or therein. 
  
 “Term” shall have the meaning set forth in Section 3 hereof. 
  
 “United States” shall mean the United States of America, its territories and possessions. 
  

 18 

  
 EXHIBIT I to Lease
Agreement between Astrium NA and Spacehab dated 28th February 2001 
  
 Exhibit I, Section 1 
  

	 	(a)	The annual Rent for the lease of Integrated Cargo Carrier System Assets as listed below is $2,400,000. The Rent shall be paid on or before December 31stof each year in arrears, beginning on 31st December 2001. 

  

	 	(b)	Annual rent for the ICC is based on a maximum usage of two flights per year. In the event the ICC is used for more than two flights in any calendar year, additional rent shall be
paid amounting to $400,000 per flight. Such additional rent shall be due and be paid at the same time as payment is due for the basic rent. 

  
 Exhibit I, Section 2 
  
 Integrated Cargo Carrier System Assets ( H/W only) are consisting of the following items: 

					
	 DESCRIPTION

	  	QTY/REF

	  	REF NUMBER

	 1.0 ICC
	  	 	  	 
	 1,1 FLIGHT HARDWARE
	  	 	  	 
	 UCP1L
	  	1	  	381GK1000-0
	 UCP2L
	  	1	  	381GK1000-0
	 UCP3L
	  	1	  	381GK1000-0
	 Primary Flight Trunnions, including Bracketry & attachment hardware
	  	4	  	1264555
	 Secondary Flight Trunnions, including Bracketry & attachment hardware
	  	4	  	1264556
	 KYA 1
	  	1	  	1264553
	 KYA 2
	  	1	  	1264553
	 INTERFACE PLATE, STANDARD
	  	1	  	SHI-ICC-D5002-001
	 INTERFACE PLATE ASSY, STANDARD
	  	16	  	SHI-ICC-D5002-301
	 INTERFACE PLATE, GAS
	  	8	  	SHI-ICC-D5003-001
	 SPACER
	  	44	  	SHI-ICC-D5004-001
	 SPACER
	  	10	  	SHI-ICC-D5004-002
	 BUSHING, INTERFACE PLATE
	  	122	  	SHI-ICC-D5005-001
	 BUSHING, INTERFACE PLATE
	  	1	  	SHI-ICC-D5005-002
	 BUSHING, INTERFACE PLATE
	  	10	  	SHI-ICC-D5005-003
	 ASSEMBLY, EVAS ADAPTER, NHP
	  	24	  	SHI-ICC-D5016-301
	 LABEL ASSY, SPACEHAB
	  	1	  	SHI-ICC-D5019-701
	 ASSY, HANDRAIL ADAPTER
	  	42	  	SHI-ICC-D5020-301
	 BUSHING, INNER, ECCENTRIC 3/8”
	  	4	  	SHI-ICC-D5021-001
	 BUSHING, OUTER, ECCENTRIC 3/8”
	  	4	  	SHI-ICC-D5021-002
	 INTERFACE PLATE, SHOSS
	  	5	  	SHI-ICC-D5022-001
	 GANG CHANNEL,SHORT, UCP PHP
	  	109	  	SHI-ICC-D5024-701
	 GANG CHANNEL, LONG, UCP PHP
	  	106	  	SHI-ICC-D5024-702
	 ASSY, EVAS ADAPTER, PHP
	  	10	  	SHI-ICC-D5025-301

  

 20 

					
	 DESCRIPTION

	  	QTY/REF

	  	REF NUMBER

	 ASSY, WIF AND HANDRAIL ADAPTER
	  	5	  	SHI-ICC-D5026-301
	 UCP Spare Parts for UCP-1L, 2L, and 3L (PER EXISTING ASTRIUM H/W INVENTORY)
	  	1	  	VARIOUS
	 TITANIUM SECONDARY TRUNNION BRACKETS
	  	2	  	 
			
	 1,2 FLIGHT SUPPORT EQUIPMENT (INCLUDES RELEVANT DOCUMENTATION)
	  	 	  	 
	 LCA FSE complete
	  	1	  	1274311
	 PFCS FSE complete
	  	1	  	9070417
	 PFCS alignment jig
	  	2	  	 
	 EAS FSE complete
	  	1	  	9070438
	 EAS alignment jig
	  	1	  	 
	 RU FSE complete
	  	1	  	1274337
	 ESP FSE complete
	  	1	  	1275227
	 MISSE/APC
	  	2	  	1283501
	 Strela TDK
	  	1	  	 
	 Connector bracket
	  	1	  	907-0447-503
	 Connector bracket
	  	1	  	907-0447-1
	 SOAR cable PWR
	  	1	  	9063751-1
	 SOAR cable data
	  	1	  	9063752-1
	 Screw 1230
	  	50	  	1274115
	 SCAP
	  	1	  	1278427
	 SOAR FSE complete
	  	1	  	1274418
	 Connector bracket
	  	1	  	9063750-1-3
	 Connector bracket
	  	1	  	9063750-501-5
	 ISS 5A.1 cable assembly
	  	1	  	9070411
			
	 1,3 GSE AND MISCELLANEOUS HARDWARE
	  	 	  	 
	 GSE Trunnions (Astrium made)
	  	4	  	1274578
	 GSE Trunnions (RSC Energia made)
	  	4	  	 

  

 21 

					
	 DESCRIPTION

	  	QTY/REF

	  	 REF NUMBER

	 GSE T-BAR
	  	4	  	SHI-ICC D7002-001
	 ASSEMBLY, POSITIONING TOOL, NHP EVAS ADAPTER
	  	2	  	SHI-ICC-D8003-001
	 UCP Transportation Container (Blue Frame)
	  	1	  	9060888
	 SPACER, BLUE FRAME GSE
	  	4	  	SHI-ICC-D8008-701
	 Red UCP Plates (GSE)
	  	60	  	 
	 Rotator
	  	1	  	 
	 SISK
	  	2	  	1264579
	 Yellow Beam
	  	1	  	 
	 UCP hoisting device
	  	1	  	 
	 Coffee Table short
	  	4	  	SH-99-001
	 Coffee Table high
	  	4	  	SHI-ICC-D8005
	 Dolley heavy duty
	  	12	  	McMaster 2764T2
	 Dolley (plastic)
	  	8	  	McMaster 24385T3
	 Step ladder tall
	  	1	  	8112T7
	 Step ladder medium
	  	1	  	8112T5
	 Step ladder small
	  	2	  	8112T4
	 Step ladder very small
	  	2	  	79485T23
	 Scaffholding
	  	2	  	8079T14
	 Air pads
	  	12	  	 
	 Shelves
	  	10	  	 
	 Cabinets
	  	9	  	 
	 Chemical cabinets
	  	3	  	 
	 KYA Test Stand
	  	1	  	1264300
	 KYA Transport Container
	  	1	  	 
	 KYA Hoisting Device including Pulley
	  	1	  	 
	 Modal Survey Payload Test Dummies
	  	5	  	 
	 NBL MOCKUPS
	  	1	  	 
	 STIPL DRILL TEMPLATE/FIXTURE
	  	1	  	 

  

 22 

					
	 DESCRIPTION

	  	QTY/REF

	  	REF NUMBER

	 PHP DRILL TEMPLATE
	  	1	  	 
	 GFE PRLA USED ON BLUE FRAME TRANSPORTE – provided via SPACEHAB on loan basis only
	  	4	  	Government loan items

  

 23 

  
 EXHIBIT II to Lease
Agreement between Astrium NA and Spacehab dated 28th February 2001 
  
 Tax Assumptions 
  
 Astrium NA has calculated the consideration paid under the Sale Agreement
based on among other things, the following assumed tax treatment for Federal, Florida and other state and local income tax purposes: 
  
 (a) This Lease will be treated as a “true lease” so that Astrium NA will be treated as the owner, lessor, and purchaser of the Equipment and
will be required to take into account in computing its taxable income all items of income, gain, loss and deduction; 
  
 (b) ICC Services’ tax basis is the Equipment Purchase Price pursuant to the Sale Agreement and, with respect to the Equipment, Astrium NA will be
entitled to cost recovery deductions based on current Code Cost Recovery provisions; 
  
 (c) Astrium NA will be entitled to treat each item of gain, loss, income, deduction and credit with respect to the transactions contemplated by the Operative Documents as derived from, or allocable to, sources within
and without the United States pursuant to sections 861, et. seq., of the Code in such proportions as are consistent with the use of such Equipment as reported to it by SPACEHAB; 
  
 (d) The Closing Date will occur on
                    , 2001 and each Property will be placed in service by Astriuam NA for Federal income tax purposes on the Closing Date.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00087-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00087-of-00352.parquet"}]]