Document:

EX-4.14

 Exhibit 4.14 

Execution Version 
  

 
  

REVOLVING CREDIT AGREEMENT 

(2016-1B) 
 Dated as of
January 19, 2016 
 between 

WILMINGTON TRUST COMPANY, 
 as
Subordination Agent, 
 as agent and trustee for the trustee of 

American Airlines Pass Through Trust 2016-1B, 

as Borrower 
 and 

KFW IPEX-BANK GMBH, 
 as Liquidity
Provider 
 American Airlines Pass Through Trust 2016-1B 

American Airlines 
 Pass Through
Certificates, 
 Series 2016-1B 
  

 
  

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

 Table of Contents 

 

							
	 	  	 	  	Page	 
		  	ARTICLE I	  			
			
		  	DEFINITIONS	  			
			
	Section 1.01	  	Definitions	  	 	1	  
			
		  	ARTICLE II	  			
			
		  	AMOUNT AND TERMS OF THE COMMITMENT	  			
			
	Section 2.01	  	The Advances	  	 	8	  
			
	Section 2.02	  	Making of Advances	  	 	9	  
			
	Section 2.03	  	Fees	  	 	11	  
			
	Section 2.04	  	Reduction or Termination of the Maximum Commitment	  	 	11	  
			
	Section 2.05	  	Repayments of Interest Advances, the Special Termination Advance or the Final Advance	  	 	11	  
			
	Section 2.06	  	Repayments of Provider Advances	  	 	12	  
			
	Section 2.07	  	Payments to the Liquidity Provider Under the Intercreditor Agreement	  	 	13	  
			
	Section 2.08	  	Book Entries	  	 	14	  
			
	Section 2.09	  	Payments from Available Funds Only	  	 	14	  
			
	Section 2.10	  	Extension of the Expiry Date; Non-Extension Advance	  	 	14	  
			
		  	ARTICLE III	  			
			
		  	OBLIGATIONS OF THE BORROWER	  			
			
	Section 3.01	  	Increased Costs	  	 	14	  
			
	Section 3.02	  	Intentionally omitted	  	 	16	  
			
	Section 3.03	  	Withholding Taxes	  	 	16	  
			
	Section 3.04	  	Payments	  	 	18	  
			
	Section 3.05	  	Computations	  	 	18	  
			
	Section 3.06	  	Payment on Non-Business Days	  	 	18	  
			
	Section 3.07	  	Interest	  	 	18	  
			
	Section 3.08	  	Replacement of Borrower	  	 	20	  
			
	Section 3.09	  	Funding Loss Indemnification	  	 	20	  
			
	Section 3.10	  	Illegality	  	 	20	  

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
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		  	ARTICLE IV	  			
			
		  	CONDITIONS PRECEDENT	  			
			
	 Section 4.01
	  	Conditions Precedent to Effectiveness of Section 2.01	  	 	21	  
			
	 Section 4.02
	  	Conditions Precedent to Borrowing	  	 	22	  
			
	 Section 4.03
	  	Representations and Warranties	  	 	22	  
			
		  	ARTICLE V	  			
			
		  	COVENANTS	  			
			
	 Section 5.01
	  	Affirmative Covenants of the Borrower	  	 	23	  
			
	 Section 5.02
	  	Negative Covenants of the Borrower	  	 	23	  
			
		  	ARTICLE VI	  			
			
		  	LIQUIDITY EVENTS OF DEFAULT AND SPECIAL TERMINATION	  			
			
	 Section 6.01
	  	Liquidity Events of Default	  	 	24	  
			
		  	ARTICLE VII	  			
			
		  	MISCELLANEOUS	  			
			
	 Section 7.01
	  	No Oral Modifications or Continuing Waivers	  	 	24	  
			
	 Section 7.02
	  	Notices	  	 	24	  
			
	 Section 7.03
	  	No Waiver; Remedies	  	 	25	  
			
	 Section 7.04
	  	Further Assurances	  	 	25	  
			
	 Section 7.05
	  	Indemnification; Survival of Certain Provisions	  	 	25	  
			
	 Section 7.06
	  	Liability of the Liquidity Provider	  	 	26	  
			
	 Section 7.07
	  	Certain Costs and Expenses	  	 	26	  
			
	Section 7.08	  	Binding Effect; Participations	  	 	27	  
			
	Section 7.09	  	Severability	  	 	29	  
			
	Section 7.10	  	Governing Law	  	 	29	  
			
	Section 7.11	  	Submission to Jurisdiction; Waiver of Jury Trial; Waiver of Immunity	  	 	29	  
			
	Section 7.12	  	Counterparts	  	 	30	  
			
	Section 7.13	  	Entirety	  	 	30	  
			
	Section 7.14	  	Headings	  	 	30	  
			
	Section 7.15	  	Liquidity Provider’s Obligation to Make Advances	  	 	30	  

  
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	Section 7.16	  	Patriot Act	  	 	31	  
			
	Section 7.17	  	No Fiduciary Relationship	  	 	31	  
			
	Section 7.18	  	Acknowledgement and Consent to Bail-In of EEA Financial Institutions	  	 	31	  
			
	Annex I	  	- Form of Interest Advance Notice of Borrowing	  			
	Annex II	  	- Form of Non-Extension Advance Notice of Borrowing	  			
	Annex III	  	- Form of Downgrade Advance Notice of Borrowing	  			
	Annex IV	  	- Form of Final Advance Notice of Borrowing	  			
	Annex V	  	- Form of Special Termination Advance Notice of Borrowing	  			
	Annex VI	  	- Form of Notice of Termination	  			
	Annex VII	  	- Form of Notice of Special Termination	  			
	Annex VIII	  	- Form of Notice of Replacement Subordination Agent	  			

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
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 REVOLVING CREDIT AGREEMENT 

(2016-1B) 
 This REVOLVING
CREDIT AGREEMENT (2016-1B), dated as of January 19, 2016, is made by and between WILMINGTON TRUST COMPANY, a Delaware trust company, not in its individual capacity but solely as Subordination Agent (such term and other capitalized terms used
herein without definition being defined as provided in Article I) under the Intercreditor Agreement (as defined below), as agent and trustee for the Class B Trustee (in such capacity, together with its successors in such capacity, the
“Borrower”), and KFW IPEX-BANK GMBH, a company incorporated under the laws of the Federal Republic of Germany, (the “Liquidity Provider”). 

W I T N E S S E T H: 

WHEREAS, pursuant to the Class B Trust Agreement, the Class B Trust is issuing the Class B Certificates; and 

WHEREAS, the Borrower, in order to support the timely payment of a portion of the interest on the Class B Certificates in accordance with
their terms, has requested the Liquidity Provider to enter into this Agreement, providing in part for the Borrower to request in specified circumstances that Advances be made hereunder; 

NOW, THEREFORE, in consideration of the mutual agreements herein contained, and of other good and valuable consideration the receipt and
adequacy of which are hereby acknowledged, the parties hereto agree as follows: 
 ARTICLE I 

DEFINITIONS 
 Section 1.01
Definitions. (a) The definitions stated herein apply equally to both the singular and the plural forms of the terms defined. 

(b) All references in this Agreement to designated “Articles”, “Sections”, “Annexes” and other subdivisions are
to the designated Article, Section, Annex or other subdivision of this Agreement, unless otherwise specifically stated. 
 (c) The words
“herein”, “hereof” and “hereunder” and other words of similar import refer to this Agreement as a whole and not to any particular Article, Section, Annex or other subdivision. 

(d) Unless the context otherwise requires, whenever the words “including”, “include” or “includes” are used
herein, it shall be deemed to be followed by the phrase “without limitation”. 
 (e) All references in this Agreement to a Person
shall include successors and permitted assigns of such Person. 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

 (f) For the purposes of this Agreement, unless the context otherwise requires, the following
capitalized terms shall have the following meanings: 
 “Advance” means an Interest Advance, a Final Advance, a
Provider Advance, an Unapplied Provider Advance, an Applied Provider Advance, a Special Termination Advance, an Applied Special Termination Advance or an Unpaid Advance, as the case may be. 

“Agreement” means this Agreement, as the same may be amended, supplemented or otherwise modified from time to time in
accordance with its terms. 
 “Applicable Liquidity Rate” has the meaning specified in Section 3.07(g). 

“Applicable Margin” means (a) with respect to any Interest Advance, Final Advance, Applied Provider Advance or
Applied Special Termination Advance, 3.75% per annum, (b) with respect to any Unapplied Provider Advance, the rate per annum specified in the Fee Letter or (c) with respect to any Special Termination Advance, the rate per annum
specified in the Fee Letter. 
 “Applied Downgrade Advance” has the meaning specified in Section 2.06(a). 

“Applied Non-Extension Advance” has the meaning specified in Section 2.06(a). 

“Applied Provider Advance” has the meaning specified in Section 2.06(a). 

“Applied Special Termination Advance” has the meaning specified in Section 2.05. 

“Bail-in Action” means the application of any write-down or conversion powers by an EEA Resolution Authority in
respect of any liability of an EEA Financial Institution. 
 “Base Rate” means a fluctuating interest rate per annum
in effect from time to time, which rate per annum shall at all times be equal to the weighted average of the rates on overnight Federal funds transactions with members of the Federal Reserve System arranged by Federal funds brokers, as published for
each day in the period for which the Base Rate is to be determined (or, if such day is not a Business Day, for the preceding Business Day) by the Federal Reserve Bank of New York, or if such rate is not so published for any day that is a Business
Day, the average of the quotations for such day for such transactions received by the Liquidity Provider from three Federal funds brokers of recognized standing selected by it (and reasonably satisfactory to American) plus one quarter of one percent
(0.25%). 
 “Base Rate Advance” means an Advance that bears interest at a rate based upon the Base Rate. 

“Borrower” has the meaning specified in the introductory paragraph to this Agreement. 

“Borrowing” means the making of Advances requested by delivery of a Notice of Borrowing. 

“Business Day” means any day other than a Saturday, a Sunday or a day on which commercial banks are required or
authorized to close in New York, New York, Fort Worth, 

  
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Texas, Wilmington, Delaware, Frankfurt, Germany, or, so long as any Class B Certificate is outstanding, the city and state in which the Class B Trustee, the Borrower or any related Loan Trustee
maintains its Corporate Trust Office or receives or disburses funds, and, if the applicable Business Day relates to any Advance or other amount bearing interest based on the LIBOR Rate, on which dealings are carried on in the London interbank
market. 
 “Covered Taxes” means any Taxes imposed on or are required by law to be deducted or withheld from any
amounts payable to the Liquidity Provider under this Agreement other than (i) any Tax on, based on or measured by net income, franchises or conduct of business, (ii) any Tax imposed, levied, withheld or assessed as a result of any
connection between the Liquidity Provider and the jurisdiction of the taxing authority, other than a connection arising solely from the Liquidity Provider’s having executed, delivered, performed its obligations or received a payment under, or
enforced, any Operative Agreement, (iii) any Tax attributable to the inaccuracy in or breach by the Liquidity Provider of any of its representations, warranties or covenants contained in any Operative Agreement to which it is a party or the
inaccuracy of any form, certificate or document furnished pursuant thereto, (iv) any U.S. federal withholding Taxes (including backup withholding), except to the extent such withholding Taxes are the result of a change in law after such
Liquidity Provider became a Liquidity Provider hereunder, (v) any withholding Taxes imposed or increased as a result of the Liquidity Provider failing to deliver to the Borrower any form, certificate or document (which form, certificate or
document, in the good faith judgment of the Liquidity Provider, it is legally entitled to provide) which is reasonably requested by the Borrower to establish that payments under this Agreement are exempt from (or entitled to a reduced rate of)
withholding Tax, (vi) Taxes that would not have been imposed but for any change in the Lending Office without the prior written consent of American (such consent not to be unreasonably withheld), or (vii) any Tax imposed under FATCA. 

“Downgrade Advance” means an Advance made pursuant to Section 2.02(b)(ii). 

“Downgrade Event” means any downgrading of, or any suspension or withdrawal of any applicable rating of, the Liquidity
Provider by any Rating Agency such that after such downgrading, suspension or withdrawal the Liquidity Provider does not have either the minimum Long-Term Rating or the minimum Short-Term Rating, if applicable, specified for such Rating Agency in
the definition of “Threshold Rating”. The occurrence of a Downgrade Event shall be determined separately for each Rating Agency. For the avoidance of doubt, a Downgrade Event shall not occur with respect to a Rating Agency so long as the
Liquidity Provider has either of the applicable Threshold Ratings specified for such Rating Agency. 
 “EEA Financial
Institution” means (a) any credit institution or investment firm established in any EEA Member Country which is subject to the supervision of an EEA Resolution Authority, (b) any entity established in an EEA Member Country
which is a parent of an institution described in clause (a) of this definition, or (c) any financial institution established in an EEA Member Country which is a subsidiary of an institution described in clauses (a) or (b) of this
definition and is subject to consolidated supervision with its parent. 
 “EEA Member Country” means any of the
member states of the European Union, Iceland, Liechtenstein, and Norway. 

  
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Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
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 “EEA Resolution Authority” means any public administrative authority or
any person entrusted with public administrative authority of any EEA Member Country (including any delegee) having responsibility for the resolution of any EEA Financial Institution. 

“Effective Date” has the meaning specified in Section 4.01. The delivery of the certificate of the Liquidity
Provider contemplated by Section 4.01(e) shall be conclusive evidence that the Effective Date has occurred. 
 “Excluded
Taxes” means (a) Taxes imposed on the overall net income of the Liquidity Provider, (b) Taxes imposed on the “effectively connected income” of its Lending Office, (c) Covered Taxes that are indemnified pursuant
to Section 3.03 hereof, and (d) Taxes described in clauses (i) through (vii) in the definition of “Covered Taxes”. 

“Expenses” means liabilities, losses, damages, costs and expenses (including, without limitation, reasonable fees and
disbursements of legal counsel), provided that Expenses shall not include any Taxes other than sales, use and V.A.T. taxes imposed on fees and expenses payable pursuant to Section 7.07. 

“Expiry Date” means the earlier of (a) the anniversary date of the Closing Date immediately following the date on
which the Liquidity Provider has provided a Non-Extension Notice to the Borrower pursuant to Section 2.10 and (b) the 15th day after the Final Legal Distribution Date for the Class B
Certificates. 
 “FATCA” means Sections 1471, 1472, 1473 and 1474 of the U.S. Internal Revenue Code, as of the date of this
Agreement (or any amended or successor version that is substantively comparable and not materially more onerous to comply with), current or future United States Treasury Regulations promulgated thereunder and published guidance with respect thereto,
any agreements entered into pursuant to Section 1471(b)(1) of the U.S. Internal Revenue Code and any applicable intergovernmental agreements with respect thereto, including any laws, regulations, guidance or practices governing any such
intergovernmental agreement. 
 “Final Advance” means an Advance made pursuant to Section 2.02(c). 

“Increased Cost” has the meaning specified in Section 3.01. 

“Intercreditor Agreement” means the Intercreditor Agreement, dated as of the date hereof, among the Trustees, the
Liquidity Provider, the liquidity provider under each Liquidity Facility (other than this Agreement), if any, and the Subordination Agent, as the same may be amended, supplemented or otherwise modified from time to time in accordance with its terms.

 “Interest Advance” means an Advance made pursuant to Section 2.02(a) and any Applied Downgrade Advance
converted to an Interest Advance in accordance with Section 2.06(d). 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
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 “Interest Period” means, with respect to any LIBOR Advance, each of the
following periods: 
 (i) the period beginning on the third Business Day following either (A) the Liquidity
Provider’s receipt of the Notice of Borrowing for such LIBOR Advance or (B) the date of the withdrawal of funds from the Class B Cash Collateral Account for the purpose of paying interest on the Class B Certificates as contemplated by
Section 2.06(a) hereof and, in each case, ending on the next numerically corresponding day in the first calendar month after the first day of the applicable Interest Period; and 

(ii) each subsequent period commencing on the last day of the immediately preceding Interest Period and ending on the
numerically corresponding day in the first calendar month after the first day of the applicable Interest Period; 
 provided, however, that if
(x) the Final Advance shall have been made pursuant to Section 2.02(c) or (y) other outstanding Advances shall have been converted into the Final Advance pursuant to Section 6.01(a), then the Interest Periods shall be successive
periods of one month beginning on (A) the third Business Day following the Liquidity Provider’s receipt of the Notice of Borrowing for such Final Advance (in the case of clause (x) above) or (B) the Regular Distribution Date
following such conversion (in the case of clause (y) above). 
 “Lending Office” means the lending office of
the Liquidity Provider, which is presently located in New York, New York, or such other lending office as the Liquidity Provider from time to time shall notify the Borrower as its lending office hereunder; provided that the Liquidity Provider
shall not change its Lending Office without the prior written consent of American (such consent not to be unreasonably withheld). 

“LIBOR Advance” means an Advance bearing interest at a rate based upon the LIBOR Rate. 

“LIBOR Rate” means, with respect to any Interest Period, (a) the interest rate per annum equal to the rate per
annum at which deposits in Dollars are offered in the London interbank market as shown on the Reuters Screen LIBOR01 (or such other page or screen as may replace such Reuters Screen) at approximately 11:00 a.m. (London time) on the day that is
two Business Days prior to the first day of such Interest Period, for a period comparable to such Interest Period, or (b) if no such rate appears on such Reuters Screen (or otherwise as aforesaid), the interest rate per annum equal to the
average (rounded up, if necessary, to the nearest 1/100th of 1%) of the rates per annum at which deposits in Dollars are offered by the Reference Banks (or, if fewer than all of the Reference Banks are quoting a rate for deposits in Dollars for the
applicable period and amount, such fewer number of Reference Banks) at approximately 11:00 a.m. (London time) on the day that is two Business Days prior to the first day of such Interest Period to prime banks in the London interbank market for
a period comparable to such Interest Period and in an amount approximately equal to the principal amount of the LIBOR Advance to be outstanding during such Interest Period, or (c) if none of the Reference Banks is quoting a rate for deposits in
Dollars in the London interbank market for such a period and amount, the interest rate per annum equal to the average (rounded up, if necessary, to the nearest 1/100th of 1%) of the rates at which deposits in Dollars are offered by the principal New
York offices of the Reference Banks (or, if fewer than all of the Reference Banks are quoting a rate for deposits in Dollars in the New York interbank market for the applicable period and amount, such fewer number of Reference Banks) at
approximately 11:00 a.m. (New York time) on the day that is two 

  
 Revolving Credit
Agreement (Class B) 
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Business Days prior to the first day of such Interest Period to prime banks in the New York interbank market for a period comparable to such Interest Period and in an amount approximately equal
to the principal amount of the LIBOR Advance to be outstanding during such Interest Period, or (d) if none of the principal New York offices of the Reference Banks is quoting a rate for deposits in Dollars in the New York interbank market for
the applicable period and amount, the Base Rate. If at any time LIBOR Rate is below zero, then LIBOR Rate shall be deemed to be zero. 

“Liquidity Event of Default” means the occurrence of either (a) the Acceleration of all of the Equipment Notes or
(b) an American Bankruptcy Event. 
 “Liquidity Indemnitee” means the Liquidity Provider, its directors,
officers, employees and agents, and its successors and permitted assigns. 
 “Liquidity Provider” has the meaning
specified in the introductory paragraph to this Agreement. 
 “Maximum Available Commitment” means, subject to the
proviso contained in the third sentence of Section 2.02(a), at any time of determination, (a) the Maximum Commitment at such time less (b) the aggregate amount of each Interest Advance outstanding at such time; provided that,
subject to Section 2.06(d), following a Provider Advance, a Special Termination Advance or a Final Advance, the Maximum Available Commitment shall be zero. 

“Maximum Commitment” means initially $17,935,942.50 as the same may be reduced from time to time in accordance with
Section 2.04(a). 
 “Non-Extension Advance” means an Advance made pursuant to Section 2.02(b)(i). 

“Non-Extension Notice” has the meaning specified in Section 2.10. 

“Notice Date” has the meaning specified in Section 2.10. 

“Notice of Borrowing” has the meaning specified in Section 2.02(e). 

“Notice of Replacement Subordination Agent” has the meaning specified in Section 3.08. 

“Participation” has the meaning specified in Section 7.08(b). 

“Performing Note Deficiency” means any time that less than 65% of the then aggregate outstanding principal amount of
all Equipment Notes are Performing Equipment Notes. 
 “Prospectus Supplement” means the final Prospectus
Supplement, dated January 12, 2016, relating to the Class AA Certificates, Class A Certificates and the Class B Certificates, as such Prospectus Supplement may be amended or supplemented. 

“Provider Advance” means a Downgrade Advance or a Non-Extension Advance. 

“Rate Determination Notice” has the meaning specified in Section 3.07(g). 

  
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 “Reference Banks” means the principal London offices of: Barclays Bank
plc; JPMorgan Chase Bank; and Deutsche Bank; and such other or additional banking institutions as may be designated from time to time by mutual agreement of American and the Liquidity Provider. 

“Regulatory Change” means (x) the enactment, adoption or promulgation, after the date of this Agreement, of any
law or regulation by a United States federal or state government or by any government having jurisdiction over the Liquidity Provider, or any change, after the date of this Agreement, in any such law or regulation, or in the interpretation thereof
by any governmental authority, central bank or comparable agency of the United States or any government having jurisdiction over the Liquidity Provider charged with responsibility for the administration or application thereof, that shall impose,
modify or deem applicable, or (y) the compliance by the Liquidity Provider with any applicable direction or requirement (whether or not having the force of law) of any central bank or competent governmental or other authority, after the date of
this Agreement, with respect to: (a) any reserve, special deposit or similar requirement against extensions of credit or other assets of, or deposits with or other liabilities of, the Liquidity Provider including, or by reason of, the Advances,
or (b) any capital adequacy requirement requiring the maintenance by the Liquidity Provider of additional capital in respect of any Advances or the Liquidity Provider’s obligation to make any such Advances, or (c) any requirement to
maintain liquidity or liquid assets in respect of the Liquidity Provider’s obligation to make any such Advances, or (d) any Taxes (other than Excluded Taxes) on (i) payments or with respect to amounts payable hereunder to the
Liquidity Provider, (ii) its Advances, commitments or other obligations hereunder or (iii) its deposits, reserves or other liabilities attributable to clause (i) and/or (ii). 

“Replenishment Amount” has the meaning specified in Section 2.06(b). 

“Required Amount” means, for any day, the sum of the aggregate amount of interest, calculated at the rate per annum
equal to the Stated Interest Rate for the Class B Certificates on the basis of a 360-day year comprised of twelve 30-day months, that would be payable on the Class B
Certificates on each of the three successive semiannual Regular Distribution Dates immediately following such day or, if such day is a Regular Distribution Date, on such day and the succeeding two semiannual Regular Distribution Dates, in each case
calculated on the basis of the Pool Balance of the Class B Certificates on such day and without regard to expected future distributions of principal on the Class B Certificates. 

“Special Termination Advance” means an Advance made pursuant to Section 2.02(d), other than any portion of such
Advance that becomes an Applied Special Termination Advance. 
 “Special Termination Notice” means the Notice of
Special Termination substantially in the form of Annex VII to this Agreement. 
 “Termination Date”
means the earliest to occur of the following: (i) the Expiry Date; (ii) the date on which the Borrower delivers to the Liquidity Provider a certificate, signed by a Responsible Officer of the Borrower, certifying that all of the Class B
Certificates have been paid in full (or provision has been made for such payment in accordance with the Intercreditor Agreement and the Class B Trust Agreement) or are otherwise no longer entitled to the benefits

  
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of this Agreement; (iii) the date on which the Borrower delivers to the Liquidity Provider a certificate, signed by a Responsible Officer of the Borrower, certifying that a Replacement
Liquidity Facility has been substituted for this Agreement in full pursuant to Section 3.05(e) of the Intercreditor Agreement; (iv) the fifth Business Day following the receipt by the Borrower of a Termination Notice or a Special
Termination Notice from the Liquidity Provider pursuant to Section 6.01(a) or 6.01(b), as applicable; and (v) the date on which no Advance is or may (including by reason of reinstatement as herein provided) become available for a Borrowing
hereunder. 
 “Termination Notice” means the Notice of Termination substantially in the form of Annex VI to
this Agreement. 
 “Unapplied Downgrade Advance” means any Downgrade Advance other than an Applied Downgrade
Advance. 
 “Unapplied Non-Extension Advance” means any Non-Extension Advance other than an Applied Non-Extension
Advance. 
 “Unapplied Provider Advance” means any Provider Advance other than an Applied Provider Advance. 

“Unpaid Advance” has the meaning specified in Section 2.05. 

For the purposes of this Agreement, the following terms shall have the respective meanings specified in the Intercreditor Agreement: 

“Acceleration”, “Additional Certificates”, “American”, “American Bankruptcy Event”,
“Certificate”, “Certificate Purchase Agreement”, “Class A Certificates”, “Class AA Certificates” “Class B Cash Collateral Account”, “Class B Certificateholders”, “Class B
Certificates”, “Class B Trust”, “Class B Trust Agreement”, “Class B Trustee”, , “Closing Date”, “Collection Account”, “Corporate Trust Office”, “Distribution Date”,
“Dollars”, “Downgraded Facility”, “Equipment Notes”, “Fee Letter”, “Final Legal Distribution Date”, “Indenture”, “Interest Payment Date”, “Investment Earnings”,
“Liquidity Facility”, “Loan Trustee”, “Long-Term Rating”, “Non-Extended Facility”, “Operative Agreements”, “Participation Agreements”, “Performing Equipment Note”,
“Person”, “Pool Balance”, “Rating Agencies”, “Regular Distribution Date”, “Replacement Liquidity Facility”, “Responsible Officer”, “Series B Equipment Notes”, “Scheduled
Payment”, “Short-Term Rating”, “Special Payment”, “Stated Interest Rate”, “Subordination Agent”, “Taxes”, “Threshold Rating”, “Trust Agreement”, “Trustee”,
“Underwriters”, “Underwriting Agreement” and “United States”. 
 ARTICLE II 

AMOUNT AND TERMS OF THE COMMITMENT 

Section 2.01 The Advances. The Liquidity Provider hereby irrevocably agrees, on the terms and conditions hereinafter set forth, to
make Advances to the Borrower from time to time on any Business Day during the period from the Effective Date until 10:00 a.m. (New York City time) on the Expiry Date (unless the obligations of the Liquidity Provider shall be earlier terminated in
accordance with the terms of Section 2.04(b)) in an aggregate amount at any time outstanding not to exceed the Maximum Commitment. 

  
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 Section 2.02 Making of Advances. (a) Subject to Section 2.06(d), each
Interest Advance shall be made by the Liquidity Provider upon delivery to the Liquidity Provider of a written and completed Notice of Borrowing in substantially the form of Annex I, signed by a Responsible Officer of the Borrower, such
Interest Advance to be in an amount not exceeding the Maximum Available Commitment at such time and used solely for the payment when due of interest with respect to the Class B Certificates at the Stated Interest Rate therefor in accordance with
Section 3.05(a) and 3.05(b) of the Intercreditor Agreement. Each Interest Advance made hereunder shall automatically reduce the Maximum Available Commitment and the amount available to be borrowed hereunder by subsequent Advances by the amount
of such Interest Advance (subject to reinstatement as provided in the next sentence). Upon repayment to the Liquidity Provider in full or in part of the amount of any Interest Advance made pursuant to this Section 2.02(a), together with accrued
interest thereon (as provided herein), the Maximum Available Commitment shall be reinstated by an amount equal to the amount of such Interest Advance so repaid, but not to exceed the Maximum Commitment; provided, however, that, subject
to Section 2.06(d), the Maximum Available Commitment shall not be so reinstated at any time if (x) both a Performing Note Deficiency exists and a Liquidity Event of Default shall have occurred and be continuing or (y) a Final Advance,
a Downgrade Advance, a Non-Extension Advance or a Special Termination Advance shall have occurred. 
 (b) (i) A Non-Extension Advance shall
be made by the Liquidity Provider if this Agreement is not extended in accordance with Section 3.05(d) of the Intercreditor Agreement unless a Replacement Liquidity Facility to replace this Agreement shall have been delivered to the Borrower in
accordance with said Section 3.05(d), upon delivery to the Liquidity Provider of a written and completed Notice of Borrowing in substantially the form of Annex II, signed by a Responsible Officer of the Borrower, in an amount equal to
the Maximum Available Commitment at such time, and shall be used to fund the Class B Cash Collateral Account in accordance with Sections 3.05(d) and 3.05(f) of the Intercreditor Agreement. 

(ii) A Downgrade Advance shall be made by the Liquidity Provider if this Liquidity Facility becomes a Downgraded Facility following the
occurrence of a Downgrade Event (as provided for in Section 3.05(c) of the Intercreditor Agreement), unless (i) a Replacement Liquidity Facility to replace this Agreement shall have been previously delivered to the Borrower within
thirty-five (35) days after the Downgrade Event (or, if earlier, the Expiry Date) or (ii) the relevant Rating Agency shall have provided confirmation within thirty (35) days (or, if earlier, the expiration date of such Downgraded
Facility) after the Downgrade Event that such Downgrade Event will not result in a downgrading, withdrawal or suspension by such Rating Agency of the rating then in effect for the related Class of Certificates, in each case of clause (i) and
(ii), in accordance with said Section 3.05(c), by delivery to the Liquidity Provider of a written and completed Notice of Borrowing in substantially the form of Annex III, signed by a Responsible Officer of the Borrower, in an amount
equal to the Maximum Available Commitment at such time, and shall be used to fund the Class B Cash Collateral Account in accordance with Sections 3.05(c) and 3.05(f) of the Intercreditor Agreement. 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 9 

 (c) A Final Advance shall be made by the Liquidity Provider following the receipt by the Borrower
of a Termination Notice from the Liquidity Provider pursuant to Section 6.01(a) upon delivery to the Liquidity Provider of a written and completed Notice of Borrowing in substantially the form of Annex IV, signed by a Responsible Officer
of the Borrower, in an amount equal to the Maximum Available Commitment at such time, and shall be used to fund the Class B Cash Collateral Account (in accordance with Sections 3.05(f) and 3.05(i) of the Intercreditor Agreement). 

(d) A Special Termination Advance shall be made in a single Borrowing upon the receipt by the Borrower of a Special Termination Notice from
the Liquidity Provider pursuant to Section 6.01(b), by delivery to the Liquidity Provider of a written and completed Notice of Borrowing in substantially the form of Annex V, signed by a Responsible Officer of the Borrower, in an amount
equal to the Maximum Available Commitment at such time, and shall be used to fund the Class B Cash Collateral Account (in accordance with Section 3.05(f) and Section 3.05(k) of the Intercreditor Agreement). 

(e) Each Borrowing shall be made by notice in writing (a “Notice of Borrowing”) in substantially the form required by
Section 2.02(a), 2.02(b), 2.02(c) or 2.02(d), as the case may be, given by the Borrower to the Liquidity Provider. If a Notice of Borrowing is delivered by the Borrower in respect of any Borrowing no later than 10:00 a.m. (New York City
time) on a Business Day, upon satisfaction of the conditions precedent set forth in Section 4.02 with respect to such requested Borrowing, the Liquidity Provider shall make available to the Borrower, in accordance with its payment instructions,
the amount of such Borrowing in Dollars and immediately available funds, before 4:00 p.m. (New York City time) on such Business Day or before 10:00 a.m. (New York City time) on such later Business Day specified in such Notice of Borrowing.
If a Notice of Borrowing is delivered by the Borrower in respect of any Borrowing after 10:00 a.m. (New York City time) on a Business Day, upon satisfaction of the conditions precedent set forth in Section 4.02 with respect to such
requested Borrowing, the Liquidity Provider shall make available to the Borrower, in accordance with its payment instructions, the amount of such Borrowing in Dollars and immediately available funds, before 1:00 p.m. (New York City time) on the
first Business Day next following the day of receipt of such Notice of Borrowing or on such later Business Day specified by the Borrower in such Notice of Borrowing. Payments of proceeds of a Borrowing shall be made by wire transfer of immediately
available funds to the Borrower in accordance with such wire transfer instructions as the Borrower shall furnish from time to time to the Liquidity Provider for such purpose. Each Notice of Borrowing shall be irrevocable and binding on the Borrower.
Each Notice of Borrowing shall be effective upon delivery of a copy thereof to the Liquidity Provider at the address and in the manner specified in Section 7.02 hereof. 

(f) Upon the making of any Advance requested pursuant to a Notice of Borrowing in accordance with the Borrower’s payment instructions,
the Liquidity Provider shall be fully discharged of its obligation hereunder with respect to such Notice of Borrowing, and the Liquidity Provider shall not thereafter be obligated to make any further Advances hereunder in respect of such Notice of
Borrowing to the Borrower or to any other Person (including the Class B Trustee or any Class B Certificateholder). If the Liquidity Provider makes an Advance requested pursuant to a Notice of Borrowing before 10:00 a.m. (New York City time) on the
second Business Day after the date of payment specified in Section 2.02(e), the Liquidity 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 10 

 
Provider shall have fully discharged its obligations hereunder with respect to such Advance and an event of default shall not have occurred hereunder. Following the making of any Advance pursuant
to Section 2.02(b), 2.02(c) or 2.02(d) to fund the Class B Cash Collateral Account, the Liquidity Provider shall have no interest in or rights to the Class B Cash Collateral Account, such Advance or any other amounts from time to time on
deposit in the Class B Cash Collateral Account; provided that the foregoing shall not affect or impair the obligations of the Subordination Agent to make the distributions contemplated by Section 3.05(e) or 3.05(f) of the Intercreditor
Agreement, and provided, further, that the foregoing shall not affect or impair the rights of the Liquidity Provider to provide written instructions with respect to the investment and reinvestment of amounts in the Class B Cash Collateral
Account to the extent provided in Section 2.02(b) of the Intercreditor Agreement. By paying to the Borrower proceeds of Advances requested by the Borrower in accordance with the provisions of this Agreement, the Liquidity Provider makes no
representation as to, and assumes no responsibility for, the correctness or sufficiency for any purpose of the amount of the Advances so made and requested. 

Section 2.03 Fees. The Borrower agrees to pay to the Liquidity Provider the fees set forth in the Fee Letter. 

Section 2.04 Reduction or Termination of the Maximum Commitment. (a) Automatic Reduction. Promptly following each date
on which the Required Amount is reduced as a result of a reduction in the Pool Balance of the Class B Certificates or otherwise, the Maximum Commitment shall automatically be reduced to an amount equal to such reduced Required Amount (as calculated
by the Borrower). The Borrower shall give notice of any such automatic reduction of the Maximum Commitment to the Liquidity Provider and American within two Business Days thereof. The failure by the Borrower to furnish any such notice shall not
affect any such automatic reduction of the Maximum Commitment. 
 (b) Termination. Upon the making of any Provider Advance, Special
Termination Advance or Final Advance hereunder or the occurrence of the Termination Date, the obligation of the Liquidity Provider to make further Advances hereunder shall automatically and irrevocably terminate, and the Borrower shall not be
entitled to request any further Borrowing hereunder, except in the case of a Downgrade Advance, as provided in Section 2.06(d). 

Section 2.05 Repayments of Interest Advances, the Special Termination Advance or the Final Advance. Subject to Sections 2.06,
2.07 and 2.09 hereof, the Borrower hereby agrees, without notice of an Advance or demand for repayment from the Liquidity Provider (which notice and demand are hereby waived by the Borrower), to pay, or to cause to be paid, to the Liquidity Provider
(a) on each date on which the Liquidity Provider shall make an Interest Advance, the Special Termination Advance or the Final Advance, an amount equal to the amount of such Advance (any such Advance, until repaid, is referred to herein as an
“Unpaid Advance”) (if multiple Interest Advances are outstanding any such repayment to be applied in the order in which such Interest Advances have been made, starting with the earliest), plus (b) interest on the amount
of each such Unpaid Advance in the amounts and on the dates determined as provided in Section 3.07; provided that if (i) the Liquidity Provider shall make a Provider Advance at any time after making one or more Interest Advances
which shall not have been repaid in accordance with this Section 2.05 or (ii) this Liquidity Facility shall become a Downgraded Facility or Non-Extended Facility at any time when unreimbursed Interest Advances have reduced the Maximum 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 11 

 
Available Commitment to zero, then such Interest Advances shall cease to constitute Unpaid Advances and shall be deemed to have been changed into an Applied Downgrade Advance or an Applied
Non-Extension Advance, as the case may be, for all purposes of this Agreement (including, without limitation, for the purpose of determining when such Interest Advance is required to be repaid to the Liquidity Provider in accordance with
Section 2.06 and for the purposes of Section 2.06(b)); provided, further, that amounts in respect of a Special Termination Advance withdrawn from the Class B Cash Collateral Account for the purpose of paying interest on the
Class B Certificates in accordance with Section 3.05(f) of the Intercreditor Agreement (the portion of the outstanding Special Termination Advance equal to the amount of any such withdrawal, but not in excess of the outstanding Special
Termination Advance, being an “Applied Special Termination Advance”) shall thereafter (subject to Section 2.06(b)) be treated as an Interest Advance under this Agreement for purposes of determining the Applicable
Liquidity Rate for interest payable thereon; provided, further, that if, following the making of a Special Termination Advance, the Liquidity Provider delivers a Termination Notice to the Borrower pursuant to Section 6.01(a), such
Special Termination Advance (including any portion thereof that is an Applied Special Termination Advance) shall thereafter be treated as a Final Advance under this Agreement for purposes of determining the Applicable Liquidity Rate for interest
payable thereon; and, provided, further, that if, after making a Provider Advance, the Liquidity Provider delivers a Special Termination Notice to the Borrower pursuant to Section 6.01(b), any Unapplied Provider Advance shall be
converted to and treated as a Special Termination Advance under this Agreement for purposes of determining the Applicable Liquidity Rate for interest payable thereon and the obligation for repayment thereof under the Intercreditor Agreement. The
Borrower and the Liquidity Provider agree that the repayment in full of each Interest Advance, Special Termination Advance and Final Advance on the date such Advance is made is intended to be a contemporaneous exchange for new value given to the
Borrower by the Liquidity Provider. For the avoidance of doubt, interest payable on an Interest Advance, Special Termination Advance or the Final Advance shall not be regarded as overdue unless such interest is not paid when due under Section 3.07.

 Section 2.06 Repayments of Provider Advances. (a) Amounts advanced hereunder in respect of a Provider Advance shall be
deposited in the Class B Cash Collateral Account and invested and withdrawn from the Class B Cash Collateral Account as set forth in Sections 3.05(c), 3.05(d), 3.05(e) and 3.05(f) of the Intercreditor Agreement. Subject to Sections 2.07 and 2.09,
the Borrower agrees to pay to the Liquidity Provider, on each Regular Distribution Date, commencing on the first Regular Distribution Date after the making of a Provider Advance, interest on the principal amount of any such Provider Advance, in the
amounts determined as provided in Section 3.07; provided, however, that amounts in respect of a Provider Advance withdrawn from the Class B Cash Collateral Account for the purpose of paying interest on the Class B Certificates in
accordance with Section 3.05(f) of the Intercreditor Agreement (the amount of any such withdrawal being (y), in the case of a Downgrade Advance, an “Applied Downgrade Advance” and (z) in the case of a
Non-Extension Advance, an “Applied Non-Extension Advance” and together with an Applied Downgrade Advance, an “Applied Provider Advance”) shall thereafter (subject to Section 2.06(b)) be treated as
an Interest Advance under this Agreement for purposes of determining the Applicable Liquidity Rate for interest payable thereon; provided, further, however, that if, following the making of a Provider Advance, the Liquidity
Provider delivers a Termination Notice to the Borrower pursuant to Section 6.01(a), such Provider Advance shall thereafter be treated as a Final Advance under this Agreement for 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 12 

 
purposes of determining the Applicable Liquidity Rate for interest payable thereon. Subject to Sections 2.07 and 2.09, immediately upon the withdrawal of any amounts from the Class B Cash
Collateral Account on account of a reduction in the Required Amount, the Borrower shall repay to the Liquidity Provider a portion of the Provider Advances in a principal amount equal to such reduction, plus interest on the principal amount so repaid
as provided in Section 3.07. 
 (b) At any time when an Applied Provider Advance or Applied Special Termination Advance (or any portion
thereof) is outstanding, upon the deposit in the Class B Cash Collateral Account of any amount pursuant to clause “fourth” of Section 3.02 of the Intercreditor Agreement (any such amount being a “Replenishment
Amount”) for the purpose of replenishing or increasing the balance thereof up to the Required Amount at such time, (i) the aggregate outstanding principal amount of all Applied Provider Advances and Applied Special Termination
Advances (and of Provider Advances and Special Termination Advances treated as Interest Advances for purposes of determining the Applicable Liquidity Rate for interest payable thereon) shall be automatically reduced by the amount of such
Replenishment Amount, and (ii) the aggregate outstanding principal amount of all Unapplied Provider Advances shall be automatically increased by the amount of such Replenishment Amount. 

(c) Upon the provision of a Replacement Liquidity Facility in replacement of this Agreement in accordance with Section 3.05(e) of the
Intercreditor Agreement, as provided in Section 3.05(f) of the Intercreditor Agreement, amounts remaining on deposit in the Class B Cash Collateral Account after giving effect to any Applied Provider Advance on the date of such replacement
shall be reimbursed to the Liquidity Provider, but only to the extent such amounts are necessary to repay in full to the Liquidity Provider all amounts owing to it hereunder. 

(d) If at any time after making a Downgrade Advance, the Liquidity Provider satisfies the Threshold Rating and delivers a written notice to
that effect to the Borrower and American, as of the second Business Day following receipt of such notice, (i) any Unapplied Downgrade Advance shall be withdrawn from the Class B Cash Collateral Account and reimbursed to the Liquidity Provider
and (ii) any Applied Downgrade Advance shall be converted to an Interest Advance, the Maximum Commitment shall be reinstated by an amount equal to the amount of such Unapplied Downgrade Advance so reimbursed, but not to exceed the Maximum
Commitment and the obligation of the Liquidity Provider to make Advances shall be reinstated in an equal amount, and the proviso in the definition of Maximum Available Commitment shall no longer apply to such Downgrade Advance. 

Section 2.07 Payments to the Liquidity Provider Under the Intercreditor Agreement. In order to provide for payment or repayment to
the Liquidity Provider of any amounts hereunder, the Intercreditor Agreement provides that amounts available and referred to in Articles II and III of the Intercreditor Agreement, to the extent payable to the Liquidity Provider pursuant to the terms
of the Intercreditor Agreement (including, without limitation, Section 3.05(f) of the Intercreditor Agreement), shall be paid to the Liquidity Provider in accordance with the terms thereof (but, for the avoidance of doubt, without duplication
of or increase in any amounts payable hereunder). Amounts so paid to the Liquidity Provider shall be applied by the Liquidity Provider in the order of priority required by the applicable provisions of Articles II and III of the Intercreditor
Agreement (or, if not provided for in the Intercreditor Agreement, then in such manner as the Liquidity Provider shall deem appropriate) and shall discharge in full the corresponding obligations of the Borrower hereunder. 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 13 

 Section 2.08 Book Entries. The Liquidity Provider shall maintain in accordance with
its usual practice an account or accounts evidencing the indebtedness of the Borrower resulting from Advances made from time to time and the amounts of principal and interest payable hereunder and paid from time to time in respect thereof;
provided, however, that the failure by the Liquidity Provider to maintain such account or accounts shall not affect the obligations of the Borrower in respect of Advances. 

Section 2.09 Payments from Available Funds Only. All payments to be made by the Borrower under this Agreement shall be made only
from the amounts that constitute Scheduled Payments, Special Payments and other payments under the Operative Agreements, including payment under Section 4.02 of the Participation Agreements and payments under Section 2.14 of the
Indentures, and only to the extent that the Borrower shall have sufficient income or proceeds therefrom to enable the Borrower to make payments in accordance with the terms hereof after giving effect to the priority of payments provisions set forth
in the Intercreditor Agreement. The Liquidity Provider agrees that it will look solely to such amounts to the extent available for distribution to it as provided in the Intercreditor Agreement and this Agreement and that the Borrower, in its
individual capacity, is not personally liable to it for any amounts payable or liability under this Agreement except as expressly provided in this Agreement, the Intercreditor Agreement or any Participation Agreement. Amounts on deposit in the Class
B Cash Collateral Account shall be available to the Borrower to make payments under this Agreement only to the extent and for the purposes expressly contemplated in Section 3.05(f) of the Intercreditor Agreement. 

Section 2.10 Extension of the Expiry Date; Non-Extension Advance. If the Liquidity Provider notifies the Borrower in writing
before the 25th day prior to an anniversary date of the Closing Date that is prior to the 15th day after the Final Legal Distribution Date for
the Class B Certificates (such notification, a “Non-Extension Notice”; the date of such notification, the “Notice Date”) that its obligation to make Advances hereunder shall not be extended beyond the
immediately following anniversary date of the Closing Date (and if the Liquidity Provider shall not have been replaced in accordance with Section 3.05(e) of the Intercreditor Agreement), the Borrower shall be entitled on and after the Notice
Date (but prior to such anniversary date) to request a Non-Extension Advance in accordance with Section 2.02(b)(i) hereof and Section 3.05(d) of the Intercreditor Agreement. 

ARTICLE III 
 OBLIGATIONS OF THE
BORROWER 
 Section 3.01 Increased Costs. Without duplication of any rights created by Section 3.03, if as a result of any
Regulatory Change there shall be any increase by an amount reasonably deemed by the Liquidity Provider to be material in the actual cost to the Liquidity Provider of making, funding or maintaining any Advances or its obligation to make any such
Advances or there shall be any reduction by an amount reasonably deemed by the Liquidity Provider to be material in the amount receivable by the Liquidity Provider under this Agreement or the 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 14 

 
Intercreditor Agreement in respect thereof, and in case of either such an increase or reduction, such event does not arise from the gross negligence or willful misconduct of the Liquidity
Provider, from its breach of any of its representations, warranties, covenants or agreements contained herein or in the Intercreditor Agreement or from its failure to comply with any such Regulatory Change (any such increase or reduction being
referred to herein as an “Increased Cost”), then, subject to Sections 2.07 and 2.09, the Borrower shall from time to time pay to the Liquidity Provider an amount equal to such Increased Cost within 10 Business Days after
delivery to the Borrower and American of a certificate of an officer of the Liquidity Provider describing in reasonable detail the event by reason of which it claims such Increased Cost and the basis for the determination of the amount of such
Increased Cost; provided that the Borrower shall be obligated to pay amounts only with respect to any Increased Costs accruing from the date 120 days prior to the date of delivery of such certificate. Such certificate, in the absence of
manifest error, shall be considered prima facie evidence of the amount of the Increased Costs for purposes of this Agreement; provided that any determinations and allocations by the Liquidity Provider of the effect of any Regulatory Change on
the costs of maintaining the Advances or the obligation to make Advances are made on a reasonable basis. For the avoidance of doubt, the Liquidity Provider shall not be entitled to assert any claim under this Section 3.01 in respect of or
attributable to Excluded Taxes. The Liquidity Provider will notify the Borrower and American as promptly as practicable of any event occurring after the date of this Agreement that will entitle the Liquidity Provider to compensation under this
Section 3.01. The Liquidity Provider agrees to investigate all commercially reasonable alternatives for reducing any Increased Costs and to use all commercially reasonable efforts to avoid or minimize, to the greatest extent possible, any claim
in respect of Increased Costs, including, without limitation, by designating a different Lending Office, if such designation or other action would avoid the need for, or reduce the amount of, any such claim; provided that the foregoing shall
not obligate the Liquidity Provider to take any action that would, in its reasonable judgment, cause the Liquidity Provider to take any action that is not materially consistent with its internal policies or is otherwise materially disadvantageous to
the Liquidity Provider or that would cause the Liquidity Provider to incur any material loss or cost, unless the Borrower or American agrees to reimburse or indemnify the Liquidity Provider therefor. If no such designation or other action is
effected, or, if effected, such notice fails to avoid the need for any claim in respect of Increased Costs, American may arrange for a Replacement Liquidity Facility in accordance with Section 3.05(e) of the Intercreditor Agreement. 

Notwithstanding the foregoing provisions, in no event shall the Borrower be required to make payments under this Section 3.01:
(a) in respect of any Regulatory Change proposed by any applicable governmental authority (including any branch of a legislature), central bank or comparable agency of the United States or the Liquidity Provider’s jurisdiction of
organization or in which its Lending Office is located and pending as of the date of this Agreement (it being agreed that the Regulatory Changes contemplated by (i) all requests, rules, guidelines or directives promulgated or issued by the
Basel Committee on Banking Supervision (or any successor or similar authority) including, but not limited to the Consultative Documents entitled “Strengthening the resilience of the banking sector” and “International framework for
liquidity risk measurement, standards and monitoring,” each dated December 2009 or the United States regulatory authorities, in each case pursuant to Basel III and (ii) the Dodd-Frank Wall Street Reform and Consumer Protection Act and all
requests, rules, guidelines or directives thereunder or issued in connection therewith, shall not be considered to have been proposed or pending as of 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 15 

 
the date of this Agreement); (b) if a claim hereunder in respect of an Increased Cost arises through circumstances peculiar to the Liquidity Provider and that do not affect similarly
organized commercial banking institutions in the same jurisdiction generally that are in compliance with the law, rule, regulation or interpretation giving rise to the Regulatory Change relating to such Increased Cost; (c) if the Liquidity
Provider shall fail to comply with its obligations under this Section 3.01 or (d) if the Liquidity Provider is not also seeking payment for similar increased costs in other similarly situated transactions related to the airline industry.

 Section 3.02 Intentionally omitted. 

Section 3.03 Withholding Taxes. (a) All payments made by the Borrower under this Agreement shall be made without deduction or
withholding for or on account of any Taxes, unless such deduction or withholding is required by law. If any Taxes are so required to be withheld or deducted from any amounts payable to the Liquidity Provider under this Agreement, then, subject to
Sections 2.07 and 2.09, the Borrower shall (i) deduct or withhold and shall pay to the relevant authorities the full amount so required to be deducted or withheld, (ii) without duplication of any rights created by Section 3.01, if
such Taxes are Covered Taxes, pay to the Liquidity Provider such additional amounts as shall be necessary to ensure that the net amount actually received by the Liquidity Provider (after deduction or withholding of all Covered Taxes) shall be equal
to the full amount that would have been received by the Liquidity Provider had no withholding or deduction of Covered Taxes been required and (iii) within 30 days after the date of a payment to the relevant authorities furnish to the Liquidity
Provider the original or a certified copy of (or other reasonable evidence of) the payment of the Taxes applicable to such payment. The Borrower agrees to indemnify the Liquidity Provider, within 10 Business Days of demand therefor the full amount
of Covered Taxes paid or payable by the Liquidity Provider in respect of payments by the Borrower under this Agreement and any liability (including penalties, interest and expenses) arising therefrom or with respect thereto. If the Borrower provides
a written request (which shall be considered prior written consent under subsection (vi) of the definition of Covered Taxes), the Liquidity Provider agrees to use commercially reasonable efforts (consistent with applicable legal and regulatory
restrictions) to change the jurisdiction of its Lending Office if making such change would avoid the need for, or reduce the amount of, any such additional amounts that may thereafter accrue and would not, in the reasonable judgment of the Liquidity
Provider, be otherwise materially disadvantageous to the Liquidity Provider. If the Liquidity Provider receives a refund of, or realizes a net Tax benefit not otherwise available to it as a result of, any Taxes for which additional amounts were paid
by the Borrower pursuant to this Section 3.03, the Liquidity Provider shall pay to the Borrower (for deposit into the Collection Account) the amount of such refund (and any interest thereon), net of any related out-of-pocket expenses, or net
benefit. The Borrower, upon the request of the Liquidity Provider, shall repay to the Liquidity Provider the amount paid over pursuant to this paragraph (a) (plus any penalties, interest or other charges imposed by the relevant governmental or
taxing authority) in the event that the Liquidity Provider is required to repay such refund to such governmental or taxing authority. Notwithstanding anything to the contrary in this paragraph (a), in no event will the Liquidity Provider be required
to pay any amount to the Borrower pursuant to this paragraph (a) the payment of which would place the Liquidity Provider in a less favorable net after-Tax position than the Liquidity Provider would have been in if the Tax subject to
indemnification and giving rise to such refund or net Tax benefit had not been deducted, withheld or otherwise imposed and the indemnification payments or additional amounts with respect to such Tax had 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 16 

 
never been paid. This paragraph (a) shall not be construed to require the Liquidity Provider to make available its Tax returns (or any other information relating to its Taxes that it deems
confidential) to the Borrower or any other Person. 
 The Liquidity Provider will (i) provide (on its behalf and on behalf of any
participant holding a Participation pursuant to Section 7.08) to the Borrower (x) on or prior to the Effective Date two valid completed and executed originals of Internal Revenue Service Form W-9, W-8BEN-E or W-8ECI (whichever is
applicable), including thereon a valid U.S. taxpayer identification number (or, with respect to any such participant, such other form or documentation as may be applicable) covering all amounts receivable by it in connection with the transactions
contemplated by the Operative Agreements and (y) thereafter from time to time such additional forms or documentation as may be necessary to establish an available exemption from withholding of United States Tax on payments hereunder so that
such forms or documentation are effective for all periods during which it is the Liquidity Provider and (ii) provide timely notice to the Borrower if any such form or documentation is or becomes inaccurate. The Liquidity Provider shall deliver
to the Borrower such other forms or documents as may be reasonably requested by the Borrower or required by applicable law to establish that payments hereunder are exempt from or entitled to a reduced rate of Covered Taxes. 

If a payment made to the Liquidity Provider or Borrower hereunder would be subject to U.S. federal withholding Tax imposed by FATCA if the
Borrower or Liquidity Provider, as applicable, were to fail to comply with the applicable reporting requirements of FATCA (including those contained in Section 1471(b) or 1472(b) of the U.S. Internal Revenue Code, as applicable), it shall
deliver to the Borrower or the Liquidity Provider, as applicable, at the time or times prescribed by law and at such time or times reasonably requested by the Borrower or Liquidity Provider, as applicable, such documentation prescribed by applicable
law (including as prescribed by Section 1471(b)(3)(C)(i) of the U.S. Internal Revenue Code) and such additional documentation reasonably requested by the Borrower or Liquidity Provider, as applicable, as may be necessary for the Borrower or
Liquidity Provider, as applicable, to comply with its obligations under FATCA and to determine that the Liquidity Provider or Borrower has complied with the Liquidity Provider’s or Borrower’s obligations under FATCA or to determine the
amount to deduct and withhold from such payment. Solely for purposes of this paragraph, “FATCA” shall include any amendments made to FATCA after the date of this Agreement. 

(b) All payments (including, without limitation, Advances) made by the Liquidity Provider under this Agreement shall be made free and clear
of, and without reduction for or on account of, any Taxes. If any Taxes are required to be withheld or deducted from any amounts payable to the Borrower under this Agreement, the Liquidity Provider shall (i) within the time prescribed therefor
by applicable law pay to the appropriate governmental or taxing authority the full amount of any such Taxes (and any additional Taxes in respect of the additional amounts payable under clause (ii) hereof) and make such reports or returns in
connection therewith at the time or times and in the manner prescribed by applicable law, and (ii) pay to the Borrower an additional amount which (after deduction of all such Taxes) will be sufficient to yield to the Borrower the full amount
which would have been received by it had no such withholding or deduction been made. Within 30 days after the date of each payment hereunder, the Liquidity Provider shall furnish to the Borrower the original or a certified copy of (or other
documentary evidence of) the payment of the Taxes applicable to such payment. 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 17 

 On or before the Closing Date, the Borrower shall provide the Liquidity Provider with its fully
executed Internal Revenue Service Form W-9, showing a complete exemption from U.S. federal withholding tax and backup withholding. If any other exemption from, or reduction in the rate of, any Taxes required to be borne by the Liquidity Provider
under this Section 3.03(b) is reasonably available to the Borrower without providing any information regarding the holders or beneficial owners of the Certificates, the Borrower shall deliver the Liquidity Provider such form or forms and such
other evidence of the eligibility of the Borrower for such exemption or reductions (but without any requirement to provide any information regarding the holders or beneficial owners of the Certificates) as the Liquidity Provider may reasonably
identify to the Borrower as being required as a condition to exemption from, or reduction in the rate of, such Taxes. 
 Section 3.04
Payments. Subject to Sections 2.07 and 2.09, the Borrower shall make or cause to be made each payment to the Liquidity Provider under this Agreement so as to cause the same to be received by the Liquidity Provider not later than
12:00 p.m. (New York City time) on the day when due. The Borrower shall make all such payments in Dollars, to the Liquidity Provider in immediately available funds, by wire transfer to the account set forth below or such other U.S. bank account
as the Liquidity Provider may from time to time direct the Subordination Agent: 
  

			
	Bank:	  	Citibank N.A., NewYork
	SWIFT:	  	CITIUS33
	Account Holder:	  	KfW, Frankfurt am Main
	SWIFT:	  	KFWIDEFF
	Account number:	  	10926093
	Reference:	  	8713326966, KV 27681

 Section 3.05 Computations. All computations of interest based on the Base Rate shall be made on
the basis of a year of 365 or 366 days, as the case may be, and all computations of interest based on the LIBOR Rate shall be made on the basis of a year of 360 days, in each case for the actual number of days (including the first day but excluding
the last day) occurring in the period for which such interest is payable. 
 Section 3.06 Payment on
Non-Business Days. Whenever any payment to be made hereunder shall be stated to be due on a day other than a Business Day, such payment shall be made on the next succeeding Business Day and no additional
interest shall be due as a result (and if so made, shall be deemed to have been made when due). If any payment in respect of interest on an Advance is so deferred to the next succeeding Business Day, such deferral shall not delay the commencement of
the next Interest Period for such Advance (if such Advance is a LIBOR Advance) or reduce the number of days for which interest will be payable on such Advance on the next Interest Payment Date for such Advance. 

Section 3.07 Interest. (a) Subject to Sections 2.07 and 2.09, the Borrower shall pay, or shall cause to be paid, without
duplication, interest on (i) the unpaid principal amount of each Advance from and including the date of such Advance (or, in the case of an Applied Provider Advance or Applied Special Termination Advance, from and including the date on which
the amount thereof was withdrawn from the Class B Cash Collateral Account to pay interest on the 

  
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Class B Certificates) to but excluding the date such principal amount shall be paid in full (or, in the case of an Applied Provider Advance or Applied Special Termination Advance, the date on
which the Class B Cash Collateral Account is fully replenished in respect of such Advance) and (ii), to the extent permitted by law, any other amount due hereunder (whether fees, commissions, expenses or other amounts or installments of
interest on Advances or any such other amount) that is not paid when due (whether at stated maturity, by acceleration or otherwise) from and including the due date thereof to but excluding the date such amount is paid in full, in each such case, at
the interest rate per annum for each day that such amount remains overdue and unpaid equal to the Applicable Liquidity Rate for such Advance or such other amount, as the case may be, as in effect for such day, but in no event in any case referred to
in clause (i) or (ii) above at a rate per annum greater than the maximum rate permitted by applicable law; provided, however, that, if at any time the otherwise applicable interest rate as set forth in this Section 3.07
shall exceed the maximum rate permitted by applicable law, then to the maximum extent permitted by applicable law any subsequent reduction in such interest rate will not reduce the rate of interest payable pursuant to this Section 3.07 below
the maximum rate permitted by applicable law until the total amount of interest accrued equals the absolute amount of interest that would have accrued (without additional interest thereon) if such otherwise applicable interest rate as set forth in
this Section 3.07 had at all relevant times been in effect. 
 (b) Each Advance will be either a Base Rate Advance or a LIBOR Advance
as provided in this Section 3.07. Each such Advance will be a Base Rate Advance for the period from the date of its borrowing to (but excluding) the third Business Day following the Liquidity Provider’s receipt of the Notice of Borrowing
for such Advance. Thereafter, such Advance shall be a LIBOR Advance; provided that a Provider Advance shall always be a LIBOR Advance. 

(c) Each LIBOR Advance shall bear interest during each Interest Period at a rate per annum equal to the LIBOR Rate for such Interest Period
plus the Applicable Margin for such LIBOR Advance, payable in arrears on the last day of such Interest Period and, in the event of the payment of principal of such LIBOR Advance on a day other than such last day, on the date of such payment (to the
extent of interest accrued on the amount of principal repaid). 
 (d) Each Base Rate Advance shall bear interest at a rate per annum equal
to the Base Rate plus the Applicable Margin for such Base Rate Advance, payable in arrears on each Regular Distribution Date and, in the event of the payment of principal of such Base Rate Advance on a day other than a Regular Distribution Date, on
the date of such payment (to the extent of interest accrued on the amount of principal repaid). 
 (e) Intentionally omitted. 

(f) Each amount not paid when due hereunder (whether fees, commissions, expenses or other amounts or installments of interest on Advances but
excluding Advances) shall bear interest, to the extent permitted by applicable law, at a rate per annum equal to the Base Rate plus 2.0% per annum until paid. 

(g) If at any time, the Liquidity Provider shall have determined (which determination shall be conclusive and binding upon the Borrower,
absent manifest error) that, by reason of circumstances affecting the relevant interbank lending market generally, the LIBOR 

  
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Rate determined or to be determined for such Interest Period will not adequately and fairly reflect the cost to the Liquidity Provider (as conclusively certified by the Liquidity Provider, absent
manifest error) of making or maintaining Advances, the Liquidity Provider shall give facsimile or telephonic notice thereof (a “Rate Determination Notice”) to the Borrower. If such notice is given, then the outstanding
principal amount of the LIBOR Advances shall be converted to Base Rate Advances effective from the date of the Rate Determination Notice; provided that the Applicable Liquidity Rate in respect of such Base Rate Advances shall be increased by
one percent (1.00%). The Liquidity Provider shall withdraw a Rate Determination Notice given hereunder when the Liquidity Provider determines that the circumstances giving rise to such Rate Determination Notice no longer apply to the Liquidity
Provider, and the Base Rate Advances shall be converted to LIBOR Advances effective as of the first day of the next succeeding Interest Period after the date of such withdrawal. Each change in the Base Rate shall become effective immediately. The
rates of interest specified in this Section 3.07 with respect to any Advance or other amount shall be referred to as the “Applicable Liquidity Rate”. 

Section 3.08 Replacement of Borrower. Subject to Section 5.02, from time to time and subject to the successor Borrower’s
meeting the eligibility requirements set forth in Section 6.09 of the Intercreditor Agreement applicable to the Subordination Agent, upon the effective date and time specified in a written and completed Notice of Replacement Subordination Agent
in substantially the form of Annex VIII (a “Notice of Replacement Subordination Agent”) delivered to the Liquidity Provider by the then Borrower, the successor Borrower designated therein shall become the Borrower for
all purposes hereunder. 
 Section 3.09 Funding Loss Indemnification. The Borrower shall pay to the Liquidity Provider, upon the
request of the Liquidity Provider, such amount or amounts as shall be sufficient (in the reasonable opinion of the Liquidity Provider) to compensate it for any loss, cost or expense incurred by reason of the liquidation or redeployment of deposits
or other funds acquired by the Liquidity Provider to fund or maintain any LIBOR Advance (but excluding loss of the Applicable Margin or anticipated profits) incurred as a result of: 

(1) Any repayment of a LIBOR Advance on a date other than the last day of the Interest Period for such Advance; or 

(2) Any failure by the Borrower to borrow a LIBOR Advance on the date for borrowing specified in the relevant notice under
Section 2.02. 
 Section 3.10 Illegality. Notwithstanding any other provision in this Agreement, if any change in any law,
rule or regulation applicable to or binding on the Liquidity Provider, or any change in the interpretation or administration thereof by any governmental authority, central bank or comparable agency charged with the interpretation or administration
thereof, or compliance by the Liquidity Provider with any request or directive (whether or not having the force of law) of any such authority, central bank or comparable agency shall make it unlawful or impossible for the Liquidity Provider to
maintain or fund its LIBOR Advances, then upon notice to the Borrower and American by the Liquidity Provider, the outstanding principal amount of the LIBOR Advances shall be converted to Base Rate Advances (a) immediately upon demand of the
Liquidity Provider, if such change or compliance with such request, in the reasonable judgment of the Liquidity Provider, requires immediate conversion; or (b) at the expiration of the 

  
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last Interest Period to expire before the effective date of any such change or request. The Liquidity Provider will notify the Borrower and American as promptly as practicable of any event that
will or to its knowledge is reasonably likely to lead to the conversion of LIBOR Advances to Base Rate Advances under this Section 3.10; provided that a failure by the Liquidity Provider to notify the Borrower or American of an event
that is reasonably likely to lead to such a conversion prior to the time that it is determined that such event will lead to such a conversion shall not prejudice the rights of the Liquidity Provider under this Section 3.10. The Liquidity
Provider agrees to investigate all commercially reasonable alternatives for avoiding the need for such conversion including, without limitation, designating a different Lending Office if the Liquidity Provider has another Lending Office in the
United States, if such designation or other action would avoid the need to convert such LIBOR Advances to Base Rate Advances; provided that the foregoing shall not obligate the Liquidity Provider to take any action that would, in its
reasonable judgment, cause the Liquidity Provider to incur any material loss or cost, unless the Borrower or American agrees to reimburse or indemnify the Liquidity Provider therefor. If no such designation or other action is effected, or, if
effected, fails to avoid the need for conversion of the LIBOR Advances to Base Rate Advances, American may arrange for a Replacement Liquidity Facility in accordance with Section 3.05(e) of the Intercreditor Agreement. 

ARTICLE IV 
 CONDITIONS PRECEDENT

 Section 4.01 Conditions Precedent to Effectiveness of Section 2.01. Section 2.01 of this Agreement shall become
effective on and as of the first date (the “Effective Date”) on which the following conditions precedent have been satisfied (or waived by the appropriate party or parties): 

(a) The Liquidity Provider shall have received on or before the Closing Date each of the following, and in the case of each document delivered
pursuant to paragraphs (i), (ii) and (iii), each in form and substance satisfactory to the Liquidity Provider: 

(i) This Agreement and the Fee Letter duly executed on behalf of the Borrower and, in the case of the Fee Letter, American;

 (ii) The Intercreditor Agreement duly executed on behalf of each of the parties thereto (other than the Liquidity
Provider); 
 (iii) Fully executed copies of each of the Operative Agreements executed and delivered on or before the Closing
Date (other than this Agreement, the Fee Letter and the Intercreditor Agreement); 
 (iv) A copy of the Prospectus Supplement
and specimen copies of the Class B Certificates; 
 (v) An executed copy of each opinion (other than the negative assurance
letter of Latham & Watkins LLP, special counsel to American, and the opinion and the negative assurance letter of Milbank, Tweed, Hadley & McCloy LLP, special counsel to the Underwriters) delivered on the Closing Date pursuant to
the Underwriting 

  
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Agreement (in the case of each such opinion, either addressed to the Liquidity Provider or accompanied by a letter from the counsel rendering such opinion to the effect that the Liquidity
Provider is entitled to rely on such opinion as of its date as if it were addressed to the Liquidity Provider); 
 (vi) An
executed copy of each document, instrument, certificate and opinion delivered on or before the Closing Date pursuant to the Class B Trust Agreement, the Intercreditor Agreement and the other Operative Agreements (in the case of each such opinion,
either addressed to the Liquidity Provider or accompanied by a letter from the counsel rendering such opinion to the effect that the Liquidity Provider is entitled to rely on such opinion as of its date as if it were addressed to the Liquidity
Provider); 
 (vii) An agreement from American, pursuant to which (x) American agrees to provide copies of quarterly
financial statements and audited annual financial statements to the Liquidity Provider (which American may provide in an electronic format by electronic mail or making such available over the internet) and (y) American agrees to allow the
Liquidity Provider to discuss the transactions contemplated by the Operative Agreements with officers and employees of American; and 

(viii) Such documentation as the Liquidity Provider may reasonably request five (5) or more Business Days prior to the
Closing Date in order to satisfy its “know your customer” policies. 
 (b) On and as of the Effective Date no event shall have
occurred and be continuing, or would result from the entering into of this Agreement or the making of any Advance, which constitutes a Liquidity Event of Default. 

(c) The Liquidity Provider shall have received payment in full of the fees and other sums required to be paid to or for the account of the
Liquidity Provider on or prior to the Effective Date pursuant to the Fee Letter. 
 (d) All conditions precedent to the issuance of the
Certificates under the Trust Agreements shall have been satisfied or waived, all conditions precedent to the effectiveness of the other Liquidity Facilities, if any, shall have been satisfied or waived, and all conditions precedent to the purchase
of the Class B Certificates by the Underwriters under the Underwriting Agreement shall have been satisfied (unless any of such conditions precedent under the Underwriting Agreement shall have been waived by the Underwriters). 

(e) The Borrower and American shall have received a certificate, dated the Effective Date signed by a duly authorized representative of the
Liquidity Provider, certifying that all conditions precedent specified in this Section 4.01 have been satisfied or waived by the Liquidity Provider. 

Section 4.02 Conditions Precedent to Borrowing. The obligation of the Liquidity Provider to make an Advance on the occasion of
each Borrowing shall be subject to the conditions precedent that the Effective Date shall have occurred and, prior to the time of such Borrowing, the Borrower shall have delivered a Notice of Borrowing which conforms to the terms and conditions of
this Agreement. 
 Section 4.03 Representations and Warranties. The representations and warranties of the Borrower as
Subordination Agent in Sections 5.01(a), (b), (c), (d) and (i) of the Participation Agreements shall be deemed to be incorporated into this Agreement as if set out in full herein and as if such representations and warranties were made by
the Borrower to the Liquidity Provider. 

  
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 ARTICLE V 

COVENANTS 
 Section 5.01
Affirmative Covenants of the Borrower. So long as any Advance shall remain unpaid or the Liquidity Provider shall have any Maximum Available Commitment hereunder or the Borrower shall have any obligation to pay any amount to the Liquidity
Provider hereunder, the Borrower will, unless the Liquidity Provider shall otherwise consent in writing: 
 (a) Performance of
Agreements. Subject to Sections 2.07 and 2.09, punctually pay or cause to be paid all amounts payable by it under this Agreement and the Intercreditor Agreement and observe and perform in all material respects the conditions, covenants and
requirements applicable to it contained in this Agreement and the Intercreditor Agreement; 
 (b) Reporting Requirements. Furnish to
the Liquidity Provider with reasonable promptness, such other information and data with respect to the transactions contemplated by the Operative Agreements as from time to time may be reasonably requested by the Liquidity Provider; and permit the
Liquidity Provider, upon reasonable notice, to inspect the Borrower’s books and records with respect to such transactions and to meet with officers and employees of the Borrower to discuss such transactions. The Borrower shall also provide to
the Liquidity Provider, without the need for any request thereof, copies of all documents and reports provided to the Certificateholders under the Operative Agreements; and 

(c) Certain Operative Agreements. Furnish to the Liquidity Provider, with reasonable promptness, copies of such Operative Agreements
entered into after the date hereof as from time to time may be reasonably requested by the Liquidity Provider. 
 Section 5.02
Negative Covenants of the Borrower. Subject to the first and fourth paragraphs of Section 7.01(a) of the Intercreditor Agreement and Section 7.01(b) of the Intercreditor Agreement, so long as any Advance shall remain unpaid or the
Liquidity Provider shall have any Maximum Available Commitment hereunder or the Borrower shall have any obligation to pay any amount to the Liquidity Provider hereunder, the Borrower will not appoint or permit or suffer to be appointed any successor
Borrower without the prior written consent of the Liquidity Provider, which consent shall not be unreasonably withheld or delayed. 

  
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 ARTICLE VI 

LIQUIDITY EVENTS OF DEFAULT AND SPECIAL TERMINATION 

Section 6.01 Liquidity Events of Default. (a) If any Liquidity Event of Default has occurred and is continuing and there is a
Performing Note Deficiency, the Liquidity Provider may, in its discretion, deliver to the Borrower a Termination Notice, the effect of which shall be to cause (i) this Agreement to expire at the close of business on the fifth Business Day after
the date on which such Termination Notice is received by the Borrower, (ii) the Borrower to promptly request, and the Liquidity Provider to promptly make, a Final Advance in accordance with Section 2.02(c) hereof and Section 3.05(i)
of the Intercreditor Agreement, (iii) all other outstanding Advances to be automatically converted into Final Advances for purposes of determining the Applicable Liquidity Rate for interest payable thereon and (iv) subject to Sections 2.07
and 2.09, all Advances, any accrued interest thereon and any other amounts outstanding hereunder to become immediately due and payable to the Liquidity Provider. 

(b) If the aggregate Pool Balance of the Class B Certificates is greater than the aggregate outstanding principal amount of the Series B
Equipment Notes (other than any Series B Equipment Notes previously sold by the Borrower or with respect to which the Aircraft related to such Series B Equipment Notes has been disposed of by the Loan Trustee) at any time during the 18-month period
ending on January 15, 2024, the Liquidity Provider may, in its discretion, deliver to the Borrower a Special Termination Notice, the effect of which shall be to cause (i) the obligation of the Liquidity Provider to make Advances hereunder
to terminate on the fifth Business Day after the date on which such Special Termination Notice is received by the Borrower and American, (ii) the Borrower to promptly request, and the Liquidity Provider to promptly make, a Special Termination
Advance in accordance with Section 2.02(d) hereof and Section 3.05(k) of the Intercreditor Agreement, and (iii) subject to Sections 2.07 and 2.09, all Advances (including, without limitation, any Provider Advance and Applied
Provider Advance), to be automatically treated as Special Termination Drawings (as defined in the Intercreditor Agreement). 
 ARTICLE VII

 MISCELLANEOUS 

Section 7.01 No Oral Modifications or Continuing Waivers. No terms or provisions of this Agreement may be changed, waived,
discharged or terminated orally, but only by an instrument in writing signed by the Borrower and the Liquidity Provider and any other Person whose consent is required pursuant to this Agreement; provided that no such change or other action
shall affect the payment obligations of American or the rights of American without American’s prior written consent; and any waiver of the terms hereof shall be effective only in the specific instance and for the specific purpose given. 

Section 7.02 Notices. Unless otherwise expressly specified or permitted by the terms hereof, all notices, requests, demands,
authorizations, directions, consents, waivers or documents required or permitted under the terms and provisions of this Agreement shall be in English and in 

  
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writing, and given by United States registered or certified mail, courier service or facsimile, and any such notice shall be effective when delivered (or, if delivered by facsimile, upon
completion of transmission and confirmation by the sender (by a telephone call to a representative of the recipient or by machine confirmation) that such transmission was received) addressed as follows: 

If to the Borrower, to: 

Wilmington Trust Company 
 1100
North Market Street 
 Wilmington, Delaware 19890 

Attention: Adam Vogelsong 

Ref.: American Airlines 2016-1B EETC 

Telephone: (302) 636-6472 

Facsimile: (302) 636-4149 

If to the Liquidity Provider, to: 

KfW IPEX-Bank GmbH 
 Aviation,
X2b, KV 27681 
 Palmengartenstraße 5-9 

60325 Frankfurt am Main 
 Germany

 Fax: +49-69-7431-2944, +49-69-7431-3767, +49-69-7431-4110 

Email: EETC_notices@kfw.de 
 Any
party, by notice to the other party hereto, may designate additional or different addresses for subsequent notices or communications. Whenever the words “notice” or “notify” or similar words are used herein, they mean the
provision of formal notice as set forth in this Section 7.02. 
 Section 7.03 No Waiver; Remedies. No failure on the part
of the Liquidity Provider to exercise, and no delay in exercising, any right under this Agreement shall operate as a waiver thereof; nor shall any single or partial exercise of any right under this Agreement preclude any other or further exercise
thereof or the exercise of any other right. The remedies herein provided are cumulative and not exclusive of any remedies provided by law. 

Section 7.04 Further Assurances. The Borrower agrees to do such further acts and things and to execute and deliver to the
Liquidity Provider such additional assignments, agreements, powers and instruments as the Liquidity Provider may reasonably require or deem advisable to carry into effect the purposes of this Agreement and the other Operative Agreements or to better
assure and confirm unto the Liquidity Provider its rights, powers and remedies hereunder and under the other Operative Agreements. 

Section 7.05 Indemnification; Survival of Certain Provisions. The Liquidity Provider shall be indemnified hereunder to the extent
and in the manner described in Section 4.02 of the Participation Agreements. In addition, the Borrower agrees to indemnify, protect, defend and hold harmless each Liquidity Indemnitee from and against all Expenses of any kind or nature
whatsoever (other than any Expenses of the nature described in Sections 3.01, 3.03, 3.09 or 7.07 

  
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or in the Fee Letter (regardless of whether indemnified against pursuant to said Sections or in such Fee Letter)), that may be imposed on or incurred by such Liquidity Indemnitee, in any way
relating to, resulting from, or arising out of or in connection with, any action, suit or proceeding by any third party against such Liquidity Indemnitee and relating to this Agreement, the Fee Letter, the Intercreditor Agreement or any
Participation Agreement; provided, however, that the Borrower shall not be required to indemnify, protect, defend and hold harmless any Liquidity Indemnitee in respect of any Expense of such Liquidity Indemnitee to the extent such
Expense is (i) attributable to the gross negligence or willful misconduct of such Liquidity Indemnitee or any other Liquidity Indemnitee, (ii) an ordinary and usual operating overhead expense, (iii) attributable to the failure by such
Liquidity Indemnitee or any other Liquidity Indemnitee to perform or observe any agreement, covenant or condition on its part to be performed or observed in this Agreement, the Intercreditor Agreement, the Fee Letter or any other Operative Agreement
to which it is a party or (iv) otherwise excluded from the indemnification provisions contained in Section 4.02 of the Participation Agreements. The provisions of Sections 3.01, 3.03, 3.09, 7.05 and 7.07 and the indemnities contained in
Section 4.02 of the Participation Agreements shall survive the termination of this Agreement. 
 Section 7.06 Liability of the
Liquidity Provider. (a) Neither the Liquidity Provider nor any of its officers, employees or directors shall be liable or responsible for: (i) the use which may be made of the Advances or any acts or omissions of the Borrower or any
beneficiary or transferee in connection therewith; (ii) the validity, sufficiency or genuineness of documents, or of any endorsement thereon, even if such documents should prove to be in any or all respects invalid, insufficient, fraudulent or
forged; or (iii) the making of Advances by the Liquidity Provider against delivery of a Notice of Borrowing and other documents which do not comply with the terms hereof; provided, however, that the Borrower shall have a claim
against the Liquidity Provider, and the Liquidity Provider shall be liable to the Borrower, to the extent of any damages suffered by the Borrower that were the result of (A) the Liquidity Provider’s willful misconduct or gross negligence
in determining whether documents presented hereunder comply with the terms hereof or (B) any breach by the Liquidity Provider of any of the terms of this Agreement or the Intercreditor Agreement, including, but not limited to, the Liquidity
Provider’s failure to make lawful payment hereunder after the delivery to it by the Borrower of a Notice of Borrowing complying with the terms and conditions hereof. In no event, however, shall the Liquidity Provider be liable on any theory of
liability for any special, indirect, consequential or punitive damages (including, without limitation, loss of profits, business or anticipated savings). 

(b) Neither the Liquidity Provider nor any of its officers, employees or directors or affiliates shall be liable or responsible in any respect
for (i) any error, omission, interruption or delay in transmission, dispatch or delivery of any message or advice, however transmitted, in connection with this Agreement or any Notice of Borrowing delivered hereunder or (ii) any action,
inaction or omission which may be taken by it in good faith, absent willful misconduct or gross negligence (in which event the extent of the Liquidity Provider’s potential liability to the Borrower shall be limited as set forth in the
immediately preceding paragraph), in connection with this Agreement or any Notice of Borrowing. 
 Section 7.07 Certain Costs and
Expenses. The Borrower agrees promptly to pay, or cause to be paid, (a) the reasonable fees, expenses and disbursements of Pillsbury Winthrop Shaw Pittman LLP, special counsel for the Liquidity Provider, in connection with the preparation,

  
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negotiation, execution, delivery, filing and recording of the Operative Agreements, any waiver or consent thereunder or any amendment thereof, (b) if a Liquidity Event of Default occurs, all
out-of-pocket expenses incurred by the Liquidity Provider, including reasonable fees and disbursements of counsel, in connection with such Liquidity Event of Default and
any collection, bankruptcy, insolvency and other enforcement proceedings in connection therewith and (c) on demand, all reasonable costs and expenses (including reasonable counsel fees and expenses) of the Liquidity Provider in connection with
the modification or amendment of, or supplement to, this Agreement or any other Operative Agreement or such other documents which may be delivered in connection herewith or therewith (whether or not the same shall become effective) or any waiver or
consent thereunder (whether or not the same shall be effective), unless such costs or expenses arise as a result of the negligence of the Liquidity Provider or any breach by the Liquidity Provider of its obligations under any Operative Agreement. In
addition, the Borrower shall pay any and all recording, stamp and other similar taxes and fees payable or determined to be payable in connection with the execution, delivery, filing and recording of this Agreement, any other Operative Agreement and
such other documents, and agrees to save the Liquidity Provider harmless from and against any and all liabilities with respect to or resulting from any delay in paying or omission to pay such taxes or fees. The Borrower agrees to pay certain costs
and expenses of a Replacement Liquidity Facility as provided in the Fee Letter. 
 Section 7.08 Binding Effect; Participations.
(a) This Agreement shall be binding upon and inure to the benefit of the Borrower and the Liquidity Provider and their respective successors and permitted assigns, except that neither the Liquidity Provider (except as otherwise provided in this
Section 7.08) nor (except as contemplated by Section 3.08) the Borrower shall have the right to assign, pledge or otherwise transfer its rights or obligations hereunder or any interest herein, subject to the Liquidity Provider’s right
to grant Participations pursuant to Section 7.08(b). 
 (b) The Liquidity Provider agrees that it will not grant any participation
(including, without limitation, a “risk participation”) (any such participation, a “Participation”) in or to all or a portion of its rights and obligations hereunder or under the other Operative Agreements, unless
all of the following conditions are satisfied (and, if all such conditions are satisfied with respect to any Participation, the Liquidity Provider may grant such Participation): (i) such Participation is made in accordance with all applicable
laws, including, without limitation, the Securities Act of 1933, as amended, the Trust Indenture Act of 1939, as amended, and any other applicable laws relating to the transfer of similar interests, (ii) such Participation shall not be made
under circumstances that require registration under the Securities Act of 1933, as amended, or qualification of any indenture under the Trust Indenture Act of 1939, as amended and (iii) such Participation shall not be made to any Person that is
a commercial air carrier, American or any affiliate of American. Notwithstanding any such Participation, the Liquidity Provider agrees that (1) the Liquidity Provider’s obligations under the Operative Agreements shall remain unchanged, and
such participant shall have no rights or benefits as against American or the Borrower or under any Operative Agreement, (2) the Liquidity Provider shall remain solely responsible to the other parties to the Operative Agreements for the
performance of such obligations, (3) the Liquidity Provider shall remain the maker of any Advances, and the other parties to the Operative Agreements shall continue to deal solely and directly with the Liquidity Provider in connection with the
Advances and the Liquidity Provider’s rights and obligations under the Operative Agreements, (4) the Liquidity Provider shall be solely responsible for any 

  
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withholding Taxes or any filing or reporting requirements relating to such Participation and shall hold the Borrower and American and their respective successors, permitted assigns, affiliates,
agents and servants harmless against the same and (5) neither American nor the Borrower shall be required to pay to the Liquidity Provider any amount under Section 3.01 or Section 3.03 greater than it would have been required to pay
had there not been any grant of a Participation by the Liquidity Provider. The Liquidity Provider may, in connection with any Participation or proposed Participation pursuant to this Section 7.08(b), disclose to the participant or proposed
participant any information relating to the Operative Agreements or to the parties thereto furnished to the Liquidity Provider thereunder or in connection therewith and permitted to be disclosed by the Liquidity Provider; provided,
however, that prior to any such disclosure, the participant or proposed participant shall agree in writing for the express benefit of the Borrower and American to preserve the confidentiality of any confidential information included therein
(subject to customary exceptions). The Borrower acknowledges and agrees that the Liquidity Provider’s source of funds may derive in part from its participants. Accordingly, in determining amounts due by the Borrower to the Liquidity Provider
pursuant to Section 3.01 and Section 3.03 of this Agreement, references in this Agreement to determinations, reserve, liquidity and capital adequacy requirements, increased costs, reduced receipts, additional amounts due pursuant to
Section 3.03 and the like as they pertain to the Liquidity Provider shall be deemed also to include those of each of its participants that are commercial banking institutions and of whose participation the Borrower has been notified, in each
case up to the maximum amount that would have been incurred by or attributable to the Liquidity Provider directly had there not been any grant of a Participation by the Liquidity Provider, and references to the Liquidity Provider therein and in
related definitions shall be treated as references to such participants where applicable; provided that in any event, neither American nor the Borrower shall be required to pay any amount under Section 3.01 or Section 3.03 greater
than it would have been required to pay had there not been any grant of a Participation by the Liquidity Provider. If the Liquidity Provider sells a Participation, it shall, acting solely for this purpose as an agent of the Borrower, maintain a
register on which it enters the name and address of each participant and the principal amounts (and stated interest) of each participant’s interest in this Agreement. 

(c) The Liquidity Provider agrees that, as a condition of any Participation, the participant shall (i) represent to the Liquidity
Provider (for the benefit of the Liquidity Provider and the Borrower) that under applicable law and treaties, no taxes will be required to be withheld with respect to any income derived by such participant from the transactions contemplated by the
Operative Agreements, (ii) furnish to the Liquidity Provider and the Borrower two properly completed executed originals of United States Internal Revenue Service Form W-8ECI, Form W-8BEN-E or Form W-9, as appropriate, or other applicable form,
certificate or document prescribed by the Internal Revenue Service certifying, in each case, such participant’s entitlement to a complete exemption from United States federal withholding tax and backup withholding for all income derived by it
from the transactions contemplated by the Operative Agreements, (iii) agree (for the benefit of the Liquidity Provider and the Borrower) to provide each of the Liquidity Provider and the Borrower a new Form W-8ECI, Form W-8BEN-E or Form W-9, as
appropriate, or other applicable form, certificate or document (A) on or before the date that any such form, certificate or document expires or becomes obsolete or (B) after the occurrence of any event requiring a change in the most recent
form, certificate or document previously delivered by it and prior to the immediately following due date of any payment to be made to the participant pursuant to the Operative Agreements, certifying that such participant is

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 28 

 
entitled to a complete exemption from or reduction in United States federal withholding tax and backup withholding for all income derived by it from the transactions contemplated by the Operative
Agreements or that it is no longer so entitled and (iv) agree (for the benefit of the Liquidity Provider and the Borrower) to provide such other forms or documents as may be reasonably requested by the Borrower or required by applicable law to
establish that all income derived by it from the transactions contemplated by the Operative Agreements is exempt from or entitled to a reduced rate of Covered Taxes. The Liquidity Provider shall provide to the Borrower such information as the
Borrower may reasonably request about the Liquidity Provider or a participant to satisfy any reporting or other Tax obligations of the Borrower with respect to this Agreement; provided that the Liquidity Provider shall not be required to
provide any such information (other than the names of participants, percentage of participation and copies of such participants’ withholding tax forms) which is not within its possession or which is confidential. 

(d) Notwithstanding the other provisions of this Section 7.08, the Liquidity Provider may assign and pledge all or any portion of the
Advances owing to it to any Federal Reserve Bank or the United States Treasury as collateral security pursuant to Regulation A of the Board of Governors of the Federal Reserve System and any Operating Circular issued by such Federal Reserve Bank;
provided that any payment in respect of such assigned Advances made by the Borrower to the Liquidity Provider in accordance with the terms of this Agreement shall satisfy the Borrower’s obligations hereunder in respect of such assigned
Advance to the extent of such payment. No such assignment shall release the Liquidity Provider from its obligations hereunder. 

Section 7.09 Severability. To the extent permitted by applicable law, any provision of this Agreement which 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, and any such prohibition or unenforceability in any
jurisdiction shall not invalidate or render unenforceable such provision in any other jurisdiction. 
 Section 7.10 Governing
Law. THIS AGREEMENT HAS BEEN DELIVERED IN THE STATE OF NEW YORK AND THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAW OF THE STATE OF NEW YORK, INCLUDING ALL MATTERS OF CONSTRUCTION, VALIDITY AND PERFORMANCE. 

Section 7.11 Submission to Jurisdiction; Waiver of Jury Trial; Waiver of Immunity. (a) Each of the parties hereto, to the
extent it may do so under applicable law, for purposes hereof hereby (i) irrevocably submits itself to the non-exclusive jurisdiction of the courts of the State of New York sitting in the City of New York
and to the non-exclusive jurisdiction of the United States District Court for the Southern District of New York for the purposes of any suit, action or other proceeding arising out of this Agreement, the
subject matter hereof or any of the transactions contemplated hereby brought by any party or parties hereto or thereto, or their successors or permitted assigns, (ii) waives, and agrees not to assert, by way of motion, as a defense, or
otherwise, in any such suit, action or proceeding, that the suit, action or proceeding is brought in an inconvenient forum, that the venue of the suit, action or proceeding is improper or that this Agreement or the subject matter hereof or any of
the transactions contemplated hereby may not be enforced in or by such courts, (iii) agrees that service of process in any such suit, action or proceeding may be effected by mailing a copy thereof by registered or certified mail (or 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 29 

 
any substantially similar form of mail), postage prepaid, to each party hereto at its address set forth in Section 7.02 hereof, or at such other address of which the Liquidity Provider shall
have been notified pursuant thereto and (iv) agrees that nothing herein shall affect the right to effect service of process in any other manner permitted by law. 

(b) THE BORROWER AND THE LIQUIDITY PROVIDER EACH HEREBY AGREE TO WAIVE THEIR RESPECTIVE RIGHTS TO A JURY TRIAL OF ANY CLAIM OR CAUSE OF ACTION
BASED UPON OR ARISING OUT OF THIS AGREEMENT OR ANY DEALINGS BETWEEN THEM RELATING TO THE SUBJECT MATTER OF THIS AGREEMENT AND THE RELATIONSHIP THAT IS BEING ESTABLISHED, including, without limitation, contract claims, tort claims, breach of duty
claims and all other common law and statutory claims. The Borrower and the Liquidity Provider each warrant and represent that it has reviewed this waiver with its legal counsel, and that it knowingly and voluntarily waives its jury trial rights
following consultation with such legal counsel. TO THE EXTENT PERMITTED BY APPLICABLE LAW, THIS WAIVER IS IRREVOCABLE, AND CANNOT BE MODIFIED EITHER ORALLY OR IN WRITING, AND THIS WAIVER SHALL APPLY TO ANY SUBSEQUENT AMENDMENTS, RENEWALS,
SUPPLEMENTS OR MODIFICATIONS TO THIS AGREEMENT. 
 (c) To the extent that the Liquidity Provider or any of its properties has or may
hereafter acquire any right of immunity, whether characterized as sovereign immunity or otherwise, and whether under the United States Foreign Sovereign Immunities Act of 1976 (or any successor legislation) or otherwise, from any legal proceedings,
whether in the United States or elsewhere, to enforce or collect upon this Agreement, including, without limitation, immunity from suit or service of process, immunity from jurisdiction or judgment of any court or tribunal or execution of a
judgment, or immunity of any of its property from attachment prior to any entry of judgment, or from attachment in aid of execution upon a judgment, the Liquidity Provider hereby irrevocably and expressly waives any such immunity, and agrees not to
assert any such right or claim in any such proceeding, whether in the United States or elsewhere. 
 Section 7.12 Counterparts.
This Agreement may be executed in any number of counterparts (and each party shall not be required to execute the same counterpart). Each counterpart of this Agreement including a signature page or pages executed by each of the parties hereto shall
be an original counterpart of this Agreement, but all of such counterparts together shall constitute one instrument. 
 Section 7.13
Entirety. This Agreement and the Intercreditor Agreement constitute the entire agreement of the parties hereto with respect to the subject matter hereof and supersede all prior understandings and agreements of such parties. 

Section 7.14 Headings. The headings of the various Articles and Sections herein and in the Table of Contents hereto are for
convenience of reference only and shall not define or limit any of the terms or provisions hereof. 
 Section 7.15 Liquidity
Provider’s Obligation to Make Advances. EXCEPT AS EXPRESSLY SET FORTH IN THIS AGREEMENT, THE OBLIGATIONS OF THE LIQUIDITY PROVIDER TO MAKE ADVANCES HEREUNDER, AND THE BORROWER’S 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 30 

 
RIGHTS TO DELIVER NOTICES OF BORROWING REQUESTING THE MAKING OF ADVANCES HEREUNDER, SHALL BE ABSOLUTE, UNCONDITIONAL AND IRREVOCABLE, AND SHALL BE PAID OR PERFORMED, IN EACH CASE STRICTLY IN
ACCORDANCE WITH THE TERMS OF THIS AGREEMENT. 
 Section 7.16 Patriot Act. The Liquidity Provider hereby notifies the Borrower
that pursuant to the requirements of the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act of 2001 (“USA PATRIOT Act”) or any other similar law or regulation of the Federal
Republic of Germany it is required to obtain, verify and record information that identifies the Borrower, which information includes the name and address of the Borrower and other information that will allow the Liquidity Provider to identify the
Borrower in accordance with such Act or any such similar law or regulation of the Federal Republic of Germany. When reasonably requested by the Liquidity Provider the Borrower shall provide to the Liquidity Provider any such information relating to
the Borrower that the Liquidity Provider may be required to obtain and keep on file in order to comply with applicable anti-money laundering laws and regulations of the Federal Republic of Germany. 

Section 7.17 No Fiduciary Relationship. The Borrower agrees that in connection with all aspects of the transactions contemplated
hereby and any communications in connection therewith, the Borrower and the persons for which it acts as agent, on the one hand, and the Liquidity Provider, on the other hand, will have a business relationship that does not create, by implication or
otherwise, any fiduciary duty on the part of the Liquidity Provider, and no such duty will be deemed to have arisen in connection with any such transactions or communications. 

Section 7.18 Acknowledgement and Consent to Bail-In of EEA Financial Institutions. Notwithstanding anything to the contrary in
this Agreement or in any other agreement, arrangement or understanding among any such parties, each party hereto acknowledges that any liability of any EEA Financial Institution arising under this Agreement, to the extent such liability is
unsecured, may be subject to the write-down and conversion powers of an EEA Resolution Authority and agrees and consents to, and acknowledges and agrees to be bound by: 

(a) the application of any write-down or conversion powers by an EEA Resolution Authority to any such liabilities arising hereunder which may
be payable to it by any party hereto that is an EEA Financial Institution; and 
 (b) the effects of any Bail-in Action on any such
liability, including, if applicable: 
 (i) a reduction, in full or in part, of any such liability; 

(ii) a conversion of all, or a portion of, such liability into shares or other instruments of ownership in such EEA Financial
Institution, its parent undertaking, or a bridge institution and that such shares or other instruments of ownership will be accepted by it in lieu of any rights with respect to any such liability under this Agreement; or 

(iii) the variation of the terms of such liability in connection with the exercise of the write-down and conversion powers of
any EEA Resolution Authority. 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 31 

 IN WITNESS WHEREOF, the parties have caused this Agreement to be duly executed and delivered by
their respective officers thereunto duly authorized as of the date first set forth above. 
  

					
	WILMINGTON TRUST COMPANY, not in its individual capacity but solely as Subordination Agent, as agent and trustee for the Class AA Trust, as Borrower
		
	By:	 	 /s/ Adam R. Vogelsong

		 	Name:	 	Adam R. Vogelsong
		 	Title:	 	Vice President
	
	 KFW IPEX-BANK GMBH,
 as Liquidity
Provider

		
	By:	 	 /s/ Dr. Anne Hashagen

		 	Name:	 	Dr. Anne Hashagen
		 	Title:	 	Vice President
		
	By:	 	 /s/ Jörg-Andreas Dürr

		 	Name:	 	Jörg-Andreas Dürr
		 	Title:	 	Director

 Signature Page 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

 ANNEX I to 

REVOLVING CREDIT AGREEMENT 

FORM OF INTEREST ADVANCE NOTICE OF BORROWING 

INTEREST ADVANCE NOTICE OF BORROWING 

The undersigned, a duly authorized signatory of the undersigned borrower (the “Borrower”), hereby
certifies to KFW IPEX-BANK GMBH (the “Liquidity Provider”), with reference to the Revolving Credit Agreement (2016-1B), dated as of January 19, 2016, between the Borrower and the Liquidity Provider (the
“Liquidity Agreement”; the terms defined therein and not otherwise defined herein being used herein as therein defined or referenced), that: 

(1) The Borrower is the Subordination Agent under the Intercreditor Agreement. 

(2) The Borrower is delivering this Notice of Borrowing for the making of an Interest Advance by the Liquidity Provider to be
used for the payment of the interest on the Class B Certificates which is payable on             ,          (the “Distribution
Date”) in accordance with the terms and provisions of the Class B Trust Agreement and the Class B Certificates, which Advance is requested to be made on             ,
        . The Interest Advance should be remitted to [insert wire and account details]. 

(3) The amount of the Interest Advance requested hereby (i) is $        , to be
applied in respect of the payment of the interest which is due and payable on the Class B Certificates on the Distribution Date, (ii) does not include any amount with respect to the payment of principal of, or premium on, the Class B
Certificates, or principal of, or interest or premium on the Class AA Certificates, the Class A Certificates or the Additional Certificates, if issued, (iii) was computed in accordance with the provisions of the Class B Certificates, the
Class B Trust Agreement and the Intercreditor Agreement (a copy of which computation is attached hereto as Schedule I), (iv) does not exceed the Maximum Available Commitment on the date hereof, and (v) has not been and is not the
subject of a prior or contemporaneous Notice of Borrowing. 
 (4) Upon receipt by or on behalf of the Borrower of the amount
requested hereby, (a) the Borrower will apply the same in accordance with the terms of Section 3.05(b) of the Intercreditor Agreement, (b) no portion of such amount shall be applied by the Borrower for any other purpose and
(c) no portion of such amount until so applied shall be commingled with other funds held by the Borrower. 
 The Borrower hereby
acknowledges that, pursuant to the Liquidity Agreement, the making of the Interest Advance as requested by this Notice of Borrowing shall automatically reduce, subject to reinstatement in accordance with the terms of the Liquidity Agreement, the
Maximum Available Commitment by an amount equal to the amount of the Interest Advance requested to be made hereby as set forth in clause (i) of paragraph (3) of this Notice of Borrowing and such reduction shall automatically result in
corresponding reductions in the amounts available to be borrowed pursuant to a subsequent Advance. 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

 IN WITNESS WHEREOF, the Borrower has executed and delivered this Notice of Borrowing as of the
     day of             ,         . 

 

					
	WILMINGTON TRUST COMPANY, not in its individual capacity but solely as Subordination Agent, as Borrower
		
	By:	 	  

		 	Name:	 	
		 	Title:	 	

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 I-2 

 SCHEDULE I TO INTEREST ADVANCE NOTICE OF BORROWING 

[Insert Copy of Computations in accordance with Interest Advance Notice of Borrowing] 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 I-3 

 ANNEX II to 

REVOLVING CREDIT AGREEMENT 

FORM OF NON-EXTENSION ADVANCE NOTICE OF BORROWING 

NON-EXTENSION ADVANCE NOTICE OF BORROWING 

The undersigned, a duly authorized signatory of the undersigned subordination agent (the “Borrower”),
hereby certifies to KFW IPEX-BANK GMBH (the “Liquidity Provider”), with reference to the Revolving Credit Agreement (2016-1B), dated as of January 19, 2016, between the Borrower and the Liquidity Provider (the
“Liquidity Agreement”; the terms defined therein and not otherwise defined herein being used herein as therein defined or referenced), that: 

(1) The Borrower is the Subordination Agent under the Intercreditor Agreement. 

(2) The Borrower is delivering this Notice of Borrowing for the making of the Non-Extension Advance by the Liquidity Provider to be used for
the funding of the Class B Cash Collateral Account in accordance with Section 3.05(d) of the Intercreditor Agreement, which Advance is requested to be made on             ,
        . The Non-Extension Advance should be remitted to [insert wire and account details]. 

(3) The amount of the Non-Extension Advance requested hereby (i) is $        , which equals the
Maximum Available Commitment on the date hereof and is to be applied in respect of the funding of the Class B Cash Collateral Account in accordance with Sections 3.05(d) and 3.05(f) of the Intercreditor Agreement, (ii) does not include any
amount with respect to the payment of the principal of, or premium on, the Class B Certificates, or principal of, or interest or premium on, the Class AA Certificates, the Class A Certificates, or the Additional Certificates, if issued,
(iii) was computed in accordance with the provisions of the Class B Certificates, the Liquidity Agreement, the Class B Trust Agreement and the Intercreditor Agreement (a copy of which computation is attached hereto as Schedule I) and
(iv) has not been and is not the subject of a prior or contemporaneous Notice of Borrowing under the Liquidity Agreement. 
 (4) Upon
receipt by or on behalf of the Borrower of the amount requested hereby, (a) the Borrower will deposit such amount in the Class B Cash Collateral Account and apply the same in accordance with the terms of Sections 3.05(d) and 3.05(f) of the
Intercreditor Agreement, (b) no portion of such amount shall be applied by the Borrower for any other purpose and (c) no portion of such amount until so applied shall be commingled with other funds held by the Borrower. 

The Borrower hereby acknowledges that, pursuant to the Liquidity Agreement, (A) the making of the Non-Extension Advance as requested by
this Notice of Borrowing shall automatically and irrevocably terminate the obligation of the Liquidity Provider to make further Advances under the Liquidity Agreement and (B) following the making by the Liquidity Provider of the Non-Extension
Advance requested by this Notice of Borrowing, the Borrower shall not be entitled to request any further Advances under the Liquidity Agreement. 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

 IN WITNESS WHEREOF, the Borrower has executed and delivered this Notice of Borrowing as of the
     day of             ,         . 

 

					
	WILMINGTON TRUST COMPANY, not in its individual capacity but solely as Subordination Agent, as Borrower
		
	By:	 	  

		 	Name:	 	
		 	Title:	 	

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 II-2 

 SCHEDULE I TO NON-EXTENSION ADVANCE NOTICE OF BORROWING 

[Insert Copy of computations in accordance with Non-Extension Advance Notice of Borrowing] 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 II-3 

 ANNEX III to 

REVOLVING CREDIT AGREEMENT 

FORM OF DOWNGRADE ADVANCE NOTICE OF BORROWING 

DOWNGRADE ADVANCE NOTICE OF BORROWING 

The undersigned, a duly authorized signatory of the undersigned subordination agent (the “Borrower”),
hereby certifies to KFW IPEX-BANK GMBH (the “Liquidity Provider”), with reference to the Revolving Credit Agreement (2016-1B), dated as of January 19, 2016, between the Borrower and the Liquidity Provider (the
“Liquidity Agreement”; the terms defined therein and not otherwise defined herein being used herein as therein defined or referenced), that: 

(1) The Borrower is the Subordination Agent under the Intercreditor Agreement. 

(2) The Borrower is delivering this Notice of Borrowing for the making of the Downgrade Advance by the Liquidity Provider to be used for the
funding of the Class B Cash Collateral Account in accordance with Section 3.05(c)(iii) of the Intercreditor Agreement by reason of the Liquidity Facility provided under the Liquidity Agreement becoming a Downgraded Facility which has not been
replaced by a Replacement Liquidity Facility, which Advance is requested to be made on             ,         . The Downgrade Advance should be
remitted to [insert wire and account details]. 
 (3) The amount of the Downgrade Advance requested hereby (i) is
$        , which equals the Maximum Available Commitment on the date hereof and is to be applied in respect of the funding of the Class B Cash Collateral Account in accordance with Sections 3.05(c) and 3.05(f)
of the Intercreditor Agreement, (ii) does not include any amount with respect to the payment of the principal of, or premium on, the Class B Certificates, or principal of, or interest or premium on, the Class AA Certificates, the Class A
Certificates, or the Additional Certificates, if issued, (iii) was computed in accordance with the provisions of the Class B Certificates, the Class B Trust Agreement and the Intercreditor Agreement (a copy of which computation is attached
hereto as Schedule I) and (iv) has not been and is not the subject of a prior or contemporaneous Notice of Borrowing under the Liquidity Agreement. 

(4) Upon receipt by or on behalf of the Borrower of the amount requested hereby, (a) the Borrower will deposit such amount in the Class B
Cash Collateral Account and apply the same in accordance with the terms of Sections 3.05(c) and 3.05(f) of the Intercreditor Agreement, (b) no portion of such amount shall be applied by the Borrower for any other purpose and (c) no portion
of such amount until so applied shall be commingled with other funds held by the Borrower. 
 The Borrower hereby acknowledges that,
pursuant to the Liquidity Agreement, (A) the making of the Downgrade Advance as requested by this Notice of Borrowing shall automatically and irrevocably terminate the obligation of the Liquidity Provider to make further Advances under the
Liquidity Agreement and (B) following the making by the Liquidity Provider of the Downgrade Advance requested by this Notice of Borrowing, the Borrower shall not be entitled to request any further Advances under the Liquidity Agreement. 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

 IN WITNESS WHEREOF, the Borrower has executed and delivered this Notice of Borrowing as of the
     day of             ,         . 
  

					
	WILMINGTON TRUST COMPANY, not in its individual capacity but solely as Subordination Agent, as Borrower
		
	By:	 	  

		 	Name:	 	
		 	Title:	 	

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 III-2 

 SCHEDULE I TO DOWNGRADE ADVANCE NOTICE OF BORROWING 

[Insert Copy of computations in accordance with Downgrade Advance Notice of Borrowing] 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 III-3 

 ANNEX IV to 

REVOLVING CREDIT AGREEMENT 

FORM OF FINAL ADVANCE NOTICE OF BORROWING 

FINAL ADVANCE NOTICE OF BORROWING 

The undersigned, a duly authorized signatory of the undersigned borrower (the “Borrower”), hereby
certifies to KFW IPEX-BANK GMBH (the “Liquidity Provider”), with reference to the Revolving Credit Agreement (2016-1B), dated as of January 19, 2016, between the Borrower and the Liquidity Provider (the
“Liquidity Agreement”; the terms defined therein and not otherwise defined herein being used herein as therein defined or referenced), that: 

(1) The Borrower is the Subordination Agent under the Intercreditor Agreement. 

(2) The Borrower is delivering this Notice of Borrowing for the making of the Final Advance by the Liquidity Provider to be
used for the funding of the Class B Cash Collateral Account in accordance with Section 3.05(i) of the Intercreditor Agreement by reason of the receipt by the Borrower of a Termination Notice from the Liquidity Provider with respect to the
Liquidity Agreement, which Advance is requested to be made on             ,         . The Final Advance should be remitted to [insert wire and
account details]. 
 (3) The amount of the Final Advance requested hereby (i) is
$        , which equals the Maximum Available Commitment on the date hereof and is to be applied in respect of the funding of the Class B Cash Collateral Account in accordance with Sections 3.05(f) and 3.05(i)
of the Intercreditor Agreement, (ii) does not include any amount with respect to the payment of principal of, or premium on, the Class B Certificates, or principal of, or interest or premium on, the Class AA Certificates, the Class A
Certificates, or the Additional Certificates, if issued, (iii) was computed in accordance with the provisions of the Class B Certificates, the Class B Trust Agreement and the Intercreditor Agreement (a copy of which computation is attached
hereto as Schedule I) and (iv) has not been and is not the subject of a prior or contemporaneous Notice of Borrowing. 

(4) Upon receipt by or on behalf of the Borrower of the amount requested hereby, (a) the Borrower will deposit such amount
in the Class B Cash Collateral Account and apply the same in accordance with the terms of Sections 3.05(f) and 3.05(i) of the Intercreditor Agreement, (b) no portion of such amount shall be applied by the Borrower for any other purpose and
(c) no portion of such amount until so applied shall be commingled with other funds held by the Borrower. 
 The Borrower hereby
acknowledges that, pursuant to the Liquidity Agreement, (A) the making of the Final Advance as requested by this Notice of Borrowing shall automatically and irrevocably terminate the obligation of the Liquidity Provider to make further Advances
under the Liquidity Agreement and (B) following the making by the Liquidity Provider of the Final Advance requested by this Notice of Borrowing, the Borrower shall not be entitled to request any further Advances under the Liquidity Agreement.

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

 IN WITNESS WHEREOF, the Borrower has executed and delivered this Notice of Borrowing as of the
     day of             ,         . 
  

					
	WILMINGTON TRUST COMPANY, not in its individual capacity but solely as Subordination Agent, as Borrower
		
	By:	 	  

		 	Name:	 	
		 	Title:	 	

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 IV-2 

 SCHEDULE 1 TO FINAL ADVANCE NOTICE OF BORROWING 

[Insert Copy of Computations in accordance with Final Advance Notice of Borrowing] 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 IV-3 

 ANNEX V to 

REVOLVING CREDIT AGREEMENT 

FORM OF SPECIAL TERMINATION 

ADVANCE NOTICE OF BORROWING 

SPECIAL TERMINATION ADVANCE NOTICE OF BORROWING 

The undersigned, a duly authorized signatory of the undersigned borrower (the “Borrower”), hereby
certifies to KFW IPEX-BANK GMBH (the “Liquidity Provider”), with reference to the Revolving Credit Agreement (2016-1B), dated as of January 19, 2016, between the Borrower and the Liquidity Provider (the
“Liquidity Agreement”; the terms defined therein and not otherwise defined herein being used herein as therein defined or referenced), that: 

(1) The Borrower is the Subordination Agent under the Intercreditor Agreement. 

(2) The Borrower is delivering this Notice of Borrowing for the making of the Special Termination Advance by the Liquidity
Provider to be used for the funding of the Class B Cash Collateral Account in accordance with Section 3.05(k) of the Intercreditor Agreement by reason of the receipt by the Borrower of a Special Termination Notice from the Liquidity Provider
with respect to the Liquidity Agreement, which Advance is requested to be made on                     . 

(3) The amount of the Special Termination Advance requested hereby (i) is
$        , which equals the Maximum Available Commitment on the date hereof and is to be applied in respect of the funding of the Class B Cash Collateral Account in accordance with Section 3.05(k) of the
Intercreditor Agreement, (ii) does not include any amount with respect to the payment of principal of, or premium on, the Class B Certificates, or principal of, or interest or premium on, the Class AA Certificates, the Class A
Certificates, or the Additional Certificates, if issued, (iii) was computed in accordance with the provisions of the Class B Certificates, the Class B Trust Agreement and the Intercreditor Agreement (a copy of which computation is attached
hereto as Schedule I) and (iv) has not been and is not the subject of a prior or contemporaneous Notice of Borrowing. 

(4) Upon receipt by or on behalf of the Borrower of the amount requested hereby, (a) the Borrower shall deposit such
amount in the Class B Cash Collateral Account and apply the same in accordance with the terms of Section 3.05(f) of the Intercreditor Agreement, (b) no portion of such amount shall be applied by the Borrower for any other purpose and
(c) no portion of such amount until so applied shall be commingled with other funds held by the Borrower. 
 The Borrower hereby
acknowledges that, pursuant to the Liquidity Agreement, (A) the making of the Special Termination Advance as requested by this Notice of Borrowing shall automatically and irrevocably terminate the obligation of the Liquidity Provider to make
further Advances under the Liquidity Agreement; and (B) following the making by the Liquidity Provider of the Special Termination Advance requested by this Notice of Borrowing, the Borrower shall not be entitled to request any further Advances
under the Liquidity Agreement. 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

 IN WITNESS WHEREOF, the Borrower has executed and delivered this Notice of Borrowing as of the
     day of             ,         . 
  

					
	WILMINGTON TRUST COMPANY, not in its individual capacity but solely as Subordination Agent, as Borrower
		
	By:	 	  

		 	Name:	 	
		 	Title:	 	

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 V-2 

 SCHEDULE 1 TO SPECIAL TERMINATION ADVANCE NOTICE OF BORROWING 

[Insert Copy of Computations in accordance with Special Termination Advance Notice of Borrowing] 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 V-3 

 ANNEX VI to 

REVOLVING CREDIT AGREEMENT 

FORM OF NOTICE OF TERMINATION 

NOTICE OF TERMINATION 

[Date] 
 Wilmington Trust
Company, 
 as Subordination Agent, 

as Borrower 
 Rodney Square North 

1100 North Market Square 
 Wilmington, DE 19890-001 

Attention: Corporate Trust Division 
  

	Re:	Revolving Credit Agreement, dated as of January 19, 2016, between Wilmington Trust Company, not in its individual capacity but solely as Subordination Agent, as agent and trustee for the American Airlines Pass
Through Trust 2016-1B, as Borrower, and KfW IPEX-Bank GmbH (the “Liquidity Agreement”) 

 Ladies and Gentlemen: 

You are hereby notified that pursuant to Section 6.01(a) of the Liquidity Agreement, by reason of the occurrence and continuance of a
Liquidity Event of Default and the existence of a Performing Note Deficiency (each as defined in the Liquidity Agreement), we are giving this notice to you in order to cause (i) our obligations to make Advances (as defined in the Liquidity
Agreement) under such Liquidity Agreement to terminate at the close of business on the fifth Business Day after the date on which you receive this notice and (ii) you to request a Final Advance under the Liquidity Agreement pursuant to
Section 2.02(c) of the Liquidity Agreement and Section 3.05(i) of the Intercreditor Agreement (as defined in the Liquidity Agreement) as a consequence of your receipt of this notice. 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

 THIS NOTICE IS THE “NOTICE OF TERMINATION” PROVIDED FOR UNDER THE LIQUIDITY
AGREEMENT. OUR OBLIGATIONS TO MAKE ADVANCES UNDER THE LIQUIDITY AGREEMENT WILL TERMINATE AT THE CLOSE OF BUSINESS ON THE FIFTH BUSINESS DAY AFTER THE DATE ON WHICH YOU RECEIVE THIS NOTICE. 

 

					
	Very truly yours,
	
	 KFW IPEX-BANK GMBH,
 as Liquidity
Provider

		
	By:	 	  

		 	Name:	 	
		 	Title:	 	
		
	By:	 	  

		 	Name:	 	
		 	Title:	 	

  

	cc:	Wilmington Trust Company, as Class B Trustee 

 American Airlines, Inc. 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 VI-2 

 ANNEX VII to 

REVOLVING CREDIT AGREEMENT 

FORM OF NOTICE OF SPECIAL TERMINATION 

NOTICE OF SPECIAL TERMINATION 

[Date] 
 WILMINGTON TRUST COMPANY, 

as Subordination Agent, 
 as
Borrower 
 Rodney Square North 
 1100 North Market Square 

Wilmington, DE 19890-001 
 Attention: Corporate Trust Division

  

	Re:	Revolving Credit Agreement, dated as of January 19, 2016, between Wilmington Trust Company, not in its individual capacity but solely as Subordination Agent, as agent and trustee for the American Airlines Pass
Through Trust 2016-1B, as Borrower, and KfW IPEX-Bank GmbH (the “Liquidity Agreement”) 

 Ladies and Gentlemen: 

You are hereby notified that pursuant to Section 6.01(b) of the Liquidity Agreement, by reason of the aggregate Pool Balance of the Class
B Certificates exceeding the aggregate outstanding principal amount of the Series B Equipment Notes (other than any Series B Equipment Notes previously sold or with respect to which the Aircraft related to such Series B Equipment Notes has
been disposed of) during the 18-month period prior to January 15, 2024, we are giving this notice to you in order to cause (i) our obligations to make Advances (as defined in the Liquidity Agreement) under such Liquidity Agreement to
terminate on the fifth Business Day after the date on which you receive this notice and (ii) you to request a Special Termination Advance under the Liquidity Agreement pursuant to Section 2.02(d) of the Liquidity Agreement and
Section 3.05(k) of the Intercreditor Agreement (as defined in the Liquidity Agreement) as a consequence of your receipt of this notice. 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

 THIS NOTICE IS THE “NOTICE OF SPECIAL TERMINATION” PROVIDED FOR UNDER THE LIQUIDITY
AGREEMENT. OUR OBLIGATIONS TO MAKE ADVANCES UNDER THE LIQUIDITY AGREEMENT WILL TERMINATE AT THE CLOSE OF BUSINESS ON THE FIFTH BUSINESS DAY AFTER THE DATE ON WHICH YOU RECEIVE THIS NOTICE. 

 

					
	Very truly yours,
	
	 KFW IPEX-BANK GMBH,
 as Liquidity
Provider

		
	By:	 	  

		 	Name:	 	
		 	Title:	 	
		
	By:	 	  

		 	Name:	 	
		 	Title:	 	

  

	cc:	Wilmington Trust Company, as Class B Trustee 

 American Airlines, Inc. 

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC) 

  
 VII-2 

 ANNEX VIII to 

REVOLVING CREDIT AGREEMENT 

FORM OF NOTICE OF REPLACEMENT SUBORDINATION AGENT 

NOTICE OF REPLACEMENT SUBORDINATION AGENT 

[Date] 
 Attention: 

 

	Re:	Revolving Credit Agreement, dated as of January 19, 2016, between Wilmington Trust Company, not in its individual capacity but solely as Subordination Agent, as agent and trustee for the American Airlines Pass
Through Trust 2016-1B, as Borrower, and KfW IPEX-Bank GmbH (the “Liquidity Agreement”) 

 Ladies and Gentlemen: 

For value received, the undersigned beneficiary hereby irrevocably transfers to: 

[Name of Transferee] 

[Address of Transferee] 

all rights and obligations of the undersigned as Borrower under the Liquidity Agreement referred to above. The transferee has succeeded the undersigned as
Subordination Agent under the Intercreditor Agreement referred to in the first paragraph of the Liquidity Agreement, pursuant to the terms of Section 7.01 of the Intercreditor Agreement. 

By this transfer, all rights of the undersigned as Borrower under the Liquidity Agreement are transferred to the transferee and the transferee
shall hereafter have the sole rights and obligations as Borrower thereunder. The undersigned shall pay any costs and expenses of such transfer, including, but not limited to, transfer taxes or governmental charges. 

This transfer shall be effective as of [specify time and date]. 

 

					
	WILMINGTON TRUST COMPANY, not in its individual capacity but solely as Subordination Agent, as Borrower
		
	By:	 	  

		 	Name:	 	
		 	Title:	 	

  
 Revolving Credit
Agreement (Class B) 
 (American Airlines 2016-1 Aircraft EETC)ASSET
PURCHASE AGREEMENT

THIS
ASSET PURCHASE AGREEMENT (this “Agreement”), is made and entered into as of September 30, 2014 (the “Closing
Date”) by and among Veritec, Inc., a Nevada corporation (“Purchaser”), on the one hand, and Tangible Payments,
LLC, a Maryland limited liability company (“Seller”), Falcon Financial Industries, LLC a Maryland limited liability
company (“Falcon”), the holder of all the issued and outstanding membership interests in Seller, and Timothy M. Spear,
an individual and sole member and manager of Falcon (“Spear”), on the other hand. Capitalized terms not otherwise
defined herein have the meanings set forth in Section 9.1.

RECITALS

WHEREAS,
Seller is engaged in the business of developing online payment technology (the “Business”); and

WHEREAS,
Seller desires to sell, transfer and assign to Purchaser, and Purchaser desires to purchase and acquire from Seller, substantially
all of the assets of Seller relating to the operation of the Business, and in connection therewith, Purchaser has agreed to assume
certain of the liabilities of Seller relating to the Business, all on the terms set forth herein.

NOW,
THEREFORE, in consideration of the premises and the mutual covenants, conditions and agreements set forth herein, and for
other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto agree
as follows:

ARTICLE
I

PURCHASE
AND SALE OF ASSETS AND CLOSING

1.1.
Purchase of Assets.

(a)
Purchased Assets. Subject to the terms and conditions set forth in this Agreement, Seller will sell, transfer, convey,
assign and deliver to Purchaser, and Purchaser will purchase at the Closing, free and clear of all Liens other than Permitted
Liens, all of Seller’s right, title and interest in, to and under the following Assets and Properties of Seller as the same
shall exist on the Closing Date (collectively, the “Purchased Assets”):

(i)
Intellectual Property. All of the Company Owned Intellectual Property identified on Exhibit A (including Seller’s
goodwill therein) and all rights, privileges, claims, causes of action and options relating or pertaining to such Company Owned
Intellectual Property; and

(ii)
Contracts. The Contracts listed on Exhibit B (the “Purchased Contracts”).

(b)
Excluded Assets. Notwithstanding anything in this Agreement to the contrary, the Purchased Assets shall exclude any assets
of Seller not listed in Section 1.1 (the “Excluded Assets.”)

1.2.
Liabilities.

(a)
Assumed Liabilities. In connection with the sale, transfer, conveyance, assignment and delivery of the Purchased Assets
pursuant to this Agreement, on the terms and subject to the conditions set forth in this Agreement, at the Closing, Purchaser
will assume and agree to pay, perform and discharge when due the following obligations of Seller, as the same shall exist on the
Closing Date (the “Assumed Liabilities”), and no others:

(i)
Obligations under Contracts. All obligations of Seller under the Purchased Contracts arising and to be performed on or
after the Closing Date, and excluding any such obligations arising or to be performed prior to the Closing Date; and

(iii)
Obligations for Transfer Taxes. All obligations of Seller for Transfer Taxes.

    	 	1	 

    	 

    

(b)
Excluded Liabilities. Except as specifically provided in Section 1.2(a), the Purchaser shall not assume by virtue of this
Agreement or the transactions contemplated hereby, and shall have no liability for, any Liabilities of Seller (including, without
limitation, Liabilities related to the Business) of any kind, character or description whatsoever (the “Excluded Liabilities”).

1.3.
Purchase Price. As consideration for the Purchased Assets and for the covenant of Seller contained in Section 5.1,
Purchaser agrees to issue to Seller or its designee(s) (i) 250,000 shares of restricted common stock of Purchaser (“Shares”)
and to pay to Seller (ii) the Earnout Payment. For purposes of this Agreement, “Earnout Payment” means the sum of
$155,000 which is payable on a monthly basis from the Net Profits commencing three (3) months after the Closing Date; provided
however the balance of the Earnout Payment shall be payable in full at such time as Purchaser receives Equity Investments (in
one or more tranches) aggregating $1.3 million.

1.4.
Closing. The closing of the transactions contemplated by this Agreement (the “Closing”) will take place
contemporaneously and simultaneously upon the full execution and delivery of this Agreement as facilitated via a conference call
among the parties hereto immediately followed by the electronic (i.e., email/PDF) or facsimile exchange of signatures to this
Agreement and the other closing deliveries. To the extent permitted by Law and GAAP, for tax and accounting purposes, the parties
will treat the Closing as being effective as of 11:59 p.m. E.S.T. on the Closing Date. At the Closing:

(a)
Seller will deliver to Purchaser (i) the executed Bill of Sale substantially in the form of Exhibit C hereto, (ii) the executed
Assignment and Assumption Agreement substantially in the form of Exhibit D hereto, (iii) a written consent of the sole Member
of Seller approving the transactions contemplated by this Agreement, and (iv) such other good and sufficient instruments of conveyance,
assignment and transfer, in form and substance reasonably acceptable to Purchaser’s counsel, as shall be effective to vest
in Purchaser good title to the Assets, and

(b)
Purchaser will deliver to Seller (i) the executed Bill of Sale substantially in the form of Exhibit C hereto, (ii) the executed
Assignment and Assumption Agreement substantially in the form of Exhibit D hereto, (iii) resolutions of the Board of Directors
of Purchaser approving to the transactions contemplated by this Agreement, (iv) such other good and sufficient instruments of
assumption, in form and substance reasonably acceptable to Seller’s counsel, as shall be effective to cause Purchaser to
assume the Assumed Liabilities as, and to the extent provided in, Section 1.2(a); and (v) a stock certificate for the Shares issued
in the name of Falcon Financial Industries, LLC.

At
the Closing, there shall also be delivered to Seller and Purchaser the certificates and other contracts, documents and instruments
required to be delivered under Article VI.

1.5.
Further Assurances; Post-Closing Cooperation.

(a)
At any time or from time to time after the Closing, at Purchaser request and without further consideration, Seller shall execute
and deliver to Purchaser such other instruments of sale, transfer, conveyance, assignment and confirmation, provide such materials
and information and take such other actions as Purchaser may reasonably deem necessary or desirable in order more effectively
to transfer, convey and assign to Purchaser, and to confirm Purchaser’s title to, all of the Assets, and, to the full extent
permitted by Law, to put Purchaser in actual possession and operating control of the Assets and to assist Purchaser in exercising
all rights with respect thereto, and otherwise to cause Seller to fulfill its obligations under this Agreement and the Transaction
Documents.

(b)
Effective on the Closing Date, Seller hereby constitutes and appoints Purchaser the true and lawful attorney of Seller, with full
power of substitution, in the name of Seller or Purchaser, but on behalf of and for the benefit of Purchaser: (i) to demand and
receive from time to time any and all the Purchased Assets and to make endorsements and give receipts and releases for and in
respect of the same and any part thereof; and (ii) to institute, prosecute, compromise and settle any and all Actions or Proceedings
that Purchaser may deem proper in order to assert or enforce any claim of Purchaser in or to the Purchased Assets;. Seller hereby
acknowledges that the appointment hereby made and the powers hereby granted are coupled with an interest and are not and shall
not be revocable by it in any manner or for any reason.

    	 	2	 

    	 

    

(c)
Following the Closing, each party will afford the other party, its counsel and its accountants, during normal business hours,
reasonable access to the books, records and other data relating to the Purchased Assets in its possession with respect to periods
prior to the Closing and the right to make copies and extracts therefrom, to the extent that such access may be reasonably required
by the requesting party in connection with (i) the preparation of Tax Returns, (ii) the determination or enforcement of rights
and obligations under this Agreement, (iii) compliance with the requirements of any Governmental or Regulatory Authority, (iv)
the determination or enforcement of the rights and obligations of any Indemnified Party or (v) in connection with any actual or
threatened Action or Proceeding involving the party seeking access or the Purchased Assets. Further each party agrees for a period
extending six (6) years after the Closing Date not to destroy or otherwise dispose of any such books, records and other data unless
such party shall first offer in writing to surrender such books, records and other data to the other party and such other party
has not agreed in writing to take possession thereof during the ten (10) Business Day period after such offer is made.

(d)
If, in order properly to prepare its Tax Returns, other documents or reports required to be filed with Governmental or Regulatory
Authorities or its financial statements or to fulfill its obligations hereunder, it is necessary that a party be furnished with
additional information, documents or records relating to the Purchased Assets not referred to in paragraph (c) above, and such
information, documents or records are in the possession or control of the other party, such other party shall use its best efforts
to furnish or make available such information, documents or records (or copies thereof) at the recipient’s request, cost
and expense.

1.6.
Third-Party Consents. To the extent that any Purchased Contract is not assignable without the consent of another party,
this Agreement shall not constitute an assignment or an attempted assignment thereof if such assignment or attempted assignment
would constitute a breach thereof. Seller and Purchaser shall use their best efforts to obtain the consent of such other party
to the assignment of any such Purchased Contract to Purchaser in all cases in which such consent is or may be required for such
assignment. If any such consent shall not be obtained, Seller shall cooperate with Purchaser in any reasonable arrangement designed
to provide for Purchaser the benefits intended to be assigned to Purchaser under the relevant Purchased Contract.

ARTICLE
II

REPRESENTATIONS
AND WARRANTIES OF SELLER, FALCON AND SPEAR

In
order to induce Purchaser to enter into this Agreement, Seller, Falcon and Spear jointly and severally represent and warrant to
Purchaser that the statements contained in this Article II are true, correct and complete as of the date hereof. Such representations
and warranties are subject to the qualifications and exceptions set forth in the Disclosure Schedules delivered concurrently herewith.

2.1.
Organization of Seller; No Subsidiaries. Seller is a limited liability company duly organized and validly existing under
the Laws of the State of Maryland, and has full corporate power and authority to conduct the Business as to the extent now conducted
and to own and use the Purchased Assets. The Company is not currently reflected as being in good standing with the State of Maryland
due to the failure to timely file its Annual Report/Personal Property Return with the State of Maryland.
Seller does not own any equity interest, directly or indirectly, in any corporation, partnership, limited liability company,
joint venture, business trust or other entity, whether incorporated or not, that is engaged in any aspect of the Business or owns
or has rights with respect to the Purchased Assets.

2.2.
Authority. Seller has full power and authority to execute and deliver this Agreement and the Transaction Documents to which
it is a party, to perform its obligations hereunder and thereunder and to consummate the transactions contemplated hereby and
thereby, including without limitation to sell and transfer (pursuant to this Agreement) the Purchased Assets. The execution, delivery
and performance by Seller of this Agreement and the Transaction Documents to which it is a party have been duly and validly authorized
by the sole member and manager of Seller. This Agreement constitutes, and each of the Transaction Documents to which Seller is
a party, when executed, will constitute, the valid and legally binding obligation of Seller, enforceable against Seller in accordance
with their respective terms and conditions except to the extent that enforcement may be limited by applicable bankruptcy, insolvency,
reorganization, or moratorium laws, or other laws affecting the enforcement of creditors’ rights or by the principles governing
the availability of equitable remedies.

    	 	3	 

    	 

    

2.3.
No Conflicts. The execution and delivery by Seller of this Agreement does not, and the execution and delivery by Seller
of the Transaction Documents to which it is a party, the performance by Seller of its obligations hereby and thereby will not:
(a) conflict with or result in a violation or breach of any of the terms, conditions or provisions of the certificate of formation
or limited liability company operating agreement (if any) of Seller; (b) conflict with or result in a violation or breach of any
term or provision of any Law or Order applicable to Seller or any of the Purchased Assets; or (c) except as disclosed in Section
2.3 of the Disclosure Schedule, (i) conflict with or result in a violation or breach of, (ii) constitute (with or without notice
or lapse of time or both) a default under, (iii) require Seller to obtain any consent, approval or action of, make any filing
with or give any notice to any Person as a result or under the terms of, or (iv) result in the creation or imposition of any Lien
upon Seller or any of the Purchased Assets under, any Contract or License to which Seller is a party or by which any of the Purchased
Assets are bound.

2.4.
Governmental Approvals and Filings. No consent, approval or action of, filing with or notice to any Governmental or Regulatory
Authority on the part of Seller is required in connection with the execution, delivery and performance of this Agreement or any
of the Transaction Documents to which it is a party or the consummation of the transactions contemplated hereby or thereby.

2.5.
Title to Purchased Assets. Seller has good and marketable title to all of the Purchased Assets, free and clear of all Liens,
except Permitted Liens.

2.6.
Taxes.

(a)
Tax Returns. Except as disclosed in Section 2.6(a) to the Disclosure Schedule, all Tax Returns relating to the Business
or the Assets required to be filed by Seller have been duly filed on a timely basis and such Tax Returns are true, correct and
complete in all respects. All Taxes relating to the Business and the Purchased Assets owed by Seller (whether or not shown on
any Tax Return) have been paid. No claim has ever been made by any Governmental or Regulatory Authority in a jurisdiction where
Seller does not file Tax Returns that Seller is or may be subject to taxation by that jurisdiction. There are no liens or security
interests on any of the Assets with respect to Taxes, other than liens for Taxes not yet due and payable.

(b)
No Other Tax Audits and No Tax Deficiencies. Except as set forth in Section 2.6(b) of the Disclosure Schedule, Seller’s
Tax Returns relating to the Business or the Assets have never been audited by any Governmental or Regulatory Authority, nor is
any such audit in process, pending, or, to Seller’s Knowledge, threatened (either in writing or verbally, formally or informally).
No deficiencies exist (whether or not asserted by any Governmental or Regulatory Authority) or have been asserted (either in writing
or verbally, formally or informally), or are expected to be asserted, with respect to Taxes of Seller relating to the Business
and the Purchased Assets. Seller has not received notice (either in writing or verbally, formally or informally) and does not
expect to receive notice that it has not filed a Tax Return or paid Taxes required to be filed or paid by it with respect to and
including its taxable income or activities relating to the Business or the Purchased Assets. Seller is not a party to any action
or proceeding for assessment or collection of Taxes, nor has such an action or proceeding been asserted or, to Seller’s
Knowledge, threatened (either in writing or verbally, formally or informally) against Seller or the Purchased Assets.

2.7.
Legal Proceedings. Except as disclosed in Section 2.7 of the Disclosure Schedule:

(a)
there are no Actions or Proceedings pending or, to the Knowledge of Seller, threatened that relate to or affect the Business,
the Purchased Assets or the Assumed Liabilities, including but not limited to Actions or Proceedings that could reasonably be
expected to result in the issuance of an Order restraining, enjoining or

    	 	4	 

    	 

    

 otherwise prohibiting or making illegal the consummation
of any of the transactions contemplated by this Agreement or any of the Transaction Documents or otherwise result in a material
diminution of the benefits contemplated by this Agreement or any of theTransaction Documents;

(b)
there are no facts or circumstances Known to Seller that could reasonably be expected to give rise to any Action or Proceeding
that would be required to be disclosed pursuant to clause (a) above; and

(c)
there are no Orders outstanding against Seller with respect to the Business, the Purchased Assets or the Assumed Liabilities.

2.8.
Compliance With Laws and Orders. Seller is not, nor has it at any time within the last five (5) years been, nor has it
received any notice that it is or has at any time within the last five (5) years been, in violation of or in default under, in
any material respect, any Law or Order applicable to the Business or the Purchased Assets.

2.9.
Intellectual Property Rights.

(a)
Seller owns all right, title and interest in and to all of Company Owned Intellectual Property, free and clear of all claims and
Liens (including without limitation distribution rights).

(b)
Section 2.9(b) of the Disclosure Schedule contains a list of all: (i) software which the Company has licensed from third parties
(other than standard off the shelf software) (the “Third Party Licenses”) that Seller is licensed or otherwise authorized
by such third parties to incorporate into the Intellectual Property; and (ii) all “freeware” and “shareware”
incorporated into the Intellectual Property. Each of the Third Party Licenses constitutes a legal, valid and binding agreement,
enforceable in accordance with its terms, of Seller and, to Seller’s Knowledge, of each other party thereto,
except to the extent that enforcement may be limited by applicable bankruptcy, insolvency, reorganization, or moratorium
laws, or other laws affecting the enforcement of creditors’ rights or by the principles governing the availability of equitable
remedies.

(c)
No claims have been asserted against Seller (and Seller is not aware of any claims that are likely to be asserted against Seller
or which have been asserted against others) by any person challenging Seller’s use or distribution of any patents, trademarks,
trade names, copyrights, trade secrets, software, technology, know-how or processes related to the Purchased Assets or challenging
or questioning the validity or effectiveness of any license or agreement relating thereto (including, without limitation, the
Third Party Licenses). To the Knowledge of Seller, there is no valid basis for any claim of the type specified in the immediately
preceding sentence that could in any material way relate to or interfere with the continued enhancement and exploitation by Purchaser
of any of the Company Owned Intellectual Property.

(d)
To the Knowledge of Seller, none of the Purchased Assets or the use of the Intellectual Property by Seller in the conduct of the
Business as currently conducted infringes on the rights of, constitutes misappropriation of, or involves unfair competition with
respect to, any proprietary information or intangible property right of any third person or entity, including without limitation
any patent, trade secret, copyright, trademark or trade name.

(e)
Except as disclosed in Section 2.9(e) of the Disclosure Schedule, Seller has not granted any third party any right or license
to reproduce, distribute, market or exploit any of the Intellectual Property or any adaptations, translations, or derivative works
based on the Intellectual Property or any portion thereof.

(f)
All designs, drawings, specifications, source code, object code, documentation, flow charts and diagrams incorporating, embodying
or reflecting any of the Company Owned Intellectual Property at any stage of their development were written, developed and created
solely and exclusively by employees of Tangible Software, Inc. (who assigned such Intellectual Property to Seller) without the
assistance of any third party, or were created by third parties who assigned ownership of their rights to Tangible Software, Inc.
or Seller in valid and enforceable agreements.

    	 	5	 

    	 

    

(g)
To the Knowledge of Seller, each person currently or formerly engaged by Seller (including independent contractors, if any) that
has or had access to confidential information of Seller relating to the Company Owned Intellectual Property has executed a confidentiality
and non-disclosure agreement in the form previously provided to counsel for Purchaser. Such confidentiality and non-disclosure
agreements constitute valid and binding obligations of Seller and, to Seller’s Knowledge, such person, enforceable in accordance
with their respective terms, except as enforceability may be limited by general equitable principles or the exercise of judicial
discretion in accordance with such principles.

(h)
No product liability or warranty claim with respect to any products related to the Business has been communicated to or overtly
threatened against Seller nor, to the Knowledge of Seller, is there any specific situation, set of facts or occurrence that provides
a basis for any such claim.

2.10
Purchased Contracts.

(a)
Each of the Purchased Contracts is in full force and effect and constitutes a legal, valid and binding agreement, enforceable
in accordance with its terms, of Seller and, to Seller’s Knowledge, of each other party thereto,
except to the extent that enforcement may be limited by applicable bankruptcy, insolvency, reorganization, or moratorium
laws, or other laws affecting the enforcement of creditors’ rights or by the principles governing the availability of equitable
remedies. Neither Seller nor, to the Knowledge of Seller, any other party to such Purchased Contract is, or has received notice
that it is, in violation or breach of or default under any such Purchased Contract (or with notice or lapse of time or both, would
be in violation or breach of or default under any such Purchased Contract) in any material respect.

(b)
Except as disclosed in Section 2.3 of the Disclosure Schedule, the execution, delivery and performance by Seller of this Agreement
and the Transaction Documents to which it is a party, and the consummation of the transactions contemplated hereby and thereby,
will not (i) result in or give to any Person any right of termination, cancellation, acceleration or modification in or with respect
to, (ii) result in or give to any Person any additional rights or entitlement to increased, additional, accelerated or guaranteed
payments under, or (iii) result in the creation or imposition of any Lien upon Seller or any of the Purchased Assets under, any
Purchased Contract.

2.11.
Brokers. All negotiations relative to this Agreement and the transactions contemplated hereby have been carried out by
Seller directly with Purchaser without the intervention of any Person on behalf of Seller in such manner as to give rise to any
valid claim by any Person for a finder’s fee, brokerage commission or similar payment.

2.13
Tax Advisors. Seller is relying solely on its own tax advisors with respect to the federal, state and local tax consequences
of the transactions contemplated by this Agreement and not on any statements or representations of Purchaser or any of its agents
and understands that it shall be responsible for its own tax liability that may arise as a result of this investment or the transactions
contemplated by this Agreement.

2.14.
Disclosure. No representation or warranty contained in this Agreement, and no statement contained in the Disclosure Schedule
or in any certificate, list or other writing furnished to Purchaser pursuant to any provision of this Agreement, in each case
relating to the Purchased Assets, Assumed Liabilities or the Business, contains any untrue statement of a material fact or omits
to state a material fact necessary in order to make the statements herein or therein, in the light of the circumstances under
which they were made, not misleading.

    	 	6	 

    	 

    

ARTICLE
III

REPRESENTATIONS
OF FALCON AND SPEAR

Falcon
and Spear jointly and severally represent and warrant to Purchaser as follows:

3.1
Investment Intent. Falcon is acquiring the Shares of Purchaser for investment for its own account, not as a nominee or
agent, and not with a view to, or for resale in connection with, any distribution thereof in violation of the Securities Act.

3.2
Disclosure of Information. Falcon believes it has received all the information it considers necessary or appropriate for
deciding whether to purchase the Shares. Falcon further represents that it has had an opportunity to ask questions and receive
answers from Purchaser regarding the Shares and the business, properties, prospects and financial condition of Purchaser. Falcon
understands that Purchaser is NOT current in its reporting requirements under the Securities Act and this will affect transferability
of the Shares. Furthermore, Purchaser’s common stock may be subject to deregistration and Purchaser may be subject to penalties
associated with its delinquency, thereby affecting the value of Falcon’s Shares

3.3
Investment Experience. Falcon is an investor in securities of companies in the development stage and acknowledges that
it is able to fend for itself, can bear the economic risk of its investment, and has such knowledge and experience in financial
or business matters that it is capable of evaluating the merits and risks of the investment in the Shares.

3.4
Accredited Investor. Falcon is an “accredited investor” within the meaning of the Rule 501 of Regulation D,
as promulgated under the Securities Act, as presently in effect.

3.5
Restricted Securities. Falcon understands that the Shares are characterized as “restricted securities” under
the federal securities laws inasmuch as they are being acquired from Purchaser in a transaction not involving a public offering
and that under such laws and applicable regulations such shares may be resold without registration under the Act only in certain
limited circumstances. In the absence of an effective registration statement covering the Shares or an available exemption from
registration under the Act, the shares must be held indefinitely. In this connection, Falcon represents that it is familiar with
Rule 144, as presently in effect, and understands the resale limitations imposed thereby and by the Act, including without limitation,
the Rule 144 condition that current information about Purchaser be available to the public. Such information is NOT now available.

3.6
Further Limitations on Disposition. Without in any way limiting the representations set forth above, Falcon further agrees
not to make any disposition of all or any portion of the Shares for a term of one year from the Closing Date.

ARTICLE
IV

REPRESENTATIONS
AND WARRANTIES OF PURCHASER

Purchaser
hereby represents and warrants to Seller as follows:

4.1.
Organization. Purchaser is a corporation duly organized, validly existing and in good standing under the Laws of the State
of Nevada. Purchaser has full corporate power and authority to enter into this Agreement and the Transaction Documents to which
it is a party, to perform its obligations hereunder and thereunder and to consummate the transactions contemplated hereby and
thereby.

4.2.
Authority. The execution and delivery by Purchaser of this Agreement and the Transaction Documents to which it is a party,
and the performance by Purchaser of its obligations hereunder and thereunder, have been duly and validly authorized by the Board
of Directors of Purchaser, no other corporate action on the part of

    	 	7	 

    	 

    

 Purchaser or its stockholders being necessary. This Agreement
has been duly and validly executed and delivered by Purchaser and constitutes, and upon the execution and delivery by Purchaser
of the Transaction Documents to which it is a party, such Transaction Documents will constitute, legal, valid and binding obligations
of Purchaser enforceable against Purchaser in accordance with their terms.

4.3.
No Conflicts. The execution and delivery by Purchaser of this Agreement do not, and the execution and delivery by Purchaser
of the Transaction Documents to which it is a party, the performance by Purchaser of its obligations under this Agreement and
such Transaction Documents and the consummation of the transactions contemplated hereby and thereby will not: (a) conflict with
or result in a violation or breach of any of the terms, conditions or provisions of the certificate of incorporation or by-laws
of Purchaser; (b) conflict with or result in a violation or breach of any term or provision of any Law or Order applicable to
Purchaser or any of its Assets and Properties; or (c) (i) conflict with or result in a violation or breach of, (ii) constitute
(with or without notice or lapse of time or both) a default under, (iii) require Purchaser to obtain any consent, approval or
action of, make any filing with or give any notice to any Person as a result or under the terms of, or (iv) result in the creation
or imposition of any Lien upon Purchaser or any of its Assets or Properties under, any Contract or License to which Purchaser
is a party or by which any of its Assets and Properties is bound.

4.4.
Governmental Approvals and Filings. No consent, approval or action of, filing with or notice to any Governmental or Regulatory
Authority on the part of Purchaser is required in connection with the execution, delivery and performance of this Agreement or
the Transaction Documents to which it is a party or the consummation of the transactions contemplated hereby or thereby.

4.5.
Legal Proceedings. There are no Actions or Proceedings pending or, to the Knowledge of Purchaser, threatened against, relating
to or affecting Purchaser which could reasonably be expected to result in the issuance of an Order restraining, enjoining or otherwise
prohibiting or making illegal the consummation of any of the transactions contemplated by this Agreement or any of the Transaction
Documents.

4.6.
Brokers. All negotiations relative to this Agreement and the transactions contemplated hereby have been carried out by
Purchaser directly with Seller without the intervention of any Person on behalf of Purchaser in such manner as to give rise to
any valid claim by any Person for a finder’s fee, brokerage commission or similar payment.

4.7
Purchaser is Not Current in Public Reporting Obligations. Purchaser is a public company subject to the reporting obligations
of the Securities Exchange Act of 1934, as amended, and is NOT current in its reporting obligations thereunder. Purchaser’s
Shares may be subject to deregistration and Purchaser may be subject to penalties associated with its delinquency.

ARTICLE
V

POST
CLOSING COVENANTS OF SELLER

Seller
covenants and agrees with Purchaser that, at all times from and after the Closing Date, for the period specified herein or, if
no period is specified herein, indefinitely, Seller will comply with all covenants and provisions of this Article V, except to
the extent Purchaser may otherwise consent in writing 

5.1.
Nonsolicitation; Noncompetition

(a)
Seller will not, for a period of three (3) years from the Closing Date, directly or indirectly provide the same or substantially
the same services to a Competing Business anywhere in the Restricted Area, regardless of whether these services are provided as
a principle, agent, consultant, or otherwise, provided, however, that mere ownership of securities having no more than
one percent of the outstanding voting power of any Competing Business listed on any national

    	 	8	 

    	 

    

 securities exchange or traded actively
in the national over-the-counter market shall not be deemed to be in violation of this Agreement. For purposes of this Agreement,
“Competing Business” shall mean the business of developing, designing, publishing, marketing, maintaining or distributing
software applications which are competitive with the Company Owned Intellectual Property, and “Restricted Area” shall
mean each and every market in which the Tangible Payments Division operates.

(b)
Seller agrees that the restrictions encompassed by the covenants contained in this Section are necessary and reasonable in order
to protect Purchaser in the utilization of the Purchased Assets.

(c)
The parties hereto acknowledge and agree that any remedy at Law for any breach of the provisions of this Section would be inadequate,
and Seller hereby consents to the granting by any court of an injunction or other equitable relief, without the necessity of actual
monetary loss being proved, in order that the breach or threatened breach of such provisions may be effectively restrained.

5.2.
Confidentiality; Enforcement of Contracts. Except as expressly permitted under this Agreement, Seller agrees that it will
not make use of, disseminate or in any way disclose any information relating to or included in the Purchased Assets, including
but not limited to the software, know-how, trade secrets and algorithms included in the Purchased Assets. Seller will immediately
give notice to Purchaser of any unauthorized use or disclosure of such information.

5.3
Name Change. Seller will, as soon as reasonably practicable after Closing, file with the Maryland State Department of Assessments
and Taxation an amendment to the Articles of Organization of Seller changing the name of Seller to a new name which does not include
the words “Tangible Payments” or a words similar thereto and which will not suggest, directly or indirectly, that
Seller retains any interest in the Purchased Assets.

ARTICLE
VI

CONDITIONS
TO OBLIGATIONS OF PURCHASER AND SELLER

6.1Obligations
of Purchaser. The obligations of Purchaser hereunder to purchase the Assets and to assume and to pay, perform and discharge
the Assumed Liabilities are subject to the fulfillment, at or before the Closing, of each of the following conditions (all or
any of which may be waived in whole or in part by Purchaser in its sole discretion):

(a)
Performance. Seller shall have performed and complied with, in all material respects, each agreement, covenant and obligation
required by this Agreement to be so performed or complied with by Seller at or before the Closing.

(b)
Officer’s Certificate of Seller. Seller shall have delivered to Purchaser a certificate, dated the Closing Date,
executed by the sole Member of Seller in the form attached hereto as Exhibit E.

(c)
Deliveries. Seller shall have delivered to Purchaser the Transaction Documents to which it is a party.

(d)
Proceedings. All proceedings to be taken on the part of Seller in connection with the transactions contemplated by this
Agreement and all documents incident thereto shall be reasonably satisfactory in form and substance to Purchaser, and Purchaser
shall have received copies of all such documents and other evidences as Purchaser may reasonably request in order to establish
the consummation of such transactions and the taking of all proceedings in connection therewith.

6.2
Obligations of Seller. The obligations of Seller hereunder to sell the Assets are subject to the fulfillment, at or before
the Closing, of each of the following conditions (all or any of which may be waived in whole or in part by Seller in its sole
discretion):

    	 	9	 

    	 

    

(a)
Performance. Purchaser shall have performed and complied with, in all material respects, each agreement, covenant and obligation
required by this Agreement to be so performed or complied with by Purchaser at or before the Closing. 

(b)
Officer’s Certificate of Purchaser. Purchaser shall have delivered to Seller a certificate, dated the Closing Date
and executed by the President of Purchaser, substantially in the form and to the effect of Exhibit F hereto.

(c)
Deliveries. Purchaser shall have delivered to Seller a certificate for the Shares and the Transaction Documents to which
it is a party.

(d)
Proceedings. All proceedings to be taken on the part of Purchaser in connection with the transactions contemplated by this
Agreement and all documents incident thereto shall be reasonably satisfactory in form and substance to Seller, and Seller shall
have received copies of all such documents and other evidences as Seller may reasonably request in order to establish the consummation
of such transactions and the taking of all proceedings in connection therewith.

ARTICLE
VII

SURVIVAL
OF REPRESENTATIONS, WARRANTIES, COVENANTS AND AGREEMENTS

Notwithstanding
any right of Purchaser (whether or not exercised) to investigate the Business or the Assets or any right of any party (whether
or not exercised) to investigate the accuracy of the representations and warranties of the other party contained in this Agreement,
Seller and Purchaser have the right to rely fully upon the representations, warranties, covenants and agreements of the other
contained in this Agreement. The representations, warranties, covenants and agreements of Seller and Purchaser contained in this
Agreement will survive the Closing (i) with respect to the representations and warranties contained in Section 2.9, for a period
of seven (7) years from the Closing Date or (ii) with respect to all other representations, warranties, covenants and agreements,
for a period of eighteen (18) months from the Closing Date, except that any representation, warranty, covenant or agreement that
would otherwise terminate in accordance with clause (i) or (ii) above will continue to survive if a claim for indemnity shall
have been made under Article VIII on or prior to such termination date, until such claim has been satisfied or otherwise resolved.

ARTICLE
VIII

INDEMNIFICATION

8.1.
Indemnification.

(a)
Subject to the other Sections of this Article VIII, Seller shall indemnify Purchaser Indemnified Parties in respect of, and hold
each of them harmless from and against, any and all Losses suffered, incurred or sustained by any of them or to which any of them
becomes subject, resulting from, arising out of or relating to (i) any misrepresentation, breach of warranty or nonfulfillment
of or failure to perform any covenant or agreement on the part of Seller contained in this Agreement, (ii) any claim or action
brought against Purchaser which alleges that the Company Owned Intellectual Property infringes any patent, copyright, trade secret
or other intellectual property right of any other person or entity or (iii) an Excluded Liability.

 

(b)
Subject to the other Sections of this Article VIII, Purchaser shall indemnify the Seller Indemnified Parties in respect of, and
hold each of them harmless from and against, any and all Losses suffered, incurred or sustained by any of them or to which any
of them becomes subject, resulting from, arising out of or relating to (i) any misrepresentation, breach of warranty or nonfulfillment
of or failure to perform any covenant or agreement on the part of Purchaser contained in this Agreement or (ii) an Assumed Liability.

    	 	10	 

    	 

    

(c)
Any claim for indemnification hereunder must be brought within the applicable limitations period listed below:

(i)any
claim for indemnification hereunder with respect to an alleged infringement by Company Owned Intellectual Property must be brought
on or before 11:59 p.m (Eastern Time) on the seventh anniversary of the Closing Date; and

(ii)any
other claim for indemnification hereunder must be brought on or before 11:59 p.m (Eastern Time) on the eighteen (18) month anniversary
of the Closing Date.

8.2.
Indemnification Procedures.

(a)
In the case of any claim asserted by a third party against the Indemnified Party, a Claim Notice shall be given by the Indemnified
Party to the Indemnifying Party promptly after such Indemnified Party has actual knowledge of any claim as to which indemnity
may be sought, and the Indemnified Party shall permit the Indemnifying Party (at the expense of such Indemnifying Party) to assume
the defense of any claim or any litigation resulting therefrom; provided, that (i) counsel for the Indemnifying Party who shall
conduct the defense of such claim or litigation shall be reasonably satisfactory to the Indemnified Party, and the Indemnified
Party may participate in such defense at such Indemnified Party’s expense, and (ii) the failure of any Indemnified Party
to give notice as provided herein shall not relieve the Indemnifying Party of its indemnification obligation under this Agreement
except to the extent that such failure results in a lack of actual notice to the Indemnifying Party and such Indemnifying Party
is materially prejudiced as a result of such failure to give notice.

(b)
In the event that the Indemnified Party shall in good faith determine that it may have available to it one or more defenses or
counterclaims that are inconsistent with one or more of those that may be available to the Indemnifying Party in respect of such
claim or any litigation relating thereto, the Indemnified Party shall have the right at all times to take over and assume control
over the defense, settlement, negotiations or litigation relating to any such claim at the sole cost of the Indemnifying Party.

(c)
In the event that the Indemnifying Party does not accept the defense of any matter as above provided, the Indemnified Party shall
have the full right to defend against any such claim or demand, and shall be entitled to settle or agree to pay in full such claim
or demand.

(d)
Notwithstanding anything to the contrary in this Section 8.2: (i) except with the prior written consent of the Indemnified Party,
no Indemnifying Party, in the defense of any such claim or litigation, shall consent to entry of any judgment or enter into any
settlement that provides for injunctive or other monetary relief affecting the Indemnified Party or that does not include as an
unconditional term thereof of the giving by each claimant or plaintiff to such Indemnified Party of a release from all Liability
with respect to such claim or litigation; (ii) in the event that the Indemnified Party takes over and assumes control of the defense
of any claim, the Indemnified Party shall not settle such claim or litigation without the prior written consent of the Indemnifying
Party, (which consent may not be unreasonably withheld, conditioned or delayed); provided, however, that notwithstanding the foregoing,
the Indemnified Party will not be required to refrain from paying any claim that has matured by an Order, unless an appeal is
duly taken therefrom and exercise thereof has been stayed, nor will it be required to refrain from paying any claim where the
delay in paying such claim would result in the foreclosure of a Lien upon any of the property or assets then held by the Indemnified
Party or where any delay in payment would cause the Indemnified Party material economic loss.

(e)
In any event, Seller and Purchaser shall cooperate in the defense of any claim or litigation subject to this Article 8 and the
records of each shall be available to the other with respect to such defense.

    	 	11	 

    	 

    

8.3Right
of Offset.

The indemnification obligations set forth in this Article VIII may be satisfied in whole, or in part, by offset
against obligations of Purchaser hereunder and against any obligation of Purchaser to issue Purchaser stock to Spear under any
employment agreement between Purchaser and Spear.

ARTICLE
IX

DEFINITIONS

9.1.
Definitions.

(a)
Defined terms. The following capitalized terms, as used in this Agreement, have the respective meanings given to them in the Section
of this Agreement as set forth below adjacent to such terms:

 

	Term

         
	Section
    of the Agreement Where Defined
	“Agreement”	Preamble
	“Assumed
    Liabilities”	Section 1.2(a)
	“Business”	Recitals
	“Closing”	Section 1.3
	“Closing
    Date”	Preamble
	“Competing
    Business”	Section 5.1
	“Earn
    Out Payment”	Section 1.3
	“Excluded
    Assets”	Section 1.1
	“Excluded
    Liabilities”	Section 1.2(b)
	“Falcon”	Preamble
	“Purchased
    Assets”	Section 1.1
	“Purchased
    Contracts”	Section 1.1
	“Seller”	Preamble
	“Shares”	Section 1.3
	“Spear”	Preamble

 

(b)As
used in this Agreement, the following defined terms have the meanings indicated below:

“Actions
or Proceedings” means any action, suit, proceeding, arbitration or Governmental or Regulatory Authority investigation or
audit.

“Affiliate”
means any Person that directly, or indirectly through one of more intermediaries, controls or is controlled by or is under common
control with the Person specified. For purposes of this definition, control of a Person means the power, direct or indirect, to
direct or cause the direction of the management and policies of such Person whether by Contract or otherwise and, in any event
and without limitation of the previous sentence, any Person owning ten percent (10%) or more of the voting securities of another
Person shall be deemed to control that Person.

“Assets
and Properties” of any Person means all assets and properties of every kind, nature, character and description (whether
real, personal or mixed, whether tangible or intangible, whether absolute, accrued, contingent, fixed or otherwise and wherever
situated), including the goodwill related thereto, operated, owned or leased by such Person, including without limitation cash,
cash equivalents, Investment Assets, accounts and notes receivable, chattel paper, documents, instruments, general intangibles,
real estate, equipment, inventory, goods and Intellectual Property.

    	 	12	 

    	 

    

“Associate”
means, with respect to any Person, any corporation or other business organization of which such Person is an officer or partner
or is the beneficial owner, directly or indirectly, of ten percent (10%) or more of any class of equity securities, any trust
or estate in which such Person has a substantial beneficial interest or as to which such Person serves as a trustee or in a similar
capacity and any relative or spouse of such Person, or any relative of such spouse, who has the same home as such Person.

”Business
Day” means a day other than Saturday, Sunday or any day on which banks located in the location of Seller’s principal
executive offices and location of Purchaser’s principal executive offices are authorized or obligated to close.

“Claim
Notice” means written notification pursuant to Section 8.2 of a Third Party Claim as to which indemnity under Section 8.1
is sought by an Indemnified Party, enclosing a copy of all papers served, if any, and specifying the nature of and basis for such
Third Party Claim and for the Indemnified Party’s claim against the Indemnifying Party, together with the amount or, if
not then reasonably ascertainable, the estimated amount, determined in good faith, of such Third Party Claim.

“Company
Owned Intellectual Property” means Intellectual Property owned by the Company.

“Contract”
means any agreement, lease, license, evidence of Indebtedness, mortgage, indenture, security agreement or other contract (whether
written or oral).

“Disclosure
Schedule” means the disclosure schedules delivered to Purchaser by Seller herewith and dated as of the date hereof, containing
all lists, descriptions, exceptions and other information and materials as are required to be included therein by Seller pursuant
to this Agreement.

“Equity
Investment” means the issuance by Purchaser of equity of Purchaser or a security exchangeable or convertible into equity
of Purchaser issued in a financing transaction for the purpose of raising capital. For clarity, Equity Investments exclude strategic
investments, securities issued for in lieu of cash for services, securities issued under any existing agreement (or upon conversion
of any outstanding security or agreement), and securities issued to employees, officers, directors or consultants as incentive
compensation for services.

“Governmental
or Regulatory Authority” means any court, tribunal, arbitrator, authority, agency, commission, official or other instrumentality
of the United States, any foreign country or any domestic or foreign state, county, city or other political subdivision.

“Indebtedness”
of any Person means all obligations of such Person (i) for borrowed money, (ii) evidenced by notes, bonds, debentures or similar
instruments, (iii) for the deferred purchase price of goods or services (other than trade payables or accruals incurred in the
ordinary course of business), (iv) under capital leases and (v) in the nature of guarantees of the obligations described in clauses
(i) through (iv) above of any other Person.

“Indemnified
Party” means any Person claiming indemnification under any provision of Article VIII, including without limitation a Person
asserting a claim pursuant to Section 8.2(c).

“Indemnifying
Party” means any Person against whom a claim for indemnification is being asserted under any provision of Article VIII,
including without limitation a Person against whom a claim is asserted pursuant to Section 8.2(c).

“Indemnity
Notice” means written notification pursuant to Section 8.2(b) of a claim for indemnity under Article VIII by an Indemnified
Party, specifying the nature of and basis for such claim, together with the amount or, if not then reasonably ascertainable, the
estimated amount, determined in good faith, of such claim.

    	 	13	 

    	 

    

“Intellectual
Property” means all patents and patent rights, trademarks and trademark rights, trade names and trade name rights, service
marks and service mark rights, service names and service name rights, brand names, inventions, processes, formulae, algorithms,
copyrights and copyright rights, trade dress, business and product names, logos, slogans, trade secrets, industrial models, processes,
designs, methodologies, computer programs (including all source codes) and related documentation, technical information, manufacturing,
engineering and technical drawings, know-how, archival data, tapes, programs and documentation and all pending applications for
and registrations of patents, trademarks, service marks and copyrights.

“Investment
Assets” means all debentures, notes and other evidences of Indebtedness, stocks, securities (including rights to purchase
and securities convertible into or exchangeable for other securities), interests in joint ventures and general and limited partnerships,
mortgage loans and other investment or portfolio assets owned of record or beneficially by Seller (other than trade receivables
generated in the ordinary course of business of Seller).

“Knowledge
of ” or “Known to” means the knowledge of any officer or director or manager.

“Laws”
means all laws, statutes, rules, regulations, ordinances and other pronouncements having the effect of law of the United States,
any foreign country or any domestic or foreign state, county, city or other political subdivision or of any Governmental or Regulatory
Authority.

“Liabilities”
means all Indebtedness, obligations and other liabilities of a Person (whether absolute, accrued, contingent, fixed or otherwise,
or whether due or to become due).

“Liens”
means any mortgage, pledge, assessment, security interest, lease, lien, adverse claim, levy, charge or other encumbrance of any
kind, or any conditional sale Contract, title retention Contract or other Contract to give any of the foregoing.

“Loss”
means any and all damages, fines, fees, penalties, deficiencies, losses and expenses (including without limitation interest, court
costs, fees of attorneys, accountants and other experts or other expenses of litigation or other proceedings or of any claim,
default or assessment), but not including any punitive damages.

“Net
Profit” means the revenues of related to the Company Owned Intellectual Property minus the direct expenses related to the
such revenues.

“Order”
means any writ, judgment, decree, injunction or similar order of any Governmental or Regulatory Authority (in each such case whether
preliminary or final).

“Permitted
Lien” means (i) any Lien for Taxes not yet due or delinquent or being contested in good faith by appropriate proceedings
for which adequate reserves have been established in accordance with GAAP, (ii) any statutory Lien arising in the ordinary course
of business by operation of Law with respect to a Liability that is not yet due or delinquent, and (iii) any minor imperfection
of title or similar Lien which individually or in the aggregate with other such Liens does not materially impair the value of
the property subject to such Lien or the use of such property in the conduct of the Business.

“Person”
means any natural person, corporation, general partnership, limited partnership, proprietorship, other business organization,
trust, union, association or Governmental or Regulatory Authority.

“Property”
or “Properties” means Intellectual Property, Tangible Personal Property and property subject to Personal Property
Leases.

“Purchaser
Indemnified Parties” means Purchaser and its officers, directors, employees, agents and Affiliates.

“Registrations”
means all Registrations, permits, certificates of authority, authorizations, approvals, registrations, franchises and similar
consents granted or issued by any Governmental or Regulatory Authority.

    	 	14	 

    	 

    

“SEC”
means the Securities and Exchange Commission.

”Seller
Indemnified Parties” means Seller and its officers, directors, employees, managers, agents and Affiliates.

“Tangible
Payments Division” means the operations of Purchaser related to the Company Owned Intellectual Property.

“Tax
Returns” means shall mean any return, declaration, report, estimates, claim for refund, or information return or statement
relating to Taxes, including any schedule or attachment thereto, and including any amendment thereof, covering or relating to
the Assets or the Business.

“Taxes”
means shall mean any federal, provincial, territorial, local, or foreign income, profits, gross receipts, capital gains taxes,
license, payroll, employment, excise, severance, stamp, occupation, premium, windfall profits, environmental, customs duties,
capital stock, franchise, profits, withholding, social security (or similar), unemployment, disability, real property, personal
property, sales, use, transfer, registration, Business Registration, occupation, value added, goods and service, alternative or
add-on minimum, estimated, or other tax or governmental charge of any kind whatsoever, including any interest, penalty, or addition
thereto, whether disputed or not, relating to the Assets or the Business.

“Transaction
Documents” means, collectively, this Agreement, the exhibits and schedules to this Agreement, the Disclosure Schedules,
and the documents executed and delivered by the Parties pursuant to Section 1.4.

“Transfer
Taxes” shall mean all sales taxes, use taxes, conveyance taxes, transfer taxes, filing fees, recording fees, reporting fees
and other similar duties, taxes and fees, if any, imposed upon, or resulting from, the transfer of the Assets hereunder, except
for federal, state or local income or similar taxes based upon or measured by revenue, income, profit or gain from the transfer
of the Assets or the operation of the Business prior to the Closing or by any increase in the value of any of the Assets through
the Closing Date.

ARTICLE
X

MISCELLANEOUS

10.1
Survival. Except as otherwise expressly provided herein, the provisions of any Section or Article by it terms intended
to survive the execution and delivery of this Agreement and the completion of the transactions contemplated herein shall survive
indefinitely.

10.2
Fees and Expenses. All costs and expenses incurred in connection with this Agreement and the consummation of the transactions
contemplated by this Agreement shall be paid by the party incurring such expenses.

10.3
Waivers and Amendment. Any waiver of any term or condition, or any amendment or supplementation of this Agreement shall
be effective only if in writing and signed by all of the parties. A waiver of any breach of any of the terms or conditions of
this Agreement shall not in any way be construed as a waiver of any subsequent breach.

10.4
Notices. All notices and other communications which are required or permitted hereunder shall be in writing and shall be
deemed given if delivered personally, sent by an overnight courier service, such as Federal Express, registered or certified mail,
postage prepaid facisimile or email (in portable document format) to the parties at their principal place of business(or at such
other address for a party as shall be specified by like notice). All notices and other communications given to any party hereto
in accordance with the provisions of Agreement shall be deemed to have been given (i) in the case of notices and other communications
delivered by hand or reputable

    	 	15	 

    	 

    

 national overnight courier service, upon the earlier of actual receipt thereof or tender and rejection
by the intended recipient, (ii) in the case of notices and other communications delivered by certified or registered mail, upon
the earlier of actual delivery and the third Business Day after the date deposited in the U.S. mail with postage prepaid and properly
addressed, and (iii) when delivered in person or by facsimile or electronic mail (with affirmative confirmation of receipt), provided
that if a notice or other communication would be deemed to have been given in accordance with the foregoing at any time other
than during the recipient’s normal business hours on a Business Day for such recipient, such notice or other communication
shall be deemed given on the next succeeding Business Day for such recipient. Any Party may by notice in accordance with the terms
of this Section 10.4 change the address to which notices or other communications to it are to be delivered or mailed.

10.5
Counterparts. This Agreement may be executed in one or more counterparts, all of which shall be considered one and the
same agreement and shall be binding on all the parties hereto, notwithstanding that all of the parties are not signatory to the
original or the same counterpart. Further, executed copies of this Agreement delivered by facsimile or email transmission shall
be deemed an original signed copy of this Agreement.

10.6
Entire Agreement; No Third Party Beneficiaries. This Agreement and the Transaction Documents, contain the entire agreement
between the parties with respect to the transactions contemplated by this Agreement and supersede all prior arrangements or understandings
with respect thereto.

10.7
Severability. Any term or provision of this Agreement that is held by a court of competent jurisdiction or other authority
to be invalid, void or unenforceable in any situation in any jurisdiction shall not affect the validity or enforceability of the
remaining terms and provisions hereof or the validity or enforceability of the offending term or provision in any other situation
or in any other jurisdiction. If the final judgment of a court of competent jurisdiction or other authority declares that any
term or provision hereof is invalid, void or unenforceable, the parties agree that the court making such determination shall have
the power to reduce the scope, duration, area or applicability of the term or provision, to delete specific words or phrases,
or to replace any invalid, void or unenforceable term or provision with a term or provision that is valid and enforceable and
that comes closest to expressing the intention of the invalid or unenforceable term or provision.

10.8 Governing Law; Jurisdiction.
This Agreement shall be governed by and construed in accordance with the laws of the State of Minnesota (or United States federal
law, to the extent applicable) without giving effect to the principles of conflicts of law thereof. Each party agrees and submits
to the exclusive jurisdiction of the state and federal courts sitting in Hennepin, County, State of Minnesota in any action or
proceeding arising out of or relating to this Agreement.

10.9
Election of Remedies. Neither the exercise of nor the failure to exercise a right of set-off or to give notice of a claim
under this Agreement will constitute an election of remedies or limit the parties in any manner in the enforcement of any other
remedies that may be available to any of them, whether at law or in equity.

10.10
Assignment. Except as otherwise provided in this Agreement, neither this Agreement not any of the rights, interests or
obligations hereunder shall be assigned by any of the parties hereto (whether by operation of law or otherwise) without the prior
written content of the other parties, except that Purchaser may assign, in its sole discretion, any or all of its rights and interests
hereunder to any direct or indirect wholly owned Subsidiary of Purchaser. Subject to the preceding sentence, this Agreement shall
be binding upon, inure to the benefit of and be enforceable by the parties and their respective successors and assigns.

10.11
Headings. The headings contained in this Agreement are for purposes of convenience only and shall not affect the meaning
or interpretation of this Agreement.

    	 	16	 

    	 

    

10.12
Ambiguity. Each party has been represented by its own attorney(ies) during the course of the transactions contemplated
by this Agreement. Any ambiguity in this Agreement will not be construed against any party by reason that such party or its legal
representative drafted that provision.

10.13
Construction. Unless the context of this Agreement clearly requires otherwise: (a) references to the plural include the
singular, the singular the plural, and the part the whole, (b) references to one gender include all genders, (c) “or”
has the inclusive meaning frequently identified with the phrase “and/or,” (d) “including” has the inclusive
meaning frequently identified with the phrase “including but not limited to” or “including without limitation,”
(e) references to “hereunder,” “herein” or “hereof” relate to this Agreement as a whole, (f)
the term “ordinary course of business” means the ordinary course of business of Seller in connection with the Business
consistent with past practice, and (g) the terms “dollars” and “$” refer to United States dollars. Article,
Section, subsection, exhibit and paragraph references are to this Agreement as originally executed unless otherwise specified.
Any reference herein to any statute, rule, regulation or agreement, including this Agreement, shall be deemed to include such
statute, rule, regulation or agreement as it may be modified, varied, amended or supplemented from time to time. Any reference
herein to any person shall be deemed to include the heirs, legal representatives, successors, executors, administrators and permitted
assigns of such person. Whenever this Agreement refers to a number of days, such number shall refer to calendar days unless Business
Days are specified.

10.14.
No Third Party Beneficiary. The terms and provisions of this Agreement are intended solely for the benefit of each party
hereto and their respective successors or permitted assigns, and it is not the intention of the parties to confer third-party
beneficiary rights upon any other Person other than any Person entitled to indemnity under Article VIII.

10.15.
Invalid Provisions. Any term or provision of this Agreement that is invalid or unenforceable in any situation in any jurisdiction
shall not affect the validity or enforceability of the remaining terms and provisions hereof or the validity or enforceability
of the offending term or provision in any other situation or in any other jurisdiction. If the final judgment of a court of competent
jurisdiction declares that any term or provision hereof is invalid or unenforceable, the parties hereto agree that the court making
such determination shall have the power to limit the term or provision, to delete specific words or phrases, or to replace any
invalid or unenforceable term or provision with a term or provision that is valid and enforceable and that comes closest to expressing
the intention of the invalid or unenforceable term or provision, and this Agreement shall be enforceable as so modified. In the
event such court does not exercise the power granted to it in the prior sentence, the parties hereto agree to replace such invalid
or unenforceable term or provision with a valid and enforceable term or provision that will achieve, to the extent possible, the
economic, business and other purposes of such invalid or unenforceable term.

10.10
Attorney’s Fees. If any legal action, arbitration or other proceeding is brought for the enforcement of this Agreement,
or because of any alleged dispute, breach, default or misrepresentation in connection with this Agreement, the successful or prevailing
party shall be entitled to recover reasonable attorneys’ fees and other costs it incurred in that action or proceeding,
in addition to any other relief to which it may be entitled.

 

[signatures
on next page]

    	 	17	 

    	 

    

IN
WITNESS WHEREOF, Purchaser and Seller have caused this Asset Purchase Agreement to be executed as of the date first written
above.

 

	 	VERITEC, INC.,
	 	a Nevada corporation
	 	 
	 	 
	 	Name: Van Tran
	 	Title: Chief Executive Officer
	 	 
	 	 
	 	TANGIBLE PAYMENTS, LLC
	 	a Maryland limited liability company
	 	 
	 	By Falcon Financial Industries, LLC, sole member
	 	 
	By:	 
	 	Name: Timothy M. Spear
	 	 
	 	 
	 	FALCON FINANCIAL INDUSTRIES, LLC
	 	a Maryland limited liability company
	 	 
	By:	 
	 	Name: Timothy M. Spear
	 	Title: Sole Member
	 	 
	 	 
	 	Timothy M. Spear,
	 	an individual
	 	 
	 	 
	 	Timothy M. Spear
	 	 

 

 

    	 	18	 

    	 

    

EXHIBITS

 

	Exhibit A	Intellectual Property
	 	 
	 	 
	Exhibit B	Purchased Contracts
	 	 
	 	 
	Exhibit C	Bill of Sale
	 	 
	 	 
	Exhibit D	Assignment and Assumption Agreement
	 	 
	 	 
	Exhibit E	Officer’s Certificate of Seller
	 	 
	 	 
	Exhibit F	Officer’s Certificate of Purchaser 
	 	 
	 	 
	 	 
	 	 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    	 	19

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