Document:

Exhibit 10.34

 

EXECUTION COPY

 

REDACTED COPY

 

Portions of this Exhibit 10.34 have been
omitted pursuant to a confidential treatment request. The omitted material has
been filed separately with the Securities and Exchange Commission.

 

 

 

ASSET TRANSFER AGREEMENT

 

 

 

 

Among

 

 

WILLIS LEASE FINANCE CORPORATION,

 

 

WILLIS ENGINE SECURITIZATION TRUST,

 

 

and

 

 

WEST ENGINE FUNDING LLC

 

 

 

 

Dated as of

 

August 9, 2005

 

 

 

 

Table of Contents

 

	
  ARTICLE I DEFINITIONS

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 1.01.

  	
  Definitions

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE II TRANSFER OF ASSETS

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 2.01.

  	
  Transfer of WEST Funding
  Membership Interest

  	
   

  
	
  Section 2.02.

  	
  Transfer of Remaining
  Engines

  	
   

  
	
  Section 2.03.

  	
  Damage to Remaining
  Engines

  	
   

  
	
  Section 2.04.

  	
  Required Financing
  Statements

  	
   

  
	
  Section 2.05.

  	
  Security Agreement

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE III REPRESENTATIONS
  AND WARRANTIES

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 3.01.

  	
  Representations and
  Warranties of the Seller

  	
   

  
	
  Section 3.02.

  	
  Representations and
  Warranties of WEST

  	
   

  
	
  Section 3.03.

  	
  Representations and
  Warranties of WEST Funding

  	
   

  
	
  Section 3.04.

  	
  Representations and
  Warranties of Seller as to Initial Engines

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE IV ADDITIONAL
  AGREEMENTS

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 4.01.

  	
  Regulatory and Other
  Authorizations; Notices and Consents

  	
   

  
	
  Section 4.02.

  	
  Seller Covenants

  	
   

  
	
  Section 4.03.

  	
  Further Action.

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE V CONDITIONS
  PRECEDENT

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 5.01.

  	
  Conditions to WEST’s
  Obligations

  	
   

  
	
  Section 5.02.

  	
  Conditions to the Seller’s
  Obligations

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE VI INDEMNIFICATION

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 6.01.

  	
  Survival of
  Representations and Warranties

  	
   

  
	
  Section 6.02.

  	
  Indemnification by the
  Seller

  	
   

  
	
  Section 6.03.

  	
  Indemnification by WEST

  	
   

  
	
  Section 6.04.

  	
  Notice, Etc

  	
   

  
	
  Section 6.05.

  	
  Limits on Indemnification

  	
   

  
	
   

  	
   

  	
   

  
	
  ARTICLE VII WAIVER

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 7.01.

  	
  Waiver

  	
   

  

 

i

 

	
  ARTICLE VIII
  MISCELLANEOUS PROVISIONS

  	
   

  
	
   

  	
   

  	
   

  
	
  Section 8.01.

  	
  Expenses

  	
   

  
	
  Section 8.02.

  	
  Notices

  	
   

  
	
  Section 8.03.

  	
  Headings

  	
   

  
	
  Section 8.04.

  	
  Severability

  	
   

  
	
  Section 8.05.

  	
  Entire Agreement

  	
   

  
	
  Section 8.06.

  	
  Assignment

  	
   

  
	
  Section 8.07.

  	
  No Third Party
  Beneficiaries

  	
   

  
	
  Section 8.08.

  	
  Amendment

  	
   

  
	
  Section 8.09.

  	
  Governing Law

  	
   

  
	
  Section 8.10.

  	
  Waiver of Jury Trial

  	
   

  
	
  Section 8.11.

  	
  Counterparts

  	
   

  
	
  Section 8.12.

  	
  Specific Performance

  	
   

  
	
   

  	
   

  	
   

  
	
  EXHIBIT A

  	
  Form of Engine Bill of Sale

  	
   

  
	
  EXHIBIT B

  	
  Form of Assignment of Equity
  Interest

  	
   

  
	
  EXHIBIT 3.01(j)

  	
  Initial Leases

  	
   

  
	
  EXHIBIT 3.01(k)

  	
  List of Initial Engines to Be Purchased
  on Initial Closing Date and List of Remaining Engines

  	
   

  
				

 

ii

 

ASSET TRANSFER AGREEMENT

 

THIS ASSET TRANSFER AGREEMENT, dated as of August 9,
2005 (this “Agreement”), is entered into by and
among WILLIS LEASE FINANCE CORPORATION (the “Seller”),
a Delaware corporation, WILLIS ENGINE SECURITIZATION TRUST (“WEST”), a Delaware statutory trust, and WEST ENGINE FUNDING
LLC, a Delaware limited liability company (the name of which is to be changed
on or prior to the Initial Closing Date from Willis Engine Funding LLC to WEST
Engine Funding LLC, “WEST Funding”).

 

W I T N E S S E T H:

 

WHEREAS, the Seller wishes to transfer and contribute
to WEST on the Initial Closing Date all of its right, title and interest in the
WEST Funding Membership Interest as a sale and contribution to and for the
benefit of WEST, in consideration for the issuance by WEST of the Beneficial
Interest Certificates in WEST pursuant to the Trust Agreement and the payment
and distribution by WEST to the Seller of the cash portion of the WEST Funding
Purchase Price pursuant to this Agreement;

 

WHEREAS, during the Delivery Period, the Seller is
expected to transfer and convey to WEST, as a sale and contribution to and for
the benefit of WEST (which WEST will simultaneously transfer and convey to WEST
Funding, as a sale and contribution to and for the benefit of WEST Funding),
all of its right, title and interest in and to the Remaining Engines and the
related Engine Assets in respect of each Remaining Engine, either directly to
WEST or in an Engine Trust, the beneficial ownership of which is owned by the
Seller, upon the terms and conditions hereinafter set forth, in each case for
payment and distribution of the cash portion of the applicable Engine Purchase
Price;

 

WHEREAS, WEST will collaterally assign the WEST
Funding Membership Interest and its other assets to the Security Trustee, WEST
Funding will collaterally assign its interests in the Engine Trusts and its
other assets to the Security Trustee, and the Engine Trusts will collaterally
assign their assets to the Security Trustee, in each case pursuant to the
Security Trust Agreement, as collateral for the Notes to be issued from time to
time pursuant to the terms of the Indenture and for the other obligations of WEST,
WEST Funding and the Engine Trusts to the Secured Parties; and

 

WHEREAS, the Seller, WEST and WEST Funding agree that
all representations, warranties, covenants and agreements made by the Seller, WEST
and WEST Funding herein shall be for the benefit of the Noteholders, the
Security Trustee and the Indenture Trustee;

 

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

 

1

 

ARTICLE I

DEFINITIONS

 

Section 1.01.                             Definitions.  The terms used herein have the meaning
assigned to them in this Section 1.01. 
Unless otherwise defined herein, all capitalized terms used but not
defined herein have the meanings assigned to such terms in the Indenture.

 

“Action” means any claim, action, suit, arbitration, inquiry,
proceeding or investigation by or before any Governmental Authority.

 

“Assigned Property”
has the meaning specified in Section 2.01.

 

“Assignment of Equity
Interest” means, in respect of any direct or indirect transfer of an
Engine Interest hereunder, an assignment of ownership interest in the
applicable equity interest being transferred, substantially in the form of Exhibit B
to this Agreement.

 

“Bankruptcy Code”
means Title 11 of the United States Code (11 U.S.C. §§101 et  seq.)
as amended from time to time, and any successor statute.

 

“Beneficial Interest
Certificates” has the meaning given to such term in the Trust
Agreement.

 

“Business” means the business of owning Engines and leasing
Engines to third-party lessees together with all other business which prior to
the date hereof has been conducted by WEST Funding and the Engine Trusts.

 

“Cash Portion”
means (i) with respect to the WEST Funding Purchase Price, the
sum of the Allocated Amounts for the Engines indirectly owned by WEST Funding
on the Initial Closing Date, and (ii) with respect to the Engine Purchase
Price, the amount equal to (A) in the case of each Remaining Engine (other
than the Third Remaining Engine), the Allocated Amount for each such Remaining Engine, and (B) in
the case of the Third Remaining Engine, *** of the Initial Appraised Value of
such Remaining Engine.

 

“Delivery Date”
has the meaning, with respect to each Remaining Engine, given to such term in Section 2.02(b).

 

“Delivery Period”
means the period beginning on the Initial Closing Date and ending on the
sixtieth (60th) day thereafter.

 

“Engine Assets”
means, with respect to any Engine, all of the following:  (a) the Maintenance Reserve Payment
Balance for such Engine as of the Initial Closing Date or Delivery Date, as
applicable, (b) any Lease of such Engine together with all related Lease
Documents, (c) all Security Deposits in respect of such Lease on the Initial
Closing Date or Delivery Date, as applicable, (d) any agreement or
warranty relating to such Engine with or from (i) the manufacturer of such
Engine or any part thereto, (ii) each predecessor owner (other than the
manufacturer) of such Engine and each immediately succeeding owner up to and
including the Seller or the Engine Trust owning such Engine, and (iii) each
predecessor lessor of the Lease

***                 Confidential information omitted
pursuant to a request for confidential treatment filed separately with the
Securities and Exchange Commission.

 

2

 

of such Engine and each
immediately succeeding lessor up to and including the Seller or the Engine
Trust owning such Engine, as amended and supplemented through the Initial
Closing Date or Delivery Date, as applicable, (e) all Engine Records and (f) all
income payments and proceeds of the foregoing in connection with any
substitution, release or disposition; provided
that, in the case of an Engine (or the beneficial interest therein) transferred
to WEST or WEST Funding pursuant to this Agreement, the Lease Payments
applicable to the period prior and through the Initial Closing Date, Delivery
Date or such other date as may be agreed to and between the parties hereto, as
applicable, shall be retained by the Seller, and Lease Payments allocable to the
period after the Initial Closing Date, Delivery Date or such other agreed upon
date, as applicable, shall belong to WEST.

 

“Engine Bill of Sale”
means a bill of sale in respect of an Engine, substantially in the form of Exhibit A
hereto, executed and delivered by the Seller and WEST in accordance with the
terms of this Agreement.

 

“Engine Interest”
means, with respect to any Engine that is owned by an Engine Trust, the
beneficial ownership interest in such Engine Trust.  The acquisition or disposition of all of the
Engine Interest with respect to an Engine Trust that holds an Engine
constitutes, respectively, the acquisition or disposition of that Engine.

 

“Engine Purchase Price”
means, with respect to a Remaining Engine conveyed by the Seller to WEST on a
Delivery Date, the sum of (a) the Initial Appraised Value of such
Remaining Engine being transferred, whether directly or by the transfer of an
Engine Trust that owns such Remaining Engine, on the Delivery Date and (b) the
net book value of the related Engine Assets on the Delivery Date.

 

“Engine Records”
means, with respect to any Engine, all logs, technical data, manuals and
maintenance and historical records and inspection reports relating to such
Engine (including Engine records and documents as referred to in the relevant
Lease).

 

“Engine” means a
basic power jet propulsion engine assembly for an aircraft that is (i) stage
III or later compliant, (ii) manufactured by an Approved Manufacturer, and
(iii) (A) with respect to the Initial Closing Date, held in each
Engine Trust beneficially owned by WEST Funding on the Initial Closing Date,
and (B) with respect to each Delivery Date, the Remaining Engine held in
each Engine Trust being transferred to WEST (which WEST will simultaneously
transfer to WEST Funding for the benefit of WEST) on such Delivery Date.

 

“Evidence of Filing”
has the meaning given to such term in Section 2.04(c) hereof.

 

“FAA” has the
meaning given to such term in Section 2.04(a) hereof.

 

“Governmental Authority”
means any of the following:  (a) any
federal, state, county, municipal or foreign government, or political
subdivision thereof, (b) any governmental or quasi-governmental agency,
authority, board, bureau, commission, department, instrumentality or public
body, (c) any court or administrative tribunal or (d) with respect to
any Person, any arbitration tribunal or other non-governmental authority to whose
jurisdiction that Person has consented.

 

3

 

“Governmental Order” means any order, writ, judgment,
injunction, decree, stipulation, determination or award entered by or with any
Governmental Authority.

 

“Indemnified Party” has the meaning given to such term
in Section 6.04 hereof.

 

“Indemnifying Party” has the meaning given to such
term in Section 6.04 hereof.

 

“Indenture”
means the Indenture, dated as of August 9, 2005, between WEST and the
Indenture Trustee, as the same may be amended, supplemented or otherwise
modified.

 

“Initial Engines”
means the Engines identified on Exhibit 3.01(k) hereto.

 

“Initial Leases”
has the meaning given to such term in Section 3.01(j) hereof.

 

“Liabilities” means any and all debts, liabilities and
obligations, whether accrued or fixed, absolute or contingent, matured or
unmatured or determined or determinable, including, without limitation, those
arising under any Applicable Law, Action or Governmental Order and those arising
under any contract, agreement, arrangement, commitment or undertaking.

 

“Loss” has the meaning given to such term in Section 6.02
hereof.

 

“Maintenance Reserve Payment Balance” means, in respect of
any Engine as of the Initial Closing Date or Delivery Date, the amount of the
Maintenance Reserve Payments related to such Engine held by the Seller on such
date.

 

“Material Adverse Effect” means any circumstance, change in,
or effect on the Business of WEST Funding or the Engine Trusts that,
individually or in the aggregate with any other circumstances, changes in, or
effects on, the Business of WEST Funding or the Engine Trusts:  (a) is, or could be, materially adverse
to the business, operations, assets or liabilities, employee relationships,
customer or supplier relationships, prospects, results of operations or the
condition (financial or otherwise) of WEST Funding or the Engine Trusts or (b) could
adversely affect the ability of WEST or of WEST Funding or the Engine Trusts to
operate or conduct the Business in the manner in which it is currently operated
or conducted by the Seller and WEST Funding or the Engine Trusts.

 

“Material Contracts” has the meaning given to such
term in Section 3.01(j) hereof.

 

“Prior Mortgage”
means, with respect to an Initial Engine, the mortgage and security agreement
or any other similar agreement related to such Initial Engine, filed with the
FAA pursuant to which a security interest to such Initial Engine was granted
prior to the Initial Closing Date or Delivery Date, as applicable.

 

“Remaining Engines”
means each Initial Engine that is not owned by WEST Funding on the Initial
Closing Date and identified as such on Exhibit 3.01(k) hereof.

 

“Seller Indemnified Party”
means any of WEST, the Security Trustee, the Indenture Trustee, the
Noteholders, any other party obligations owing to which are secured under or by
the

 

4

 

Security Trust Agreement, and any of their respective successors and
assigns, shareholders, subsidiaries, Affiliates, directors, servants, agents
and employees.

 

“Solvent” means, when used with respect to any Person, that
at the time of determination:

 

(i)                                     the
fair value of its assets (both at fair valuation and at present fair saleable
value on an orderly basis) is in excess of the total amount of its liabilities,
including contingent liabilities;

 

(ii)                                  it
is then able and expects to be able to pay its debts as they mature; and

 

(iii)                               it
has capital sufficient to carry on its business as conducted and as proposed to
be conducted.

 

“Third Party Claims”
has the meaning given to such term in Section 6.04 hereof.

 

“Third Remaining Engine”
means the Remaining Engine identified as such on Exhibit 3.01(k)
hereof.

 

“Transfer Documents” has the meaning given to such term in Section 6.01
hereof.

 

“UCC” has the meaning given to such term in Section 2.04(a) hereof.

 

 “WEST Funding LLC Agreement” means the Amended and Restated
Limited Liability Company Operating Agreement of WEST Funding, dated August 9,
2005.

 

“WEST Funding LLC Certificate”
means the Restated Certificate of Formation of WEST Funding, as filed with the
Secretary of State of Delaware on the Initial Closing Date.

 

“WEST Funding Membership
Interest” means all
of the issued and outstanding membership interests of WEST Funding.

 

“WEST Funding Purchase
Price” means, with respect to the WEST Funding Membership Interest
conveyed by the Seller to WEST on the Initial Closing Date, an amount equal to
the sum of (i) the aggregate Initial Appraised Values of the Engines
indirectly owned by WEST Funding on the Initial Closing Date and (ii) the
net book value of the related Engine Assets held by WEST Funding and the Engine
Trusts on the Initial Closing Date.

 

“WEST Indemnified Parties”
has the meaning given to such term in Section 6.03 hereof.

 

ARTICLE II

TRANSFER OF ASSETS

 

Section 2.01.                             Transfer
of WEST Funding Membership Interest. (a)  Upon the terms and subject
to the conditions of this Agreement and the Trust Agreement, on the Initial
Closing Date, the Seller shall sell, transfer and contribute to WEST, and WEST
shall acquire from the Seller,

 

5

 

all of the Seller’s right, title and interest in, to and under the WEST
Funding Membership Interest (including without limitation all of WEST Funding’s
interests in each WEST Group Member that is a direct or indirect subsidiary of
WEST Funding and each Engine Asset owned by any such direct or indirect
subsidiary), in each case free from any Encumbrance other than Permitted
Encumbrances (all of the foregoing, collectively, the “Assigned
Property”), as a capital contribution by the Seller to WEST valuing
the WEST Funding Membership Interest at a purchase price equal to the WEST Funding
Purchase Price, subject to the payment and distribution by WEST to the Seller
of the Cash Portion of the WEST Funding Purchase Price.  Effective on and as of the Initial Closing
Date, and subject to the terms and conditions contained in this Agreement, WEST
agrees to accept all ownership interests in, and the Seller shall cease to have
any direct (as opposed to indirect, through its equity ownership of WEST)
ownership interest in, the Assigned Property.

 

(b)  Upon the terms and subject to the conditions
of this Agreement, the sale, transfer and contribution of the WEST Funding
Membership Interest contemplated by this Agreement shall take place at a
closing to be held at the offices of Pillsbury Winthrop Shaw Pittman LLP, 1540
Broadway, New York, New York at 10:00 A.M. (New York time) on the Initial
Closing Date.

 

(c)  On the Initial Closing Date, the Seller
shall deliver or cause to be delivered the following items:

 

(i)    to WEST,
an Assignment of Equity Interest in respect of the Seller’s interest in WEST
Funding, together with a membership interest certificate evidencing the WEST
Funding Membership Interest, duly issued and registered in the name of WEST;

 

(ii)   to WEST,
a receipt for the WEST Funding Purchase Price;

 

(iii)  to the Indenture Trustee, the Maintenance
Reserve Payment Balance and the Security Deposits allocable to the Engines
indirectly owned by WEST Funding on the Initial Closing Date, for deposit in
the Engine Reserve Account and Security Deposit Account, respectively (or, if
such Security Deposit is not in cash but is in the form of a letter of credit
or similar instrument, the conditions specified at Section 5.01(j) shall
have been satisfied); and

 

(iv)  to WEST, the opinions, certificates and
other documents required to be delivered pursuant to Section 5.01.

 

(d)  On the Initial Closing Date, WEST shall
deliver or cause to be delivered the following items to the Seller:

 

(i) the Cash Portion of the WEST Funding Purchase
Price;

 

(ii) the Beneficial Interest Certificates to be
issued by WEST on the Initial Closing Date in accordance with Article III
of the Trust Agreement; and

 

6

 

(iii) the opinions, certificates and other
documents required to be delivered pursuant to Section 5.02.

 

Section 2.02.                             Transfer
of Remaining Engines.  (a)  Upon
the terms and subject to the conditions of this Agreement, the Seller shall
sell, transfer and contribute to WEST Funding, and WEST Funding shall acquire
from the Seller, all of the Seller’s right, title and interest in each
Remaining Engine or the Engine Interest in an Engine Trust holding a Remaining
Engine and in each case the related Engine Assets, as a capital contribution by
the Seller to WEST valuing each Remaining Engine for an amount equal to the
Engine Purchase Price for each such Remaining Engine, subject to the payment
and distribution by WEST to the Seller of the Cash Portion of the Engine
Purchase Price for each Remaining Engine.

 

(b)  Upon the terms and subject to the conditions
of this Agreement, the sale, purchase and contribution of each Remaining Engine
or the Engine Interest in an Engine Trust owning such Remaining Engine
contemplated by this Agreement shall take place at a closing to be held at the
offices of Pillsbury Winthrop Shaw Pittman LLP, 1540 Broadway, New York, New
York at 10:00 A.M. (New York time) on the Delivery Date for such Remaining
Engine.  The Seller shall give WEST and WEST
Funding at least one (1) Business Day’s notice of the proposed transfer to
WEST Funding of a Remaining Engine or Engine Interest in the related Engine
Trust and the date (the “Delivery Date”
for such Remaining Engine or Engine Interest in the related Engine Trust) on
which such transfer is to take place, which shall be a Business Day.  The Seller, WEST Funding and WEST may agree
to postpone the Delivery Date for any Remaining Engine after it is established
pursuant to the preceding sentence but not to a date after the end of the
Delivery Period.

 

(c)  On each Delivery Date, the Seller shall
deliver or cause to be delivered the following items to the indicated party:

 

(i)                                     to
WEST Funding, an Engine Bill of Sale or an Assignment of Equity Interest, as
applicable, for each Remaining Engine or Engine Interest in the related Engine
Trust being transferred on such Delivery Date;

 

(ii)                                  to
WEST, a receipt for the Engine Purchase Price for each Remaining Engine or
Engine Interest in the related Engine Trust being transferred on such Delivery
Date;

 

(iii)                               to
the Indenture Trustee, the Maintenance Reserve Payment Balance and the Security
Deposits allocable to each Remaining Engine, for deposit in the Engine Reserve Account and
Security Deposit Account, respectively, for each Remaining Engine or Engine
Interest in the related Engine Trust being transferred on such Delivery Date
(or, if such Security Deposit is not in cash but is in the form of a letter of
credit or similar instrument, the conditions specified at Section 5.01(j)
shall have been satisfied); and

 

(iv)                              to
WEST and WEST Funding, the opinions, certificates and other documents required
to be delivered pursuant to Section 5.01.

 

7

 

(d)  On each Delivery Date, WEST shall deliver or
cause to be delivered the following items to the Seller:

 

(i)                                     the
cash portion of the Engine Purchase Price for each Remaining Engine or Engine
Interest in the related Engine Trust being transferred on such Delivery Date

 

(ii)                                  the
Beneficial Interest Certificates, if any, to be issued by WEST on such Delivery
Date in accordance with Article III of the Trust Agreement; and

 

(iii)                               the
opinions, certificates and other documents required to be delivered pursuant to
Section 5.02.

 

(e)  The Seller shall be responsible for the
payment of any transfer taxes due in respect of the transfers of the WEST
Funding Membership Interest, the Engine Interest in the Engine Trusts and the
Remaining Engines.  The Seller, WEST and WEST
Funding shall cooperate in determining the location of any Remaining Engine
that is being delivered during the Delivery Period, if relevant to the
imposition of any such transfer taxes, and shall use commercially reasonable
efforts to avoid or minimize any transfer taxes.

 

Section 2.03.                                     Damage
to Remaining Engines.

 

(a)                                  If during the Delivery Period any Remaining
Engine suffers damage that does not constitute a Total Loss, the following
provisions shall apply:

 

(i)                                     The
Seller shall promptly notify WEST and WEST Funding of such damage;

 

(ii)                                  The
Seller shall notify WEST and WEST Funding as soon as reasonably practicable of
its opinion as to whether such damage is repairable by the end of the Delivery
Period; and

 

(iii)                               If
repairs of such damage can reasonably be expected to be completed by the end of
the Delivery Period, Seller shall use reasonable efforts to procure the repair
of such damage as soon as reasonably practicable, provided that the Seller shall have no liability to WEST and
WEST Funding if such repairs are not completed by the end of the Delivery
Period.

 

(b)                                 If
the Seller determines that it is unable to effect the transfer of any Remaining
Engine or the Engine Interest in the Engine Trust related to such Remaining
Engine within the Delivery Period for any reason other than damage in respect
of such Remaining Engine, the Seller shall promptly notify WEST and WEST
Funding (with a copy to the Indenture Trustee) and provide an explanation for such
inability to effect such transfer.

 

Section 2.04.                             Required
Financing Statements.

 

(a)                                  In
connection with the transfer of the WEST Funding Membership Interest on the Initial
Closing Date, the Seller agrees to record and file no later than the Initial Closing

 

8

 

Date, at its own expense, the following Uniform Commercial Code (the “UCC”) financing statements and Federal Aviation
Administration (the “FAA”)
recordations:

 

(i)                                     UCC
financing statements evidencing the termination of the security interest of any
Person other than the Security Trustee with respect to any of the Initial
Engines (or Engine Interests) indirectly owned by WEST Funding on the Initial
Closing Date and Engine Assets relating to such Initial Engines; and

 

(ii)                                  Evidence
of recordation of a release of the Prior Mortgages relating to the Initial
Engines indirectly owned by WEST Funding on the Initial Closing Date, filed
with the FAA.

 

(b)                                 In
connection with the transfers of each Remaining Engine or Engine Interest in
the related Engine Trust on each Delivery Date, the Seller agrees to record and
file, at its own expense, the following UCC financing statements (and/or
amendments to previously filed UCC financing statements) and FAA recordations:

 

(i)                                     UCC
financing statements evidencing the termination of the security interest of any
Person other than the Security Trustee with respect to such Remaining Engine or
Engine Interest in the related Engine Trust and the related Engine Assets; and

 

(ii)                                  Evidence
of recordation of a release of the Prior Mortgages relating to such
Remaining Engine, filed with the FAA.

 

(c)                                  All
such UCC financing statements and FAA recordations shall meet the requirements
of Applicable Law.  The Seller shall,
promptly following the Initial Closing Date or the Delivery Date, as
applicable, deliver to WEST (with copies to the Indenture Trustee), (i) with
respect to such UCC financing statements, a file-stamped copy of such UCC
financing statements or, in the event that a file-stamped copy of such UCC
financing statements cannot be obtained in any given jurisdiction, a
certificate signed by the relevant filing agent indicating that he/she filed
such UCC financing statements with the relevant governmental authority in such
jurisdiction, and (ii) with respect to such recordations, evidence of
submission of the applicable recorded documents.  Such file-stamped copies of such UCC
financing statements (or certificates signed by the relevant filing agent, if
applicable) and evidences of submission of the applicable recorded documents
delivered pursuant to the immediately preceding sentence on or promptly
following the Initial Closing Date or Delivery Date, as applicable, shall
constitute the “Evidence of Filing” for such Initial Closing Date or Delivery
Date.  Nothing contained in this Section 2.04
shall limit the Seller’s obligation to file continuation or termination
statements in accordance with Section 2.05 of this Agreement and any
Applicable Law.

 

Section 2.05.                             Security
Agreement.

 

(a)                                  The
Seller, WEST and WEST Funding intend that the transfer by the Seller of the WEST
Funding Membership Interest pursuant to Section 2.01 hereof and each
transfer by the Seller of a Remaining Engine or Engine Interest in the related
Engine Trust pursuant to Section 2.02 hereof shall each constitute a valid
sale, transfer and conveyance by the

 

9

 

Seller of the assets so transferred and that such assets shall not be
part of the Seller’s estate in the event of the insolvency or bankruptcy of the
Seller.

 

(b)                                 The
Seller and WEST intend that their operations and business would not be
substantively consolidated in the event of the bankruptcy or insolvency of the
Seller and that the separate existence of the Seller and WEST would not be
disregarded in the event of the insolvency or the bankruptcy of the
Seller.  In the event that (i) any
of the WEST Funding Membership Interest, or any Remaining Engine or Engine
Interest in the related Engine Trust is held to be property of the Seller’s
bankruptcy estate or (ii) this Agreement is held or deemed to create a
security interest in any such asset, then (x) this Agreement shall
constitute a security agreement within the meaning of Article 8 and Article 9
of the UCC as in effect in the State of New York and (y) the conveyances
provided for in Section 2.01 and Section 2.02 hereof shall constitute
a grant by the Seller to WEST of a valid perfected security interest in all of
the Seller’s right, title and interest in and to any such asset, which security
interest has been assigned to the Security Trustee pursuant to the Security
Trust Agreement and which security interest will be deemed to have been granted
directly to the Security Trustee from the Seller in the event of the consolidation
of the Seller and WEST in any insolvency proceeding.  In furtherance of the foregoing, (A) WEST
shall have all of the rights of a secured party with respect to the WEST
Funding Membership Interest and the Remaining Engines or Engine Interest in the
related Engine Trusts pursuant to Applicable Law and (B) the Seller shall
execute all documents, including but not limited to UCC financing statements,
as WEST may reasonably require to effectively perfect and evidence WEST’s
security interest in the Remaining Engines and each Engine Trust’s ownership
interest in the Engines and the related Engine Assets owned or purported to be
owned by such Engine Trust.

 

ARTICLE III

REPRESENTATIONS AND WARRANTIES

 

Section 3.01.                             Representations
and Warranties of the Seller.  As an
inducement to WEST and WEST Funding to enter into this Agreement, the Seller
hereby makes the following representations and warranties as of the Initial
Closing Date and as of each Delivery Date, except as otherwise specified below:

 

(a)                                  Organization,
Authority and Qualification of the Seller. 
The Seller is a corporation duly organized, validly existing and in good
standing under the laws of the State of Delaware and has all necessary power
and authority to own its properties as such properties are currently owned and
to conduct its business as such business is currently conducted, and to enter
into this Agreement, to carry out its obligations hereunder and to consummate
the transactions contemplated hereby. 
The Seller is duly licensed or qualified to do business and is in good
standing in each jurisdiction in which the properties owned or leased by it or
the operation of its business makes such licensing or qualification necessary,
except to the extent that the failure to be so licensed or qualified would not
adversely affect the ability of (i) the Seller to carry out its
obligations under, and to consummate the transactions contemplated by, this
Agreement or (ii) WEST, WEST Funding or any Engine Trust to enforce its
rights with respect to any Engine Interest, Engine or Engine Asset owned or
purportedly owned by it.  The execution
and delivery of this Agreement by the Seller, the performance by the Seller of
its obligations hereunder and

 

10

 

the consummation by the Seller of the transactions contemplated hereby
have been duly authorized by all requisite action on the part of the
Seller.  This Agreement has been duly
executed and delivered by the Seller, and (assuming due authorization,
execution and delivery by WEST and WEST Funding) this Agreement constitutes a
legal, valid and binding obligation of the Seller enforceable against the
Seller in accordance with its terms.

 

(b)                                 Organization,
Authority and Qualification of WEST Funding.  WEST Funding is a limited liability company,
duly organized, validly existing and in good standing under the laws of the
State of Delaware and has all necessary power and authority to own, operate or
lease the properties and assets now owned, operated or leased by it and to
carry on the Business as it has been and is currently conducted, and to enter
into this Agreement, to carry out its obligations hereunder and to consummate
the transactions contemplated hereby.  WEST
Funding is duly licensed or qualified to do business and is in good standing in
each jurisdiction in which the properties owned or leased by it or the
operation of its business makes such licensing or qualification necessary or
desirable.  All limited liability company
actions taken by WEST Funding have been duly authorized, and WEST Funding has
not taken any action that in any respect conflicts with, constitutes a default
under or results in a violation of any provision of its organizational
documents.  True and correct copies of
the WEST Funding LLC Agreement and the WEST Funding LLC Certificate, each as in
effect on the date hereof, have been delivered by the Seller to WEST.

 

(c)                                  Organization,
Authority and Qualification of the Engine Trusts.  Each of the Engine Trusts is either a
statutory trust, duly organized, validly existing and in good standing under
the laws of the State of Delaware or a grantor trust validly organized under
Utah law by the applicable Engine Trust Agreement, validly existing and in good
standing, and each Engine Trust has all necessary power and authority to own,
operate or lease the properties and assets now owned, operated or leased by it
and to carry on the Business as it has been and is currently conducted.  Each of the Engine Trusts is duly licensed or
qualified to do business and is in good standing in each jurisdiction in which
the properties owned or leased by it or the operation of its business makes
such licensing or qualification necessary or desirable.  All statutory trust or grantor trust actions
taken by each of the Engine Trusts have been duly authorized, and each of the
Engine Trusts has not taken any action that in any respect conflicts with,
constitutes a default under or results in a violation of any provision of its
organizational documents or Engine Trust Agreement, as applicable.  True and correct copies of the organizational
documents of each of the Engine Trusts, each as in effect on the date hereof,
have been delivered by the Seller to WEST.

 

(d)                                 Ownership
of WEST Funding.  The WEST Funding
Membership Interest has been duly authorized, and has been validly issued, and
there are no other securities or any agreement outstanding that provides for
the issuance of additional limited liability company or other equity interests
of WEST Funding, or entitles any Person to exercise preemptive rights or to
manage WEST Funding other than in accordance with the WEST Funding LLC
Agreement.  Immediately prior to the
transfer of the WEST Funding Membership Interest to WEST pursuant to the terms
of this Agreement, the Seller had full legal and beneficial title to the WEST
Funding Membership Interest, free and clear of all Encumbrances except
Permitted Encumbrances, and as of the Initial Closing Date, the Seller has
transferred to WEST full legal and beneficial title to the

 

11

 

WEST Funding Membership Interest, free and clear of all Encumbrances,
except Permitted Encumbrances.

 

(e)                                  Ownership
of Engine Trusts.  The Engine
Interest in each Engine Trust has been duly authorized, validly issued and
fully paid for and non-assessable, and there is no other agreement outstanding
that provides for the issuance of additional beneficial interests in an Engine
Trust, or that entitles any Person to exercise preemptive rights or to manage
or direct any Engine Trust other than in accordance with the Engine Trust
Agreements.  As of the Initial Closing
Date, WEST Funding has, and will continue to have full legal and beneficial
title to the Engine Interests, free and clear of all Encumbrances except Permitted
Encumbrances.  Immediately prior to the
transfer of any Engine Trust to WEST Funding pursuant to the terms of this
Agreement, the Seller had full legal and beneficial title to the Engine
Interest in such Engine Trust, free and clear of all Encumbrances except
Permitted Encumbrances, and as of the applicable Delivery Date, the Seller has
transferred to WEST full legal and beneficial title to such Engine Interest,
free and clear of all Encumbrances, except Permitted Encumbrances.

 

(f)                                    Ownership
of Engines.  Each Engine Trust owned
by WEST Funding on the Initial Closing Date currently has, and will continue to
have, full legal and beneficial title to the Engine it purports to own, free
and clear of all Encumbrances except Permitted Encumbrances.  Immediately prior to the transfer of any
Engine and related Engine Assets to WEST Funding pursuant to the terms of this
Agreement, the Seller had full legal and beneficial title to such Engine and
related Engine Assets, free and clear of all Encumbrances except Permitted
Encumbrances, and as of the applicable Delivery Date, the Seller has
transferred to WEST full legal and beneficial title to such Engine and related
Engine Assets, free and clear of all Encumbrances, except Permitted
Encumbrances.

 

(g)                                 Governmental
Consent.  Except for the filing with
the SEC of a report on Form 8-K by the Seller, the execution, delivery and
performance of this Agreement by the Seller and the consummation of the
transactions contemplated hereby do not and will not require any consent,
approval, authorization or other order of, action by, filing with or
notification to any Governmental Authority.

 

(h)                                 No
Conflict.  The execution, delivery
and performance of this Agreement by the Seller do not and will not (i) violate,
conflict with or result in the breach of any provision of the organizational
documents of the Seller, WEST Funding or any Engine Trust, (ii) conflict
with or violate (or cause an event which could have a Material Adverse Effect
as a result of) any Applicable Law or Governmental Order applicable to the
Seller, WEST Funding, the Engine Trusts or any of their respective assets,
properties or businesses, including, without limitation, the Business, or (iii) conflict
with, result in any breach of, constitute a default (or event which with the
giving of notice or lapse of time, or both, would become a default) under,
require any consent under, or give to others any rights of termination,
amendment, acceleration, suspension, revocation or cancellation of, or result
in the creation of any Encumbrance on the WEST Funding Membership Interest, WEST
Funding, the Engine Trusts or the Initial Engines or on any other asset or
property of the Seller, WEST Funding or the Engine Trusts pursuant to, any
note, bond, mortgage or indenture, contract, agreement, lease, sublease,
license, permit, franchise or other instrument or arrangement to which the
Seller, WEST Funding or any of the Engine Trusts

 

12

 

is a party or by which the WEST Funding Membership Interest, WEST
Funding, the Engine Trusts or the Initial Engines or any of such other assets
or properties is bound or affected.

 

(i)                                     Compliance
with Laws.  The Seller, WEST Funding
and each Engine Trust has each conducted and continues to conduct the Business
in accordance with all Applicable Laws and Governmental Orders applicable to it
or any of its assets and neither WEST Funding nor any Engine Trust is in
violation of any such Applicable Law or Governmental Order, which violation has
had or could reasonably be expected to have a Material Adverse Effect.  There are no pending or threatened action,
suit or proceeding against the Seller in any way adversely affecting the
transactions.

 

(j)                                     Material
Contracts  (i)  Exhibit 3.01(j)
hereto lists (A) each lease agreement with respect to each Initial Engine,
together with all documents pursuant to which such leases have been amended,
modified, extended, supplemented, assigned or novated from time to time (each
an “Initial Lease”), including the names and
addresses of all the Lessees under the Initial Leases, and (B) all other
material contracts and agreements to which WEST Funding or any Engine Trust is
a party (such Initial Leases, together with all such other material contracts and agreements listed on Exhibit 3.01(j)
to which WEST Funding or any Engine Trust is a party, being the “Material Contracts”):

 

(ii)                                  Each
Material Contract:  (A) is valid,
binding on and enforceable against the respective parties thereto and is in
full force and effect and (B) upon consummation of the transactions
contemplated by this Agreement, shall continue in full force and effect without
penalty or other adverse consequence.  Neither
WEST Funding nor any Engine Trust is in breach of, or default under, any
Material Contract.

 

(iii)                               There
is no contract, agreement or other arrangement granting any Person any
preferential right to purchase, other than in the ordinary course of business
consistent with past practice, any of the properties or assets of WEST Funding
or the Engine Trusts.  All Seller (and
consolidated subsidiaries) pension or profit sharing plans have been fully
funded in accordance with Seller’s applicable obligations.

 

(iv)                              With
respect to the Initial Leases:

 

(A)                              (1) 
Exhibit 3.01(j) hereto contains details of any current events of
default under each Initial Lease involving failure by Lessees to make rental
payments and payments with respect to maintenance reserves and other
miscellaneous amounts when due under the Initial Leases as of July 31,
2005;

 

(2)  no other events of default under any
Initial Lease have occurred and are continuing in respect of which notice to
terminate such Initial Lease has been served on such Lessee or, to the Seller’s
knowledge, could have been served on such Lessee;

 

(3)  to the Seller’s knowledge,
no event of loss or casualty occurrence under any Initial Lease has occurred
with respect to an Engine, other than as disclosed in Exhibit 3.01(j);
and

 

13

 

(4)  neither the Seller, WEST
Funding nor the applicable Engine Trust has received any written notice of the
exercise of any purchase option or early termination option by any Lessee under
any Initial Lease;

 

(B)  to the Seller’s knowledge, there are no
outstanding claims which have been validly asserted by any Lessee arising out
of any Initial Lease (other than claims constituting Permitted Encumbrances) which in the aggregate would have
a Material Adverse Effect;

 

(C)  to the Seller’s knowledge, no event has
occurred or act or thing has been done or omitted to be done by the Seller, WEST
Funding or the Engine Trusts pursuant to which or as a result of which any
Initial Lease can be terminated or the obligations of any such party thereunder
would be rendered invalid, illegal or unenforceable;

 

(D)  to the Seller’s knowledge, no compulsory Airworthiness
Directives are outstanding against any Initial Engine, and no claims for
contributions to the cost of compliance with Airworthiness Directives pursuant
to the terms of each Initial Lease by any of the Seller, WEST Funding or the
Engine Trusts are outstanding against any Initial Engine;

 

(E)  each Initial Lease requires the Lessee
thereunder to maintain customary casualty and liability insurance with respect
to each Engine subject to such Lease and, in the case of any Engine that is not
subject to a Lease, the Seller maintains such insurance with respect to such
Engine; and

 

(F)  each Initial Lease may be assigned and
pledged by the Lessor thereof.

 

(k)                               Engines  (i)  Exhibit 3.01(k) lists
each Initial Engine owned by each of the Engine Trusts on the Initial Closing
Date.  Exhibit 3.01(k) lists
the Remaining Engines expected to be transferred within the Delivery Period.

 

(ii)                                  The
Seller has, or has caused to be, delivered to WEST true and complete copies of
all Material Contracts and any and all material ancillary documents pertaining
thereto (including, but not limited to, all amendments, consents and evidence
of commencement dates and expiration dates).

 

(l)                                     Taxes  (i)  As of the Initial Closing Date, each
of the Seller, WEST Funding and each Engine Trust has filed on a timely basis
all income and other material tax returns (including, without limitation,
foreign, federal, state, local and otherwise) required to be filed, is not
liable for taxes payable by any other Person and has paid or made adequate
provisions for the payment of all taxes, assessments and other governmental
charges due from any of the Seller, WEST Funding or any Engine Trust.  All such tax returns are true and correct in
all material respects.  To the Seller’s
knowledge, no tax lien or similar Encumbrance has been filed, and no claim is
being asserted, with respect to any such tax, assessment or other governmental
charge.  Neither the Seller, WEST Funding
nor any Engine Trust is aware of any

 

14

 

proposed or pending tax assessments, deficiencies or audits that could
be reasonably expected to, individually or in the aggregate, result in a Material
Adverse Effect.

 

(m)                               Insolvency.  The Seller is Solvent and will not become no
longer Solvent after giving effect to the transactions contemplated hereby.

 

(n)                                 Full
Disclosure.  (i)  The Seller is
not aware of any facts pertaining to WEST Funding, the Engine Trusts or the
Business which affect adversely WEST Funding, the Engine Trust or the Business
or which are likely in the future to affect adversely WEST Funding, the Engine
Trusts or the Business and which have not been disclosed in this Agreement or
otherwise disclosed to WEST by the Seller in writing (with a copy to the
Indenture Trustee).

 

(ii)                                  No
representation or warranty of the Seller in this Agreement, nor any statement,
disclosure exhibit or schedule, or certificate furnished or to be furnished to WEST
pursuant to this Agreement, or in connection with the transactions contemplated
by this Agreement, contains or will contain any untrue statement of a material
fact, or omits or will omit to state a material fact necessary to make the
statements contained herein or therein, in the light of the circumstances under
which they were made, not misleading.

 

Section 3.02.                             Representations
and Warranties of WEST.  As an
inducement to the Seller and WEST Funding to enter into this Agreement, WEST
hereby makes the following representations and warranties as of the Initial
Closing Date with respect to the WEST Funding Membership Interest transferred
to WEST on the Initial Closing Date and as of each Delivery Date with respect
to the Remaining Engines or Engine Trusts transferred to WEST Funding on such
Delivery Date.

 

(a)                                  Organization
and Authority of WEST.  WEST is a
statutory trust duly organized, validly existing and in good standing under the
laws of the State of Delaware and has all necessary power and authority to
enter into this Agreement, to carry out its obligations hereunder and to
consummate the transactions contemplated hereby.  The execution and delivery of this Agreement
by WEST, the performance by WEST of its obligations hereunder and the
consummation by WEST of the transactions contemplated hereby have been duly
authorized by all requisite action on the part of WEST.  This Agreement has been duly executed and
delivered by WEST, and (assuming due authorization, execution and delivery by
the Seller and WEST Funding) this Agreement constitutes, a legal, valid and
binding obligation of WEST enforceable against WEST in accordance with its
terms.

 

(b)                                 Governmental
Consents and Approvals.  The
execution, delivery and performance of this Agreement by WEST do not and will
not require any consent, approval, authorization or other order of, action by,
filing with or notification to any Governmental Authority.

 

(c)                                  No
Conflict.  Except as may result from
any facts or circumstances relating solely to the Seller, the execution,
delivery and performance of this Agreement by WEST do not and will not (i) violate,
conflict with or result in the breach of any provision of the Trust Agreement
of WEST, (ii) conflict with or violate any Applicable Law or Governmental

 

15

 

Order applicable to WEST or (iii) conflict with, or result in any
breach of, constitute a default (or event which with the giving of notice or
lapse or time, or both, would become a default) under, require any consent
under, or give to others any rights of termination, amendment, acceleration,
suspension, revocation, or cancellation of, or result in the creation of any
Encumbrance on any of the assets or properties of WEST pursuant to, any note,
bond, mortgage or indenture, contract, agreement, lease, sublease, license,
permit, franchise or other instrument or arrangement to which WEST is a party
or by which any of such assets or properties are bound or affected which would
have a material adverse effect on the ability of WEST to consummate the
transactions contemplated by this Agreement.

 

(d)                                 Investment
Purpose.  WEST is acquiring the WEST
Funding Membership Interest on the Initial Closing Date, and WEST Funding is
acquiring the Remaining Engines or the Engine Interest in the Engine Trusts
related to such Remaining Engines on the applicable Delivery Date, if any,
solely for the purpose of investment and not with a view to, or for offer or
sale in connection with, any distribution thereof.

 

Section 3.03.                             Representations
and Warranties of WEST Funding.  As
an inducement to the Seller and WEST to enter into this Agreement, WEST Funding hereby makes the following
representations and warranties as of each Delivery Date with respect to the
Remaining Engines or Engine Trusts transferred to WEST Funding on such Delivery
Date.

 

(a)                                  Organization
and Authority of WEST Funding.  WEST
Funding is a limited liability company duly organized, validly existing and in
good standing under the laws of the State of Delaware and has all necessary
power and authority to enter into this Agreement, to carry out its obligations
hereunder and to consummate the transactions contemplated hereby.  The execution and delivery of this Agreement
by WEST Funding, the performance by WEST Funding of its obligations hereunder
and the consummation by WEST Funding of the transactions contemplated hereby
have been duly authorized by all requisite action on the part of WEST Funding.  This Agreement has been duly executed and
delivered by WEST Funding, and (assuming due authorization, execution and
delivery by the Seller and WEST) this Agreement constitutes, a legal, valid and
binding obligation of WEST Funding enforceable against WEST Funding in
accordance with its terms.

 

Section 3.04.                             Representations
and Warranties of Seller as to Initial Engines.  In respect of any transfer of a Remaining
Engine or Engine Interest in the related
Engine Trust on a Delivery Date, and for the avoidance of doubt in
respect of the Initial Engines transferred on the Initial Closing Date or that
are owned by Engine Trusts transferred on a Delivery Date, each Initial Engine
is a used aircraft engine and is being sold “AS IS, WHERE IS”, AND SELLER
DISCLAIMS AND WEST WAIVES ALL EXPRESS OR IMPLIED WARRANTIES OR REPRESENTATIONS
OF ANY KIND OR NATURE WITH RESPECT TO THE ENGINE (INCLUDING, WITHOUT
LIMITATION, ANY OBLIGATION OR LIABILITY IN NEGLIGENCE, WHETHER ACTIVE OR
PASSIVE, OR WITH RESPECT TO FITNESS, MERCHANTABILITY, LOSS OF USE OR
CONSEQUENTIAL DAMAGES), except with respect to and without prejudice to any
rights and remedies relating to any express representations or warranties of
the Seller set forth elsewhere herein, and except that the Seller represents
and warrants in respect of each Initial Engine:

 

16

 

(a)                                  as of the
Initial Closing Date or the applicable Delivery Date, there are no unpaid
invoices, penalties, taxes or charges that have resulted, or could by operation
of law or otherwise result, in the imposition of a mechanic’s lien, materialmen’s
lien, artisan’s lien or other such lien encumbering such Initial Engine; and

 

(b)                                 on or
prior to the Initial Closing Date or the applicable Delivery Date on which each
Initial Engine is transferred, such Initial Engine has not been removed from an
aircraft involved in an accident or incident, such Initial Engine has not been
involved in an accident or incident, major failure, or fire nor has such
Initial Engine been subjected to extreme stress or heat or obtained from governmental
or any military sources.

 

Notwithstanding
the foregoing, nothing in this Section 3.04 is intended to constitute, nor
shall anything in this Section 3.04 be construed as, a waiver by WEST of
any claim or right that it may have against the Seller for breach of any
representation, warranty or covenant expressly contained in this Agreement.

 

Section 3.05.                             Interpretation.  As used herein, “to the Seller’s knowledge”
means the awareness of facts or other information by any officer of the Seller
responsible for the matters that are the subject of such facts or information, including,
without limitation, in its capacity as Servicer or Administrative Agent.

 

Section 3.06.                             Reliance
by WEST.  The Seller and WEST Funding
each acknowledge that WEST is entering into this Agreement and the other Related
Documents to which it is a party in reliance upon the accuracy of each of the
representations and warranties, which representations and warranties have been
given by the Seller and/or WEST Funding so as to induce WEST to enter into this
Agreement and the other Related Documents to which it is a party.

 

Section 3.07.                             [Reserved]

 

Section 3.08.                             Beneficiaries.  The benefit of the representations and
warranties shall run to the Indenture Trustee and the Security Trustee, in each
case for the benefit of the Noteholders and other parties whose obligations are
secured under or by the Security Trust Agreement.

 

Section 3.09.                             Survival
of Representations.  The
representations and warranties in respect of any Engine, Engine Asset and/or
the Engine Interests shall continue and survive in full force and effect after
the date hereof until the Notes and all other obligations secured under the
Security Trust Agreement have been indefeasibly paid in full.

 

Section 3.10.                             Independent
Representations.  Each of the
representations and warranties shall be construed as a separate and independent
representation and warranty and shall not be limited or restricted by reference
to the terms of any other provision of this Agreement, any other Related
Document or any other representation or warranty.

 

17

 

ARTICLE IV

ADDITIONAL AGREEMENTS

 

Section 4.01.                             Regulatory
and Other Authorizations; Notices and Consents  The Seller shall use its reasonable efforts
to obtain (or cause WEST Funding and the Engine Trusts to obtain) all
authorizations, consents, orders and approvals of all Governmental Authorities
and officials that may become necessary in the future for the performance of
its obligations pursuant to this Agreement and will cooperate fully with WEST
in promptly seeking to obtain all such authorizations, consents, orders and
approvals.

 

Section 4.02.                             Seller
Covenants.  The Seller covenants and
agrees that it will not, prior to the date that is one year and one day after
the payment in full of all amounts owing pursuant to the Indenture, institute
against any WEST Group Member, or join any other Person in instituting against
any WEST Group Member, any bankruptcy, reorganization, arrangement, insolvency
or liquidation proceedings or similar proceedings under the laws of any
applicable jurisdiction.  This subsection 4.02 shall
survive the termination of this Agreement.

 

Section 4.03.                             Further
Action.  Each of the parties hereto shall use all
reasonable efforts to take, or cause to be taken, all appropriate action, do or
cause to be done all things necessary, proper or advisable under Applicable
Law, and execute and deliver such documents and other papers, as may be
required to carry out the provisions of this Agreement and consummate and make
effective the transactions contemplated by this Agreement.

 

ARTICLE V

CONDITIONS PRECEDENT

 

Section 5.01.                             Conditions
to WEST’s Obligations.  The
obligations of WEST to acquire the WEST Funding Membership Interest on the Initial
Closing Date and to acquire the Remaining Engines or Engine Interest in the
related Engine Trusts on any Delivery Date shall be subject to the satisfaction
of the following conditions:

 

(a)                                  All
representations and warranties of the Seller contained in this Agreement shall
be true and correct in all material respects as of the Initial Closing Date and
as of each such Delivery Date, as applicable, with the same effect as though
such representations and warranties had been made on such date, except to the
extent made as of another date, and the covenants and agreements contained in
this Agreement to be complied with by the Seller on or before the Initial
Closing Date or such Delivery Date, as applicable, shall have been complied
with in all material respects, and WEST shall have received a certificate from
the Seller to such effect signed by a duly authorized officer of the Seller;

 

(b)                                 No
proceeding shall have been commenced by or before any Governmental Authority
against the Seller, WEST or WEST Funding, seeking to restrain or materially and
adversely alter the transactions contemplated by this Agreement which, in the
reasonable, good faith determination of WEST, is likely to render it impossible
or unlawful to

 

18

 

consummate such transactions; provided, however,
that the provisions of this Section 5.01(b) shall not apply if WEST
has directly or indirectly solicited or encouraged any such proceeding;

 

(c)                                  WEST
shall have received a true and complete copy, certified by the Secretary of the
Seller, of the organizational documents of the Seller and resolutions duly and
validly adopted by the Board of Directors of the Seller evidencing its
authorization of the execution and delivery of this Agreement and the
consummation of the transactions contemplated hereby;

 

(d)                                 WEST
shall have received a certificate of the Secretary of the Seller certifying the
names, signatures and offices of the persons authorized to sign this Agreement
and the other documents to be delivered hereunder;

 

(e)                                  WEST
shall have received from Pillsbury Winthrop Shaw Pittman LLP a legal opinion,
addressed to WEST and dated on the Initial Closing Date or Delivery Date, as
applicable;

 

(f)                                    WEST
shall have received the proceeds of the Notes to be issued under the Indenture;

 

(g)                                 No
event or events shall have occurred, or be reasonably likely to occur, which,
individually or in the aggregate, have, or could have, a Material Adverse
Effect;

 

(h)                                 Chattel
paper original of each Lease delivered to the Custodial Agent pursuant to the
Custodial Agreement;

 

(i)                                     Each
of the items listed in Section 2.01(c) or Section 2.02 (c), as
applicable, in form and substance satisfactory to WEST in its sole and absolute
discretion; and

 

(j)                                     WEST
(or the Security Trustee as its pledgee) shall have received payment in full of
the Security Deposit actually paid by any Initial Lessee and not previously
applied to satisfy in whole or in part such Lessee’s obligations under an
Initial Lease and the Maintenance Reserve Payment Balance with respect to each
Engine under lease, or in the case of a Security Deposit, if the Security
Deposit held under the Lease is in the form of a letter of credit, guarantee or
other instrument, the Seller, WEST Funding or the applicable Lessor shall have
caused such letter of credit, guarantee or other instrument to be delivered to
the Servicer, on behalf of the applicable Engine Trust or other Lessor, and if
the beneficiary of such letter of credit, guarantee or other instrument is not
the applicable Engine Trust or then-applicable Lessor, then the Seller or WEST
Funding shall have caused, or shall cause as soon as practicable after the
Initial Closing Date, such letter of credit, guarantee or other instrument to
be amended or reissued in favor of WEST, WEST Funding or the then-applicable
Lessor and shall have taken, or shall take as soon as practicable after the
Initial Closing Date, such other actions as may be necessary to effectuate the
assignment of all rights, title and interest of the pre-existing Lessor in and
to such letter of credit, guarantee or instrument to WEST, WEST Funding or the
then-applicable Lessor.

 

Section 5.02.                             Conditions
to the Seller’s Obligations.  The
obligations of the Seller to assign and transfer the WEST Funding Membership
Interest on the Initial Closing

 

19

 

Date and to assign and transfer the Remaining Engines or Engine
Interest in the related Engine Trusts on any Delivery Date shall be subject to
the satisfaction of the following conditions:

 

(a)                                  All
representations and warranties of WEST and WEST Funding contained in this
Agreement shall be true and correct in all material respects as of the Initial
Closing Date and as of each such Delivery Date, as applicable, with the same
effect as though such representations and warranties had been made on such
date, except to the extent made as of another date, and the covenants and
agreements contained in this Agreement to be complied with by WEST and WEST
Funding on or before the Initial Closing Date or such Delivery Date, as
applicable, shall have been complied with in all material respects, and the
Seller shall have received a certificate from WEST to such effect signed by a
Controlling Trustee of WEST;

 

(b)                                 No
proceeding shall have been commenced by or before any Governmental Authority
against the Seller, WEST or WEST Funding, seeking to restrain or materially and
adversely alter the transactions contemplated by this Agreement which, in the
reasonable, good faith determination of the Seller, is likely to render it
impossible or unlawful to consummate such transactions; provided,
however, that the provisions of this Section 5.02(b) shall
not apply if the Seller has directly or indirectly solicited or encouraged any
such proceeding;

 

(c)                                  The
Seller shall have received a true and complete copy, certified by a Controlling
Trustee of WEST, of the resolutions duly and validly adopted by the Controlling
Trustees of WEST evidencing its authorization of the execution and delivery of
this Agreement and the consummation of the transactions contemplated hereby;

 

(d)                                 The
Seller shall have received a certificate of a Controlling Trustee of WEST
certifying the names and signatures of the Controlling Trustees of WEST
authorized to sign this Agreement and the other documents to be delivered
hereunder;

 

(e)                                  The
Seller shall have received from Pillsbury Winthrop Shaw Pittman LLP a legal
opinion, addressed to the Seller and dated on the Initial Closing Date or
Delivery Date, as applicable;

 

(f)                                    WEST
shall have received the proceeds of the Notes to be issued under the Indenture;

 

(g)                                 No
event or events shall have occurred, or be reasonably likely to occur, which,
individually or in the aggregate, have, or could have, a Material Adverse
Effect; and

 

(h)                                 Each
of the items listed in Section 2.01(d) or Section 2.02(d), as
applicable, each in form and substance satisfactory to the Seller in its sole
and absolute discretion.

 

ARTICLE VI

INDEMNIFICATION

 

Section 6.01.                             Survival
of Representations and Warranties. 
The representations and warranties of the Seller contained in this Agreement,
and all statements contained in this 

 

20

 

Agreement, the Exhibits to this Agreement, and any certificate, or
report or other document delivered pursuant to this Agreement or in connection
with the transactions contemplated by this Agreement (collectively, the “Transfer Documents”), shall survive the Initial Closing Date
and each Delivery Date.

 

Section 6.02.                             Indemnification
by the Seller.  Each Seller Indemnified Party shall be
indemnified and held harmless by the Seller for any and all Liabilities,
losses, damages, claims, costs and expenses, interest, awards, judgments and
penalties (including, without limitation, attorneys’ and consultants’ fees and
expenses) actually suffered or incurred by them (including, without limitation,
any of the foregoing arising from any Action brought or otherwise initiated by
any of them) (hereinafter a “Loss”), arising
out of or resulting from or relating to:

 

(i)                                     the breach or inaccuracy of any
representation or warranty made by the Seller contained in any Transfer
Document;

 

(ii)                                  the breach of any covenant or agreement
by the Seller contained in the Transfer Documents;

 

(iii)                               Liabilities of WEST Funding and the Engine Trusts, whether arising
before or after the Initial Closing Date or any Delivery Date, as applicable,
arising from or relating to the ownership or actions or inactions of WEST
Funding and the Engine Trusts or the conduct of their respective businesses
prior to the Initial Closing Date or the applicable Delivery Date;

 

(iv)                              any and all Losses suffered or incurred
by WEST, WEST Funding or the Engine Trusts by reason of or in connection with
any claim or cause of action of any third party to the extent arising out of
any action, inaction, event, condition, liability or obligation of the Seller
occurring or existing prior to the Initial Closing Date or the applicable
Delivery Date; or

 

(v)                                 any liability for Taxes, including any
liability arising with respect to any and all Taxes of any member of a
consolidated, combined or unitary group at which WEST Funding or any of the
Engine Trusts is or was a member, by reason of the liability of WEST Funding or
any Engine Trust pursuant to Treas. Reg. § 1.1502-6 or analogous or
similar state, local or foreign laws or regulation with respect to any period
or portion thereof ending on or prior to the Initial Closing Date or the
applicable Delivery Date.

 

It is understood that any WEST indemnification obligation relating to
Losses in respect of clauses (iii) or (iv) above shall not be in
derogation or limitation of any separate obligation or liability or offsetting
claim that WEST may have against the Seller in its capacity as Servicer or
Administrative Agent.  To the extent that
the Seller’s undertakings set forth in this Section 6.02 may be
unenforceable, the Seller shall contribute the maximum amount that it is
permitted to contribute under Applicable Law to the payment and satisfaction of
any such Losses.

 

Section 6.03.                             Indemnification
by WEST.  The Seller, its Affiliates (other than
WEST, WEST Funding and the Engine Trusts) and their successors and assigns, and
the trustees and agents of the Seller, its Affiliates (other than WEST, WEST
Funding and the Engine Trusts) and

 

21

 

their successors and assigns (each an “WEST
Indemnified Party”) shall be indemnified and held harmless by WEST
for any Loss arising out of or resulting from:

 

(i)                                     the breach of any representation or
warranty made by WEST or WEST Funding contained in the Transfer Documents;

 

(ii)                                  the breach of any covenant or agreement
by WEST or WEST Funding contained in the Transfer Documents;

 

(iii)                               Liabilities of WEST Funding or the Engine Trusts arising from or
relating to the ownership or actions or inactions of WEST Funding or the Engine
Trusts or the conduct of their respective businesses after the Initial Closing
Date or the applicable Delivery Date until the second anniversary of such date;
or

 

(iv)                              any and all Losses suffered or incurred
by the Seller by reason of or in connection with any claim or cause of action
of any third party to the extent arising out of any action, inaction, event,
condition, liability or obligation of WEST or WEST Funding or the Engine Trusts
occurring or existing after the Initial Closing Date or the applicable Delivery
Date until the second anniversary of such date.

 

To the extent that WEST’s undertakings set forth in this Section 6.03
may be unenforceable, WEST shall contribute the maximum amount that it is
permitted to contribute under Applicable Law to the payment and satisfaction of
all Losses incurred by the Seller.

 

Section 6.04.                             Notice,
Etc.  A Seller Indemnified Party or an WEST
Indemnified Party (each, an “Indemnified Party”)
shall give WEST or the Seller, respectively, (each, the applicable “Indemnifying Party”) notice of any matter which an
Indemnified Party has determined has given or could give rise to a right of
indemnification under this Agreement, within 60 days of such determination,
stating the amount of the Loss, if known, and method of computation thereof,
and containing a reference to the provisions of this Agreement in respect of
which such right of indemnification is claimed or arises; provided,
however, that the failure to provide such notice shall not release such
Indemnifying Party from any of its obligations under this Article VI
except to the extent such Indemnifying Party is materially prejudiced by such
failure and shall not relieve such Indemnifying Party from any other obligation
or Liability that it may have to any Indemnified Party otherwise than under
this Article VI.  The obligations
and Liabilities of any Indemnifying Party under this Article VI with
respect to Losses arising from claims of any third party which are subject to
the indemnification provided for in this Article VI (“Third Party
Claims”) shall be governed by and contingent upon the following
additional terms and conditions: if an Indemnified Party shall receive notice
of any Third Party Claim, the Indemnified Party shall give the applicable
Indemnifying Party notice of such Third Party Claim within 30 days of the
receipt by the Indemnified Party of such notice; provided, however, that the failure to provide such notice
shall not release such Indemnifying Party from any of its obligations under
this Article VI except to the extent such Indemnifying Party is materially
prejudiced by such failure and shall not relieve such Indemnifying Party from
any other obligation or Liability that it may have to any Indemnified Party
otherwise than under this Article VI. 
If any Indemnifying Party acknowledges in writing its obligation to
indemnify the Indemnified Party hereunder against any Losses that may result
from such Third Party Claim,

 

22

 

then such Indemnifying Party shall be entitled
to assume and control the defense of such Third Party Claim at its expense and
through counsel of its choice if it gives notice of its intention to do so to
the Indemnified Party within five days of the receipt of such notice from the
Indemnified Party; provided, however, that if there exists or is
reasonably likely to exist a conflict of interest that would make it
inappropriate in the judgment of the Indemnified Party, in its sole and
absolute discretion, for the same counsel to represent both the Indemnified
Party and the Indemnifying Party, then the Indemnified Party shall be entitled
to retain its own counsel, in each jurisdiction for which the Indemnified Party
determines counsel is required, at the expense of the Indemnifying Party.  In the event any Indemnifying Party exercises
the right to undertake any such defense against any such Third Party Claim as
provided above, the Indemnified Party shall cooperate with such Indemnifying
Party in such defense and make available to such Indemnifying Party, at the
Indemnifying Party’s expense, all witnesses, pertinent records, materials and
information in the Indemnified Party’s possession or under the Indemnified
Party’s control relating thereto as is reasonably required by such Indemnifying
Party.  Similarly, in the event the
Indemnified Party is, directly or indirectly, conducting the defense against
any such Third Party Claim, the Indemnifying Party shall cooperate with the
Indemnified Party in such defense and make available to the Indemnified Party,
at such Indemnifying Party’s expense, all such witnesses, records, materials
and information in such Indemnifying Party’s possession or under such
Indemnifying Party’s control relating thereto as is reasonably required by the
Indemnified Party.  No such Third Party
Claim may be settled by the Indemnifying Party without the prior written
consent of the Indemnified Party.

 

Section 6.05.                             Limits
on Indemnification.  Notwithstanding anything to the contrary
contained in this Agreement, the maximum amount of indemnifiable Losses which
may be recovered from an Indemnifying Party arising out of or resulting from
the causes enumerated in this Article VI shall be an amount equal to the
sum of the WEST Funding Purchase Price and the Engine Purchase Prices.

 

ARTICLE VII

WAIVER

 

Section 7.01.                             Waiver.  Any
party to this Agreement may (a) extend the time for the performance of any
of the obligations or other acts of the other party, (b) waive any
inaccuracies in the representations and warranties of the other party contained
herein or in any document delivered by the other party pursuant hereto or (c) waive
compliance with any of the agreements or conditions of the other parry
contained herein.  Any such extension or
waiver shall be valid only if set forth in an instrument in writing signed by
the party to be bound thereby.  Any
waiver of any term or condition shall not be construed as a waiver of any
subsequent breach or a subsequent waiver of the same term or condition, or a
waiver of any other term or condition, of this Agreement.  The failure of any party to assert any of its
rights hereunder shall not constitute a waiver of any of such rights.  Notwithstanding anything to the contrary in
this Article VII, no such extension or waiver by WEST or WEST Funding
shall be valid unless consented to by the Indenture Trustee (unless the lien of
the Indenture has been irrevocably satisfied and discharged in full).

 

23

 

ARTICLE VIII

MISCELLANEOUS PROVISIONS

 

Section 8.01.                             Expenses. 
Except as otherwise specified in this Agreement, all costs and expenses,
including, without limitation, fees and disbursements of counsel, financial
advisors and accountants, incurred in connection with this Agreement and the
transactions contemplated hereby shall be paid by the Seller, whether or not
the Closing shall have occurred.

 

Section 8.02.                             Notices. 
All notices, requests, claims, demands and other communications
hereunder shall be in writing and shall be given or made (and shall be deemed
to have been duly given or made upon receipt) by delivery in person, by
recognized courier service or by facsimile (with a copy by recognized courier
service) to the respective parties at the following addresses (or at such other
address for a party as shall be specified in a notice given in accordance with
this Section 8.02):

 

(a)                                  if
to the Seller:

 

Willis Lease Finance Corporation

2320 Marinship Way, Suite 300

Sausalito, California 94965

Attention: 
General Counsel

Fax:   (415)
331-0607

 

(b)                                 if
to WEST:

 

Willis Engine
Securitization Trust

c/o Wilmington Trust
Company

Rodney Square North

Wilmington, Delaware 19890

Attention:  Corporate Trust Administrator

Fax:  (302)
651-8882

 

With a copy to:

 

Willis Lease Finance Corporation

2320 Marinship Way, Suite 300

Sausalito, California 94965

Attention: 
General Counsel

Fax:   (415)
331-0607

 

(c)                                  if
to WEST Funding:

 

WEST Engine Funding
LLC

2320 Marinship Way, Suite 300

Sausalito, California 94965

Attention: 
Chief Financial Officer

Fax:   (415)
331-0607

 

24

 

Section 8.03.                             Headings. 
The descriptive headings contained in this Agreement are for convenience
of reference only and shall not affect in any way the meaning or interpretation
of this Agreement.

 

Section 8.04.                             Severability. 
If any term or other provision of this Agreement is invalid, illegal or
incapable of being enforced by any Applicable Law or public policy in a
jurisdiction, the such term or provision shall only be invalid in such
jurisdiction and all other terms and provisions of this Agreement shall
nevertheless remain in full force and effect so long as the economic or legal
substance of the transactions contemplated hereby is not affected in any manner
materially adverse to any party.  Upon
such determination that any term or other provision is invalid, illegal or
incapable of being enforced, the parties hereto shall negotiate in good faith
to modify this Agreement so as to effect the original intent of the parties as
closely as possible in an acceptable manner in order that the transactions
contemplated hereby are consummated as originally contemplated to the greatest
extent possible.

 

Section 8.05.                             Entire
Agreement.  This Agreement constitutes the entire
agreement of the parties hereto with respect to the subject matter hereof and
thereof and supersedes all prior agreements and undertakings, both written and
oral, between the Seller and WEST with respect to the subject matter hereof and
thereof.

 

Section 8.06.                             Assignment.  Except
as described in the recitals hereto and as contemplated in Section 3.08, this
Agreement may not be assigned by operation of law or otherwise without the
express written consent of the Seller, WEST and WEST Funding (which consent may
be granted or withheld in the sole discretion of the Seller, WEST or WEST
Funding).  Notwithstanding anything
herein to the contrary, the parties hereto acknowledge and agree that WEST and
WEST Funding have assigned this Agreement (including all of their respective
rights hereunder) to the Indenture Trustee.

 

Section 8.07.                             No
Third Party Beneficiaries.  Except as described in the recitals hereto
and as contemplated in Section 3.08, and except for the provisions of Article VI
relating to Indemnified Parties, this Agreement shall be binding upon and inure
solely to the benefit of the parties hereto and their permitted assigns (including
the Indenture Trustee) and nothing herein, express or implied, is intended to
or shall confer upon any other Person any legal or equitable right, benefit or
remedy of any nature whatsoever under or by reason of this Agreement.

 

Section 8.08.                             Amendment.  This
Agreement may not be amended or modified except (a) by an instrument in
writing signed by or on behalf of, the Seller, WEST and WEST Funding or (b) by
a waiver in accordance with Section 7.01; provided that, any such
amendment or waiver shall have been consented to by the Indenture Trustee.

 

Section 8.09.                             Governing
Law.  THIS AGREEMENT SHALL IN ALL RESPECTS
BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW
YORK, INCLUDING SECTIONS 5-1401 AND 5-1402 OF THE NEW YORK GENERAL OBLIGATIONS
LAWS BUT OTHERWISE WITHOUT REGARD TO CONFLICT OF LAWS PRINCIPLES. 
All actions and proceedings arising out of or relating to

 

25

 

this Agreement shall be heard and determined in any New York state or
federal court sitting in the City of New York.

 

Section 8.10.                             Waiver
of Jury Trial.  EACH OF THE PARTIES HERETO HEREBY IRREVOCABLY
WAIVES ANY AND ALL RIGHT TO TRIAL BY JURY IN ANY LEGAL PROCEEDING ARISING OUT
OF OR RELATED TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED HEREBY.

 

Section 8.11.                             Counterparts. 
This Agreement may be executed in one or more counterparts, and by the
different parties hereto in separate counterparts, each of which when executed
shall be deemed to be an original but all of which taken together shall
constitute one and the same agreement.

 

Section 8.12.                             Specific
Performance.  The parties hereto agree that irreparable
damage would occur in the event any provision of this Agreement was not
performed in accordance with the terms hereof and that the parties shall be
entitled to specific performance of the terms hereof, in addition to any other
remedy at law or equity.

 

 

[Signature Page Follows]

 

26

 

IN WITNESS WHEREOF, the Seller, WEST and WEST Funding
have caused this Asset Transfer Agreement to be duly executed by their
respective officers as of the day and year first above written.

 

	
   

  	
  WILLIS LEASE
  FINANCE CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Monica J. Burke

  
	
   

  	
   

  	
  Name: Monica J.
  Burke

  
	
   

  	
   

  	
  Title:  
  Executive Vice President

  Chief Financial Officer

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  WILLIS ENGINE
  SECURITIZATION TRUST

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Monica J. Burke

  
	
   

  	
   

  	
  Name: Monica J.
  Burke

  
	
   

  	
   

  	
  Title:   Controlling Trustee

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  WEST ENGINE
  FUNDING LLC

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Monica J. Burke

  
	
   

  	
   

  	
  Name: Monica J.
  Burke

  
	
   

  	
   

  	
  Title:   Chief Financial Officer

  

 

 

EXHIBIT A

 

[FORM OF ENGINE BILL OF SALE]

 

For
good and valuable consideration, the receipt and sufficiency of which is hereby
acknowledged, Willis Lease Finance Corporation (“Seller”),
as owner of legal title to one (1) [name of the manufacturer][model number]
Engine bearing manufacturer’s serial number [         ] including all parts, components and
accessories thereof and all available manuals, logs, records, technical and
operational data and other material documents with respect thereto (the “Engine”),
does this       day of         ,
2005 hereby sell, grant, transfer and deliver all of its right, title and
interest in and to the Engine to Willis Engine Securitization Trust (“Buyer”) to have and to hold the Engine forever, and Buyer
hereby accepts the transfer of all of Seller’s right, title and interest in and
to the Engine.  Seller hereby represents
and warrants to Buyer, and its successors and assigns that the legal and
beneficial ownership of the Engine is hereby conveyed to Buyer and that the
Engine is free and clear of Encumbrances other than Permitted Encumbrances (as
such terms are defined in the Indenture, dated as of August 9, 2005,
between the Buyer, as Issuer, and Deutsche Bank Trust Company Americas, as
Indenture Trustee).

 

THE ENGINE BEING SOLD HEREUNDER TO BUYER IS SOLD “AS
IS” AND “WHERE IS”, WITH ALL FAULTS AND IS SUBJECT TO THE FOLLOWING
DISCLAIMER OF ALL WARRANTIES:  THE SELLER
SHALL NOT BE DEEMED TO HAVE MADE ANY REPRESENTATION OR WARRANTY, EXPRESS OR
IMPLIED, AS TO THE AIRWORTHINESS, CONDITION, VALUE, DESIGN, OPERATION,
MERCHANTABILITY OR FITNESS FOR USE OF THE ENGINE, AS TO THE ABSENCE OF LATENT
OR OTHER DEFECTS, WHETHER OR NOT DISCOVERABLE, AS TO THE ABSENCE OF ANY
INFRINGEMENT OF ANY PATENT, TRADEMARK OR COPYRIGHT, AS TO THE ABSENCE OF
OBLIGATIONS BASED ON STRICT LIABILITY IN TORT, OR AS TO THE QUALITY OF THE
MATERIAL OR WORKMANSHIP OF THE ENGINE, OR ANY OTHER REPRESENTATION OR WARRANTY
WHATSOEVER (EXCEPT AS TO WARRANTY OF TITLE SET FORTH ABOVE), EXPRESS OR
IMPLIED, WITH RESPECT TO THE ENGINE.

 

This
Bill of Sale shall be governed by, and construed in accordance with, the laws
of the State of New York.

 

IN
WITNESS WHEREOF, Seller has caused this Bill of Sale to be duly executed as of
this            day of         ,
2005.

 

	
   

  	
  WILLIS LEASE
  FINANCE CORPORATION,

  
	
   

  	
  Seller

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
   

  	
  Name:

  
	
   

  	
   

  	
  Title:

  

 

 

EXHIBIT B

 

[FORM OF ASSIGNMENT OF EQUITY INTEREST]

 

This ASSIGNMENT
OF EQUITY INTEREST, dated as of         
        , 2005 (this “Agreement”) between Willis Lease Finance Corporation, a Delaware
corporation (“Assignor”) and Willis Engine Securitization Trust, a Delaware
statutory trust (“Assignee”).

 

W I T N E S S E T H :

 

WHEREAS, the parties hereto desire to effect (a) the
transfer by Assignor to Assignee of all of the right, title and interest of
Assignor in, under and with respect to the interests listed on Annex A attached
hereto (the “Transferred Interest”) and (b) the
assumption by Assignee of the obligations of Assignor accruing under or with
respect to the Transferred Interest from and after the Effective Time (as
defined in Section 7 hereof);

 

NOW, THEREFORE, in consideration of the premises and
of the mutual covenants and agreements herein contained, the parties hereto do
hereby agree as follows:

 

Section 1.                                            Assignment.  Subject to the terms and conditions hereof
and of the Asset Transfer Agreement, and effective as of the Effective Time,
Assignor has sold, assigned, conveyed, transferred and set over, and does
hereby sell, assign, convey, transfer and set over, unto Assignee all of its
present and future right, title and interest in, under and with respect to the
Transferred Interest together with all other documents and instruments
evidencing any of such right, title and interest, except such rights of
Assignor as have accrued to Assignor prior to the Effective Time.

 

Section 2.                                            Assumption.  Subject to the terms and conditions hereof
and of the Asset Transfer Agreement and effective as of the Effective Time,
Assignee hereby purchases and accepts the Transferred Interest and except as provided
below, undertakes all of the duties and obligations of the [“Member”/”Owner
Participant”] under the [WEST Funding LLC Agreement/Owner Trust Agreement] with
respect to the Transferred Interest accruing at or subsequent to the Effective
Time. Subject to the terms and conditions hereof and of the Asset Transfer
Agreement, the assignment and assumption effected hereby shall release
Assignor, to the extent of the Transferred Interest, from its obligations under
the [WEST Funding LLC Agreement/Owner Trust Agreement].

 

Section 3.                                            Appointment
as Attorney-in-Fact.  In furtherance
of the within assignment, Assignor hereby constitutes and appoints Assignee,
and its successors and assigns, the true and lawful attorneys of Assignor, with
full power of substitution, in the name of Assignee or in the name of Assignor
but on behalf of and for the benefit of and at the expense of Assignee, to
collect for the account of Assignee all items sold, transferred or assigned to
Assignee pursuant hereto; to institute and prosecute, in the name of Assignor
or otherwise, but at the expense of Assignee, all proceedings that Assignee may
deem proper in order to collect, assert or enforce any claim, right or title of
any kind in or to the items sold, transferred or assigned; to defend and
compromise at the expense of Assignee any and all actions, suits or proceedings
as to title to or interest in the Transferred Interest; and to do all such acts
and things in relation thereto at the expense of Assignee as Assignee shall
reasonably deem advisable.  Assignor
hereby

 

 

acknowledges that this appointment is coupled with an interest and is
irrevocable by Assignor in any manner or for any reason or by virtue of any
dissolution of Assignor.

 

Section 4                                               Payments.  Assignor hereby covenants and agrees to pay
over to Assignee, if and when received following the date hereof, any amounts
(including any sums payable as interest in respect thereof) paid to or for the
benefit of Assignor that, under Section 1 hereof, belong to Assignee, and
Assignee hereby covenants and agrees to pay over to Assignor, if and when
received following the date hereof, any amounts (including any sums payable as
interest in respect thereof) paid to or for the benefit of Assignee that, under
Section 1 hereof, belong to Assignor.

 

Section 5                                               GOVERNING
LAW.  THIS AGREEMENT SHALL IN ALL
RESPECTS BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE
STATE OF NEW YORK, INCLUDING SECTIONS 5-1401 AND 5-1402 OF THE NEW YORK GENERAL
OBLIGATIONS LAWS BUT OTHERWISE WITHOUT REGARD TO CONFLICT OF LAWS PRINCIPLES.

 

Section 6                                               Counterparts.  This Agreement may be executed in any number
of separate counterparts by the parties, and each counterpart shall when
executed and delivered be an original document, but all counterparts shall
together constitute one and the same instrument.

 

Section 7                                               Effectiveness.  This Agreement shall be effective upon its
execution and delivery by each of Assignor and Assignee, this       
day of         , 2005 at 10:00 A.M.
(New York time) (the “Effective Time”).

 

IN WITNESS WHEREOF, the parties hereto, through their
respective officers thereunto duly authorized, have duly executed this
Agreement as of the day and year first above written.

 

	
   

  	
  WILLIS LEASE FINANCE CORPORATION

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Title:

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  WILLIS ENGINE SECURITIZATION TRUST

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Title:

  

 

3

 

Annex A

 

TRANSFERRED INTEREST

 

1

 

EXHIBIT 3.01(j)

 

Initial Leases

 

Engine 30771*:

 

Aircraft
Engine Lease Agreement dated as of October 29, 2004 between Wells Fargo
Bank Northwest, National Association, as owner trustee, as lessor, and Atlasjet
International Airways (“Atlasjet”), as lessee, with General Terms Engine Lease
Agreement dated as of October 29, 2004 between the Owner Trustee, as
lessor, and Atlasjet, as lessee, attached thereto, which was recorded by the
FAA on November 17, 2004 and assigned Conveyance No. S127672,

 

as
assigned and assumed by 30771 First Transfer Assignment and Assumption
Agreement and Bill of Sale dated as of February 16, 2005 between Wells
Fargo Bank Northwest, N.A., as owner trustee, as assignor, and Willis Lease
Finance Corporation, (“WLFC”), as assignee, which was recorded by the FAA on February 23,
2005 and assigned Conveyance No. J008941,

 

as
assigned and assumed by Engine or Beneficial Interest Transfer Certificate
dated as of February 16, 2005 between WLFC, as issuer/assignor, and Willis
Engine Funding LLC (“WEF”), as seller/assignee, which was recorded by the FAA
on February 23, 2005 and assigned Conveyance No. J008942,

 

as further assigned and assumed by Engine 30771
Assignment and Assumption Agreement and Bill of Sale dated as of February 16,
2005 between WEF, as assignor, and Wells Fargo Bank Northwest, National
Association, as owner trustee, as assignee, which was recorded by the FAA on February 23,
2005 and assigned Conveyance No. J008943.

 

* As of July 31, 2005,
Atlasjet owed rent in the amount of $57,500, which was subsequently paid on August 3,
2005.

 

Engine 311498:

 

Aircraft Engine Lease Agreement dated as of August 10,
2000 between Willis Lease Finance Corporation (“Willis”), as lessor, and Mesa
Air Group, Inc., as lessee, with General Terms Engine Lease Agreement
dated as of August 10, 2000 attached thereto, which was recorded by the
FAA on August 17, 2000 and assigned Conveyance Number HK018687,

 

as
assigned and assumed by Engine 311498 First Transfer Assignment and Assumption
Agreement and Bill of Sale dated as of January 2, 2003 between Wells Fargo
Bank Northwest, N.A., as owner trustee, as assignor, and Willis, as assignee,
which was recorded on February 11, 2003 and assigned Conveyance No. MM024451,

 

as
further assigned and assumed by Engine or Beneficial Interest Transfer
Certificate dated as of January 2, 2003 between Willis, as seller, and
Willis Engine Funding LLC

 

1

 

(“WEF”), as issuer, which was recorded by the FAA on February 11,
2003 and assigned Conveyance No. MM024452,

 

as
assigned and assumed by Engine 311498 Assignment and Assumption Agreement and
Bill of Sale dated as of January 2, 2003 between WEF, as assignor, and
Wells Fargo Bank Northwest, National Association, as owner trustee, as
assignee, which was recorded by the FAA on February 11, 2003 and assigned
Conveyance No. MM024453.

 

Engine 312234:

 

Aircraft
Engine Lease Agreement dated as of July 19, 2002 between Wells Fargo Bank
Northwest, National Association, as lessor, and Mesa Air Group, Inc., as
lessee, with General Terms Engine Lease Agreement dated July 4, 2002
attached thereto, which was recorded by the FAA on July 25, 2002 and
assigned Conveyance No. II025970,

 

as
assigned and assumed by Engine 312234 First Transfer Assignment and Assumption
Agreement and Bill of Sale dated as of January 2, 2003 between Wells Fargo
Bank Northwest, N.A., as owner trustee, as assignor, and Willis Lease Finance
Corporation (“Willis”), as assignee, which was recorded by the FAA on February 11,
2003 and assigned Conveyance No. MM024457,

 

as further assigned and assumed by Engine or
Beneficial Interest Transfer Certificate dated as of January 2, 2003
between Willis, as seller, and Willis Engine Funding LLC (“WEF”), as issuer,
which was recorded by the FAA on February 11, 2003 and assigned Conveyance
No. MM024458,

 

as assigned and assumed by Engine 312234 Assignment
and Assumption Agreement and Bill of Sale dated as of January 2, 2003
between WEF, as assignor, and Wells Fargo Bank Northwest, National Association,
as owner trustee, as assignee, which was recorded by the FAA on February 11,
2003 and assigned Conveyance No. MM024459.

 

Engine 575573:

 

Aircraft
Engine Lease Agreement dated as of April 14, 2003 between Wells Fargo Bank
Northwest, National Association, as owner trustee, as lessor, and Compania
Mexicana de Aviacion, S.A. de C.V., as lessee, with General Terms Engine Lease
Agreement dated as of September 18, 2002 attached thereto, which was
recorded by the FAA on April 18, 2003 and assigned E001882.

 

Engine 577214:

 

Amended
and Restated Aircraft Engine Lease Agreement between dated as of February 14,
2005 between Wells Fargo Bank Northwest, National Association, as owner
trustee, as lessor, and Compania Mexicana De Aviacion, S.A. De C.V., as lessee,
with the following attached thereto; (i) General Terms Engine Lease
Agreement dated as of September 18, 2002, which was recorded by the FAA on
February 28, 2005 and assigned Conveyance No. E005549.

 

2

 

Engine 695530*:

 

Aircraft
Engine Lease Agreement dated as of June 13, 2002 between Wells Fargo Bank
Northwest, National Association as owner trustee, as lessor, and Olympic
Airways, S.A., as lessee, with General Terms Engine Lease Agreement dated June 13,
2002 attached thereto, which was recorded by the FAA on July 8, 2002 and
assigned Conveyance No. I070360,

 

as
assigned and assumed by Engine 695530 First Transfer Assignment and Assumption
Agreement and Bill of Sale dated as of March 18, 2003  between Wells Fargo Bank Northwest, N.A., as
owner trustee, as assignor, and Willis Lease Finance Corporation (“Willis”), as
assignee, which was recorded by the FAA on April 1, 2003 and assigned
Conveyance No. CC016941,

 

as further assigned and assumed by Engine or
Beneficial Interest Transfer Certificate dated as of March 18, 2003
between Willis, as seller, and Willis Engine Funding LLC (“WEF”), as issuer,
which was recorded by the FAA on April 1, 2003 and assigned Conveyance No. CC016942,

 

as
assigned and assumed by Engine 695530 Assignment and Assumption Agreement and
Bill of Sale dated as of March 18, 2003 between WEF, as assignor, and
Wells Fargo Bank Northwest, National Association, as owner trustee, as
assignee, which was recorded by the FAA on April 1, 2003 and assigned
Conveyance No. CC016943.

 

* As of July 31, 2005, Olympic Airways,
S.A. owes rent in the amount of $131,052. This payment default information also
applies to Engines 727255 and 741822 below.

 

Engine 704371*:

 

Aircraft
Engine Lease Agreement dated as of May 31, 2004 between Wells Fargo Bank
Northwest, National Association, as owner trustee, as lessor, and “VARIG”, S.A.
(Viacão Aérea Rio-Grandense), as lessee, with the following attached thereto: (i) General
Terms Engine Lease Agreement dated as of October 24, 2003, which was
recorded by the FAA on June 10, 2004 and assigned Conveyance No. K038933.

 

Pre-petition rent in the
amount of $496,728 and pre-petition maintenance reserves in the amount of
$595,343 are owed by Varig on Engines 704371, 704638, 725522, 858327 and
888763.  In addition, rent in the amount
of $97,000 is owed by Varig on Engines 725522 and 888763.

 

Engine 704447:

 

Aircraft Engine Lease Agreement dated as of February 11,
2005 between Wells Fargo Bank Northwest, National Association, as owner
trustee, and Delta Air Lines, Inc., as lessee, with Amended and Restated
General Terms Engine Lease Agreement dated as of September 15, 2003
attached thereto, which was recorded by the FAA on February 16, 2005 and
assigned Conveyance No. HH039139; as amended by Letter Amendment dated February 24,
2005,

 

3

 

which was recorded by the FAA on March 28, 2005 and assigned
Conveyance No. Q074363.

 

Engine 704638*:

 

Aircraft
Engine Lease Agreement dated as of March 16, 1998 between Willis Lease
Finance Corporation, as lessor, and “VARIG”, S.A. (Viacao Aerea Rio-Grandense),
as lessee, with General Terms Engine Lease Agreement dated as of February 27,
1998 attached thereto, which was recorded by the Federal Aviation
Administration on June 30, 1998 and assigned Conveyance No. H94205,

 

as
assigned and assumed by Assignment and Bill of Sale dated as of December 4,
2001 between Willis Lease Finance Corporation, as assignor, and Wells Fargo
Bank Northwest, National Association, as owner trustee, as assignee, which was
recorded by the FAA on January 11, 2002 and assigned Conveyance No. I069446,

 

as
assigned and assumed by First Transfer Master Assignment and Assumption
Agreement and Bill of Sale [WLFC] dated as of September 16, 2002, between
Wells Fargo Bank Northwest, National Association, as owner trustee, as
assignor, and WLFC Funding Corporation, as assignee, which was recorded by the
FAA on December 6, 2002 and assigned Conveyance No. J001808,

 

as
assigned and assumed by Contribution and Sale Agreement dated as of September 12,
2002 between Willis Lease Finance Corporation (“Willis”) (as successor by
merger to WLFC Funding Corporation), as seller/assignor, and Willis Engine
Funding LLC, as issuer/assignee, with Engine and Beneficial Interest Transfer
Certificate dated September 16, 2002 between Willis, as assignor, and
Willis Engine Funding LLC, as assignee, attached thereto, which was recorded by
the FAA on December 6, 2002 and assigned Conveyance No. J001810,

 

and
as further assigned and assumed by Final Transfer Master Assignment and
Assumption Agreement and Bill of Sale dated as of September 16, 2002
between Willis Engine Funding LLC, as assignor, and Wells Fargo Bank Northwest,
National Association, as owner trustee, as assignee, which was recorded by the
FAA on December 6, 2002 and assigned Conveyance No. J001812,

 

as
amended by Amendment No. 3 (ESN 704638) dated as of November 14,
2003, as lessee, which was recorded by
the FAA on May 3, 2004 and assigned Conveyance No. M004011,

 

as further amended by Amendment No. 4 to the Lease Agreement,
which was recorded by the FAA on November 17, 2004 and assigned Conveyance
No. QQ030178,

 

as further amended by Amendment No. 5 to the
Lease Agreement, which was recorded by the FAA on May 4, 2005 and assigned
Conveyance No. XX028724.

 

* See Engine
704371 for payment default information.

 

4

 

Engine 708173*:

 

Aircraft
Engine Lease Agreement dated as of August 1, 2002 between Wells Fargo Bank
Northwest, National Association, as lessor, as owner trustee, and Spanair S.A.,
as lessee (“Spanair”), with General Terms Engine Lease Agreement dated as of March 7,
2001 attached, which was recorded by the Federal Aviation Administration on August 29,
2002 and assigned Conveyance No. H106568; as amended by Letter Amendment
dated July 29, 2003, which was recorded by the FAA on July 2, 2004
and assigned Conveyance No. P000523, as amended by Letter Amendment dated August 1,
2004, which was recorded by the FAA on August 24, 2004 and assigned Conveyance
No. NN027671,

 

as assigned and assumed by Engine 708173 First
Transfer Assignment and Assumption Agreement and Bill of Sale dated as of February 4,
2005 between Wells Fargo Bank Northwest, N.A., as owner trustee, as assignor,
and Willis Lease Finance Corporation (“Willis”), as assignee, which was
recorded by the FAA on February 28, 2005 and assigned Conveyance No. L077572,

 

as further assigned and assumed by Engine or
Beneficial Interest Transfer Certificate dated as of February 4, 2005
between Willis Engine Funding LLC (“WEF”), as issuer/assignee, and Willis, as
seller/assignor, which was recorded by the FAA on February 28, 2005 and
assigned Conveyance No. L077573,

 

as assigned and assumed by Engine 708173
Assignment and Bill of Sale dated as of February 4, 2005 between WEF, as
assignor, and Wells Fargo Bank Northwest, National Association, as owner
trustee, as assignee, which was recorded by the FAA on February 28, 2005
and assigned Conveyance No. L077574.

 

* As
of July 31, 2005, Spanair owes rent in the amount of $69,000. This payment
default information also applies to Engines 718210 and 728154.

 

Engine 716430:

 

Aircraft
Engine Lease Agreement dated July 19, 2001 between Kellstrom Industries, Inc.,
as lessor, and TWA Airlines LLC, as lessee, with the following attached
thereto:  (i) Engine Lease General
Terms Agreement dated as of June 28, 2001, and (ii) Assignment and
Assumption of Lease and Purchase and Sale of Engine Agreement dated as of July 31,
2001 among Kellstrom Industries, Inc., as assignor, Willis Lease Finance
Corporation, as beneficiary, and Wells Fargo Bank Northwest, National
Association, as owner trustee, as assignee, which lease and attachments were
recorded by the FAA on October 1, 2001 and assigned Conveyance No. L75041.

 

Engine 716779:

 

Aircraft
Engine Lease Agreement dated as of October 31, 2002 between Wells Fargo
Bank Northwest, National Association, as owner trustee, as lessor, and Aerovias
de

 

5

 

Mexico, S.A. de C.V., as lessee, with the following attached thereto: (i) General
Terms Engine Lease Agreement dated as of July 11, 2002, which was recorded
by the FAA on January 21, 2003 and assigned Conveyance No. GG029140,
as amended by Letter Amendment dated April 30, 2003, which was recorded by
the FAA on May 29, 2003 and assigned Conveyance No. Y004345, as
further amended by Letter Amendment dated August 1, 2003, which was
recorded by the FAA on March 8, 2004 and assigned Conveyance No. TT018203,
as further amended by Letter Amendment dated May 1, 2004, which was
recorded by the FAA on June 21, 2004 and assigned Conveyance No. M004364.

 

Engine 718210*:

 

Aircraft
Engine Lease Agreement dated as of October 30, 1997 between Terandon
Leasing Corporation (“Terandon”), as lessor, and SPANAIR, as lessee, with
General Terms Engine Lease Agreement dated as of October 30, 1997 attached
thereto, which was recorded by the FAA on December 15, 1995, and assigned
Conveyance No. II010037, as assigned and assumed by Assignment and
Assumption Agreement and Bill of Sale dated as of December 19, 1997
between Terandon, as assignor, and Willis Lease Finance Corporation (“Willis”),
as assignee, which was recorded by the FAA on January 27, 1998 and
assigned Conveyance No. EE015339, as assigned and assumed under that
certain Engine Transfer Certificate dated as of December 19, 1997 between
Willis, as seller, and WLFC Funding Corporation, as issuer, which was recorded
by the FAA on January 27, 1998 and assigned Conveyance No. EE015340,
as further assigned, assumed and/or amended, pursuant to the following
documents:

 

Contribution
and Sale Agreement dated as of September 12, 2002 between Willis (as
successor by merger to WLFC Funding Corporation), as seller/assignor, and
Willis Engine Funding LLC, as issuer/assignee, with Engine and Beneficial
Interest Transfer Certificate dated September 16, 2002 between Willis, as
assignor, and Willis Engine Funding LLC, as assignee, attached thereto, which
was recorded by the FAA on December 6, 2002 and assigned Conveyance No. J001810,

 

Engine
718210 Assignment and Assumption Agreement and Bill of Sale dated September 22,
2002 between Willis Engine Funding LLC, as assignor, and Wells Fargo Bank
Northwest, National Association, as owner trustee, as assignee, which was
recorded by the FAA on December 16, 2002 and assigned Conveyance No. KK031194,

 

Letter
Amendment dated September 30, 2002 which was recorded by the FAA on December 18,
2002 and assigned Conveyance No. RR026906,

 

Letter
Amendment dated October 16, 2003 which was recorded by the FAA on November 25,
2003 and assigned Conveyance No. LL014566, and

 

Letter Amendment dated June 17, 2004, which was
recorded by the FAA on September 10, 2004 and assigned Conveyance No. MM026903.

 

* See
Engine 708173 for payment default information.

 

6

 

Engine 718262:

 

Aircraft
Engine Lease Agreement dated as of January 12, 2004 between Wells Fargo
Bank Northwest, National Association, as owner trustee, (the “Owner Trustee”),
as lessor, and Spanair S.A. (“Spanair”), as lessee, with the following attached
thereto: (i) General Terms Engine Lease Agreement dated as of March 7,
2001 between the Owner Trustee, as lessor, and Spanair, as lessee, which was
recorded by the FAA on January 23, 2004 and assigned Conveyance No. C004518,

 

as amended by Aircraft Engine Lease Amendment dated
as of January 13, 2005 between the Owner Trustee, and Spanair, which was
recorded by the FAA on March 4, 2005 and assigned Conveyance No. FF004107.

 

Engine 721877:*

 

Aircraft
Engine Lease Agreement dated as of January 21, 2005 between Wells Fargo
Bank Northwest, National Association, as owner trustee (the “Owner Trustee”),
as lessor, and ACG Acquisition XX LLC (“ACG”), as lessee, with the following
attached thereto: (i) General Terms Engine Lease Agreement dated as of January 21,
2005 between the Owner Trustee, as lessor, and ACG, as lessee, which was
recorded by the FAA on February 15, 2005 and assigned Conveyance No. HH039119.

 

*As of July 31, 2005, ACG owes a rental
payment in the amount of $43,000.  In
addition, Engine 721877 may have been involved in a hard landing which, if
determined to be the case, would result in a total loss of the Engine as
per the terms of the Lease.

 

Engine 724721*:

 

Aircraft
Engine Lease Agreement dated as of October 29, 2004 between Wells Fargo
Bank Northwest, National Association, as owner trustee (the “Owner Trustee”),
as lessor, and SR Technics Switzerland (“SR Technics”), as lessee, with General
Terms Engine Lease Agreement dated as of November 29, 2000 between the
Owner Trustee and SR Technics attached thereto, recorded by the FAA on November 18,
2004 and assigned Conveyance No. D000720,

 

as
amended by Letter Amendment dated February 16, 2005 between the Owner
Trustee and SR Technics, recorded by the FAA on March 21, 2005 and
assigned Conveyance No. KK035066.

 

* As of July 31, 2005, SR Technics owes
maintenance reserves in the amount of $63,386.

 

Engine 724862*:

 

Aircraft
Engine Lease Agreement dated as of September 30, 2002 between WLFC-AC1, Inc.,
as lessor, and Air Comet, S.A., as lessee, with General Terms Engine Lease
Agreement dated as of September 30, 2002 attached thereto, which lease and
attachment were

 

7

 

recorded by the FAA on one instrument on October 16, 2002 and
assigned Conveyance No. H106929,

 

as
assigned and assumed by Assignment and Bill of Sale dated as of January 12,
2005 between WLFC-AC1, Inc., as assignor, and Willis Lease Finance
Corporation (“Willis”), as assignee, which was recorded by the FAA on April 19,
2005 and assigned Conveyance No. Q074457,

 

as
further assigned and assumed by Engine or Beneficial Interest Transfer
Certificate dated as of January 12, 2005 between Willis, as
seller/assignor, and Willis Engine Funding LLC, (“WEF”), as issuer/assignee,
which was recorded by the FAA on April 19, 2005 and assigned Conveyance No. Q074458,

 

as
assigned and assumed by Engine 724862 Assignment and Assumption Agreement and
Bill of Sale dated as of January 12, 2005 between WEF, as assignor and
Wells Fargo Bank Northwest, N.A., as owner trustee, as assignee, which was
filed with the FAA on March 8, 2005 but has not yet been recorded.

 

* As of July 31, 2005, Air Comet, S.A.
owes rent in the amount of $90,000 and maintenance reserves in the amount of
$127,274 for the total amount of $217,274.

 

Engine 725183:

 

Aircraft
Engine Lease Agreement dated as of July 26, 2004 between Wells Fargo Bank
Northwest, National Association, as owner trustee, as lessor, and GOL
Transportes Aereos S.A., as lessee, with the following attached thereto: (i) General
Terms Engine Lease Agreement dated as of January 30, 2002 as amended by
Amendment No. 1 dated as of May 10, 2004, which lease and attachment
were recorded by the FAA on August 19, 2004 and assigned Conveyance No. KK034286.

 

Engine 725522*:

 

Aircraft
Engine Lease Agreement dated as of November 24, 2004 between Wells Fargo
Bank Northwest, National Association, as owner trustee, as lessor, and “VARIG”,
S.A. (Viacão Aérea Rio-Grandense), as lessee, with the following attached
thereto: (i) General Terms Engine Lease Agreement dated as of October 24,
2003, which lease and attachment were recorded by the FAA on January 11,
2005 and assigned Conveyance No. RS001100.

 

* See Engine 704371 for payment default
information.

 

Engine 726169:

 

Aircraft
Engine Lease Agreement July 19, 2004 between Willis Lease Finance
Corporation, as lessor and Amerijet International, Inc., as lessee, with
the following attached thereto: (i) Engine or Beneficial Interest Transfer
Certificate 726169 dated February 2, 2005 between Willis Lease Finance
Corporation, as assignor, and Willis Engine Funding, LLC, as

 

8

 

assignee; (ii) Engine 726169 Assignment and Assumption Agreement
and Bill of Sale dated February 2, 2005 between Willis Engine Funding,
LLC, as assignor, and Wells Fargo Bank Northwest, N.A., as owner trustee, as
assignee, which lease and attachments were recorded by the FAA on March 22,
2005 and assigned Conveyance No. N003817.

 

Engine 726173:

 

Aircraft
Engine Lease Agreement dated as of July 19, 2004 between Willis Lease
Finance Corporation, as lessor, and Amerijet International, Inc., as
lessee, with the following attached thereto: (i) Engine or Beneficial
Interest Transfer Certificate 726173 dated February 2, 2005 between Willis
Lease Finance Corporation, as assignor, and Willis Engine Funding, LLC, as
assignee; (ii) Engine 726173 Assignment and Assumption Agreement and Bill
of Sale dated February 2, 2005 between Willis Engine Funding, LLC, as
assignor, and Wells Fargo Bank Northwest, N.A., as owner trustee, as assignee,
which lease and attachments were recorded by the FAA on February 8, 2005
and assigned Conveyance No. AA059528.

 

Engine 726195:

 

Aircraft
Engine Lease Agreement dated as of July 19, 2004 between Willis Lease
Finance Corporation, as lessor, and Amerijet International, Inc., as
lessee, with the following attached thereto: (i) Engine or Beneficial
Interest Transfer Certificate 726195 dated February 2, 2005 between Willis
Lease Finance Corporation, as assignor, and Willis Engine Funding, LLC, as
assignee; (ii) Engine 726195 Assignment and Assumption Agreement and Bill
of Sale dated February 2, 2005 between Willis Engine Funding, LLC, as
assignor, and Wells Fargo Bank Northwest, N.A., as owner trustee, as assignee,
which lease and attachments were recorded by the FAA on March 22, 2005 and
assigned Conveyance No. N003815.

 

Engine 726203:

 

Aircraft
Engine Lease Agreement dated as of July 19, 2004 between Willis Lease Finance
Corporation, as lessor, and Amerijet International, Inc., as lessee, with
the following attached thereto: (i) Engine or Beneficial Interest Transfer
Certificate 726203 dated February 2, 2005 between Willis Lease Finance
Corporation, as assignor, and Willis Engine Funding, LLC, as assignee; (ii) Engine
726203 Assignment and Assumption Agreement and Bill of Sale dated February 2,
2005 between Willis Engine Funding, LLC, as assignor, and Wells Fargo Bank
Northwest, N.A., as owner trustee, as assignee, which lease and attachments
were recorded by the FAA on February 8, 2005 and assigned Conveyance No. AA059530.

 

Engine 727057:

 

Aircraft
Engine Lease Agreement dated as of June 18, 1998, as amended, between
Willis Lease Finance Corporation, as lessor, and Shanghai Airlines (“Lessee”),
as lessee, with General Terms Engine Lease Agreement dated as of April 29,
1998 attached thereto, which was recorded by the Federal Aviation
Administration on August 5, 1998 and assigned Conveyance No. KK22897,

 

9

 

as
assigned and assumed by Assignment and Bill of Sale dated as of May 22,
2001 between Willis Lease Finance Corporation, as assignor, and Wells Fargo
Bank Northwest, N.A., as owner trustee (“WFBN”), as assignee, with Joinder and
Amendment Agreement dated May 22, 2000 among Willis Lease Finance
Corporation, WFBN and Lessee attached thereto, which was recorded by the FAA on
June 14, 2001 and assigned Conveyance No. KK028508,

 

as
assigned and assumed by First Transfer Master Assignment and Assumption
Agreement and Bill of Sale [WLFC] dated as of September 16, 2002 between
WFBN, as assignor, and WLFC Funding Corporation, as assignor, which was
recorded by the FAA on December 6, 2002 and assigned Conveyance No. J001809,

 

as
assigned and assumed by Contribution and Sale Agreement dated as of September 12,
2002 between Willis Lease Finance Corporation (as successor by merger to WLFC
Funding Corporation), as seller/assignor, and Willis Engine Funding LLC, as
issuer/assignee, with Engine and Beneficial Interest Transfer Certificate dated
September 16, 2002 attached thereto, which was which was recorded by the
FAA on December 6, 2002 and assigned Conveyance No. J001810,

 

and
as further assigned and assumed by Final Transfer Master Assignment and
Assumption Agreement and Bill of Sale dated as of September 16, 2002
between Willis Engine Funding LLC, as assignor, and Wells Fargo Bank Northwest,
National Association, as owner trustee, as assignee, which was recorded by the
FAA on December 6, 2002 and assigned Conveyance No. J001812, and

 

as amended by Letter Amendment dated April 15,
2005 between Wells Fargo Bank Northwest, National Association, as owner
trustee, as lessor, and the Lessee, which was recorded by the FAA on May 6,
2005 and assigned Conveyance No. U086163.

 

Engine 727255*:

 

Aircraft
Engine Lease Agreement dated as of June 13, 2002 between Wells Fargo Bank
Northwest, N.A., as owner trustee (“WFBN”), as lessor, and Olympic Airways,
S.A., as lessee, with General Terms Engine Lease Agreement dated June 13,
2002 attached thereto, which was recorded by the FAA on July 16, 2002 and
assigned Conveyance No CC016025,

 

as assigned and assumed by Engine 727255 First
Transfer Assignment and Assumption Agreement and Bill of Sale dated as of March 18,
2003 between WFBN, as assignor, and Willis Lease Finance Corporation, as
assignee, which was recorded by the FAA on April 1, 2003, and assigned
Conveyance No. CC016946

 

as
further assigned and assumed by Engine or Beneficial Interest Transfer Certificate
dated as of March 18, 2003 between Willis, as assignor, and Willis Engine
Funding, LLC (“WEF”), as assignee, which was recorded by the FAA on April 1,
2003, and assigned Conveyance No. CC016947

 

as
further assigned and assumed by Engine 727255 Assignment and Assumption
Agreement and Bill of Sale dated as of March 18, 2003 between WEF, as
assignor, and Wells

 

10

 

Fargo Bank Northwest, National Association, as owner trustee, as
assignee, which was recorded by the FAA on April 1, 2003, and assigned
Conveyance No. CC016948.

 

* See Engine 695530 for payment default
information.

 

Engine 727340:

 

Aircraft
Engine Lease Agreement dated as of November 7, 2001 between Wells Fargo
Bank Northwest, N.A., as owner trustee, as lessor, and Lan Chile S.A., as
lessee, with General Terms Engine Lease Agreement dated November 7, 2001
attached thereto, which was recorded by the FAA on December 5, 2001 and
assigned Conveyance No. UU032267,

 

as
assigned and assumed by First Transfer Master Assignment and Assumption
Agreement and Bill of Sale [WLFC] dated September 16, 2002 between Wells
Fargo Bank Northwest, National Association, as owner trustee, as assignor, and
WLFC Funding Corporation, as assignee, which was recorded by the FAA on December 6,
2002 and assigned Conveyance No. J001809,

 

and
as further assigned and assumed Contribution and Sale Agreement dated as of September 12,
2002 between Willis Lease Finance Corporation (successor by merger to WLFC
Funding Corporation), as seller/assignor, and Willis Engine Funding LLC, as
issuer/assignee, with Engine and Beneficial Interest Transfer Certificate
between Willis Lease Finance Corporation, as assignor, and Willis Engine
Funding LLC, as assignee, attached thereto, which was recorded by the FAA on December 6,
2002 and assigned Conveyance No. J001810,

 

and
as further assigned and assumed by Final Transfer Master Assignment and
Assumption Agreement and Bill of Sale dated as of September 16, 2002
between Willis Engine Funding LLC, as assignor, and Wells Fargo Bank Northwest,
National Association, as owner trustee, as assignee, which was recorded by the
FAA on December 6, 2002 and assigned Conveyance No J001812,

 

as
amended by Letter Agreement dated November 5, 2003 between Wells Fargo
Bank Northwest, N.A., as owner trustee, as lessor, and Lan Chile S.A., as
lessee, which was recorded by the FAA on November 24, 2003 and assigned
Conveyance No. M003008.

 

Engine 727393*:

 

Aircraft
Engine Lease Agreement dated as of December 14, 2004 between Wells Fargo
Bank Northwest, National Association, as owner trustee (the “Owner Trustee”),
as lessor, and IBERIA, L.A.E., S.A. (“IBERIA”), as lessee, with the following
attached thereto: (i) General Terms Engine Lease Agreement dated as of October 3,
2002 between the Owner Trustee, as lessor, and IBERIA, as lessee, which lease
and attachment were recorded by the FAA on January 11, 2005 and assigned
Conveyance No. RS001101.

 

*As of July 31, 2005,
IBERIA owes maintenance reserves in the amount of $57,500. This payment default
information also applies to Engine 741573.

 

11

 

Engine 728154*:

 

Aircraft
Engine Lease Agreement dated as of March 7, 2001 between Wells Fargo Bank
Northwest, National Association, as owner trustee, as lessor, and Spanair S.A.
(“Spanair”), as lessee, with the following attached thereto: (i) General
Terms Engine Lease Agreement dated March 7, 2001, which lease and
attachment were recorded by the FAA on March 22, 2001 and assigned Conveyance
No. H101539,

 

as amended by Letter Amendment dated June 17,
2004 between Wells Fargo Bank Northwest, National Association, as owner
trustee, as lessor, and Spanair S.A., as lessee, which was recorded by the FAA
on August 13, 2004 and assigned Conveyance No. AA058490.

 

*
See Engine 708173 for payment default information.

 

Engine 728173:

 

Aircraft
Engine Lease Agreement dated as of November 16, 2001 between Wells Fargo
Bank Northwest, National Association, as owner trustee (“WFBN”), as lessor, and
Spirit Airlines, Inc., as lessee, with General Terms Engine Lease
Agreement dated November 4, 2001 attached thereto, which was recorded by
the FAA on December 4, 2001 and assigned Conveyance No. SS017842, as
amended by Lease Amendment dated November 22, 2004 between WFBN, as
lessor, and Spirit Airlines, Inc., as lessee, covering which was recorded
by the FAA on December 17, 2004 and assigned Conveyance No. YY039134,

 

as
assigned and assumed by First Transfer Master Assignment and Assumption
Agreement and Bill of Sale [WLFC] dated as of September 16, 2002, between
WFBN, as assignor, and WLFC Funding Corporation, as assignee, which was
recorded by the FAA on December 6, 2002 and assigned Conveyance No. J001808,

 

as
assigned and assumed by Contribution and Sale Agreement dated as of September 12,
2002 between Willis Lease Finance Corporation ( “Willis”) (as successor by
merger to WLFC Funding Corporation), as seller/assignor, and Willis Engine
Funding LLC, as issuer/assignee, with Engine and Beneficial Interest Transfer
Certificate dated September 16, 2002 between Willis, as assignor, and
Willis Engine Funding LLC, as assignee, attached thereto, which was recorded by
the FAA on December 6, 2002 and assigned Conveyance No. J001810,

 

and
as further assigned and assumed by Final Transfer Master Assignment and
Assumption Agreement and Bill of Sale dated as of September 16, 2002
between Willis Engine Funding LLC, as assignor, and Wells Fargo Bank Northwest,
National Association, as owner trustee, as assignee, which was recorded by the
FAA on December 6, 2002 and assigned Conveyance No. J001812.

 

12

 

Engine 731570:

 

Aircraft
Engine Lease Agreement dated as of December 5, 2002 between Wells Fargo
Bank Northwest, N.A., as owner trustee, as lessor, and Lufthansa Technik AG, as
lessee, with General Terms Engine Lease Agreement dated as of June 3, 1999
attached thereto, recorded by the Federal Aviation Administration on January 21,
2003 and assigned Conveyance No. JJ000416, as amended by Letter Amendment
dated November 19, 2003, which was recorded by the FAA on December 9,
2003 and assigned Conveyance No. M003108, as further amended by Letter
Amendment dated January 5, 2004, which was recorded by the FAA on February 24,
2004 and assigned Conveyance No. HK025440, as amended by Letter Amendment
dated March 4, 2004, which was recorded by the FAA on April 1, 2004
and assigned Conveyance No. Y007911, as further amended by Letter
Amendment dated January 11, 2005, which was recorded by the FAA on February 8,
2005 and assigned Conveyance No. L077444, and as further amended by Letter
Amendment dated May 18, 2005, which was recorded by the FAA on June 7,
2005 and assigned Conveyance No. BB041942.

 

Engine 731812:

 

Aircraft
Engine Lease Agreement dated as of March 28, 2001 between First Security
Bank, National Association (now Wells Fargo Bank Northwest, National
Association), as owner trustee, as lessor, and Gulf Air Company G.S.C., as
lessee, with General Terms Engine Lease Agreement dated March 28, 2001
attached thereto, which was recorded by the FAA on April 2, 2001 and
assigned Conveyance No. HK020735,

 

as
assigned and assumed by Engine 731812 First Transfer Assignment and Assumption
Agreement and Bill of Sale dated as of December 31, 2002 between Wells
Fargo Bank Northwest, N.A., as owner trustee, as assignor, and Willis Lease
Finance Corporation (“Willis”), as assignee, which was recorded by the FAA on January 23,
2003 and assigned Conveyance No. KK031329,

 

as
further assigned and assumed by Engine or Beneficial Interest Transfer
Certificate dated as of December 31, 2002 between Willis, as seller, and
Willis Engine Funding LLC (“WEF”), as issuer, which was recorded by the FAA on January 23,
2003 and assigned Conveyance No. KK031330,

 

and
as further assigned and assumed by Engine 731812 Assignment and Assumption
Agreement and Bill of Sale dated as of December 31, 2002 between WEF, as
assignor, and Wells Fargo Bank Northwest, National Association, as owner
trustee, which was recorded by the FAA on January 23, 2003 and assigned
Conveyance No. KK031331.

 

Engine 731999:

 

Aircraft
Engine Lease Agreement dated as of March 28, 2001 between First Security
Bank, National Association (now Wells Fargo Bank Northwest, National
Association), as owner trustee, as lessor, and Gulf Air Company G.S.C., as
lessee, with General Terms Engine Lease Agreement dated March 28, 2001
attached thereto, which Lease Agreement and

 

13

 

attachment were recorded by the FAA on April 2, 2001 and assigned
Conveyance No. HK020733,

 

as
assigned and assumed by Engine 731999 First Transfer Assignment and Assumption
Agreement and Bill of Sale dated as of December 31, 2002 between Wells
Fargo Bank Northwest, N.A., as owner trustee, as assignor, and Willis Lease
Finance Corporation (“Willis”), as assignee, which was recorded by the FAA on February 27,
2003 and assigned Conveyance No. VV019879,

 

as further assigned and assumed by Engine or
Beneficial Interest Transfer Certificate dated as of December 31, 2002
between Willis, as seller, and Willis Engine Funding LLC (“WEF”), as issuer,
which was recorded by the FAA on February 27, 2003 and assigned Conveyance
No. VV019880,

 

and
as further assigned and assumed by Engine 731999 Assignment and Assumption
Agreement and Bill of Sale dated as of December 31, 2002 between WEF, as
assignor, and Wells Fargo Bank Northwest, National Association, as owner
trustee, which was recorded by the FAA on February 27, 2003 and assigned
Conveyance No. VV019881.

 

Engine 733172*:

 

Aircraft
Engine Lease Agreement dated as of February 7, 2005 between Wells Fargo
Bank Northwest, National Association, as owner trustee (the “Owner Trustee”),
as lessor, and Air Luxor S.A. (“Air Luxor”), as lessee, with the following
attached thereto: (i) General Terms Engine Lease Agreement dated as of February 7,
2005 between the Owner Trustee, and Air Luxor, which the lease and attachment
were recorded by the FAA on March 22, 2005 and assigned Conveyance No. HH039337.

 

* As of July 31, 2005, Air Luxor owes
rent in the amount of $58,000 and maintenance reserves in the amount of $31,940
for the total amount of $89,940.

 

Engine 733175*

 

Aircraft
Engine Lease Agreement dated as of April 20, 2005 (the “Head Lease”)
between Wells Fargo Bank Northwest, National Association, as owner trustee (the
“Owner Trustee”), as lessor, and WLFC Funding (Ireland) Limited (“WLFC Ireland”),
as lessee, with the following attached thereto: (i) General Terms Engine
Lease Agreement dated as of June 2, 2003 between the Owner Trustee and
WLFC Ireland, which was recorded by the FAA on April 25, 2005 and assigned
Conveyance No. FF004470.

 

* As of July 31, 2005, Windjet SpA owes rent in the
amount of $63,000. Windjet SpA is the subleassee under a Lease Agreement
dated as of April 20, 2005 between WLFC
Ireland and Windjet SpA.

 

14

 

Engine 733186:

 

Aircraft
Engine Lease Agreement dated as of January 4, 2005 between Wells Fargo
Bank Northwest, N.A., as owner trustee (the “Owner Trustee”), as lessor, and
Onur Air Tasimacilik A.S. (“Onur”), as lessee, with the following attached
thereto: (i) General Terms Engine lease dated as of January 4, 2005
between the Owner Trustee and Onur, which lease and attachment were recorded by
the FAA on January 19, 2005 as assigned Conveyance No. RS001111, as
amended by Lease Amendment dated March 30, 2005, which was recorded by the
FAA on May 11, 2005 and assigned Conveyance No. M006282, as further
amended by Lease Amendment dated July 14, 2005 which has been filed with
the FAA on July 21, 2005, but not yet recorded.

 

Engine 733438:

 

Aircraft
Engine Lease Agreement dated as of November 29, 2000 between First
Security Bank, National Association, now Wells Fargo Bank Northwest, National
Association, as owner trustee, as lessor, and SR Technics AG, as lessee, with
General Terms Engine Lease Agreement dated November 29, 2000 attached
thereto, which was recorded by the FAA on February 1, 2001 and assigned
Conveyance No. HK020200,

 

as
assigned and assumed by First Transfer Master Assignment and Assumption
Agreement and Bill of Sale [WLFC] dated September 16, 2002, between Wells
Fargo Bank Northwest, National Association, as owner trustee, as assignor, and
WLFC Funding Corporation, as assignee, which was recorded by the FAA on December 6,
2002 and assigned Conveyance No. J001809,

 

as
further assigned and assumed by Contribution and Sale Agreement dated as of September 12,
2002 between Willis Lease Finance Corporation (as successor by merger to WLFC
Funding Corporation), as seller/assignor, and Willis Engine Funding LLC, as
issuer/assignee, with Engine and Beneficial Interest Transfer Certificate dated
September 16, 2002 between Willis Lease Finance Corporation, as assignor,
and Willis Engine Funding LLC, as assignee, attached thereto, which was
recorded by the FAA on December 6, 2002 and assigned Conveyance No. J001810,

 

as
further assigned and assumed by Engine 733438 Assignment and Assumption
Agreement and Bill of Sale dated as of October 29, 2002 between Willis
Engine Funding LLC, as assignor, and Wells Fargo Bank Northwest, National
Association, as owner trustee, as assignee, which was recorded by the FAA on December 9,
2002 and assigned Conveyance No. JJ001839.

 

Engine 733471:

 

Aircraft
Engine Lease Agreement dated as of November 29, 2000 between First
Security Bank, National Association, now Wells Fargo Bank Northwest, National
Association, as owner trustee, as lessor, and SR Technics AG, as lessee, with
General Terms Engine Lease

 

15

 

Agreement dated November 29, 2000 attached thereto, which was
recorded by the FAA on May 7, 2001 and assigned Conveyance No. H101988.

 

Engine 733715:

 

Aircraft
Engine Lease Agreement dated as of March 31, 2005 between Wells Fargo Bank
Northwest, National Association, as owner trustee (the “Owner Trustee”), as
lessor, and Transmile Air Services SDN. BHD, as lessee (the “Lessee”), with the
following attached thereto: (i) General Terms Engine Lease Agreement dated
as of March 10, 2005 between the Owner Trustee, as lessor, and the Lessee,
which lease and attachment were recorded by the FAA on April 5, 2005 and
assigned Conveyance No. K039780.

 

Engine 733758:

 

Aircraft
Engine Lease Agreement dated as of March 31, 2005 between Wells Fargo Bank
Northwest, National Association, as owner trustee (the “Owner Trustee”), as
lessor, and Transmile Air Services SDN. BHD, as lessee (the “Lessee”), with the
following attached thereto: (i) General Terms Engine Lease Agreement dated
as of March 10, 2005 between the Owner Trustee, as lessor, and the Lessee,
which lease and attachment were recorded by the FAA on June 2, 2005 and
assigned Conveyance No. KK035558.

 

Engine 740342:

 

Aircraft
Engine Lease Agreement dated as of May 3, 2001 between Wells Fargo Bank
Northwest, National Association, formerly First Security Bank, National
Association, as owner trustee, as lessor, and Gulf Air Company G.S.C., as
lessee, with General Terms Engine Lease Agreement dated March 28, 2001
attached thereto, which Lease Agreement and attachment were recorded by the FAA
on May 7, 2001 and assigned Conveyance No. Q67587,

 

as
assigned and assumed by First Transfer Master Assignment and Assumption
Agreement and Bill of Sale [WLFC] dated September 16, 2002, between Wells
Fargo Bank Northwest, National Association, as owner trustee, as assignor, and
WLFC Funding Corporation, as assignee, which was recorded by the FAA on December 6,
2002 and assigned Conveyance No. J001809,

 

as
further assigned and assumed by Contribution and Sale Agreement dated as of September 12,
2002 between Willis Lease Finance Corporation (as successor by merger to WLFC
Funding Corporation), as seller/assignor, and Willis Engine Funding LLC, as
issuer/assignee, with Engine and Beneficial Interest Transfer Certificate dated
September 16, 2002 between Willis Lease Finance Corporation, as assignor,
and Willis Engine Funding LLC, as assignee, attached thereto, which was
recorded by the FAA on December 6, 2002 and assigned Conveyance No. J001810,

 

and
as further assigned and assumed by Final Transfer Master Assignment and
Assumption Agreement and Bill of Sale dated as of September 16, 2002
between Willis Engine Funding LLC, as assignor, and Wells Fargo Bank Northwest,
National Association, as owner

 

16

 

trustee, as assignee, which was recorded by the FAA on December 6,
2002 and assigned Conveyance No. J001812.

 

Engine 741414:

 

Aircraft
Engine Lease Agreement dated as of May 3, 2001 between Wells Fargo Bank
Northwest, National Association, formerly First Security Bank, National
Association, as owner trustee, as lessor, and Gulf Air Company G.S.C., as
lessee, with General Terms Engine Lease Agreement dated March 28, 2001
attached thereto, which Lease Agreement and attachment were recorded by the FAA
on May 7, 2001 and assigned Conveyance No. Q67589,

 

as
assigned and assumed by First Transfer Master Assignment and Assumption
Agreement and Bill of Sale [WLFC] dated September 16, 2002, between Wells
Fargo Bank Northwest, National Association, as owner trustee, as assignor, and
WLFC Funding Corporation, as assignee, which was recorded by the FAA on December 6,
2002 and assigned Conveyance No. J001809,

 

as
further assigned and assumed by Contribution and Sale Agreement dated as of September 12,
2002 between Willis Lease Finance Corporation (as successor by merger to WLFC
Funding Corporation), as seller/assignor, and Willis Engine Funding LLC, as
issuer/assignee, with Engine and Beneficial Interest Transfer Certificate dated
September 16, 2002 between Willis Lease Finance Corporation, as assignor,
and Willis Engine Funding LLC, as assignee, attached thereto, which was
recorded by the FAA on December 6, 2002 and assigned Conveyance No. J001810,

 

and
as further assigned and assumed by Final Transfer Master Assignment and
Assumption Agreement and Bill of Sale dated as of September 16, 2002
between Willis Engine Funding LLC, as assignor, and Wells Fargo Bank Northwest,
National Association, as owner trustee, as assignee, which was recorded by the
FAA on December 6, 2002 and assigned Conveyance No. J001812.

 

Engine 741573*:

 

Aircraft
Engine Lease Agreement dated as of August 17, 2004 between Wells Fargo
Bank Northwest, National Association, as owner trustee (the “Owner Trustee “),
as lessor, and IBERIA, L.A.E., S.A. (“IBERIA”), as lessee, with the following
attached thereto: (i) General Terms Engine Lease Agreement dated as of October 3,
2002 between the Owner Trustee, as lessor, and IBERIA, as lessee, which lease
and attachment were recorded by the FAA on September 30, 2004 and assigned
Conveyance No. Y010276.

 

* See Engine 727393 for payment default
information.

 

Engine 741822*:

 

Aircraft
Engine Lease Agreement dated as of June 13, 2002 between Wells Fargo Bank
Northwest, National Association as owner trustee, as lessor, and Olympic
Airways, S.A.,

 

17

 

as lessee, with General Terms Engine Lease Agreement dated June 13,
2002 attached thereto, which was recorded by the FAA on July 8, 2002 and
assigned Conveyance No. I070362,

 

as assigned and assumed by Engine 741822 First
Transfer Assignment and Assumption Agreement and Bill of Sale dated as of March 18,
2003 between Wells Fargo Bank Northwest, N.A., as owner trustee, as assignor,
and Willis Lease Finance Corporation (“Willis”), as assignee, regarding the
Lease Agreement, which was recorded by the FAA on April 1, 2003 and
assigned Conveyance No. W002385,

 

as further assigned and assumed by Engine or
Beneficial Interest Transfer Certificate dated as of March 18, 2003
between Willis, as seller, and Willis Engine Funding LLC (“WEF”), as issuer,
which was recorded by the FAA on April 1, 2003 and assigned Conveyance No. W002386,

 

and as further assigned and assumed by Engine 741822
Assignment and Assumption Agreement and Bill of Sale dated as of March 18,
2003 between WEF, as assignor, and Wells Fargo Bank Northwest, National
Association, as owner trustee, as assignee, which was recorded by the FAA on April 1,
2003 and assigned Conveyance No. W002387.

 

* See Engine
695530 for payment default information.

 

Engine 779194:

 

Aircraft
Engine Lease Agreement dated as of June 19, 1998 between Willis Lease
Finance Corporation ( “Willis”), as lessor, and Air Jamaica Limited, as lessee,
with General Terms Engine Lease Agreement dated as of June 19, 1998,
attached thereto, which lease and attachment were recorded by the FAA as one
instrument on August 5, 1998, and assigned Conveyance No. KK22899,

 

as
amended by Letter Amendment dated January 25, 1999, which was recorded by
the FAA on September 9, 1999, and assigned Conveyance No. MM018466,

 

as
assigned and assumed under that certain Engine Transfer Certificate dated as of
August 27, 1999 between Willis, as seller, and WLFC Funding Corporation,
as issuer, which was recorded by the FAA on August 31, 1999 and assigned
Conveyance No. II015208,

 

as
assigned and assumed by Contribution and Sale Agreement dated as of September 12,
2002 between Willis (as successor by merger to WLFC Funding Corporation), as
seller/assignor, and Willis Engine Funding LLC, as issuer/assignee, with Engine
and Beneficial Interest Transfer Certificate dated September 16, 2002
between Willis, as assignor, and Willis Engine Funding LLC, as assignee,
attached thereto, which was recorded by the FAA on December 6, 2002 and
assigned Conveyance No. J001810,

 

and
as further assigned and assumed by Engine 779194 Assignment and Assumption
Agreement and Bill of Sale dated as of October 4, 2002 between Willis
Engine Funding LLC, as assignor, and Wells Fargo Bank Northwest, National
Association, as owner

 

18

 

trustee, as assignee, which was recorded by the FAA on March 3,
2003 and assigned Conveyance No. VV019884.

 

Engine 779484:

 

Aircraft
Engine Lease Agreement dated as of December 22, 1998 between Willis Lease
Finance Corporation (“Willis”), as lessor, and Flying Colours Airlines Limited,
now JMC Airlines Limited (“JMC”), as lessee, with General Terms Engine Lease
Agreement dated as of December 21, 1998 between Willis and JMC attached
thereto, which was recorded by the FAA on January 4, 1999 and assigned
Conveyance No. ZZ018400,

 

as
assigned and assumed by Engine Transfer Certificate dated as of January 15,
1999 between Willis, as assignor, and WLFC Funding Corporation, as assignee,
which was recorded by the FAA on May 10, 1999 and assigned Conveyance No. II014049,

 

as
further assigned and assumed by Contribution and Sale Agreement dated as of September 12,
2002 between Willis (as successor by merger to WLFC Funding Corporation), as
seller/assignor, and Willis Engine Funding LLC, as issuer/assignee, with Engine
and Beneficial Interest Transfer Certificate between Willis, as assignor, and
Willis Engine Funding LLC, as assignee, attached thereto, which was recorded by
the FAA on December 6, 2002 and assigned Conveyance No. J001810;

 

as
further assigned and assumed by Final Transfer Master Assignment and Assumption
Agreement and Bill of Sale dated September 16, 2002 between Willis Engine
Funding LLC, as assignor, and Wells Fargo Bank Northwest, National Association,
as owner trustee, which was recorded by the FAA on December 6, 2002 and
assigned Conveyance No. J001812; and

 

as
further amended by Letter Amendment dated December 10, 2002 between Wells
Fargo Bank Northwest, National Association, as owner trustee, as lessor, and
JMC, as lessee, which was recorded by the FAA on February 4, 2003 and
assigned Conveyance No. SS019159.

 

as
further amended by Letter Amendment dated February 21, 2003 between Wells
Fargo Bank Northwest, National Association, as owner trustee, as lessor, and
JMC, as lessee, which was recorded by the FAA on March 26, 2003 and
assigned Conveyance No. U081094,

 

as
further amended by Letter Amendment dated July 31, 2003 between Wells
Fargo Bank Northwest, National Association, as owner trustee, as lessor, and
Thomas Cook Airlines UK Limited (formerly Flying Colours Airlines Limited and
formerly JMC Airlines Limited), as lessee, which was recorded by the FAA on August 27,
2003 and assigned Conveyance No. BB039449.

 

19

 

Engine 856690*:

 

Aircraft Engine Lease Agreement dated as of March 3,
2005 between Wells Fargo Bank Northwest, National Association, as owner trustee
(the “Owner Trustee”), as lessor, and Sichuan Snecma Aero-Engine Maintenance
Co. Ltd., as lessee (the “Lessee”), with the following attached thereto: (i) General
Terms Engine Lease Agreement dated as of March 2, 2005 between the Owner
Trustee, as lessor, and the Lessee, which lease and attachment were recorded by
the FAA on March 22, 2005 and assigned Conveyance No. L077809,

 

as
amended by Letter Amendment dated April 14, 2005 between the Owner
Trustee, as lessor, and the Lessee, which was recorded by the FAA on May 11,
2005 and assigned Conveyance No. KK035407.

 

* As of July 31, 2005, Lessee owes rent
in the amount of $135,000 and maintenance reserves in the amount of $148,528
for the total amount of $283,528.

 

Engine 858327*:

 

Aircraft
Engine Lease Agreement dated as of October 24, 2003 between Wells Fargo
Bank Northwest, National Association, as owner trustee (the “Owner Trustee”),
as lessor, and “VARIG”, S.A. (Viacão Aérea Rio-Grandense), as lessee, with the
following attached thereto: (i) General Terms Engine Lease Agreement dated
as of October 24, 2003, which lease and attachment were recorded by the
FAA on December 8, 2003 and assigned Conveyance No. CC017813,

 

as
amended by Amendment No. 1 to the Lease Agreement between the Owner
Trustee and VARIG, which was recorded by the FAA on November 19, 2004 and
assigned Conveyance No. QQ030203,

 

as
further amended by Amendment No. 2 (858327) dated as of September 24,
2004 between the Owner Trustee and VARIG, which was recorded by the FAA on December 29,
2004 and assigned Conveyance No. Z004502,

 

and as further amended by Amendment No. 3 to
the Lease Agreement between the Owner Trustee and VARIG, which was recorded May 5,
2005 and assigned Conveyance No. XX028726.

 

* See Engine 704371 for payment default
information.

 

Engine 858788:

 

Aircraft
Engine Lease Agreement dated as of March 16, 1998 between Willis Lease
Finance Corporation (“Willis”), as lessor, and Rio-Sul Servicos Aereos
Regionais S.A. (now known as Rio-Sul Linhas Aereas S.A.), as lessee, with the
following attached thereto: (i) General Terms Engine Lease Agreement dated
as of February 27, 1998, and (ii) Engine Transfer Certificate dated
as of March 16, 1998, between Willis, as seller, and WLFC Funding

 

20

 

Corporation, as issuer, which lease and attachments were recorded by
the FAA on March 31, 1998 and assigned Conveyance No. H93122,

 

as
assigned by Assignment and Bill of Sale dated as of June 12, 2002 between
WLFC Funding Corporation, as assignor, and Wells Fargo Bank Northwest, National
Association, as owner trustee, as assignee, which was recorded by the FAA on July 23,
2002 and assigned Conveyance No. W000961,

 

as
amended by Amendment No. 1 to the Lease Agreement dated May 30, 2003,
which was recorded by the FAA on February 10, 2004 and assigned Conveyance
No. Y007282,

 

as
amended by Amendment No. 2 to the Lease Agreement July 14, 2003,
which was recorded by the FAA on August 27, 2003 and assigned Conveyance No. T072906,

 

as
further amended by Amendment No. 3 to the Lease Agreement dated as of November 14,
2003, which was recorded by the FAA on May 3, 2004 and assigned Conveyance
No. M004010,

 

as
further amended by Amendment No. 4 to the Lease Agreement dated March 16,
2004, which was recorded by the FAA on November 17, 2004 and assigned
Conveyance No. QQ030180, and

 

as
further amended by Amendment No. 5 to the Lease Agreement dated March 16,
2005, which was recorded by the FAA on May 5, 2005 and assigned Conveyance
No. XX028727.

 

Engine 858789*:

 

Aircraft
Engine Lease Agreement dated as of March 16, 1998 between Willis Lease
Finance Corporation (“Willis”), as lessor, and Rio-Sul Servicos Aereos
Regionais S.A., now known as Rio Sul Linhas Aereas S.A., as lessee, with the
following attached thereto: (i) General Terms Engine Lease Agreement dated
as of February 27, 1998, and (ii) Engine Transfer Certificate dated
as of March 16, 1998 between Willis, as seller, and WLFC Funding
Corporation, as issuer, which lease and attachments were recorded by the FAA on
March 31, 1998 and assigned Conveyance No. H93123,

 

as
assigned and assumed by Assignment and Bill of Sale dated as of June 12,
2002 between WLFC Funding Corporation, as assignor, and Wells Fargo Bank
Northwest, National Association, as owner trustee, as assignee, which was
recorded by the FAA on July 23, 2002 and assigned Conveyance No. W000964,

 

as amended by Amendment No. 1 to the Lease
Agreement dated May 30, 2003, which was recorded by the FAA on February 10,
2004 and assigned Conveyance No. Y007283,

 

21

 

as further amended by Amendment No. 2 to the
Lease Agreement dated July 14, 2003, which was recorded by the FAA on August 27,
2003 and assigned Conveyance No. T072907,

 

as further amended by Amendment No. 3 to the
Lease Agreement dated November 14, 2003, which was recorded by the FAA on May 3,
2004 and assigned Conveyance No. M004009,

 

as further amended by Amendment No. 4 to the
Lease Agreement, recorded by the FAA on November 17, 2004 and assigned
Conveyance No. QQ030181,

 

and further amended by Amendment No. 5 to the
Lease Agreement dated March 16, 2005, which was recorded by the FAA on May 5,
2005 and assigned Conveyance No. XX028728.

 

* Rio Sul
Linhas Aereas S.A. owes pre-petition rent in the amount of $164,760 and
pre-petition maintenance reserves in the amount of 103,994 for the total amount
of $268,754.

 

Engine 872554*:

 

Aircraft
Engine Lease Agreement dated April 25, 2002 between Amtec Corporation (“Amtec”),
as lessor, and Lufthansa A.E.R.O. GmbH (“Lufthansa”), as lessee, which was
recorded by the FAA on May 15, 2002 and assigned Conveyance No. NN023243,

 

as
amended by Amendment No. 1 to Aircraft Engine Lease Agreement dated March 14,
2003 between Amtec, as lessor, and Lufthansa, as lessee, which was recorded by
the FAA on May 20, 2003 and assigned Conveyance No. J003039,

 

as assigned and assumed by Lease Assignment and
Assumption Agreement dated as of June 4, 2003 between Amtec, as assignor,
and Willis Lease Finance Corporation (“Willis”), as assignee, which was
recorded by the FAA on July 11, 2003 and assigned Conveyance No. T072529,

 

as assigned and assumed by Engine or Beneficial
Interest Transfer Certificate 872554 dated as of May 12, 2003 between
Willis, as seller, and Willis Engine Funding LLC (“WEF”), as issuer, which was
recorded by the FAA on July 11, 2003 and assigned Conveyance No. T072530,

 

as further assigned and assumed by Engine 872554
Assignment and Assumption Agreement and Bill of Sale dated as of May 12,
2003 between WEF, as assignor, and Wells Fargo Bank Northwest, National
Association, as owner trustee, as assignee, which was recorded by the FAA on July 11,
2003 and assigned Conveyance No. T072531.

 

* As of July 31,
2005, Lufthansa owes rent in the amount of $14,350 and maintenance reserves in
the amount of $2,146 for the total amount of $16,496.

 

22

 

Engine 874243:

 

Aircraft
Engine Lease Agreement dated as of April 29, 1998 between Willis Lease
Finance Corporation (“Willis”) as lessor, and Shanghai Airlines (“Shanghai”) as
lessee, with the following attached thereto: 
(i) General Terms Engine Lease Agreement dated as of April 29,
1998 between Willis and Shanghai, and (ii) Engine Transfer Certificate
dated as of April 29, 1998 between Willis, as seller, and WLFC Funding
Corporation (now Willis by merger), as issuer, which was recorded by the FAA on
June 11, 1998 and assigned Conveyance No. MM015772 (the Engine
Transfer Certificate was recorded separately by the FAA on June 11, 1998
and assigned Conveyance No. MM015773),

 

as
assigned and assumed by Contribution and Sale Agreement dated as of September 12,
2002 between Willis (as successor by merger to WLFC Funding Corporation), as
seller/assignor, and Willis Engine Funding LLC, as issuer/assignee, with Engine
and Beneficial Interest Transfer Certificate dated September 16, 2002
attached thereto, which was which was recorded by the FAA on December 6,
2002 and assigned Conveyance No. J001810,

 

and
as further assigned and assumed by Final Transfer Master Assignment and
Assumption Agreement and Bill of Sale dated as of September 16, 2002
between Willis Engine Funding LLC, as assignor, and Wells Fargo Bank Northwest,
National Association, as owner trustee, as assignee, which was recorded by the
FAA on December 6, 2002 and assigned Conveyance No. J001812,

 

as amended by Letter Amendment dated April 15,
2005 between Wells Fargo Bank Northwest, National Association, as owner
trustee, as lessor, and Shanghai, as lessee, which was recorded by the FAA on May 6,
2005 and assigned Conveyance No. U086162.

 

Engine 876272*:

 

Aircraft
Engine Lease Agreement dated as of December 31, 2001 between Wells Fargo
Bank Northwest, National Association, as owner trustee (the “Owner Trustee”),
as lessor, and Air China, as lessee (“Lessee”), with Air China Group Import &
Export Trading Co. (the “Company”) joining as consenting party, with the
following attached thereto:  (i) General
Terms Engine Lease Agreement dated February 15, 2001 between the Owner
Trustee as lessor, and the Lessee as lessee, with the Company joining as
consenting party, and Willis Lease Finance Corporation joining as beneficiary,
which lease and attachments were recorded by the FAA on April 12, 2002 and
assigned Conveyance No. KK030104,

 

as
amended by Letter Amendment dated June 27, 2001 between Wells Fargo Bank
Northwest, National Association, as owner trustee, and Air China, as lessee,
(and also signed by Air China Group Import & Export Trading Co. and
Willis Lease Finance Corporation), which was recorded by the FAA on July 10,
2001 and assigned Conveyance No. ZZ024939,

 

as assigned and assumed by 876272 First Transfer
Assignment and Assumption Agreement and Bill of Sale dated as of February 25,
2005 between Wells Fargo Bank Northwest,

 

23

 

N.A., as owner trustee, as assignor, and Willis Lease Finance
Corporation (“Willis”), as assignee, which was recorded by the FAA on March 4,
2005 and assigned Conveyance No. J009056,

 

as
assigned and assumed by Engine or Beneficial Interest Transfer Certificate
dated as of February 25, 2005 between Willis, as seller, and Willis Engine
Funding LLC (“WEF”), as issuer, which was recorded by the FAA on March 4,
2005 and assigned Conveyance No. J009057,

 

as further assigned and assumed by Engine 876272
Assignment and Assumption Agreement and Bill of Sale dated as of February 25,
2005 between WEF, as assignor, and Wells Fargo Bank Northwest, National
Association, as owner trustee, as assignee, which was recorded by the FAA on March 4,
2005 and assigned Conveyance No. J009058.

 

* As of July 31,
2005, Lessee owes rent in the amount of $165,000 and maintenance reserves in
the amount of $31,279 for the total amount of $196,279.

 

Engine 888763*:

 

Aircraft
Engine Lease Agreement dated as of September 30, 2004  between Wells Fargo Bank Northwest, National
Association, as owner trustee, as lessor, and “VARIG”, S.A. (Viacão Aérea
Rio-Grandense), as lessee, with the following attached thereto: (i) General
Terms Engine Lease Agreement dated as of October 24, 2003, (ii) Side
Letter No. 1 to the Lease Agreement dated September 30, 2004, which
lease and attachments were recorded by the FAA as one instrument on November 17,
2004 and assigned Conveyance No. J008060,

 

as assigned and assumed by Engine 888763 First
Transfer Assignment and Assumption Agreement and Bill of Sale dated as of February 4,
2005 between Wells Fargo Bank Northwest, N.A., as owner trustee, as assignor,
and Willis Lease Finance Corporation (“Willis”), as assignee, which was
recorded by the FAA on March 28, 2005 and assigned Conveyance No. Q074365,

 

as assigned and assumed by Engine or Beneficial
Interest Transfer Certificate dated as of February 4, 2005 between Willis
Engine Funding LLC (“WEF”), as issuer/assignee, and Willis, as seller/assignor,
which was recorded by the FAA on March 28, 2005 and assigned Conveyance No. Q074366,

 

as further assigned and assumed by Engine 888763
Assignment and Bill of Sale dated as of February 4, 2005 between WEF, as
assignor, and Wells Fargo Bank Northwest, National Association, as owner trustee,
as assignee, which was recorded by the FAA on March 28, 2005 and assigned
Conveyance No. Q074367.

 

* See Engine 704371 for payment default
information.

 

24

 

Engine 890704:

 

Aircraft
Engine Lease Agreement dated as of January 14, 2004 between Wells Fargo
Bank Northwest, N.A., as owner trustee, as lessor, and GOL Transportes Aereos
S.A., as lessee, with General Terms Engine Lease Agreement attached thereto,
which was recorded by the FAA on February 12, 2004 and assigned Conveyance
No. E003590,

 

as assigned and assumed by Engine 890704 First
Transfer Assignment and Assumption Agreement and Bill of Sale dated as of January 14,
2005 between Wells Fargo Bank Northwest, N.A., as owner trustee, as assignor,
and Willis Lease Finance Corporation (“Willis”), as assignee, which was
recorded by the FAA on February 15, 2005 and assigned Conveyance No. MM027357,

 

as assigned and assumed by Engine or Beneficial
Interest Transfer Certificate 890704 dated as of January 14, 2005 between
Willis, as seller, and Willis Engine Funding LLC (“WEF”), as issuer, which was
recorded by the FAA on February 15, 2005 and assigned Conveyance No. MM027358,

 

as further assigned and assumed by Engine 890704
Assignment and Assumption Agreement and Bill of Sale dated as of January 14,
2005 between WEF, as assignor, and Wells Fargo Bank Northwest, National
Association, as owner trustee, as assignee, whereby which was recorded by the
FAA on February 15, 2005 and assigned Conveyance No. MM027359.

 

Engine 890988:

 

Aircraft
Engine Lease Agreement dated as of September 10, 2004  between Wells Fargo Bank Northwest, National
Association, as owner trustee, as lessor, and Aerovias de Mexico, S.A. de C.V.,
as lessee, with the following attached hereto: 
(i) General Terms Engine lease dated as of February 3, 2003
and Amendment No. 1 thereto dated October 15, 2003, which lease and
attachments were recorded by the FAA on October 25, 2004 and assigned
Conveyance No. R065506.

 

25

 

EXHIBIT 3.01(k)

 

Initial Engines and Remaining
Engines 

 

Initial Engines

 

	
  Manufacturer

  	
   

  	
  Model

  	
   

  	
  ESN

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Rolls
  Royce

  	
   

  	
  RB211-535E4

  	
   

  	
  30771

  
	
  Rolls
  Royce

  	
   

  	
  3007A

  	
   

  	
  311498

  
	
  Rolls
  Royce

  	
   

  	
  3007A

  	
   

  	
  312234

  
	
  CFM
  International

  	
   

  	
  CFM56-5B

  	
   

  	
  575283

  
	
  CFM
  International

  	
   

  	
  CFM56-5B

  	
   

  	
  575573

  
	
  CFM
  International

  	
   

  	
  CFM56-5B

  	
   

  	
  577214

  
	
  General
  Electric

  	
   

  	
  CF6-80C2A

  	
   

  	
  695530

  
	
  General
  Electric

  	
   

  	
  CF6-80C2B

  	
   

  	
  704371

  
	
  General
  Electric

  	
   

  	
  CF6-80C2B

  	
   

  	
  704447

  
	
  General
  Electric

  	
   

  	
  CF6-80C2D1F

  	
   

  	
  704638

  
	
  Pratt &
  Whitney

  	
   

  	
  JT8D-200

  	
   

  	
  708173

  
	
  Pratt &
  Whitney

  	
   

  	
  PW2037

  	
   

  	
  716430

  
	
  Pratt &
  Whitney

  	
   

  	
  JT8D-200

  	
   

  	
  716779

  
	
  Pratt &
  Whitney

  	
   

  	
  JT8D-200

  	
   

  	
  718210

  
	
  Pratt &
  Whitney

  	
   

  	
  JT8D-200

  	
   

  	
  718262

  
	
  CFM
  International

  	
   

  	
  CFM56-3C1

  	
   

  	
  721877

  
	
  Pratt &
  Whitney

  	
   

  	
  PW4060

  	
   

  	
  724721

  
	
  Pratt &
  Whitney

  	
   

  	
  PW4158

  	
   

  	
  724862

  
	
  CFM
  International

  	
   

  	
  CFM56-3C1

  	
   

  	
  725183

  
	
  Pratt &
  Whitney

  	
   

  	
  JT8D-200

  	
   

  	
  725434

  
	
  CFM
  International

  	
   

  	
  CFM56-3C1

  	
   

  	
  725522

  
	
  Pratt &
  Whitney

  	
   

  	
  JT8D-200

  	
   

  	
  726169

  
	
  Pratt &
  Whitney

  	
   

  	
  JT8D-200

  	
   

  	
  726173

  
	
  Pratt &
  Whitney

  	
   

  	
  JT8D-200

  	
   

  	
  726195

  
	
  Pratt &
  Whitney

  	
   

  	
  JT8D-200

  	
   

  	
  726203

  
	
  Pratt &
  Whitney

  	
   

  	
  PW2037

  	
   

  	
  727057

  
	
  CFM
  International

  	
   

  	
  CFM56-3C1

  	
   

  	
  727255

  
	
  Pratt &
  Whitney

  	
   

  	
  PW4060

  	
   

  	
  727340

  
	
  Pratt &
  Whitney

  	
   

  	
  PW4060

  	
   

  	
  727393

  
	
  Pratt &
  Whitney

  	
   

  	
  JT8D-200

  	
   

  	
  728154

  
	
  Pratt &
  Whitney

  	
   

  	
  JT8D-200

  	
   

  	
  728173

  
	
  CFM
  International

  	
   

  	
  CFM56-5A

  	
   

  	
  731570

  
	
  CFM
  International

  	
   

  	
  CFM56-5A

  	
   

  	
  731812

  
	
  CFM
  International

  	
   

  	
  CFM56-5A

  	
   

  	
  731999

  
	
  CFM
  International

  	
   

  	
  CFM56-5A

  	
   

  	
  733172

  
	
  CFM
  International

  	
   

  	
  CFM56-5A

  	
   

  	
  733175

  
	
  CFM
  International

  	
   

  	
  CFM56-5A

  	
   

  	
  733186

  
	
  Pratt &
  Whitney

  	
   

  	
  PW4168A

  	
   

  	
  733438

  
	
  Pratt &
  Whitney

  	
   

  	
  PW4168A

  	
   

  	
  733471

  

 

1

 

	
  Pratt &
  Whitney

  	
   

  	
  PW4168A

  	
   

  	
  733587

  
	
  Pratt &
  Whitney

  	
   

  	
  PW4462-3

  	
   

  	
  733715

  
	
  Pratt &
  Whitney

  	
   

  	
  PW4462-3

  	
   

  	
  733758

  
	
  CFM
  International

  	
   

  	
  CFM56-5C

  	
   

  	
  740342

  
	
  CFM
  International

  	
   

  	
  CFM56-5C

  	
   

  	
  741414

  
	
  CFM
  International

  	
   

  	
  CFM56-5C

  	
   

  	
  741573

  
	
  CFM
  International

  	
   

  	
  CFM56-5C

  	
   

  	
  741822

  
	
  CFM
  International

  	
   

  	
  CFM56-5B

  	
   

  	
  779194

  
	
  CFM
  International

  	
   

  	
  CFM56-5B

  	
   

  	
  779484

  
	
  CFM
  International

  	
   

  	
  CFM56-3C1

  	
   

  	
  856690

  
	
  CFM
  International

  	
   

  	
  CFM56-3C1

  	
   

  	
  858327

  
	
  CFM
  International

  	
   

  	
  CFM56-3C1

  	
   

  	
  858788

  
	
  CFM
  International

  	
   

  	
  CFM56-3C1

  	
   

  	
  858789

  
	
  General
  Electric

  	
   

  	
  CF34-3A/B

  	
   

  	
  872554

  
	
  CFM
  International

  	
   

  	
  CFM56-7B

  	
   

  	
  874243

  
	
  CFM
  International

  	
   

  	
  CFM56-7B

  	
   

  	
  876272

  
	
  CFM
  International

  	
   

  	
  CFM56-7B

  	
   

  	
  888763

  
	
  CFM
  International

  	
   

  	
  CFM56-7B

  	
   

  	
  890704

  
	
  CFM
  International

  	
   

  	
  CFM56-7B

  	
   

  	
  890988

  

 

Remaining Engines

 

	
  Manufacturer

  	
   

  	
  Model

  	
   

  	
  ESN

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
  General
  Electric

  	
   

  	
  CF6-80C2B

  	
   

  	
  695344

  
	
  General
  Electric

  	
   

  	
  CF6-80C2B

  	
   

  	
  702668

  
	
  General Electric

  	
   

  	
  CF6-80C2B

  	
   

  	
  695495*

  

 

	
  *  Third Remaining Engine

  	
   

  	
   

  	
   

  	
   

  

 

2Exhibit 10.35

 

WILLIS ENGINE SECURITIZATION
TRUST

$200,000,000 Series 2005-A1 Floating Rate Notes

 

NOTE PURCHASE AGREEMENT

 

As of July 28, 2005

 

UBS Securities LLC and

UBS Limited, each d.b.a.

UBS Investment Bank

1285 Avenue of the Americas, 11th Floor

New York, New York 10019

 

Ladies and Gentlemen:

 

1.  Introduction. Willis
Lease Finance Corporation, a Delaware corporation (“Willis”), has formed Willis
Engine Securitization Trust, a Delaware statutory trust (“WEST”), that
will issue Willis Engine Securitization Trust Series 2005-A1 Floating Rate
Notes (the “Notes”), in the initial aggregate principal
amount of $200,000,000, secured by (among other things) WEST’s indirect
ownership interests in certain aircraft engines (“Engines”) and operating
leases thereon. WEST will acquire its indirect ownership interest in the
Engines and related leases and other assets from Willis pursuant to an asset
transfer agreement dated as of the Closing Date (as defined below) (the “Asset Transfer Agreement”). The Notes will be issued pursuant to an
indenture dated as of the Closing Date (the “Master Indenture”) between WEST and Deutsche Bank Trust Company Americas (“Deutsche”), as
indenture trustee (in such capacity the “Indenture
Trustee”) as
supplemented by the Series 2005-A1 supplement thereto dated as of the
Closing Date (the “Series Supplement” and, together with the Master Indenture,
the “Indenture”), and secured pursuant to a security
trust agreement dated as of the Closing Date among WEST and various of WEST’s
direct and indirect subsidiaries as grantors, and Deutsche as security trustee
(in such capacity the “Security
Trustee”). Capitalized
terms used herein that are not otherwise defined have the meanings given to
them in the Indenture.

 

UBS Securities LLC (“UBSS”) and UBS Limited (“UBSL”), jointly
are doing business as UBS Investment Bank (“UBS”), a securities firm engaged in the business
of selling securities directly to purchasers or through other securities
dealers. WEST proposes to issue and sell the Notes (the “Offered Notes”) to UBS (the “Initial
Purchaser”) pursuant
to the terms and conditions of this note purchase agreement (this “Agreement”).

 

WEST will offer the Offered Notes through the Initial Purchaser for
resale without their being registered under the Act (as defined herein) in
reliance upon exemptions provided by Section 4(2) and Rule 144A
thereof and Regulation S thereunder (“Regulation S”). The Offered Notes will be
offered for resale by the Initial Purchaser (a) only (i) to persons
who are Qualified Institutional Buyers or Institutional Accredited Investors
(in each case as defined

 

 

herein), or (ii) outside the United States to persons who are
non-U.S. persons in reliance upon, and in accordance with, Regulation S
(persons satisfying the foregoing requirements, “Eligible Investors”), and (b) in accordance with any
applicable laws and the restrictions set forth in the Final Offering Memorandum
(as defined below) under the headings “Plan of Distribution” and “Transfer
Restrictions”.

 

As used herein, “Qualified
Institutional Buyer” means
a “qualified institutional buyer” within the meaning of Rule 144A under
the Securities Act of 1933, as amended (the “Act”); “U.S. Person”  means a “U.S. person” within the
meaning of Rule 902(k) of Regulation S under the Act; and “Institutional Accredited
Investor” means
either (i) an “accredited investor” within the meaning of paragraph (1),
(2), (3), or (7) of Rule 501(a) of Regulation D under the Act or
(ii) an entity all of whose equity owners fall within those paragraphs.

 

WEST has prepared and delivered to the Initial Purchaser a preliminary
private placement memorandum dated June [    ], 2005
and distributed on or about June 29, 2005 and as supplemented by the
Supplement thereto dated July 19, 2005 (as so supplemented, the “Preliminary Private Placement
Memorandum”). WEST
will prepare and deliver to the Initial Purchaser a final offering memorandum
dated on or about August 2, 2005 (the “Final
Offering Memorandum”). The
Preliminary Private Placement Memorandum and the Final Offering Memorandum and
all amendments or supplements to them, or revisions of them, and any
accompanying exhibits and supplemental offering materials delivered to any
prospective investor, are herein referred to as the “Offering Documents.”

 

2.  Offers and Sales of Offered Notes; Fees and Expenses.

 

(a) Subject to the terms and conditions contained herein and on
the basis of the representations and warranties herein set forth, WEST hereby
agrees to sell the Offered Notes to the Initial Purchaser as provided herein,
and UBSS and UBSL, as the Initial Purchaser, hereby jointly and severally agree
to purchase such Offered Notes from WEST on the Closing Date (as defined
below), in the amount and at the price (the “Purchase
Price”) set
forth on Schedule A hereto. UBSS and UBSL, as the Initial
Purchaser, have agreed that the offering of the Offered Notes will be made
during the Offering Period (and, if applicable, the Resale Period) (each as
defined below), and UBSS and UBSL, as the Initial Purchaser, jointly and
severally agree, dining the Offering Period and, if applicable, the Resale
Period,

 

(i) to use their best efforts to
identify and obtain resale orders for the Offered Notes with prospective
purchasers that the Initial Purchaser believes to be Eligible Investors;

 

(ii) to deliver the applicable Offering
Documents as approved by WEST and Willis to each prospective investor in the
Offered Notes; and

 

(iii) to solicit offers for the Offered
Notes in accordance with this Agreement.

 

2

 

“Offering Period” means the period beginning today and ending
on the earliest of

 

•     the termination of this Agreement in
accordance with Section 8,

•     the Closing Date (as defined in Section 3
below), and

•     any other date mutually agreed upon by the
Initial Purchaser, Willis and WEST.

 

“Resale Period” means the
180 day period beginning on the Closing Date, during which period any unsold
principal amount of Offered Notes that may have been purchased by the Initial
Purchaser on the Closing Date as described in Section 6(v) hereof
remains unsold by the Initial Purchaser (it being understood that no Resale
Period exists, if no such unsold amount is purchased on the Closing Date, or
continues to exist once such unsold amount that is purchased is resold by the
Initial Purchaser).

 

(b) Willis and WEST confirm that they have authorized the Initial
Purchaser to offer the Offered Notes for resale before today in a manner
consistent with this Agreement and to use the Offering Documents in connection
therewith.

 

(c) As compensation for the services of the Initial Purchaser
under this Agreement, WEST agrees to pay the Initial Purchaser a commission, in
same-day funds on the Closing Date and simultaneously with the issuance and
sale of the Offered Notes, equal to 0.80% of the original principal amount of
the Offered Notes that are purchased by the Initial Purchaser, and regardless
of whether the Offered Notes are resold to investors identified by the Initial Purchaser
or another party.   Such compensation
shall be separate from, and (as applicable) in addition to, any other
compensation which Willis and/or WEST may agree or have agreed to pay UBS in
any other capacities in which it may be acting in connection with the
structuring and sale of the Offered Notes, including without limitation the
role of Co-structuring Agent as described in the Offering Documents.

 

(d) In addition, whether or not the transactions contemplated by
this Agreement are consummated, WEST agrees to pay or cause to be paid the following
(it being understood that if WEST should fail to pay such amounts, Willis
hereby agrees to pay such expenses of UBS):

 

(i) the fees of, disbursements by, and
expenses of counsel to and accountants of the Initial Purchaser (subject to, in
the case of such amounts relating to counsel, any separate agreement limiting
such costs that UBS, WEST and Willis may enter into on or after the date
hereof) and the reasonable out-of-pocket expenses of the Initial Purchaser, in
each case incurred in connection with the offering and distribution of the
Offered Notes;

 

(ii) all expenses in connection with the
preparation, printing, and distribution of the Offering Documents and any
amendments and supplements to them or revisions of them;

 

(iii) the cost of preparing certificates
representing the Offered Notes; 

 

(iv) the fees charged by Moody’s and
Fitch for rating the Offered Notes;

 

3

 

(v) the fees and expenses of the
Indenture Trustee and Security Trustee and the fees and disbursements of
counsel for the Indenture Trustee and Security Trustee in connection with its
execution and delivery of the Indenture and the Security Trust Agreement, as
applicable; and

 

(vi) the fees and expenses of UT Finance
Corporation and the fees and disbursements of counsel for UT Finance
Corporation in connection with its execution and delivery of the Backup
Servicing Agreement and the Backup Administrative Agency Agreement, if any and
as applicable.

 

(e) WEST agrees to pay, and will save the Initial Purchaser
harmless from, all liabilities with respect to nonpayment or delay in payment
of, any taxes that may be payable with respect to the execution and delivery of
this Agreement or any other agreements entered into in connection with the issuance
and sale of the Offered Notes.

 

(f) WEST agrees to pay, or reimburse the Initial Purchaser for,
all reasonable expenses (including all reasonable out-of-pocket expenses that
the Initial Purchaser may incur) in connection with (i) the enforcement of
this Agreement by the Initial Purchaser against Willis or WEST, or (ii) the
Initial Purchaser’s waiver of, or giving of consents to amendments of, any terms
of this Agreement (whether or not the amendment or waiver becomes effective).

 

(g) The Initial Purchaser (in its capacity as such hereunder) will
not have any rights or obligations in connection with the offering contemplated
hereby except as expressly provided in this Agreement. In no event shall the
Initial Purchaser be obligated to purchase the Offered Notes, whether as
principal or agent, or to cause the resale of the Offered Notes, other than its
obligations to use its best efforts to perform the services specifically set
forth herein with respect to the Offered Notes and to purchase the Offered
Notes, subject to the terms and conditions hereof. The Initial Purchaser is
under no obligation to make a market in the Offered Notes.

 

3.  Delivery. The Offered Notes shall be issued in the
forms provided in the Indenture and in denominations no less than the minimum
denominations specified in the Final Offering Memorandum, and payment for the
Offered Notes will be made at the offices of Pillsbury Winthrop Shaw Pittman
LLP, New York, New York (or such other place as shall be agreed upon by the
Initial Purchaser and WEST), at 10:00 a.m., New York City time, on August 9
, 2005 (or at such other time or date, not later than seven full Business Days
thereafter, as shall be agreed upon by the Initial Purchaser and WEST) (such
date and time of payment and delivery being referred to herein as the “Closing Date”). Subject to WEST’s receipt
and acceptance of subscriptions or resale orders with the prospective Eligible
Investors, against payment to or upon the order of WEST by the Initial
Purchaser of the purchase price by wire transfer of immediately available
funds, WEST shall cause the Offered Notes (or beneficial interests therein) to
be delivered to the Initial Purchaser.

 

4

 

Delivery of the Offered Notes on the Closing Date will be made in
book-entry form through the facilities of The Depository Trust Company (“DTC”) and, in the case of any Book-Entry Notes to
be delivered or resold to non-U.S. Persons, the facilities of Clearstream
Banking société  anonyme,
or the Euroclear System (Notes delivered in book-entry form, “Book-Entry Notes”). Each
Class of Book-Entry Notes will be represented by definitive global
certificated Notes to be deposited by or on behalf of WEST with DTC.

 

4.  Representations, Warranties and Agreements.

 

(a) WEST and Willis represent and warrant to, and agree with, the
Initial Purchaser that:

 

(i) The Initial Purchaser has been
furnished with a copy of the Offering Documents, other than the Final Offering
Memorandum. Not later than three (3) Business Days before the Closing
Date, the Initial Purchaser will be furnished with a copy of the Final Offering
Memorandum. In each case, the Offering Documents contain, among other things,
information concerning the Offered Notes, the Indenture and the other Related
Documents (as defined in the Indenture). As of their respective dates, the
Offering Documents and any amendments or supplements thereto did not and will
not, and as of the Closing Date the Final Offering Memorandum will not, contain
any untrue statement of a material fact and will not omit to state a material
fact necessary in order to make the statements in them, in the light of the
circumstances under which they were made, not misleading, except that no
representation is made as to (A) the International Bureau of Aviation
Study/IBA Appraisal contained therein as Schedule D and summaries thereof
and any other projections or expressions of fact, opinion or belief of, or any
other statistical data attributable to, the International Bureau of Aviation
Study/IBA Appraisal; (B) the Avitas Appraisal contained therein as Schedule E
and summaries thereof and any other projections or expressions of fact, opinion
or belief of, or any other statistical data attributable to, the Avitas
Appraisal; (C) the Airclaims Appraisal contained therein as Schedule F
and summaries thereof and any other projections or expressions of fact, opinion
or belief of, or any other statistical data attributable to, the Airclaims
Appraisal; (D) the BK Appraisal contained therein as Schedule G and
summaries thereof and any other projections or expressions of fact, opinion or
belief of, or any other statistical data attributable to, the BK Appraisal; (E) the
SH&E Study contained therein and summaries thereof and any other
projections or expressions of fact, opinion or belief of, or any other
statistical data attributable to, the SH&E Study, (F) the statements
concerning The Depository Trust Company and its book-entry system; and (G) any
notice, legend, disclosure or other item included in or related to the Final
Offering Memorandum as a result of any offering in any jurisdiction other than
the United States of America.

 

(ii) The descriptions of the Offered
Notes and the Related Documents set forth in the Offering Documents, and the
statements in the Offering Documents under the

 

5

 

captions “Certain U.S. Federal Income Tax
Considerations” and “Certain ERISA Considerations”, insofar as they purport to
describe the provisions of the laws and documents referred to therein, are
materially accurate, complete and fair.

 

(b) Willis represents and warrants to, and
agrees with, the Initial Purchaser that:

 

(i) Willis is a corporation, duly
organized, validly existing, and in good standing under the laws of the State
of Delaware, with full power and authority to own its properties and to conduct
its business, as described in the Offering Documents, and is duly qualified
(or, as of the Closing Date, will be so qualified) to do business as a foreign
corporation in each jurisdiction in which the nature of its activities, its
ownership or lease of property or the conduct of its business requires such
qualification. Willis (whether individually or in the capacity of Servicer or
Administrative Agent, as applicable) has full power and authority to enter into
and perform its obligations under this Agreement, as well as (to the extent
that it is a party thereto) the Related Documents, and Willis is conducting its
business so as to comply in all material respects with all applicable statutes,
ordinances, rules, and regulations of the jurisdictions in which it is
conducting business.

 

(ii) This Agreement has been duly
authorized, executed, and delivered by Willis. At or before the Closing Date,
Willis will have duly authorized, executed, and delivered each Related Document
to which it is a party.

 

(iii) Assuming their due authorization,
execution, and delivery by the other parties to them other than Willis or any
subsidiary thereof, as applicable, this Agreement and each of the Related
Documents to which Willis or any subsidiary thereof is a party, when delivered
by Willis or such subsidiary, will constitute valid and binding agreements of
Willis or such subsidiary, enforceable against Willis or such subsidiary, as
applicable, in accordance with their respective terms, except as enforceability
may be limited by

 

•      bankruptcy,
insolvency, liquidation, receivership, moratorium, reorganization, fraudulent
conveyance, or other similar laws affecting the rights of creditors generally,

 

•      general
principles of equity, regardless of whether enforcement is sought in a
proceeding in equity or at law, and

 

•      public
policy considerations underlying the securities laws, to the extent that such
public policy considerations limit the enforceability of the provisions of any
of those agreements that provide indemnification or contribution from
securities law liabilities.

 

(iv) The execution, delivery, and
performance of this Agreement and the Related Documents to which it is a party,
will not result in a breach or violation of any

 

6

 

term of the certificate of incorporation or by-laws or trust agreement
or limited liability company agreement of, or any statute or regulation
applicable to, Willis or any subsidiary thereof, or conflict with, result in a
material breach, violation, or acceleration of, or constitute a default under,
any indenture or other agreement or instrument to which Willis or any of its
subsidiaries is a party or by which any of them is bound, or any order or
decree applicable to Willis or any of its subsidiaries of any court, regulatory
body, administrative agency, or governmental body having jurisdiction over
Willis or any of its subsidiaries. None of Willis or any of its subsidiaries is
a party to, bound by, or in breach or violation of any indenture or other
agreement or instrument, or subject to or in violation of any statute, order,
or regulation of any court, regulatory body, administrative agency, or
governmental body having jurisdiction over it that materially adversely affects
the ability of Willis or such subsidiary, as applicable, to perform its
obligations under this Agreement or any Related Document to which it is a
party.

 

(v) There are no actions or proceedings
against, or investigations of, Willis or any subsidiary thereof pending or, to
the knowledge of Willis, threatened before any court, administrative agency or
other tribunal

 

•      asserting
the invalidity of this Agreement, any Related Document, or the Offered Notes,

 

•      seeking
to prevent the issuance of the Offered Notes or the consummation of any of the
transactions contemplated by this Agreement or the Related Documents,

 

•      that
might materially adversely affect the performance by Willis or any subsidiary
thereof (taken as a whole) of its respective obligations under, or the validity
or enforceability against any of them of, this Agreement or any Related Document
to which any of them is a party, or the Offered Notes, or

 

•      seeking
to affect adversely the federal income tax attributes of the Offered Notes
described in the Offering Documents.

 

(vi) Since the date of the latest
audited financial statements of Willis there has been no material adverse
change, nor any development or event involving a prospective material adverse
change, in the condition (financial or otherwise), business, properties or
results of operations of Willis or its subsidiaries taken as a whole.

 

(vii) No authorization, approval, or
consent of, or filing with, any court or governmental authority or agency is
necessary in connection with (A) Willis’ or any subsidiary’s execution and
delivery of this Agreement or any Related Document to which it is a party, or (B) the
offering, issuance, or sale of the Offered Notes as contemplated in this
Agreement and the Indenture, except such as may be required under state
securities laws, such security interest filings as may be contemplated in the
Security Trust Agreement or the Indenture or other applicable Related Document,
and any disclosures with respect to the transactions contemplated hereby
required of Willis under the federal securities laws.

 

7

 

(viii) Willis possesses all material
licenses, certificates, authorizations, and permits issued by the appropriate
state, federal, or foreign regulatory agencies or bodies necessary to conduct
the business now operated by it, except in cases in which failure to obtain all
licenses, certificates and permits or other approvals would not singly or in
the aggregate have a material adverse effect on Willis and any subsidiary
thereof taken as a whole. Willis has not received any notice of proceedings
relating to the revocation or modification of any such license, certificate,
authorization, or permit that, singly or in the aggregate, if the subject of
any unfavorable decision, ruling, or finding, would materially adversely affect
the business, operations, financial condition, properties or assets of Willis
and any subsidiary thereof taken as a whole.

 

(ix) Any taxes, fees, and other
governmental charges payable by Willis or any subsidiary thereof in connection
with the execution and delivery of this Agreement, the Related Documents to
which any of them is a party and the issuance and sale of the Offered Notes
(other than federal, state, and local taxes payable on the income or gain
recognized therefrom), have been or will be paid on or before the Closing Date.

 

(x) None of Willis nor any of its affiliates
nor any persons acting on its or their behalf (other than the Initial Purchaser,
any affiliate of the Initial Purchaser or anyone acting on its or their behalf,
as to whom Willis makes no representation) has engaged or shall engage in any
directed selling efforts as defined in Rule 902 of Regulation S under the
Act with respect to the Offered Notes, and none of the foregoing persons has
offered or sold any of the Offered Notes; and none of the foregoing persons has
entered into any other contractual arrangements with any person with respect to
the distribution of the Offered Notes.

 

(xi) None of Willis or any of its affiliates
has offered or sold the Offered Notes by means of any form of general
solicitation or general advertising and none of the foregoing persons shall
offer to sell, offer for sale or sell the Offered Notes by means of any
advertisement, article, notice or other communication published in any
newspaper, magazine or similar medium or broadcast over television or radio, or
any seminar or meeting whose attendees have been invited by any general
solicitation or general advertising.

 

(xii) Prior to the consummation of the
offering and resale transactions contemplated herein, none of Willis or any of
its affiliates has or will, either alone or with one or more other persons, bid
for or purchase for any account in which it or any of its affiliates has a
beneficial interest, any Offered Notes or attempt to induce any person to
purchase any Offered Notes; and none of them will make bids or purchases for
the purpose of creating actual, or apparent, active trading in, or raising the
price of, the Offered Notes.

 

8

 

(xiii) Willis is not required to be
registered as an “investment company” under the Investment Company Act of 1940,
as amended (the “Investment
Company Act”).

 

(c) WEST represents and
warrants to, and agrees with, the Initial Purchaser that:

 

(i) WEST is a statutory trust, duly
organized, validly existing, and in good standing under the laws of the State
of Delaware, with full power and authority to own its properties and to conduct
its business, as described in the Offering Documents and as presently
conducted, and is duly qualified to do business as a foreign entity in each
jurisdiction in which the nature of its activities, its ownership or lease of
property or the conduct of its business requires such qualification. WEST has
full power and authority to enter into and perform its obligations under this
Agreement and the Related Documents to which it is a party, and WEST is
conducting its business so as to comply in all material respects with all
applicable statutes, ordinances, rules, and regulations of the jurisdictions in
which it is conducting business.

 

(ii) Each subsidiary of WEST that is
party to any Related Document is an entity duly organized, validly existing and
(to the extent such concept is relevant) in good standing under the laws of its
applicable chartering jurisdiction, with full power and authority to own its
properties and to conduct its business, as described in the Offering Documents
and as presently conducted, and is duly qualified to do business as a foreign
entity in each jurisdiction in which the nature of its activities, its
ownership or lease of property or the conduct of its business requires such
qualification. Each such subsidiary has full power and authority to enter into
and perform its obligations under the Related Documents to which it is a party,
and each such subsidiary is conducting its business so as to comply in all
material respects with all applicable statutes, ordinances, rules, and
regulations of the jurisdictions in which it is conducting business.

 

(iii) This Agreement has been duly
authorized, executed, and delivered by WEST. At or before the Closing Date,
WEST and each subsidiary thereof will have duly authorized, executed, and delivered
each Related Document to which it is a party, as applicable.

 

(iv) Assuming their due authorization,
execution, and delivery by the other parties to them other than Willis or WEST
or a subsidiary thereof, as applicable, this Agreement and each of the Related
Documents, when delivered by any of WEST (or a subsidiary thereof) that is a
party thereto, will constitute valid and binding agreements of WEST and/or such
subsidiary (in each case to the extent a party thereto), enforceable against
WEST and/or such subsidiary in accordance with their respective terms, except
as enforceability may be limited by

 

9

 

•      bankruptcy,
insolvency, liquidation, receivership, moratorium, reorganization, fraudulent
conveyance or other similar laws affecting the rights of creditors generally,

 

•      general
principles of equity, regardless of whether enforcement is sought in a
proceeding in equity or at law, and

 

•      public
policy considerations underlying the securities laws, to the extent that such
public policy considerations limit the enforceability of the provisions of any
of those agreements that provide indemnification or contribution from
securities law liabilities.

 

(v) The issuance and sale of the Offered
Notes has been duly and validly authorized by WEST; and the Offered Notes, when
duly and validly executed by WEST and authenticated by the Indenture Trustee in
accordance with the Indenture, and paid for and delivered as contemplated in
this Agreement, will be valid, binding and enforceable obligations of WEST
entitled to the benefits of the Indenture and the Security Trust Agreement,
except as enforceability may be limited by (A) bankruptcy, insolvency,
liquidation, receivership, moratorium, reorganization, fraudulent conveyance or
other similar laws affecting the rights of creditors generally, and (B) general
principles of equity, regardless of whether enforcement is sought in a
proceeding in equity or at law.

 

(vi) The execution, delivery, and
performance of this Agreement and the Related Documents to which it is a party,
will not result in a breach or violation of any term of the certificate of
incorporation or by-laws or trust agreement or limited liability company
agreement of, or any statute or regulation applicable to, WEST or any
subsidiary thereof, or conflict with, result in a material breach, violation,
or acceleration of, or constitute a default under, any indenture or other
agreement or instrument to which WEST or any of its subsidiaries is a party or
by which any of them is bound, or any order or decree applicable to WEST or any
of its subsidiaries of any court, regulatory body, administrative agency, or
governmental body having jurisdiction over WEST or any of its subsidiaries.
None of WEST or any of its subsidiaries is a party to, bound by, or in breach
or violation of any indenture or other agreement or instrument, or subject to
or in violation of any statute, order, or regulation of any court, regulatory
body, administrative agency, or governmental body having jurisdiction over it
that materially adversely affects the ability of WEST or such subsidiary, as
applicable, to perform its obligations under this Agreement or any Related
Document to which it is a party.

 

(vii) There are no actions or
proceedings against, or investigations of, WEST or any subsidiary thereof
pending or, to the knowledge of WEST, threatened before any court,
administrative agency or other tribunal

 

10

 

•      asserting
the invalidity of this Agreement, any Related Document, or the Offered Notes,

 

•      seeking
to prevent the issuance of the Offered Notes or the consummation of any of the
transactions contemplated by this Agreement or the Related Documents,

 

•      that
might materially adversely affect the performance by WEST or any subsidiary
thereof (taken as a whole) of its respective obligations under, or the validity
or enforceability against any of them of, this Agreement or any Related Document
to which any of them is a party, or the Offered Notes, or

 

•      seeking
to affect adversely the federal income tax attributes of the Offered Notes
described in the Offering Documents.

 

(viii) There has not been any material
adverse change in the business, operations, financial condition, properties, or
assets of WEST or any subsidiary thereof (except in respect of the adverse
effect that the financial difficulties of Varig and its subsidiary Rio Sul as a
lessee, as disclosed in the Offering Documents, would have on the affected
lessor subsidiaries of WEST Funding) that would have a material adverse effect
on the ability of any of them to perform its obligations under this Agreement,
or any Related Document to which it is a party (as applicable).

 

(ix) No authorization, approval, or
consent of, or filing with, any court or governmental authority or agency is
necessary in connection with (A) WEST’s or any subsidiary’s execution and
delivery of this Agreement or any Related Document to which it is a party, or (B) the
offering, issuance, or sale of the Offered Notes as contemplated in this
Agreement and the Indenture, except such as may be required under state
securities laws, and such security interest filings as may be contemplated in
the Security Trust Agreement or the Indenture or other applicable Related
Document.

 

(x) Each of WEST and any subsidiary thereof
party to a Related Document possesses all material licenses, certificates,
authorizations, and permits issued by the appropriate state, federal, or
foreign regulatory agencies or bodies necessary to conduct the business now
operated by it, except in cases in which failure to obtain all licenses,
certificates and permits or other approvals would not singly or in the
aggregate have a material adverse effect on WEST and any subsidiary thereof
taken as a whole. Neither WEST nor any such subsidiary has received any notice
of proceedings relating to the revocation or modification of any such license,
certificate, authorization, or permit that, singly or in the aggregate, if the
subject of any unfavorable decision, ruling, or finding, would materially
adversely affect the business, operations, financial condition, properties or
assets of WEST or such subsidiary, as applicable.

 

(xi) Any taxes, fees, and other governmental
charges payable by WEST or any subsidiary thereof in connection with the
execution and delivery of this Agreement, the

 

11

 

Related Documents to which any of them is a party and the issuance and
sale of the Offered Notes (other than federal, state, and local taxes payable
on the income or gain recognized therefrom), have been or will be paid on or
before the Closing Date.

 

(xii) Immediately following the closing of
the transactions contemplated on the Closing Date, there will not exist any
default by WEST or any condition, event or act, which, with notice or lapse of
time or both, would constitute an Event of Default or Early Amortization Event.

 

(xiii) WEST has not, directly or indirectly,
solicited any offer to buy or offered to sell, and shall not, directly or
indirectly, solicit any offer to buy or offer to sell, in the United States or
to any United States citizen or resident, any security which is or would be
integrated with the sale of the Offered Notes in a manner that would require
the Offered Notes to be registered under the Act, nor has WEST taken any other
action that would constitute a distribution of any Offered Note under the Act,
would render the disposition of any Offered Note a violation of Section 5
of the Act or any state securities law, or would require registration or
qualification pursuant thereto.

 

(xiv) The Offered Notes are eligible for
resale pursuant to Rule 144 A under the Act and shall not be, on the
Closing Date, of the same class as securities listed on a national securities
exchange registered under Section 6 of the United States Securities
Exchange Act of 1934, as amended (the “Exchange
Act”), or quoted
in a United States automated interdealer quotation system.

 

(xv) None of WEST nor any of its affiliates
nor any persons acting on its or their behalf (other than the Initial
Purchaser, any affiliate of the Initial Purchaser or anyone acting on its or
their behalf, as to whom WEST makes no representation) has engaged or shall
engage in any directed selling efforts as defined in Rule 902 of
Regulation S under the Act with respect to the Offered Notes, and none of the
foregoing persons has offered or sold any of the Offered Notes; and none of the
foregoing persons has entered into any other contractual arrangements with any
person with respect to the distribution of the Offered Notes.

 

(xvi) None of WEST or any of its affiliates
has offered or sold the Offered Notes by means of any form of general
solicitation or general advertising and none of the foregoing persons shall
offer to sell, offer for sale or sell the Offered Notes by means of any
advertisement, article, notice or other communication published in any
newspaper, magazine or similar medium or broadcast over television or radio, or
any seminar or meeting whose attendees have been invited by any general
solicitation or general advertising.

 

(xvii) Prior to the consummation of the
offering and resale transactions contemplated herein, none of WEST or any of
its affiliates has or will, either alone or

 

12

 

with one or more other persons, bid for or purchase for any account in
which it or any of its affiliates has a beneficial interest, any Offered Notes
or attempt to induce any person to purchase any Offered Notes; and none of them
will make bids or purchases for the purpose of creating actual, or apparent,
active trading in, or raising the price of, the Offered Notes.

 

(xviii) WEST is not required to be registered
as an “investment company,” nor shall WEST be required to register as an “investment
company,” under the Investment Company Act, as a result of the conduct of its
business in the manner contemplated by the Offering Documents and the Related
Documents.

 

(xix) Assuming the Initial Purchaser’s
representations set forth in Section 4(b) below are true and
accurate, no registration of the Offered Notes under the Act is required for
the offer and sale of the Offered Notes in the manner contemplated by this
Agreement and the Offering Documents and no qualification of an indenture under
the Trust Indenture Act of 1939, as amended, is required for the offer and sale
of the Offered Notes in the manner contemplated by this Agreement and the
Offering Documents.

 

(xx) Assuming the accuracy of the
representations and warranties and the performance of the covenants in this
Agreement on the part of the Initial Purchaser, any sale of an Offered Note or
an interest in one made by WEST or any person acting on its behalf (other than
the Initial Purchaser, any affiliate of the Initial Purchaser or anyone acting
on its or their behalf, as to whom WEST makes no representation) outside the
United States, its territories and possessions, to a non-U.S. Person has been
and will be so made in accordance with Regulation S under the Act. With respect
to such Offered Note, WEST and any of its affiliates, and any person acting on
its or their behalf has complied with and will implement “offering restrictions”
within the meaning of Rule 902 under the Act.

 

(xxi) WEST has not offered and shall not
offer the Offered Notes except in accordance with this Agreement.

 

(xxii) Each certificate representing an
Offered Note shall bear the applicable legend set forth under the caption “Transfer
Restrictions” in the Final Offering Memorandum for the time period and upon the
other terms stated in the Final Offering Memorandum.

 

(xxiii) None of the proceeds of the sale of
the Offered Notes will be used, directly or indirectly, for the purpose of
purchasing or carrying any “margin securities” as that term is defined in
Regulations G and U of the Board of Governors of the Federal Reserve System, as
amended (the “Federal Reserve Board”), for the purpose of reducing or retiring
any indebtedness which was originally incurred to purchase or carry

 

13

 

any margin security, or for any other purpose which might cause any of
the Offered Notes to be considered a “purpose credit” within the meanings of
Regulation G, T, U or X of the Federal Reserve Board.

 

(xxiv) WEST has not taken, nor will it take,
directly or indirectly, any action prohibited by Regulation M under the
Exchange Act in connection with the offering of the Offered Notes.

 

(xxv) No forward-looking statement (within
the meaning of Section 27A of the Act and Section 21 E of the
Exchange Act) contained in the Preliminary Private Placement Memorandum or the
Final Offering Memorandum has been made or reaffirmed without a reasonable
basis or has been disclosed other than in good faith.

 

(xxvi) Except as disclosed in the Offering
Documents, there are no contracts, agreements or understanding between Willis,
WEST or any subsidiary thereof and any other person that would give rise to a
valid claim against Willis, WEST, any subsidiary thereof or the Initial
Purchaser for a brokerage commission, finder’s fee or other like payment.

 

(d) The Initial Purchaser represents and warrants to and agrees
with Willis and WEST that:

 

(i) It is an “accredited investor”
within the meaning of Regulation D under the Securities Act.

 

(ii) It acknowledges that the Offered
Notes have not been registered under the Act and may not be offered or sold (A) within
the United States or to, or for the account or benefit of, U.S. persons except
pursuant to an exemption from the registration requirements of the Act, and (B) otherwise
in accordance with Regulation S.

 

(iii) It has offered and sold the
Offered Notes, and will offer and sell the Offered Notes (i) as part of
its distribution at any time, and (ii) otherwise until 40 days after the
later of the commencement of the offering and the Closing Date, only in
accordance with Rule 903 or Rule 144A under the Act.

 

(iv) It will not solicit any offer to
resell to any person any Offered Note or an interest in one (in the United
States, its territories and possessions, or to, or for the account or benefit
of, a U.S. Person) unless:

 

•     the
Initial Purchaser reasonably believes that such person at the time is a
Qualified Institutional Buyer that would purchase the Offered Note or interest
therein for its own account or the account of another Qualified Institutional
Buyer; or

 

14

 

•      the
resulting purchase transaction is otherwise exempt from the registration
requirements of the Act and such person is an Institutional Accredited
Investor.

 

(v) It has not offered and will not
offer to any person any Offered Note or an interest in one (in the United
States, its territories and possessions, or to, or for the account or benefit
of, a U.S. Person) by any form of general solicitation or general advertising
(within the meaning of Rule 502(c) under the Act), including any
advertisement, article, magazine, or similar medium or broadcast over
television or radio or any seminar or meeting whose attendees have been invited
by any general solicitation or advertising (as those terms are used in
Regulation D promulgated pursuant to the Act).

 

(vi) With respect to any Offered Notes
(or interest therein) sold outside the United States, its territories and
possessions, to non-U.S. Persons, the Initial Purchaser has offered and will
offer and sell the Offered Notes only in accordance with Rule 903 of the
Act, and accordingly, none of the Initial Purchaser, any affiliate of the
Initial Purchaser, or anyone acting on its or their behalf has made or will
make any directed selling efforts in the United States, its territories and
possessions, within the meaning of Rule 902 of the Act, and each have
complied and will comply with the offering restrictions requirements of
Regulation S.

 

(vii) In addition, the Initial Purchaser
has not taken, and will not take, any other action that would render the
disposition of any Offered Note a violation of Section 5 of the Act or any
state securities law, or would require registration or qualification pursuant
any of them. The Initial Purchaser will not act, nor has it authorized nor will
it authorize any person to act, in any manner described in the prior two
sentences with respect to the Offered Notes.

 

(viii) It

 

(A) has not offered or sold
and, prior to the expiry of the period of six months from the Closing Date,
shall not offer or sell any Offered Notes to persons in the United Kingdom
except to persons whose ordinary activities involve them in acquiring, holding,
managing or disposing of investments (as principal or agent) for the purposes
of their businesses or otherwise in circumstances which have not resulted and
will not result in an offer to the public in the United Kingdom within the
meaning of the Public Offers of Securities Regulations 1995,

 

(B) has only communicated or
caused to be communicated and shall only communicate or cause to be
communicated any invitation or inducement to engage in investment activity
(within the meaning of section 21 of the Financial Services and Markets
Act 2000 (the “FSMA”)) received by it in

 

15

 

connection with the issue or sale of any Offered Notes in circumstances
in which section 21(1) of the FSMA does not, if WEST were not an
authorized person, apply to WEST, and

 

(C) has complied and
shall comply with all applicable provisions of the FSMA with respect to
anything done by it in relation to the Offered Notes in, from or otherwise
involving the United Kingdom.

 

5.  Certain Agreements of WEST. WEST covenants and agree with the Initial
Purchaser as follows:

 

(a) WEST shall advise the Initial Purchaser promptly of any proposal to
amend or supplement the Offering Documents and shall not amend or supplement
the Offering Documents without the Initial Purchaser’s consent, such consent
not to be unreasonably withheld or delayed. Neither the consent of the Initial
Purchaser, nor the Initial Purchaser’s delivery on behalf of WEST of, any such
amendment or supplement shall constitute a waiver of any of the conditions set
forth in Section 6 hereof.

 

(b) WEST shall immediately notify the Initial Purchaser, and confirm
such notice in writing, if at any time during the Offering Period or the Resale
Period, any material changes in or affecting the business, operation, financial
condition, properties or assets of either WEST or Willis which (i) make
any statement in the Offering Documents false or misleading or (ii) are not
disclosed in the Offering Documents.

 

(c) In addition, if at any time during the Offering Period or the
Resale Period, any event occurs or condition exists as a result of which it is
necessary to amend or supplement the Final Offering Memorandum in order that
the Final Offering Memorandum will not include an untrue statement of a
material fact or omit to state a material fact necessary to make the statements
in them, in the light of the circumstances existing at the time it is delivered
to a purchaser, not misleading, or if it is necessary to amend or supplement
the Final Offering Memorandum to comply with applicable law, WEST will promptly
furnish the Initial Purchaser an amendment or supplement to the Offering
Documents as may be necessary to correct such statement or remedy such omission
or otherwise comply with law, together with, if requested by the Initial
Purchaser, a certificate of an officer or trustee of WEST as to the material
accuracy and lack of material omission of the Offering Documents as so amended
or supplemented (it being understood that, if such event relates solely to the
activities of the Initial Purchaser, or if the Initial Purchaser shall not have
completed the resale of the Offered Notes within 60 days of the Closing Date,
then the Initial Purchaser shall be responsible for the expense of preparing
any such amendment or supplement). Notwithstanding the foregoing, WEST shall
not be obligated to prepare any amendments or supplements to the Offering
Documents to reflect any reductions in the principal balances of the Offered
Notes occurring after the Closing Date (or any information based on the reduced
principal balances, including any hypothetical payment scenarios).

 

16

 

(d) During the Offering Period and the Resale Period, upon the request
of the Initial Purchaser, WEST will furnish to the Initial Purchaser copies of
the Offering Documents and the Related Documents and all amendments or
supplements to them, in each case as soon as available and in the quantities
the Initial Purchaser reasonably requests.

 

(e) For a period of two years after the Closing Date, upon the request
of the Initial Purchaser, WEST shall furnish to the Initial Purchaser, as soon
as available, a copy of each report regarding the Offered Notes that is
prepared pursuant to the Indenture or the Servicing Agreement or Administrative
Agency Agreement, furnished to WEST and mailed to the holders of the Offered
Notes.

 

(f) For a period of two years after the Closing Date, WEST will furnish
to holders and prospective purchasers of the Offered Notes, upon request,
information satisfying the requirements of subsection (d)(4)(i) of Rule 144A
under the Act.

 

(g) WEST will use its best efforts, in cooperation with the Initial
Purchaser, to arrange for the qualification of the Offered Notes for sale under
the laws of any jurisdictions in the United States, Canada and the United Kingdom
that the Initial Purchaser designates and will continue those qualifications in
effect so long as required for the distribution of the Offered Notes through
the Initial Purchaser. However, WEST will not be required to qualify as a foreign
corporation or to file a general consent to service of process in any such
jurisdiction in which it is not so qualified or to subject itself to taxation
in respect of doing business in any jurisdiction in which it is not otherwise
so subject.

 

(h) For two years after the Closing Date, WEST will furnish to the
Initial Purchaser and any holder of Offered Notes a copy of the restrictions on
transfer applicable to the Offered Notes upon request.

 

(i) WEST will use its best efforts, in cooperation with the
Initial Purchaser, to cause the Offered Notes to be made eligible for trading
in The Portal(SM) Market
of The Nasdaq Stock Market, Inc., and to list the Offered Notes on the
Luxembourg Stock Exchange.

 

(j) WEST agrees that it shall not make any offer or sale of securities
if, as a result of the doctrine of “integration” referred to in Rule 502
promulgated under the Act, such offer or sale could be deemed to render invalid
(for the purpose of (i) the sale of the Offered Notes to the Initial
Purchaser or (ii) the resale of the Offered Notes by the Initial Purchaser
to others) the exemption from the registration requirements of the Act provided
by Section 4(2) thereof or by Rule 144A or by Regulation S
thereunder or otherwise.

 

(k) Until the expiration of one year after the original issuance of the
Offered Notes, WEST shall not resell any Offered Notes which are “restricted
securities” (as such term is defined under Rule 144(a)(3) under the
Act) that have been re-acquired by WEST and shall immediately upon any purchase
of any such Offered Notes submit such Offered Notes to the Indenture Trustee
for cancellation.

 

17

 

(1) WEST shall use the net proceeds received by it from the sale
of the Offered Notes in the manner specified in the Final Offering Memorandum
under “Use of Proceeds”.

 

(m) During the Offering Period and the Resale Period, WEST shall not,
directly or indirectly, issue, sell, offer to sell, grant any option for the
sale of, or otherwise dispose of, any debt securities or guarantees of debt
securities of WEST, or any securities convertible or exchangeable into or
exercisable for any debt securities or guarantees of debt securities of WEST,
or any securities convertible or exchangeable into or exercisable for any debt
security or guarantee of debt securities of WEST, except as described in or
contemplated by the Final Offering Memorandum.

 

(n) To the extent that the ratings provided on the Offered Notes are
conditional upon the furnishing of documents or the taking of other actions by
WEST, then WEST shall use its reasonable best efforts to furnish such documents
and take any other such action.

 

6.  Conditions to the Obligations of the Initial
Purchaser. The
obligation of the Initial Purchaser to purchase and pay for the Offered Notes
as provided in this Agreement is subject to:

 

•      the accuracy of the representations and
warranties on the part of Willis and WEST in this Agreement as of today and as
of the Closing Date,

 

•      the accuracy of the statements of Willis
and WEST made in any certificates delivered pursuant to this Agreement,

 

•      the performance by WEST and Willis of
their respective obligations under this Agreement, and

 

•      the satisfaction of the following
additional conditions with respect to the Offered Notes:

 

(a) The Initial Purchaser shall have received the Offering Documents,
including the Final Offering Memorandum.

 

(b) there shall not have occurred any of the following:

 

(i) any material adverse change, or any
development or event involving a known prospective change, in the business,
operations, financial condition, properties or assets of

 

•      Willis,

•      WEST, or

•      the initial Engine
portfolio, taken as a whole;

 

18

 

the effect of which is, in the judgment of the Initial Purchaser, so
material and adverse as to make it impracticable or inadvisable to proceed with
the sale or delivery of the Offered Notes on the terms and in the manner
contemplated by this Agreement and the Final Offering Memorandum;

 

(ii) any downgrading in the rating of any debt securities (or
preferred stock) of Willis or any of its subsidiaries by any “nationally
recognized statistical rating organization” (as defined for purposes of Rule 436(g) under
the Act), or any public announcement that any such organization has under
surveillance or review its rating of any debt securities (or preferred stock)
of Willis or any of its subsidiaries (other than an announcement with positive
implications of a possible upgrading, and no implication of a possible downgrading,
of the rating);

 

(iii) any material adverse change in U.S. or international
financial, political, or economic conditions or currency exchange rates or
exchange controls that would, in the reasonable judgment of the Initial
Purchaser, be likely to prejudice materially the success of the proposed issue,
sale, or distribution of the Offered Notes, whether in the primary market or in
respect of dealings in the secondary market;

 

(iv) the suspension or limitation of trading generally on the
American Stock Exchange, the New York Stock Exchange, the NASDAQ National
Market System, the Chicago Board of Options Exchange or the Chicago Board of
Trade or the fixing of minimum or maximum prices or maximum ranges for trading
by any such exchange or by order of the Commission, the National Association of
Securities Dealers, Inc. or any other governmental authority;

 

(v) any banking moratorium declared by U.S. Federal or New York
authorities;

 

(vi) any major disruption of settlements of securities or
clearance services in the United States;

 

(vii) any attack on, outbreak, or escalation of hostilities or act
of terrorism involving the United States, any declaration of war by Congress,
or any other national or international calamity or emergency if, in the
judgment of the Initial Purchaser, the effect of the attack, outbreak,
escalation, act, declaration, calamity, or emergency makes it impractical or
inadvisable to proceed with completion of the offering or resale of the Offered
Notes; or

 

(viii) a change or development involving a prospective change in
United States taxation affecting WEST, the Offered Notes or the transfer
thereof or the imposition of exchange controls by the United States, if, in the
judgment of the Initial Purchaser, the effect of such event makes it
impracticable or inadvisable to proceed with completion of the offering or
resale of the Offered Notes.

 

19

 

(c) The Initial Purchaser shall have received from each of Willis and
WEST a certificate, dated the Closing Date and executed by their respective
executive officers (or, in the case of WEST, a trustee), to the effect that:

 

(i) the representations and warranties
of Willis or WEST, as applicable, in this Agreement are accurate in all
material respects as of the Closing Date with the same effect as if made on the
Closing Date; and

 

(ii) Willis and WEST, as applicable,
have complied with all the agreements and satisfied all the conditions on its
part to be performed or satisfied at or before the Closing Date.

 

(d) The Initial Purchaser shall have received

 

(i) with respect to Willis a good
standing certificate from the Secretary of State of the State of Delaware,
dated not earlier than ten days before the Closing Date,

 

(ii) with respect to WEST a good standing
certificate from the Secretary of State of the State of Delaware, dated not
earlier than ten days before the Closing Date, and

 

(iii) with respect to WEST Funding, a
good standing certificate from the Secretary of State of Delaware, dated not
earlier than ten days before the Closing Date.

 

(e) The Initial Purchaser shall have received from the Secretary or an
assistant secretary (or equivalent officer) of Willis, in the officer’s
individual capacity, a certificate, dated the Closing Date, to the effect that:

 

(i) each individual who, as an officer
or representative of Willis, signed this Agreement, any Related Document or any
other document or certificate delivered on or before the Closing Date in
connection with the transactions contemplated in this Agreement or in the
Related Documents, was at the respective times of such signing and delivery,
and is as of the Closing Date, duly elected or appointed, qualified, and acting
as such officer or representative, and the signature of the individual appearing
on the documents and certificates is the officer’s genuine signature; and

 

(ii) no event (including any act or
omission on the part of Willis) has occurred since the date of the good
standing certificate referred to in paragraph (c) above that has affected
the good standing of Willis under the laws of the State of Delaware.

 

Such certificate shall be accompanied by accurate copies (certified as
such by the Secretary or an assistant secretary of Willis) of the
organizational documents of Willis, as in effect on the Closing Date, and of
the resolutions of Willis and any required consent relating to the transactions
contemplated in this Agreement and the Related Documents.

 

20

 

(f) The Initial Purchaser shall have received from the Secretary or an
assistant secretary of WEST (or of a trustee for WEST), in such person’s
individual capacity, a certificate, dated the Closing Date, to the effect that:

 

(i) each individual who, as an officer
or representative of WEST, signed this Agreement, any Related Document, or any
other document or certificate delivered on or before the Closing Date in
connection with the transactions contemplated in this Agreement or in the
Related Documents, was at the respective times of such signing and delivery,
and is as of the Closing Date, duly elected or appointed, qualified, and acting
as such officer or representative, and the signature of the individual
appearing on the documents and certificates is the officer’s genuine signature;
and

 

(ii) no event (including any act or
omission on the part of WEST) has occurred since the date of the good standing
certificate referred to in paragraph (c) above that has affected the good
standing of WEST under the laws of the State of Delaware.

 

Such certificate shall be accompanied by accurate copies (certified as
such by the Secretary or an assistant secretary of WEST) of the trust agreement
of WEST, as in effect on the Closing Date, and of the resolutions of WEST, and
of any required consent relating to the transactions contemplated in this
Agreement and the Related Documents.

 

(g) The Initial Purchaser shall have received from the Secretary or an
assistant secretary of WEST Funding, in the officer’s individual capacity, a
certificate, dated the Closing Date, to the effect that:

 

(i) each individual who, as an officer
or representative of WEST Funding or a subsidiary thereof, signed the relevant
Related Document to which it is a party, or any other document or certificate
delivered on or before the Closing Date in connection with the transactions
contemplated in the Related Documents, was at the respective times of such
signing and delivery, and is as of the Closing Date, duly elected or appointed,
qualified, and acting as such officer or representative, and the signature of
the individual appearing on the documents and certificates is the officer’s
genuine signature; and

 

(ii) no event (including any act or
omission on the part of WEST Funding or such subsidiary thereof has occurred
since the date of the good standing certificate referred to in paragraph (c) above
that has affected the good standing of it or such subsidiary under the laws of
its chartering jurisdiction (to the extent such concept is relevant to such
subsidiary).

 

Such certificate shall be accompanied by accurate copies (certified as
such by the Secretary or an assistant secretary of WEST Funding) of the
relevant organizational documents of WEST Funding and each such subsidiary, as
in effect on the Closing Date, and of the resolutions of WEST Funding and (if
relevant) each such subsidiary, and of any required consent relating to the
transactions contemplated in the Related Documents.

 

21

 

(h) The Initial Purchaser shall have received opinions, dated the
Closing Date, from (i) Pillsbury Winthrop Shaw Pittman LLP, in its
capacity as special counsel for Willis, WEST and its subsidiaries party to any
Related Document, (ii) the General Counsel of Willis (as to
entity-specific matters traditionally covered by internal counsel in
asset-backed Rule 144A debt offerings), and (iii) such other law
firms reasonably acceptable to the Initial Purchaser and its counsel,
substantially to the effect that:

 

(i) WEST has been duly
formed, and each of Willis, WEST and any subsidiary thereof party to a Related
Document (any, a “WEST Entity”) is validly existing and (if such concept is
relevant to such entity) is in good standing under the laws of the state of its
formation, with power and authority to own its properties and conduct its
business as described in the Offering Documents; and each WEST Entity is duly
qualified to do business as a foreign entity in good standing in all other
jurisdictions in which its ownership or lease of property or the conduct of its
business requires such qualification.

 

(ii) This Agreement and
any Related Document to which any of them is a party, each have been duly
authorized, executed and delivered by each WEST Entity party thereto, as
applicable; the Offered Notes have been duly authorized, executed,
authenticated, issued and delivered; and this Agreement and each Related
Document with respect to which a WEST Entity is a party, constitutes a valid
and binding agreement of the relevant WEST Entity, enforceable against such
WEST Entity in accordance with its terms, subject to the effect of (A) bankruptcy,
insolvency, reorganization, receivership, fraudulent conveyance, fraudulent
transfer, moratorium and other laws affecting the rights and remedies of
creditors generally and general principles of equity (whether considered in a
proceeding inequity or at law) and (B) concepts of materiality,
reasonableness, good faith and fair dealings and the discretion of the court
before which any proceeding may be brought.

 

(iii) The Security
Trust Agreement creates a valid lien in favor of the Security Trustee upon all
of the Collateral as granted thereunder; the Security Trustee for the benefit
of the holders of the Offered Notes from time to time will have, upon the
filing of certain financing statements, a perfected security interest in the
Collateral.

 

(iv) WEST is not an “investment
company” as such term is defined in the Investment Company Act.

 

(v) No consent,
approval, authorization or order of, or filing with, any governmental agency or
body or any court is required for the consummation of the transactions
contemplated by this Agreement in connection with the issuance or sale of the
Offered Notes, except for security interest filings contemplated in the
Security Trust Agreement and such as may be required under state securities
laws.

 

(vi) There are no
pending actions, suits or proceedings against or affecting any WEST Entity, or
any of their properties that, if determined adversely, would individually or in
the aggregate have a material adverse effect on the ability of such WEST Entity
to perform its respective obligations under

 

22

 

this Agreement or any Related Document to which it is a party; and no
such actions, suits or proceedings are, to such counsel’s knowledge, threatened
or contemplated.

 

(vii) The execution,
delivery and performance of this Agreement and any other Related Documents to
which any WEST Entity is a party, and the issuance and sale of the Offered
Notes and compliance with the terms and provisions thereof will not result in a
breach or violation of any of the terms and provisions of, or constitute a
default under, any statute, any rule, regulation or order of any governmental
agency or body or any court having jurisdiction over such WEST Entity or any of
its properties, or any agreement or instrument to which such WEST Entity is a
party or by which such WEST Entity or any of its properties is bound or
subject, or the organizational or formation documents of such WEST Entity; and
WEST has full power and authority to authorize, issue and sell the Offered
Notes as contemplated by this Agreement.

 

(viii) Such counsel
have no reason to believe that the Offering Documents, or any amendment or
supplement thereto, as of the date hereof and as of the Closing Date, contained
any untrue statement of a material fact or omitted or omits to state a material
fact necessary to make the statements therein, in light of the circumstances
under which they were made, not misleading.

 

(ix) Assuming that the
representations and warranties of WEST and the Initial Purchaser in this
Agreement are accurate, the agreements of WEST and the Initial Purchaser in
this Agreement are complied with and the Initial Purchaser has complied with
the offering and transfer proceedings and restrictions described in the Final
Offering Memorandum, t is not necessary in connection with the offer, sale and
delivery of the Offered Notes by WEST to the Initial Purchaser under this
Agreement, and the offer, resale and delivery of the Offered Notes by the
Initial Purchaser in the manner contemplated by this Agreement and the Final
Offering Memorandum, to register the Offered Notes under the Act (it being
understood that no opinion is expressed as to any sale subsequent to the initial
resales of the Offered Notes by the Initial Purchaser) or to qualify the
Indenture under the Trust Indenture Act of 1939, as amended;

 

(x) The statements in the
Final Offering Memorandum with respect to the Related Documents and the Offered
Notes, to the extent that they constitute summaries thereof, constitute
accurate summaries of the terms thereof in all material respects.

 

(xi) The statements made in
the Final Offering Memorandum under the captions “CERTAIN U.S. FEDERAL INCOME
TAX CONSEQUENCES” and “CERTAIN ERISA CONSIDERATIONS”, to the extent that they
constitute matters of law or regulation or legal conclusions, constitute
accurate summaries in all material respects;

 

(xii) Assuming compliance
with all the terms specified in the Principal Transaction Agreements and the
Amended and Restated Trust Agreement for WEST, the Offered Notes will be
classified as debt, and WEST will not be

 

23

 

classified as an association (or a publicly traded partnership) taxable
as a corporation, in each case for U.S. federal income tax purposes.

 

(xiii) In the event of a
bankruptcy case involving Willis as debtor under the Bankruptcy Code, a court
properly presented with the facts would hold that Willis’s transfer of the
equity interest in WEST Funding to WEST pursuant to the Asset Transfer
Agreement would constitute a transfer of ownership, and not a mere transfer of
a security interest securing a borrowing by Willis, and that accordingly such
equity interest so transferred (and the property and assets of WEST Funding and
its subsidiaries) and the proceeds thereof would not constitute “property of
the estate” of the transferor for purposes of Section 541 of the
Bankruptcy Code and would not as a result of such bankruptcy case be subject to
the automatic stay of Section 362(a) of the Bankruptcy Code.

 

(xiv) In the event of a
bankruptcy case involving Willis as debtor under the Bankruptcy Code, a court
properly presented with the facts would not grant an order substantively
consolidating the assets and liabilities of WEST and its subsidiaries with
those of Willis.

 

(xv) Such other matters as
the Initial Purchaser or its counsel may reasonably request.

 

(i) The Initial Purchaser shall have received an opinion from
counsel or special counsel to the Indenture Trustee, Security Trustee, Backup
Servicer and the Backup Administrative Agent, dated the Closing Date and
addressing customary entity and agreement enforceability matters, in form and
substance reasonably satisfactory to the Initial Purchaser.

 

(j) On or prior to the Closing Date WEST shall have caused the Engine
Mortgages to be filed/registered with the FAA and the Initial Purchaser shall
have received from McAfee & Taft, special FAA counsel to WEST, an
opinion dated the Closing Date (or the day thereafter) and in customary form as
to the occurrence, validity, perfection and priority of such
filing/registration under applicable U.S. federal law.

 

(k) The Initial Purchaser shall have received from Deloitte & Touche, certified public accountants, a
letter, dated as of the date of the Final Offering Memorandum, in form and
substance reasonably satisfactory to the Initial Purchaser, stating in effect
that (using the assumptions and methodology acceptable to the Initial
Purchaser, all of which shall be described in such letter) they have
recalculated the numbers and percentages in the Final Offering Memorandum as
the Initial Purchaser reasonably requests, compared the results of their
calculations to the corresponding items in the Final Offering Memorandum, and
found each of those numbers and percentages in the Final Offering Memorandum to
be in agreement with the results of their calculations.

 

(1) The Initial Purchaser shall have received all opinions,
certificates, and other documents required under any Related Document to be
delivered by Willis, WEST or any

 

24

 

subsidiary thereof and/or its counsel in connection with the
transactions contemplated thereby, and each such opinion shall be dated the
Closing Date and addressed to the Initial Purchaser.

 

(m) The Initial Purchaser shall have received all opinions rendered to
Moody’s and/or Fitch by counsel to Willis, WEST and/or any subsidiary thereof,
and each such opinion shall be dated the Closing Date and addressed to the
Initial Purchaser.

 

(n) The Offered Notes shall have been rated by Moody’s and Fitch as
specified in the Final Offering Memorandum and such ratings shall not have been
rescinded.

 

(o) The Related Documents shall have been duly executed and delivered
by the parties thereto.

 

(p) The Offered Notes shall have been executed by WEST and
authenticated by the Indenture Trustee, and the conditions precedent thereto,
as set forth in the Indenture, shall have been satisfied.

 

(q) The Series A2 Notes, the Series B1 Notes, and the Series B2
Notes (each as described in the Offering Documents) shall have been validly
issued and delivered to the holders thereof, and all related documentation in
connection therewith (including documentation evidencing the commitment by such
holders to advance funds to WEST under the unfunded portion of such notes that
constitute Warehouse Notes) shall have been validly executed and delivered and
be in full force and effect.

 

(r) The Initial Purchaser shall have received all opinions rendered to
the holders/purchasers of the Series A2 Notes, the Series B1 Notes or
the Series B2 Notes by counsel to Willis, WEST and/or any subsidiary
thereof, and each such opinion shall be dated the Closing Date and addressed to
the Initial Purchaser (or a reliance letter with respect thereto shall have
been executed and delivered to the Initial Purchaser).

 

(s) On or prior to the Closing Date, WEST shall have funded the Senior
Restricted Cash Account, the Junior Restricted Cash Account, the Engine Reserve
Account, the Security Deposit Account, and the Series A1 Interest Reserve
Account (if any), in each case as contemplated or described in the Offering
Documents.

 

(t) The conditions to transfer specified in the Asset Transfer Agreement
(including without limitation with respect to Security Deposits evidenced by
letters of credit) shall have been satisfied as of or prior to the Closing
Date.

 

(u) Custody of “chattel paper” originals of each of the Initial Leases
shall have been delivered to the Security Trustee or to a custodian acting as
agent of the Security Trustee on or prior to the Closing Date.

 

25

 

(v) The Initial Purchaser shall have received at or prior to the
Closing Date subscriptions or committed orders from Eligible Investors
sufficient for resale by it on the Closing Date of the entire outstanding
principal amount of the Offered Notes (net of any unsold principal amount which
the Initial Purchaser, in consultation and agreement with WEST and Willis,
agrees to purchase for its own trading book pending its continuing effort to
resell such principal amount to Eligible Investors after the Closing Date).

 

(w) All proceedings in connection with the transactions contemplated by
this Agreement, and all documents incident to this Agreement and those
proceedings, shall be otherwise reasonably satisfactory in form and substance
to the Initial Purchaser and counsel for the Initial Purchaser.

 

6A. Conditions to the Obligations of WEST. The obligation of WEST to issue the Offered
Notes as provided in this Agreement is subject to:

 

•      the
accuracy of the representations and warranties on the part of the Initial Purchaser
in this Agreement as of today and as of the Closing Date,

 

•      the
accuracy of the statements of the Initial Purchaser made in any certificates delivered
pursuant to this Agreement,

 

•      the
performance by the Initial Purchaser of its obligations under this Agreement,
and

 

•      the
satisfaction of the following additional conditions with respect to the Offered
Notes:

 

(a) there shall not have occurred a change or
development involving a prospective change in United States taxation affecting
WEST, the Offered Notes or the transfer thereof or the imposition of exchange
controls by the United States, if, in the judgment of WEST, the effect of such
event makes it impractical or inadvisable to proceed with completion of the
issuance of the Offered Notes.

 

(b) WEST shall have received an opinion from
counsel or special counsel to the Indenture Trustee, Security Trustee, Backup
Servicer and the Backup Administrative Agent, dated the Closing Date and
addressing customary entity and agreement enforceability matters, in form and
substance reasonably satisfactory to WEST.

 

(c) The Offered Notes shall have been rated
by Moody’s and Fitch as specified in the Final Offering Memorandum and such
ratings shall not have been rescinded.

 

(d) The Related Documents shall have been
duly executed and delivered by the parties thereto other than Willis and WEST.

 

26

 

(e) The Series A2 Notes, the Series B1
Notes, and the Series B2 Notes (each as described in the Offering
Documents) shall have been validly issued and delivered to the holders thereof,
and all related documentation in connection therewith (including documentation
evidencing the commitment by such holders to advance funds to WEST under the
unfunded portion of such notes that constitute Warehouse Notes) shall have been
validly executed and delivered and be in full force and effect.

 

7. Indemnification
and Contribution.

 

(a) WEST and Willis each agree to indemnify

 

•      the Initial Purchaser,

 

•      the directors, officers, employees, and
agents of the Initial Purchaser, and

 

•      each person who controls the Initial Purchaser
within the meaning of either the Act or the Exchange Act,

 

against any and all losses, claims, damages, liabilities, costs, and
expenses, joint or several, as the same are incurred, to which they or any of
them may become subject (under the Act, the Exchange Act, or otherwise) insofar
as such losses, claims, damages, liabilities, costs, and expenses (or actions
in respect thereof)

 

•      arise
out of or are based upon any untrue statement or alleged untrue statement of a
material fact in the Offering Documents (or in any amendment of them or supplement
to them), or

•      arise
out of or are based upon the omission or alleged omission to state in them a
material fact necessary to make the statements in them, in the light of the circumstances
under which they were made, not misleading,

 

(other than in respect of the information included in the first
paragraph under the caption “Plan of Distribution” in the Preliminary Private
Placement Memorandum and Final Offering Memorandum, as applicable, being the “Initial Purchaser Information”) (and it
being understood that the indemnity obligation in respect of material
inaccuracies or omissions as expressed above does not give effect to any
exclusions or limitations that may be present in related representations as to
same contained herein), and will periodically reimburse each indemnified party
for any legal or other expenses reasonably incurred by it (as incurred) in
connection with investigating or defending against, settling, compromising or
paying any such loss, claim, damage, liability, cost, expense, or action.
However, WEST and Willis shall not be liable under this paragraph for any
amount paid in settlement of claims without WEST’s consent, which consent shall
not be unreasonably withheld.

 

(b) UBSS and UBSL jointly and severally, as Initial Purchaser,
agree to indemnify

 

27

 

•      Willis
and WEST,

 

•      their
officers, trustees (in the case of WEST) and directors, and

 

•      each
person who controls Willis or WEST within the meaning of either the Act or the
Exchange Act,

 

against any and all losses, claims, damages, liabilities, costs and
expenses to which any of them may become subject under the Act, the Exchange
Act or otherwise, insofar as such losses, claims, damages, liabilities, costs
and expenses (or actions in respect thereof) arise out of or are based upon an
untrue statement or alleged untrue statement of a material fact contained in
the Initial Purchaser Information or any amendment or supplement thereto or
arise out of or are based upon the omission or alleged omission to state in the
Initial Purchaser Information a material fact necessary to make the statements
therein, in the light of the circumstances under which they are made, not
misleading, and will periodically reimburse each indemnified party for any
legal or other expenses reasonably incurred by it (as incurred) in connection
with investigating or defending against, settling, compromising or paying any
such loss, claim, damage, liability, cost, expense, or action. However, the
Initial Purchaser shall not be liable under this paragraph for any amount paid
in settlement of claims without the Initial Purchaser’s consent, which consent
shall not be unreasonably withheld.

 

(c) Promptly after receipt by an indemnified party under this Section of
notice of the commencement of any action covered under Section 7(a) or
7(b) hereof, the indemnified party shall, if a claim in respect thereof is
to be made against the indemnifying party under Section 7(a) or 7(b),
notify the indemnifying party in writing of the commencement of the action; but
the omission to so notify the indemnifying party shall not relieve it from any
liability that it may have to any indemnified party under this Section (except
to the extent that it has been prejudiced in any material respect by such
omission) or from any liability that it may have to such indemnified party
otherwise than under Section 7(a) or 7(b) hereof. In case any
action is brought against any indemnified party and the indemnifying party is
notified of its commencement, the indemnifying party shall be entitled to
participate in it, and, if it elects by written notice delivered to the
indemnified party promptly after receiving the notice referred to in the
preceding sentence, the indemnifying party shall be entitled to assume the
defense of the action (jointly with any other indemnifying party similarly
notified) with counsel reasonably satisfactory to the indemnified party; provided,
however, that if the defendants in any such action include both the
indemnified party and the indemnifying party and the indemnified party shall
have reasonably concluded that there may be legal defenses available to it
and/or other indemnified parties which are different from or additional to
those available to the indemnifying party, the indemnified party or parties
shall have the right to select separate counsel to assert such legal defenses
and to otherwise participate in the defense of such action on behalf of such
indemnified party or parties. Upon receipt of notice from the indemnifying
party to the

 

28

 

indemnified party of its election to so assume the defense of the
action, the indemnifying party shall not be liable to the indemnified party
under Section 7(a) or 7(b) hereof for any legal or other
expenses subsequently incurred by the indemnified party in connection with the
defense thereof unless (i) the indemnified party shall have employed
separate counsel in connection with the assertion of legal defenses in
accordance with the proviso to the immediately preceding sentence (it being
understood, however, that the indemnifying party shall not be liable for the
expenses of more than one separate counsel (in addition to local counsel) for
the indemnified party), (ii) the indemnifying party shall not have
employed counsel satisfactory to the indemnified party at the expense of the
indemnifying party to represent the indemnified party within a reasonable time
after notice of commencement of the action or (iii) the indemnifying party
has authorized the employment of counsel for the indemnified party at the
expense of the indemnifying party; and except that, if clause (i) or (iii) is
applicable, such liability shall be only in respect of the counsel referred to
in such clause (i) or (iii).

 

(d) If the indemnification provided for in this Section is
unavailable to or insufficient to hold harmless an indemnified party under subsection (a) or
(b) above in respect of any losses, claims, damages, liabilities or
expenses (or actions or claims in respect thereof) referred to therein, then
each indemnifying party under Section 7(a) or 7(b) hereof shall
contribute to the amount paid or payable by such indemnified party as incurred
as a result of such losses, claims, damages, liabilities or expenses (or
actions or claims in respect thereof) in such proportion as is appropriate to
reflect the relative benefits received by WEST or Willis on the one hand, and
the Initial Purchaser on the other, from the offering of the Offered Notes. If,
however, the allocation provided by the immediately preceding sentence is not
permitted by applicable law, or if such indemnified party failed to give notice
required under Section 7(c) hereof and such indemnifying party was prejudiced
in a material respect by such failure, then each indemnifying party shall
contribute to such amount paid or payable by such indemnified party in such proportion
as is appropriate to reflect not only such relative benefits but also the
relative fault of WEST or Willis on the one hand and the Initial Purchaser on
the other, in connection with the statements or omissions or breaches of
representations, warranties or agreements which resulted in such losses,
claims, damages, liabilities or expenses (or actions or claims in respect
thereof), as well as any other relevant equitable considerations.

 

(e) The relative benefits received by Willis and WEST on the one hand
and the Initial Purchaser on the other shall be deemed to be in the same
proportion as the proceeds from the offering of the Offered Notes (before
deducting expenses) received by Willis and WEST and the total fee/commission
received by the Initial Purchaser bear to the aggregate offering price of the
Offered Notes. The relative fault shall be determined by reference to, among
other things, whether the untrue or alleged untrue statement of a material fact
or the omission or alleged omission to state a material fact relates to
information other than the Initial Purchaser Information, on the one hand, or
the Initial Purchaser Information on the other and the parties’ relative
intent, knowledge, access to information and opportunity to correct or prevent
such statement or omission. Willis, WEST and the Initial Purchaser agree that
it would not be just and equitable if contribution pursuant to this subsection (d) were
determined by pro rata

 

29

 

allocation or by any other method of allocation that does not take into
account the equitable considerations referred to above in this subsection (d).
The amount paid or payable to an indemnified party as a result of the losses,
claims, damages, liabilities or expenses (or actions in respect thereof)
referred to above in this subsection (d) shall be deemed to include
any legal or other expenses reasonably incurred by such indemnified party in
connection with investigating or defending any such action or claim (which
shall be limited as provided in subsection (c) above if the
indemnifying party has assumed the defense of any such action in accordance
with the provisions thereof).  
Notwithstanding the provisions of this subsection (d), the Initial
Purchaser shall not be required to make any contribution under this Agreement
that in the aggregate exceeds the fee/commission received by the Initial
Purchaser pursuant to this Agreement. No person guilty of fraudulent
misrepresentation shall be entitled to a contribution from any person who was
not guilty of such fraudulent misrepresentation.

 

(f) The indemnity and contribution agreements in this Section shall
remain in full force regardless of

 

(i) any termination of this Agreement,

 

(ii) any investigation made by Willis,
WEST, the Initial Purchaser, any of their respective directors, trustees (in
the case of WEST) or officers, or any person controlling any of them, and

 

(iii) acceptance of and payment for any
of the Offered Notes. 

 

8. Termination.

 

(a) This Agreement shall become effective as of the date first written
above and shall remain in force until terminated as provided in this Section 8.

 

(b) The obligations of the Initial Purchaser under this Agreement shall
be terminable by the Initial Purchaser (subject to Section 7(f)), in its
absolute discretion and without penalty, by notice given to and received by
WEST prior to delivery and payment for the Offered Notes, if prior to that time
there shall have occurred and be continuing any of the events described in Section
6(b) hereof.

 

(c) The obligations of Willis and WEST under this Agreement (other than
the obligations under clauses (d), (e) and (f) of Section 2, and
subject to Section 7(f)) shall be terminable by Willis and WEST jointly,
in their absolute discretion and without penalty, by notice given to and
received by the Initial Purchaser if the Closing Date shall not have occurred by
August 31, 2005 (and the failure of such Closing Date to occur is not
directly attributable to an action or inaction of Willis or WEST).

 

(d) If the Initial Purchaser terminates its obligations under this
Agreement in accordance with this Section 8, or if Willis and WEST
terminate their obligations under the Agreement in accordance with this Section 8,
Willis and WEST each agree to reimburse the Initial Purchaser for all out-of
pocket expenses (including reasonable fees and disbursements of

 

30

 

counsel) that shall have been incurred by the Initial Purchaser in
connection with the proposed offering of the Offered Notes.

 

9. Representations, Warranties, Covenants, and Indemnities to Survive
Delivery. All representations,
warranties, covenants, and indemnities in this Agreement shall remain in full
force, regardless of any investigation made by or on behalf of the Initial
Purchaser, Willis, WEST or any of the controlling persons referred to in Section 7,
and shall survive delivery of and payment for the Offered Notes or termination
or cancellation of this Agreement.

 

10. Notices. All
communications under this Agreement will be in writing and effective only on
receipt, and

 

•      if
sent to the Initial Purchaser, will be mailed, delivered, or either telegraphed
or transmitted by telecopier and confirmed to them c/o UBS Securities LLC, 11th
Floor, 1285 Avenue of the Americas, New York, New York 10019, Attention: ABS
Banking Group, fax (212) 713 -7999 (or at another address furnished by the
Initial Purchaser to Willis and WEST in accordance with this Section 10);

 

•      if
sent to Willis, delivered or either telegraphed or transmitted by telecopier
and confirmed to it at 2320 Marinship Way, Sausalito, California 94965,
Attention: General Counsel, fax (415) 275-5127 (or at another address furnished
by Willis to the Initial Purchaser and WEST in accordance with this Section 10);
or

 

•      if
sent to WEST, delivered or either telegraphed or transmitted by telecopier and confirmed
to it at c/o Willis at 2320 Marinship Way, Sausalito, California 94965,
Attention: General Counsel, fax (415) 275-5127 (or at another address furnished
by WEST to the Initial Purchaser and Willis in accordance with this Section 10).

 

11. Amendments, Waivers; Counterparts;
Assignment. Neither
this Agreement nor any provision of this Agreement may be changed, waived,
discharged, or terminated except by a writing signed by a duly authorized
officer of the party against whom the change, waiver, discharge, or termination
is sought to be enforced. This Agreement may be executed in any number of
counterparts, each of which shall for all purposes be deemed to be an original
and all of which shall together constitute but one and the same instrument.

 

This Agreement is not assignable by any party hereto; provided, however,
that the Initial Purchaser may assign this Agreement, or any of its rights or
obligations hereunder, in writing to any of its respective affiliates, provided
that the rights of WEST and Willis shall not be affected by such assignment.
Upon an assignment by the Initial Purchaser pursuant to this Section, the
Initial Purchaser shall cause the assignee to assume in writing all of its
obligations and liabilities hereunder and shall notify WEST and Willis of such
assignment. Upon the assumption in writing by the assignee of the Initial
Purchaser’s obligations and liabilities hereunder, the Initial Purchaser shall
have no further obligations or liabilities hereunder.

 

31

 

12. Successors. This Agreement shall inure to the
benefit of and be binding upon its parties and the officers, directors,
trustees and controlling persons referred to in Section 7 and their
respective successors, and no other person will have any right or obligation
under this Agreement.

 

13. Severability
of Provisions. Any
part, provision, representation, warranty, or covenant of this Agreement that
is prohibited or is held to be void or unenforceable shall be ineffective to
the extent of such prohibition or unenforceability without invalidating the remaining
provisions of this Agreement, and any such prohibition or unenforceability in
any particular jurisdiction shall not invalidate or render unenforceable such
provision in any other jurisdiction. To the extent permitted by applicable law,
the parties to this Agreement waive any provision of law that prohibits or
renders void or unenforceable any provision of this Agreement.

 

14. Submission to Jurisdiction. Each of Willis, WEST and the Initial
Purchaser hereby irrevocably and unconditionally submits, for itself and its
property, to the non-exclusive jurisdiction of the Supreme Court of the State
of New York sitting in the Borough of Manhattan in The City of New York and of
the United States District Court for the Southern District of New York sitting
in the Borough of Manhattan in The City of New York, and any appellate court
from any thereof, in any action or proceeding arising out of or relating to
this Agreement, and Willis, WEST and the Initial Purchaser hereby irrevocably
agree that all claims in respect of such action or proceeding may be heard and
determined in such New York State or Federal court. Willis, WEST and the
Initial Purchaser hereby irrevocably waive, to the fullest extent that they may
legally do so, the defense of an inconvenient forum to the maintenance of such action
or proceeding. Willis and WEST and the Initial Purchaser agree that a final
judgment in any such action or proceeding shall be conclusive and may be
enforced in other jurisdictions by suit on the judgment or in any other manner
provided by law.

 

15. Waiver of Jury Trial. THE PARTIES HEREBY
IRREVOCABLY WAIVE, TO THE FULLEST EXTENT PERMITTED BY APPLICABLE LAW, ANY AND
ALL RIGHT TO TRIAL BY JURY (BUT NO OTHER JUDICIAL REMEDIES) IN ANY LEGAL
PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT AND THE TRANSACTIONS
CONTEMPLATED HEREBY.

 

16. Applicable Law. This Agreement shall be construed,
interpreted and enforced, in accordance with the internal laws of the State of
New York, (including, without limitation, Sections 5-1401 and 5-1402 of the
General Obligations Law of the State of New York) without giving effect to the
conflict of laws principles thereof.

 

17. Entire Agreement. This Agreement constitutes the entire
agreement of the parties with respect to the subject matter of this Agreement,
and supersedes all prior negotiations, agreements and understandings
(including, as to the agreements between Willis and UBS to the extent relating
to the subject matter addressed in this Agreement, as set forth in the letter

 

32

 

agreement of July 23, 2004 among Willis, the Initial Purchaser and
Fortis Bank (Nederland) N.V.) with respect thereto.

 

[signatures follow]

 

33

 

If the foregoing is in accordance with your
understanding of our agreement, please sign and return to us a counterpart of
this Agreement, whereupon this Agreement along with all counterparts will
become a binding agreement between Willis, WEST and the Initial Purchaser in
accordance with its terms.

 

	
   

  	
   

  	
  Very
  truly yours,

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  WILLIS
  ENGINE SECURITIZATION

  TRUST

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Monica J. Burke

  	
   

  
	
   

  	
   

  	
   

  	
    Name:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
    Title:

  	
  Trustee

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  WILLIS
  LEASE FINANCE CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
  /s/ Monica J. Burke

  	
   

  
	
   

  	
   

  	
   

  	
    Name:

  	
  Monica J. Burke

  	
   

  
	
   

  	
   

  	
   

  	
    Title:

  	
  Executive Vice
  President

  Chief Financial Officer

  	
   

  

 

Accepted at New York, New York, as of the date first above written:

 

 

	
  UBS
  SECURITIES LLC

  	
   

  	
  UBS
  LIMITED

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
  Name:

  	
   

  	
   

  	
  Name:

  	
   

  
	
   

  	
  Title:

  	
   

  	
   

  	
  Title:

  	
   

  

 

34

 

If the foregoing is in accordance with your
understanding of our agreement, please sign and return to us a counterpart of
this Agreement, whereupon this Agreement along with all counterparts will
become a binding agreement between Willis, WEST and the Initial Purchaser in
accordance with its terms.

 

	
   

  	
   

  	
  Very
  truly yours,

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  WILLIS
  ENGINE SECURITIZATION

  TRUST

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
    Name:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
    Title:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  WILLIS
  LEASE FINANCE CORPORATION

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
  By:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
    Name:

  	
   

  	
   

  
	
   

  	
   

  	
   

  	
    Title:

  	
   

  	
   

  

 

Accepted at New York, New York, as of the date first above written:

 

 

	
  UBS
  SECURITIES LLC

  	
   

  	
  UBS
  LIMITED

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  /s/ Berlage

  	
   

  	
  By:

  	
  /s/ Ian Pearce

  	
   

  
	
   

  	
    Name:

  	
  BERLAGE

  	
   

  	
   

  	
    Name:

  	
  IAN PEARCE

  	
   

  
	
   

  	
    Title:

  	
  DIRECTOR

  	
   

  	
   

  	
    Title:

  	
  ASSOCIATE DIRECTOR

  	
   

  
	
   

  	
   

  	
   

  
	
   

  	
   

  	
   

  
	
  By:

  	
  /s/ M. Shahmohammed

  	
   

  	
  By:

  	
  /s/ Paul Hevrman

  	
   

  
	
   

  	
    Name:

  	
  M. SHAHMOHAMMED

  	
   

  	
   

  	
    Name:

  	
  PAUL HEVRMAN

  	
   

  
	
   

  	
    Title:

  	
  EXECUTIVE DIRECTOR

  	
   

  	
   

  	
    Title:

  	
  EXECUTIVE DIRECTOR

  

 

35

 

SCHEDULE A

 

98.5% of par (principal amount of
$200,000,000)

 

36

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00094-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00094-of-00352.parquet"}]]