Document:

Exhibit 10.1

 

 

KIMBELL ROYALTY GP, LLC

2017 LONG-TERM INCENTIVE PLAN

 

(Adopted Effective January 31, 2017)

 

1.                                    Purpose of the Plan.

 

The Kimbell Royalty GP, LLC Long-Term Incentive Plan (the “Plan”) has been adopted by Kimbell Royalty GP, LLC, a Delaware limited liability company (the “Company”), the general partner of Kimbell Royalty Partners, LP, a Delaware limited partnership (the “Partnership”), and is intended to promote the interests of the Partnership and the Company and their Affiliates (as defined below) by providing to employees, consultants, and directors of the Company and its Affiliates who perform services for or on behalf of the Partnership and its subsidiaries incentive compensation awards for superior performance that are based on Units (as defined below).  The Plan is also contemplated to enhance the ability of the Company and its Affiliates to attract and retain the services of individuals who are essential for the growth and profitability of the Partnership and its subsidiaries and to encourage them to devote their best efforts to advancing the business of the Partnership and its subsidiaries.

 

2.                                    Definitions.

 

As used in the Plan, the following terms shall have the meanings set forth below:

 

“Affiliate” means, with respect to any Person, any other Person that directly or indirectly through one or more intermediaries controls, is controlled by or is under common control with, the Person in question.  As used herein, the term “control” means the possession, direct or indirect, of the power to direct or cause the direction of the management and policies of a Person, whether through ownership of voting securities, by contract or otherwise.

 

“Award” means a Unit, Restricted Unit, Phantom Unit, Option, Unit Appreciation Right or DER granted under the Plan.

 

“Award Agreement” means the written agreement or other instrument by which an Award shall be evidenced.

 

“Board” means the Board of Directors of the Company.

 

“Code” means the Internal Revenue Code of 1986, as amended.

 

“Committee” means the Conflicts Committee of the Board or, if none, the Board or such committee of the Board, if any, as may be appointed by the Board to administer the Plan.

 

“Consultant” means an individual, other than an Employee, providing bona fide services to the Partnership or any of its subsidiaries as a consultant or advisor, as applicable, provided that such individual is a natural person.  For the avoidance of doubt, an individual may, in the discretion of the Committee, receive awards in his or her capacity as a Consultant and as a Director, if applicable.

 

 

“DER” or “Distribution Equivalent Right” means a right to receive an amount in cash or additional Awards equal to the cash distributions made by the Partnership with respect to a Unit during a specified period.

 

“Director” means a member of the Board who is not an Employee.

 

“Employee” means any employee of the Company or an Affiliate who performs services for the Partnership or its Affiliates.

 

“Exchange Act” means the Securities Exchange Act of 1934, as amended.

 

“Fair Market Value” of a Unit means the closing sales price of a Unit on the principal national securities exchange or other market in which trading in Units occurs on the applicable date (or if there is no trading in the Units on such date, on the next preceding date on which there was trading) as reported in The Wall Street Journal (or other reporting service approved by the Committee). In the event Units are not traded on a national securities exchange or other market at the time a determination of fair market value is required to be made hereunder, the determination of fair market value shall be made in good faith by the Committee and in compliance with Section 409A of the Code. Notwithstanding the foregoing, with respect to an Award granted on the effective date of the initial public offering of Units, Fair Market Value on such date shall mean the initial offering price per Unit as stated on the cover page of the prospectus which is part of the registration statement on Form S-1 for such offering.

 

“Option” means an option to purchase Units granted under the Plan.

 

“Participant” means any Employee, Consultant or Director granted an Award under the Plan.

 

“Person” means an individual or a corporation, limited liability company, partnership, joint venture, trust, unincorporated organization, association, government agency or political subdivision thereof or other entity.

 

“Phantom Unit” means a phantom (notional) Unit granted under the Plan which entitles the Participant to receive, in the discretion of the Committee, a Unit or an amount of cash equal to the Fair Market Value of a Unit.

 

“Restricted Period” means the period established by the Committee with respect to an Award during which the Award remains nontransferable and subject to forfeiture or is either not exercisable by or payable to the Participant, as the case may be.

 

“Restricted Unit” means a Unit granted under the Plan that is subject to a Restricted Period.

 

“SEC” means the United States Securities and Exchange Commission, or any successor thereto.

 

“UAR” or “Unit Appreciation Right” means an Award that, upon exercise, entitles the holder to receive, in cash or Units in the discretion of the Committee, the excess of the Fair

 

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Market Value of a Unit on the exercise date over the exercise price established for such Unit Appreciation Right.

 

“Unit” means a common unit of the Partnership.

 

3.                                    Administration.

 

(a)                               General. The Plan shall be administered by the Committee. Subject to the terms of the Plan and applicable law, and in addition to other express powers and authorizations conferred on the Committee by the Plan, the Committee shall have full power and authority to: (i) designate Participants; (ii) determine the type or types of Awards to be granted to a Participant; (iii) determine the number of Units to be covered by Awards; (iv) determine the terms and conditions of any Award (including but not limited to performance requirements for such Award); (v) determine whether, to what extent, and under what circumstances Awards may be settled, exercised, canceled, or forfeited; (vi) interpret and administer the Plan and any instrument or agreement relating to an Award made under the Plan; (vii) establish, amend, suspend, or waive such rules and regulations and appoint such agents as it shall deem appropriate for the proper administration of the Plan; and (viii) make any other determination and take any other action that the Committee deems necessary or desirable for the administration of the Plan. The Committee may, in its discretion, provide for the extension of the exercisability of an Award, accelerate the vesting or exercisability of an Award, eliminate or make less restrictive any restrictions applicable to an Award, waive any restriction or other provision of this Plan or an Award or otherwise amend or modify an Award in any manner that is either (i) not adverse to the Participant to whom such Award was granted or (ii) consented to by such Participant.  Unless otherwise expressly provided in the Plan, all designations, determinations, interpretations, and other decisions under or with respect to the Plan or any Award shall be within the sole discretion of the Committee, may be made at any time and shall be final, conclusive, and binding upon all Persons, including the Company, the Partnership, any Affiliate, any Participant, and any beneficiary of any Award.  No member of the Committee or officer of the Company to whom the Committee has delegated authority in accordance with the provisions of Section 3(b) of this Plan shall be liable for anything done or omitted to be done by him or her, by any member of the Committee or by any officer of the Company in connection with the performance of any duties under this Plan, except for his or her own willful misconduct or as expressly provided by statute.

 

(b)                              Delegation.  The Board or the Committee may authorize a committee of one or more members of the Board to grant individual Awards pursuant to such conditions or limitations as the Board or the Committee may establish.  The Committee may also delegate to the Chief Executive Officer and to other employees of the Company (i) the authority to grant individual Awards to Consultants and to Employees who are not subject to Section 16(b) of the Exchange Act and (ii) other administrative duties under this Plan pursuant to such conditions or limitations as the Committee may establish.  The Committee may engage or authorize the engagement of a third party administrator to carry out administrative functions under the Plan.

 

4.                                    Units.

 

(a)                               Limits on Units Deliverable.  Subject to adjustment as provided in Section 4(c), the maximum number of Units that may be delivered or reserved for delivery or underlying

 

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Awards in the aggregate issued under the Plan is 2,041,600.  If any Award expires, is canceled, exercised, paid or otherwise terminates without the delivery of Units, then the Units covered by such Award, to the extent of such expiration, cancellation, exercise, payment or termination, shall again be Units with respect to which Awards may be granted.  Units that are delivered by a Participant in satisfaction of the exercise or other purchase price of an Award or the tax withholding obligations associated with an Award or are withheld to satisfy the Company’s tax withholding obligations are available for delivery pursuant to other Awards.  No Director may be granted during any calendar year Awards in his capacity as a Director having a value determined on the date of grant in excess of $500,000, or, in the first year that such individual becomes a Director $600,000.  The Committee may from time to time adopt and observe such rules and procedures concerning the counting of Units against the Plan maximum or any sublimit as it may deem appropriate, including rules more restrictive than those set forth above to the extent necessary to satisfy the requirements of any national stock exchange on which the Units are listed or any applicable regulatory requirement.  The Board and the appropriate officers of the Company are authorized to take from time to time whatever actions are necessary, and to file any required documents with governmental authorities, stock exchanges and transaction reporting systems to ensure that Units are available for issuance pursuant to Awards.

 

(b)                              Sources of Units Deliverable Under Awards.  Any Units delivered pursuant to an Award shall consist, in whole or in part, of Units acquired in the open market, common units already owned by the Company, common units acquired by the Company directly from the Partnership or any other person or any combination of the foregoing.

 

(c)                               Adjustments.  In the event that any distribution (whether in the form of cash, Units, other securities, or other property), recapitalization, split, reverse split, reorganization, merger, consolidation, split-up, spin-off, combination, repurchase, or exchange of Units or other securities of the Partnership, issuance of warrants or other rights to purchase Units or other securities of the Partnership, or other similar transaction or event affects the Units, then the Committee shall, in such manner as it may deem equitable, adjust any or all of (i) the number and type of Units (or other securities or property) with respect to which Awards may be granted, (ii) the number and type of Units (or other securities or property) subject to outstanding Awards, and (iii) the grant or exercise price with respect to any Award or, make provision for a cash payment to the holder of an outstanding Award; provided, that the number of Units subject to any Award shall always be a whole number.  No adjustment pursuant to this Section 4(c) shall be made in a manner that results in noncompliance with the requirements of Section 409A of the Code, to the extent applicable.

 

5.                                    Eligibility.

 

Any Employee, Consultant or Director shall be eligible to be designated a Participant and receive an Award under the Plan.

 

6.                                    Awards.

 

Awards may, in the discretion of the Committee, be granted either alone or in addition to, in tandem with or in substitution for any other Award granted under the Plan or any award granted under any other plan of the Company or any Affiliate.  Awards granted in addition to or

 

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in tandem with other Awards or awards granted under any other plan of the Company or any Affiliate may be granted either at the same time as or at a different time from the grant of such other Awards or awards.

 

(a)                               Units.  The Committee shall have the discretion to determine the Employees, Consultants and Directors to whom Units shall be granted and the number of Units to be granted.  All Units granted shall be fully vested upon grant and shall not be subject to forfeiture.

 

(b)                              Restricted Units.  The Committee shall have the authority to determine the Employees, Consultants and Directors to whom Restricted Units shall be granted, the number of Restricted Units to be granted to each such Participant, the Restricted Period, the conditions under which the Restricted Units may become vested or forfeited, and such other terms and conditions as the Committee may establish with respect to such Awards.  To the extent provided by the Committee, in its discretion, a grant of Restricted Units may provide that distributions made by the Partnership with respect to the Restricted Units shall be subject to the same forfeiture and other restrictions as the Restricted Unit and, if restricted, such distributions shall be held, without interest, until the Restricted Unit vests or is forfeited with the accumulated distributions being paid or forfeited at the same time, as the case may be.  Absent such a restriction on the distributions in the Award Agreement, distributions during the Restricted Period shall be paid to the holder of the Restricted Unit without restriction.

 

(c)                               Phantom Units.  The Committee shall have the authority to determine the Employees, Consultants and Directors to whom Phantom Units shall be granted, the number of Phantom Units to be granted to each such Participant, the Restricted Period, the time or conditions under which the Phantom Units may become vested or forfeited, which may include, without limitation, the accelerated vesting upon the achievement of specified performance goals, and such other terms and conditions as the Committee may establish with respect to such Awards, including whether DERs are granted with respect to such Phantom Units.

 

(d)                             Options.  The Committee shall have the authority to determine the Employees, Consultants and Directors to whom Options shall be granted, the number of Units to be covered by each Option, whether DERs are granted with respect to such Option, the purchase price therefor and the conditions and limitations applicable to the exercise of the Option as the Committee shall determine, that are not inconsistent with the provisions of the Plan.  The term of an Option may not exceed 10 years.  The purchase price per Unit purchasable under an Option shall be determined by the Committee at the time the Option is granted, provided such purchase price may not be less than 100% of its Fair Market Value as of the date of grant.  The Committee shall determine the time or times at which an Option may be exercised in whole or in part, which may include, without limitation, accelerated vesting upon the achievement of specified performance goals, and the method or methods by which payment of the exercise price with respect thereto may be made or deemed to have been made, which may include, without limitation, cash, check acceptable to the Company, a broker-assisted cashless exercise through procedures approved by the Committee, delivery of previously owned Units having a Fair Market Value on the exercise date equal to the relevant exercise, or any combination thereof.

 

(e)                               Unit Appreciation Rights.  The Committee shall have the authority to determine the Employees, Consultants and Directors to whom Unit Appreciation Rights shall be granted,

 

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the number of Units to be covered by each grant and the conditions and limitations applicable to the exercise of the Unit Appreciation Right as the Committee shall determine, that are not inconsistent with the provisions of the Plan.  The exercise price per Unit Appreciation Right shall be not less than 100% of its Fair Market Value as of the date of grant.  The term of a Unit Appreciation Right may not exceed 10 years.

 

(f)                                Distribution Equivalent Rights.  The Committee shall have the authority to determine the Employees, Consultants and Directors to whom DERs are granted, whether such DERs are tandem or separate Awards, whether the DERs shall be paid directly to the Participant, be credited to a bookkeeping account (with or without interest in the discretion of the Committee) the vesting restrictions and payment provisions applicable to the Award, and such other provisions or restrictions as determined by the Committee in its discretion all of which shall be specified in the Award Agreements.

 

7.                                    Limits on Transfer of Awards.

 

Each Award shall be exercisable or payable only to the Participant during the Participant’s lifetime, or to the person to whom the Participant’s rights shall pass by will or the laws of descent and distribution.  No Award and no right under any such Award may be assigned, alienated, pledged, attached, sold or otherwise transferred or encumbered by a Participant and any such purported assignment, alienation, pledge, attachment, sale, transfer or encumbrance shall be void and unenforceable against the Company or any Affiliate.  Notwithstanding the foregoing, to the extent specifically provided by the Committee with respect to an Award, an Award may be transferred by a Participant without consideration to immediate family members or related family trusts, limited partnerships or similar entities or on such terms and conditions as the Committee may from time to time establish.

 

8.                                    Securities Restrictions.

 

(a)                               All certificates for Units or other securities of the Partnership delivered under the Plan pursuant to any Award or the exercise thereof shall be subject to such stop transfer orders and other restrictions as the Committee may deem advisable under the Plan or the rules, regulations, and other requirements of the SEC, any stock exchange upon which such Units or other securities are then listed, and any applicable federal or state laws, and the Committee may cause a legend or legends to be put on any such certificates to make appropriate reference to such restrictions.

 

(b)                              Notwithstanding anything in the Plan or any Award Agreement to the contrary, delivery of Units pursuant to the exercise or vesting of an Award may be deferred for any period during which, in the good faith determination of the Committee, the Company is not reasonably able to obtain Units to deliver pursuant to such Award without violating the rules or regulations of any applicable law or securities exchange.  No Units or other securities shall be delivered pursuant to any Award until payment in full of any amount required to be paid pursuant to the Plan or the applicable Award Agreement (including, without limitation, any exercise price or tax withholding) is received by the Company.

 

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9.                                    Change of Control.

 

The effect, if any, of a change of control on outstanding Awards shall be set forth in the applicable Award Agreement.

 

10.                            Amendment and Termination.

 

Except as required by applicable law or the rules of the principal securities exchange on which the Units are traded, the Board may amend, alter, suspend, discontinue, or terminate the Plan in any manner, including increasing the number of Units available for Awards under the Plan, without the consent of any Participant, any other holder or beneficiary of an Award or any other Person.

 

11.                            General Provisions.

 

(a)                               No Rights to Award.  No Person shall have any claim to be granted any Award under the Plan, and there is no obligation for uniformity of treatment of Participants.  The terms and conditions of Awards need not be the same with respect to each recipient.

 

(b)                              Tax Withholding.  The Company or any Affiliate is authorized to withhold from any Award, from any payment due or transfer made under any Award or from any compensation or other amount owing to a Participant the amount (in cash, Units, other securities, or other property) of any applicable taxes payable up to the maximum statutory rate in respect of the grant of an Award, its exercise, the lapse of restrictions thereon, or any payment or transfer under an Award or under the Plan and to take such other action as may be necessary in the opinion of the Company to satisfy its withholding obligations for the payment of such taxes.

 

(c)                               No Right to Employment or Services.  The grant of an Award shall not be construed as giving a Participant the right to be retained as an Employee, Consultant or Director, as applicable.  Further, the Company or an Affiliate may at any time dismiss a Participant from employment or service at any time.

 

(d)                             Governing Law.  The validity, construction, and effect of the Plan and any rules and regulations relating to the Plan shall be determined in accordance with the laws of the State of Delaware without regard to its conflict of laws principles.

 

(e)                               Severability.  If any provision of the Plan or any award is or becomes or is deemed to be invalid, illegal, or unenforceable in any jurisdiction or as to any Person or Award, or would disqualify the Plan or any award under any law deemed applicable by the Committee, such provision shall be construed or deemed amended to conform to the applicable laws, or if it cannot be construed or deemed amended without, in the determination of the Committee, materially altering the intent of the Plan or the Award, such provision shall be stricken as to such jurisdiction, person or award and the remainder of the Plan and any such Award shall remain in full force and effect.

 

(f)                                Other Laws.  The Committee may refuse to issue or transfer any Units or other consideration under an Award if, in its sole discretion, it determines that the issuance or transfer of such Units or such other consideration might violate any applicable law or regulation, the

 

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rules of the principal securities exchange on which the Units are then traded, or entitle the Partnership or an Affiliate to recover the same under Section 16(b) of the Exchange Act, and any payment tendered to the Company by a Participant, other holder or beneficiary in connection with the exercise of such Award shall be promptly refunded to the relevant Participant, holder or beneficiary.

 

(g)                              No Trust or Fund Created.  Neither the Plan nor any Award shall create or be construed to create a trust or separate fund of any kind or a fiduciary relationship between the Partnership, Company or any participating Affiliate and a Participant or any other Person.  To the extent that any Person acquires a right to receive payments from the Partnership, Company or any Affiliate pursuant to an Award, such right shall be no greater than the right of any general unsecured creditor of the Partnership, Company or any participating Affiliate.

 

(h)                              No Fractional Units.  No fractional Units shall be issued or delivered pursuant to the Plan or any Award, and the Committee shall determine whether cash, other securities, or other property shall be paid or transferred in lieu of any fractional Units or whether such fractional Units or any rights thereto shall be canceled, terminated, or otherwise eliminated.

 

(i)                                  Facility of Payment.  Any amounts payable hereunder to any person under legal disability or who, in the judgment of the Committee, is unable to properly manage his financial affairs, may be paid to the legal representative of such person, or may be applied for the benefit of such person in any manner which the Committee may select, and the Partnership, Company and its Affiliates shall be relieved of any further liability for payment of such amounts.

 

(j)                                  Participation by Affiliates.  In making Awards to Employees employed by an Affiliate of the Company, the Committee shall be acting on behalf of the Affiliate, and to the extent the Partnership has an obligation to reimburse the Affiliate for compensation paid to Employees for services rendered for the benefit of the Partnership, such payments or reimbursement payments may be made by the Partnership directly to the Affiliate, and, if made to the Company, shall be received by the Company as agent for the Affiliate.

 

(k)                              Gender and Number.  Words in the masculine gender shall include the feminine gender, the plural shall include the singular and the singular shall include the plural.

 

(l)                                  No Guarantee of Tax Consequences.  None of the Board, the Partnership, the Company, any Affiliate nor the Committee makes any commitment or guarantee that any federal, state or local tax treatment will apply or be available to any person participating or eligible to participate hereunder.

 

12.                            Section 409A of the Code.

 

(a)                               Awards made under this Plan are intended to comply with or be exempt from Section 409A of the Code, and ambiguous provisions hereof, if any, shall be construed and interpreted in a manner consistent with such intent.  No payment, benefit or consideration shall be substituted for an Award if such action would result in the imposition of taxes under Section 409A of the Code.  Notwithstanding anything in this Plan to the contrary, if any Plan provision or Award under this Plan would result in the imposition of an additional tax under Section 409A of the Code, that Plan provision or Award shall be reformed, to the extent permissible under

 

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Section 409A of the Code, to avoid imposition of the additional tax, and no such action shall be deemed to adversely affect the Participant’s rights to an Award.

 

(b)                              Unless the Committee provides otherwise in an Award Agreement, each DER, Restricted Unit or Phantom Unit (or portion thereof if the Award is subject to a vesting schedule) shall be settled no later than the 15th day of the third month after the end of the first calendar year in which the Award (or such portion thereof) is no longer subject to a “substantial risk of forfeiture” within the meaning of Section 409A of the Code.  If the Committee determines that a DER, Restricted Unit or Phantom Unit is intended to be subject to Section 409A of the Code, the applicable Award Agreement shall include terms that are designed to satisfy the requirements of Section 409A of the Code.

 

(c)                               If the Participant is identified by the Company as a “specified employee” within the meaning of Section 409A(a)(2)(B)(i) of the Code on the date on which the Participant has a “separation from service” (other than due to death) within the meaning of Treasury Regulation § 1.409A-1(h), any Award payable or settled on account of a separation from service that is deferred compensation subject to Section 409A of the Code shall be paid or settled on the earliest of (1) the first business day following the expiration of six months from the Participant’s separation from service, (2) the date of the Participant’s death, or (3) such earlier date as complies with the requirements of Section 409A of the Code.

 

13.                            Term of the Plan.

 

The Plan has been approved by the limited partners of the Partnership and shall become effective on the later of the date of its approval by the Board or the initial public offering of Units.  The Plan shall terminate on, and no Awards may be granted after, the earliest of the date established by the Board or the Committee, the 10th anniversary of the date the Plan was approved by the limited partners of the Partnership (or such earlier anniversary, if any, required by the rules of the exchange on which Units are traded) or the date Units are no longer available for delivery pursuant to Awards under the Plan.  However, unless otherwise expressly provided in the Plan or in an applicable Award Agreement, any Award granted prior to such termination, and the authority of the Committee to amend, alter, adjust, suspend, discontinue, or terminate any such Award or to waive any conditions or rights under such Award, shall extend beyond such termination date.

 

-9-Exhibit

	
			
	 
	Supplemental Agreement No. 98
	 

	 
	 
	 

	 
	to
	 

	 
	 
	 

	 
	Purchase Agreement No. 1810
	 

	 
	 
	 

	 
	between
	 

	 
	 
	 

	 
	THE BOEING COMPANY
	 

	 
	 
	 

	 
	and
	 

	 
	 
	 

	 
	SOUTHWEST AIRLINES CO
	 

	 
	 
	 

	 
	Relating to Boeing Model 737-7H4 and 737-8H4 Aircraft
	 

THIS SUPPLEMENTAL AGREEMENT No. 98 (SA-98) is entered into as of November 15, 2016, by and between THE BOEING COMPANY, a Delaware corporation with principal offices in Seattle, Washington (Boeing) and SOUTHWEST AIRLINES CO., a Texas corporation with principal offices in Dallas, Texas (Buyer).

	
	
	RECITALS:

WHEREAS, Buyer and Boeing entered into Purchase Agreement No. 1810 dated January 19, 1994, as amended and supplemented (Purchase Agreement), relating to the purchase and sale of Boeing Model 737-7H4 aircraft (737-7H4 Aircraft) and 737-8H4 aircraft (737-8H4 Aircraft), collectively the “Aircraft”.  This SA-98 is an amendment to and is incorporated into the Purchase Agreement.  Capitalized terms used herein but not otherwise defined shall have the meaning set forth in the Purchase Agreement;

WHEREAS, Buyer has elected to exercise Buyer’s right to purchase three (3) Option Aircraft with scheduled delivery months in 2018 (Exercised Option Aircraft) in accordance with the terms set forth in Letter Agreement SWA-PA-1810-LA-1105884R2, Option Aircraft; and

WHEREAS, Boeing and Buyer agree to amend the Purchase Agreement by revising the delivery month of nine (9) Block 800LUV Aircraft.

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

		
	1.
	TABLE OF CONTENTS.

The Table of Contents is deleted in its entirety and replaced by a new Table of Contents (attached), which lists the Tables and Letter Agreements revised by this SA-98 and is identified by “SA-98”.  Such revised Table of Contents, by this reference, is incorporated in the Purchase Agreement.

***Pursuant to 17 CFR 240.24b-2, confidential information has been omitted and has been filed separately with the Securities and Exchange Commission pursuant to a Confidential Treatment Application filed with the Commission.

	
			
	P.A. No. 1810
	SA-98-1
	 

	 
	BOEING PROPRIETARY
	 

		
	2.
	TABLES.

2.1     Table 1c, Aircraft Information Table - Block 800LUV Aircraft (non-ETOPS Configuration), is deleted in its entirety and replaced by a new Table 1c (attached).  The new Table 1c reflects the revised delivery month for one (1) Aircraft.

2.2     Table 1d, Aircraft Information Table - Block 800LUV Aircraft (non-ETOPS Configuration), is deleted in its entirety and replaced by a new Table 1d (attached).  The new Table 1d reflects the (i) addition of the Exercised Option Aircraft and (ii) revised delivery month for eight (8) Aircraft.

		
	3.
	LETTER AGREEMENTS.

Attachment A to Letter Agreement SWA-PA-1810-LA-1001315R4, ***
is deleted in its entirety and replaced by a new Attachment A (attached).  The new Attachment A updates the delivery month of Aircraft 58 to June 2017 and Aircraft 62 to June 2017.

Attachment B to Letter Agreement SWA-PA-1810-LA-1105884R2, Option Aircraft, is deleted in its entirety and replaced by a new Attachment B (attached).  The new Attachment B reflects deletion of the Exercised Option Aircraft.

		
	4.
	***

The Purchase Agreement will be deemed to be supplemented to the extent herein provided and as so supplemented will continue in full force and effect.

EXECUTED IN DUPLICATE as of the day and year first above written.

	
		
	THE BOEING COMPANY
	SOUTHWEST AIRLINES CO.

	 
	 

	By: /s/ Kyle L. Kersavage
	By:  /s/ Chris Monroe

	 
	       Chris Monroe

	Its: Attorney‐In‐Fact
	Its: VP, Treasurer

	
			
	P.A. No. 1810
	SA-98-2
	 

	 
	BOEING PROPRIETARY
	 

	
			
	 
	TABLE OF CONTENTS
	 

	
				
	 
	 
	Page
Number
	SA
Number

	ARTICLES
	 
	 
	 

	 
	 
	 
	 

	1.
	Subject Matter of Sale
	1-1
	SA-92

	 
	 
	 
	 

	2.
	Delivery, Title and Risk
of Loss

	2-1
	SA-28

	 
	 
	 
	 

	3.
	Price of Aircraft
	3-1
	SA-92

	 
	 
	 
	 

	4.
	Taxes

	4-1
	 

	 
	 
	 
	 

	5.
	Payment

	5-1
	 

	 
	 
	 
	 

	6.
	Excusable Delay

	6-1
	 

	 
	 
	 
	 

	7.
	Changes to the Detail
Specification

	7-1
	SA-73

	 
	 
	 
	 

	8.
	Federal Aviation Requirements and
Certificates and Export License

	8-1
	 

	 
	 
	 
	 

	9.
	Representatives, Inspection,
Flights and Test Data

	9-1
	 

	 
	 
	 
	 

	10.
	Assignment, Resale or Lease

	10-1
	 

	 
	 
	 
	 

	11.
	Termination for Certain Events

	11-1
	 

	 
	 
	 
	 

	12.
	Product Assurance; Disclaimer and 
Release; Exclusion of Liabilities;
Customer Support; Indemnification
and Insurance

	12-1
	 

	 
	 
	 
	 

	13.
	Buyer Furnished Equipment and
Spare Parts

	13-1
	 

	 
	 
	 
	 

	14.
	Contractual Notices and Requests

	14-1
	 

	 
	 
	 
	 

	15.
	Miscellaneous

	15-1
	 

	
			
	P.A. No. 1810

	i
	 

	K/SWA
	 
	SA-98

	
			
	 
	TABLE OF CONTENTS
	 

	
					
	 
	 
	 
	 
	  SA
Number

	 
	 
	 
	 
	 

	TABLE
	 
	 
	 
	 

	 
	 
	 
	 
	 

	1b
	 
	Aircraft Information Table - Block 800LUV Aircraft

	 
	SA-82

	 
	 
	 
	 
	 

	1c
	 
	Aircraft Information Table - Block 800LUV Aircraft
(non-ETOPS Configuration)

	 
	SA-98

	 
	 
	 
	 
	 

	1d
	 
	Aircraft Information Table - Block 800LUV Aircraft
(non-ETOPS Configuration) 

	 
	SA-98

	 
	 
	 
	 
	 

	EXHIBITS
	 
	 
	 
	 

	 
	 
	 
	 
	 

	A-6
	 
	Aircraft Configuration - Block 800LUV Aircraft
	 
	SA-75

	 
	 
	 
	 
	 

	A-7
	 
	Aircraft Configuration - Block 800LUV Aircraft
                                          (non-ETOPS Configuration)
	 
	SA-84

	 
	 
	 
	 
	 

	B
	 
	***
	 
	SA-75

	 
	 
	 
	 
	 

	C
	 
	Customer Support Document
	 
	SA-75

	 
	 
	 
	 
	 

	C-2
	 
	737-800 Customer Support Document
	 
	SA-75

	 
	 
	 
	 
	 

	D-2
	 
	Economic Price Adjustment
ECI-MFG/CPI (July 2011 Base Price)

	 
	SA-75

	 
	 
	 
	 
	 

	E
	 
	Buyer Furnished Equipment
Provisions Document
Attachment A - 737-7H4 Aircraft (through 2012)
Attachment B - 737-8H4 Aircraft (2012-2018) 

	 
	SA-92

	 
	 
	 
	 
	 

	F
	 
	Defined Terms Document
	 
	 

	 
	 
	 
	 
	 

	LETTER AGREEMENTS

	 
	 

	 
	 
	 
	 
	 

	1810-1R1
	 
	Waiver of Aircraft Demonstration Flight
	 
	SA-75

	
			
	P.A. No. 1810

	ii
	 

	K/SWA
	 
	SA-98

	
			
	 
	TABLE OF CONTENTS
	 

	
					
	 
	 
	 
	 
	SA
Number

	 
	 
	 
	 
	 

	RESTRICTED LETTER AGREEMENTS

	 
	 

	 
	 
	 
	 
	 

	6‐1162‐RLL‐932R3
	 
	***
	 
	SA-75

	 
	 
	 
	 
	 

	6‐1162‐RLL‐934R5
	 
	Disclosure of Confidential Information
	 
	SA-75

	 
	 
	 
	 
	 

	6‐1162‐RLL‐941R3
	 
	Other Matters
	 
	SA-75

	 
	 
	 
	 
	 

	6-1162-KJJ-055R1
	 
	Structural Matters
	 
	SA-25

	 
	 
	 
	 
	 

	6-1162-KJJ-056
	 
	Noise and Emission Matters
	 
	SA-13

	 
	 
	 
	 
	 

	6-1162-KJJ-057
	 
	Product Development Matters
	 
	SA-13

	 
	 
	 
	 
	 

	SWA-PA-1810-LA-1001315R4
	 
	***
	 
	SA-92

	 
	 
	Attachment A
	 
	SA-98

	 
	 
	 
	 
	 

	SWA-PA-1810-LA-1003498R1
	 
	***
	 
	SA-75

	 
	 
	 
	 
	 

	SWA-PA-1810-LA-1003490R4
	 
	***
	 
	SA-92

	 
	 
	 
	 
	 

	SWA-PA-1810-LA-1003367R1
	 
	***
	 
	SA-75

	 
	 
	 
	 
	 

	SWA-PA-1810-LA-1105883
	 
	Aircraft Model Substitution
	 
	SA-92

	 
	 
	 
	 
	 

	SWA-PA-1810-LA-1105884R2
	 
	Option Aircraft
	 
	SA-92

	 
	Attachment A - Model 737-8H4 Aircraft
	 
	SA-92

	 
	Attachment B - Option Aircraft Information Table
	 
	SA-98

	 
	 
	 
	 
	 

	SWA-PA-1810-LA-1105885R3
	 
	***
	 
	SA-90

	 
	 
	 
	 
	 

	SWA-PA-1810-LA-1105886R2
	 
	***
	 
	SA-92

	 
	 
	 
	 
	 

	SWA-PA-1810-LA-1105887
	 
	***
	 
	SA-75

	 
	 
	 
	 
	 

	SWA-PA-1810-LA-1105888R5
	 
	***
	 
	SA-92

	 
	 
	 
	 
	 

	SWA-PA-1810-LA-1105889
	 
	***
	 
	SA-75

	 
	 
	 
	 
	 

	SWA-PA-1810-LA-1303010R1
	 
	***
	 
	SA-92

	 
	 
	 
	 
	 

	SWA-PA-1810-LA-1504814
	 
	***
	 
	SA-92

	
			
	P.A. No. 1810

	iii
	 

	K/SWA
	 
	SA-98

	
			
	 
	TABLE OF CONTENTS
	 

	
		
	ADDITIONAL LETTERS (FOR REFERENCE) - INACTIVE (as of SA-82)

	6-1162-MSA-288
	Business Offer - Enhanced Ground Proximity

	 
	Warning System (EGPWS) - Activation - Peaks

	 
	and Obstacles Feature

	 
	(Not applicable to Block 700LUV & Block 800LUV Aircraft)

	 

	6-1162-JMG-501R2
	Business Offer - ACARS package

	 
	(Not applicable to Block 700LUV & Block 800LUV Aircraft)

INACTIVE / DELETED TABLES, EXHIBITS, AND LETTER AGREEMENTS

TABLE

	
				
	Table
	Title
	Last Updated under SA
	Current Status

	1
	Aircraft Information Table
	SA-75
	Inactive

	2
	Option Aircraft Information Table
	SA-74
	Deleted under SA-75

	1a
	Aircraft Information Table - Block 700LUV Aircraft
	SA-91
	Deleted Under SA-92

EXHIBITS
	
				
	Exhibits
	Title
	Last Updated under SA
	Current Status

	A
	Aircraft Configuration - 737-700
	SA-36
	Inactive

	A-Winglet
	Aircraft Configuration
	SA-36
	Inactive

	A-1-Winglet
	Aircraft Configuration
	SA-36
	Inactive

	A-1A
	Aircraft Configuration - 737-700 Block T-W-2c
	SA-36
	Inactive

	A-2
	Aircraft Configuration - 737-700 Block T-W-2 / T-W-2a
	SA-47
	Inactive

	A-3
	Aircraft Configuration - 737-700 Block T-W-2 / T-W-2a
	SA-61
	Inactive

	A-4
	Aircraft Configuration - 737-700 Block T-W-2b Aircraft
	SA-66
	Inactive

	A-5
	Aircraft Configuration - Block 700LUV Aircraft
	SA-75
	Deleted under SA-92

	C.2
	737-800 Customer Support Variables
	SA-71
	Deleted under SA-75

	D
	Price Adjustment Due to
Economic Fluctuations - Aircraft Price Adjustment
(July 1992 Base Price)
	 
	Inactive

	D-1
	Price Adjustment Due to 
Economic Fluctuations - 
	SA-13
	Inactive

	
			
	P.A. No. 1810

	iv
	 

	K/SWA
	 
	SA-98

	
			
	 
	TABLE OF CONTENTS
	 

	
				
	Exhibits
	Title
	Last Updated under SA
	Current Status

	 
	Aircraft Price Adjustment
(July 1999 Base Price)
	 
	 

	E.2
	737-800 Buyer Furnished Equipment Provisions Document
	SA-73
	Deleted under SA-75

RESTRICTED LETTER AGREEMENTS 

	
				
	Letter Agreement
	Title
	Last Updated
 under SA
	Current Status

	6‐1162‐RLL‐933R21
	Option Aircraft
	SA-60
	Deleted under SA-75

	6‐1162‐RLL‐935R1  
	Performance Guarantees
	SA-1
	Inactive

	6‐1162‐RLL‐936R4
	Certain Contractual Matters
	SA-4
	Inactive

	6‐1162‐RLL‐937
	Alternate Advance Payment Schedule
	 
	Inactive

	6‐1162‐RLL‐938
	***
	 
	Inactive

	6‐1162‐RLL‐939R1
	Certification Flight Test Aircraft
	SA-1
	Inactive

	6‐1162‐RLL‐940R1
	Training Matters
	SA-1
	Inactive

	6‐1162‐RLL‐942
	Open Configuration Matters
	 
	Inactive

	6‐1162‐RLL‐943R1
	Substitution Rights
	SA-6
	Deleted under SA 75

	6‐1162‐RLL‐944
	***
	 
	Inactive

	6-1162-RLL-945
	Comparison of 737-7H4 and 737-3H4 Block Fuel Burn
	 
	Inactive

	6-1162-RLL-1855R3
	Additional Contractual Matters
	SA-4
	Inactive

	6-1162-RLL-1856
	***
	SA-1
	Inactive

	6-1162-RLL-1857
	Service Ready Validation Program Field Test
	SA-1
	Inactive

	6-1162-RLL-1858R1
	Escalation Matters
	SA-4
	Inactive

	6-1162-RLL-2036
	Amortization of Costs for Customer Unique Changes
	SA-1
	Inactive

	6-1162-RLL-2037
	Reconciliation of the Aircraft Basic Price
	SA-1
	Inactive

	6-1162-RLL-2073
	Maintenance Training Matters
	SA-1
	Inactive

	6-1162-KJJ-058R1
	Additional Substitution Rights
	SA-71
	Deleted under SA-75

	6-1162-KJJ-150
	Flight Control Computer & Mode Control Panel Spares Matter
	SA-14
	Inactive

	6-1162-MSA-185R3
	Delivery Change Contractual Matters
	SA-21
	Inactive

	
			
	P.A. No. 1810

	v
	 

	K/SWA
	 
	SA-98

	
			
	 
	TABLE OF CONTENTS
	 

 	
				
	Letter Agreement
	Title
	Last Updated
under SA
	Current Status

	6-1162-JMG-747R1
	***
	SA-36
	Inactive

	6-1162-CHL-217
	Rescheduled Flight Test Aircraft
	SA-32
	Inactive

	6-1162-NIW-606R1
	***

      
	SA-36
	Inactive

	6-1162-NIW-640
	Early Delivery of Two April 2004  Aircraft
	SA-35
	Inactive

	6-1162-NIW-889
	Warranty - Exterior Color Schemes and Markings for YA143 and on 
	SA-39
	Inactive

	6-1162-NIW-1142
	***
	SA-43
	Inactive

	6-1162-NIW-1369
	***
	SA-46
	Inactive

	6-1162-NIW-1983
	***
	SA-62
	Inactive

	SWA-PA-1810-LA-1000419
	***
	SA-64
	Inactive

	6-1162-NIW-890R1
	***
	SA-75

SA-39
	Inactive

	6-1162-KJJ-054R2
	Business Matters
	SA-75
	Inactive

	6-1162-JMG-669R9
	***
	SA-75

SA-75
SA-54
	Inactive

	SWA-PA-1810-LA-02710R1
	***
	SA-72
	Inactive

	SWA-PA-01810/03729-LA-1301169
	***
	SA-2 to PA 3729
	Inactive

	
			
	P.A. No. 1810

	vi
	 

	K/SWA
	 
	SA-98

	
	
	Table 1c to

	Purchase Agreement No. PA-01810

	Aircraft Delivery, Description, Price and Advance Payments

	Block 800LUV Aircraft (non-ETOPS Configuration)

	
									
	Airframe Model/MTOW: 
	737-800
	174200 pounds
	 
	Detail Specification:
	D019A001SWA38P-1 Rev C (3/29/2013)

	 

	Engine Model/Thrust: 
	CFM56-7B27
	27300 pounds
	Note 1
	Base Aircraft Price Base Year/Escalation  Formula:
	Jul-11
	ECI-MFG/CPI

	 

	Base Aircraft Price:      
	 
	 
	***
	Engine Price Base Year/Escalation Formula:
	N/A
	N/A

	 

	Special Features:                                                
	***
	 
	 
	 
	 
	 
	 
	 

	 

	Add'l Features/Changes
	***
	 
	 
	 
	 
	 
	 
	 

	 

	Total Special Features (Exhibit A-7) 
	 
	 
	***
	 

	 

	Sub-Total of Airframe and Features:
	***
	Aircraft Price Escalation Data:

	 

	Engine Price (Per Aircraft): Base Year Index (ECI): 
	***
	Base Year Index (ECI):
	***

	 

	Aircraft Basic Price (Excluding BFE/SPE):
	 
	 
	***
	 
	Base Year Index (CPI):
	***

	 

	Buyer Furnished Equipment (BFE) Estimate:
	***

	 
	 

	Seller Purchased Equipment (SPE) Estimate: 
	***

	
											
	

Delivery

Date
	

Number of

Aircraft
	

Escalation

Factor

(Airframe)
	

Aircraft

Serial

Number
	

Escalation

Forecast
	

Sub-Block

Note 2
	

Escalation Estimate

Adv Payment Base

Price Per A/P
	Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

	At Signing

***

	

24 Mos.

***
	

21/18/12/9/6 Mos.

***
	

Total

***

	Sep-2013
	3
	***
	36933, 36912, 36914
	***
	 
	***
	***
	***
	***
	***

	Nov-2013
	3
	***
	36915, 33939, 42526
	***
	 
	***
	***
	***
	***
	***

	Dec-2013
	3
	***
	36917, 36919, 36731
	***
	 
	***
	***
	***
	***
	***

	Mar-2014
	2
	***
	37004, 36896
	***
	 
	***
	***
	***
	***
	***

	Apr-2014
	3
	***
	42384, 36894, 36895
	***
	 
	***
	***
	***
	***
	***

	May-2014
	3
	***
	36897, 42385, 42521
	***
	 
	***
	***
	***
	***
	***

	Jun-2014
	4
	***
	36898, 36905, 42522, 42523
	***
	 
	***
	***
	***
	***
	***

	Jun-2014
	2
	***
	60082, 60083
	***
	OPEX
	***
	***
	***
	***
	***

	Jul-2014
	1
	***
	36911
	***
	 
	***
	***
	***
	***
	***

	Jul-2014
	3
	***
	60084, 60085, 60086
	***
	OPEX
	***
	***
	***
	***
	***

	Aug-2014
	4
	***
	36907, 42525, 36935, 42528
	***
	 
	***
	***
	***
	***
	***

	Sep-2014
	2
	***
	42527, 42531
	***
	 
	***
	***
	***
	***
	***

	Sep-2014
	1
	***
	36909
	***
	 
	***
	***
	***
	***
	***

	Oct-2014
	1
	***
	36920
	***
	 
	***
	***
	***
	***
	***

	Nov-2014
	1
	***
	36971
	***
	 
	***
	***
	***
	***
	***

	
			
	SWA-PA-01810

	 
	SA-98

	63879 63887 64110 64111 66379 68788 70150 73631 82233 88233 93899
	Boeing Proprietary
	Page 1

	
	
	Table 1c to

	Purchase Agreement No. PA-01810

	Aircraft Delivery, Description, Price and Advance Payments

	Block 800LUV Aircraft (non-ETOPS Configuration)

	
											
	

Delivery

Date
	

Number of

Aircraft
	

Escalation

Factor

(Airframe)
	

Aircraft

Serial

Number
	

Escalation

Forecast
	

Sub-Block

Note 2
	Escalation Estimate

Adv Payment Base

Price Per A/P
	Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

	

At Signing

***
	

24 Mos.

***
	

21/18/12/9/6 Mos.

***
	

Total

***

	Dec-2014
	2
	***
	37037, 37045
	***
	 
	***
	***
	***
	***
	***

	Dec-2014
	2
	***
	42529, 42530
	***
	 
	***
	***
	***
	***
	***

	Dec-2014
	2
	***
	42524, 35973
	***
	 
	***
	***
	***
	***
	***

	Jan-2015
	2
	***
	36899, 42535
	***
	 
	***
	***
	***
	***
	***

	Feb-2015
	3
	***
	36901, 36654, 36906
	***
	 
	***
	***
	***
	***
	***

	Mar-2015
	2
	***
	36902, 36936
	***
	 
	***
	***
	***
	***
	***

	Apr-2015
	2
	***
	36649, 36652
	***
	 
	***
	***
	***
	***
	***

	May-2015
	2
	***
	36903, 36657
	***
	 
	***
	***
	***
	***
	***

	Jun-2015
	2
	***
	36655, 36656
	***
	 
	***
	***
	***
	***
	***

	Nov-2015
	3
	***
	36937, 36715, 36940
	***
	 
	***
	***
	***
	***
	***

	Dec-2015
	3
	***
	36941, 36734, 35976
	***
	 
	***
	***
	***
	***
	***

	Jan-2016
	2
	***
	36650, 36735
	***
	 
	***
	***
	***
	***
	***

	Feb-2016
	3
	***
	36904, 36932, 36737
	***
	 
	***
	***
	***
	***
	***

	Mar-2016
	2
	***
	36651, 36738
	***
	 
	***
	***
	***
	***
	***

	Apr-2016
	1
	***
	36653
	***
	 
	***
	***
	***
	***
	***

	May-2016
	5
	***
	36658, 36939, 33937, 36938,
36723
	***
	 
	***
	***
	***
	***
	***

	Jun-2016
	1
	***
	36916
	***
	 
	***
	***
	***
	***
	***

	Jul-2016
	3
	***
	36921, 36945, 33942
	***
	 
	***
	***
	***
	***
	***

	Aug-2016
	4
	***
	36678, 36661, 35965, 36728
	***
	 
	***
	***
	***
	***
	***

	Sep-2016
	4
	***
	36977, 36923, 41530, 36666
	***
	 
	***
	***
	***
	***
	***

	Oct-2016
	2
	***
	38812, 38813
	***
	 
	***
	***
	***
	***
	***

	Nov-2016
	3
	***
	36670, 38814, 41531
	***
	 
	***
	***
	***
	***
	***

	Nov-2016
	2
	***
	36925, 36944
	***
	 
	***
	***
	***
	***
	***

	Dec-2016
	1
	***
	38816
	***
	 
	***
	***
	***
	***
	***

	Dec-2016
	3
	***
	36975, 36943, 36976
	***
	 
	***
	***
	***
	***
	***

	Jan-2017
	2
	***
	42532, 36910
	***
	 
	***
	***
	***
	***
	***

	Feb-2017
	3
	***
	36969, 36970, 36922
	***
	 
	***
	***
	***
	***
	***

	Mar-2017
	3
	***
	36972, 36949, 36946
	***
	 
	***
	***
	***
	***
	***

	Apr-2017
	2
	***
	36974, 36927
	***
	 
	***
	***
	***
	***
	***

	
			
	SWA-PA-01810

	 
	SA-98

	63879 63887 64110 64111 66379 68788 70150 73631 82233 88233 93899
	Boeing Proprietary
	Page 2

	
	
	Table 1c to

	Purchase Agreement No. PA-01810

	Aircraft Delivery, Description, Price and Advance Payments

	Block 800LUV Aircraft (non-ETOPS Configuration)

	
											
	

Delivery

Date
	

Number of

Aircraft
	

Escalation

Factor

(Airframe)
	

Aircraft

Serial

Number
	

Escalation

Forecast
	

Sub-Block

Note 2
	

Escalation Estimate

Adv Payment Base

Price Per A/P
	Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

	

At Signing

***
	

24 Mos.

***
	

21/18/12/9/6 Mos.

***
	

Total

***

	Jun-2017
	1
	***
	42534
	***
	 
	***
	***
	***
	***
	***

	Aug-2017
	1
	***
	36926
	***
	 
	***
	***
	***
	***
	***

	Oct-2017
	2
	***
	36951, 36968
	***
	 
	***
	***
	***
	***
	***

	Feb-2018
	2
	***
	42545, 42533
	***
	 
	***
	***
	***
	***
	***

	Mar-2018
	1
	***
	36928
	***
	 
	***
	***
	***
	***
	***

	Apr-2018
	2
	***
	36952, 36954
	***
	 
	***
	***
	***
	***
	***

	May-2018
	1
	***
	36957
	***
	 
	***
	***
	***
	***
	***

	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 

	Total:
	117
	 
	 
	 
	 
	 
	 
	 
	 
	 

	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 

	Notes:
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 

	1)   ***
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 

	2) The sub block identifier is used to denote applicability of certain business terms as referenced in Letter Agreement SWA PA 1810 LA 1105888R4 to the Purchase Agreement.
	 

	3)   ***
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 

	
			
	SWA-PA-01810

	 
	SA-98

	63879 63887 64110 64111 66379 68788 70150 73631 82233 88233 93899
	Boeing Proprietary
	Page 3

	
	
	Table 1d to

	Purchase Agreement No. PA-01810

	Aircraft Delivery, Description, Price and Advance Payments

	Block 800LUV Aircraft (non-ETOPS Configuration)

	
																
	Airframe Model/MTOW: 
	 
	737-800
	 
	174,200 pounds
	 
	Detail Specification:
	D019A001SWA38 (1/9/2015)

	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 

	Engine Model/Thrust: 
	 
	CFM56-7B27
	 
	27,300 pounds
	 
	Base Aircraft Price Base Year/Escalation Formula:
	 
	 
	Jul-11
	 
	ECI-MFG/CPI

	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 

	Airframe Price:     
	 
	 
	***
	 
	Engine Price Base Year/Escalation Formula:
	N/A
	N/A

	 

	Optional Features: 
	 
	 
	***
	 

	 

	Sub-Total of Airframe and Features:
	 
	***
	 
	Airframe Escalation Data:
	 
	 
	 
	 
	 
	 

	 

	Engine Price (Per Aircraft):
	 
	***
	 
	Base Year Index (ECI):
	***

	 

	Aircraft Basic Price (Excluding BFE/SPE):
	 
	 
	 
	***
	 
	 
	Base Year Index (CPI):
	***

	 

	Buyer Furnished Equipment (BFE) Estimate:
	 
	 
	 
	***
	 
	 
	 
	 
	 
	 
	 
	 
	 

	 

	Seller Purchased Equipment (SPE) Estimate: 
	 
	 
	 
	***
	 
	 
	 
	 
	 
	 
	 
	 
	 

	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 

	Deposit per Exercised Option Aircraft (OPEX):
	 
	 
	 
	***

	
											
	

Delivery

Date
	

Number of

Aircraft
	

Escalation

Factor

(Airframe)
	

Aircraft

Serial

Number
	

Escalation

Forecast
	 
	

Escalation Estimate

Adv Payment Base

Price Per A/P
	Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

	

At Signing

***
	

24 Mos.

***
	

21/18/12/9/6 Mos. 

***
	Total

***

	Dec-2016
	2
	***
	63593, 63594
	***
	OPEX
	***
	***
	***
	***
	***

	May-2017
	1
	***
	63592
	***
	OPEX
	***
	***
	***
	***
	***

	May-2017
	1
	***
	63575
	***
	 
	***
	***
	***
	***
	***

	May-2017
	1
	***
	63576
	***
	 
	***
	***
	***
	***
	***

	Jun-2017
	2
	***
	63577, 63578
	***
	 
	***
	***
	***
	***
	***

	Jun-2017
	2
	***
	63596, 63595
	***
	OPEX
	***
	***
	***
	***
	***

	Jun-2017
	2
	***
	63571, 63586
	***
	 
	***
	***
	***
	***
	***

	Jul-2017
	1
	***
	63581
	***
	 
	***
	***
	***
	***
	***

	Jul-2017
	2
	***
	63598, 63599
	***
	OPEX
	***
	***
	***
	***
	***

	Aug-2017
	1
	***
	63587
	***
	 
	***
	***
	***
	***
	***

	Sep-2017
	3
	***
	63572, 63573,
63574
	***
	 
	***
	***
	***
	***
	***

	
			
	SWA-PA-01810 82233 / 88233 / 93899
	 
	SA-98

	 
	Boeing Proprietary
	Page 1

	
	
	Table 1d to

	Purchase Agreement No. PA-01810

	Aircraft Delivery, Description, Price and Advance Payments

	Block 800LUV Aircraft (non-ETOPS Configuration)

	
											
	

Delivery

Date
	

Number of

Aircraft
	

Escalation

Factor

(Airframe)
	

Aircraft

Serial

Number
	

Escalation

Forecast
	 
	

Escalation Estimate

Adv Payment Base

Price Per A/P
	Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

	

At Signing

***
	

24 Mos.

***
	

21/18/12/9/6 Mos.

***
	Total

***

	Oct-2017
	1
	***
	63579
	***
	 
	***
	***
	***
	***
	***

	Oct-2017
	1
	***
	63597
	***
	OPEX
	***
	***
	***
	***
	***

	Nov-2017
	1
	***
	63580
	***
	 
	***
	***
	***
	***
	***

	Dec-2017
	2
	***
	63582, 63583
	***
	 
	***
	***
	***
	***
	***

	Dec-2017
	4
	***
	63600, 63601,
63602, 36993
	***
	OPEX
	***
	***
	***
	***
	***

	Jan-2018
	1
	***
	64115
	***
	OPEX
	***
	***
	***
	***
	***

	Jan-2018
	2
	***
	63584, 63585
	***
	 
	***
	***
	***
	***
	***

	Feb-2018
	2
	***
	64171, 64172
	***
	PEX
	***
	***
	***
	***
	***

	Mar-2018
	1
	***
	64174
	***
	OPEX
	***
	***
	***
	***
	***

	Apr-2018
	1
	***
	64248
	***
	OPEX
	***
	***
	***
	***
	***

	May-2018
	2
	***
	63588, 63589
	***
	 
	***
	***
	***
	***
	***

	May-2018
	2
	***
	64251, 64250
	***
	OPEX
	***
	***
	***
	***
	***

	Jun-2018
	2
	***
	63590, 63591
	***
	 
	***
	***
	***
	***
	***

	Total:
	40
	 
	 
	 
	 
	 
	 
	 
	 
	 

	Notes:
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 

	1) ***
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 

	
			
	SWA-PA-01810 82233 / 88233 / 93899
	 
	SA-98

	 
	Boeing Proprietary
	Page 2

	
	
	Attachment B To

	Letter Agreement SWA-PA-1810-LA-1105884R2

	Option Aircraft Delivery, Description, Price and Advance Payments

	
																			
	Airframe Model/MTOW: 
	737-800
	174,200 pounds
	 
	Detail Specification:
	D019A001SWA38 (1/9/2015)

	 

	Engine Model/Thrust: 
	 
	CFM56-7B27
	 
	 
	27,300 pounds
	 
	Base Aircraft Price Base Year/Escalation Formula:  
	J ul-11
	ECI-MFG/CPI
	 
	 

	 

	Airframe Price:    
	***
	 
	Engine Price Base Year/Escalation Formula:
	 
	N/A
	N/A
	 

	 

	Optional Features: 
	 
	 
	 
	***
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 
	 

	 

	Sub-Total of Airframe and Features:
	***
	 
	Airframe Escalation Data:

	 

	Engine Price (Per Aircraft): ***
	***
	 
	Base Year Index (ECI):
	***
	 
	 
	 
	 

	 

	Aircraft Basic Price (Excluding BFE/SPE):
	 
	 
	 
	***
	 
	 
	Base Year Index (CPI):
	***
	 
	 
	 
	 

	 

	Buyer Furnished Equipment (BFE) Estimate:
	***

	 
	 

	Seller Purchased Equipment (SPE) Estimate: 
	***

	 

	Deposit per Aircraft:
	***

	
										
	

Delivery

Date
	

Number of

Aircraft
	

Escalation

Factor

(Airframe)
	

Option

Exercise

Date
	 
	

Escalation Estimate

Adv Payment Base

Price Per A/P
	Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

	

At Signing

***
	

24 Mos.

***
	

21/18/12/9/6 Mos.

***
	Total

***

	Jun-2018
	2
	***
	12/1/16
	 
	***
	***
	***
	***
	***

	Jul-2018
	2
	***
	1/1/17
	 
	***
	***
	***
	***
	***

	Aug-2018
	3
	***
	2/1/17
	 
	***
	***
	***
	***
	***

	Sep-2018
	1
	***
	3/1/17
	 
	***
	***
	***
	***
	***

	Oct-2018
	1
	***
	4/1/17
	 
	***
	***
	***
	***
	***

	Nov-2018
	1
	***
	5/1/17
	 
	***
	***
	***
	***
	***

	Dec-2018
	1
	***
	6/1/17
	 
	***
	***
	***
	***
	***

	 
	 
	 
	 
	 
	 
	 
	 
	 
	 

	Total:
	11
	 
	 
	 
	 
	 
	 
	 
	 

	
			
	SWA-PA-01810 82233 / 88233 / 93899
	 
	SA-98

	 
	Boeing Proprietary
	Page 3

	
	
	Attachment A to SWA-PA-1810-LA1001315R4

	Page 1 of 2

	
							
	***
	 
	 
	 
	 
	 
	 

	 
	 
	 
	 
	 
	 
	 

	   Letter Agmt SWA-PA-1810-LA-1001315R4; paragraph 3.3  
	 
	 

	No.
	Model
	Aircraft Block
	MSN's
	Current Delivery Mo.
	Base Year
	***

	1
	737-700
	T-W-2b
	36962
	July-11
	1999
	***

	2
	737-700
	T-W-2b
	36963
	July-11
	1999
	***

	3
	737-700
	T-W-2b
	36965
	August-11
	1999
	***

	4
	737-700
	T-W-2b
	36967
	October-11
	1999
	***

	5
	737-800
	800LUV
	36980
	March-12
	2011
	***

	6
	737-800
	800LUV
	36983
	April-12
	2011
	***

	7
	737-800
	800LUV
	36985
	May-12
	2011
	***

	8
	737-800
	800LUV
	36987
	May-12
	2011
	***

	9
	737-800
	800LUV
	36990
	July-12
	2011
	***

	10
	737-800
	800LUV
	36992
	August-12
	2011
	***

	11
	737-800
	800LUV
	36994
	September-12
	2011
	***

	12
	737-800
	800LUV
	37003
	November-12
	2011
	***

	13
	737-800
	800LUV
	37009
	December-12
	2011
	***

	14
	737-800
	800LUV
	36973
	March-13
	2011
	***

	15
	737-800
	800LUV
	36998
	March-13
	2011
	***

	16
	737-800
	800LUV
	36908
	April-13
	2011
	***

	17
	737-800
	800LUV
	36933
	September-13
	2011
	***

	18
	737-800
	800LUV
	42526
	November-13
	2011
	***

	19
	737-800
	800LUV
	37004
	March-14
	2011
	***

	20
	737-800
	800LUV
	42521
	May-14
	2011
	***

	21
	737-800
	800LUV
	42522
	June-14
	2011
	***

	22
	737-800
	800LUV
	60082
	June-14
	2011
	***

	23
	737-800
	800LUV
	60083
	June-14
	2011
	***

	24
	737-800
	800LUV
	42523
	June-14
	2011
	***

	25
	737-800
	800LUV
	60084
	July-14
	2011
	***

	26
	737-800
	800LUV
	60085
	July-14
	2011
	***

	27
	737-800
	800LUV
	60086
	July-14
	2011
	***

	28
	737-800
	800LUV
	42524
	December-14
	2011
	***

	29
	737-800
	800LUV
	42525
	August-14
	2011
	***

	30
	737-800
	800LUV
	36935
	August-14
	2011
	***

	31
	737-800
	800LUV
	42527
	September-14
	2011
	***

	32
	737-800
	800LUV
	42528
	August-14
	2011
	***

	33
	737-800
	800LUV
	42531
	September-14
	2011
	***

	34
	737-800
	800LUV
	36909
	September-14
	2011
	***

	35
	737-800
	800LUV
	42529
	December-14
	2011
	***

	36
	737-800
	800LUV
	42530
	December-14
	2011
	***

	37
	737-800
	800LUV
	37045
	December-14
	2011
	***

	38
	737-800
	800LUV
	37037
	December-14
	2011
	***

	39
	737-800
	800LUV
	42535
	January-15
	2011
	***

	40
	737-800
	800LUV
	36940
	November-15
	2011
	***

	41
	737-800
	800LUV
	36938
	May-16
	2011
	***

	42
	737-800
	800LUV
	36939
	May-16
	2011
	***

	43
	737-800
	800LUV
	36945
	July-16
	2011
	***

	44
	737-800
	800LUV
	36977
	September-16
	2011
	***

	45
	737-800
	800LUV
	42532
	January-17
	2011
	 

	46
	737-800
	800LUV
	36910
	January-17
	2011
	 

	47
	737-800
	800LUV
	36970
	February-17
	2011
	 

	48
	737-800
	800LUV
	36969
	February-17
	2011
	 

	
			
	 
	BOEING PROPRIETARY
	SA-98

	
	
	Attachment A to SWA-PA-1810-LA1001315R4

	Page 2 of 2

	
							
	49
	737-800
	800LUV
	36972
	March-17
	2011
	 

	50
	737-800
	800LUV
	36927
	April-17
	2011

	51
	737-800
	800LUV
	36974
	April-17
	2011

	52
	737-800
	800LUV
	36925
	November-16
	2011
	*

	53
	737-800
	800LUV
	36975
	December-16
	2011
	*

	54
	737-800
	800LUV
	36976
	December-16
	2011
	*

	55
	737-800
	800LUV
	36926
	August-17
	2011
	&

	56
	737-800
	800LUV
	42533
	February-18
	2011
	 

	57
	737-800
	800LUV
	42545
	February-18
	2011
	 

	58
	737-800
	800LUV
	42534
	June-17
	2011
	&&

	59
	737-800
	800LUV
	63592 +
	May-17
	2011
	 

	60
	737-800
	800LUV
	63593 +
	December-16
	2011
	**

	61
	737-800
	800LUV
	63594 +
	December-16
	2011
	**

	62
	737-800
	800LUV
	63595 +
	June-17
	2011
	&&

	 
	 
	 
	 
	 
	 
	 

	*Accelerated in SA-92
	 
	 
	 
	 

	**Accelerated in SA-93
	 
	 
	 
	 

	&Accelerated in SA-94

	 
	 
	 
	 

	&&Accelerated in SA-98

	 
	 
	 
	 

	+MSN Identified in SA-94
	 
	 
	 
	 

	
			
	 
	BOEING PROPRIETARY
	SA-98

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00266-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00266-of-00352.parquet"}]]