Document:

Exhibit 10.4

      

    

    

    

    

    

    FTAI AVIATION LTD.

    NONQUALIFIED STOCK OPTION AND

      INCENTIVE AWARD PLAN

    

    

     

    Adopted by Fortress Transportation and Infrastructure Investors, LLC as of May 11, 2015

    
       and assumed by the Company as of              2022

    

     

    
      
        

    

    
    TABLE OF CONTENTS

    PAGE

    

    

    
      	
              SECTION 1 PURPOSE OF PLAN; DEFINITIONS

            	
              1

            
	 	 
	 	
              1.1

            	
              Purpose

            	
              1

            
	 	
              1.2

            	
              Definitions

            	
              1

            
	 	 	 	 
	
              SECTION 2 ADMINISTRATION

            	
              4

            
	 	 
	 	
              2.1

            	
              Administration

            	
              4

            
	 	
              2.2

            	
              Duties and Powers of Committee

            	
              5

            
	 	
              2.3

            	
              Majority Rule

            	
              5

            
	 	
              2.4

            	
              Delegation of Authority

            	
              5

            
	 	
              2.5

            	
              Compensation; Professional Assistance; Good Faith Actions

            	
              5

            
	 	 	 	 
	
              SECTION 3 SHARES SUBJECT TO PLAN

            	
              6

            
	 	 
	 	
              3.1

            	
              Number of and Source of Shares

            	
              6

            
	 	
              3.2

            	
              Unrealized and Tandem Awards

            	
              6

            
	 	
              3.3

            	
              Adjustment of Awards

            	
              6

            
	 	 	 	 
	
              SECTION 4 ELIGIBILITY

            	
              7

            
	 	 
	
              SECTION 5 AWARDS

            	
              7

            
	 	 
	 	
              5.1

            	
              Stock Options

            	
              7

            
	 	
              5.2

            	
              Stock Appreciation Rights

            	
              7

            
	 	
              5.3

            	
              Restricted Stock

            	
              8

            
	 	
              5.4

            	
              Performance Awards

            	
              8

            
	 	
              5.5

            	
              Manager Awards and Tandem Awards

            	
              9

            
	 	
              5.6

            	
              Automatic Non-Officer Director Awards

            	
              10

            
	 	
              5.7

            	
              Other Awards

            	
              11

            
	 	 	 	 
	
              SECTION 6 AWARD AGREEMENTS

            	
              12

            
	 	 
	 	
              6.1

            	
              Terms of Award Agreements

            	
              12

            
	 	 	 	 
	
              SECTION 7 LOANS

            	
              13

            
	 	 
	
              SECTION 8 AMENDMENT AND TERMINATION

            	
              14

            
	 	 
	
              SECTION 9 UNFUNDED STATUS OF PLAN

            	
              14

            

      
        i

        
          

      

      	
              SECTION 10 GENERAL PROVISIONS

            	
              14

            
	 	 
	 	
              10.1

            	
              Securities Laws Compliance

            	
              14

            
	 	
              10.2

            	
              Certificate Legends

            	
              14

            
	 	
              10.3

            	
              Transfer Restrictions

            	
              14

            
	 	
              10.4

            	
              Company Actions; No Right to Employment or Service

            	
              15

            
	 	
              10.5

            	
              Sections 409A and 457A of the Code

            	
              15

            
	 	
              10.6

            	
              Payment of Taxes

            	
              15

            
	 	
              10.7

            	
              Governing Law

            	
              15

            
	 	 	 	 
	
              SECTION 11 EFFECTIVE DATE OF PLAN

            	
              15

            
	 	 
	
              SECTION 12 TERM OF PLAN

            	
              16

            

    

    
      ii

      
        

    

    
    FTAI AVIATION LTD.

      NONQUALIFIED STOCK OPTION AND INCENTIVE AWARD PLAN

     

     SECTION 1

      

      PURPOSE OF PLAN; DEFINITIONS

     

    1.1          Purpose.  The purpose of the Plan
        is (a) to reinforce the long-term commitment to the Company’s success of those Non-Officer Directors, officers, directors, employees, advisors, service providers, consultants and other personnel who are or will be responsible for such success; to
        facilitate the ownership of the Company’s Shares by such individuals, thereby reinforcing the identity of their interests with those of the Company’s shareholders; to assist the Company in attracting and retaining individuals with experience and
        ability, (b) to compensate the Manager for its successful efforts in raising capital for the Company and to provide performance-based compensation in order to provide incentive to the Manager to enhance the value of the Company’s Shares and (c) to
        benefit the Company’s shareholders by encouraging high levels of performance by individuals whose performance is a key element in achieving the Company’s continued success.

     

    1.2          Definitions.  For purposes of the
        Plan, the following terms shall be defined as set forth below:

     

    (a)          “Award” or “Awards” means
        an award described in Section 5 hereof.

     

    (b)          “Award Agreement” means an
        agreement described in Section 6 hereof entered into between the Company and a Participant, setting forth the terms, conditions and any limitations applicable to the Award granted to the Participant.

     

    (c)          “Beneficial Owner” shall have the
        meaning set forth in Rule 13d-3 under the Exchange Act.

     

    (d)          “Board” means the Board of
        Directors of the Company.

     

    (e)          “Change in Control” of the Company
        shall be deemed to have occurred if an event set forth in any one of the following paragraphs (i)-(iii) shall have occurred unless prior to the occurrence of such event, the Board determines that such event shall not constitute a Change in Control:

     

    
      	
              (i)

            	
              any Person is or becomes a Beneficial Owner, directly or indirectly, of securities of the Company representing thirty percent (30%) or more of the combined voting
                power of the then outstanding securities of the Company, excluding (A) any Person who becomes such a Beneficial Owner in connection with a transaction described in clause (x) of paragraph (ii) below, and (B) any Person who becomes such a
                Beneficial Owner through the issuance of such securities with respect to purchases made directly from the Company; or

               

              

            

      
        1

        
          

      

    

    
      	
              (ii)

            	
              there is consummated a merger or consolidation of the Company or any direct or indirect subsidiary of the Company with any other corporation, other than (x) a
                merger or consolidation which would result in the voting securities of the Company outstanding immediately prior to such merger or consolidation continuing to represent (either by remaining outstanding or by being converted into voting
                securities of the surviving entity or any parent thereof) fifty percent (50%) or more of the combined voting power of the securities of the Company or such surviving entity or any parent thereof outstanding immediately after such merger or
                consolidation, or (y) a merger or consolidation effected to implement a recapitalization of the Company (or similar transaction) in which no Person is or becomes the Beneficial Owner, directly or indirectly, of securities of the Company
                representing thirty percent (30%) or more of the combined voting power of the then outstanding securities of the Company; or

               

              

            

    

    
      	
              (iii)

            	
              the shareholders of the Company approve a plan of complete liquidation or dissolution of the Company or there is consummated an agreement for the sale or
                disposition by the Company of all or substantially all of the assets of the Company.

            

    

     

    For each Award that constitutes deferred compensation under Section 409A of the Code, to the extent required to avoid additional tax or other penalty, a Change in Control shall be deemed to have
      occurred under the Plan with respect to such Award only if a change in the ownership or effective control of the Company or a change in ownership of a substantial portion of the assets of the Company shall also be deemed to have occurred under
      Section 409A of the Code.

     

    (f)          “Code” means the Internal Revenue
        Code of 1986, as amended from time to time, or any successor statute thereto.

     

    (g)          “Commission” means Securities and
        Exchange Commission.

     

    (h)          “Committee” means any committee
        the Board may appoint to administer the Plan.  To the extent necessary and desirable, the Committee shall be composed entirely of individuals who meet the qualifications referred to in Rule 16b-3 under the Exchange Act.  If at any time or to any
        extent the Board shall not administer the Plan, then the functions of the Board specified in the Plan shall be exercised by the Committee.

    
      2

      
        

    

    (i)          “Company” means FTAI Aviation Ltd.
        (f/k/a FTAI Finance Holdco Ltd.), a Cayman Islands exempted company.

     

    (j)          “Disability” means, with respect
        to any Participant, that such Participant (i) as determined by the Participant’s employer or service recipient (such determination to be approved by the Committee) is unable to engage in any substantial gainful activity by reason of any medically
        determinable physical or mental impairment which can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months, or (ii) is, by reason of any medically determinable physical or mental
        impairment which can be expected to result in death or can be expected to last for a continuous period of not less than twelve (12) months, receiving income replacement benefits for a period of not less than three (3) months under an accident and
        health plan covering such Participant.

     

    (k)          “Effective Date” means the date
        provided pursuant to Section 11 hereof.

     

    (l)          “Equity Security Factor” means a
        number of Shares (rounded down to the nearest whole share) equal to (i) the gross capital raised in an equity issuance of equity securities other than Shares during the term of the Plan (as determined by the Committee), divided by (ii) the Fair
        Market Value of a Share as of the date of such equity issuance.

     

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

     

    (n)          “Fair Market Value” means, as of
        any given date, except as otherwise determined by the Committee (i) the closing price of a Share on the principal exchange on which Shares are then trading, if any, on the trading day previous to such date, or, if shares were not traded on the
        trading day previous to such date, then on the next preceding trading day during which a sale occurred; or (ii) if such Shares are not publicly traded on an exchange, the mean between the closing bid and asked prices for the Shares, on the day
        previous to such date, as determined in good faith by the Committee; or (iii) if the Shares are not publicly traded, the fair market value established by the Committee using any reasonable method and acting in good faith.

     

    (o)          “Manager” means FIG LLC, a
        Delaware limited liability company (“FIG LLC”), or any Person who shall succeed as manager as permitted by that certain Management and Advisory Agreement, dated as of July 31, 2022, by and among Fortress Transportation and Infrastructure
        Investors LLC (“FTAI”), FTAI Finance Holdco Ltd., the subsidiaries of FTAI party thereto and FIG LLC, as may be amended and/or restated from time to time.

     

    (p)          “Manager Awards” means the Awards
        granted to the Manager as described in Section 5.5 hereof.

     

    (q)          “Non-Officer Director” means a
        director of the Company who is not an officer or employee of the Company.

    
      3

      
        

    

    (r)          “Non-Officer Director Stock Option”
        shall have the meaning set forth in Section 5.6(a) hereof.

     

    (s)          “Participant” means any Person
        selected by the Committee, pursuant to the Committee’s authority in Section 2 hereof, to receive Awards, including but not limited to (i) any Non-Officer Director, (ii) the Manager and its affiliates and (iii) any director, officer or employee of
        the Company, any parent, affiliate or subsidiary of the Company, or the Manager or any of its affiliates and (iv) any consultant, service provider or advisor to the Company, any parent, affiliate or subsidiary of the Company, or the Manager or any
        of its affiliates.

     

    (t)          “Person” shall have the meaning
        set forth in Section 3(a)(9) of the Exchange Act, as modified and used in Sections 13(d) and 14(d) thereof.

     

    (u)          “Plan” means this FTAI Aviation
        Ltd. Nonqualified Stock Option and Incentive Award Plan.

     

    (v)          “Restricted Stock” means Shares as
        described in Section 5.3 hereof.

     

    (w)          “Securities Act” shall have the
        meaning set forth in Section 5.5(h) hereof.

     

    (x)          “Shares” means the ordinary
        shares, par value $0.01 per share, of the Company.

     

    (y)          “Stock Appreciation Right” shall
        have the meaning set forth in Section 5.2 hereof.

     

    (z)          “Stock Option” means any option to
        purchase Shares granted pursuant to the Plan.  The Stock Options granted hereunder are not intended to qualify as “incentive stock options” within the meaning of Section 422 of the Code.

     

    (aa)          “Tandem Awards” shall have the
        meaning set forth in Section 5.5 hereof.

     

    SECTION 2

      

      ADMINISTRATION

     

    2.1          Administration.  The Plan shall, to
        the extent applicable, be administered in accordance with the requirements of Rule 16b-3 under the Exchange Act (“Rule 16b-3”), by the Board or, at the Board’s sole discretion, by the Committee, which shall be appointed by the Board, and
        which shall serve at the pleasure of the Board.  The Plan is intended to be exempt from, or to comply with, and shall be administered in a manner that is intended to be exempt from, or comply with, Sections 409A and 457A of the Code and shall be
        construed and interpreted in accordance with such intent, to the extent subject thereto.  To the extent that an Award and/or issuance and/or payment of an Award is subject to Section 409A or 457A of the Code, it shall be awarded and/or issued or
        paid in a manner that will comply with Section 409A or 457A of the Code, as applicable, including any applicable regulations or guidance issued by the Secretary of the United States Treasury Department and the Internal Revenue Service with respect
        thereto.

    
      4

      
        

    

    2.2          Duties and Powers of Committee. 
        The Committee shall have the power and authority to grant Awards to Participants pursuant to the terms of the Plan, and, in its discretion, to adopt, alter and repeal such administrative rules, guidelines and practices governing the Plan as it
        shall from time to time deem advisable; to interpret the terms and provisions of the Plan and any Award issued under the Plan (and any agreements relating thereto); and to otherwise supervise the administration of the Plan.  All decisions made by
        the Committee pursuant to the provisions of the Plan shall be final, conclusive and binding on all Persons.

     

    In particular, the Committee shall have the authority to determine, in a manner consistent with the terms of the Plan:

     

    (a)          in addition to the Manager and the
        Non-Officer Directors, those Participants who shall receive Awards under the Plan;

     

    (b)          subject to Section 3 hereof, the number
        of Shares to be covered by each Award granted hereunder;

     

    (c)          the terms and conditions of any Award
        granted hereunder, including, subject to the requirements of Sections 409A and 457A of the Code, the waiver or modification of any such terms or conditions, consistent with the provisions of the Plan (including, but not limited to, Section 8
        hereof); and

     

    (d)          the terms and conditions which shall
        govern all the Award Agreements, including the waiver or modification of any such terms or conditions.

     

    2.3          Majority Rule.  The Committee shall
        act by a majority of its members in attendance at a meeting at which a quorum is present or by a memorandum or other written instrument signed by all members of the Committee.

     

    2.4          Delegation of Authority.  To the
        extent permitted by applicable law, the Committee or the Board may from time to time delegate to one or more Persons the authority to take administrative actions pursuant to this Section 2.  Any delegation hereunder shall be subject to the
        restrictions and limitations that the Committee specifies at the time of such delegation, and the Committee may at any time rescind the authority so delegated or appoint a new delegatee.

     

    2.5          Compensation; Professional Assistance; Good
            Faith Actions.  Members of the Committee may receive such compensation for their services as members as may be determined by the Board.  All expenses and liabilities that members of the Committee or Board may incur in connection with
        the administration of this Plan shall be borne by the Company.  The Committee may, with the approval of the Board, employ attorneys, consultants, accountants, appraisers, brokers or other Persons.  The Committee, the Board, the Company and any
        officers and directors of the Company shall be entitled to rely upon the advice, opinions or valuations of any such Persons.  All actions taken and all interpretations and determinations made by the Committee or Board in good faith shall be final
        and binding upon all Participants, the Company and all other interested Persons.  No member of the Committee or Board shall be personally liable for any action, determination or interpretation made in good faith with respect to this Plan or any
        Award, and all members of the Committee and Board shall be fully protected and indemnified to the fullest extent permitted by law, by the Company, in respect of any such action, determination or interpretation.

    
      5

      
        

    

    SECTION 3

      

      SHARES SUBJECT TO PLAN

     

    3.1          Number of and Source of Shares. 
        The maximum number of Shares reserved and available for issuance under the Plan shall be 30,000,000, as increased on the date of any equity issuance by the Company during the term of the Plan by a number of Shares equal to 10% of (i) the number of
        Shares issued by the Company in such equity issuance or (ii) if such equity issuance relates to equity securities other than Shares, the number of Shares equal to the Equity Security Factor.  The Shares which may be issued pursuant to an Award
        under the Plan may be treasury Shares, authorized but unissued Shares, or Shares acquired, subsequently or in anticipation of the transaction, in the open market to satisfy the requirements of the Plan.  Awards may consist of any combination of
        such Shares, or, at the election of the Company, cash.

     

    3.2          Unrealized and Tandem Awards.  If
        any Shares subject to an Award are forfeited, cancelled, exchanged or surrendered or if an Award otherwise terminates or expires without a distribution of shares to the Participant, the Shares with respect to such Award shall, to the extent of any
        such forfeiture, cancellation, exchange, surrender, termination or expiration, again be available for grants under the Plan.  The grant of a Tandem Award (as defined herein) shall not reduce the number of Shares reserved and available for issuance
        under the Plan. The Company reserves the right to cancel any Stock Option which has a per-share exercise price that is equal to or greater than the Fair Market Value of an underlying Share as of the date of such cancellation, and any Shares which
        were subject to such cancelled Stock Option shall again be available for the issuance of Stock Options, including issuance to the Person that held the cancelled Stock Option, irrespective of whether such issuance would be deemed a repricing of such
        Stock Option.

     

    3.3          Adjustment of Awards.  Upon the
        occurrence of any event which affects the Shares in such a way that an adjustment of outstanding Awards is appropriate in order to prevent the dilution or enlargement of rights under the Awards (including, without limitation, any extraordinary
        dividend or other distribution (whether in cash or in kind), recapitalization, stock or share split, reverse split or share consolidation, reorganization, merger, consolidation, spin-off, combination, repurchase, or share exchange, or other similar
        corporate transaction or event), the Committee shall make appropriate equitable adjustments, which may include, without limitation, adjustments to any or all of the number and kind of Shares (or other securities) which may thereafter be issued in
        connection with such outstanding Awards and adjustments to any exercise price specified in the outstanding Awards and shall also make appropriate equitable adjustments to the number and kind of Shares (or other securities) authorized by or to be
        granted under the Plan.  Such other substitutions or adjustments shall be made respecting Awards hereunder as may be determined by the Committee, in its sole discretion.  In connection with any event described in this paragraph, the Committee may
        provide, in its discretion, for the cancellation of any outstanding Award and payment in cash or other property in exchange therefor, equal to the difference, if any, between the fair market value of the Shares or other property subject to the
        Award, and the exercise price, if any.

    
      6

      
        

    

    SECTION 4

      

      ELIGIBILITY

     

    Each Participant shall be eligible to receive Awards under the Plan.  Additional Participants under the Plan may be selected from time to time by the Committee, in its sole
      discretion, and the Committee shall determine, in its sole discretion, the number of shares covered by each Award.

     

    SECTION 5

      

      AWARDS

     

    Awards may include, but are not limited to, those described in this Section 5.  The Committee may grant Awards singly, in tandem or in combination with other Awards, as the
      Committee may in its sole discretion determine.

     

    5.1          Stock Options.  A Stock Option is a
        right to purchase a specified number of Shares, at a specified price during such specified time as the Committee shall determine.

     

    (a)          A Stock Option may be exercised, in whole
        or in part, by giving written notice of exercise to the Company, specifying the number of Shares to be purchased.

     

    (b)          The exercise price of the Stock Option
        may be paid in cash or its equivalent, as determined by the Committee.  As determined by the Committee, in its sole discretion, or as otherwise set forth in Sections 5.5(b) and 5.5(c) below, payment in whole or in part may also be made (i) by means
        of any cashless exercise procedure approved by the Committee (including the withholding of Shares otherwise issuable on exercise), or (ii) in the form of unrestricted Shares already owned by the Participant which has a Fair Market Value on the date
        of surrender equal to the aggregate option price of the Shares as to which such Stock Option shall be exercised. No fractional Shares will be issued or accepted.

     

    5.2          Stock Appreciation Rights.  A Stock
        Appreciation Right is a right to receive, upon surrender of the right, an amount payable in cash and/or Shares under such terms and conditions as the Committee shall determine.

     

    (a)          A Stock Appreciation Right may be granted
        in tandem with part or all of (or in addition to, or completely independent of) a Stock Option or any other Award under this Plan.  A Stock Appreciation Right issued in tandem with a Stock Option may be granted at the time of grant of the related
        Stock Option or at any time thereafter during the term of the Stock Option.

    
      7

      
        

    

    (b)          The amount payable in cash and/or Shares
        with respect to each right shall be equal in value to a percentage (including up to 100%) of the amount by which the Fair Market Value per Share on the exercise date exceeds the Fair Market Value per Share on the date of grant of the Stock
        Appreciation Right. The applicable percentage shall be established by the Committee.  The Award Agreement may state whether the amount payable is to be paid wholly in cash, wholly in Shares, or in any combination of the foregoing; if the Award
        Agreement does not so state the manner of payment, the Committee shall determine such manner of payment at the time of payment.  The amount payable in Shares, if any, is determined with reference to the Fair Market Value per Share on the date of
        exercise.

     

    (c)          Stock Appreciation Rights issued in
        tandem with Stock Options shall be exercisable only to the extent that the Stock Options to which they relate are exercisable. Upon exercise of the tandem Stock Appreciation Right, and to the extent of such exercise, the Participant’s underlying
        Stock Option shall automatically terminate.  Similarly, upon the exercise of the tandem Stock Option, and to the extent of such exercise, the Participant’s related Stock Appreciation Right shall automatically terminate.

     

    5.3          Restricted Stock.  Restricted Stock
        are Shares that are issued to a Participant and is subject to such terms, conditions and restrictions as the Committee deems appropriate, which may include, but are not limited to, restrictions upon the sale, assignment, transfer or other
        disposition of the Restricted Stock and the requirement of surrender or forfeiture of the Restricted Stock upon termination of employment or service under certain specified conditions. The Committee may provide for the lapse of any such term or
        condition or waive any term or condition based on such factors or criteria as the Committee may determine. Subject to the restrictions stated in this Section 5.3 and in the applicable Award Agreement, the Participant shall have, with respect to
        Awards of Restricted Stock, all of the rights of a shareholder of the Company, including the right to vote the Restricted Stock and the right to receive any cash or share dividends on such Shares. The Company may require that the certificates
        evidencing Restricted Stock granted hereunder be held in the custody of the Company until the restrictions thereon shall have lapsed, and that, as a condition of any award of Restricted Stock, the Participant shall have delivered a blank duly
        executed share transfer form, relating to the Shares covered by such award.

     

    5.4          Performance Awards.  Performance
        Awards may be granted under this Plan from time to time based on such terms and conditions as the Committee deems appropriate provided that such Awards shall not be inconsistent with the terms and purposes of this Plan.  Performance Awards are
        Awards which are contingent upon the performance of all or a portion of the Company and/or its subsidiaries and/or which are contingent upon the individual performance of a Participant.  Performance Awards may be in the form of performance units,
        performance shares and such other forms of Performance Awards as the Committee shall determine.  The Committee shall determine the performance measurements and criteria for such Performance Awards.  The Company may require that the certificates
        evidencing Performance Awards granted hereunder be held in the custody of the Company until the restrictions thereon shall have lapsed, and that, as a condition of any award of Performance Awards, the Participant shall have delivered a blank duly
        executed share transfer form, relating to the Shares covered by such award.

    
      8

      
        

    

    5.5          Manager Awards and Tandem Awards.

     

    (a)          Grant of Compensatory Stock Options. 

        As consideration for the Manager’s role in raising capital for the Company, the Manager may be awarded Stock Options in connection with any equity issuance by the Company, to acquire that number of Shares up to ten percent (10%) of (i) the number
        of Shares issued by the Company in such equity issuance or (ii) if such equity issuance relates to equity securities other than Shares, a number of Shares equal to the Equity Security Factor, in each case subject to the proviso contained in Section
        5.5(f) hereof.

     

    (b)          Terms of Manager Awards.  The
        Stock Options referred to in clause (a) above shall be 100% vested as of the date of grant and become exercisable as to 1/30th of the Shares subject to the Stock Options on the first day of each of the following 30 calendar months following the
        date of grant.  Such Stock Options shall expire on the tenth anniversary of the date of grant.  Such Stock Options shall have a per share price equal to the offering price of the equity issuance in connection with which such Stock Options are
        awarded (as determined by the Committee), or in the event that such equity issuance relates to equity securities other than Shares, the Fair Market Value of a Share as of the date of the equity issuance, in each case subject to adjustment as set
        forth in Section 3.3 hereof. The exercise price of such Stock Options may be paid in cash or its equivalent, as determined by the Committee. Payment in whole or in part may also be made by the following cashless exercise procedures: (i) by
        withholding from Shares otherwise issuable upon exercise of such Stock Option, (ii) in the form of unrestricted Shares already owned by the Manager which has a Fair Market Value on the date of surrender equal to the aggregate option price of the
        Shares as to which such Stock Option shall be exercised or (iii) by means of any other cashless exercise procedure approved by the Committee. No fractional Shares will be issued or accepted. The Award Agreement with respect to such Stock Options
        shall also set forth the vesting and exercise schedule of such Stock Options and such other terms and conditions with respect to such Stock Options and the delivery of Shares subject to such Stock Options as the Committee may determine.

     

    (c)          Each of the Committee and/or the Manager
        shall have the authority to direct awards of Stock Options to such employees of the Manager who act as officers of or perform other services for the Company, which options shall be tandem to the Stock Options that are the subject of outstanding
        Manager Awards designated by the Manager—i.e., Shares issuable pursuant to the exercise of the Stock Options that are subject to certain designated Manager Awards would alternatively be issuable pursuant to the exercise of Stock Options that
        are the subject of the tandem awards granted to Persons who perform services for or on behalf of the Company, provided that such Shares may be issued pursuant to the exercise of either the designated Manager Awards or the tandem awards but not both
        (the “Tandem Awards”). As determined by the Manager, in its sole discretion, payment of the exercise price of such Tandem Award in whole or in part may be made by the following cashless exercise procedures: (i) by withholding from Shares
        otherwise issuable upon exercise of such Tandem Award, (ii) in the form of unrestricted Shares already owned by the holder of such Tandem Award which has a Fair Market Value on the date of surrender equal to the aggregate option price of the Shares
        as to which such Tandem Award shall be exercised or (iii) by means of any other cashless exercise procedure approved by the Committee.

    
      9

      
        

    

    (d)          As a condition to the grant of Tandem
        Awards, the Manager shall be required to agree that so long as such Tandem Awards remain outstanding, it will not exercise any Stock Options under any designated Manager Award that are related to the options under such outstanding Tandem Awards. 
        If Stock Options under a Tandem Award are forfeited, expire or are cancelled without being exercised, the related Stock Options under the designated Manager Award shall again become exercisable in accordance with its terms.  Upon the exercise of
        Stock Options under a Tandem Award, the related Stock Options under the designated Manager Award shall terminate.

     

    (e)          The terms and conditions of each such
        Tandem Awards (e.g., the per share exercise price, the schedule of vesting, exercisability and delivery, etc.) shall be determined by the Committee or the Manager, as the case may be, in its sole discretion and shall be included in an Award
        Agreement, provided, that the term of such award may not be greater than the term of its related Manager Award.

     

    (f)          Other Awards.  The Committee may,
        from time to time, grant such Awards to the Manager as the Committee deems advisable in order to provide additional incentive to the Manager to enhance the value of the Company’s Shares; provided, however, that no Award shall be
        awarded to the Manager (or its designee) in connection with any equity issuance by the Company which provides for the acquisition of a number of Shares in excess of ten percent (10%) of (i) the maximum number of Shares being proposed to be issued
        by the Company in such equity issuance or (ii) if such equity issuance relates to equity securities other than Shares, the maximum number of Shares determined in accordance with the Equity Security Factor.

     

    (g)          Change in Control and Termination
          Provisions.  Notwithstanding anything herein, unless otherwise provided in any Award Agreement to the contrary, upon a Change in Control or a termination of the Manager’s services to the Company for any reason, all Awards granted to the
        Manager pursuant to this Plan shall become immediately and fully exercisable, and all Tandem Awards shall be governed by the terms and conditions of the applicable Award Agreements.

     

    (h)          Registration Rights Agreement. 
        The Company shall, upon the Manager’s reasonable request, (i) use commercially reasonable efforts to register under the Securities Act of 1933, as amended (the “Securities Act”) the securities that may be issued and sold under the Plan or
        the resale of such securities issued and sold pursuant to the Plan or (ii) enter into a registration rights agreement with the Manager on terms to be mutually agreed upon between the parties.

     

    5.6          Automatic Non-Officer Director Awards.

     

    (a)          Initial Grant of Non-Officer Director
          Stock Options. Each Non-Officer Director shall be granted a Stock Option, which shall be fully vested as of the date of the grant, relating to 5,000 Shares (each, a “Non-Officer Director Stock Option”), upon the date of the first Board
        of Director’s meeting attended by such Non-Officer Director after effectiveness of the Plan. The option price per Share under the Non-Officer Director Stock Option shall be one hundred percent (100%) of the Fair Market Value of the Shares on the
        date of grant.

    
      10

      
        

    

    (b)          Share Availability.  In the event
        that the number of Shares available for grant under the Plan is not sufficient to accommodate the Awards of Non-Officer Director Stock Options, then the remaining Shares available for such automatic awards shall be granted to each Non-Officer
        Director who is to receive such an award on a pro-rata basis. No further grants shall be made until such time, if any, as additional Shares become available for grant under the Plan through action of the Board or the shareholders of the Company to
        increase the number of Shares that may be issued under the Plan or through cancellation or expiration of Awards previously granted hereunder.

     

    (c)          Term; Method of Exercise of
          Non-Officer Director Stock Option. Each Non-Officer Director Stock Option shall cease to be exercisable no later than the date that is ten (10) years following the date of grant. If settled in Shares, the exercise price of such Stock Options
        may be paid in cash or its equivalent, as determined by the Committee. As determined by the Committee, in its sole discretion, payment in whole or in part may also be made (i) by means of any cashless exercise procedure approved by the Committee
        (including the withholding of Shares otherwise issuable on exercise), or (ii) in the form of unrestricted Shares already owned by the Non-Officer Director which has a Fair Market Value on the date of surrender equal to the aggregate option price of
        the Shares as to which such Stock Option shall be exercised. No fractional Shares will be issued or accepted.

     

    (d)          Award Agreements.  Each recipient
        of a Non-Officer Director Stock Option shall enter into an Award Agreement with the Company, which agreement shall set forth, among other things, the exercise price, the term and provisions regarding exercisability and form of settlement of the
        Non-Officer Director Stock Option, which provisions shall not be inconsistent with the terms of this Section 5.6 and Section 6.1 hereof. The Award Agreement with respect to such Non-Officer Director Stock Option shall also set forth such other
        terms and conditions with respect to Awards to the Non-Officer Director as the Committee may determine.

     

    5.7          Other Awards.

     

    The Committee may from time to time grant to its Non-Officer Directors Shares, other Share-based and non-Share-based Awards under the Plan, including without limitation those
      Awards pursuant to which Shares are or may in the future be acquired, Awards denominated in Shares, securities convertible into Shares, phantom securities, dividend equivalents and cash. The Committee shall determine the terms and conditions of such
      other Shares, Share-based and non-Share-based Awards provided that such Awards shall not be inconsistent with the terms and purposes of this Plan.

    
      11

      
        

    

    SECTION 6

      

      AWARD AGREEMENTS

     

    Each Award under this Plan shall be evidenced by an Award Agreement setting forth the number of Shares or other securities, and such other terms and conditions applicable to
      the Award (and not inconsistent with this Plan) as are determined by the Committee.

     

    6.1          Terms of Award Agreements.  Award
        Agreements may include the following terms:

     

    (a)          Term.  The term of each Award (as
        determined by the Committee); provided that, no Award with an exercise period shall be exercisable more than ten years after the date such Award is granted.

     

    (b)          Exercise Price.  The exercise
        price per Share purchasable under an Award (as determined by the Committee in its sole discretion at the time of grant); provided that, the exercise price shall not be less than the par value of the Shares and, for Awards intended to be
        exempt from application of Sections 409A and 457A of the Code under Section 1.409A-1(b)(5)(A), shall not be less than 100% of the Fair Market Value of the Shares on such date.

     

    (c)          Exercisability.  Provisions
        regarding the exercisability of Awards (which shall be exercisable at such time or times and subject to such terms and conditions as shall be determined by the Committee at or after grant).

     

    (d)          Method of Exercise.  Provisions
        describing the method of exercising Awards.

     

    (e)          Delivery.  Provisions regarding
        the timing of the delivery of Shares subject to Awards.  The Award Agreements may provide that such delivery will be delayed to the extent required to avoid the imposition of a tax under Section 409A of the Code.

     

    (f)          Termination of Employment or Service. 

        Provisions describing the treatment of an Award in the event of Disability, death or other termination of a Participant’s employment or service with the Company, including but not limited to, terms relating to the vesting, time for exercise,
        forfeiture and cancellation of an Award in such circumstances.

     

    (g)          Rights as Shareholder.  A
        provision that a Participant shall have no rights as a shareholder with respect to any securities covered by an Award until the date the Participant becomes the holder of record.  Except as provided in Section 3.3 hereof, no adjustment shall be
        made for dividends or other rights, unless the Award Agreement specifically requires such adjustment, in which case, grants of dividend equivalents or similar rights shall not be considered to be a grant of any other shareholder right.

     

    (h)          Nontransferability.  A provision
        that except under the laws of descent and distribution or as otherwise permitted by the Committee, in its sole discretion, or, in respect of Manager Awards, grants of Tandem Awards, the Participant shall not be permitted to sell, transfer, pledge
        or assign any Award, and all Awards shall be exercisable, during the Participant’s lifetime, only by the Participant; provided, however, that the Participant shall be permitted to transfer one or more Stock Options to a trust
        controlled by the Participant during the Participant’s lifetime for estate planning purposes.

    
      12

      
        

    

    (i)          Other Terms.  Such other terms as
        are necessary and appropriate to effectuate an Award to the Participant, including but not limited to, (1) vesting provisions, (2) deferral elections, (3) any requirements for continued employment or service with the Company, (4) any requirement to
        execute a general release of claims in a form acceptable to the Company prior to the lapse of any restrictions or conditions on such Award or such Award becoming exercisable, (5) any other restrictions or conditions (including performance
        requirements) on the Award and the method by which restrictions or conditions lapse, (6) effect on the Award of a Change in Control, (7) the right of the Company and such other Persons as the Committee shall designate (“Designees”) to
        repurchase from a Participant, and such Participant’s permitted transferees, all Shares issued or issuable to such Participant in connection with an Award in the event of such Participant’s termination of employment or service, (8) rights of first
        refusal granted to the Company and its Designees, if any, (9) holdback and other registration right restrictions in the event of a public registration of any equity securities of the Company and (10) any other terms and conditions which the
        Committee shall deem necessary and desirable.

     

    SECTION 7

      

      LOANS

     

    To the extent permitted by applicable law, including the Sarbanes-Oxley Act of 2002, the Company or any parent or subsidiary of the Company may make loans available to Stock
      Option holders in connection with the exercise of outstanding Stock Options granted under the Plan, as the Committee, in its discretion, may determine.  Such loans shall (i) be evidenced by promissory notes entered into by the Stock Option holders in
      favor of the Company or any parent or subsidiary of the Company, (ii) be subject to the terms and conditions set forth in this Section 7 and such other terms and conditions, not inconsistent with the Plan, as the Committee shall determine, (iii) bear
      interest, if any, at such rate as the Committee shall determine, and (iv) be subject to Board approval (or to approval by the Committee to the extent the Board may delegate such authority).  In no event may the principal amount of any such loan
      exceed the sum of (x) the exercise price less the par value of the Shares covered by the Stock Option, or portion thereof, exercised by the holder, and (y) any federal, state, and local income tax attributable to such exercise.  The initial term of
      the loan, the schedule of payments of principal and interest under the loan, the extent to which the loan is to be with or without recourse against the holder with respect to principal or interest and the conditions upon which the loan will become
      payable in the event of the holder’s termination of employment or service shall be determined by the Committee.  Unless the Committee determines otherwise, when a loan is made, Shares having a Fair Market Value at least equal to the principal amount
      of the loan shall be pledged by the holder to the Company as security for payment of the unpaid balance of the loan, and such pledge shall be evidenced by a pledge agreement, the terms of which shall be determined by the Committee, in its discretion;
      provided that, each loan shall comply with all applicable laws, and all regulations and rules of the Board of Governors of the Federal Reserve System and of the U.S. Securities and Exchange Commission and any other governmental agency having
      jurisdiction.

    
      13

      
        

    

    SECTION 8

      

      AMENDMENT AND TERMINATION

     

    The Board may at any time and from time-to-time alter, amend, suspend, or terminate the Plan in whole or in part; provided that, no amendment which requires shareholder
      approval in order for the Plan to comply with a rule or regulation deemed applicable by the Committee, shall be effective unless the same shall be approved by the requisite vote of the shareholders of the Company entitled to vote thereon. 
      Notwithstanding the foregoing, no amendment shall affect adversely any of the rights of any Participant, without such Participant’s consent, under any Award or Loan theretofore granted under the Plan.

     

    SECTION 9

      

      UNFUNDED STATUS OF PLAN

     

    The Plan is intended to constitute an “unfunded” plan for incentive compensation.  With respect to any payments not yet made to a Participant by the Company, nothing contained
      herein shall give any such Participant any rights that are greater than those of a general creditor of the Company.

     

    SECTION 10

      

      GENERAL PROVISIONS

     

    10.1          Securities Laws Compliance. 
        Shares shall not be issued pursuant to the exercise or settlement of any Award granted hereunder unless the exercise of such Award and the issuance and delivery of such Shares pursuant thereto shall comply with all relevant provisions of law,
        including, without limitation, the Securities Act, the Exchange Act and the requirements of any stock exchange upon which the Shares may then be listed, and shall be further subject to the approval of counsel for the Company with respect to such
        compliance.

     

    10.2          Certificate Legends.  The
        Committee may require each Person purchasing Shares pursuant to a Stock Option to represent to and agree with the Company in writing that such Person is acquiring the Shares subject thereto without a view to distribution thereof.  The certificates
        for such Shares may include any legend which the Committee deems appropriate to reflect any restrictions on transfer.

     

    10.3          Transfer Restrictions.  All Shares
        issued under the Plan and certificates issued with respect thereto shall be subject to such share or stock-transfer orders and other restrictions as the Committee may deem advisable under the rules, regulations, and other requirements of the
        Commission, any stock exchange upon which the Shares are then listed, and any applicable federal or state securities law, and the Committee may cause a legend or legends to be placed on any such certificates to make appropriate reference to such
        restrictions.

    
      14

      
        

    

    10.4          Company Actions; No Right to Employment or
            Service.  Nothing contained in the Plan shall prevent the Board from adopting other or additional compensation arrangements, subject to shareholder approval if such approval is necessary and desirable; and such arrangements may be
        either generally applicable or applicable only in specific cases.  The adoption of the Plan shall not confer upon any employee, consultant, service provider or advisor of the Company any right to continued employment or service with the Company, as
        the case may be, nor shall it interfere in any way with the right of the Company to terminate the employment or service of any of its employees, consultants or advisors at any time.

     

    10.5          Sections 409A and 457A of the Code. 

        The intent of the parties is that payments and benefits under the Plan be exempt from, or comply with Sections 409A and 457A of the Code to the extent subject thereto, and, accordingly, to the maximum extent permitted, the Plan shall be interpreted
        and be administered to be in compliance therewith.  Any payments described in the Plan that are due within the “short-term deferral period” as defined in Sections 409A and 457A of the Code shall not be treated as deferred compensation unless
        applicable law requires otherwise.  Notwithstanding anything to the contrary in the Plan, to the extent required in order to avoid accelerated taxation and/or tax penalties under Section 409A of the Code, amounts that would otherwise be payable and
        benefits that would otherwise be provided pursuant to the Plan during the six (6) month period immediately following the Participant’s termination of employment shall instead be paid on the first business day after the date that is six (6) months
        following the Participant’s separation from service (or upon the Participant’s death, if earlier).  In addition, for purposes of the Plan, each amount to be paid or benefit to be provided to the Participant pursuant to the Plan, which constitute
        deferred compensation subject to Section 409A of 457A of the Code, shall be construed as a separate identified payment for purposes of Section 409A or 457A of the Code, as applicable.

     

    10.6          Payment of Taxes.  Each
        Participant shall, no later than the date as of which the value of an Award first becomes includible in the gross income of the Participant for federal income tax purposes, pay to the Company, or make arrangements satisfactory to the Committee
        regarding payment of, any federal, state, or local taxes of any kind required by law to be withheld with respect to the Award.  The obligations of the Company under the Plan shall be conditional on the making of such payments or arrangements, and
        the Company shall, to the extent permitted by law, have the right to deduct any such taxes from any payment of any kind otherwise due to the Participant.

     

    10.7          Governing Law.  The Plan shall be
        governed by the and construed in accordance with the laws of the State of Delaware, without giving effect to principles of conflicts of law of such state.

     

    SECTION 11

      

      EFFECTIVE DATE OF PLAN

     

    The Plan was adopted by the board of directors of FTAI on May 11, 2015, and became effective without further action as of the later of (a) the effectiveness of FTAI’s
      registration statement on Form S-1 filed with the U.S. Securities and Exchange Commission on May 14, 2015, as amended, and (b) the shares of common stock of FTAI being listed or approved for listing upon notice of issuance on the New York Stock
      Exchange (the date of such effectiveness, the “Effective Date”). The Plan was adopted and assumed by the Company and renamed as the “FTAI Aviation Ltd. Nonqualified Stock Option and Incentive Award Plan” on _______ __, 2022 in connection with
      the merger discussed in the Company’s registration statement on Form S-4 filed with the U.S. Securities and Exchange Commission on _______ __, 2022, as amended.

    
      15

      
        

    

    SECTION 12

      

      TERM OF PLAN

     

    No Award shall be granted pursuant to the Plan on or after the tenth anniversary of the Effective Date, but Awards theretofore granted may extend beyond that date.

     

  

  16Exhibit 10.5

     

    INDEMNIFICATION AGREEMENT

     

    AGREEMENT, dated as of [            ], 2022 (this “Agreement”), between FTAI Aviation Ltd., a Cayman Islands exempted company (the “Company”), and [            ]
      (“Indemnitee”).

      

    

    WHEREAS, it is essential to the Company to retain and attract as directors and officers the most capable persons available;

      

    

    WHEREAS, Indemnitee is a director and/or officer of the Company;

      

    

    WHEREAS, both the Company and Indemnitee recognize the increased risk of litigation and other claims being asserted against directors and officers of public companies in
      today’s environment;

      

    

    WHEREAS, the Company’s Amended and Restated Memorandum and Articles of Association, as amended from time to time (“Memorandum and Articles of Association”) requires the Company
      to indemnify and advance expenses out of the assets of the Company to its directors and officers and the Indemnitee has been serving or did serve as a director and/or officer of the Company in part in reliance on such Memorandum and Articles of
      Association;

      

    

    WHEREAS, uncertainties as to the availability of indemnification created by recent court decisions may increase the risk that the Company will be unable to retain and attract
      as directors and officers the most capable persons available;

      

    

    WHEREAS, the board of directors of the Company (“Board of Directors”) has determined that the inability of the Company to retain and attract as directors and officers the most
      capable persons would be detrimental to the interests of the Company and that the Company therefore should seek to assure such persons that indemnification and insurance coverage will be available in the future;

      

    

    WHEREAS, the parties intend that any rights the Indemnitee may have from Indemnitee-Related Entities (as defined herein) shall be secondary to the primary obligation of the
      Company to indemnify and hold harmless the Indemnitee under this Agreement; and

      

    

    WHEREAS, in recognition of Indemnitee’s need for protection against personal liability, and in part to provide Indemnitee with specific contractual assurance that the
      protection promised by the Memorandum and Articles of Association will be available to Indemnitee (regardless of, among other things, any amendment to or revocation of such Memorandum and Articles of Association or any change in the composition of
      the Board of Directors or acquisition transaction relating to the Company), the Company wishes to provide in this Agreement for the indemnification of and the advancing of expenses to Indemnitee to the maximum extent (whether partial or complete)
      permitted by law and as set forth in this Agreement, and for the continued coverage of Indemnitee under the directors’ and officers’ liability insurance policy of the Company.

    
      
        

    

    
    NOW, THEREFORE, in consideration of the premises and of Indemnitee continuing to serve the Company directly or, at its request, another enterprise, and intending to be legally
      bound hereby, the parties hereto agree as follows:

     

     1.          Certain Definitions.  In addition to terms defined elsewhere herein, the
        following terms have the following meanings when used in this Agreement:

      

    

    (a)          Change in Control: shall be deemed
        to have occurred if (i) any “person”(as such term is used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended), other than Fortress Investment Group LLC, the Manager (as defined herein) and/or their respective affiliates
        and other than a trustee or other fiduciary holding securities under an employee benefit plan of the Company or a corporation owned directly or indirectly by the shareholders of the Company in substantially the same proportions as their ownership
        of shares of the Company, is or becomes the “beneficial owner” (as defined in Rule 13d-3 under said Act), directly or indirectly, of securities of the Company representing 20% or more of the total voting power represented by the Company’s then
        outstanding Voting Securities, or (ii) during any period of two consecutive years, individuals who at the beginning of such period constitute the Board of Directors and any new director whose election by the Board of Directors or nomination for
        election by the Company’s shareholders was approved by a vote of at least two-thirds (2/3) of the directors then still in office who either were directors at the beginning of the period or whose election or nomination for election was previously so
        approved, cease for any reason to constitute a majority thereof, or (iii) the shareholders of the Company approve a merger or consolidation of the Company with any other entity other than a merger or consolidation which would result in the Voting
        Securities of the Company outstanding immediately prior thereto continuing to represent (either by remaining outstanding or by being converted into Voting Securities of the surviving entity) at least 80% of the total voting power represented by the
        Voting Securities of the Company or such surviving entity outstanding immediately after such merger or consolidation, or the shareholders of the Company approve a plan of complete liquidation of the Company or an agreement for the sale or
        disposition by the Company of (in one transaction or a series of transactions) all or substantially all of the Company’s assets.

     

    (b)          Claim: means any threatened,
        asserted, pending or completed action, suit or proceeding, whether civil, criminal, administrative, investigative or other, including any arbitration or other alternative dispute resolution mechanism, or any appeal of any kind thereof, or any
        inquiry or investigation, whether instituted by (or in the right of) the Company or any governmental agency or any other person or entity, in which Indemnitee was, is, may be or will be involved as a party, witness or otherwise.

     

    (c)          ERISA: means the Employee
        Retirement Income Security Act of 1974, as amended.

     

    (d)          Expenses: include attorneys’ fees
        and all other direct or indirect costs, expenses and obligations, including judgments, fines, penalties, interest, appeal bonds, amounts paid in settlement with the approval of the Company, and counsel fees and disbursements (including, without
        limitation, experts’ fees, court costs, retainers, appeal bond premiums, transcript fees, duplicating, printing and binding costs, as well as telecommunications, postage and courier charges) paid or incurred in connection with investigating,
        prosecuting, defending, being a witness in or participating in (including on appeal), or preparing to investigate, prosecute, defend, be a witness in or participate in, any Claim relating to any Indemnifiable Event, and shall include (without
        limitation) all attorneys’ fees and all other expenses incurred by or on behalf of an Indemnitee in connection with preparing and submitting any requests or statements for indemnification, advancement or any other right provided by this Agreement
        (including, without limitation, such fees or expenses incurred in connection with legal proceedings contemplated by Section 2(d) hereof).

    
      2

      
        

    

    (e)          Indemnifiable Amounts: means (i)
        any and all liabilities, Expenses, damages, judgments, fines, penalties, ERISA excise taxes and amounts paid in settlement (including all interest, assessments and other charges paid or payable in connection with or in respect of such liabilities,
        Expenses, damages, judgments, fines, penalties, ERISA excise taxes or amounts paid in settlement) arising out of or resulting from any Claim relating to an Indemnifiable Event, (ii) any liability pursuant to a loan guaranty or otherwise, for any
        indebtedness of the Company or any subsidiary of the Company, including, without limitation, any indebtedness which the Company or any subsidiary of the Company has assumed or taken subject to, and (iii) any liabilities which an Indemnitee incurs
        as a result of acting on behalf of the Company (whether as a fiduciary or otherwise) in connection with the operation, administration or maintenance of an employee benefit plan or any related trust or funding mechanism (whether such liabilities are
        in the form of excise taxes assessed by the United States Internal Revenue Service, penalties assessed by the Department of Labor, restitutions to such a plan or trust or other funding mechanism or to a participant or beneficiary of such plan,
        trust or other funding mechanism, or otherwise).

     

    (f)          Indemnifiable Event: means any
        event or occurrence, whether occurring before, on or after the date of this Agreement, related to the fact that Indemnitee is or was a director and/or officer or fiduciary of the Company, or is or was serving at the request of the Company as a
        director, officer, employee, manager, member, partner, tax matter partner, trustee, agent, fiduciary or similar capacity, of another company, corporation, limited liability company, partnership, joint venture, employee benefit plan, trust or other
        entity or enterprise, or by reason of anything done or not done by Indemnitee in any such capacity (in all cases whether or not Indemnitee is acting or serving in any such capacity or has such status at the time any Indemnifiable Amount is incurred
        for which indemnification, advancement or any other right can be provided by this Agreement).  The term “Company,” where the context requires when used in this Agreement, may be construed to include such other company, corporation, limited
        liability company, partnership, joint venture, employee benefit plan, trust or other entity or enterprise.

     

    (g)          Indemnitee-Related Entities: means
        any company, corporation, limited liability company, partnership, joint venture, trust, employee benefit plan or other entity or enterprise (other than the Company or any other company, corporation, limited liability company, partnership, joint
        venture, trust, employee benefit plan or other entity or enterprise Indemnitee has agreed, on behalf of the Company or at the Company’s request, to serve as a director, officer, employee or agent and which service is covered by the indemnity
        described in this Agreement) from whom an Indemnitee may be entitled to indemnification or advancement of Expenses with respect to which, in whole or in part, the Company may also have an indemnification or advancement obligation.

    
      3

      
        

    

    (h)          Independent Legal Counsel: means an
        attorney or firm of attorneys (following a Change in Control, selected in accordance with the provisions of Section 3 hereof) who is experienced in matters of corporate law and who shall not have otherwise performed services for the Company or
        Indemnitee within the last five years (other than with respect to matters concerning the rights of Indemnitee under this Agreement, or of other indemnitees under similar indemnity agreements).

     

    (i)          Jointly Indemnifiable Claim: means
        any Claim for which the Indemnitee may be entitled to indemnification from both an Indemnitee-Related Entity and the Company pursuant to applicable law, any indemnification agreement or the certificate of incorporation, by-laws, partnership
        agreement, operating agreement, certificate of formation, certificate of limited partnership or comparable organizational documents of the Company and an Indemnitee-Related Entity.

     

    (j)          Manager: means FIG LLC, a Delaware
        limited liability company, together with its permitted assignees, under the Management and Advisory Agreement, dated as of July 31, 2022, by and among the Company, Fortress Transportation and Infrastructure Investors LLC (“FTAI”), the subsidiaries
        of FTAI party thereto and FIG LLC, as amended, supplemented or restated from time to time.

     

    (k)          Reviewing Party: means any
        appropriate person or body consisting of a member or members of the Board of Directors or any other person or body appointed by the Board of Directors who is not a party to the particular Claim for which Indemnitee is seeking indemnification, or
        Independent Legal Counsel.

     

    (l)          Voting Securities: means the
        ordinary shares and any other class of shares issued by the Company that entitles the record holder thereof to vote on any matter submitted for consent or approval of members generally under the Memorandum and Articles of Association.  For the
        avoidance of doubt, as set forth in the applicable Issued Preferred Shares Designation (as defined in the Memorandum and Articles of Association), the Series A Preferred Shares, the Series B Preferred Shares and the Series C Preferred Shares (each,
        as defined in the Memorandum and Articles of Association) are not “Voting Securities” and such preferred shares shall have only such voting rights as set forth in the applicable Issued Preferred Shares Designation or as otherwise required by
        applicable law.

     

    2.          Basic Indemnification Arrangement; Advancement of Expenses.

     

    (a)          In the event Indemnitee was, is or becomes
        a party to or witness or other participant in, or is threatened to be made a party to or witness or other participant in, a Claim by reason of (or arising in part out of) an Indemnifiable Event, unless that liability arises through the actual
        fraud, wilful neglect or wilful default of such Indemnitee, the Company shall indemnify Indemnitee, or cause Indemnitee to be indemnified, to the maximum extent permitted by law as soon as practicable but in any event no later than thirty (30) days
        after written demand is presented to the Company, and hold Indemnitee harmless against any and all Indemnifiable Amounts. No person shall be found to have committed actual fraud, wilful neglect or wilful default, unless or until a court of
          competent jurisdiction shall have made a finding to that effect.

    
      4

      
        

    

    (b)          If so requested by Indemnitee, the Company
        shall advance, or cause to be advanced (within two business days of such request), any and all Expenses incurred by Indemnitee (an “Expense Advance”).  The Company shall, in accordance with such request (but without duplication), either (i) pay, or
        cause to be paid, such Expenses on behalf of Indemnitee, or (ii) reimburse, or cause the reimbursement of, Indemnitee for such Expenses.  Subject to Section 2(d), Indemnitee’s right to an Expense Advance is absolute and shall not be subject to any
        prior determination by the Reviewing Party that the Indemnitee has satisfied any applicable standard of conduct for indemnification.

     

    (c)          Notwithstanding anything in this Agreement
        to the contrary, Indemnitee shall not be entitled to indemnification or advancement of Expenses pursuant to this Agreement in connection with any Claim initiated by Indemnitee unless (i) the Company has joined in or the Board of Directors has
        authorized or consented to the initiation of such Claim or (ii) the Claim is one to enforce Indemnitee’s rights under this Agreement.

     

    (d)          Notwithstanding the foregoing, (i) the
        indemnification obligations of the Company under Section 2(a) shall be subject to the condition that the Reviewing Party shall not have determined (in a written legal opinion, in any case in which the Independent Legal Counsel is involved as
        required by Section 3 hereof) that Indemnitee would not be permitted to be indemnified under applicable law, and (ii) the obligation of the Company to make an Expense Advance pursuant to Section 2(b) shall be subject to the condition that, if, when
        and to the extent that the Reviewing Party determines (in a written legal opinion, in any case in which the Independent Legal Counsel is involved as required by Section 3 hereof) that Indemnitee would not be permitted to be so indemnified under
        applicable law, the Company shall be entitled to be reimbursed by Indemnitee (who hereby agrees to reimburse the Company) for all such amounts theretofore paid (it being understood and agreed that the foregoing agreement by Indemnitee shall be
        deemed to satisfy any requirement that Indemnitee provide the Company with an undertaking to repay any Expense Advance if it is ultimately determined that the Indemnitee is not entitled to indemnification under applicable law); provided, however,
        that if Indemnitee has commenced or thereafter commences legal proceedings in a court of competent jurisdiction to secure a determination that Indemnitee should be indemnified under applicable law, any determination made by the Reviewing Party that
        Indemnitee would not be permitted to be indemnified under applicable law shall not be binding and Indemnitee shall not be required to reimburse the Company for any Expense Advance until a final judicial determination is made with respect thereto
        (as to which all rights of appeal therefrom have been exhausted or lapsed).  Indemnitee’s undertaking to repay such Expense Advances shall be unsecured and interest-free.  If there has not been a Change in Control, the Reviewing Party shall be
        selected by the Board of Directors, and if there has been such a Change in Control, the Reviewing Party shall be the Independent Legal Counsel referred to in Section 3 hereof.  If there has been no determination by the Reviewing Party within thirty
        (30) days after written demand is presented to the Company or if the Reviewing Party determines that Indemnitee would not be permitted to be indemnified in whole or in part under applicable law, Indemnitee shall have the right to commence
        litigation in any court in the State of New York or the State of Delaware having subject matter jurisdiction thereof and in which venue is proper seeking an initial determination by the court or challenging any such determination by the Reviewing
        Party or any aspect thereof, including the legal or factual bases therefor, and the Company hereby consents to service of process and to appear in any such proceeding.  Any determination by the Reviewing Party otherwise shall be conclusive and
        binding on the Company and Indemnitee.

    
      5

      
        

    

    3.          Change in Control.  The Company agrees that if there is a Change in Control
        then with respect to all matters thereafter arising concerning the rights of Indemnitee to indemnity payments and Expense Advances under this Agreement or any provision of the Memorandum and Articles of Association now or hereafter in effect, the
        Company shall seek legal advice only from Independent Legal Counsel selected by Indemnitee and approved by the Company (which approval shall not be unreasonably delayed, conditioned or withheld).  Such counsel, among other things, shall render its
        written opinion to the Company and Indemnitee as to whether and to what extent the Indemnitee would be permitted to be indemnified under applicable law.  The Company agrees to pay the reasonable fees of the Independent Legal Counsel and to
        indemnify fully such counsel against any and all expenses (including attorneys’ fees), claims, liabilities and damages arising out of or relating to this Agreement or its engagement pursuant hereto.

     

    4.          Indemnification for Additional Expenses.  The Company shall indemnify, or
        cause the indemnification of, Indemnitee against any and all Expenses and, if requested by Indemnitee, shall advance such Expenses to Indemnitee subject to and in accordance with Section 2(b), which are incurred by Indemnitee in connection with any
        action brought by Indemnitee for (i) indemnification or an Expense Advance by the Company under this Agreement or any provision of the Memorandum and Articles of Association now or hereafter in effect and/or (ii) recovery under any directors’ and
        officers’ liability insurance policies maintained by the Company, regardless of whether Indemnitee ultimately is determined to be entitled to such indemnification, Expense Advance or insurance recovery, as the case may be; provided that Indemnitee
        shall be required to reimburse such Expenses in the event that a final judicial determination is made (as to which all rights of appeal therefrom have been exhausted or lapsed) that such action brought by Indemnitee, or the defense by Indemnitee of
        an action brought by the Company or any other person, as applicable, was frivolous or in bad faith.

     

    5.          Partial Indemnity, Etc.  If Indemnitee is entitled under any provision of this
        Agreement to indemnification by the Company for some or a portion of the Expenses or other Indemnifiable Amounts in respect of a Claim but not, however, for all of the total amount thereof, the Company shall nevertheless indemnify Indemnitee for
        the portion thereof to which Indemnitee is entitled.  Moreover, notwithstanding any other provision of this Agreement, to the extent that Indemnitee has been successful on the merits or otherwise in defense of any or all Claims relating in whole or
        in part to an Indemnifiable Event or in defense of any issue or matter therein, including dismissal without prejudice, Indemnitee shall be indemnified against all Expenses incurred in connection therewith.

     

    6.          Burden of Proof, Etc.  In connection with any determination by the Reviewing
        Party or otherwise as to whether Indemnitee is entitled to be indemnified hereunder the Reviewing Party, court, any finder of fact or other relevant person shall presume that the Indemnitee has satisfied the applicable standard of conduct and is
        entitled to indemnification, and the burden of proof shall be on the Company (or any other person or entity disputing such conclusions) to establish, by clear and convincing evidence, that Indemnitee is not so entitled.

    
      6

      
        

    

    7.          Reliance as Safe Harbor.  For purposes of this Agreement, Indemnitee shall be
        deemed to have acted in good faith and in a manner he or she reasonably believed to be in or not opposed to the best interests of the Company and had no reasonable cause to believe his or her conduct was unlawful if Indemnitee’s actions or
        omissions to act are taken in good faith reliance upon the records of the Company, including its financial statements, or upon information, opinions, reports or statements furnished to Indemnitee by the officers or employees of the Company in the
        course of their duties, or by committees of the Board of Directors, or by any other person (including legal counsel, accountants and financial advisors) as to matters Indemnitee reasonably believes are within such other person’s professional or
        expert competence and who has been selected with reasonable care by or on behalf of the Company.  In addition, the knowledge and/or actions, or failures to act, of any director, officer, agent or employee of the Company shall not be imputed to
        Indemnitee for purposes of determining the right to indemnity hereunder.

     

    8.          No Other Presumptions.  For purposes of this Agreement, the termination of any
        Claim by judgment, order, settlement (whether with or without court approval) or conviction, or upon a plea of nolo contendere, or its equivalent, shall not create a presumption that Indemnitee did not meet any particular standard of conduct or
        have any particular belief or that a court has determined that indemnification is not permitted by applicable law.  In addition, neither the failure of the Reviewing Party to have made a determination as to whether Indemnitee has met any particular
        standard of conduct or had any particular belief, nor an actual determination by the Reviewing Party that Indemnitee has not met such standard of conduct or did not have such belief, prior to the commencement of legal proceedings by Indemnitee to
        secure a judicial determination that Indemnitee should be indemnified under applicable law shall be a defense to Indemnitee’s claim or create a presumption that Indemnitee has not met any particular standard of conduct or did not have any
        particular belief.

     

    9.          Nonexclusivity, Etc.  The rights of the Indemnitee hereunder shall be in
        addition to any other rights Indemnitee may have under the Memorandum and Articles of Association, the Companies Act (as revised) of the Cayman Islands or otherwise.  To the extent that a change in applicable law (whether by statute or judicial
        decision) permits greater indemnification by agreement than would be afforded currently under the Memorandum and Articles of Association or this Agreement, it is the intent of the parties hereto that Indemnitee shall enjoy by this Agreement the
        greater benefits so afforded by such change.  To the extent that there is a conflict or inconsistency between the terms of this Agreement and the Memorandum and Articles of Association, it is the intent of the parties hereto that the Indemnitee
        shall enjoy the greater benefits regardless of whether contained herein or in the Memorandum and Articles of Association.  No amendment or alteration of the Memorandum and Articles of Association or any other agreement shall adversely affect the
        rights provided to Indemnitee under this Agreement.

     

    10.          Liability Insurance.  To the extent the Company maintains an insurance policy
        or policies providing directors’ and officers’ liability insurance, the Indemnitee shall be covered by such policy or policies in accordance with its or their terms to the maximum extent of the coverage available for the Company’s directors and
        officers.  If the Company has such insurance in effect at the time the Company receives from Indemnitee any notice of the commencement of an action, suit or proceeding, the Company shall give prompt notice of the commencement of such action, suit
        or proceeding to the insurers in accordance with the procedures set forth in the policy.  The Company shall thereafter take all necessary or desirable action to cause such insurers to pay, on behalf of Indemnitee, all amounts payable as a result of
        such proceeding in accordance with the terms of such policy.

    
      7

      
        

    

    11.          Period of Limitations.  No legal action shall be brought and no cause of
        action shall be asserted by or in the right of the Company against Indemnitee, Indemnitee’s spouse, heirs, executors or personal or legal representatives after the expiration of two years from the date of accrual of such cause of action, and any
        claim or cause of action of the Company shall be extinguished and deemed released unless asserted by the timely filing of a legal action within such two-year period; provided, however, that if any shorter period of limitations is otherwise
        applicable to any such cause of action such shorter period shall govern.

     

    12.          Amendments, Etc.  No supplement, modification or amendment of this Agreement
        shall be binding unless executed in writing by both of the parties hereto.  No waiver of any of the provisions of this Agreement shall be deemed or shall constitute a waiver of any other provisions hereof (whether or not similar) nor shall such
        waiver constitute a continuing waiver.

     

    13.          Subrogation.  Subject to Section 14 hereof, in the event of payment under
        this Agreement, the Company shall be subrogated to the extent of such payment to all of the rights of recovery of Indemnitee, who shall execute all papers reasonably required and shall do everything that may be reasonably necessary to secure such
        rights, including the execution of such documents necessary to enable the Company effectively to bring suit to enforce such rights.  The Company shall pay or reimburse all Expenses actually and reasonably incurred by Indemnitee in connection with
        such subrogation.

     

    14.          Jointly Indemnifiable Claims.  Given that certain Jointly Indemnifiable
        Claims may arise due to the relationship between the Indemnitee-Related Entities and the Company and the service of the Indemnitee as a director and/or officer of the Company at the request of the Indemnitee-Related Entities, the Company
        acknowledges and agrees that the Company shall be fully and primarily responsible for the payment to the Indemnitee in respect of indemnification and advancement of expenses in connection with any such Jointly Indemnifiable Claim, pursuant to and
        in accordance with the terms of this Agreement, irrespective of any right of recovery the Indemnitee may have from the Indemnitee-Related Entities.  Under no circumstance shall the Company be entitled to any right of subrogation or contribution by
        the Indemnitee-Related Entities and no right of recovery the Indemnitee may have from the Indemnitee-Related Entities shall reduce or otherwise alter the rights of the Indemnitee or the obligations of the Company hereunder.  In the event that any
        of the Indemnitee-Related Entities shall make any payment to the Indemnitee in respect of indemnification or advancement of Expenses with respect to any Jointly Indemnifiable Claim, the Company agrees that such payment or advancement shall not
        extinguish or affect in any way the rights of the Indemnitee under this Agreement and further agrees that the Indemnitee-Related Entity making such payment shall be subrogated to the extent of such payment to all of the rights of recovery of the
        Indemnitee against the Company.  Each of the Indemnitee-Related Entities shall be third-party beneficiaries with respect to this Section 14, entitled to enforce this Section 14 against the Company as though each such Indemnitee-Related Entity were
        a party to this Agreement.

    
      8

      
        

    

    15.          No Duplication of Payments.  Subject to Section 14 hereof, the Company shall
        not be liable under this Agreement to make any payment in connection with any Claim made against Indemnitee to the extent Indemnitee has otherwise actually received payment (under any insurance policy, or any provision of the Memorandum and
        Articles of Association or otherwise) of the amounts otherwise indemnifiable hereunder.

     

    16.          Defense of Claims.  The Company shall be entitled to participate in the
        defense of any Claim relating to an Indemnifiable Event or to assume the defense thereof, with counsel reasonably satisfactory to the Indemnitee; provided that if Indemnitee believes, after consultation with counsel selected by Indemnitee, that (i)
        the use of counsel chosen by the Company to represent Indemnitee would present such counsel with an actual or potential conflict of interest, (ii) the named parties in any such Claim (including any impleaded parties) include both the Company, or
        any subsidiary of the Company, and Indemnitee and Indemnitee concludes that there may be one or more legal defenses available to him or her that are different from or in addition to those available to the Company or any subsidiary of the Company,
        or (iii) any such representation by such counsel would be precluded under the applicable standards of professional conduct then prevailing, then Indemnitee shall be entitled to retain separate counsel (but not more than one law firm plus, if
        applicable, local counsel in respect of any particular Claim) at the Company’s expense.  The Company shall not be liable to Indemnitee under this Agreement for any amounts paid in settlement of any Claim relating to an Indemnifiable Event effected
        without the Company’s prior written consent.  The Company shall not, without the prior written consent of the Indemnitee, effect any settlement of any Claim relating to an Indemnifiable Event which the Indemnitee is or could have been a party
        unless such settlement solely involves the payment of money and includes a complete and unconditional release of Indemnitee from all liability on all claims that are the subject matter of such Claim.  Neither the Company nor Indemnitee shall
        unreasonably withhold, condition or delay its or his or her consent to any proposed settlement; provided that Indemnitee may withhold consent to any settlement that does not provide a complete and unconditional release of Indemnitee.  In no event
        shall Indemnitee be required to waive, prejudice or limit attorney-client privilege or work-product protection or other applicable privilege or protection.

     

    17.          No Adverse Settlement.  The Company shall not seek, nor shall it agree to,
        consent to, support, or agree not to contest any settlement or other resolution of any Claim(s), or settlement or other resolution of any other claim, action, proceeding, demand, investigation or other matter that has the actual or purported effect
        of extinguishing, limiting or impairing Indemnitee’s rights hereunder, including without limitation the entry of any bar order or other order, decree or stipulation, pursuant to 15 U.S.C. § 78u-4 (the Private Securities Litigation Reform Act), or
        any similar foreign, federal or state statute, regulation, rule or law.

     

    18.          Binding Effect, Etc.  This Agreement shall be binding upon and inure to the
        benefit of and be enforceable by the parties hereto and their respective successors, (including any direct or indirect successor or continuing company by purchase, merger, consolidation or otherwise to all or substantially all of the business
        and/or assets of the Company), assigns, spouses, heirs, executors and personal and legal representatives.  The Company shall require and cause any successor (whether direct or indirect by purchase, merger, consolidation, or otherwise) to all or
        substantially all of the business and/or assets of the Company, by written agreement in form and substance satisfactory to Indemnitee and his or her counsel, expressly to assume and agree to perform this Agreement in the same manner and to the same
        extent that the Company would be required to perform if no such succession had taken place.  This Agreement shall continue in effect regardless of whether Indemnitee continues to serve as an officer and/or director of the Company or of any other
        entity or enterprise at the Company’s request.

    
      9

      
        

    

    19.          Security.  To the extent requested by Indemnitee and approved by the Board of
        Directors, the Company may at any time and from time to time provide security to Indemnitee for the obligations of the Company hereunder through an irrevocable bank line of credit, funded trust or other collateral or by other means.  Any such
        security, once provided to Indemnitee, may not be revoked or released without the prior written consent of such Indemnitee.

     

    20.          Severability.  If any provision or provisions of this Agreement shall be held
        to be invalid, illegal or unenforceable for any reason whatsoever, (a) the validity, legality and enforceability of the remaining provisions of this Agreement (including, without limitation, all portions of any paragraph of this Agreement
        containing any such provision held to be invalid, illegal or unenforceable, that are not themselves invalid, illegal or unenforceable) shall not in any way be affected or impaired thereby and (b) to the fullest extent possible, the provisions of
        this Agreement (including, without limitation, all portions of any paragraph of this Agreement containing any such provision held to be invalid, illegal or unenforceable) shall be construed so as to give effect to the intent manifested by the
        provision held invalid, illegal or unenforceable and to give effect to the terms of this Agreement.

     

    21.          Specific Performance, Etc.  The parties recognize that if any provision of
        this Agreement is violated by the Company, Indemnitee may be without an adequate remedy at law.  Accordingly, in the event of any such violation, Indemnitee shall be entitled, if Indemnitee so elects, to institute proceedings, either in law or at
        equity, to obtain damages, to enforce specific performance, to enjoin such violation, or to obtain any relief or any combination of the foregoing as Indemnitee may elect to pursue.

     

    22.          Notices.  All notices, requests, consents and other communications hereunder
        to any party shall be deemed to be sufficient if contained in a written document delivered in person or sent by facsimile, nationally recognized overnight courier or personal delivery, addressed to such party at the address set forth below or such
        other address as may hereafter be designated on the signature pages of this Agreement or in writing by such party to the other parties:

     

    (a)          If to the Company, to:

     

    FTAI Aviation Ltd.

      c/o FIG LLC

      1345 Avenue of the Americas, 45th Floor

      New York, New York 10105

      Fax: (212)-798-6075

    Attention: Kevin Krieger, Esq.

                       BoHee Yoon, Esq.

    
      10

      
        

    

    with a copy (which shall not constitute notice) to:

     

    Skadden, Arps, Slate, Meagher & Flom LLP

      One Manhattan West

      New York, New York 10001

      Fax: (212) 735-2000

      Attention: Michael J. Schwartz, Esq.

                       Blair T. Thetford, Esq.

     

    (b)          If to the Indemnitee, to the address set
        forth on Annex A hereto.

     

    All such notices, requests, consents and other communications shall be deemed to have been given or made if and when received (including by overnight courier) by the parties at
      the above addresses or sent by electronic transmission, with confirmation received, to the facsimile numbers specified above (or at such other address or facsimile number for a party as shall be specified by like notice).  Any notice delivered by any
      party hereto to any other party hereto shall also be delivered to each other party hereto simultaneously with delivery to the first party receiving such notice.

     

    23.          Counterparts.  This Agreement may be executed in counterparts, each of which
        shall for all purposes be deemed to be an original but all of which together shall constitute one and the same agreement.  Only one such counterpart signed by the party against whom enforceability is sought needs to be produced to evidence the
        existence of this Agreement.

     

    24.          Headings.  The headings of the sections and paragraphs of this Agreement are
        inserted for convenience only and shall not be deemed to constitute part of this Agreement or to affect the construction or interpretation thereof.

     

    25.          Governing Law.  This Agreement shall be governed by and construed and
        enforced in accordance with the laws of the State of Delaware applicable to contracts made and to be performed thereunder without giving effect to the principles of conflicts of laws.

     

    [Remainder of page left intentionally blank]

    
      11

      
        

    

    IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first above written.

     

    

    
      	
               

            	FTAI AVIATION LTD.
	 	 
	
               

            	By:    

            	

            
	
               

            	
               

            	Name:
	 	 	Title:
	 	 
	 	 	[INDEMNITEE NAME]

              
	 	 	Address:

       

      

       [Signature Page to Indemnification Agreement]

      

    

    
      12

      
        

    

    ANNEX A

     

    [Indemnitee Address]

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