Document:

Exhibit 4.17

 

(Multicurrency
– Cross Border)

 

ISDAÒ

International Swaps and
Derivatives Association, Inc.

 

SCHEDULE

to the

Master Agreement

dated as of November 15, 2004

 

between

 

	
  Citibank, N.A.,

  a  national
  banking association duly organized and existing under the laws of the United
  States of America

   

  (“Party A”)

  	
   

  	
  and

  	
   

  	
  Wilmington Trust Company,
a Delaware banking corporation, in its capacity as Subordination Agent
  on behalf of the Trustee under the Pass Through Trust Agreement dated as of
  the date hereof between Wilmington Trust Company and JetBlue Airways
  Corporation with respect to the JetBlue Airways Pass Through Trust, Series
  2004–2C–O (for purposes of this agreement only, the “Class C Trust Agreement”)

   

  (“Party B”)

  

 

Part 1

Termination Provisions

 

(a)                                  Specified
Entity.  None.

 

(b)                                  Specified
Transaction.  Specified Transaction
will have the meaning specified in Section 14.

 

(c)                                  Events
of Default.  The “Events of Default”
set forth in Section 5(a) will not apply to Party B but will apply to
Party A (subject to clause (d) below).

 

(d)                                  Cross
Default.  The “Cross Default”
provision of Section 5(a)(vi) will not apply.

 

(e)                                  Termination
Events.  The “Illegality” provisions
of Section 5(b)(i), the “Tax Event” provisions of Section 5(b)(ii),
and the “Tax Event Upon Merger” provisions of Section 5(b)(iii) will apply
to Party A but will not apply to Party B. Party A shall be the sole Affected
Party (under Section 5(b)(i) and (ii)) and the sole Burdened Party (under Section 5(b)(iii))
with respect to a Termination Event.

 

(f)                                    Credit Event Upon Merger. The “Credit Event
Upon Merger” provisions of Section 5(b)(iv)

 

 

shall not apply to Party A nor Party B.

 

(g)                                 Automatic
Early Termination.  The “Automatic
Early Termination” provision of Section 6(a) will not apply.

 

(h)                                 Right to Terminate Following Termination
Event.  Sections 6(b)(ii)-(iv)
are deleted in their entirety and replaced by the following:

 

“(ii)  Replacement on Termination Event.  Upon the occurrence of a Termination Event
(other than an Additional Termination Event) with respect to Party A, Party A
shall have the right within 20 days of the date of such Termination Event, at
its own expense, to arrange for one or more Replacement Above-Cap Liquidity
Providers to enter into and deliver to Party B a Replacement Above-Cap
Liquidity Facility for such Above-Cap Liquidity Facility.  If Party A does not arrange for such
replacement and if the Above-Cap Liquidity Facility has not otherwise been
replaced by JetBlue Airways Corporation (at the expense of JetBlue Airways Corporation)
in accordance with the terms of Section 3.6(c)(ii) of the Intercreditor
Agreement, such 20th day (or if such 20th day is not a
Business Day, the next succeeding Business Day) shall be deemed to be an “Early
Termination Date” and Party A shall make a termination payment to Party B in
accordance with Part 1(j) of this Schedule. 
For the avoidance of doubt, Party B shall have no right to designate an
Early Termination Date following the occurrence of any Termination Event.

 

(i)                                    Calculations. The “Payment
Date” provisions in Section 6(d)(ii) are deleted in their entirety and
replaced by the following:

 

“The
Termination Amount calculated as being due in respect of any Early Termination
Date under Section 6(e) will be payable on such Early Termination Date.”

 

(j)                                    Payments on Early Termination.  Section 6(e) is deleted in its entirety
and replaced with the following:

 

“Upon the occurrence or
designation of an Early Termination Date with respect to the Transaction
evidenced by the Confirmation, Party A shall make a termination payment to
Party B on the Early Termination Date in an amount equal to the “Termination
Amount” for the Early Termination Date for credit to the Above-Cap Reserve
Account (as provided in Section 3.6(f) of the Intercreditor Agreement) to
be applied as set forth in said Section 3.6(f) plus all Unpaid Amounts due
and payable by Party A under the Confirmation on or prior to the Early
Termination Date and upon such payments the Transaction evidenced by the
Confirmation shall terminate.

 

“Termination Amount”
means, for any Early Termination Date, the amount obtained by solving the
following formula for TA:

 

TA =                    (20%
per annum – CR) x N x F

 

where

 

CR =                      the
Cap Rate designated in the Confirmation

 

N =                             the
Notional Amount for such date

 

F = 0.256

 

2

 

For the avoidance of
doubt, the Termination Amount shall not exceed US$[                      ]
at any time.”

 

(k)                                Termination
Currency.  “Termination Currency” means United States Dollars.

 

(l)                                    Additional
Termination Event.  Additional
Termination Event will apply solely as specified in the Confirmation.

 

(m)                              Limitations
on Conditions Precedent. 
Notwithstanding Section 2(a), the obligation of Party A to make
each payment specified in the Confirmation, so long as it shall remain in
effect, shall not be subject to any conditions precedent, and, without limiting
the foregoing, Party A agrees that it will make each such payment without
offset, counterclaim or defense.

 

Part 2

Tax Representations

 

(a)                                  Payer
Tax Representations.  For the purpose
of Section 3(e), Party A and Party B each make the following
representation:

 

It is not required by any
applicable law, as modified by the practice of any relevant governmental
revenue authority, of any Relevant Jurisdiction to make any deduction or
withholding for or on account of any Tax from any payment (other than interest
under Section 2(e) or 6(e)) to be made by it to the other party under this
Agreement. In making this representation, it may rely on:

 

(i)                                     the
accuracy of any representation made by the other party pursuant to Section 3(f);

 

(ii)                                  the
satisfaction of the agreement of the other party contained in Section 4(a)(i)
or 4(a)(iii) and the accuracy and effectiveness of any document provided by the
other party pursuant to Section 4(a)(i) or 4(a)(iii); and

 

(iii)                               the
satisfaction of the agreement of the other party contained in Section 4(d);

 

provided that it shall
not be a breach of this representation where reliance is placed on clause (ii),
and the other party does not deliver a form or document under Section 4(a)(iii)
by reason of material prejudice to its legal or commercial position.

 

(b)                                  Payee
Tax Representations. For the purpose of Section 3(f),

 

(i)                                     Party
A represents that it is a national banking association duly organized and
existing under the laws of the United States of America.

 

(ii)                                  Party
B represents that it is a Delaware banking corporation.

 

Part 3

Agreement to Deliver Documents

 

For
the purpose of Section 4(a)(ii) of this Agreement, each party agrees to
deliver the following documents, as applicable:

 

3

 

	
  Party required to

  deliver documents

  	
   

  	
  Form/Document/

  Certificate

  	
   

  	
  Date by which to be

  delivered

  	
   

  	
  Covered by

  Section 3(d)

  Representation

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Party A and Party B

  	
   

  	
  Evidence reasonably satisfactory to the other party
  as to the names, true signatures and authority of the officer or officials
  signing this Agreement or the Confirmation on its behalf

  	
   

  	
  Upon execution of this Agreement and the related
  Confirmation

  	
   

  	
  Yes

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Party A

  	
   

  	
  A copy of the annual report for Party A containing
  audited and certified financial statements for the most recently ended
  financial year

  	
   

  	
  Upon request, as soon as publicly available

  	
   

  	
  Yes

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Party A

  	
   

  	
  Opinions of counsel to Party A reasonably
  satisfactory in form and substance to Party B with respect to this
  Agreement

  	
   

  	
  Upon execution of this Agreement

  	
   

  	
  No

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Party B

  	
   

  	
  Certified copies of all documents evidencing the
  necessary corporate authorizations and approvals with respect to the
  execution, delivery, and performance of derivatives transactions

  	
   

  	
  Upon execution of this Agreement

  	
   

  	
  Yes

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Party A

  	
   

  	
  Correct, complete and executed U.S. Internal Revenue
  Form W–9 or any successor thereto

  	
   

  	
  Upon execution of this Agreement, upon the
  appointment of a successor Subordination Agent, and at any time upon
  reasonable request by Party B

  	
   

  	
  Not applicable

  
	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  	
   

  
	
  Party B

  	
   

  	
  Correct, complete and executed U.S. Internal Revenue
  Form W–9 or any successor thereto

  	
   

  	
  Upon execution of this Agreement, upon the
  appointment of a successor Subordination Agent, and at any time upon
  reasonable request by Party A

  	
   

  	
  Not applicable

  

 

Part 4

Miscellaneous

 

(a)                                  Addresses for Notices. 
For the purpose of Section 12(a):

 

4

 

(i)                                     Address
for notices or communications to Party A (including all notices pursuant to
Sections 5, 6 and 7 as well as any changes to Party B’s address, telephone
number or facsimile number):

 

Address:                                               Citibank,
N.A.

 

Attention:

Facsimile:

 

(ii)                                  Address
for notices or communications to Party B:

 

Address:                                               Wilmington
Trust Company

Rodney Square North

1100 North Market Street

Wilmington, Delaware
19890-0001

Attention:                                         Corporate
Trust Administration

Telephone:                                    302-651-1000

Facsimile:                                            302-636-4140

 

(b)                                  Offices.  The
provisions of Section 10(a) will apply to this Agreement.

 

(c)                                  Multibranch
Party.  For the purpose of Section 10(c):

 

Party A is not a
Multibranch Party.

Party B is not a
Multibranch Party.

 

(d)                                  Calculation
Agent.  The Calculation Agent is
Party A, provided that if Party B disagrees with respect to any calculation or
determination, Party A and Party B each will appoint an independent Reference
Market-maker, and such two Reference Market-makers jointly will appoint a third
Reference Market-maker. Such three Reference Market-makers jointly will make
such calculation or determination (acting as experts and not as arbitrators),
whose calculation or determination will be binding and conclusive absent
manifest error.  In addition, if an Event
of Default with respect to Party A has occurred and is continuing, Party B may
appoint one of the following five entities as Calculation Agent: JP Morgan
Chase, UBS AG, Bank of America, N.A., Deutsche Bank AG or Morgan Stanley
Capital Services Inc.

 

(e)                                  Credit Support Documents.

 

With respect to Party A and Party B: None.

 

(f)                                    Credit
Support Provider.

 

Credit Support Provider
means in relation to Party A: None.

 

Credit Support Provider
means in relation to Party B: None.

 

(g)                                 Governing
Law.  This Agreement and each
Confirmation will be governed by and construed in accordance with the laws of
the State of New York.

 

(h)                                 Jurisdiction.  Section 13(b) is hereby amended by:
(i) deleting in the second line of subparagraph (i) thereof the word “non-”; and
(ii) deleting the final paragraph thereof.

 

5

 

(i)                                    Netting
of Payments.  The Netting provision set forth in Section 2(c) will not
apply to any Transaction.

 

(j)                                    Affiliate.  Affiliate will have the meaning specified
in Section 14.

 

(k)                                Covered Transaction.
 The
Transaction evidenced by the Confirmation dated the date of this Agreement
(Reference Number: ) will constitute the only Transaction and Confirmation
supplementing, forming part of, and subject to, this Agreement.

 

Part 5

Other Provisions

 

(a)                                  Definitions.  This Agreement and the Transaction between
the parties are subject to the 2000 ISDA Definitions and Annex to the 2000 ISDA
Definitions (June 2000 Version) as published by the International Swaps and
Derivatives Association, Inc. (collectively, the “Definitions”), and will be
governed in all relevant respects by the provisions set forth in the
Definitions, without regard to any amendment to the Definitions subsequent to
the date hereof. The provisions of the Definitions are incorporated by
reference in and shall be deemed a part of this Agreement, except that
references in the Definitions to a “Swap Transaction” shall be deemed
references to a “Transaction” for purposes of this Agreement. In the event of
any inconsistency between the provisions of this Agreement and the Definitions,
this Agreement will prevail.  “Intercreditor
Agreement” as used in this Agreement shall mean the Intercreditor Agreement
dated as of November 15, 2004 among Wilmington Trust Company, as Trustee
under the JetBlue Airways Pass Through Trust 2004–2G–1, JetBlue Airways Pass
Through Trust 2004–2G–2 and JetBlue Airways Pass Through Trust 2004–2C,
Landesbank Baden-Württemberg, as Class G–1 Primary Liquidity Provider, Class
G–2 Primary Liquidity Provider and Class C Primary Liquidity Provider,
Citibank, N.A. as Class G–1 Above-Cap Liquidity Provider, Class G–2 Above-Cap
Liquidity Provider and Class C Above-Cap Liquidity Provider, MBIA Insurance
Corporation as Policy Provider and Wilmington Trust Company as Subordination
Agent, attached hereto as Exhibit A. 
Capitalized terms used and not defined herein, the Confirmation, or the
Definitions shall have the meanings set forth in the Intercreditor Agreement,
as amended or modified from time to time in accordance with the terms thereof.

 

(b)                                  Relationship
Between Parties.  Each party will be
deemed to represent to the other party on the date on which it enters into the
Transaction that (absent a written agreement between the parties that expressly
imposes affirmative obligations to the contrary for that Transaction):

 

(i)                                     Non-Reliance.  It is acting for its own account, and it has made its
own independent decisions to enter into the Transaction and as to whether the
Transaction is appropriate or proper for it based upon its own judgment and
upon advice from such advisers as it has deemed necessary.  It is not
relying on any communication (written or oral) of the other party as investment
advice or as a recommendation to enter into the Transaction; it being
understood that information and explanations related to the terms and
conditions of the Transaction shall not be considered investment advice or a
recommendation to enter into the Transaction.  No communication (written
or oral) received from the other party shall be deemed to be an assurance or
guarantee as to the expected results of the Transaction.

 

(ii)                                  Assessment and
Understanding.  It is capable of assessing the merits of and understanding
(on its own behalf or through independent professional advice), and understands
and accepts, the terms, conditions and risks of the Transaction.  It is
also capable of assuming,

 

6

 

and assumes, the risks of the Transaction

 

(iii)                               Status of
Parties.  The other party is not acting as a fiduciary for or an adviser
to it in respect of the Transaction.

 

(c)                                  WAIVER
OF JURY TRIAL.  EACH PARTY HEREBY
WAIVES ITS RESPECTIVE RIGHT TO JURY TRIAL WITH RESPECT TO ANY LITIGATION
ARISING UNDER, OR IN CONNECTION WITH, THIS AGREEMENT OR THE TRANSACTION.

 

(d)                                  Non-petition.  Party A
agrees that it will not, prior to the date that is one year and one day
following the final payment of the Certificates, acquiesce, petition or
otherwise invoke or cause, or join in invoking or causing, Party B or any other
person or entity to invoke the process of any governmental authority for the
purpose of commencing or sustaining a case (whether voluntary or involuntary)
against Party B under any bankruptcy, insolvency or similar law or appointing a
receiver, liquidator, assignee, trustee, custodian, sequestrator or other
similar official of Party B or any substantial part of its property or
ordering the winding-up or liquidation of the affairs of Party B, provided, however, that nothing herein shall
restrict or prohibit Party A from joining in any existing bankruptcy,
reorganization, arrangement, insolvency, moratorium or liquidation proceedings
or other analogous proceedings under applicable laws.

 

(e)                                  Waiver of Right of Set-off. Notwithstanding any provision of this
Agreement, the Confirmation or any other existing or future agreement between
the parties hereto, each party irrevocably waives any and all rights it may
have to set-off, net, recoup or otherwise withhold or suspend or condition payment
or performance of any obligation between the two parties hereunder against any
obligations between the two parties, whether arising under any agreement,
applicable law or otherwise.

 

(f)                                    Amendments.  This
Agreement is hereby further amended as follows:

 

(1)                                  Section 2(b)
is hereby amended by the insertion of the following at the end thereof after
the word “change”: “provided that if such new account shall not be in the same
jurisdiction having the same power to tax as the original account, the party
not changing its account shall not be obliged to pay any greater amounts and
shall not receive less as a result of such change than would have been the case
if such change had not taken place.”

 

(2)                                  Section 2(d)
is amended by adding thereto a new final sentence reading as follows: “Anything
in this Section 2(d) to the contrary notwithstanding, Party B shall not be
obligated to make any payment under this Section 2(d) to Party A”.

 

(3)                                  Section 7
is amended by adding a new penultimate sentence to Section 7 as follows: “Any
purported transfer under this Section 7, including, for the avoidance of
doubt, any transfer pursuant to Section 6(b)(ii), shall require Ratings
Confirmation”.

 

(4)                                  Section 9(b)
is amended by adding thereto a new sentence reading as follows: “In addition,
no amendment, modification or waiver in respect of this Agreement will be
effective unless Ratings Confirmation is received.”

 

(g)                                 Limitation
of Liability.  The obligations of
Party B under this Agreement, and in respect of the Transaction evidenced by
the Confirmation, are expressly limited to the extent of funds, if any, made
available for such payment to Party B under, and in accordance with, the
priorities of payments set forth in Sections 3.2 and 3.6 of the Intercreditor
Agreement.  No recourse under any

 

7

 

obligation, covenant or
agreement of Party B contained in this Agreement or the Confirmation shall be
had against any incorporator, stockholder, agent, affiliate, officer, employee
or trustee of Party B, as such, by the enforcement of any assessment or by any
legal or equitable proceeding, by virtue of any statute or otherwise; it being
expressly agreed and understood that the agreements of Party B contained in
this Agreement or the Confirmation are solely trust obligations of Party B and
that no personal liability whatsoever shall attach to or be incurred by the
incorporators, stockholders, agents, affiliates, officers, employees or
trustees of Party B, as such, or any of them, under or by reason of any of the
obligations, covenants or agreements of Party B contained in this Agreement or
the Confirmation and that any and all personal liability of every such
incorporator, stockholder, agent, affiliate, officer, employee or trustee of
Party B for breaches by Party B of any such obligation, covenant or agreement,
which liability may arise either at common law or at equity, by statute or
constitution, or otherwise, is hereby expressly waived as a condition of and in
consideration for the execution of this Agreement; provided, however,
that nothing in this paragraph shall relieve any of the foregoing persons from
any liability which any such person may otherwise have for his/her or its gross
negligence or willful misconduct or, with respect to the handling or transfer
of funds, ordinary negligence.

 

(h)                                 Eligible Contract Participant.  Each
party represents to the other that it is an “eligible contract participant” as defined in Section 1a(12)
of the Commodity Exchange Act of 1922 (7 U.S. Code §1 et seq.) as amended (“CEA”). This
Agreement and the Transaction hereunder are subject to individual negotiation
by the parties. Neither this Agreement nor the Transaction hereunder has been
executed or traded on a “trading facility” as defined in Section 1a(33) of
the CEA.

 

(i)                                    Accuracy
of Specified Information.  Section 3(d)
is hereby amended by adding in the third line thereof after the word “respect”
and before the period the words “or, in the case of audited or unaudited
financial statements or balance sheets, a fair representation of the financial
condition of the relevant person.”

 

[Signatures follow
on separate page]

 

8

 

IN WITNESS WHEREOF the parties have executed this Schedule to
the ISDA Master Agreement on the respective dates specified below with effect
from the date specified on the first page of this document.

 

 

	
   

  	
  CITIBANK, N.A.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Linda Cook

  	
   

  
	
   

  	
  Name:

  	
  Linda
  Cook

  	
   

  
	
   

  	
  Title:

  	
  Vice
  President

  	
   

  
	
   

  	
  Date:

  	
   

  	
   

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  WILMINGTON TRUST COMPANY

  
	
   

  	
  in
  its capacity as Subordination Agent on behalf of the Trustee under the Class
  C Trust Agreement.

  
	
   

  	
   

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/
  Kathleen A. Pedelini

  	
   

  
	
   

  	
  Name:

  	
  Kathleen
  A. Pedelini

  	
   

  
	
   

  	
  Title:

  	
  Financial
  Services Officer

  	
   

  
	
   

  	
  Date:Exhibit 4.18

 

	
  Date:

  	
  November
  15, 2004

  
	
   

  	
   

  
	
  To:

  	
  Wilmington Trust Company

  
	
   

  	
   

  
	
  From:

  	
  Citibank, N.A.

  
	
   

  	
   

  
	
  Subject:

  	
  CLASS G – 1
  ABOVE CAP LIQUIDITY FACILITY CONFIRMATION

  

 

Reference
Number:

 

Ladies and Gentlemen:

 

The purpose of this letter agreement (this “Confirmation”)
is to confirm the terms and conditions of the Interest Rate Cap Transaction
entered into on the Trade Date referred to in Paragraph 2 below (the “Transaction”)
between Citibank, N.A. (“Party A”) and Wilmington Trust Company in its
capacity as Subordination Agent on behalf of the Trustee under the Pass Through
Trust Agreement dated as of the date hereof between Wilmington Trust Company
and JetBlue Airways Corporation, with respect to the JetBlue Airways Pass
Through Trust, Series 2004–2G–1–O (“Party B”). This letter
agreement constitutes a “Confirmation” as referred to in the ISDA Master
Agreement specified below.

 

1.                                       The
definitions and provisions contained in the 2000 ISDA Definitions and Annex to
the 2000 ISDA Definitions (June 2000 Version) as published by the International
Swaps and Derivatives Association, Inc. (as so supplemented, the “Definitions”)
are incorporated into this Confirmation. 
In the event of any inconsistency between the Definitions and this
Confirmation, this Confirmation will govern. 
References herein to a “Transaction” shall be deemed to be references to
a “Swap Transaction” for the purposes of the Definitions.

 

This Confirmation supplements,
forms a part of, and is subject to the 1992 ISDA Master Agreement
(Multicurrency – Cross Border) including the Schedule thereto, dated as of
November 15, 2004  as amended and
supplemented from time to time (collectively, the “Agreement”), between
us.  All provisions contained in the
Agreement govern this Confirmation except as modified below.  In the event of any inconsistency between the
Agreement and this Confirmation, this Confirmation will govern.  Capitalized terms not otherwise defined in
the Agreement or this Confirmation shall have the meanings ascribed to them in
the Intercreditor Agreement dated as of November 15, 2004  among Wilmington Trust Company, as Trustee under
the JetBlue Airways Pass Through Trust 2004–2G–1, JetBlue Airways Pass Through
Trust 2004–2G–2 and JetBlue Airways Pass Through Trust 2004–2C, Landesbank
Baden-Württemberg, as Class G–1 Primary
Liquidity Provider, Class G–2 Primary Liquidity Provider and Class C Primary
Liquidity Provider,  Citibank, N.A.
as Class G–1 Above-Cap Liquidity Provider, Class G–2 Above-Cap Liquidity
Provider and Class C Above-Cap Liquidity Provider, MBIA Insurance Corporation,
as Policy Provider, and Wilmington Trust Company, as Subordination Agent (the “Intercreditor
Agreement”). The Agreement and each Confirmation will be governed by and
construed in accordance with the laws of the State of New York.

 

Each of Party A and Party B
represents to the other that it has entered into this Transaction in reliance
upon such independent accounting, regulatory, legal, tax and financial advice
as it deems necessary and not upon any view expressed by the other.

 

1

 

2.                                       Party
A and Party B by this Confirmation are entering into a Transaction (the “Above
Cap Liquidity Facility”) that provides an irrevocable interest rate
cap.  The terms of the Above Cap
Liquidity Facility are as follows:

 

	
  General Terms:

  	
   

  
	
   

  	
   

  
	
  Transaction Type:

  	
  Interest Rate Cap Transaction

  
	
   

  	
   

  
	
  Notional Amount:

  	
  The Pool Balance for the Class
  G-1 Certificates from time to time. The Notional Amount as of any Floating
  Rate Payer Payment Date shall be determined before giving effect to any
  distributions on such Class G-1 Certificates on such Floating Rate Payer
  Payment Date.

  
	
   

  	
   

  
	
  Trade Date:

  	
  November 10, 2004

  
	
   

  	
   

  
	
  Effective Date:

  	
  November 15, 2004

  
	
   

  	
   

  
	
  Termination Date:

  	
  The first Business Day
  following the earlier of (i) February 15, 2018 and (ii) the date on which
  payment in full of Final Distributions with respect to the Class G-1
  Certificates has been made.

  
	
   

  	
   

  
	
  Currency Unit:

  	
  USD

  
	
   

  	
   

  
	
  Business Day/Local Business Day:

  	
  “Business Day” as defined in the Intercreditor
  Agreement for all purposes under the Agreement.

  
	
   

  	
   

  
	
  Business Day Convention:

  	
  Following

  
	
   

  	
   

  
	
  Fixed Amounts:

  	
   

  
	
   

  	
   

  
	
  Fixed Amount Payer:

  	
  Party B

  
	
   

  	
   

  
	
  Fixed Amount Payer Payment Date:

  	
  Effective Date

  
	
   

  	
   

  
	
  Fixed Amount:

  	
  As set forth in a separate
  letter agreement between Party A and Party B.

  
	
   

  	
   

  
	
  Floating Amounts:

  	
   

  
	
   

  	
   

  
	
  Floating Rate Payer:

  	
  Party A

  
	
   

  	
   

  
	
  Floating Amount:

  	
  On each Floating Rate Payer
  Payment Date on which (i) the Floating Rate Option exceeds the Cap Rate and
  (ii) a Drawing Event (as defined below) has occurred, the Floating Amount
  shall be calculated as follows:

  
	
   

  	
   

  
	
   

  	
  In the event that either (a)
  the Available Amount under the Primary Liquidity Facility (before giving
  effect to any Interest Drawing to be made on such Payment Date) is greater
  than zero 

  

 

2

 

	
   

  	
  or (b) the amount on deposit
  in the Primary Cash Collateral Account (before giving effect to any
  withdrawals to be made from such account on such Payment Date) is greater
  than zero, the Floating Amount shall equal the Above-Cap Payment for such
  date. 

  
	
   

  	
   

  
	
   

  	
  In the event that both
  statements in clauses (a) and (b) above are not true, then the Floating
  Amount shall equal zero.

  
	
   

  	
   

  
	
  Period End Dates:

  	
  Each February 15, May 15,
  August 15 and November 15, commencing on February 15, 2005 and ending on the
  Termination Date, subject to adjustment in accordance with the Following
  Business Day Convention.

  
	
   

  	
   

  
	
  Floating Rate Payer Payment Dates:

  	
  Each day that is a Period End
  Date and any Special Distribution Date not coinciding with a Period End Date
  on which a distribution of interest is, by the terms of the Intercreditor
  Agreement, to be made on the Class G-1 Certificates.

  
	
   

  	
   

  
	
  Floating Rate Option:

  	
  USD-LIBOR-BBA; provided that, if the relevant rate does
  not appear on the Telerate Page 3750, the rate shall be “Three-Month LIBOR”
  as determined by the Loan Trustee in accordance with the definition of
  “Three-Month LIBOR” in Annex A to the Indentures; and provided further that the Floating Rate
  Option shall be deemed to equal the Cap Rate during such period as the Stated
  Interest Rate applicable to the Class G-1 Certificates is subject to the
  Capped Interest Rate pursuant to the proviso in the definition of “Stated
  Interest Rate” in the Intercreditor Agreement.

  
	
   

  	
   

  
	
  Cap Rate:

  	
  7%

  
	
   

  	
   

  
	
  Designated Maturity:

  	
  3-Month

  
	
   

  	
   

  
	
  Spread:

  	
  None

  
	
   

  	
   

  
	
  Floating Rate Day Count Fraction:

  	
  Actual/360

  
	
   

  	
   

  
	
  Reset Dates:

  	
  The first day of the relevant
  Calculation Period.

  
	
   

  	
   

  
	
  Compounding:

  	
  Inapplicable

  
	
   

  	
   

  
	
  Notice:

  	
  Party B shall, on or before
  1:00 p.m. (New York time) on each Floating Rate Payer Payment Date, provide
  Party A with notice of the then-current Pool Balance of the Class G-1
  Certificates and the Floating Amount payable, if any, together with, if such
  Floating Amount is payable, the certification referred to in the final
  sentence of Section 3.6(a) of
  the Intercreditor Agreement.

  

 

3

 

3.                                       Role
of Party A; Role of Calculation Agent

 

(i)                                     Party
B acknowledges that: (a) in connection with this Transaction and this
Agreement, Party A has acted in the capacity of an arm’s-length contractual
counterparty and not as its financial advisor or fiduciary; and (b) in
exercising its rights or performing any of its duties under this Agreement,
Party A will act as principal and not as a fiduciary of Party B.

 

(ii)                                  Whenever
the Calculation Agent is required to act or exercise judgment in any way, it
will do so in good faith and in a commercially reasonable manner.  The calculations and determinations of the
Calculation Agent shall be made in accordance with terms of this Confirmation
having regard in each case to the criteria stipulated herein.

 

4.                                       Additional
Termination Event/Replacement of Above-Cap Liquidity Provider

 

It will be an Additional Termination Event with respect
to Party A if the relevant credit rating of Citibank, N.A or any assignee
issued by any Rating Agency at any time is lower than the applicable Threshold
Rating (“Credit Downgrade”). 
Party A shall be the sole Affected Party with respect to such Additional
Termination Event.

 

In the event of a Credit Downgrade, Party A may,
within ten days, at its own expense, arrange for one or more Replacement
Above-Cap Liquidity Providers to enter into and deliver to Party B a
Replacement Above-Cap Liquidity Facility for the Above-Cap Liquidity Facility.
If Party A does not arrange for such replacement and if this Above-Cap
Liquidity Facility has not otherwise been replaced by JetBlue Airways
Corporation (at the expense of JetBlue Airways Corporation) in accordance with the
terms of Section 3.6(c)(ii) of the Intercreditor Agreement, such 10th
day (or if such 10th day is not a Business Day, the next succeeding
Business Day) shall be deemed to be an “Early Termination Date” and Party A
shall make a termination payment to Party B in accordance with Part 1(j)
of the Schedule to the Agreement.

 

5.                                       Additional
Definitions

 

“Drawing Event”
shall mean an event on any Distribution Date where Party B, after giving effect
to the subordination provisions of the Intercreditor Agreement and any Election
Interest Payments made by the Policy Provider (but without regard to drawings
under a Primary Liquidity Facility or withdrawals from the Cash Collateral
Account or Above-Cap Account), shall not have sufficient funds for the payment
of accrued interest due and owing on the Class G–1 Certificates other than any
amount of interest due and payable on the Class G–1 Certificates on such
Distribution Date that remains unpaid due to the failure of the Depositary to
pay any amount of accrued interest on the Deposits on such Distribution Date.

 

“Threshold Rating”
shall mean, for purposes of this Agreement, the short-term unsecured debt
rating of P-1 by Moody’s and short-term issuer credit rating of A-1 by Standard
& Poor’s.

 

6.                                       Payments

 

Party A hereby irrevocably instructs Party B to make
any payment due to Party A directly to the account specified below in the name
of Party A. Party B hereby irrevocably instructs Party A to make any payments
of Floating Amounts and any Termination Amount due to Party B directly to the
account(s) specified below in the name of Party B.  All payments by Party A of Floating Amounts
and any Termination Amount due to Party B shall be made prior to 4:00 p.m. (New
York City time) on the date such payment is due without setoff, deduction,
withholding, netting, or any other reduction.

 

4

 

7.                                       Account
Details

 

Payments to Party A:          CITIBANK, N.A., NEW YORK

ABA: 021-000-089

BIC: CITIUS33

A/C #: 00167679

A/C NAME: FINANCIAL FUTURES

 

Payments to Party B:                                 Wilmington Trust Company

ABA#: 031 1000 92

Account#:

Reference: JetBlue 2004-2 G-1

 

8.                                       Offices

 

The Office of Party A for the Transaction is its
office at the address specified for notices to it in the Schedule to the
Agreement.  The Office of Party B for the
Transaction is its office at the address specified for notices to it in the
Schedule to the Agreement.

 

9.                                       Counterparts

 

This Confirmation may be
executed in any number of counterparts and by each party hereto on separate
counterparts, each of which counterparts, when so executed and delivered, shall
be deemed to be an original and all of which counterparts, taken together,
shall constitute but one and the same Confirmation.

 

[Signatures follow
on separate page]

 

5

 

Please confirm that the foregoing correctly sets forth
the terms of our agreement by executing the copy of this Confirmation enclosed
for that purpose and returning it to us.

 

	
   

  	
  Yours sincerely,

  
	
   

  	
   

  
	
   

  	
  CITIBANK,
  N.A.

  
	
   

  	
   

  
	
   

  	
  By:

  	
  /s/ Frank A. Licciardello

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Name:

  	
  Frank A. Licciardello

  	
   

  
	
   

  	
   

  	
   

  	
   

  
	
   

  	
  Title:

  	
  Authorized
  Signatory

  	
   

  
	
   

  	
   

  
	
  Confirmed as of the date first
  written above:

  
	
   

  
	
  WILMINGTON
  TRUST COMPANY

  
	
  in its capacity as
  Subordination Agent on behalf

  
	
  of the Trustee under the Class
  G–1 Trust Agreement

  
	
   

  
	
  By:

  	
  /s/ Kathleen A. Pedelini

  	
   

  
	
   

  	
   

  	
   

  
	
  Name:

  	
  Kathleen A. Pedelini

  	
   

  
	
   

  	
   

  	
   

  
	
  Title

  	
  Financial Services Officer

  	
   

  
						

 

6

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