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Exhibit 10.12    
  

Form of

Information Technology Support Agreement  

between  

 Pinnacle Airlines, Inc.

and

Northwest Airlines, Inc.  

 March 1, 2002  

  

 
 

INFORMATION TECHNOLOGY SUPPORT AGREEMENT    
  

        This Information Technology Support Agreement (the "Agreement") is made effective as of the 1st day of March, 2002 by and between PINNACLE AIRLINES, INC.,
a Georgia corporation ("Pinnacle Airlines" or "Pinnacle"), and NORTHWEST AIRLINES, INC., a Minnesota corporation ("Northwest"). 

        WHEREAS,
Pinnacle Airlines and Northwest have entered into an Airline Services Agreement, dated as of the dated hereof (the "ASA"); and 

        WHEREAS,
in connection with the performance by Pinnacle Airlines of its obligations under the ASA, Northwest has agreed to provide information technology services and support to Pinnacle
Airlines on the terms and conditions set forth in this Agreement; 

        NOW,
THEREFORE, in consideration of the premises and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Northwest and Pinnacle Airlines
do hereby agree as follows: 

 
 

Article 1
  
    Definitions and Business Relationship    
  

Section 1.01 Definitions. 

        "Aircraft"
shall have the meaning ascribed to such term in Section 1.01 of the ASA. 

        "Change
and Problem Management Services" shall mean those services described in Appendix A. 

        "Decision
Support Systems" shall mean the Adhoc Query Facility ("AQF") and Marketing Analysis System ("MAS") applications, and all upgrades and enhancements related thereto, developed by
Northwest. 

        "Dial-In
Access Services" shall mean the services provided by Northwest to Pinnacle Airlines to allow authorized employees of Pinnacle Airlines access to specific Northwest
systems and applications, as more fully defined in Section 2.01(B) herein, required by Pinnacle Airlines to provide to Northwest the Regional Airline Services set forth in the ASA. 

        "Field
Support Services" shall mean the services described in Appendix B. 

        "Jeppesen
Flight Planning System" shall mean the software program described in Appendix C. 

        "Meteorology
Applications" shall mean the software programs described in Appendix D. 

        "Performance
Engineering Products" shall mean the software programs described in Appendix E. 

        "Pinnacle
Change of Control" shall have the meaning ascribed to such term in Section 1.01 of the ASA. 

        "Production
Support Services" shall mean the services described in Appendix F. 

        "Project
Coordination Services" shall mean the services described in Appendix G. 

        "Operations
Management System" shall mean a software program licensed from Selective System, Inc. 

        "Other
Services" shall mean those services described in Appendix H. 

        "Schedules
Mainframe Systems" shall mean the Current Schedules application, and all upgrades and enhancements thereto, developed by Northwest. 

        "Service
Level Agreement" shall mean the Agreement set forth in Appendix I. 

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        "SOC"
shall mean a System Operations Control center. 

        "SOC
Applications" shall mean the software programs described in Appendix J. 

        "SSI
Operations Management System" or "OMS" shall mean the system described in Appendix K. 

        "Worldflight"
shall mean the software programs described in Appendix L. 

Section 1.02 Business Relationship  

        Pinnacle Airlines and Northwest are entering this Agreement to assist Pinnacle Airlines with the information technology requirements needed for Pinnacle Airline's
regional airline operations. This Agreement sets forth terms and conditions pursuant to which Northwest will provide Pinnacle Airlines with the information technology products and services required
for Pinnacle Airlines to perform the Regional Airline Services specified in the ASA. 

 
 

Article 2
  
    Products and Services    
  

Section 2.01 Products and Services. 

        A. Products.    During the term of this Agreement and as required for Pinnacle Airlines to perform the Regional Airline Services
specified in the ASA, Northwest will provide Pinnacle, pursuant to the terms herein, with a license to use Northwest-owned information technology products (the "NWA-Owned Products") and
with Northwest-licensed information technology products (the "NWA-Licensed Products") as set forth below: 

	(1)
	Decision
Support Systems. Northwest will provide Pinnacle with access to Northwest's Decision Support System.

	(2)
	Jeppesen
Flight Planning System. Northwest will make the Jeppesen Flight Planning System available to Pinnacle pursuant to the terms of this Agreement to perform flight planning
functions for the Aircraft in Pinnacle's fleet. Northwest and Pinnacle will work together to identify changes required to the Jeppesen Flight Planning System for purposes of making the system ready
for Pinnacle Airlines acceptance testing and utilization. Northwest will work with Pinnacle Airlines in defining requirements and testing of enhancements if desired.    Pinnacle and
Northwest will use the ASD Dispatch User Interface (DUI) tool to access the Jeppesen Flight Planning System. Such tool is a NWA-Owned Product and is an enhancement to the Jeppesen Flight
Planning System.

	(3)
	Meteorology
Applications. Northwest will make its Meteorology Applications available to Pinnacle pursuant to the terms of this Agreement.

	(4)
	Performance
Engineering Products. Northwest will make its Performance Engineering Products and Services available to Pinnacle at no cost pursuant to the terms of this Agreement.

	(5)
	SSI
Operations Management System. Pursuant to the agreement established between Northwest and Scheduling Systems, Inc., Pinnacle Airlines will be granted read only access to
the SSI Operations Management System product at no charge. In the event Pinnacle desires to use the OMS tool as an update device back to Worldflight, Pinnacle will negotiate a separate license
agreement for the OMS product with SSI.

	(6)
	Schedules
Mainframe Systems. Northwest will provide Pinnacle with access to the Schedules Mainframe Systems, including panels, skels and clist. 

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	(7)
	SOC
Applications. Northwest will make its SOC applications available to Pinnacle pursuant to the terms of this Agreement.

	(8)
	Worldflight.
Northwest will make its Worldflight product available to Pinnacle pursuant to the terms of this Agreement, and Northwest will make Worldflight ready to accept and execute
a regional airline operation for the purposes of dispatching a flight for Pinnacle; provided, however, that no functional enhancements will be made to Worldflight initially. It is understood and
agreed that Pinnacle will change policies and procedures internally to accommodate the functionality of Worldflight. Appropriate transactions will be given to Pinnacle to ensure compliance as a
Part 121 (14 C.F.R. 121) operator. 

        B. Services.    During the term of this Agreement and as required for Pinnacle Airlines to perform the Regional Airline Services
specified in the ASA, Northwest will provide Pinnacle Airlines, pursuant to the terms herein, with the following services (the "Services"): 

	(1)
	Change
and Problem Management Services. Subject to resource availability and project prioritization, Northwest will provide to Pinnacle Airlines at no cost Change and Problem
Management Services as described in Appendix A attached hereto.

	(2)
	Dial-In
Access Services. Northwest will provide Pinnacle Airlines with Dial-In Access Services at no cost to allow Pinnacle Airlines' employees to access those
information technology systems required for Pinnacle Airlines' operations. Such information technology systems will consist of those systems provided to Pinnacle on or before March 1, 2002
including but not limited to PARS, Airport of Preference (AOP) and OfficeVision (OV).

	(3)
	Field
Support Services. Northwest will provide to Pinnacle Airlines the Field Support Services as described in Appendix B.

	(4)
	GLOBALink/VHF
Aeronautical Data Communications Service. Northwest will provide Pinnacle Airlines with aeronautical air/ground VHF data link communications for the Aircraft at no cost
via ARINC or ARINC affiliated GLOBALink/VHF ground stations at those locations at which Pinnacle Airlines will perform Regional Airline Services for Northwest; provided, however, that Pinnacle shall
be responsible for messaging charges arising from use of such links.

	(5)
	Network
Technology Services. Subject to resource availability and projection prioritization, Northwest will provide Pinnacle Airlines with network technology services at no cost,
which will include troubleshooting, network planning, configuration, project management, implementation assistance, vendor management and subject matter consulting services. Northwest will be
responsible for the acquisition and installation of any data circuits connected to the Northwest network. Pinnacle Airlines will remain responsible for the acquisition and installation of any dial
back-up services such as ISDN.

	(6)
	Production
Support Services. Northwest will provide to Pinnacle Airlines at no cost Production Support Services as described in Appendix F attached hereto.

	(7)
	Project
Coordination Services. Northwest will provide to Pinnacle Airlines the Project Coordination Services as described in Appendix G attached hereto.

	(8)
	Other
Services. In connection with the Regional Airline Services, during the term of this Agreement Northwest will provide Pinnacle Airlines with the other information technology
services (not otherwise specified herein) which Northwest provided Pinnacle on or before March 1, 2002. Such services may be more fully described from time-to-time in
Appendix H attached hereto. 

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Section 2.02 License Grant  

A. NWA-Owned Product.  

	(1)
	Upon
execution of this Agreement, and unless otherwise stated in any Appendix attached hereto, Northwest grants to Pinnacle Airlines, at no cost, a non-exclusive,
non-transferable, limited, royalty free license to use the NWA-Owned Products, and any available documentation thereto, in accordance with the terms and conditions of this
Agreement. The License granted is subject to the restrictions set forth in Section 2.02(A)(2) herein.

	(2)
	The
license grant set forth in Section 2.02(A)(1) grants the right for (a) Pinnacle Airlines to use the NWA-Owned Products for the purpose of providing
Regional Airline Services for Northwest under the terms of the ASA and (b) any service supplier of Pinnacle Airlines to use the NWA-Owned Products for the purpose of the provision
of Regional Airline Services by Pinnacle Airlines for Northwest under the terms of the ASA, provided that such service supplier may not, in any way, use the NWA-Owned Products for its own
benefit or the benefit of any other third parties without obtaining its own license for the NWA-Owned Products. 

B. NWA-Licensed Product.  

	(1)
	Contractually
Authorized Use. In the event that Northwest's license agreements with suppliers of the NWA-Licensed Products permit Pinnacle Airlines to use the
NWA-Licensed Product, Pinnacle Airlines shall continue to receive the benefit of using such NWA-Licensed Product and any available documentation thereto as set forth in such
license agreements and subject to the terms and conditions set forth therein. At Pinnacle Airlines' written request, Northwest shall use all reasonable efforts to provide Pinnacle Airlines with copies
of such license agreements.

	(2)
	No
Contractually Authorized Use. In the event the terms of Northwest's license agreements for any of the NWA-Licensed Products do not provide for Pinnacle Airlines to use
the NWA-Licensed Product after Pinnacle is no longer a subsidiary of NWA Inc., Northwest shall (a) obtain a license for Pinnacle Airlines to use the NWA-Licensed
Product under Northwest's existing terms and conditions with the supplier during the term of this Agreement, or (b) obtain on behalf of Pinnacle Airlines under a separate license agreement a
non-exclusive, non-transferable, limited license to use the NWA-Licensed Product during the term of this Agreement. Any and all license costs associated with the
license of such NWA-Licensed Products by Pinnacle Airlines shall be borne by Northwest.

	(3)
	The
license grant set forth in Sections 2.02(B)(1) and 2.02(B)(2) shall be subject to the terms and conditions set forth in the respective licensing agreements for such
NWA-Licensed Products. Under the terms of any license agreement, Pinnacle Airlines' use of the NWA-Licensed Products shall be limited to the provision of Regional Airline
Services to Northwest under the ASA. Northwest shall use its reasonable best efforts to ensure that the terms and conditions contained in the license agreements are not any more restrictive than those
negotiated by Northwest in its license agreements for the NWA-Licensed Products. 

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        C. Other Restrictions.    Pinnacle will protect the NWA-Owned Products and Northwest's proprietary rights therein in
accordance with Section 2.04. Pinnacle will not (i) reverse engineer, decompile, or disassemble the NWA-Owned Products, (ii) assign, transfer, lease, rent, sublicense
or export the NWA-Owned Products, except as otherwise expressly provided in this Agreement, or (iii) use the NWA-Owned Products for any purpose other than as expressly
permitted by this Agreement. Within ten (10) days after the termination of this Agreement, Pinnacle shall return all copies of any NWA-Owned Products and any documentation and
related materials, hardcopy and electronic, to Northwest or, at Northwest's request, destroy the same. 

Section 2.03 Product Enhancements. 

        A. Enhancements to NWA-Owned Product.    Northwest may develop enhancements to the NWA-Owned Products
from time to time. Northwest, in its sole reasonable discretion, may require Pinnacle Airlines to implement and install such enhancements in order to ensure system compatibility. In the event any
NWA-Owned Product enhancements selected for use by Pinnacle Airlines require additional hardware, communication upgrades or licenses, any related costs are the responsibility of Pinnacle
Airlines. 

        Enhancements
or modifications to the NWA-Owned Products that are necessary for both Northwest and Pinnacle Airlines to comply with governmental regulations, airworthiness
directives, service bulletins or manufacturers requirements or changes will be made available to Pinnacle Airlines at no charge. 

        Pinnacle
may request Northwest to provide enhancements to the NWA-Owned Products. Northwest will evaluate any such requests to determine the cost of developing the
enhancements and to ensure compatibility with Northwest's other system requirements and software programs. If such NWA-Owned Product enhancement is for the sole benefit of Pinnacle, and
provided that such enhancement is compatible with Northwest's other system requirements and software programs, Northwest will provide Pinnacle Airlines with estimates of the costs and benefits of
developing and utilizing the enhancement. If Pinnacle Airlines then elects to proceed with development of the enhancement, the parties will negotiate in good faith regarding the terms on which
Northwest will develop such enhancement and provide it to Pinnacle Airlines. 

        B. Enhancements to NWA-Licensed Product.    Suppliers of the NWA-Licensed Product may develop
enhancements to the NWA-Licensed Products from time to time. Northwest, in its sole reasonable discretion, may require Pinnacle Airlines to implement and install such enhancements in order
to ensure system compatibility. If Northwest requires Pinnacle Airlines to implement such enhancement, the enhanced NWA-Licensed Products will be made available to Pinnacle Airlines at no
charge. In the event any NWA-Licensed Product enhancements require additional hardware, communication upgrades or licenses, any related costs are the responsibility of Pinnacle Airlines. 

        Northwest
shall bear the costs related to the use and/or license of any enhancements or modifications to the NWA-Licensed Products that are necessary for both Northwest and
Pinnacle Airlines to comply with governmental regulations, airworthiness directives, service bulletins or manufacturers requirements or changes. 

        To
maintain the compatibility of Northwest's and Pinnacle Airlines' systems and software programs, Pinnacle Airlines shall not request the suppliers of the NWA-Licensed
Products to provide enhancements to the NWA-Licensed Products. 

        C. Modifications to or Replacement of NWA-Owned and NWA-Licensed Products.    The Parties acknowledge
and agree that Northwest may, in its sole discretion, elect to modify and/or replace any NWA-Owned and/or NWA-Licensed Products. Should Northwest elect to modify and/or replace
any NWA-Owned and/or NWA-Licensed Products that are required for Pinnacle Airlines' performance of 

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the Regional Airline Services, Northwest shall modify and/or replace such NWA-Owned and/or NWA-Licensed Products on behalf of Pinnacle Airlines. In the event of such a
modification or replacement of such products, Pinnacle Airlines shall remain responsible for any costs set forth in this Agreement for which it is contractually responsible (i.e., infrastructure costs
related to Field Support Services). Northwest shall be responsible for any additional costs related to such modification or replacement. 

Section 2.04 Manuals and Operations Information. 

        A. Manuals.    During the term of this Agreement, Pinnacle Airlines will provide Northwest with the following manuals, and all
revisions thereto, provided that Pinnacle is operating the applicable Aircraft for Northwest under the ASA: (1) Canadian Regional Jet ("CRJ") Aircraft Flight Manual, (2) CRJ and Saab340
Manufacturers Weight and Balance Control Manuals, (3) Pinnacle Airlines customized Jeppesen manuals, (4) CRJ Dispatch Deviation Guide and Saab340 Master Equipment List Manual,
(5) Saab340 Aircraft Operating Manual (AOM), (6) CRJ Flight Planning and Cruise Control Manual, (7) Pinnacle Airlines Flight Operations Manual including Operation Specifications,
and (8) Pinnacle Weight and Balance Manual including Operation Specifications defining aircraft weighing program and passenger/bag weights. 

        B. Operations Information.    Upon request, Pinnacle Airlines will provide Northwest with the following information regarding
its operations: 

	(1)
	Aircraft
manufacturer's performance data required for the Jeppessen Flight Planning System as defined in Appendix C.

	(2)
	Daily
field condition reports to support the airport surveillance services.

	(3)
	Aircraft
weighing reports in order to maintain aircraft weights in Worldflight. 

Section 2.05 Ownership of NWA-Owned Product.  

        Title
and full ownership of the NWA-Owned Products, and any upgrades and enhancements thereto, whether patentable or otherwise, shall vest in Northwest. Pinnacle shall not
assert or establish a claim for any statutory or common law patent or copyright or any other possessory or proprietary right in the NWA-Owned Products. 

        Pinnacle
shall fully cooperate with Northwest enforcing any patents, copyrights, or other possessory or proprietary rights, provided that in the event any assistance by Pinnacle is
requested and rendered pursuant to this Section 2.04, Northwest shall reimburse Pinnacle for out-of-pocket expenses incurred by
Pinnacle in rendering such assistance. 

Section 2.06 Product Warranties  

        A. NWA-Owned Products.    EXCEPT AS EXPRESSLY STATED IN THIS AGREEMENT, THERE ARE NO WARRANTIES, EXPRESS OR IMPLIED,
BY OPERATION OF LAW OR OTHERWISE WITH RESPECT TO THE NWA-OWNED PRODUCTS. NORTHWEST DISCLAIMS THE IMPLIED WARRANTIES OF MERCHANTABILITY, NON-INFRINGEMENT, AND FITNESS FOR A
PARTICULAR PURPOSE, FOR ALL NWA-OWNED PRODUCTS. NORTHWEST'S WARRANTIES EXTEND SOLELY TO PINNACLE AIRLINES. 

        B. NWA-Licensed Products.    ANY AND ALL WARRANTIES RELATED TO THE NWA-LICENSED PRODUCTS SHALL BE AS SET
FORTH IN THE APPLICABLE LICENSE AGREEMENT WITH THE LICENSORS OF SUCH PRODUCTS. NORTHWEST HEREBY REPRESENTS AND WARRANTS TO PINNACLE AIRLINES THAT ANY WARRANTY ASSOCIATED WITH THE
NWA-LICENSED PRODUCTS SHALL BE AVAILABLE TO 

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PINNACLE AIRLINES TO THE EXTENT PERMITTED BY LAW AND THE TERMS OF THE AGREEMENT WITH THE RESPECTIVE LICENSORS. 

        C.    EXCEPT FOR THE WARRANTIES SPECIFICALLY PROVIDED FOR IN THIS AGREEMENT, OR WITH RESPECT TO THE NWA-LICENSED
PRODUCTS IN THE AGREEMENTS WITH THE LICENSORS, THERE ARE NO OTHER WARRANTIES OR CONDITIONS, EXPRESS OR IMPLIED, STATUTORY OR OTHERWISE, INCLUDING BUT WITHOUT LIMITING THE GENERALITY OF THE FOREGOING,
CONDITIONS OR WARRANTIES AS TO DESCRIPTION, QUALITY, MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE, WHICH ARE APPLICABLE TO THE SERVICES PERFORMED BY NORTHWEST FOR PINNACLE, THE
NWA-OWNED PRODUCTS OR THE NWA-LICENSED PRODUCTS. 

Section 2.07 Limitation of Liability  

        A.    EXCEPT AS OTHERWISE STATED ELSEWHERE IN THIS AGREEMENT, NORTHWEST SOLE LIABILITY TO PINNACLE AIRLINES FOR A BREACH OF THIS
AGREEMENT SHALL BE TO REPLACE OR REPAIR THE PRODUCTS TO WHICH THE BREACH RELATES, A DECISION TO BE MADE IN NORTHWEST'S SOLE REASONABLE DISCRETION, OR RE-PERFORM THE SERVICES AT ISSUE. THE
FOREGOING SHALL CONSTITUTE NORTHWEST'S SOLE AND EXCLUSIVE OBLIGATIONS, AND PINNACLE AIRLINES' SOLE AND EXCLUSIVE REMEDIES, FOR ANY BREACH OF THIS AGREEMENT. 

        B.    IN NO EVENT WILL NORTHWEST BE LIABLE FOR (A) ANY INCIDENTAL, INDIRECT, SPECIAL, CONSEQUENTIAL OR PUNITIVE DAMAGES,
INCLUDING, BUT NOT LIMITED TO, LOSS OF USE, LOSS OF DATA, REVENUES, PROFITS OR SAVINGS, EVEN IF NORTHWEST KNEW OR SHOULD HAVE KNOWN OF THE POSSIBILITY OF SUCH DAMAGES, OR (B) CLAIMS, DEMANDS OR
ACTIONS AGAINST PINNACLE AIRLINES BY ANY PERSON. 

 
 

Article 3
  
    Term and Termination    
  

Section 3.01 Term.  

        This Agreement shall commence on and shall be effective as of March 1, 2002 (the "Effective Date") and, unless earlier terminated as provided herein, shall
continue in effect until February 29, 2012 and shall thereafter automatically be extended for successive five (5) year renewal periods (each a "Renewal Term") unless (i) Northwest
gives not less than two years' advance notice of non-renewal prior to February 29, 2012 or the commencement of any Renewal Term, in which case the Agreement will terminate on
February 29, 2012 or the last day of the then applicable Renewal Term, as the case may be. 

Section 3.02 Termination by Either Party upon an Event of Default.  

        A.    In the event of a breach of a nonmonetary provision of this Agreement by either party remaining uncured for more than
thirty (30) days after receipt of written notification of such default by the nondefaulting party, or in the case of a breach requiring more than thirty (30) days notice to cure, the
defaulting party does not begin and pursue with due diligence a method of cure within thirty (30) days after receipt of written notification specifying in reasonable detail the nature of such
default from the nondefaulting party, then the nondefaulting party may terminate this Agreement at its sole option. 

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        B.    In the event of a breach of a monetary provision of this Agreement by either party and such default remaining uncured for
more than thirty (30) days after receipt of written notification specifying in reasonable detail the nature of such default from the nondefaulting party, then the nondefaulting party may
terminate this Agreement at its sole option. 

Section 3.03 Termination by Northwest. 

        Notwithstanding
the provisions of Section 3.01 or 4.11, Northwest shall have the right to terminate this Agreement, without liability to Pinnacle, immediately and at its sole
option if: 

        A. a Pinnacle Change of Control shall occur; or 

        B.    the ASA is terminated. 

 
 

Article 4
  
    Miscellaneous    
  

Section 4.01 Limitation on Performance.  

        The obligation of either Northwest or Pinnacle Airlines to perform under the terms of this Agreement shall be limited or modified by, and neither carrier shall be
deemed to be in default hereunder as a result of any of the following causes: 

        A.    Acts of God or the public enemy, civil war, insurrections or riots; fires, floods, explosions, embargoes, earthquakes or
serious accidents, epidemics, or quarantine restrictions; any act of government, governmental priorities, allocations, orders or Governmental Regulations affecting materials or facilities, inability
after due and timely diligence to procure materials, accessories, equipment or parts; or due to any other cause to the extent it is beyond that carrier's practical control or not occasioned by that
carrier's fault or negligence. 

        B.    Cessation, slow-down or interruption of work, or any other labor disturbance involving Northwest. 

Section 4.02 Mutual Cooperation.  

        Northwest and Pinnacle Airlines shall use their reasonable best efforts to cooperate with each other in performing their respective obligations under this
Agreement. 

Section 4.03 Representations and Warranties.  

        Except as expressly set forth herein, neither Northwest nor Pinnacle Airlines shall make any representations or warranties, expressed or implied, under or in
connection with this Agreement. 

Section 4.04 Assignment.  

        This Agreement may not be assigned by any party without the prior written consent of the other parties. 

Section 4.05 Governing Law.  

        This Agreement shall be governed in accordance with the laws of the State of Minnesota, notwithstanding the choice of law provisions thereof. 

        Section 4.06 Notices. All notices given hereunder shall be given in writing and shall be delivered in person or deposited in the
United States mail, certified or registered mail, return receipt requested, 

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with adequate postage prepaid, or given by express courier, telex, facsimile, or other expedient written means, addressed as follows: 

	If to Northwest:	 	Northwest Airlines, Inc.

Department A6100

2700 Lone Oak Parkway

Eagan, Minnesota 55121

Attn: Vice President—Market Planning

Facsimile No: (612) 727-7113
	

With copies to:	
 	

Northwest Airlines, Inc.

Department A1180

2700 Lone Oak Parkway

Eagan, Minnesota 55121

Attn: General Counsel

Facsimile No: (612) 726-7123
	

 	
 	

Northwest Airlines, Inc.

Department A6030

2700 Lone Oak Parkway

Eagan, MN 55121

Attn: Director of Airlink Planning

Facsimile No: (612) 727-7110
	

 	
 	

Northwest Airlines, Inc.

Department J3500

1500 Towerview Road

Eagan, MN 55121-1346

Attn: Vice President—IS Facsimile No: (612) 726-7072
	

If to Pinnacle Airlines:	
 	

Pinnacle Airlines, Inc.

1689 Nonconnah Parkway

Suite 111

Attn: Vice President and Chief Financial Officer

Facsimile No: (901) 348-4103

or
to such other address as the respective parties hereto shall designate by notice in writing to the other party. Notices shall be deemed received and given on the date of delivery or the date of
refusal of delivery as shown by the return receipt. 

Section 4.07 Parties.  

        Except as provided to the contrary herein, this Agreement, and the rights and obligations created hereunder, shall be binding upon and inure to the benefit of the
respective parties hereto and their respective successors and permitted assigns. 

Section 4.08 Counterparts.  

        This Agreement may be executed in two or more counterparts, each of which shall be deemed an original but all of which shall constitute one agreement. 

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   Section 4.09 Severability.  

        If any term of this Agreement shall be judicially determined to be illegal, invalid or unenforceable at law or in equity, it shall be deemed to be void and of no
force and effect to the extent necessary to bring such term within the provisions of any such applicable law or laws, and such terms as so modified and the balance of the terms of this Agreement shall
remain enforceable. 

Section 4.10 Captions, Section Headings and Table of Contents.  

        Captions, Section Headings and the Table of Contents used herein are for convenience only and are not a part of this Agreement and shall not be used in construing
it. 

Section 4.11 Availability of Equitable Remedies; Procedures.  

        A.    In the event of a breach by either party of any provision of this Agreement, the nonbreaching party may give notice
thereof to the breaching party, which notice shall specify in reasonable detail the nature of the breach and shall demand that the breaching party either cure the breach or refrain from conduct
constituting the breach (herein the "conduct"), as may be applicable. If (i) the breaching party has not cured the breach or refrained from the conduct, as may be applicable, within ten
(10) days following receipt of the notice from the nonbreaching party, or (ii) the breaching party does not begin within ten (10) days following receipt of the notice to pursue
with reasonable diligence a method of cure or begin to take steps toward ceasing the conduct where the breach or conduct is such that it requires more than ten (10) days to cure or to cease, as
may be applicable, then the nonbreaching party may seek to compel performance by the breaching party in accordance with the provisions of paragraph (b) below. If, upon receiving a notice
contemplated by this paragraph (a), a breaching party believes that a breach has not occurred or that the conduct specified in the notice does not constitute a breach of the provisions of this
Agreement, but the breaching party nonetheless cures the alleged breach or refrains from the conduct within ten (10) days following receipt of such notice, such party may thereafter proceed in
accordance with the provisions of paragraph (b) below to seek a determination of whether a breach occurred or whether the specified conduct constituted a breach of the provisions of this
Agreement. 

        B.    Because a breach of the provisions of this Agreement could not adequately be compensated by money damages, any party shall
be entitled, following notification in accordance with the provisions of paragraph (a) above, to an injunction restraining such breach or threatened breach and to specific performance of any
provision of this Agreement and, in either case, no bond or other security shall be required in connection therewith, and the parties hereby consent to the issuance of such injunction and to the
ordering of specific performance. Further, in the event any party refrains from the conduct of any activity alleged in a notice received pursuant to paragraph (a) above to constitute a breach
of the provisions of this Agreement, such party may thereafter proceed promptly to bring an action in the District Court, County of Hennepin, State of Minnesota, for an expedited judicial
determination as to whether the conduct specified constitutes a breach of the provisions of this Agreement and, upon a determination that the conduct does not constitute a breach, such party may
promptly thereafter recommence such conduct. 

Section 4.12 Appendices.  

        The Appendices attached hereto are intended to be an integral part of this Agreement and are incorporated into the Agreement by reference for all purposes. In the
event of any inconsistency between the Appendices to the Agreement and the main body of the Agreement, the terms, conditions and provisions of the main body of the Agreement shall prevail. 

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Section 4.13 Integration and Entire Agreement.  

        This Agreement (including the Appendices) and the ancillary documents entered into in connection therewith are intended by the parties as a complete statement of
the entire agreement and understanding of the parties with respect to the subject matter hereof and all matters between the parties related to the subject matter herein and therein set forth. This
Agreement may only be amended or modified by a written agreement between Pinnacle Airlines, on the one hand, and Northwest, on the other, which specifically references this Agreement and expressly
provides for such amendment. 

Section 4.14 Relationship of Parties.  

        Nothing in this Agreement shall be interpreted or construed as establishing between the parties a partnership, joint venture or other similar arrangement. 

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

	PINNACLE AIRLINES, INC.	 	NORTHWEST AIRLINES, INC.
	

By:	
 	

By:            	
 	

 	
 	

 
	 	 	
	 	 	 	

	 	 	Name:	 	 	 	Name:
	 	 	 	 	 	 	 
	 	 	
	 	 	 	

	 	 	Title:	 	 	 	Title:

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Appendix A
  
    Change and Problem Management Services    
  

        Subject to resource availability and project prioritization, Northwest will provide to Pinnacle Airlines those Change and Problem Management Services that
Northwest provided to Pinnacle Airlines on or before March 1, 2002. 

Pricing:  

        Northwest will provide the Change and Problem Management Services to Pinnacle Airlines during the term of the Agreement at no cost. 

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Appendix B
  
    Field Support Services    
  

        Subject to resource availability and project prioritization, Northwest shall provide Field Support Services to Pinnacle Airlines via NWA INSTALL. Such project
coordination activities shall include all Hardware coordination, cost estimating, and circuit install of Hardware on the Northwest network. In addition, Northwest shall manage all
adds/moves/changes/installs of the Hardware, and provide break/fix support on the Hardware. These Field Support Services will be provided by Northwest to Pinnacle Airlines on a 24x7 basis. For
purposes of the performance of these Field Support Services, "Hardware" shall mean all personal computers, printers, terminals and scanners installed on Northwest's network. 

Pricing:  

        Northwest will provide the Field Support Services to Pinnacle Airlines during the term of the Agreement at no cost. Except as provided in Section 4.04 of
the ASA, Pinnacle Airlines is responsible for coordinating and funding all facility work needed, airport approvals, telecommunications (phones) and radio communications, if needed, to complete the
project. 

15

 
 
 

Appendix C
  
    NWA / Jeppesen Flight Planning    
  

        NWA / Jeppesen will provide Pinnacle Airlines the following flight planning services: 

        Subject
to Section 2.01(A)(2) of the Agreement and to the extent applicable to the Regional Airline Services provided to Northwest by Pinnacle Airlines, Pinnacle will receive the
flight planning services specified in the License Agreement between Northwest and Jeppesen Sanderson, Inc., dated July 17, 1997, as amended from time to time (the "Jeppesen Agreement"). 

Pricing:  

        N/A 

Application/Product Specific SLA:  

        (See Appendix C1A and the Jeppesen Agreement) 

16

  

 
 

Appendix C1A
  
    Jeppesen Flight Planning Products / Services    
  

Service Measure  

        Pinnacle Airlines Access to the following Flight Planning Products; Jeppesen Flight Planning System. 

Agreed Upon Standard  

        99.7% Delivered, 365 days a year. Not to exceed 3 hrs/month or two outages per month. 

Qualifiers  

	•
	If
Pinnacle SOC loses any of the functionality listed in the Service Measure Column, the Pinnacle customer is responsible for contacting the Pinnacle
Airlines SOC Local Help Desk or Technical Representative at (901) 348-4280 to evaluate and determine the cause of the problem. If unable to resolve the reported problem, the
Pinnacle SOC Help Desk Representative will report the problem, with detailed information, to the Jeppesen 24 X 7 help desk at 1 (800) 375-4973. 

Service Outages  

        Unscheduled outages 

        99.7%
delivered, 365 days a year. Not to exceed 3 hrs/month or two outages per month. 

        The
Pinnacle Airlines SOC Help Desk Representative would contact Jeppesen as soon as possible after discovering the Jeppesen application outage. The Jeppesen representative would
investigate the problem and respond to Pinnacle Airlines as soon as possible with detailed info including an estimated time of Restoral. 

        If
a Jeppesen representative discovers the problem, the discoverer of the problem will notify the Pinnacle SOC Help Desk Representative by phone at (901) 348-4280 as
soon as possible after discovering problem. 

        Planned
outages 

        Jeppesen
will notify Pinnacle Airlines SOC and NWA SOC Representatives of duration—will attempt to schedule per customer preferred times. 

        Notification
will be sent via E-mail to kcollins@nwairlink.com, dwhite@nwairlink.com,
jyoung@nwairlink.com and jpresnell@nwairlink.com. 

17

 
 
 

Appendix D
  
    NWA Meteorology Products and Services    
  

Introduction:  

        NWA Meteorology Dept. will provide Pinnacle Airlines the following services: 

        Turbulance
Plots (TP) Messages as is—no enhancements to our current product for Pinnacle Operations, TP System Training for Dispatch, TP System Training for Pilots, Terminal
Forecasts for the stations which Pinnacle and NWA agreed upon, issued 3 times per day, En Route Icing Forecasts (2 times per day). 

Pricing:  

        N/A 

Application/Product Specific SLA:  

Service Measure  

        Pinnacle Airlines Access to the following Meteorology Products; 

        Turbulance
Plots (TP) Messages as is—no enhancements to our current product for Pinnacle Operations, TP System Training for Dispatch, TP System Training for Pilots, Terminal
Forecasts for six stations which Pinnacle specifies, issued 3 times per day, En Route Icing Forecasts (2 times per day). 

Agreed Upon Standard  

99.7%
Delivered, 365 days a year. Not to exceed 3 hrs/month or two outages per month. 

Qualifiers  

        If Pinnacle SOC loses any of the functionality listed in the Service Measure Column, the Pinnacle customer is responsible for contacting the Pinnacle Airlines SOC
Local Help Desk or Technical Representative at (901) 348-4280 to evaluate and determine the cause of the problem. If unable to resolve the reported problem, the Pinnacle SOC Help
Desk Representative will report the problem, with detailed information, to the NWA Meteorology Representative at (612) 727-8605, the Affiliated Airlines Desk. The Meteorology
employee on duty will work with the Pinnacle Help Desk to resolve the problem. 

Service Outages  

Unscheduled
outages 

99.7%
delivered, 365 days a year. Not to exceed 3 hrs/month or two outages per month. 

The
Pinnacle Airlines SOC Help Desk Representative would contact the NWA Meteorology Representative as soon as possible after discovering an application outage. The NWA Meteorology Representative
would investigate the problem and respond to Pinnacle Airlines as soon as possible with detailed info including an estimated time of restoral. 

If
the NWA Meteorologist discovers the problem, the discoverer of the problem will notify the Pinnacle SOC Help Desk Representative by phone at (901) 348-4280 as soon as possible
after discovering problem. 

Planned
outages 

18

 

NWA
SOC (NWA Meteorology or NWA SOC Lan Administrator) will notify Pinnacle Airlines SOC Representative of duration—will attempt to schedule per customer preferred times. Notification will
be sent via E-mail to kcollins@nwairlink.com, dwhite@nwairlink.com, jyoung@nwairlink.com and
jpresnell@nwairlink.com. 

19

  

 
 

Appendix E
  
    NWA Performance Engineering (PE) Products and Services    
  

Introduction:  

        NWA will provide Pinnacle Airlines the engineering support to develop and maintain the databases in the proposed automation system and to support the daily
operations of Aircraft which provide Regional Airline Services to Northwest under the ASA. This will include the following: 

	(1)
	Flight
planning support—PE will be responsible to load and maintain the CRJ and Saab 340 required data into the Jeppesen flight planning system. This will include aircraft
data, such as certificated weights, and performance data for climb, cruise, descent, holding, driftdown, and reserve fuel calculations.

	(2)
	Aircraft
Performance Monitoring (APM)—PE will monitor the CRJ actual fuel mileage performance with the APM Program and adjust performance data in the flight planning
system to reflect current aircraft performance levels.

	(3)
	MGL
Support—PE will provide takeoff and landing performance calculations for Pinnacle Airlines regular and alternate airports. PE will be responsible for loading the
manufacturer takeoff and landing programs and then modifying them to meet Pinnacle Airlines' requirements. Further, performance data will be provided to Pinnacle via the Worldflight MGL system and a
master weight manual in Pinnacle Airlines Dispatch office. Performance information will also be provided to calculate reduced thrust takeoffs.

	(4)
	Airport
surveillance—This service consists of airport data monitoring designed to alert customers to any changes in airport characteristics, affecting the results of data
in the MGL system. This service will include, to the extent made available to Northwest, surveillance of any temporary changes (such as
airport construction or temporary obstacles) at an airport and the monitoring of all permanent changes to airport characteristics. Daily monitoring of airport changes will be made by PE during weekday
business hours. Temporary changes during non-business hours, weekends, or holidays will be handled as noted in section 7. Temporary airport conditions as mentioned above, will
invalidate currently published MGL data.

	(5)
	Weight
and balance support—PE will be responsible for loading and maintaining the weight and balance data in the Worldflight program. Further, as aircraft weights are
updated, PE will update the weight and balance programs. Also, PE will be responsible for any weight and balance changes due to regulatory and aircraft configuration changes.

	(6)
	Operational
support—PE will provide and maintain general performance data for cockpit usage, training, and MEL impacts to performance. Further, PE will provide performance
support for any abnormal operation or charter operation.

	(7)
	Service
hours—PE can be contacted via a pager at 612-640-9043. If contacted during off hours (1600-0730, weekends, holidays), PE
requires two (2) hours from time of contact until data can be provided; longer time may be required in inclement weather. 

Application/Product Specific SLA and Data Requirements:  

        (See Appendix E1A and E1B) 

20

 
 
 

Appendix E1A
  
    Northwest Performance Engineering Products / Services    
  

Service Measure  

        Pinnacle Airlines Access to the following Performance Engineering Products and/or Services: 

Flight
Planning Support 

Aircraft
Performance Monitoring 

MGL
Support 

Airport
Surveillance 

Weight
and Balance Support 

Operational
Support 

Agreed Upon Standard  

        99.7% Delivered, 365 days a year. Not to exceed 3 hrs/month or two outages per month. 

Qualifiers  

        If Pinnacle SOC loses any of the functionality listed in the Service Measure Column, the Pinnacle customer is responsible for contacting the Pinnacle Airlines SOC
Local Help Desk or Technical Representative at (901) 348-4280 to evaluate and determine the cause of the problem. If unable to resolve the reported problem, the Pinnacle SOC Help
Desk Representative will report the problem, with detailed information, to the NWA Performance Engineering Representative on duty at (612) 640-9043. The NWA P/E representative will
work with the Pinnacle Help Desk to resolve the problem. 

Service Outages  

Unscheduled
outages 

99.7%
delivered, 365 days a year. Not to exceed 3 hrs/month or two outages per month. 

The
Pinnacle Airlines SOC Help Desk Representative would contact the NWA Worldflight Help Desk at 1 800 243-5769 as soon as possible after discovering an application outage. The Help Desk
Representative would investigate the problem and respond to Pinnacle Airlines as soon as possible with detailed info including an estimated time of Restoral or what action items are being taken to
resolve the problem. 

Planned
outages 

A
NWA Worldflight Help Desk Representative will notify Pinnacle Airlines SOC Representative of duration—will attempt to schedule per customer preferred times. Notification will be sent via
E-mail to kcollins@nwairlink.com, dwhite@nwairlink.com, jyoung@nwairlink.com and
jpresnell@nwairlink.com. 

21

  

 
 

Appendix E1B
  NWA Performance Engineering Data Requirements
  Pinnacle Airlines I    
  

Flight Planning

—Climb (Saab)  

	Data
	 	Description

(see legend)
	 	Aircraft

Available In

Manuals

	Engine Out	 	T,D,F,GW,ISA,H	 	NO

—Climb (CRJ)  

	Data
	 	Description

(see legend)
	 	Aircraft

Available In

Manuals

	Engine Out	 	T,D,F,GW,ISA,H	 	NO
	Gear Down	 	T,D,F,GW,ISA,H	 	YES(FPCCM)
	Long Range(250/M70)	 	T,D,F,GW,ISA,H	 	YES(FPCCM)
	Normal(290/M74)	 	T,D,F,GW,ISA,H	 	YES(FPCCM)
	High Speed(320/M77)	 	T,D,F,GW,ISA,H	 	YES(FPCCM)

—Cruise (CRJ)  

	Data
	 	Description

(see legend)
	 	Aircraft

Available In

Manuals

	Gear Down(250kts)	 	GW,FF,TAS,H,ISA	 	YES(FPCCM)
	275 KIAS	 	GW,FF,TAS,H,ISA	 	YES(FPCCM)
	300 KIAS	 	GW,FF,TAS,H,ISA	 	YES(FPCCM)
	M70	 	GW,FF,TAS,H,ISA	 	YES(FPCCM)
	M71	 	GW,FF,TAS,H,ISA	 	NO
	M72	 	GW,FF,TAS,H,ISA	 	NO
	M73	 	GW,FF,TAS,H,ISA	 	NO
	Normal (M74)	 	GW,FF,TAS,H,ISA	 	YES(FPCCM)
	M75	 	GW,FF,TAS,H,ISA	 	NO
	M76	 	GW,FF,TAS,H,ISA	 	NO
	Normal (M77)	 	GW,FF,TAS,H,ISA	 	YES(FPCCM)
	M78	 	GW,FF,TAS,H,ISA	 	NO
	M79	 	GW,FF,TAS,H,ISA	 	NO
	M80	 	GW,FF,TAS,H,ISA	 	YES(FPCCM)
	LRC	 	GW,FF,TAS,H,ISA	 	YES(FPCCM)
	Engine Out	 	GW,FF,TAS,H,ISA	 	YES(FPCCM)

-Descent (Saab)  

	Data
	 	Description

(see legend)
	 	Aircraft

Available In

Manuals

	230KIAS(preferred)	 	T,D,F,GW,ISA,H	 	NO

22

 

—Descent (CRJ)  

	Data
	 	Description

(see legend)
	 	Aircraft

Available In

Manuals

	Long Range(250/M70)	 	T,D,F,GW,ISA,H	 	YES(FPCCM)
	Normal(290/250/M74)	 	T,D,F,GW,ISA,H	 	YES(FPCCM)
	High Speed(320/250/M77)	 	T,D,F,GW,ISA,H	 	YES(FPCCM)
	Gear Down(250)	 	T,D,F,GW,ISA,H	 	YES(FPCCM)

—Holding (Saab)  

	Data
	 	Description

(see legend)
	 	Aircraft

Available In

Manuals

	Engine Out	 	ISA,GW,FF,H	 	NO
	Gear Down	 	ISA,GW,FF,H	 	NO

—Holding (CRJ)  

	Data
	 	Description

(see legend)
	 	Aircraft

Available In

Manuals

	Engine Out	 	ISA,GW,FF,H	 	YES(FPCCM)
	Gear Down	 	ISA,GW,FF,H	 	YES(FPCCM)
	All Engine(225kts)	 	ISA,GW,FF,H	 	YES(FPCCM)

—Altitude Capability (Saab)  

	Data
	 	Description

(see legend)
	 	Aircraft

Available In

Manuals

	Normal(300fpm)	 	GW,ISA,H	 	NO
	Normal(1.3g)	 	GW,ISA,H	 	NO
	High Speed(Max Cruise)MCT	 	GW,ISA,H	 	NO
	High Speed(Max Cruise)300fpm	 	GW,ISA,H	 	NO
	High Speed(Max Cruise)1.3g	 	GW,ISA,H	 	NO
	Gear Down(200kts)MCT	 	GW,ISA,H	 	NO
	Gear Down(200kts)300fpm	 	GW,ISA,H	 	NO
	Gear Down(200kts)1.3g	 	GW,ISA,H	 	NO
	Rudder Delim.(180kts)MCT	 	GW,ISA,H	 	NO
	Rudder Delim.(180kts)300fpm	 	GW,ISA,H	 	NO
	Rudder Delim.(180kts)1.3g	 	GW,ISA,H	 	NO

23

 

-Altitude Capability (CRJ)  

	Data
	 	Description

(see legend)
	 	Aircraft

Available In

Manuals

	All Engine(M70)MCT	 	GW,ISA,H	 	NO
	All Engine(M70)300fpm	 	GW,ISA,H	 	YES(FPCCM)
	All Engine(M70)1.3g	 	GW,ISA,H	 	NO
	All Engine(M71)MCT	 	GW,ISA,H	 	NO
	All Engine(M71)300fpm	 	GW,ISA,H	 	NO
	All Engine(M71)1.3g	 	GW,ISA,H	 	NO
	All Engine(M72)MCT	 	GW,ISA,H	 	NO
	All Engine(M72)300fpm	 	GW,ISA,H	 	NO
	All Engine(M72)1.3g	 	GW,ISA,H	 	NO
	All Engine(M73)MCT	 	GW,ISA,H	 	NO
	All Engine(M73)300fpm	 	GW,ISA,H	 	NO
	All Engine(M73)1.3g	 	GW,ISA,H	 	NO
	All Engine(M74)MCT	 	GW,ISA,H	 	YES(FPCCM)
	All Engine(M74)300fpm	 	GW,ISA,H	 	YES(FPCCM)
	All Engine(M74)1.3g	 	GW,ISA,H	 	NO
	All Engine(M75)MCT	 	GW,ISA,H	 	NO
	All Engine(M75)300fpm	 	GW,ISA,H	 	NO
	All Engine(M75)1.3g	 	GW,ISA,H	 	NO
	All Engine(M76)MCT	 	GW,ISA,H	 	NO
	All Engine(M76)300fpm	 	GW,ISA,H	 	NO
	All Engine(M76)1.3g	 	GW,ISA,H	 	NO
	All Engine(M77)MCT	 	GW,ISA,H	 	YES(FPCCM)
	All Engine(M77)300fpm	 	GW,ISA,H	 	YES(FPCCM)
	All Engine(M77)1.3g	 	GW,ISA,H	 	NO
	All Engine(M78)MCT	 	GW,ISA,H	 	NO
	All Engine(M78)300fpm	 	GW,ISA,H	 	NO
	All Engine(M78)1.3g	 	GW,ISA,H	 	NO
	All Engine(M79)MCT	 	GW,ISA,H	 	NO
	All Engine(M79)300fpm	 	GW,ISA,H	 	NO
	All Engine(M79)1.3g	 	GW,ISA,H	 	NO
	All Engine(M80)MCT	 	GW,ISA,H	 	YES(FPCCM)
	All Engine(M80)300fpm	 	GW,ISA,H	 	NO
	All Engine(M80)1.3g	 	GW,ISA,H	 	NO
	All Engine(LRC)MCT	 	GW,ISA,H	 	YES(FPCCM)
	All Engine(LRC)300fpm	 	GW,ISA,H	 	NO
	All Engine(LRC)1.3g	 	GW,ISA,H	 	NO
	Gear Down(MCT)	 	GW,ISA,H	 	YES(FPCCM)
	Gear Down(300fpm)	 	GW,ISA,H	 	NO
	Gear Down(1.3g)	 	GW,ISA,H	 	NO

24

 

—Drift Down / Terran Clearance (Saab)  

	Data
	 	Description

(see legend)
	 	Aircraft

Available In

Manuals

	Drift Down	 	GW,ISA,H,D,T,A/I	 	NO

—Drift Down / Terran Clearance (CRJ)  

	Data
	 	Description

(see legend)
	 	Aircraft

Available In

Manuals

	Drift Down	 	GW,ISA,H,D,T,A/I	 	YES(FPCCM)

Legend:  

A/I—Anti Ice On and OFF

AOM—Aircraft Operations Manual

D—Distance (NM)

F—Fuel (lbs)

FF—Fuel Flow (lbs/hr)

FPCCM—Flight Planning and Cruise Control Manual

GW—Gross Weight (lbs)

H—Altitude (feet)

HS—High Speed Climb Performance

ISA—Temperature and/or Deviation(-20oC to +25oC) from ISA

KIAS—Knots Indicated Air Speed

LS—Low Speed Climb Performance

M—Mach Number (M70 = Mach 0.70)

MCT—Max Cruise Thrust

MS—Mid Speed Climb Performance

T—Time (Minutes)

TAS—True Air Speed (knots)  

25

  

 
 

Appendix F
  
    Production Support Services    
  

        Subject to resource availability and project prioritization, Northwest will provide to Pinnacle the following Production Support Services: 

        Northwest
will provide primary network coverage to Pinnacle Airlines as follows— 

	•
	Respond
to support line and router problems

	•
	Continue
to monitor Pinnacle Airlines' lines by Emcom and Tivoli, or any other monitoring product used by Northwest from time to time

	•
	Interface
with ARINC on any Pinnacle Airlines ACARS problems

	•
	Northwest
will not provide dial backup support to Pinnacle Airlines 

        Northwest
will provide help desk support to Pinnacle as follows— 

	•
	Northwest
will continue to support all software applications and hardware devices, including but not limited to SOC, MEM AOP, back office equipment,
application support, etc., supported by Northwest for Pinnacle Airlines on or before March 1, 2002

	•
	Such
support will be performed pursuant to Northwest then-current processes and procedures 

Pricing:  

        Northwest will provide the Production Support Services to Pinnacle during the term of the Agreement at no cost. 

26

 
 
 

Appendix G
  
    Project Coordination Services    
  

        Subject to resource availability and project prioritization, Northwest will provide to Pinnacle the following Project Coordination Services: 

	1.
	Coordination
of all add/move/change projects related to Pinnacle's hardware/software products. 

NOTE:
If additional hardware/software equipment is required, Pinnacle Airlines is responsible for funding such acquisitions. 

	2.
	Coordination
of all station openings, relocations and station closings related to standard hardware/software projects. Below are high level roles and responsibilities for Northwest and
Pinnacle Airlines:

	•
	Pinnacle
Airlines is responsible for contacting Northwest IS (Project Coordination) to request any Project Coordination Services.

	•
	Northwest
IS (Project Coordination) will provide to Pinnacle Airlines the cost estimate for the Northwest standard hardware/software peripherals to be
acquired by Pinnacle Airlines.

	•
	Except
as provided in Section 4.04 of the ASA, Pinnacle Airlines is responsible for funding the purchase of any new hardware/software. In this regard,
to the extent necessary Northwest IS (Project
Coordination) will obtain the Northwest standard hardware/software for installation on Pinnacle Airlines' behalf and will coordinate the installation of such hardware/software.

	•
	Pinnacle
Airlines is responsible for coordinating and funding all facility work needed, cabling, airport approvals, telecommunications (phones and FIDs) and
radio communications, if needed, to complete the project.

	•
	Northwest
IS (Project Coordination) requires 60 to 90 day lead times after Pinnacle Airlines receives approval for the project. 

Pricing:  

        Except with respect to the funding responsibilities described above, Northwest will provide the Project Coordination Services to Pinnacle during the term of the
Agreement at no cost. 

27

 
 
 

Appendix H
  
    Other Services    
  

        None specified. 

Pricing:  

        N/A 

28

  

 
 

Appendix I
  
    Service Level Agreement    
  

The
following descriptions are Northwest standard levels of service. In the event that a service level is not met, Pinnacle Airlines has the right to escalate
support issues to a higher level of management at Northwest. Should a particular application require service levels that exceed these, those exceptions will be
delineated on the attached appendices. Those unique service items will supersede the following. 

	1.
	Schedule Availability: The operational window for mainframe IBM/UNISYS is 7 day by 24 hours 99.7% of the time, including
scheduled downtime. Where additional application outages (i.e., DB loads, batch processing, back-ups) are defined by the application implementation design, these hours will also not be
included in the net scheduled availability hours for that application. 

During
an outage window, the customers will not have access to the system. Should the customers need access to the system during the scheduled outage windows, the customers may arrange in advance the
movement of the outage period. Otherwise, the customers' access to the application will be removed during this time. 

	2.
	Output Delivery: Output delivery includes all types of output such as printed reports, batch files, online files and microfiche. The
specific outputs and time of delivery are defined by the customer and Northwest. This output information is programmed into the corporate scheduling system with the appropriate information. If
deadlines are not met, the system will notify the appropriate staff within Northwest. The support person will ensure the output is delivered to the customer.

	3.
	Restoral: For applications having airline affecting problems (severity level 1), once recorded by the Northwest Help Desk, Northwest is
committed to having the systems back up and operational in less than 4 hours 95% of the time. For severity level 2 problems, once reported to the Help Desk, NWA will insure that the application
will be back up and operational in less than 24 hours 80% of the time. For severity level 3 problems, 70% in less than 48 hours. Further, NWA will take whatever action is needed to
provide immediate recovery of the application, as well as providing a long-term permanent solution
following service recovery. Throughout the outage, NWA coverage personnel will keep the customers informed of ongoing events as they are resolving the application problems.

	4.
	Project Delivery: Due dates for projects and installations (adds, moves and changes) are prenegotiated between Northwest and the
customer. This performance is tracked and reported against our service level goals (90% by due dates). Changes to these dates requested by the customer are considered new target dates. Those changes
requested by Northwest are considered modifications to the original dates. In this latter case, the original dates remain the target with a footnote stating the modified dates.

	5.
	Response Time: For computer transactions, response times are frequently dependent upon the specific application. NWA is committed to
provide computing and network capacity to insure that 85% of Flight Operations transactions are processed within 2 seconds for those networks controlled by NWA. However, for those more complex
transactions which involve the use of significant computing or network resources, exceptions to these normal service levels are specified in the attached application service levels.

	6.
	Notification of Service Interruption: Notification will be sent to the appropriate people no less than 30 minutes prior to scheduled
outages. Currently, these notices are sent for mainframe outages only. The Northwest Information Services staff is working toward incorporating both distributed and network outages to this
notification process.

	7.
	Flight Ops Supported Products: NWA I.S. will not be responsible for supporting SOC Applications. This will be the responsibility of
Operations Automation (Flight Ops Portfolio) 

29

 

Technical
Staff. NWA I.S. will be responsible for mainframe applications and communication connections to/from the Pinnacle Airlines SOC currently located in
Memphis, Tenn. Service level agreements currently in place at NWA will also be used as the standard for Pinnacle Airlines.

	8.
	Misc. Support Services/Processes: An outage is defined as any time the Application or functionality is not responding or is not
available. There is no preferred time for maintenance outages for any part of the Business Function. However, if an outage must occur, it should be scheduled along with the standard NWA SOC
Application preferred outage which is at 2200 MSP local time on a Saturday night. Some of these applications are mission on critical applications. 

Although
some application GUI's are located on each "client' workstations, the Servers, where the application "engine' is located are located in MSP. This means that there is a networking dependency
between the two cities which includes dedicated lines from the Pinnacle SOC office to the NWA MSP offices. Our ability to provide networking services is dependent on A.T.& T. and/or the NWA I.S.
Network Services. 

Problem Reporting Process at Pinnacle;

Business
Application not functional or not running on the workstation 

	•
	Pinnacle SOC Customers will make every effort to contact an appropriate person designated by Pinnacle to help in
resolving the issue/problem before escalating to NWA SOC LAN Administrator. If no such person exist at Pinnacle, escalation will be an immediate call to NWA.

	•
	If
Business Application not functional, the Pinnacle SOC Help Desk or Technical Representative will contact the NWA SOC Lan Administrator at phone
(612) 727-9330. The NWA SOC Lan Administrator will report status back to the Pinnacle Duty SOC Technical Representative at (901) 348-4280.

	•
	If
the Business Application problem is due to NWA controlled infrastructure (systems and network) recovery will be within 1.5 hours (NWA/SOC
agreement) of notification of problem 95% of the time. 

(NWA
Problem level guidelines: Level 1: 4 hrs 95% of the time; Level 2: 24 hrs 80% of the time; level 3: 48 hrs 75% of the time; Level 4: M-F 8A-5P. Single item best effort.) 

The
following is used to schedule program loads or hardware/software down times. This reflects the time that would have the least amount of impact to the flight operations. 

Off-Peak Hours (most desirable for downtime)—Domestic

Sunday
through Friday. 

    •    8:30 p.m.
CST—6:30 a.m. CST. 

Saturday

    •    5:00 p.m.
CST—10:00 a.m. CST 

Peak Hours (not desirable for downtime)—Domestic

Monday
through Friday. 

    •    6:30 a.m.
CST—8:30 p.m. CST 

Saturday

    •    6:30 a.m.
CST—5:00 p.m. CST 

Sunday

30

 

    •    10:00 a.m.
CST—8:30 p.m. CST 

The
I.S. Primary Coverage is responsible for optimal management of the Network environment. Tracking supporting utility software upgrades are also the responsibility of this group. Any Business
Application changes made to the production environment that could possibly affect the I.S. Network environment should be communicated via the I.S. standard Change Management process. It is the
responsibility of the Network Planning and Consulting Analyst to notify NWA SOC and Pinnacle Airlines SOC of any impact. 

Maintenance
to hardware or network software that requires the Business Application to be unavailable will be scheduled during customer Off-Peak hours. If this is not possible or practical,
a time will be chosen that has the least overall impact to system performance. The outage should be communicated through the I.S. change management process before it occurs. It is through this process
that the NWA SOC Operations Automation and the Pinnacle SOC Help Desk is informed of such changes and is provided the opportunity to challenge any date or time. It is the responsibility of Primary
Coverage(or the Network Planning and Consulting Analyst) to notify NWA SOC Operations Automation and Pinnacle Airlines SOC of any impact. 

Back
up and recovery of the Business Applications and database. 

Business
Application Software and Database recovery is the responsibility of the NWA SOC Operations Automation Group and/or Jeppesen. If there is a failure of any component of the Business
Applications listed in this SLA Document, notify the NWA SOC Lan Administrator. 

31

  

 
 

Appendix J
  
    NWA SOC APPLICATIONS    
  

Introduction:  

        NWA will provide Pinnacle Airlines the capability to access and use certain NWA SOC Applications or products. These applications or products include; Phone Book,
Station Time, Reference Information (Sunrise/Sunset), Weather Graphics, ASD Pro, Calculator, Administrative Functions (Logoff, Chooser, Update References, Update Scripts, Change Password, Control
Panels, Restart, and Turn Butt on Sound On), Tools (Telnet, Text Editor, Flight Plan DUI, Virtual PC (NT 4.0) and Microsoft Office 98), Help, Print
Clipboard, World—WWW (Netscape or IE(choice)), IBM Access (Office Vision and Pars Command), Unisys Access—(Worldflight and CFT Systems). 

Pricing:  

        N/A 

Application/Product Specific SLA:  

        (See Appendix J1A)) 

32

 
 
 

Appendix J1A
  
    Workstation/Navigator Business Applications
  Pinnacle Airlines SOC    
  

Service Measure  

        Pinnacle Airlines Access to the following desktop Business products; Phone Book, Station Time, Reference Information (Sunrise/Sunset), Weather Graphics, ASD Pro,
Calculator, Administrative Functions (Logoff, Chooser, Update References, Update Scripts, Change Password, Control Panel, Restart and Turn Button Sound On), Tools (Telnet, Text Editor, Flight Plan
GUI, Virtual PC (NT 4.0) and Microsoft Office 98), Help, Print Clipboard, World WWW (Netscape or IE(choice)), IBM Terminal, Unisys Terminal. 

Agreed Upon Standard  

        99.7% Delivered, 365 days a year. Not to exceed 3 hrs/month or two outages per month. 

Qualifiers  

        If Pinnacle SOC loses any of the functionality listed in the Service Measure Column, the Pinnacle customer is responsible for contacting the Pinnacle Airlines SOC
Local Help Desk or Technical Representative at (901) 348-4280 to evaluate and determine the cause of the problem. If unable to resolve the reported problem, the Pinnacle SOC Help
Desk Representative will report the problem, with detailed information, to the NWA SOC Lan Administrator at (612) 727-9330. The NWA SOC Lan Administrator (or appropriate Ops
Automation Staff Person) will work with the Pinnacle Help Desk to resolve the problem. 

Service Outages  

 Unscheduled outages  

99.7%
delivered, 365 days a year. Not to exceed 3 hrs/month or two outages per month. 

The
Pinnacle Airlines SOC Help Desk Representative would contact the NWA SOC Lan Administrator as soon as possible after discovering an application or network outage. The SOC LAN Administrator would
investigate the problem and respond to Pinnacle Airlines as soon as possible with detailed info including an estimated time of Restoral. 

If
the NWA SOC Lan Administrator or someone from the NWA Operations Automation group discovers problem, the discoverer of the problem will notify the Pinnacle SOC Help Desk Representative by phone at
(901) 348-4280 as soon as possible after discovering problem. 

 Planned outages  

NWA
SOC will notify Pinnacle Airlines SOC Representative of duration—will attempt to schedule per customer preferred times. 

        Notification
will be sent via E-mail to kcollins@nwairlink.com, dwhite@nwairlink.com, jyoung@nwairlink.com and jpresnell@nwairlink.com. 

33

  

 
 

Appendix K
  
    SSI Operations Management System (OMS)
  Products and Services    
  

Introduction:  

        SSI and NWA will provide Pinnacle Airlines the following OMS products and services: 

        Subject
to Section 2.01(A)(5) of the Agreement and to the extent applicable to the Regional Airline Services provided to Northwest by Pinnacle Airlines, Pinnacle will receive the
OMS products and services specified in the License Agreement between Northwest and Scheduling Systems, Inc., dated May 14, 1997, as amended from time to time. 

Pricing:  

        N/A 

Application/Product Specific SLA:  

        (See Appendix K1A and SSI Contract) 

34

 
 
 

Appendix K1A
  SSI/OMS Products/Services    
  

Service Measure  

        Pinnacle Airlines Access to the current SSI / OMS Products. 

Agreed Upon Standard  

        99.7% Delivered, 365 days a year. Not to exceed 3 hrs/month or two outages per month. 

Qualifiers  

        If Pinnacle SOC loses any of the functionality listed in the Service Measure Column, the Pinnacle customer is responsible for contacting the Pinnacle Airlines SOC
Local Help Desk or Technical Representative at (901) 348-4280 to evaluate and determine the cause of the problem. If unable to resolve the reported problem, the Pinnacle SOC Help
Desk Representative will report the problem, with detailed information, to the NWA I.S. Help Desk at 1 800 328-2283. The I.S. help desk representative will work with the Pinnacle Help Desk
to resolve the problem. 

Service Outages  

        Unscheduled outages 

99.7%
delivered, 365 days a year. Not to exceed 3 hrs/month or two outages per month. 

The
Pinnacle Airlines SOC Help Desk Representative would contact the NWA I.S. Representative as soon as possible after discovering an application or network outage. The I.S. Help Desk Representative
would investigate the problem and respond to Pinnacle Airlines as soon as possible with detailed info including an estimated time of Restoral. 

If
the NWA I.S. Help desk discovers problem, the discoverer of the problem will notify the Pinnacle SOC Help Desk Representative by phone at (901) 348-4280 as soon as possible after
discovering problem. 

        Planned
outages 

NWA
SOC will notify Pinnacle Airlines SOC Representative of duration—will attempt to schedule per customer preferred times. Notification will be sent via E-mail to
kcollins@nwairlink.com, dwhite@nwairlink.com, jyoung@nwairlink.com and jpresnell@nwairlink.com. 

35

 

 
 

Appendix L
  
    Worldflight Products and Services    
  

Introduction:  

        This Appendix sets forth the agreed upon standards for handling installations, maintenance, enhancement requests and technical requests for the Worldflight
System. 

Background;  

        The Worldflight system was purchased from United Airlines in 1987 to handle Northwest's flight operations and now Pinnacle Airlines. This system is written
primarily in Fortran, and runs on Unisys 2200/600 hardware platform. The Worldflight System is supported 24 hours per day, 7 days a week. This system provides mission critical flight
operations computer servcies for Northwest and Pinnacle Airlines. 

        In
order to provide a consistent support mechanism for the users, this document outlines the responsibilities for Worldflight in the following areas; Technical support, Software
maintenance, Database Maintenance, Feeds in/out of Worldflight, Enhancement Requests and Service goals. 

Technical Support;  

        The Worldflight system contains many applications used by the SOC, POC, MEM W&B and Pinnacle Airlines and all of the stations serviced by Northwest and Pinnacle
Airlines. Support for this system is available 24 hours/day 7 days/week. Support can be contacted by Operations Automation, the NWA computer Help Desk, or the Pinnacle Help Desk. 

Operational Support;  

        The Worldflight I.S. applications support group is available via beeper at all times. The programmer on call can be reached for any support issue
24 hours/day by the I.S. help desk. This support includes both on-line transaction, and off-line batch processing. 

User Application Support;  

        Procedural and functionality questions are handled by the Operations Automation group in Building F in MSP-NWA. In the event that the Ops Automation
support group is not available, the I.S. support person on call will attempt to contact the proper user group, or answer the functionality questions, if possible. All procedural questions need to be
answered by the user group. 

Software Maintenance;  

        The standard program load time(s) for the Worldflight system are; Tuesday, Wednesday, and Thursday at 8:30am. Non-Standard load times can be scheduled
at the users's request. Emergency program loads can be done at any time that the coding change (fix) has been tested, and the problem cannot wait until the next scheduled load time. 

Database Maintenance;  

        The applications programming group is responsible for the Database maintenance of the Worldflight System. The loading, updating, and validation of the data
entered into the Worldflight database is the responsibility of the user groups that the applications support. Database maintenance does include, file sizing, and the repair of corrupted data that was
caused due to programming errors. 

36

 

Feeds in/out of Worldflight;  

        The Worldflight system supports communications with other systems with both real-time and batch traffic. 

Real-Time Feeds out;  

        Worldflight provides real-time feeds to the following systems; Acars—uplinks, CFT—Corporate Flight Times, CMS—Crew
Management (NWA), Cargo, MSG—TTY traffic, Sceptre—Aircraft Maintenance (NWA), Ramp/Fids—Gate Managemnet, Worldspan—Reservations / Common use, and
ODB—Operations Database. 

Batch Feeds Out;  

        Worldflight has the following batch feeds out; Stats—statistics, Mapper—Fuel Usage (NWA only), Worldspan—Microfiche. 

Real-time feeds in;  

        Worldflight is updated by the following systems; Acars—downlinks, MSG—TTY traffic, Sceptre—Aircraft Maintenance,
Worldspan—Pass/Bag information, and ODB—Operations Database. 

Batch feeds in;  

        Batch file feeds into Worldflight; Schedules—Airflight System, Aircraft Performance Data (via TSO). 

Enhancement Requests;  

        Enhancement requests are requests for new funtionality, or requests for cosmetic changes with the functionality remaining the same. These requests will require a
Computer Service Request (CSR), and need to be submitted to the Operations Automation group for evaluation and priority assignment. 

Service Goals;  

        The following will be measured and available on request; System Availability/Outages, Transaction Response Time, and Reliability of Outgoing Feed. 

Pricing:  

        N/A 

Application/Product Specific SLA:  

        (See Appendix L1A) 

37

 
 
 

Appendix L1A
  
    Worldflight Products/Services    
  

Service Measure  

        System Availability—This measurement is the availability of the hardware and software within the Building J computer center. Outages of the various
pieces affecting Worldflight availability are cumulative—that is, an outage to a communications front-end (that affects Worldflight users) is counted as a Worldflight
availability outage. This measurement is not the end-to-end availability to the agent or customer at a terminal in the field. Future monitoring tools may provide an
end-to-end measurement. 

        Transaction
Response Time—This measurement is the mainframe existence time of selected Worldflight transactions. This measurement is not the
end-to-end availability to the agent or customer at a terminal in the field. Future monitoring tools may provide an end-to-end measurement. The selected
transactions are those transactions within Flifo and Weight and Balance which are interactively used by the customer. Capacity planning has the list of transactions. Note that a future refinement of
the response time goal is to measure the response time during periods of stress, such as bad-weather-related massive flight diversions. It is particularly important to have quick response
times during these stress situations. The selected Flifo and Weight and Balance transactions are the appropriate transactions to be measured during stress times. 

        Outgoing
Feed—This measurement is the reliability of the daily feed to Stats. After Stats receives the Worldflight feed, the Stats IMPACT job is run. Note that the IMPACT
completion is already being measured—when IMPACT does not complete by 6am, a severity 2 Info/Man record is generated. While measuring IMPACT completion is only an indirect measure of
Worldflight outgoing feed reliability, IMPACT completion is chosen as the measure for 4thquarter 1996 because a direct measurement is not in place. Future refinements of the "outgoing
feed reliability' goal will be to measure directly the completion of multiple Worldflight feeds. 

Agreed Upon Standard  

        99.5% Delivered, 365 days a year. Not to exceed 3 hrs/month or two outages per month. 

        The
goal is response time (measured within the mainframe) of less than 1.5 seconds for the selcted Worldflight transactions averaged over one month periods. 

        The
goal is completion of the IMPACT job by 6am at least 90% of the days. 

Qualifiers  

        If Pinnacle SOC loses any of the functionality listed in the Service Measure Column (Worldflight Functions), the Pinnacle customer is responsible for contacting
the Pinnacle Airlines SOC Local Help Desk or Technical Representative at (901) 348-4280 to evaluate and determine the cause of the problem. If unable to resolve the reported
problem, the Pinnacle SOC Help Desk Representative will report the problem, with detailed information, to the Worldflight Help Desk at 1 800 243-5769 or the NWA Information Services (I.S.)
Help Desk at 1 800 328-2283. The NWA Worldflight or I.S. Help Desk representative will work with the Pinnacle Help Desk to resolve the problem. 

Worldflight Service Outages  

        Unscheduled outages 

99.7%
delivered, 365 days a year. Not to exceed 3 hrs/month or two outages per month. 

38

 

        The
Pinnacle Airlines SOC Help Desk Representative would contact the NWA Worldflight Help Desk at 1 800 243-5769 as soon as possible after discovering an application outage.
The Help Desk Representative would investigate the problem and respond to Pinnacle Airlines as soon as possible with detailed info including an estimated time of Restoral or what action items are
being taken to resolve the problem. 

        Planned
outages 

A
NWA Worldflight Help Desk Representative will notify Pinnacle Airlines SOC Representative of duration—will attempt to schedule per customer preferred times. Notification will be sent via
E-mail to kcollins@nwairlink.com, dwhite@nwairlink.com, jyoung@nwairlink.com and jpresnell@nwairlink.com. 

39

QuickLinks

Exhibit 10.12

INFORMATION TECHNOLOGY SUPPORT AGREEMENT

Article 1 Definitions and Business Relationship

Article 2 Products and Services

Article 3 Term and Termination

Article 4 Miscellaneous

Appendix A Change and Problem Management Services

Appendix B Field Support Services

Appendix C NWA / Jeppesen Flight Planning

Appendix C1A Jeppesen Flight Planning Products / Services

Appendix D NWA Meteorology Products and Services

Appendix E NWA Performance Engineering (PE) Products and Services

Appendix E1A Northwest Performance Engineering Products / Services

Appendix E1B NWA Performance Engineering Data Requirements Pinnacle Airlines I

Appendix F Production Support Services

Appendix G Project Coordination Services

Appendix H Other Services

Appendix I Service Level Agreement

Appendix J NWA SOC APPLICATIONS

Appendix J1A Workstation/Navigator Business Applications Pinnacle Airlines SOC

Appendix K SSI Operations Management System (OMS) Products and Services

Appendix K1A SSI/OMS Products/Services

Appendix L Worldflight Products and Services

Appendix L1A Worldflight Products/ServicesExhibit 10.18

 

FORM OF

LEASE GUARANTY

[NW 200_ _]

Dated as of [_____________]

from

PINNACLE AIRLINES CORP.

 

One General Electric Model CF34-3B1
Engine

 

 

 

TABLE OF
CONTENTS TO LEASE GUARANTY

 

	
   

  	
   

  	
   

  	
   

  	
  Page

  	
   

  
	
  1.

  	
   

  	
  Guaranty.

  	
   

  	
  1

  	
   

  
	
  2.

  	
   

  	
  No Implied Third Party Beneficiaries

  	
   

  	
  3

  	
   

  
	
  3.

  	
   

  	
  Waiver; No Set-off; Reinstatement; Subrogation

  	
   

  	
  3

  	
   

  
	
  4.

  	
   

  	
  Amendments, Etc

  	
   

  	
  4

  	
   

  
	
  5.

  	
   

  	
  Payments

  	
   

  	
  4

  	
   

  
	
  6.

  	
   

  	
  Representations and Warranties. The Lessee Guarantor represents and
  warrants as of the Delivery Date as follows:

  	
   

  	
  4

  	
   

  
	
  7.

  	
   

  	
  Jurisdictional Matters

  	
   

  	
  5

  	
   

  
	
  8.

  	
   

  	
  Integration; Counterparts; Successors and Assigns; Headings

  	
   

  	
  5

  	
   

  
	
  9.

  	
   

  	
  Notices

  	
   

  	
  5

  	
   

  
	
  10.

  	
   

  	
  No Waivers

  	
   

  	
  6

  	
   

  
	
  11.

  	
   

  	
  Survival

  	
   

  	
  6

  	
   

  
	
  12.

  	
   

  	
  Severability

  	
   

  	
  6

  	
   

  
	
  13.

  	
   

  	
  GOVERNING LAW

  	
   

  	
  6

  	
   

  
	
  14.

  	
   

  	
  Enforcement Expenses

  	
   

  	
  6

  	
   

  
	
  15.

  	
   

  	
  Termination

  	
   

  	
  6

  	
   

  

 

i

 

LEASE
GUARANTY

[NW 200_ _]

This LEASE GUARANTY [NW
200_ _], dated as of [_____________] (as amended, modified or supplemented from
time to time, this “Guaranty”), from PINNACLE AIRLINES CORP., a
Delaware corporation (together with its permitted successors and assigns, the “Lessee
Guarantor”), to Northwest Airlines, Inc. (together with its
successors and permitted assigns, the “Lessor”).

WHEREAS, Pinnacle
Airlines, Inc., a Georgia corporation (the “Lessee”), a wholly-owned
subsidiary of the  Lessee Guarantor,
wishes to enter into an Engine Lease Agreement [NW 200_ _], dated as of the
date hereof (as amended, modified or supplemented from time to time, the “Lease”),
between the Lessee and the Lessor, initially relating to one (1) General
Electric CF34–3B1 engine (such engine, and any substitute Engine under
the Lease, being collectively referred to herein as the “Engine”); and

WHEREAS, it is a
condition precedent to the obligations of the Lessor to consummate the
transactions contemplated by the Lease that the Lessee Guarantor execute and
deliver this Guaranty; and

WHEREAS, the capitalized
terms used herein that are not defined herein are used herein as defined in the
Lease;

NOW, THEREFORE, in order to
induce the Lessor to enter into the Lease and for other good and valuable
consideration, receipt of which is hereby acknowledged, the parties hereto
agree as follows:

1.             Guaranty.

(a)      The Lessee Guarantor does hereby
acknowledge that it is fully aware of the terms and conditions of the Lease and
the transactions and the other documents contemplated thereby, and does hereby
irrevocably and fully and unconditionally guarantee, as primary obligor and not
as surety merely, to the Lessor, the payment by the Lessee of all payment
obligations when due under the Lease (including, without limitation, Basic Rent
and Supplemental Rent) (such obligations of the Lessee guaranteed hereby being
hereafter referred to, individually, as a “Financial Obligation” and, collectively, as
the “Financial
Obligations”) in accordance with the terms of the Lease, and the
timely performance of all other obligations of the Lessee thereunder
(individually, a “Nonfinancial Obligation” and, collectively,
the “Nonfinancial
Obligations” or, collectively with the Financial Obligations, the “Obligations”).  The Lessee Guarantor does hereby agree that
in the event that the Lessee fails to pay any Financial Obligation when due for
any reason (including, without limitation, the liquidation, dissolution,
receivership, insolvency, bankruptcy, assignment for the benefit of creditors,
reorganization, arrangement, composition or readjustment of, or other similar
proceedings affecting the status, existence, assets or obligations of, the
Lessee, or the disaffirmance with respect to the Lessee of the Lease in any
such proceeding), the Lessee Guarantor shall pay or cause to be paid
immediately, upon the receipt of notice from the Lessor (such notice to be sent
to the Lessee (to the extent the Lessor is not stayed or prevented from doing
so by operation of law) and the 

 

1

 

Lessee
Guarantor) stating that such Financial Obligation was not paid when due, the
amount of such Financial Obligation. 
The Lessee Guarantor hereby agrees that in the event the Lessee fails to
perform any Nonfinancial Obligation for any reason (including, without
limitation, the liquidation, dissolution, receivership, insolvency, bankruptcy,
assignment for the benefit of creditors, reorganization, arrangement,
composition or readjustment of, or other similar proceedings affecting the
status, existence, assets or obligations of, the Lessee, or the disaffirmance
with respect to the Lessee of the Lease in any such proceeding) on the date on which
such Nonfinancial Obligation is required to be performed, the Lessee Guarantor
shall cause such Nonfinancial Obligation to be performed immediately following
the receipt of notice from the Lessor (such notice to be sent to the Lessee (to
the extent the Lessor is not stayed or prevented from doing so by operation of
law) and the Lessee Guarantor) stating that such Nonfinancial Obligation was
not performed when so required.

(b)     The obligations of the Lessee Guarantor
hereunder shall not be, to the fullest extent permitted by law, affected by,
and the liability of the Lessee Guarantor shall be absolute, unconditional and
irrevocable irrespective of: (i) the genuineness, validity, legality,
regularity or enforceability (or lack thereof) of any of the Lessee’s
obligations under the Lease, (ii) any amendment, recission, waiver or other
modification of, or any consent to departure from, the Lease (except that any
such amendment, other modification or consent shall be given effect in
determining the obligations of the Lessee Guarantor hereunder), (iii) any
substitution, release, surrender, nonperfection or exchange of any collateral
for, or any amendment to or waiver or release or addition of, or consent to
departure from, any other guaranty of any of the Obligations (except to the
extent that such substitution, release, surrender, nonperfection or exchange or
amendment, waiver, release or consent is undertaken in accordance with the
terms of the Lease) without the consent of the Lessee Guarantor, (iv) any priority
or preference to which any other obligations of the Lessee may be entitled over
the Lessee’s obligations under the Lease, (v) the failure of the Lessor to
assert any claim or demand or to enforce any right or remedy against the Lessee
or any other Person (including any other guarantor) under the provisions of the
Lease, or to exercise any right or remedy against any other guarantor of, or
collateral securing any of the Obligations, (vi) any change in the time, manner
or place of payment, or in any other term of, all or any of the Obligations, or
any other extension, compromise or renewal of any Obligation, (vii) any
reduction, limitation, impairment or termination of any Obligations for any
reason, including any claim of waiver, release, surrender, alteration or
compromise, and Lessee Guarantor’s obligations hereunder shall not be subject
to (and the Lessee Guarantor hereby waives any right to or claim of) any
defense or set off, counterclaim, recoupment or termination whatsoever by
reason of the invalidity, illegality, nongenuineness, irregularity, compromise,
unenforceability of, or any other event or occurrence affecting, any
Obligations, or (viii) any other circumstance that might otherwise constitute a
legal or equitable defense to or discharge of the obligations of a surety or
Lessee Guarantor including, without limitation, any defense arising out of any
laws of the United States of America or any State thereof which would excuse,
discharge, exempt, modify or delay the due or punctual payment and performance
of the obligations of the Lessee Guarantor hereunder.  Without limiting the generality of the foregoing, it is agreed
that the occurrence of any one or more of the following shall not, to the
fullest extent permitted by law, affect the liability of the Lessee Guarantor
hereunder:  (i) the extension of the
time for or waiver of, at any time or from time to time, without notice to the
Lessee Guarantor, the Lessee’s performance of or compliance with any of its obligations
under the Lease (except that such extension or waiver shall be given effect in
determining the obligations of the Lessee Guarantor 

 

2

 

hereunder), (ii) any assignment, transfer, sublease or
other arrangement by which the Lessee transfers possession or loses control of
the use of the Engine, (iii) any defect in the title, condition, design,
operation or fitness for use of, or damage to or loss or destruction of, the
Engine, whether or not due to the fault of the Lessee, (iv) any merger or consolidation
of the Lessee or the Lessee Guarantor into or with any other Person, or any
sale, transfer, lease or disposal of any of its assets or (v) any change in the
ownership of any shares of capital stock of the Lessee.

(c)      This Guaranty is an absolute, present and
continuing guaranty of payment and performance and not of collectability and is
in no way conditional or contingent upon any attempt to collect from the Lessee
any unpaid amounts due or otherwise to enforce performance by the Lessee.  The Lessee Guarantor specifically agrees, to
the fullest extent permitted by law, that it shall not be necessary or
required, and that the Lessee Guarantor shall not be entitled to require, that
the Lessor (i) file suit or proceed to obtain or assert a claim for personal
judgment against the Lessee for the Obligations, or (ii) make any effort at
collection of the Obligations from the Lessee, or (iii) foreclose against or
seek to realize upon any security now or hereafter existing for the
Obligations, or (iv) file suit or proceed to obtain or assert a claim for
personal judgment against any other Person liable for the Obligations, or make
any effort at collection of the Obligations from any such other Person, or
exercise or assert any other right or remedy to which the Lessor is or may be
entitled in connection with the Obligations or any security or other guaranty
therefor, or (v) assert or file any claim against the assets of the Lessee or
any other Lessee Guarantor or other Person liable for the Obligations, or any
part thereof, before or as a condition of enforcing the liability of the Lessee
Guarantor under this Guaranty or requiring payment of said Obligations by the
Lessee Guarantor hereunder, or at any time thereafter.

(d)     The Lessee Guarantor agrees, to the fullest
extent permitted by law, that, without limiting the generality of this
Guaranty, if an Event of Default shall have occurred and be continuing and the
Lessor (or any assignee thereof) shall be prevented by applicable law from
exercising its remedies (or any of them) under Section 15 of the Lease, the
Lessor (or any assignee thereof) shall be, nevertheless, entitled to receive
hereunder from the Lessee Guarantor, upon demand therefor the sums that would
otherwise have been due from the Lessee under the Lease had such remedies been
able to be exercised.  The Lessee
Guarantor hereby unconditionally waives, to the fullest extent permitted by
law, any requirement that, as a condition precedent to the enforcement of the
obligations of the Lessee Guarantor hereunder, the Lessee or all or any one or
more of any other guarantors of any of the Obligations be joined as parties to
any proceedings for the enforcement of any provision of this Guaranty.

2.             No
Implied Third Party Beneficiaries.   This Guaranty
shall not be deemed to create any right in any Person except the Lessor and
shall not be construed in any respect to be a contract in whole or in part for
the benefit of any other Person.

3.             Waiver;
No Set-off; Reinstatement; Subrogation.   The Lessee
Guarantor waives notice of the acceptance of this Guaranty and of the
performance or nonperformance by the Lessee, demand for payment from the Lessee
or any other Person, notice of nonpayment or failure to perform on the part of
the Lessee, diligence, presentment, protest, dishonor and, to the fullest
extent permitted by law, all other demands or notices whatsoever, other than
the request for payment hereunder and notice provided for in Section 1
hereof.  The 

 

3

 

obligations of the Lessee Guarantor shall be absolute
and unconditional and shall remain in full force and effect until satisfaction
of all Obligations hereunder and, without limiting the generality of the
foregoing, to the extent not prohibited by applicable law, shall not be
released, discharged or otherwise affected by the existence of any claims,
set-off, defense or other rights that the Lessee Guarantor may have at any time
and from time to time against the Lessor, whether in connection herewith or any
unrelated transactions.  This Guaranty
shall continue to be effective or be reinstated, as the case may be, if at any
time any payment of any Financial Obligation is rescinded or must otherwise be
returned by the Lessor upon the insolvency, bankruptcy, reorganization,
arrangement, readjustment of debt, dissolution, liquidation or similar
proceeding with respect to the Lessee or otherwise, all as though such payment
had not been made.  The Lessee
Guarantor, by virtue of any payment or performance hereunder to the Lessor,
shall be subrogated to the Lessor’s claim against the Lessee or any other
Person relating thereto; provided, however, that the Lessee
Guarantor shall not be entitled to receive payment from the Lessee in respect
of any claim against the Lessee arising from a payment by the Lessee Guarantor
in the event of any insolvency, bankruptcy, liquidation, reorganization or
other similar proceedings relating to the Lessee, or in the event of any
proceedings for voluntary liquidation, dissolution or other winding-up of the
Lessee, whether or not involving insolvency or bankruptcy proceedings, in which
case the Obligations shall be paid and performed in full before any payment in
respect of a claim by the Lessee Guarantor against the Lessee.

4.             Amendments,
Etc.  No amendment of or supplement to this
Guaranty, or waiver or modification of, or consent under, the terms hereof,
shall be effective unless evidenced by an instrument in writing signed by the
Lessee Guarantor and the Lessor.

5.             Payments. 
All payments by the Lessee Guarantor hereunder in respect of any
Obligation shall be made in Dollars and otherwise as provided in the Lease.

6.             Representations
and Warranties.
The Lessee Guarantor represents and warrants as of the Delivery Date as
follows:

(a)           the Lessee Guarantor owns and holds
all of the issued and outstanding shares of the capital stock of the Lessee;

(b)           the Lessee Guarantor is a corporation
duly organized, validly existing and in good standing under the laws of the
State of Delaware and has full power, authority and legal right to execute,
deliver and perform its obligations under this Guaranty;

(c)           this Guaranty has been duly
authorized, executed and delivered by the Lessee Guarantor and constitutes the
Lessee Guarantor’s legal, valid and binding obligation, enforceable in
accordance with its terms except as enforcement thereof may be limited by
applicable bankruptcy, insolvency, fraudulent conveyance, reorganization,
moratorium or similar laws affecting the rights of creditors generally and
general equitable principles (regardless of whether such enforceability is
considered in a proceeding in equity or at law); and

(d)           the execution and delivery of, and
performance by the Lessee Guarantor of its obligations under, this Guaranty (i)
will not result in a violation of, or be in conflict with, or constitute a
default or any event which would with notice or lapse of time or both become a 

4

 

default under, any
provision of its charter or its by–laws, or any mortgage, indenture,
chattel mortgage, deed of trust, conditional sales contract, bank loan or
credit agreement or other agreement relating to indebtedness of the Lessee
Guarantor by which the Lessee Guarantor or its property is bound, or any
contract, agreement or other instrument, a default under which might,
individually or together with similar contracts, agreements or instruments by
which the Lessee Guarantor or its property is bound, materially affect the
Lessee Guarantor’s property or business or affect its ability to perform its
obligations under this Guaranty, (ii) will not result in a violation of any
statute, rule or regulation applicable to the Lessee Guarantor or its property
or by which it or its property may be bound, (iii) will not result in a
violation of, or be in conflict with, or result in a breach of, any term or
provision of any judgment, order, decree or award of any court, arbitrator or
governmental or public instrumentality binding upon it or its property, and
(iv) do not require the consent or approval of, the giving of notice to, or the
taking of any other action with respect to, any state or federal agency or
authority.

7.             Jurisdictional
Matters.   The Lessee Guarantor (a) hereby irrevocably
submits itself to the non-exclusive jurisdiction of the United States District
Court for the Southern District of New York and to the non-exclusive
jurisdiction of the Supreme Court of the State of New York, New York County,
for the purposes of any suit, action or other proceeding arising out of this
Guaranty brought by any party, and (b) hereby waives, and agrees not to assert,
by way of motion, as a defense, or otherwise, in any such suit, action or
proceeding, to the extent permitted by applicable law, that the suit, action or
proceeding is brought in an inconvenient forum, that the venue of the suit,
action or proceeding is improper, or that this Guaranty may not be enforced in
or by such courts.

8.             Integration;
Counterparts; Successors and Assigns; Headings.   This Guaranty (a) constitutes the entire agreement, and
supersedes all prior agreements and understandings, both written and oral,
between the Lessee Guarantor and the Lessor, with respect to the subject matter
hereof, (b) may be executed in several counterparts, each of which shall be deemed
an original, but all of which together shall constitute one and the same
instrument, and (c) shall be binding upon the successors and assigns of the
Lessee Guarantor and shall inure to the benefit of, and shall be enforceable
by, the Lessor to the fullest extent permitted by applicable laws.  The headings in this Guaranty are for
purposes of reference only, and shall not limit or otherwise affect the
meanings hereof.

9.             Notices.
  All requests, notices or other
communications hereunder shall be in writing, addressed as follows:

If to the Lessee Guarantor:

to Pinnacle Airlines Corp.

1689 Nonconnah Blvd.

Suite 111

Memphis, TN  38132

Telecopy No.: (901) 348-4103

 

 

5

 

If to the Lessor:

to the address or telecopy number set forth in the Lease.

All requests, notices or
other communications shall be given in the manner, and shall be effective at
the times and under the terms, set forth in Section 17 of the Lease.

10.          No
Waivers.   No failure on the part of the Lessor to
exercise, no delay in exercising, and no course of dealing with respect to, any
right or remedy hereunder will operate as a waiver thereof; nor will any single
or partial exercise of any right or remedy hereunder preclude any other or
further exercise of such right or remedy or the exercise of any other right or
remedy.

11.          Survival.
  All representations and warranties contained
herein or made in writing by the Lessee Guarantor in connection herewith shall
survive the execution and delivery of this Guaranty regardless of any
investigation made by the Lessor or any other Person.

12.          Severability.
  To the fullest extent permitted by
applicable law, any provision of this Guaranty that is prohibited or
unenforceable in any jurisdiction shall, as to such jurisdiction, be
ineffective to the extent of such prohibition or unenforceability without
invalidating the remaining provisions hereof or any provision in the Lease, and
any such prohibition or unenforceability in any jurisdiction shall not
invalidate or render unenforceable such provision in any other jurisdiction.

13.          GOVERNING
LAW.   THIS GUARANTY IS DELIVERED IN, AND SHALL (AND THE
RIGHTS AND DUTIES OF THE LESSEE GUARANTOR AND THE LESSOR SHALL) IN ALL RESPECTS
BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW
YORK, INCLUDING ALL MATTERS OF CONSTRUCTION, VALIDITY AND PERFORMANCE.  THIS GUARANTY SHALL BE DEEMED MADE WHEN
DELIVERED IN NEW YORK, NEW YORK.

14.          Enforcement
Expenses.   The Lessee Guarantor agrees to pay to the Lessor
any and all reasonable costs and expenses (including reasonable legal fees and
expenses) incurred by the Lessor in enforcing, or collecting under, this
Guaranty.

15.          Termination.
  Subject to the provisions of Section 3
hereof, this Guaranty shall terminate upon the indefeasible payment and
performance in full of all of the Obligations.

 

6

 

IN WITNESS WHEREOF, the
parties hereto have caused this Guaranty to be duly executed as of the date
first hereinabove set forth.

 

	
  PINNACLE
  AIRLINES CORP.

  
	
   

  	
   

  
	
  By:

  	
   

  
	
   

  	
   Name:

  
	
   

  	
   Title:

  

Accepted as of the
above date:

 

	
  NORTHWEST AIRLINES, INC.,

  
	
   

  	
  as Lessor

  
	
   

  	
   

  
	
  By:

  	
   

  
	
   

  	
  Name:

  
	
   

  	
  Title:

  

 

 

7

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