Document:

CERTAIN  PORTIONS OF THESE  PROVISIONS  HAVE BEEN OMITTED BASED ON A REQUEST FOR
CONFIDENTIAL  TREATMENT SUBMITTED TO THE U.S. SECURITIES AND EXCHANGE COMMISSION
(THE  "SEC").  THE  NON-PUBLIC  INFORMATION  THAT HAS BEEN  OMITTED  FROM  THESE
PROVISIONS  HAS BEEN  SEPARATELY  FILED WITH THE SEC. EACH  REDACTED  PORTION OF
THESE  PROVISIONS  IS  INDICATED  BY A "[ * ]" AND IS SUBJECT TO THE REQUEST FOR
CONFIDENTIAL  TREATMENT  SUBMITTED  TO THE  SEC.  THE  REDACTED  INFORMATION  IS
CONFIDENTIAL INFORMATION OF TITANIMUM METALS CORPORATION AND THE BOEING COMPANY.

                           SPECIAL BUSINESS PROVISIONS

                                     between

                               THE BOEING COMPANY

                                       and

                           Titanium Metals Corporation

                                      [ * ]

<PAGE>
                                [LOGO GOES HERE]

                    Boeing Proprietary and Seller Proprietary

                                TABLE OF CONTENTS

TITLE PAGE
TABLE OF CONTENTS
AMENDMENT PAGE
RECITAL PAGE

1.0      DEFINITIONS..........................................................10

2.0      CONTRACT FORMATION...................................................11
         2.1       Order......................................................11
                     2.1.1  Not Applicable. ..................................11
                     2.1.2 Issuance of Orders for Products and Services  .....12
         2.2       Entire Agreement...........................................12
                     2.3.1  Supporting Documentation and Priority  ...........13
                     2.3.2  Revision of Documents    .........................13
                     2.3.3  Compliance      ..................................14
                     2.3.4  List of Certain Documents.........................14
         2.4       Order of Precedence........................................14
         2.5       Survival...................................................14

3.0       PERIOD OF PERFORMANCE AND PRICES....................................15
         3.1       Performance................................................15
                     3.1.1  Period of Performance    .........................15
                     3.1.2  Extension of Contract    .........................15
         3.2       Pricing....................................................15
                     3.2.1  Product Pricing ..................................15
                     3.2.2  Manufacturing Configuration      .................16
                     3.2.3  Packaging       ..................................16
                     3.2.4  Local Transportation Devices      ................16
         3.3       Subject Matter of Sale.....................................16
                     3.3.1  Nonrecurring Work        .........................16
                     3.3.1.1        Tooling - General.........................16
                     3.3.1.2        Static and Fatigue Test Articles  ........16
                     3.3.1.3        Contractor-Use Tooling (also known as
                                    Seller-Use Tooling).......................17
                     3.3.1.4        Common - Use Tooling      ................17
                     3.3.1.5        Use of Casting, Forging and
                                      Extrusion Tools                .........17
                     3.3.1.6        Initial Planning .........................17
                     3.3.1.7        Weight Status Reporting   ................17
                     3.3.1.8        Integrated Product Team   ................17
         3.4       Type Design and Type Certification Data Development and
                     Protection...............................................17

4.0       GOVERNING QUALITY ASSURANCE REQUIREMENTS............................17
         4.1      Seller Authorized Representative (AR) Requirements and
                  Obligations.................................................17

5.0       APPLICABLE LAW......................................................18

6.0       PRODUCT SUPPORT AND ASSURANCE; ON TIME DELIVERY.....................18
         6.1       Warranty...................................................18
         6.1.1    ............................................................18
         6.1.2    ............................................................18

6.2      Integrated Materials Management (IMM) Program........................19
         6.3      ON-TIME DELIVERY............................................19

7.0       PAYMENT.............................................................21
         7.1      Recurring Price.............................................21
         7.2      Nonrecurring Price/Special Charges..........................21
         7.3      Payment Method..............................................21
         7.4      Payment Errors..............................................21
         7.5      Credit for Certain Orders...................................22

8.0       SCHEDULE ACCELERATION/DECELERATION..................................22

9.0       NOTICES.............................................................23
         9.1       Addresses..................................................23

10.0      OBLIGATION TO PURCHASE AND SELL/VOLUME AND SHARE/REMEDIES...........23

11.0      COST PERFORMANCE VISIBILITY.........................................29

12.0      CHANGE PROVISIONS...................................................29
         12.1      Reserved...................................................29
         12.2      Computation of Equitable Adjustment........................29
         12.3      Obsolescence...............................................29
         12.4      Change Absorption (Nonrecurring/Recurring).................29
         12.5      Planning Schedule/Forecasting..............................29
         12.6     Total Cost Management/Lean Manufacturing
                     Process Improvement......................................30
         12.7      Reserved...................................................32
         12.8      Reserved...................................................32
         12.9      Derivative Aircraft........................................32

13.0      SPARES AND OTHER PRICING............................................32
         13.1      Spares.....................................................32
                     13.1.1         Spares Support   .........................33
                     13.1.2         Reclassification or Re-exercises   .......34
                     13.1.3         Spare Pricing    .........................34
                     13.1.3.1       Aircraft on Ground (AOG) Requirement .....34
                     13.1.3.2       Seller's Less Than Manufacturing Lead-time
                                    Spare.....................................34
                     13.1.4         Spares Special Handling   ................34
         13.2      Expedite of Production Requirements........................35
         13.3      Tooling....................................................35
                     13.3.1         Responsible Party.........................35
                     13.3.2         Boeing Furnished Tooling  ................35
                     13.3.3.1       Title to Tooling .........................35
                     13.3.3.2       Use and Disposition of Tooling     .......35
                     13.3.3.3       Accountability for Tooling................35
                     13.3.3.4       Certified Tool Lists      ................35
         13.4      Pricing of Boeing's Supporting Requirements................36
         13.5      Pricing of Requirements for Modification or Retrofit.......36
                     13.5.1         Boeing Responsibility or Regulatory
                                    Requirement...............................36
                     13.5.2         Contract Aftermarket Modification or
                     Retrofit Work Performed by
                     Boeing...................................................36
         13.6      Pricing of Similar Products................................36

14.0     STATUS REPORTS/REVIEWS...............................................36
         14.1      General Reports / Reviews..................................36
         14.2      Diversity Reporting........................................37
         14.3     Program Manager.............................................37
         14.4      Certified Tool List........................................37
         14.5      Problem Reports............................................37
         14.6      Reserved...................................................38

15.0     INTERNATIONAL COOPERATION............................................38
         15.1      Market Access and Sales Support............................38
         15.2      Offset Assistance..........................................38
         15.3      Credit Against Aircraft Sales..............................39

16.0      BOEING FURNISHED MATERIAL/SUPPLIER BANKED MATERIAL..................39
         16.1     Boeing Furnished Material...................................39

17.0      PARTICIPATION.......................................................40
         17.1      Other Boeing Entities......................................40
         17.2      Boeing Subcontractors / Suppliers..........................40
         17.3      Notification of Contract...................................40
         17.4      Notification of Price Reductions...........................40

18.0      INVENTORY AT CONTRACT COMPLETION....................................41

19.0      OWNERSHIP OF INTELLECTUAL PROPERTY..................................41
         19.1      Technical Work Product.....................................41
         19.2      Inventions and Patents.....................................41
         19.3      Works of Authorship and Copyrights.........................41
         19.4      Pre-Existing Inventions and Works of Authorship............41
         19.5      Inapplicability............................................42

20.0      ADMINISTRATIVE AGREEMENTS...........................................42

21.0      GUARANTEED WEIGHT REQUIREMENTS......................................42

22.0      SELLER DATA REQUIREMENTS............................................42

23.0      DEFERRED PAYMENT....................................................42

24.0      SOFTWARE PROPRIETARY INFORMATION RIGHTS.............................42

25.0      CONFIGURATION CONTROL...............................................42

26.0      INFRINGEMENT........................................................43

27.0      RAW MATERIAL PROGRAM................................................43
         27.1      Boeing Raw Material Strategy...............................43
         27.2      Reserved...................................................43

28.0      DIGITIZATION OF PROPRIETARY INFORMATION AND MATERIALS...............43

29.0     ON-SITE SUPPORT......................................................44
         29.1      Indemnification Negligence of Seller or subcontractor......44
         29.2      Commercial General Liability...............................44
         29.3      Automobile Liability.......................................44
         29.4      Workers' Compensation......................................44
         29.5      Certificates of Insurance..................................44
         29.6      Self-Assumption............................................44
         29.7      Protection of Property.....................................44
         29.8      Compliance with Boeing Site Requirements...................44

30.0     BOEING TECHNICAL / MANUFACTURING ASSISTANCE REGARDING SELLER'S
         NONPERFORMANCE.......................................................44

31.0      U.S. CUSTOMS INVOICE REQUIREMENTS...................................45

32.0      STRATEGIC ALIGNMENT.................................................45

33.0      CUSTOMS-TRADE PARTNERSHIP AGAINST TERRORISM (C-TPAT)................45

34.0     Reserved.............................................................45

35.0      DELIVERY - TITLE AND RISK OF LOSS...................................45
         35.1      Delivery Point and Schedule................................45
         35.2      Delivery Schedule of Other Products and Performance of
                   Services...................................................46
         35.3      Transportation Routing Instructions........................46
         35.4      Notification of Shipment...................................46
                     35.4.1          Title and Risk of Loss   ................46
         35.5      Notice of Delay - Premium Effort...........................46

36.0      PACKAGING AND SHIPPING..............................................46
         36.1      Product Packaging..........................................46
         36.2      Consolidated Shipments and Markings........................46
         36.3      Freight Charges............................................46
         36.4      Packing Sheet and Test Reports.............................46
         36.5      Additional Copies..........................................46
         36.6      Price Inclusive............................................46

37.0      ADDITIONAL QUALITY ASSURANCE REQUIREMENTS...........................46
         37.1      Federal Aviation Administration Inspection.................46
         37.2      Repair Authorization.......................................47
                     37.2.1          Boeing-Performed Work    ................47
                     37.2.2          Reimbursement for Repairs................47

38.0      CHANGES.............................................................47

39.0      EXAMINATION OF RECORDS..............................................47
         39.1      Reports....................................................47

40.0      EVENTS OF DEFAULT AND REMEDIES......................................47
         40.1      Additional Event of Default Not Applicable.................47
         40.2      Interest on Overdue Amounts................................47

41.0      CUSTOMER CONTACT....................................................47

42.0      SUBCONTRACTING......................................................47

43.0      SUPPLEMENTS AND MODIFICATIONS.......................................47

44.0      INCREMENTAL RELEASE AND CYCLE TIME REQUIREMENTS.....................48
         44.1      Incremental Release........................................48
         44.2      Cycle Time Requirements....................................48

45.0      SURPLUS PRODUCTS....................................................48
         45.1      Return of Surplus Products.................................48
         45.2      Use of Surplus Products....................................48

46.0      INTEGRATED PRODUCT TEAM.............................................48
         46.1      Purpose....................................................48
         46.2      Qualifications.............................................48
         46.3      Removal of Personnel.......................................48
         46.4      Work Schedule..............................................48
         46.5      Equipment and Supplies.....................................48
         46.6      Employment Status..........................................49
         46.7      Team Leader................................................49
         46.8      Discipline.................................................49
         46.9      Insurance..................................................49
         46.10     Indemnification............................................49
         46.11     Compensation...............................................49

47.0      SELLER ASSISTANCE...................................................49

         Not Applicable.......................................................49

48.0     DEFINE AND CONTROL AIRPLANE CONFIGURATION / MANUFACTURING RESOURCE
         MANAGEMENT (DCAC/MRM)................................................49

49.0     ELECTRONIC ACCESS AND EXCHANGE OF DIGITAL PRODUCT DEFINITION.........49
         49.1     Exchange of Digital Product Definition Between Boeing and
                  Seller......................................................49
         49.2      System/Software Compatibility between Boeing and Seller....49
         49.3     Electronic Access, Communications and Data Exchange via
                  Telecommunications..........................................50

50.0      AMENDMENT...........................................................50

51.0     AUTHORITY............................................................50

Signature Page

Attachment 1     Work Statement and Pricing

Attachment 1A    Component Spares Requirements--Not Applicable

Attachment 2     Non-U.S. Procurement Report

Attachment 3     Rates and Factors

Attachment 4     Boeing AOG Coverage

Attachment 5     Boeing AOG Shipping Notification

Attachment 6     Seller Data Submittals

Attachment 7     Supplier Data Requirements List Customers / Engineering
                 --Not Applicable

Attachment 8     Commodity Listing and Terms of Sale

Attachment 9     Cost and Performance Reviews

Attachment 10    Quality Assurance Requirements

Attachment 11    Second Tier Support

Attachment 12    Commercial Invoice Requirements (Customs Invoice)

Attachment 13    On-Site Terms & Conditions Supplement--Not Applicable

Attachment 14    Production Article Delivery Schedule--Not Applicable

Attachment 15    Production Article Definition & Contract Change Notices
                 Not Applicable

Attachment 16    Non-Recurring and Recurring Price Status and Summary Tables
                 --Not Applicable

Attachment 17    Value Engineering Methodology--Reserved

Attachment 18    Indentured Priced Parts List and Spares Pricing--Not Applicable

Attachment 19    Incremental Release Plan and Lead Times--Not Applicable

Attachment 20    Schedule Change Examples--Reserved

Attachment 21     Seller's Standard Stocked Items

Attachment 22     Seller's Traditional Shipping Locations

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                   AMENDMENTS

--------------- ---------------------------------- -------------- --------------
Amend           Description                        Date           Approval
Number
--------------- ---------------------------------- -------------- --------------
--------------- ---------------------------------- -------------- --------------

--------------- ---------------------------------- -------------- --------------

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                           SPECIAL BUSINESS PROVISIONS

THESE SPECIAL BUSINESS PROVISIONS ("SBP") are entered into as of August 2 , 2005
and  effective  as of July 1, 2005 by and between  Titanium  Metals  Corporation
("TIMET"), a Delaware corporation with its principal office in Denver,  Colorado
("Seller"), and The Boeing Company, a Delaware corporation acting by and through
its Boeing Commercial  Airplanes division  ("Boeing").  Hereinafter,  Seller and
Boeing may be referred to each as a "Party" and jointly as "Parties" hereto.

Now,  therefore,  in consideration of the mutual covenants set forth herein, the
Parties agree as follows:

1.0      DEFINITIONS

The definitions  used herein are the same as those used in the GTA. In addition,
the following terms are defined as follows:

A.       [ * ] means the [ * ] between the Parties  entered into as of [ * ], as
         may be amended from time to time by the Parties.

B.       "Contract,"  "hereof,"  "hereto,"  "herein" and similar terms mean this
         Special Business  Provisions,  including all Attachments,  Exhibits and
         Documents, and all amendments, modifications and supplements hereto.

C.       "Drawing"  means an  electronic  or manual  depiction  of  graphics  or
         technical  information  representing  a Product or any part thereof and
         which includes the parts list and specifications relating thereto.

D.       "Engineering  Release" means  engineering  Drawings or other Documents,
         approved by Boeing and released  through Boeing's  engineering  Drawing
         release system, that define the design requirements of any Product.

E.       "Integrated  Product  Team" or "IPT" or  "Design  Build  Team" or "DBT"
         means a team composed of representatives from engineering,  operations,
         SM&P,  design-to-cost  and other  disciplines  as Boeing shall specify,
         whose objective is to optimize  designs for cost,  weight,  performance
         and producibility.

F.       "Manufacturing  Work  Package" or "Work  Package"  means  manufacturing
         effort that Seller will provide under this SBP.

G.       "Miscellaneous   Work"  is  Seller-performed   work  or  services  that
         includes, but is not limited to, provision of additional test articles,
         test support, field support and Boeing-used supplier facilities.

H.       "Obsolescence"  means the  discontinuation  of the  requirement for any
         Product as a result of engineering or manufacturing  change,  which has
         rendered such Product no longer usable in the production of the Program
         Airplane or any Derivative.

I.       "Person"  means  any  individual,  partnership,   corporation,  limited
         liability company,  joint venture,  association,  joint-stock  company,
         trust,  unincorporated  organization  or  government  or any  agency or
         political subdivision thereof or any other entity.

J.       "Price" means the amount to be paid by Boeing to Seller for any Product
         in accordance with the terms of this SBP.

K.       "Prior  Agreement" means the "Purchase and Sale Agreement (for titanium
         products)" between the Parties amended and restated effective April 19,
         2001.

L.       "Program" means the design, development,  marketing, manufacture, sales
         and  customer  support  of  Program  Airplanes,  Derivatives  and other
         Products.

M.       "Program Airplane" means a commercial transport aircraft  incorporating
         advanced  technology  and having a model  designation of 737, 747, 767,
         787 for which Seller shall provide any Product pursuant to this SBP.

N.       "Value  Engineering"  is a single  component  of total cost  management
         designed to leverage BCA and Supplier  Engineering  resources to reduce
         costs  (to  Sellers)  and  prices  (to  Boeing)  for  Products  through
         engineering changes in requirements,  processes, or designs which in no
         way reduce airplane safety, performance, maintainability,  reliability,
         producibility or capability.

2.0      CONTRACT FORMATION

2.1      Order

Any Order to which this SBP applies will include a statement  incorporating this
SBP by  reference  unless  otherwise  specifically  agreed to in  writing by the
parties.

Each such Order will be governed by and be deemed to include the  provisions  of
this SBP.

2.1.1    Not Applicable.

2.1.2    Issuance of Orders for Products and Services

Boeing  will  notify  Seller of its  requirements  for any  Product  and for any
Service under this SBP by issuing  Orders in accordance  with the  provisions of
the GTA.  Only  Boeing or its  designated  Service  Provider  may  issue  Orders
hereunder.  Such Orders will  authorize  performance,  indicate  Price (which is
determined in accordance with Attachment 1), establish  schedule for delivery or
performance   in   accordance   with   then-applicable   lead   times,   provide
identification  of any such  Product or  Service,  indicate  the part number for
which the Products are being supplied and effect payment and accountability. Any
such Order shall  include a statement  incorporating  this SBP by reference  and
shall be governed by and be deemed to include the provisions of this SBP. From [
* ] through [ * ], Boeing and Seller  shall  process  all Orders  through [ * ].
Thereafter, during the term of this SBP commencing [ * ], the Parties will agree
upon a procedure  for  processing  Orders.  Boeing and Seller  will  discuss the
potential assumption [ * ] functions if Boeing [ * ].

2.2      Entire Agreement

This SBP (and all of the documents  incorporated  herein and made a part hereof)
sets forth the entire  agreement  between the Parties  pertaining to the subject
matter  hereof.  Provided,  however,  that the Parties  are also  parties to the
following  agreements which shall remain in effect: (1) Proprietary  Information
Agreement  effective as of May 2, 2003; (2)  Proprietary  Information  Agreement
effective  as of August 2,  2005;  (3) [ * ]; (4)  Electronic  Commerce  Trading
Partner Agreement dated as of June 14, 2003.

The Order shall be governed by and be deemed to include the  provisions  of this
GTA and SBP and sets  forth the entire  agreement,  and  supersedes  any and all
other prior agreements,  understandings  and  communications  between Boeing and
Seller related to the subject matter of an Order.  Except as provided  elsewhere
herein or in the GTA,  the rights  and  remedies  afforded  to Boeing and Seller
pursuant to any  provisions  of an Order are in addition to any other rights and
remedies afforded by law or otherwise.

2.3      Incorporated by Reference

General Terms  Agreement  ("GTA") [ * ] dated August 2, 2005 and effective as of
July 1, 2005 is incorporated in and made a part of this SBP by this reference.

Whenever agreed to by the Parties,  an Administrative  Agreement ("AA") shall be
incorporated in and made a part of this SBP.

In addition to any other documents  incorporated elsewhere in this SBP or GTA by
reference, the documents set forth in Section 2.3.1 shall be incorporated in and
made a part of this SBP by reference  with full force and effect,  as if set out
in full text. It is Seller's  responsibility  to comply with the latest revision
of these documents subject to the provisions contained in Section 2.3.2.

2.3.1    Supporting Documentation and Priority

All  Documents  (as  this  term  is  herein   defined)  are  by  this  reference
incorporated  herein and made a part of this SBP subject to the  requirements of
Section  2.3.  For purposes of this SBP,  "Document"  means all  specifications,
Drawings,  documents,  publications  and other similar  materials,  whether in a
tangible or intangible form, as exist on the date of this Contract, which relate
to the  manufacture  and sale of Products or the provision of Services to Boeing
pursuant to this SBP, including, but not limited to, the Documents listed below,
and any other  Documents  specifically  referred to in this SBP or in such other
Documents.  Reference in any Document to  "Contractor" or "Seller" or "Supplier"
shall  mean  Seller  for  the  purposes  of  this  SBP.  In  the  event  of  any
inconsistency  between  the terms and  conditions  of this SBP and the terms and
conditions of any Document,  the terms and  conditions of the SBP shall control.
In the  event  any  provisions  of any  Document  or  Documents  conflict  among
themselves, Boeing and Seller will jointly resolve such conflict and revise such
Document or Documents  accordingly.  In resolving any such  conflicts,  this SBP
shall be read as a whole and in a manner most likely to accomplish its purposes.

2.3.2    Revision of Documents

Subject to the terms of SBP Section 2.3,  Boeing may at any time amend or revise
any Document prepared by Boeing;  provided,  however, that (a) Boeing shall have
supplied any such amendment or revision to Seller in writing within a reasonable
amount of time prior to its  effective  date,  (b) Seller  will  implement  such
amendment  or revision as quickly as possible,  subject to paragraph  (d) below,
(c) if such change  increases or decreases  the cost or time required to perform
any Order,  Boeing and Seller shall  negotiate an  equitable  adjustment  in the
price or schedule,  or both, to reflect the increase or decrease,  including the
application of any required Cost Adjustment Element as described in Attachment 1
to SBP to reasonably  and fairly  compensate for the effect of such amendment or
revision  and (d) if  Seller is unable to  implement  any of the  amendments  or
revisions Boeing and Seller will negotiate  regarding such  implementation,  and
except that stated addresses and designees for each Party contained  therein may
be modified  unilaterally  by such Party,  and any  modification of any Document
executed by Seller must be reflected promptly therein by amendment thereto.

2.3.3    Compliance

Seller shall, subject to the terms of this SBP Section 2.3, promptly comply with
the provisions of all Documents,  including any revisions subject to SBP Section
2.3.2 thereto.

2.3.4    List of Certain Documents

[ * ]

2.4      Order of Precedence

In the event of a  conflict  or  inconsistency  between  any of the terms of the
following Documents, the following order of precedence shall control:

A.       [ * ]
B.       [ * ]
C.       [ * ]
D.       [ * ]
E.       [ * ]
F.       [ * ]
G.       [ * ]
H.       [ * ]
I.       [ * ].

In resolving any such conflicts, these documents shall be read as a whole and in
a manner most likely to accomplish their purposes.

Each  Party   shall   promptly   report  to  the  other  Party  in  writing  any
inconsistencies  discovered in these  Documents,  even if the  inconsistency  is
resolvable using the above rules.

2.5      Survival

Without   limiting   any  other   survival   provision   contained   herein  and
notwithstanding any other provision of this SBP or the GTA to the contrary,  the
representations,  covenants, agreements and obligations of the Parties set forth
in GTA Section 8.5 "Retention of Records",  GTA Section 12.3  "Seller's  Claim",
GTA Section  16.0  "Termination  or  Wrongful  Cancellation",  GTA Section  18.0
"Responsibility  for Property",  GTA Section 20.0 ` Proprietary  Information and
Items", GTA Section 24.0 "Boeing's Rights in Seller's Patents, Copyrights, Trade
Secrets and Tooling",  GTA Section 27.0 "Property  Insurance",  GTA Section 29.0
"Non-Waiver/Partial  Invalidity",  this SBP Section 2.5 "Survival",  SBP Section
5.0 "Applicable Law", SBP Section 29.0 "On-Site Support"(if applicable), and SBP
Section 43.0 "Supplements and Modifications"(if  applicable),  shall survive any
cancellation,  termination or expiration of this SBP, any assignment of this SBP
or any payment and  performance  of any or all of the other  obligations  of the
Parties hereunder. Termination or cancellation of any part of this SBP shall not
alter or affect any part of this SBP that has not been terminated or cancelled.

3.0      PERIOD OF PERFORMANCE AND PRICES

3.1      Performance

3.1.1    Period of Performance

The  period  of  performance  for this SBP  shall  be from  the  effective  date
identified in the first paragraph of this SBP and ending December 31, 2010.

3.1.2    Extension of Contract

Seller and Boeing  may  extend the period of  performance  of this SBP by mutual
written agreement of both parties. Boeing and Seller shall endeavor to reach any
such agreement regarding extension no later than [ * ].

Notwithstanding the provisions herein, each Party reserves the right to commence
new  negotiations  with the other Party  concerning  pricing and other terms for
additional quantities of Products.

3.2      Pricing

3.2.1    Product Pricing

The Prices of Products  ordered and scheduled for delivery  under this SBP on or
after [ * ] are set forth in SBP  Attachment  1.  Prices  are in  United  States
Dollars.

A list of Seller's traditional shipping locations is included as Attachment 22.

[ * ]

In addition, when the Products will be imported into the United States by way of
aircraft, the Seller has the responsibility of requiring, and ensuring, that the
forwarder/carrier  provide,  via  email,  a  pre-alert  and  confirmed  on-board
notification  to  Boeing's  contracted  broker  no less  than [ * ] prior to the
shipment's  leaving the port of export. The pre-alert must include a copy of the
completed  commercial  invoice,  the airway bill, flight details,  and confirmed
on-board  information.  For identification of Boeing's contracted broker contact
Boeing Traffic at http://www.boeing.com/companyoffices/doingbiz/flash.html.

3.2.2    Manufacturing Configuration

Unit pricing for each Product or part number shown in SBP  Attachment 1 is based
on the latest revisions of the Specifications at the time of the signing of this
SBP and any amendments thereof, subject to GTA Section 10.

3.2.3    Packaging

The Prices shown in SBP Attachment 1 include all normal and reasonable packaging
costs (normal and reasonable  packaging is further  described in GTA Section 7).
For  export  shipments  or  shipments  requiring  packaging  in excess of normal
packaging,  Boeing shall pay for such additional packaging charges. Seller shall
package Product in accordance with the applicable  requirements set forth in the
GTA for the location issuing the Order, as appropriate.  Upon Boeing's  request,
Seller will provide discreet packaging costs.

3.2.4    Local Transportation Devices

         Not Applicable.

3.3      Subject Matter of Sale

Subject to the provisions of this SBP, Seller shall sell to Boeing and Boeing
shall purchase from Seller certain Products as set forth in SBP Attachment 1.
Such Products are intended for use by Boeing for the [ * ]. Such Products may be
[ * ].

3.3.1    Nonrecurring Work

3.3.1.1  Tooling - General

         Not Applicable.

3.3.1.2  Static and Fatigue Test Articles

         Not Applicable.

3.3.1.3  Contractor-Use Tooling (also known as Seller-Use Tooling)

         Not Applicable.

3.3.1.4  Common - Use Tooling

         Not Applicable.

3.3.1.5  Use of Casting, Forging and Extrusion Tools

         Not Applicable.

3.3.1.6  Initial Planning

         Not Applicable.

3.3.1.7  Weight Status Reporting

         Not Applicable.

3.3.1.8  Integrated Product Team

Seller shall participate and/or locate at Boeing's  facilities key personnel for
Integrated Product Teams as requested by Boeing.

3.4      Type Design and Type Certification Data Development and Protection

         Not Applicable.

3.5      Seller Authorized Representative (AR) Requirements and Obligations

         Not Applicable.

4.0      GOVERNING QUALITY ASSURANCE REQUIREMENTS

In addition to those general  quality  assurance  requirements  set forth in the
GTA,  the  work  performed  under  this  SBP  shall  be in  accordance  with the
requirements set forth in SBP Attachment 10.

4.1      Seller Authorized Representative (AR) Requirements and Obligations

         Not Applicable.

5.0      APPLICABLE LAW

This  Contract  shall be  governed  by the laws of the State of  Washington.  No
consideration  shall  be given  to  Washington's  conflict  of law  rules.  This
Contract  excludes the  application  of the 1980 United  Nations  Convention  on
Contracts  for  the  International  Sale of  Goods.  Seller  hereby  irrevocably
consents to and submits itself to the  jurisdiction of the applicable  courts of
King  County  Washington  and the  federal  courts of  Washington  State for the
purpose  of any suit,  action or other  judicial  proceeding  arising  out of or
connected with any Order or the  performance or subject matter  thereof.  Seller
hereby  waives  and agrees  not to assert by way of  motion,  as a  defense,  or
otherwise, in any such suit, action or proceeding,  any claim that (a) Seller is
not personally  subject to the jurisdiction of the above-named  courts,  (b) the
suit, action or proceeding is brought in an inconvenient  forum or (c) the venue
of the suit, action or proceeding is improper.

6.0      PRODUCT SUPPORT AND ASSURANCE; ON TIME DELIVERY

6.1      Warranty

With respect to each Product purchased by Boeing and delivered by Seller, Seller
warrants to Boeing that [ * ].

Unless otherwise agreed to by Boeing, Products delivered under an Order shall be
subject to [ * ]. If Boeing  performs an  inspection  or test on the premises of
Seller  or its  subcontractor,  Seller  shall  furnish,  and shall  require  its
subcontractor to furnish,  without additional charge,  reasonable facilities and
assistance for safe and convenient performance of these duties.

6.1.1    Claim Against Seller

Any claim against  Seller for breach of the warranties set forth in this Section
6.1 shall be made in writing no later than [ * ] after  delivery of such Product
by Seller, after which time any such claim shall be deemed waived and barred.

6.1.2    Implied Warranty

[ * ]

6.1.3    Permitted Assignees

This  warranty  shall  run  to  Boeing,  its  successors,  and  their  permitted
assignees.  Products  required to be repaired,  corrected  or replaced  shall be
subject to this SBP Section 6.1 and GTA Section  8.3  "Boeing's  Inspection  and
Rejection"  in the same  manner and to the same  extent as  Products  originally
delivered  under this SBP,  but only as to the  repaired,  corrected or replaced
part or parts  thereof.  Even if the Parties  disagree  about the existence of a
breach of this warranty,  Seller shall promptly  comply with Boeing's  direction
to: [ * ] If the  Parties  later  determine  that  Seller  did not  breach  this
warranty, the Parties shall equitably adjust the invoiced amounts.

6.2      Integrated Materials Management (IMM) Program

If requested  by Boeing,  Seller  shall,  as may be  applicable  for a materials
supplier,  participate in and support Boeing's Integrated  Materials  Management
(IMM) Program  pursuant to terms and conditions  mutually agreed upon in writing
by the  Parties  that  will  achieve  an  efficient  and low cost  supply  chain
infrastructure  pursuant to the goals and  strategies  of the IMM Program as set
forth below:

         A.       Provide a Boeing integrated  solution for customers'  material
                  management operations;

         B.       Provide  guaranteed  service levels to customers'  maintenance
                  operations;

         C.       Reduce  inventory and process costs with better service levels
                  to customers;

         D.       Enable  supply  chain and  customers to reduce costs and share
                  benefits.

IMM on-site  functions may be located at customers'  facilities and may include,
demand  planning,  inventory  management,   repair  and  overhaul  services  and
replenishment  management.  IMM  global  functions  may  include,  planning  and
collaboration,   global  operations,   systems  integration,   network  supplier
management,  global logistics  management,  quality assurance,  human resources,
parts/services  engineering,  finance and  accounting,  communications,  product
development. 6.3 ON-TIME DELIVERY

6.3.1    Definitions

For the  purposes  of this  Section  6.3,  "On-Time"  delivery by Seller for the
period from the  effective  date of the Contract up to and including [ * ] shall
be defined as Seller having  conforming  Product available to ship from a period
beginning [ * ].

"On-Time  Delivery  Rate"  means,  for a given [ * ],  the [ * ].  This  rate is
expressed as a percentage.

"Quality  Performance  Rate"  means  for a given [ * ] the [ * ].  This  rate is
expressed as a percentage.

6.3.2    On-Time and Delivery Targets and Material Default in Performance from [
         * ] through [ * ].

From [ * ]  through [ * ],  Seller  shall  strive  at all  times for an  On-Time
Delivery  Rate of not less  than [ * ] in each [ * ] and a  Quality  Performance
Rate of not less than [ * ] in each [ * ].

However,  for purposes of GTA Section 13.4, a "Material  Default in Performance"
by Seller for the period  from [ * ] through [ * ] shall be deemed to occur when
either (a) the On-Time  Delivery  Rate for any given [ * ] is less than [ * ] or
(b) the Quality Performance Rate for any given [ * ] is less than [ * ].

6.3.3    On-Time and Delivery Targets and Material Default in Performance from [
         * ] through [ * ].

From [ * ] through [ * ], for any given [ * ] Seller's  performance  with regard
to its on-time delivery and quality  performance shall be measured in accordance
with the following criteria:

                 OTD Performance           Quality Performance
[ * ]

However,  for purposes of GTA Section 13.4, a "Material  Default in Performance"
by Seller for the period  from [ * ] through [ * ] shall be deemed to occur when
either (a) the On-Time  Delivery  Rate for any given [ * ] is less than [ * ] or
(b) the Quality Performance Rate for any given [ * ] is less than [ * ].

Provided,  however,  that  Boeing  and  Seller  agree to  engage  in good  faith
negotiations  regarding  the  use of [ * ] as the  metric  for  calculating  the
On-Time Delivery Rate as well as the calculation of such rate on a quarterly (as
opposed to rolling)  basis,  and the use of [ * ] as the metric for  calculating
Quality  Performance Rate as well as the calculation of such rate on a quarterly
(as opposed to rolling)  basis,  with a view that the Parties would  endeavor to
reach mutual agreement on any acceptable  changes to these requirements by [ * ]
which changes would then become effective [ * ].

6.3.4    Seller Implementation of Additional Measures by Product Group to Ensure
         On-Time Performance

6.3.4.1  If during the period from [ * ] through [ * ] Seller's On-Time Delivery
         Rate for any specific  Product group(s) falls below [ * ] for any given
         calendar  quarter,  Seller and Boeing  shall set up a  cross-functional
         team to  establish  milestones  to  address  the root  cause(s)  of the
         unsatisfactory  On-Time Delivery Rate within [ * ] following the end of
         the calendar  quarter in which Seller's  On-Time  delivery Rate for any
         Product group(s) falls below [ * ]. If Seller thereafter fails to reach
         any of the established milestones,  Seller will [ * ] within a mutually
         agreeable  time frame and will [ * ] in place  until  Seller's  On-Time
         Delivery  Rate for such  Product  group(s)  is at least [ * ] for [ * ]
         (without relying on [ * ]).

7.0      PAYMENT

7.1      Recurring Price

Unless  otherwise  provided  under the  applicable  Order or  written  agreement
between the Parties,  payment  shall be [ * ]. All  payments  shall be in United
States Dollars.  Except as otherwise provided on an applicable Order identifying
Pay-From  Receipt,  payment  due dates,  including  discount  periods,  shall be
computed  from the later of (a) the invoice date for the Product or (b) the date
of  receipt  of a correct  (proper)  invoice.  Any  discount  shall not apply to
freight or other specified  charges.  All payments are subject to adjustment for
shortages,  credits and  rejections.  A discount of [ * ] of the invoiced amount
shall apply to all cash payments made within [ * ] of the invoice date.

Boeing may dispute payment amounts due, provided that Boeing provides a complete
reason as to the dispute.  Once a dispute has been resolved,  payment terms will
be [ * ] from the date of resolution.

In the event Boeing fails to make payments when due,  Seller  reserves the right
to assert whatever remedies it may have under law.

7.2      Nonrecurring Price/Special Charges

         Not applicable.

7.3      Payment Method

All  payments  hereunder  shall be made by  Boeing  through  Seller's  automated
payment system.

7.4      Payment Errors

If an error in payment (over  payment or under  payment) is discovered by Boeing
or Seller,  a written  notification  will be  submitted  to the other  Party and
resolution  of the error will occur in a timely  manner after  discovery of such
error.

7.5      Credit for Certain Orders

Seller shall credit Boeing [ * ] for all Product ordered by Boeing hereunder and
originally scheduled for delivery by Seller through [ * ].

8.0      SCHEDULE ACCELERATION/DECELERATION

In addition to Boeing's  right to direct a change in quantity or schedule  under
GTA Section 10.0, upon receipt of written notification from Boeing's Procurement
Representative  of  Boeing's  desire to  increase  its  quantity  or  accelerate
schedule requirements  ("Acceleration  Request") and/or decrease its quantity or
decelerate  schedule  requirements  by canceling  all or any part of an Order or
push out the delivery date(s) specified on any Order ("Deceleration Request");

(a) In the  event of an  Acceleration  Request,  Boeing  shall  provide  written
notification  to Seller  specifying all demand and  prioritization  information.
Seller shall provide,  in cooperation with Boeing, a formal proposal  specifying
the manner and extent to which Seller can address  Boeing's demand  requirements
and enumerating the anticipated  additional  costs resulting from various action
proposals  that may be made by Seller.  Based on Boeing's  feedback  Seller will
develop a milestone chart, implement the agreed upon action proposal and provide
ongoing status reports.

(b) In the event of a  Deceleration  Request,  Boeing  shall  provide  to Seller
written  notification of any anticipated  deceleration as soon as possible prior
to the effectiveness of the deceleration request. Seller shall, at no added cost
to  Boeing,  accept  the  cancellation  of all or any part of an Order or permit
Boeing to push-out the delivery dates on Orders, with respect only to Orders for
which  the  delivery  dates  are  later  than the  then-effective  manufacturing
lead-times described in SBP Section 12.5.

Provided, however, that Seller's obligations under this SBP Section 8.0 shall be
limited to  circumstances in which Boeing  experiences  "significant and sudden"
changes to its program(s) build rates and/or model/fleet specific program.

9.0      NOTICES

9.1      Addresses

For all matters requiring the approval or consent of either Party, such approval
or consent  shall be  requested in writing and is not  effective  until given in
writing.  Notices  shall  be  deemed  delivered  (a) on the  business  day  when
personally  delivered or when received by e-mail, (b) one (1) business day after
deposit with a recognized  overnight  business delivery  service,  or (c) on the
business day when sent by verified facsimile to the facsimile number provided in
this Section 9.1,  with  original  forwarded by  recognized  overnight  business
delivery service.  Notices and other communications shall be given in writing by
personal delivery, recognized overnight business delivery service, facsimile, or
electronic transmission addressed to the respective party as follows:

                  To Boeing:        Attention: Michael S. Carr  Mail Code: 05-16
                                    BOEING COMMERCIAL AIRPLANES
                                    GLOBAL PARTNERS
                                    P.O. Box 3707
                                    Seattle, Washington  98124-2207
                                    E-mail: Michael.s.carr@boeing.com
                                    Facsimile: (425) 294-6330

                  To Seller:        Attention: Chris Boland
                                    Titanium Metals Corporation
                                    900 Hemlock Road
                                    Morgantown, PA. 19543
                                    E-mail: Chris.Boland@TIMET.com
                                    Facsimile: (610) 286-3839

                                    And:

                                    Attention: Derek George
                                    Titanium Metals Corporation
                                    3907 S.W. 328th St
                                    Federal Way, WA 98023
                                    E-mail: Derek.George@TIMET.com
                                    Facsimile: (253) 661-6424

Any Party may change its  address or  facsimile  number by giving  notice to the
others in accordance with the provisions of this Section 9.1.

10.0     OBLIGATION TO PURCHASE AND SELL/VOLUME AND SHARE/ REMEDIES

Boeing agrees to purchase from Seller and Seller agrees to supply to Boeing the
Products, on the terms and subject to the conditions contained in the Contract.

         A.  Boeing and Seller  agree  that in  consideration  of the prices set
forth under SBP  Attachment 1 and all of the other terms and  conditions of this
SBP, Boeing shall purchase and Seller shall supply a minimum [ * ] each calendar
year from [ * ] through [ * ] ("Boeing  Minimum  Volume").  The  Boeing  Minimum
Volume may increase as set forth in Section 10.0.F.2 below.

         B. Boeing currently  estimates that calendar year purchases from Seller
will be as follows:

[ * ]

         C.  Seller's  supply  obligation  will be [ * ] of  Product  for [ * ],
notwithstanding the provisions of Section 10.E or 10.F.

         D.  Seller's  obligation  to  supply  the  annual  volumes  of  Product
indicated is conditioned upon Boeing's  providing to Seller reasonably  accurate
forecasting  on the basis  described in Section 12.5. In addition,  Seller shall
not be obligated to accept any Order which:

                  1. [ * ] set forth herein;

                  2.  Contains a [ * ]. Seller will  consult  with Boeing in the
         event it receives  such an Order and is unable to resolve [ * ] and, if
         appropriate, [ * ]. Seller will use [ * ] by Boeing;

                  3. Is [ * ]

                  4. Is for [ * ];

                  5. Is for [ * ]; or

                  6. Is for [ * ].

         E. Except as provided in Section  10.0.F,  Boeing may not  increase its
purchased volume (and Seller's  corresponding  supply  obligation) of Product by
more than [ * ].

         F.  Boeing's  purchased  volume  (and  Seller's   corresponding  supply
obligation) of Product may increase by more than the [ * ]) provided that Boeing
gives  Seller [ * ]  advance  written  notice  of its  plan  for such  increase,
specifying the absolute volume desired.

         1.       For example,  in order to increase projected volume of Product
                  for [ * ] to a level more than [ * ] level,  Boeing would have
                  to give written notice to Seller by [ * ].

         2.       For any calendar year in which Boeing notifies Seller that the
                  projected  increase in Boeing's volume of Product would exceed
                  the permitted [ * ], the amount by which the projected  volume
                  exceeds   the   permitted   [  *  ]  will  be   added  to  the
                  then-effective  Boeing  Minimum  Volume and the sum of the two
                  will become the new Boeing  Minimum  Volume for that  calendar
                  year.

         3.       Notwithstanding  the foregoing,  Boeing's purchased volume may
                  increase  at a greater  [ * ] than  otherwise  allowed  in SBP
                  Section  10.0.F if such  increase  would be necessary in order
                  for Boeing to purchase the Boeing Minimum Volume under Section
                  10.0.A.

         G. Boeing shall  purchase a minimum  volume of titanium  mill  products
(vs.  ingot or other melted  titanium  product)  each  calendar  year (the "Mill
Products  Minimum") which volume shall be included in the Boeing Minimum Volume.
The Mill Products  Minimum for a given calendar year will be calculated based on
Boeing's total purchased volume of Product that calendar year ("Annual Volume"),
as set forth in the following table:

[ * ].

         H.  Volume of  Product  purchased  by Boeing [ * ] will not be  counted
toward  satisfaction of Boeing's Mill Products Minimum  purchase  requirement in
Section  10.0.G,  but will be counted toward  satisfaction of the Boeing Minimum
Volume.

         I. In the event that  Boeing  does not  purchase at least [ * ], Boeing
will compensate Seller [ * ].

         J. In addition, in the event that Boeing does not purchase at least [ *
], Boeing will compensate Seller [ * ].

         K. Seller shall provide Boeing with all  information  relevant to [ * ]
claim  under  Sections  10.0.I or 10.0.J  for a [ * ] by [ * ] of the [ * ]. The
Parties shall agree upon the amount of [ * ] due and payable by Boeing to Seller
by [ * ]. Boeing shall satisfy its  obligation to Seller for [ * ] no later than
[ * ] calendar days after [ * ] either by a [ * ] or, [ * ].

Boeing shall  satisfy all [ * ] claim amounts by [ * ] after [ * ] in the manner
described  above.  If any [ * ] amounts  remain in dispute by [ * ], the Parties
shall target to resolve all outstanding disputes regarding Seller's [ * ] claims
on or before [ * ]  ("Resolution  Date") [ * ].  Boeing  shall then  satisfy all
resolved [ * ] claims  ("Resolved  [ * ] Claim")  by [ * ] after the  Resolution
Date, subject to a late payment charge on the Resolved [ * ] Claim computed over
the  period  from [ * ] until the  Resolution  Date,  using  the [ * ]  publicly
announced  by [ * ],  as  its [ * ] in  effect  [ * ] and  using  the  following
formula:

                           [ * ]

Any amounts that remain disputed after the Resolution Date shall be [ * ].

Late [ * ] Payments:  Amounts  determined to be due by the  procedures  outlined
above that are not paid when due will also be  subject  to a late  charge on the
amount due computed over the period beginning on the date the payment is due and
ending on the payment  date  calculated  in the manner  described in the formula
above.

         L. The [ * ] in Section  10.0.I  for  failure to [ * ] and the [ * ] in
Section 10.0.J for failure to [ * ] are [ * ] within a given [ * ]. For example,
if in a given [ * ] Boeing  purchased [ * ] and [ * ], Boeing would be obligated
to pay Seller in [ * ] (in accordance  with the provisions of Section 10.0.K) in
an amount equal to [ * ]. Assume a [ * ] and a [ * ] (under Section 10.0.G). For
the reflected [ * ] shown below,  the applicable [ * ] under Sections 10.0.I and
10.0.J are shown on the right.

[ * ]

         M. Boeing and Seller agree to discuss establishing a [ * ].

         N. Boeing will use  commercially  reasonable  efforts to provide Seller
with a  diversified  statement of work across all Boeing  commercial  production
programs.

         O. Beginning in [ * ], Boeing will use commercially  reasonable efforts
to order from  Seller and Seller  will use  commercially  reasonable  efforts to
supply to Boeing on an annual basis, a mix of titanium mill products  consistent
with the following target mix [ * ]:

[ * ]

         P.  Seller  will  provide  Boeing  with an  appropriate  business  case
(including  minimum  volumes  requested  and titanium  scrap mix) to support the
potential  award to  Seller  of  Orders  for [ * ]  Product.  Based on  Seller's
business case,  Boeing will determine the volume of [ * ] that may be awarded to
Seller and the applicable  commercial aircraft production programs to which such
awards will relate.

         Q. Mill Minimums - Minimum Order Volumes

         1.       A list of  Seller's  "standard  stocked  items" is provided as
                  Attachment  21 to this SBP.  Boeing agrees that for all Orders
                  other than for standard  stocked items,  the Order volume must
                  be at least [ * ] set forth in the table below:

              [ * ]

                                                              * Nominal weight

         2.       Seller shall not be obligated to accept any offer for an Order
                  for a standard  stocked item for which the Order [ * ] is less
                  than [ * ].

         3.       If Boeing  desires  to order  less than the [ * ] of a Product
                  other  than a  standard  stocked  item,  Seller  elects not to
                  accept such offer for an Order, and Boeing thereafter  chooses
                  to purchase such item from a third-party supplier, Boeing will
                  receive [ * ];  provided,  however,  that the  maximum  credit
                  Boeing may receive in such cases in any calendar year for such
                  third-party purchases is [ * ].

         4.       In the  event  Boeing  is  unable  to  secure  the item from a
                  third-party supplier, Boeing may require Seller to supply such
                  Product.  In such case Seller will  manufacture the [ * ]. Any
                  portion of such [ * ] or, at Boeing's  election,  [ * ] (based
                  upon the then-current  Indicator Index for scrap--see  Section
                  1.03.B.  of Attachment  1).  Boeing may not require  Seller to
                  produce  more than [ * ] under this  Section  10.0.Q.4  in any
                  calendar year.

         5.       Seller agrees to review the [ * ] limits set forth in Sections
                  10.0.Q.3  and  10.0.Q.4  on an  annual  basis to  assure  they
                  continue to be reasonable.

         R. Calculation of Purchased Volumes

         1.       Product  shall be deemed to have been  purchased  in the [ * ]
                  under an Order,  provided  that if [ * ];  provided,  that, if
                  payment for any Product ordered by Boeing is not  subsequently
                  made by Boeing, [ * ]; and provided further, that [ * ];

         2.       Product  with  respect  to which an  Order  is  terminated  in
                  accordance  with Section 12.0 of the GTA shall be counted only
                  in an amount  equal to the  relevant  Order volume (in pounds)
                  times the  percentage of applicable  Price  actually paid as a
                  termination charge in accordance with Section 12.3 of the GTA;
                  and

         3.       Any substitute  titanium product  purchased by Boeing pursuant
                  to Section  13.2.B of the GTA upon the  occurrence of a Seller
                  Event of Default/non-performance under an Order (as defined in
                  Section 13.1 of the GTA) or any Product that Boeing  purchases
                  from a third  party  because  Seller is unable to supply  such
                  Product shall be counted as though such volume (in pounds) had
                  actually been purchased by Boeing from Seller  pursuant to the
                  Contract in the calendar  quarter in which Seller  should have
                  made delivery  thereof provided Seller has been furnished with
                  written notice of such event.

         S. For purposes of this SBP Section 10.0, Boeing is defined [ * ].

11.0     COST PERFORMANCE VISIBILITY

Consistent with the limitations identified in GTA Section 9.0, when requested by
Boeing,  Seller shall provide all necessary cost support data,  source documents
for direct and  indirect  costs,  and  assistance  at the  Seller's  facility in
support of cost and  performance  reviews  performed by the Parties  pursuant to
cost reduction initiatives as set forth in SBP Section 12.6.

The Cost Performance Review (CPR) process is the tool which the Parties will use
to measure  Seller's  performance  against the goals and objectives of Boeing as
set forth in SBP Section  12.6.  Boeing and Seller shall  implement a structured
process  called CPR to review and identify  areas,  processes and  strategies to
reduce or  eliminate  costs for the  Product(s)  set forth in this SBP.  The CPR
process will address those activities which are a direct result of both Parties'
involvement.  Seller  will use  commercially  reasonable  efforts to provide the
resources and data  sufficient to support the CPR process in accordance with the
structure set forth in SBP Attachment 9.

12.0     CHANGE PROVISIONS

12.1     Reserved.

12.2     Computation of Equitable Adjustment

         Not Applicable.

12.3     Obsolescence

Seller may not submit a claim for obsolete material or Product in its possession
resulting from an individual  change order or termination that has a total claim
value of [ * ] or less.

12.4     Change Absorption (Nonrecurring/Recurring)

Not Applicable.

12.5     Planning Schedule/Forecasting

By [ * ] of each year,  Boeing will  provide  Seller with an annual  forecast of
Boeing's projected needs for Product during the [ * ] ("[ * ] Forecast"). Within
[ * ] after receiving the [ * ] Forecast,  Seller will provide Boeing with [ * ]
based on the [ * ] Forecast.  The [ * ] purposes  for Product to be delivered in
the following year. Once issued, [ * ] will not be changed [ * ].

                  A. No later than [ * ],  Boeing  will  provide  Seller  with a
         rolling  forecast  [ * ] ("[ *  ]Forecast").  (For  example,  the [ * ]
         forecast date will include  forecasted volumes for the [ * ].) Within [
         * ] of  Seller's  receipt of each [ * ] Forecast,  Seller will  provide
         Boeing [ * ] for Product based on Seller's [ * ]. [ * ] will be subject
         to change from  time-to-time,  but will not exceed the applicable [ * ]
         for such year for the same titanium product.

                  B. In the event that the [ * ] Forecast changes from one [ * ]
         Forecast to the next by more than [ * ], Seller  reserves  the right to
         adjust  both  the   associated   protected   re-order  lead  times  and
         manufacturing lead-times for that portion of the forecast increase that
         is in excess of the permitted [ * ].

                  C.  Boeing  and  Seller  will work  together  within the [ * ]
         period  commencing on the execution date of the Contract to implement a
         process for developing accurate forecasts.

                  D. In the event that Boeing's actual purchases for a given [ *
         ] differ  from the most  recent [ * ]  Forecast  for that same [ * ] by
         more than [ * ], Seller reserves the right to adjust both protected [ *
         ] and [ * ] in its discretion.

                  E. Provided  Boeing  complies  with all material  terms of the
         Contract,  Seller  will  offer to  Boeing  [ * ] that  will be at least
         comparable to those of [ * ].

12.6     Total Cost Management/Lean Manufacturing Process Improvement

                  A.  Total  Cost   Management   Boeing  and  Seller   agree  to
         participate in a process herein known as Total Cost  Management  (TCM).
         Boeing and Seller may each identify cost reduction  opportunities which
         shall be  documented  in a mutual  written  agreement,  and  shall  use
         commercially  reasonable  efforts to work together for  implementation.
         Boeing and Seller shall review TCM  opportunities  on a periodic basis,
         which shall  include the  establishment  of targets and  implementation
         plans by specific  written  agreement of the Parties.  Where Boeing and
         Seller   identify  TCM  cost   reductions,   beyond  those   previously
         anticipated,   identified   and   documented   and   reflected  in  the
         then-applicable Price for the Products,  the Parties will determine the
         amount of savings that will result from the  improvements and share the
         savings on a basis that is weighted to the "owner" of the savings,  net
         of  development  and  implementation  costs.  All such programs will be
         covered by separate  written  agreements  between the  Parties.  Seller
         suggestions  disapproved  by  Boeing  may  be  given  consideration  in
         achievement of TCM targets.

         B.       Boeing Generated Technical and Cost Improvement

         At any time during the Seller's  performance under this SBP, Boeing may
         offer specific  recommendations  to Seller for the incorporation of any
         new technologies and process  improvements  intended to reduce Seller's
         costs  or  improve  Product  performance.   These  recommendations  may
         include,  but are not limited to, Boeing  proprietary  information  and
         Boeing owned patents.  Notwithstanding any other provision(s) contained
         elsewhere in this SBP, if Seller has agreed to and implemented Boeing's
         recommendations  and a cost savings is  identified  and  documented  as
         resulting  therefrom,  the Parties  agree that if such  savings was not
         previously anticipated,  identified and documented and reflected in the
         then-applicable Price for the Products,  the Parties will determine the
         amount of savings that has resulted from the improvements and share the
         savings on a basis that is weighted to the "owner" of the savings,  net
         of  development  and  implementation  costs.  All such programs will be
         covered  by  separate  written  agreements  between  the  Parties.  And
         provided,  further,  that any such  recommendations  made by Boeing and
         agreed to by Seller shall not modify any other  provisions  in this SBP
         unless expressly agreed to in writing by both Parties.

         C.       Lean Manufacturing/Process Improvement

         With  respect  to any cost  savings  that  result  from any  continuous
         improvement  processes (such as lean manufacturing,  SPC,  preventative
         maintenance)  that  are  agreed  to  in  writing  by  the  Parties  and
         implemented  with a view to achieving  annual TCM cost  reductions,  if
         such savings was not previously anticipated,  identified and documented
         and  reflected  in the  then-applicable  Price for the  Products,  such
         savings would be shared on a reciprocal  basis  weighted to the "owner"
         of the savings,  net of development  implementation  costs.  Seller and
         Boeing will identify  programs and/or areas where costs may be reduced,
         agree in writing  upon each such program to be  implemented  and on the
         baseline  price/cost level against which each price/cost  element shall
         be  measured.  All such  programs  will be covered by separate  written
         agreements between the Parties.

         D.       Cooperation on Research and Development Initiatives

         The Parties  shall explore  opportunities  to work together on research
         and development programs that have been established by separate written
         agreements  between the Parties.  Such cooperation would be expected to
         include regular exchanges of pertinent  information  determined by each
         Party to be appropriate for such cooperative exchange.

12.7     Reserved.

12.8     Reserved.

12.9     Derivative Aircraft

         Not Applicable.

13.0     SPARES AND OTHER PRICING

13.1     Spares

         For  purposes of SBP  Section  13.0,  the  following  requirements  and
         definitions shall apply:

         A.       AIRCRAFT ON GROUND (AOG) - means the highest Spares  priority.
                  Seller  will  expend  best  efforts  to provide  the  earliest
                  possible shipment of any Spare designated AOG by Boeing.  Such
                  effort includes but is not limited to working twenty-four (24)
                  hours  a  day,   seven   days  a  week  and  use  of   premium
                  transportation.  Provided, however, that all additional costs,
                  if any, incurred by Seller as a result of such  prioritization
                  requests  from Boeing  shall be paid by Boeing.  Seller  shall
                  contact  Boeing  upon  receipt  of any AOG  Spare  request  to
                  confirm the accuracy and priority of the request. Seller shall
                  provide Boeing with the anticipated  additional  cost, if any,
                  associated with complying with the AOG Spare request and shall
                  use best efforts to specify the delivery  date of any such AOG
                  Spare within [ * ] of receipt of an AOG Spare request.  Seller
                  shall only proceed to take action upon such AOG Spare  request
                  after receiving written direction from Boeing to proceed.

         B.       DEMAND  DATE - means a date  provided to Seller by Boeing when
                  Boeing  wants the  Product(s)  on-dock.  Seller  will use best
                  efforts to provide a commitment  to Boeing no later than [ * ]
                  from notification of demand date.

         C.       SELLER'S FULL MANUFACTURING  LEADTIME SPARE - means a Spare in
                  which the  Demand  Date is equal to or greater  than  Seller's
                  normal manufacturing lead-time or the Demand Date is less than
                  Seller's  normal  manufacturing  lead-time  but Seller's  best
                  effort commitment is Seller's normal manufacturing lead-time.

         D.       SELLER'S LESS THAN FULL MANUFACTURING LEADTIME SPARE - means a
                  Spare in which the Demand  Date is less than  Seller's  normal
                  manufacturing lead-time and Seller's best effort commitment to
                  meet  the   Demand   Date  is  less   than   Seller's   normal
                  manufacturing lead-time

         E.       PURCHASED ON ASSEMBLY REQUIREMENT (POA) - Not Applicable.

         F.       IN-PRODUCTION  SPARE - means any Spare which is in the current
                  engineering  configuration  for the  Product  and is used on a
                  model aircraft  currently being  manufactured by Boeing at the
                  time of the Order.

         G.       NON-PRODUCTION  SPARE - means any Spare which is used on model
                  aircraft  no  longer  being   manufactured   by  Boeing  (Post
                  Production) or is in a non-current  engineering  configuration
                  for the Product (Out of Production).

         H.       BOEING   PROPRIETARY  SPARE  -  means  any  Spare,   which  is
                  manufactured  (i) by  Boeing,  or  (ii) to  Boeing's  detailed
                  designs with  Boeing's  authorization  or (iii) in whole or in
                  part using Boeing's Proprietary Materials.

13.1.1   Spares Support

The Demand  Date  initiative  is  Boeing's  means of  providing  Seller  greater
visibility of Customer  requirements and expectations for Spares.  Seller agrees
to work with Boeing  during the term of this SBP to identify  and address  those
elements  in the  manufacturing  or  support  processes  which are  critical  to
supporting the Demand Date initiative.  Where possible, the Parties will work to
improve those critical elements.

Seller shall provide Boeing with the name and number of a twenty-four  (24) hour
contact for coordination of AOG  requirements.  Such contact shall be equivalent
to  the  coverage  provided  by  Boeing  to its  Customers  as  outlined  in SBP
Attachment 4 "Boeing AOG Coverage".

Seller shall notify Boeing as soon as possible via fax, telecon, or as otherwise
agreed  to by the  Parties  of each  AOG  requirement  shipment  using  the form
identified  in  SBP  Attachment  5  "Boeing  AOG  Shipping  Notification".  Such
notification shall include time and date shipped,  quantity shipped, Order, pack
slip,  method of  transportation  and air bill if applicable.  Seller shall also
notify  Boeing  immediately  upon the discovery of any delays in shipment of any
requirement and identify the earliest revised shipment possible.

13.1.2   Reclassification or Re-exercises

Boeing  may  instruct  Seller  to   re-prioritize   or  reclassify  an  existing
requirement  in order to improve or otherwise  change the  established  shipping
schedule.  Seller shall use best efforts to meet the revised  requirement as set
forth  above  in  the  definitions  of the  requirements,  subject  to  Boeing's
responsibility  for all  additional  costs,  if any,  caused  thereby.  Seller's
commitment of a delivery  schedule  shall be given in  accordance  with that set
forth above for the applicable classification but in no case shall it exceed [ *
] from notification by Boeing.

13.1.3   Spare Pricing

Except as set forth in SBP  subsections  13.1.3.1 and 13.1.3.2 below and subject
to Boeing's  responsibility  for all additional costs, if any, resulting from an
AOG Spare request,  the price for Boeing Proprietary  Spare(s) shall be the same
as the  production  price for the  Products  as listed on SBP  Attachment  1, in
effect at the time the Spare(s) are ordered.

13.1.3.1 Aircraft on Ground (AOG) Requirement

The price for AOG  requirements  shall be the Price for such Products  listed on
SBP  Attachment  1 in effect when such Spares are  ordered,  subject to Boeing's
responsibility  for all additional  costs,  if any,  resulting from an AOG Spare
request.

13.1.3.2 Seller's Less Than [ * ] Spare

The  price  for  Seller's  less  than [ * ] Spare  shall be the  Price  for such
Products  listed on SBP  Attachment  1 in effect when such  Spares are  ordered,
subject to Boeing's  responsibility  for all additional costs, if any, resulting
from an AOG Spare request.

13.1.4   Spares Special Handling

The price for all effort  associated  with the handling of Spare(s) is deemed to
be included  in the Price for such  Spare(s),  except  where the effort with the
handling  of Spare(s)  exceeds  what would have  occurred  absent the AOG Spares
request,  and such additional effort will be subject to Boeing's  responsibility
for all additional costs, if any, resulting from an AOG Spare request. If Boeing
directs  delivery of Spares to a place other than that designated in SBP Section
3.2.1, Boeing shall reimburse Seller for shipping charges,  including insurance,
paid by Seller to the  designated  place of delivery  which  exceed the original
cost  of  shipping  contemplated  in this  SBP.  Such  charges  shall  be  shown
separately on all invoices.

13.2     Expedite of Production Requirements

Any expedite charges to be paid for short flow production  requirements shall be
pre-approved  by the  Procurement  Representative.  Seller shall provide data to
verify  expedite  charges.  If Seller  fails to meet their  committed  delivery,
Boeing shall not be obligated to pay the agreed upon amount.

13.3     Tooling

13.3.1   Responsible Party

         Not Applicable

13.3.2   Boeing Furnished Tooling

         Not Applicable

13.3.3   Additional Tooling Requirement

         Not Applicable

13.3.3.1 Title to Tooling

         Not Applicable

13.3.3.2 Use and Disposition of Tooling

         Not Applicable

13.3.3.3 Accountability for Tooling

         Not Applicable

13.3.3.4 Certified Tool Lists

         Not Applicable

13.4     Pricing of Boeing's Supporting Requirements

Any Products required to assist Boeing's supporting requirements,  including but
not limited to, test  requirements,  factory  support,  will be provided for not
more than the  applicable  Price as set forth in SBP  Attachment  1,  subject to
Boeing's responsibility for all additional costs, if any, resulting from a Spare
request.

13.5     Pricing of Requirements for Modification or Retrofit

13.5.1   Boeing Responsibility or Regulatory Requirement

Any Products  required by Boeing to support a modification  or retrofit  program
which  results from a regulatory  requirement  or which Boeing may be liable for
the cost associated with such program shall be provided to Boeing at a price not
more than the  applicable  Price as set forth in SBP  Attachment  1,  subject to
Boeing's responsibility for all additional costs, if any, resulting from a Spare
request.

13.5.2   Contract Aftermarket Modification or Retrofit Work Performed by Boeing

Any Products  required by Boeing to support  modification or retrofit  programs,
which Boeing  performs under  contract,  shall be provided for not more than the
applicable  Price  as set  forth  in  SBP  Attachment  1,  subject  to  Boeing's
responsibility for all additional costs, if any, resulting from a Spare request.

13.6     Pricing of Similar Products

Should Boeing desire to order from Seller a titanium  product not  identified on
Attachment 1, the Parties will confer and,  assuming  Seller is able and desires
to  supply  such  non-listed  product,  will  negotiate  the  pricing  for  such
non-listed   product,   generally   following  a  consistent   methodology   for
establishing  new product  pricing as is applied by Seller in  establishing  its
pricing  for new  products.  Any such  agreement  will be evidence by an amended
Attachment 1.

14.0     STATUS REPORTS/REVIEWS

14.1     General Reports / Reviews

When requested by Boeing, Seller shall update and submit, at a minimum,  monthly
status reports or data requested by Boeing using a method  mutually  agreed upon
by Boeing and Seller.  Boeing has the right to impose more frequent reporting on
Seller to achieve program objectives.

When  requested  by  Boeing,  Seller  shall  provide  to Boeing a  manufacturing
milestone chart  identifying the major  purchasing,  planning and  manufacturing
operations for the applicable Product(s).

Program  reviews  will be held at Seller's  facility or Boeing's  facilities  as
reasonably  requested  by Boeing.  The topics of these  reviews  may include raw
material status,  manufacturing status,  production status, Seller's current and
future  capacity  assessments,   inventory,   Boeing's  requirements,   changes,
forecasts  and other issues  pertinent to Seller's  performance  under this SBP.
Reviews will allow formal  presentations and discussion of status reports as set
forth above.

14.2     Diversity Reporting

         Not Applicable.

14.3     Program Manager

Seller   will   assign  one  or  more   persons  to  perform   program   manager
responsibilities  to  oversee  and  manage  Seller's  and  Boeing's  performance
hereunder.

14.4     Certified Tool List

         Not Applicable.

14.5     Problem Reports

Seller   shall   provide  a  detailed   report   notifying   Boeing  of  program
problems/issues  that could impact Seller's  ability to deliver Products on time
and otherwise in conformance with the terms of the GTA and SBP. The report shall
contain a detailed description of the problem, impact on the program or affected
tasks, and corrective/remedial action, with a recovery schedule.  Submittal of a
report in no way relieves  Seller of any  obligations  under the GTA and SBP nor
does it  constitute  a waiver of any  rights and  remedies  Boeing may have with
respect to any default.

Problem reports shall be submitted to the Boeing Procurement Representative on a
weekly basis.  In special  circumstances,  Seller will notify Boeing promptly of
critical  issues and may provide a written report of a critical issue in advance
of the weekly report).  Status reports may include,  but are not limited to, the
following topics, as applicable given the circumstances:

         A.       Delivery   schedule   updates,   schedule  impact  issues  and
                  corrective action;

         B.       Technical/manufacturing  progress  since the  previous  report
                  period, including significant accomplishments,  breakthroughs,
                  problems and solutions;

         C.       Identification of changes to key manpower or staffing levels;

         D.       Identification  of  the  critical  events/activities  expected
                  within  the next  month and a  discussion  of  potential  risk
                  factors;

         E.       Progress on open action items, including closure dates; F. Raw
                  material   status;   G.    Identification   of   quality   and
                  manufacturing  issues and resolutions;  H. Not Applicable;  I.
                  Not Applicable; J. Not Applicable.

14.6     Reserved

15.0     INTERNATIONAL COOPERATION

15.1     Market Access and Sales Support

Seller  agrees to use  commercially  reasonable  efforts to work with  Boeing to
develop a contracting  strategy,  which supports  Boeing's  market  access,  and
international  business  strategy.  Boeing and Seller agree to work  together to
identify  countries  where Seller may  subcontract in support of Boeing's market
access and international business strategy. With respect to work covered by this
SBP, and if requested by Boeing,  Seller agrees to use  commercially  reasonable
efforts to procure from  subcontractors or suppliers,  in countries  selected by
Boeing,  goods and services  relating to Seller's  performance of this Contract.
Such  direction  may  occur at any time  during  the  performance  of this  SBP.
Although not required to do so, Seller may satisfy such support requests through
purchases  not  related  to this  SBP.  If  Seller  is  requested  by  Boeing to
subcontract  any part of its  Product(s)  and Seller  anticipates an increase or
decrease to the Price for such Product(s) as a result of such direction,  Seller
shall immediately notify Boeing in writing. Boeing shall respond within [ * ] on
whether Seller is to proceed and Boeing shall be responsible for any increase or
receive credit for any decrease in the Price for such Product(s).

15.2     Offset Assistance

Seller shall use commercially reasonable efforts to cooperate with Boeing in the
fulfillment of any non-United  States offset program  obligation that Boeing may
have accepted as a condition of the sale of a Boeing product.  In the event that
Seller is  requested  by Boeing to solicit  bids  and/or  proposals  for,  or to
procure or offer to procure any goods or services  relating to the work  covered
by this SBP from any  source  outside  of the  United  States,  Boeing  shall be
entitled,  to the exclusion of all others, to all industrial  benefits and other
"offset"  credits  which may result  from such  solicitations,  procurements  or
offers to procure.  Seller  shall take any  actions  that may be required on its
part to assure that Boeing  receives such credits.  Seller shall document on SBP
Attachment  2  all  offers  to  contract  and  executed   contracts   with  such
subcontractors  or  suppliers  including  the dollars  contracted.  Seller shall
provide to Boeing an updated copy of SBP Attachment 2 for the [ * ] ending [ * ]
of  each  year.  The  reports  shall  be  submitted  on the [ * ] and  the [ * ]
respectively.  If Seller is requested by Boeing to  subcontract  any part of its
Product(s) to a country in which Boeing has an offset  obligation,  an equitable
price adjustment,  increase or decrease, for Seller's costs and expenses will be
made by Boeing.

15.3     Credit Against Aircraft Sales

It is understood  that Boeing may wish to claim part or all of the value of this
SBP as credit against a current or future Boeing offset obligation in [ * ]. The
full value of this SBP shall be held in account by the  governments  of of [ * ]
and [ * ] and may be applied,  at Boeing's  sole  determination,  to satisfy any
future  offset  obligations  Boeing may accept as a condition of the sale of any
Boeing  product in [ * ]. Seller  will use  commercially  reasonable  efforts to
assist Boeing in working with the appropriate government officials to obtain the
offset credit being sought.

16.0     BOEING FURNISHED MATERIAL/SUPPLIER BANKED MATERIAL

16.1     Boeing Furnished Material

Material,  including  but  not  limited  to  raw  material,   standards,  detail
components and  assemblies,  furnished to Seller by Boeing shall be administered
in accordance with a Bonded Stores Agreement between Boeing and Seller.

Seller  shall  provide  Boeing with  required  on-dock  dates for all  material.
Seller's  notice shall  provide  Boeing with  sufficient  time to  competitively
acquire the material if, in its sole and absolute  discretion,  it desires to do
so.

16.2     Boeing Titanium Sponge Stockpile

[ * ]

16.3     Titanium Scrap Recycling Program

[ * ]

16.4     Buffer Agreement

[ * ]

17.0     PARTICIPATION

17.1     Other Boeing Entities

[ * ], Seller  agrees that any Boeing  division  or Boeing  subsidiary  ("Boeing
Entity") not specifically included in this SBP may, by issuing a purchase order,
work order, or other release  document,  place Orders through  Boeing's  Service
Provider or Procurement  Representative under this SBP during the term hereof or
any written extension thereof, under the terms, conditions and pricing specified
by this SBP.  Seller agrees that the prices set forth herein may be disclosed by
Boeing on a  confidential  basis to Boeing  Entities  wishing to invoke this SBP
Section 17.1. Seller shall notify the Boeing Procurement Representative named in
SBP  Section  9.0 of Boeing  Entities  not  specifically  referenced  herein who
frequently use this SBP.

17.2     Boeing Subcontractors / Suppliers

The  Parties  agree that the intent of the  Contract is for all Orders by Boeing
for purchases of Product should be directed to and processed by Boeing's Service
Provider or Boeing's Procurement  Representative.  Seller shall not be precluded
from  selling  its  products  directly to any  customers  who elect not to place
orders through Boeing's Service Provider.

17.3     Notification of Contract

In the event a purchaser  known by Seller to be an eligible Boeing Entity places
an Order for Product or services covered by this SBP but fails to reference this
SBP or otherwise seek the prices  established  by this SBP,  Seller shall notify
Boeing's  Procurement  Representative of such inquiry by such purchaser and seek
direction  from the Boeing  Procurement  Representative  regarding the manner in
which such inquiry shall be handled.

17.4     Notification of Price Reductions

         Not Applicable.

18.0     INVENTORY AT CONTRACT COMPLETION

         Not Applicable.

19.0     OWNERSHIP OF INTELLECTUAL PROPERTY

Whenever   Seller  is  providing  a  deliverable  to  Boeing  that   constitutes
intellectual  property,  the  provisions of SBP Sections 19.1 through 19.5 shall
apply.

19.1     Technical Work Product

All technical work product,  including, but not limited to, ideas,  information,
data, documents,  drawings,  software,  software documentation,  software tools,
designs,  specifications,  and processes produced by or for Seller, either alone
or with others,  in the course of or as a result of any work performed by or for
Seller  which is covered by this SBP will be the [ * ] property of Boeing and be
delivered to Boeing promptly upon request.

19.2     Inventions and Patents

All  inventions  conceived,  developed,  or first  reduced to practice by or for
Seller, either alone or with others, in the course of or as a result of any work
performed by or for Seller,  which is covered by this SBP, and any patents based
upon such inventions (both domestic and foreign),  will be the [ * ] property of
Boeing.  Seller will (i)  promptly  disclose  all such  inventions  to Boeing in
written detail and (ii) execute all papers,  cooperate with Boeing,  and perform
all acts necessary or appropriate  in connection  with the filing,  prosecution,
maintenance,  or assignment of related patents or patent  applications on behalf
of Boeing.

19.3     Works of Authorship and Copyrights

All works of authorship  (including,  but not limited to,  documents,  drawings,
software,  software  documentation,  software tools,  photographs,  video tapes,
sound  recordings  and images)  created by or for Seller,  either  alone or with
others,  in the course of or as a result of any work  performed by or for Seller
which is covered by this SBP, together with all copyrights  subsisting  therein,
will be the sole property of Boeing. To the extent permitted under United States
copyright  law, all such works will be works made for hire,  with the copyrights
therein vesting in Boeing. The copyrights in all other such works, including all
of the [ * ] rights therein,  will be promptly transferred and formally assigned
free of charge to Boeing.

19.4     Pre-Existing Inventions and Works of Authorship

Seller  grants  to  Boeing,  and  to  Boeing's  subcontractors,  suppliers,  and
customers in connection with Products or work being performed for Boeing, an [ *
] license  under any  patents,  copyrights,  industrial  designs  and mask works
(whether  domestic or  foreign)  owned or  controlled  by Seller at any time and
existing  prior to or during the term of this SBP,  but only to the extent  that
such patents or copyrights  would otherwise  interfere with Boeing's or Boeing's
subcontractors',  suppliers',  or customers' use or enjoyment of Products or the
work product,  inventions, or works of authorship belonging to Boeing under this
SBP.

19.5     Inapplicability

In the event of any  inconsistency  between this SBP Section 19.0 and any United
States Government contract clause incorporated by reference into this SBP or any
Order issued under this SBP, the incorporated  clause shall govern to the extent
that the end user of the Products is the United States Government.

20.0     ADMINISTRATIVE AGREEMENTS

Administrative  Agreements are used for administrative  matters not specifically
addressed elsewhere and set forth-certain obligations of the Parties relating to
the  administration of each Order. The  Administrative  Agreements,  if any, are
identified and incorporated in SBP Section 2.3.

21.0     GUARANTEED WEIGHT REQUIREMENTS

         Not Applicable.

22.0     SELLER DATA REQUIREMENTS

         Not Applicable.

23.0     DEFERRED PAYMENT

         Not Applicable.

24.0     SOFTWARE PROPRIETARY INFORMATION RIGHTS

         Not Applicable.

25.0     CONFIGURATION CONTROL

         Not Applicable.

26.0     INFRINGEMENT

Except as provided hereinbelow, Seller will indemnify, defend, and hold harmless
Boeing and its customers from all claims, suits, actions, awards (including, but
not limited to,  awards based on  intentional  infringement  of patents known to
Seller  at the  time of such  infringement,  exceeding  actual  damages,  and/or
including  attorneys'  fees  and/or  costs),  liabilities,  damages,  costs  and
attorneys'  fees  related to the actual or  alleged  infringement  of any United
States or foreign  intellectual  property right (including,  but not limited to,
any right in a patent, copyright,  industrial design or semiconductor mask work,
or based on  misappropriation  or wrongful use of  information or documents) and
arising out of the manufacture,  sale or use of Products by either Boeing or its
customers.  Boeing  and/or its  customers  will duly  notify  Seller of any such
claim,  suit or action;  and Seller will, at its own expense,  fully defend such
claim,  suit or action on behalf of Boeing  and/or its  customers.  Seller shall
have no  obligation  under this  Section  26.0 with  regard to any  infringement
arising from: (i) Seller's compliance with Specifications issued by Boeing where
infringement   could  not   reasonably   be  avoided  in  complying   with  such
Specifications  or (ii) use or sale of  Products  for other than their  intended
application. For purposes of this Section 26.0 only, the term Customer shall not
include the United States  Government;  the term Boeing shall include The Boeing
Company and all Boeing  subsidiaries and all officers,  agents, and employees of
Boeing or any Boeing  subsidiary;  and the term Seller  shall  include  Titanium
Metals  Corporation  and all of its  subsidiaries  and the respective  officers,
agents and employees of each.

27.0     RAW MATERIAL PROGRAM

27.1     Boeing Raw Material Strategy

         Not Applicable.

27.2     Reserved.

28.0     DIGITIZATION OF PROPRIETARY INFORMATION AND MATERIALS

Seller grants, to Boeing a license under Seller's  copyrights for the purpose of
converting such of Seller's Proprietary  Information and Materials as Boeing may
have a right to know hereunder to a digital  format  ("Digital  Materials")  and
make such Digital Materials  available to those of its employees who have a need
to know the same for company  internal use through a computer  data base system.
Except as  otherwise  specifically  agreed to in  writing by the  Parties,  said
license set forth  hereunder  shall survive  termination or cancellation of this
SBP relative to Digital Materials included in Boeing's computer data base system
prior to receipt of such notice of  termination  or  cancellation.  29.0 ON-SITE
SUPPORT

29.1     Indemnification Negligence of Seller or subcontractor Reserved.

29.2     Commercial General Liability

         Reserved.

29.3     Automobile Liability

         Reserved.

29.4     Workers' Compensation

         Reserved.

29.5     Certificates of Insurance

         Reserved.

29.6     Self-Assumption

         Reserved.

29.7     Protection of Property

         Reserved.

29.8     Compliance with Boeing Site Requirements

         Not Applicable.

30.0     BOEING  TECHNICAL  /  MANUFACTURING   ASSISTANCE   REGARDING   SELLER'S
         NONPERFORMANCE

         Not Applicable.

31.0     U.S. CUSTOMS INVOICE REQUIREMENTS

Where appropriate,  Seller will provide the necessary  information for clearance
through customs.  Customs invoice requirements are set forth in Attachment 12 to
this SBP.

32.0              STRATEGIC ALIGNMENT

         Not Applicable.

33.0     CUSTOMS-TRADE PARTNERSHIP AGAINST TERRORISM (C-TPAT)

C-TPAT is a voluntary  initiative  between  business and  government  to protect
global  commerce  from  terrorism  and  increase  the   efficiencies  of  global
transportation.  The  program  calls for  importers,  carriers  and  brokers  to
establish  policies to enhance  their own security  practices and those of their
business partners involved in their supply chain. Such practices may include but
are not limited to the following:

         Procedural   Security   -Procedures   in  place  to   protect   against
         unmanifested material being introduced into the supply chain;

         Physical Security -Buildings constructed to resist intrusion, perimeter
         fences, locking devices, and adequate lighting;

         Access Controls -Positive identification of all employees, visitors and
         suppliers;

         Personnel  Security  -Employment   screening,   background  checks  and
         application verifications; and

         Education  and  Training  Awareness   -Security   awareness   training,
         incentives for participation in security controls.

Seller  agrees to work with Boeing and  appropriate  industry  and  governmental
agencies,  as  necessary,  to develop  and  implement  policies  and  procedures
consistent  with the  C-TPAT  initiative  (which  shall not mean that  Seller is
itself  C-TPAT  certified)  to ensure the safe and secure  transport of Products
under this SBP.

34.0     Reserved.

35.0     DELIVERY - TITLE AND RISK OF LOSS

35.1     Delivery Point and Schedule

         Not Applicable.

35.2     Delivery Schedule of Other Products and Performance of Services

         Not Applicable.

35.3     Transportation Routing Instructions Not Applicable.

35.4              Notification of Shipment
         Not Applicable.

35.4.1            Title and Risk of Loss
         Not Applicable.

35.5              Notice of Delay - Premium Effort
         Not Applicable.

36.0              PACKAGING AND SHIPPING
         Not Applicable.

36.1              Product Packaging
         Not Applicable.

36.2              Consolidated Shipments and Markings
         Not Applicable.

36.3              Freight Charges
         Not Applicable.

36.4              Packing Sheet and Test Reports
         Not Applicable.

36.5              Additional Copies
         Not Applicable.

36.6              Price Inclusive
         Not Applicable.

37.0              ADDITIONAL QUALITY ASSURANCE REQUIREMENTS

37.1              Federal Aviation Administration Inspection
         Not Applicable.

37.2              Repair Authorization
         Not Applicable.

37.2.1            Boeing-Performed Work
         Not Applicable.

37.2.2            Reimbursement for Repairs
         Not Applicable.

38.0              CHANGES
         Not Applicable.

39.0              EXAMINATION OF RECORDS

39.1              Reports
         Not Applicable.

40.0              EVENTS OF DEFAULT AND REMEDIES

40.1              Additional Event of Default Not Applicable

         Not Applicable.

40.2              Interest on Overdue Amounts

         Not Applicable.

41.0              CUSTOMER CONTACT

         Not Applicable.

42.0              SUBCONTRACTING

         Not Applicable.

43.0              SUPPLEMENTS AND MODIFICATIONS

         Not Applicable.

44.0              INCREMENTAL RELEASE AND CYCLE TIME REQUIREMENTS

44.1              Incremental Release

         Not Applicable.

44.2              Cycle Time Requirements

         Not Applicable.

45.0              SURPLUS PRODUCTS

45.1              Return of Surplus Products

         Not Applicable.

45.2              Use of Surplus Products

         Not Applicable.

46.0              INTEGRATED PRODUCT TEAM

46.1              Purpose

         Not Applicable.

46.2              Qualifications

         Not Applicable.

46.3              Removal of Personnel

         Not Applicable.

46.4              Work Schedule

         Not Applicable.

46.5              Equipment and Supplies

         Not Applicable.

46.6              Employment Status

         Not Applicable.

46.7              Team Leader

         Not Applicable.

46.8              Discipline

         Not Applicable.

46.9              Insurance

         Not Applicable.

46.10             Indemnification

         Not Applicable.

46.11             Compensation

         Not Applicable.

47.0              SELLER ASSISTANCE

         Not Applicable.

48.0     DEFINE AND CONTROL  AIRPLANE  CONFIGURATION  /  MANUFACTURING  RESOURCE
         MANAGEMENT (DCAC/MRM)

         Not Applicable.

49.0     ELECTRONIC ACCESS AND EXCHANGE OF DIGITAL PRODUCT DEFINITION

49.1     Exchange of Digital Product Definition Between Boeing and Seller

         Not Applicable.

49.2     System/Software Compatibility between Boeing and Seller

         Not Applicable.

49.3     Electronic    Access,    Communications    and   Data    Exchange   via
         Telecommunications

Any electronic  communications and data exchange via telecommunications  between
the parties shall be pursuant to a trading partner  agreement  executed prior to
or concurrently with this SBP. Provided,  that any amendments to the SBP, change
authorizations  and any other matter requiring  written  authorization  shall be
communicated in writing and not solely by electronic communication.

Any  electronic  access to Boeing by Seller  shall be pursuant to an  electronic
access or similar agreement.

50.0     AMENDMENT

No  provision of this  Contract  may be changed or modified  except by a writing
signed on behalf of Boeing and Seller  which  makes  express  reference  to this
Contract.

51.0     AUTHORITY

Each  individual  executing  this  Contract  below  hereby  certifies  that this
Contract has been duly  approved and  authorized  by the party on behalf of whom
such  individual is executing and that such  individual has been duly authorized
by such party to execute this Contract on behalf of such party.

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

EXECUTED in  duplicate as of the date and year first set forth above by the duly
authorized representatives of the Parties.

BOEING                                           SELLER

THE BOEING COMPANY                               Titanium Metals Corporation

-------------------------------                  -------------------------------
Name: Michael S. Carr                            Name: Derek K. George
Title: Procurement Agent                         Title: Boeing Contract Manager
Date: August 2, 2005                             Date: August 2, 2005

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                [LOGO GOES HERE]
                    Boeing Proprietary and Seller Proprietary

SBP ATTACHMENT 1 TO
SPECIAL BUSINESS PROVISIONS

                           WORK STATEMENT AND PRICING
                           (Reference SBP Section 3.0)

FOR PURPOSES OF SBP Section 10.0, Boeing shall be deemed to refer to and include
the following organizations, divisions, groups or entities:

Boeing Commercial Aircraft, a division ofThe Boeing Company, Chicago, IL

[ * ]

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

SBP ATTACHMENT 1A TO
SPECIAL BUSINESS PROVISIONS

                                    Reserved

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                             SBP ATTACHMENT 2 TO
                                                     SPECIAL BUSINESS PROVISIONS

                        NON-U.S. PROCUREMENT REPORT FORM
                               (Seller to Submit)
                          (Reference SBP Section 15.2)

-------------------- --------------- --------------- ------------ --------------
Seller Name          Country         Commodity/      Bid          Contracted
                                     Nomenclature    Dollars      Dollars
-------------------- --------------- --------------- ------------ --------------

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                             SBP ATTACHMENT 3 TO
                                                     SPECIAL BUSINESS PROVISIONS

                                RATES AND FACTORS
                          (Reference SBP Section 12.2)
Not Applicable.

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                             SBP ATTACHMENT 4 TO
                                                     SPECIAL BUSINESS PROVISIONS

                              BOEING AOG COVERAGE
                         (Reference SBP Section 13.1.1)

NORMAL HOURS BOEING'S PROCUREMENT REPRESENTATIVE
Approximately 5:30 a.m. - 6:00 p.m.

|X|      Performs all functions of procurement process.
|X|      Manages formal communication with Seller.

SECOND SHIFT - AOG PROCUREMENT SUPPORT
3:00 p.m. - 11:00 p.m.

|X|      May place order and assist with  commitment  and shipping  information,
         working with several suppliers on a priority basis.

|X|      Provides a communication link between Seller and Boeing.

24 HOUR AOG SERVICE - AOG CUSTOMER REPRESENTATIVE (CUSTOMER SERVICE DIVISION)
(206) 662-7200

|X|      Support commitment information particularly with urgent orders.

|X|      Customer Service Representative needs (if available):

         1.       Part Number

         2.       Boeing Purchase Order

         3.       Airline  Customer & customer  purchase  order number

         4.       Boeing S.I.S. #

If Seller is unable to contact any of the above,  please  provide  AOG  shipping
information  notification  via FAX using Boeing AOG shipping  notification  form
(SBP Attachment 5).

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                             SBP ATTACHMENT 5 TO
                                                     SPECIAL BUSINESS PROVISIONS

                                     BOEING
                            AOG SHIPPING NOTIFICATION
                         (Reference SBP Section 13.1.1)

----------------- ---------------------------- ---------------- ----------------
To:  FAX:         (206) 662-7145               Phone:           (206) 662-7200
----------------- ---------------------------- ---------------- ----------------
----------------- ---------------------------- ---------------- ----------------
Procurement Rep.                               Phone:
Name:
----------------- ---------------------------- ---------------- ----------------
----------------- ---------------------------- ---------------- ----------------
From:                                          Today's Date:

----------------- ---------------------------- ---------------- ----------------
----------------- ---------------------------- ---------------- ----------------

Part Number:                                   Customer P.O.:
----------------- ---------------------------- ---------------- ----------------
----------------- ---------------------------- ---------------- ----------------
Customer:                                      Ship Date:

----------------- ---------------------------- ---------------- ----------------
----------------- ---------------------------- ---------------- ----------------
Qty Shipped:                                   *SIS Number:

----------------- ---------------------------- ---------------- ----------------
----------------- ---------------------------- ---------------- ----------------
Boeing P.O.:                                   Pack Sheet:

----------------- ---------------------------- ---------------- ----------------
----------------- ---------------------------- ---------------- ----------------
*Airway Bill:                                  or Invoice:

----------------- ---------------------------- ---------------- ----------------
----------------- ---------------------------- ---------------- ----------------
Carrier:                                       *Flight #:

----------------- ---------------------------- ---------------- ----------------
----------------- ---------------------------- ---------------- ----------------
Freight Forwarder:
----------------- ---------------------------- ---------------- ----------------

*If Applicable

SHIPPED TO:
|X|      (check one)

|_|      Boeing

|_|      Direct Ship to Customer

|_|      Direct Ship to Seller

Remarks:

        If unable to contact Procurement Representative, Please use this form to
fax shipping information.

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                             SBP ATTACHMENT 6 TO
                                                     SPECIAL BUSINESS PROVISIONS

                             SELLER DATA SUBMITTALS

     Diversity Reports
     Not Applicable.

     Problem Reports (as required)
     Seller's written notification to Boeing of program problems, potential
     program impact and corrective action. Refer to SBP Section 14.5 for
     details.

     AOG Spares Support Plan
     Not Applicable.

     Non-U.S. Procurement Reporting (as required)
     A report, submitted in February and August annually, to document the
     Seller's contracts and solicitations with non-U.S. subcontractors or
     suppliers, relating to the work covered by this SBP. Refer to SBP Section
     15.2 for details.

     Certified Tool List
     Not Applicable.

     General Reports (as requested by Boeing)
     General reports may include, but not be limited to, Seller's program
     progress reports, highlighting significant accomplishments and critical
     program issues, Seller's manufacturing schedule depicting key milestone
     events to support program requirements. Refer to SBP Section 14.1 for
     details.

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                             SBP ATTACHMENT 7 TO
                                                     SPECIAL BUSINESS PROVISIONS

                    SUPPLIER DATA REQUIREMENTS LIST ("SDRL")
                            CUSTOMER AND ENGINEERING
                          (Reference SBP Section 22.0)

Not Applicable.

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                             SBP ATTACHMENT 8 TO
                                                     SPECIAL BUSINESS PROVISIONS

                       COMMODITY LISTING AND TERMS OF SALE
                          (Reference SBP Section 27.0)

                                COMMODITY LISTING

Titanium -

All titanium mill products for which pricing is provided in Attachment 1 to the
SBP including [ * ].

<PAGE>

                                                             SBP ATTACHMENT 8 TO
                                                     SPECIAL BUSINESS PROVISIONS
                                                                       CONTINUED

                                  TERMS OF SALE
                          (Reference SBP Section 27.0)

Not Applicable.

<PAGE>

                                                             SBP ATTACHMENT 9 TO
                                                     SPECIAL BUSINESS PROVISIONS

          (use this SBP Attachment if 11.0 optional paragraph is used)
                            COST PERFORMANCE REVIEWS
                          (Reference SBP Section 11.0)

                                   (OPTION A)

Cost  Performance  Reviews  (CPR's) will occur on as needed  basis  (alternating
between  Seller  and Boeing  locations  unless  otherwise  agreed) at a mutually
agreeable  time.  The  detail of the CPR's  will be  defined  at a later date by
mutual  agreement  between  Boeing and Seller.  When they are defined,  this SBP
Attachment 9 will be updated.

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                            SBP ATTACHMENT 10 TO
                                                     SPECIAL BUSINESS PROVISIONS

                         QUALITY ASSURANCE REQUIREMENTS

A10.1             Quality System

All work performed under this SBP shall be in accordance with the following:
A.       Not Applicable
B.       Not Applicable
C.       Not Applicable
D.       Not Applicable
E.       Not Applicable
F.       Document D6-82479, "Boeing Quality Management System Requirements for
         Suppliers - Appendix A - Quality Management System" as amended from
         time to time, which is incorporated herein and made a part hereof by
         this reference.
G.       Not Applicable
H.       Not Applicable
I.       Not Applicable
J.       Not Applicable

A10.2    Common Quality Purchasing Data and Business Requirements

A10.2.1           Seller [ * ] Quality Audit

At least [ * ], the Seller shall conduct an internal audit to ensure compliance
to their quality system and the controlling quality assurance document.

A10.2.2           Change in Quality Management Representative

The Seller shall promptly notify Boeing of any changes in the management
representative with assigned responsibility and authority for the quality system

A10.2.3           English Language

When specifically requested by Boeing, Seller shall make specified quality data
and/or approved design data available in the English language.

The Seller shall maintain an English language translation of (1) its quality
manual, and (2) an index of all other Seller procedures that contain quality
requirements. Boeing may require the Seller to translate additional
documentation.

A10.2.4           Changes to Quality System

The Seller shall immediately notify Boeing in writing of any change to the
quality control system that may affect the inspection, conformity or
airworthiness of the Product. After the issue of initial Boeing quality system
approval, each change to the quality control system is subject to review by
Boeing.

A10.2.5           Change in Manufacturing Facility

The Seller shall immediately notify Boeing in writing of any change to the
manufacturing facility location of the contracted part number or assembly.

A10.2.6           Excess Inventory

 The Seller shall strictly control all inventory of Boeing proprietary product
 that is in excess of contract quantity in order to prevent product from being
 sold or provided to any third party without prior written authorization from
 Boeing.

 A10.2.7 Aerospace Quality Management System (AQMS) Certification

Boeing recognition of Seller's AQMS certification/registration does not affect
the right of Boeing to conduct audits and issue findings at the Seller's
facility. Boeing reserves the right to provide Boeing-identified quality system
findings, associated quality system data, and quality performance data to the
Seller's Certification /Registration Body (CRB).

Seller shall ensure the following relative to AQMS certification:

A10.2.7.1         Accreditation of Certification/Registration Body

The certification/registration body (CRB) is accredited to perform aerospace
quality management system (AQMS) assessments. The CRB must use approved auditors
and operate in accordance with the corresponding International Aerospace Quality
Group (IAQG) certification/registration scheme.

NOTE:             IAQG sanctioned certification/registration schemes include but
                  are not limited to AIR 5359, SJAC 9010, TS157, etc. Reference
                  IAQG website for listing of accredited CRBs:
                  http://www.iaqg.sae.org/servlets/index?PORTAL_CODE=IAQG

A10.2.7.2         Records of Certification/Registration

The seller maintains  objective  evidence of CRB  certification/registration  on
file at Seller's facility. Objective evidence shall include:

A.   The accredited AQMS certificate(s) of registration;

B.   The audit  report(s),  including  all  information  pertaining to the audit
     results  in  accordance  with  the  applicable   certification/registration
     scheme;

C.   Copies  of  all  CRB  finding(s),   objective  evidence  of  acceptance  of
     corrective action(s), and closure of the finding(s).

         NOTE:        Certification records shall be maintained in accordance
                      with Boeing specified contractual quality record retention
                      requirements.

A10.2.7.3        Right of Access to CRB

The CRB services agreement provides for "right of access" to all CRB records by
Boeing, applicable accreditation body, applicable Registrar Management Committee
(RMC) and other regulatory or government bodies for the purpose of verifying CRB
certification/registration criteria and methods are in accordance with the
applicable IAQG certification/registration scheme.

A10.2.7.4         Audit Results/Data Reporting to IAQG

The CRB has Seller's written permission to provide audit results/data to IAQG
membership as required by the applicable IAQG certification/registration scheme.

A10.2.7.5         Notification to Boeing of Change in Status

Boeing is immediately notified in writing should the Seller's
certification/registration be suspended or withdrawn, or accreditation status of
Seller's CRB is withdrawn. Send email notification to
grpcrboversightrep@boeing.com .

A10.2.7.6         Provision of Boeing Quality Data to CRB

Boeing-identified findings and Seller's quality performance data is provided to
the CRB during certification/registration and surveillance activity.

A10.2.7.7         CRB Access to Proprietary Data

CRB shall be provided access to applicable  proprietary  data (including  Boeing
proprietary data) to the extent necessary to assess Seller's  compliance to AQMS
requirements.   CRB  shall  agree  to  keep   confidential  and  protect  Boeing
proprietary  information under terms no less stringent than Seller's contractual
agreement with Boeing. Seller will assure that such information is conspicuously
marked "BOEING PROPRIETARY".

A10.2.7.8         Seller Compliance with CRB Requirements

Seller  complies  with  all CRB  requirements  imposed  to  issue  and  maintain
certification/registration.

A10.2.8           Verification of Corrective Action

When  Boeing  notifies  Seller  of  a  detected  nonconformance,   Seller  shall
immediately  take action to  eliminate  the  nonconformance  on all  products in
Seller's  control.  Seller shall also  maintain on file  verification  that root
cause corrective action has occurred and has resolved the subject condition.  At
the specific request of Boeing,  this  verification  shall occur for [ * ] after
implementation  of the corrective action to ensure detected  nonconformance  has
been eliminated.  Boeing reserves the right to review the  verification  data at
Seller's facility or have the data submitted to Boeing.

A10.2.9  Corrective Action Report

Where  Seller is requested to submit a  corrective  action  report,  Seller will
submit its response  within [ * ] of receipt of such request unless an extension
is otherwise  provided by Boeing.  Any  corrective  action  report  submitted to
Boeing shall be in the format specified by Boeing. If after submittal to Boeing,
Seller determines need for revision,  Seller shall immediately  notify Boeing of
such  revision In the event Seller is unable to respond  within the allotted ten
day time frame,  Seller shall submit a request for extension which shall include
the  reason  for the  extension  request  and the  time  need  to  complete  the
corrective action report.

A10.2.10          Relocation/Subcontract Notification (Puget Sound only)

The Seller shall not relocate or  subcontract  any Category I or II work outside
the U.S.  (unless  such  relocation  is to another  entity or facility  owned or
controlled  by Seller  that is  approved by  Boeing's  Quality  System)  without
written  Boeing  acceptance.  Notification  to  Boeing  should  be  made  to the
Procurement  Agent who  manages  the  Seller's  contract  and shall  contain the
subcontractor name, address,  telephone number, QA manager name, applicable part
numbers,  and part descriptions.  Category I and II work is defined in FAA Order
8120.2, Appendix 4.

A10.2.11          Quality Metrics & Reporting

When  requested  by Boeing,  Seller  agrees to work with  Boeing to develop  and
implement processes designed at improving Seller's quality performance.  Process
will include sufficient detail to allow Boeing to evaluate Seller's progress

A10.3             Site Unique Quality Purchasing Data Requirements

A10.3.1           Acceptance/Rejection of Seller's Root Cause/Corrective Action

Boeing  reserves  the right to reject any root cause  and/or  corrective  action
determination  provided by the Seller, and may request subsequent  investigation
and/or corrective action to either Boeing or Seller-initiated  corrective action
requests.  If the Seller is late in responding to corrective  action requests by
Boeing, or if Boeing requires subsequent  corrective action, Boeing reserves the
right to withhold  acceptance of shipments either at source or destination until
Seller corrective action is submitted to Boeing's satisfaction

A10.3.2  Seller Inspection Responsibilities For Delegated Inspection Authority

If Seller  fails to  achieve  and  maintain [ * ] on the terms  required  by the
contract  between  Seller and  Boeing,  which is a  prerequisite  for  delegated
inspection  authority  awarded  at  Boeing's  discretion,  the  Seller  shall be
responsible for one or more of the following as directed by Boeing:

A.   Obtaining source inspection from a Boeing-qualified  contractor at Seller's
     own expense;

B.   Reimbursing  Boeing for  reasonable  Boeing costs  incurred at the point of
     manufacture  (i.e.  Seller's  site)  to  verify  product  conformance;

C.   Reimburse  Boeing for  reasonable  Boeing  costs  incurred  at the point of
     receipt to verify product conformance.

The site [ * ] is a calculation of the ratio of acceptable units delivered to
the total units delivered, or an alternate criteria [ * ] as defined by the
contracting Boeing site(s).

A10.3.3           Not Applicable

A.10.4            Incorporated by Reference

In addition to any other documents incorporated elsewhere in this SBP or GTA by
reference, Seller is required to maintain compliance with the following
documents as may be revised from time to time, and incorporated herein, and made
a part of this SBP by reference with full force and effect, as if set out in
full text:

A10.4.1           Document AS/EN/SJAC 9102, "Aerospace First Article
                  Inspection (FAI) Requirement"

Seller shall perform First Article Inspections (FAIs) in accordance with
AS/EN/SJAC 9102.

A10.4.2           Boeing Document D1-8007, "Approval Guide for Supplier
                  Statistical Sampling Plans"

A Seller  that  performs  acceptance  sampling  shall meet the  requirements  of
document  D1-8007 or other mutually  agreed  sampling plan.  Boeing  approval of
Seller's  acceptance  sampling plan is required  prior to performing  acceptance
sampling  when it is used  for  in-process  or  final  inspection,  and  employs
continuous sampling or repetitive lot sampling. Subsequent revisions to approved
sampling plans require Boeing  approval  prior to  implementation.  Prior Boeing
approval  of a  sampling  plan is not  required  if it is used  exclusively  for
receiving inspection, or employs only isolated lot sampling during in-process or
final inspection.

When statistical  process control is used as an option for either  in-process or
final inspection,  Seller shall satisfy the requirements of document  AS/EN/SJAC
9103, Variation Management of Key Characteristics.

In all cases,  inspection  requirements  identified  by  engineering  drawing or
specification take precedence over the inspection requirements defined herein.

A10.4.3           Boeing Document D6-51991, "Quality Assurance Standard for
                  Digital Product Definition (DPD) at
                  Boeing Suppliers"

Boeing  document  D6-51991,  "Quality  Assurance  Standard  for Digital  Product
Definition at Boeing  Suppliers".  When Type Design Digital  Product  Definition
(DPD) data is  utilized in  manufacturing,  inspection  and subtier  flowdown of
product  definition,  Seller shall have a quality  system to control Type Design
DPD data to the extent  necessary to fulfill program  requirements.  Seller must
obtain Boeing DPD capability approval.

A10.4.4           Boeing Document D1-4426, "Approved Process Sources"

This document defines the approved sources for special processing, composite raw
materials,  composite products,  aircraft bearings,  designated  fasteners,  and
metallic raw materials.

A10.4.5           Boeing Document D-13709-4, "Requirements for Obtaining MRB
                  Authority by Boeing Suppliers"

Seller shall not use  dispositions  of  use-as-is  or repair on  Boeing-designed
product unless  current  revision of Seller's  Material  Review Board (MRB) plan
complies with D-13709-4 and has been approved by Boeing.

A10.4.6           Not Applicable

A10.4.7           Not Applicable

A10.4.8           Not Applicable

For complete text of notes, access via Boeing Partners Network (BPN) or contact
Procurement Representative.

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                            SBP ATTACHMENT 11 TO
                                                     SPECIAL BUSINESS PROVISIONS
When Required.
Boeing Commercial Airplanes (BCA) SECOND TIER SUPPORT REPORT (Reference SBP
Section 14.2)
<TABLE>
<CAPTION>
======================================================================================================== ======================
<S>                                                                                                      <C>
Seller Name:                                                                                               Date:
===============================================================================================================================

Seller Contact:                                                                                            Phone:
===============================================================================================================================

BCA Procurement Representative Contact:                                                                    Phone:
===============================================================================================================================

BCA Purchase Contract #:
======================================================================================================== ======================

Reporting Period *              Jan - Mar           Apr - Jun         July - Sept        Oct -  Dec      Year:

===============================================================================================================================
                                                        Definitions **
================================ ==============================================================================================

Small Business (SB)              The term "small business" shall
                                 mean a small business as defined pursuant to
                                 section 3 of the Small Business Act (15
                                 U.S.C.A. 632) and relevant regulations issued
                                 pursuant thereto. Generally, this means a small
                                 business organized for profit, it is
                                 independently owned and operated, is not
                                 dominant in the field of operations in which it
                                 is bidding, and meets the size standards as
                                 prescribed in Government regulations. (Includes
                                 SDBs, SMBEs and WOSBs)
================================ ==============================================================================================

Small Disadvantaged business     A small business certified by the U.S. Small Business Administration as a socially and
(SDB)                            economically small disadvantaged business for consideration of Government set-a-side
                                 contracting opportunities and business development.  (Inc. SDBs who are women-owned)
================================ ==============================================================================================

Small Minority Business          A small business that is at least 51 percent owned, operated and controlled by a minority
Enterprise (SMBE)                group member (Asian, Black, Hispanic, and Native Americans); or, in the case of a
                                 publicly-owned business, at least 51% of the
                                 stock is owned by one or more minority group
                                 members and such individuals control the
                                 management and daily operations. (Includes
                                 SDBs)
================================ ==============================================================================================

Women-owned Small Business       A small business concern that is at least 51 percent owned by one or more women; or, in the
(WOSB)                           case of any publicly owned business, at least 51 percent of the stock is owned by one or
                                 more women; and whose management and daily
                                 business operations are controlled by one or
                                 more women. (Includes WOSBs who are also SDBs)
================================ ==============================================================================================
===============================================================================================================================
                                             Contract Dollars Received by Seller
===============================================================================================================================
======= =======================================================================================================================

A.      Boeing Commercial Airplanes contract dollars received by seller for the
        above reporting period* (report in whole numbers):
        $________________________________
======= =======================================================================================================================
===============================================================================================================================
                                        Value of Subcontract 2nd Tier Dollars Awarded

                                  (for Boeing Commercial Airplanes Purchase Contracts ONLY)
===================================================== =========================================================================
Diversity Category                                                         Reporting Period (see above*)
===================================================== =========================================================================
===================================================== =================================================== =====================
                                                                           Dollars                             Percent of
                                                                  (report in whole numbers)                  Seller Dollars
===================================================== =================================================== =====================
======= ============================================= =================================================== =====================

B.      Small Business (SB)                                                                                     (B / A)
======= ============================================= =================================================== =====================
======= ============================================= =================================================== =====================
C.      Small Minority Business Enterprise (SMBE)                                                               (C / A)
======= ============================================= =================================================== =====================
======= ============================================= =================================================== =====================
D.      Women-owned Small Business (WOSB)                                                                       (D / A)
======= ============================================= =================================================== =====================
===================================================== =========================================================================
</TABLE>

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>
-------------------------------------------------------------------------------
Authorized Company            |    Authoried Company                 Date:
Representative (Print):       |    Representative (Signature):
-------------------------------------------------------------------------------
                                                            SBP ATTACHMENT 12 TO
                                                     SPECIAL BUSINESS PROVISIONS
(Reference SBP Section 31.0)

                       For Imports into the United States

a.       Record the  United  States  Port of Entry  where  merchandise  is to be
         cleared by CBP

b.       Quantities, weights and measures

         i.     Record the quantity of each item in the shipment

         ii.    If not separately noted on packing sheet(s) include on invoice:

                o        Total quantity of parts being shipped

                o        Provide  net  weight  of each part  number  and gross
                         weight of entire shipment

                o        Specify unit of measure being used

                o        Specify  the  total  number  of  boxes  included  per
                         packing sheet.

                o        Textiles  must specify the net gross  weights and the
                         length, width and total square meters of material.

c.       Provide a detailed  description  of each item  being  shipped to ensure
         proper product  classification per the Harmonized Tariff Schedule (HTS)
         and must include at a minimum:

         i.     The full name by which each item is known

         ii.    Part Number as appears on Purchase Order/Contract. If the item
                is a raw  material,  provide  the  material  grade,  class and
                dimensions.

                Notes:

                o        Generic descriptions,  abbreviations,  acronyms,  and
                         Stock Keeping Unit (SKU) numbers are not  acceptable.

                o        Boeing may request additional description information
                         for items that do not have a Boeing  part  number and
                         or design.

                o        Seller will provide material class, grade, dimensions
                         and assembly  components if part is  manufactured  by
                         Seller's own manufacturing drawings.

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                            SBP ATTACHMENT 12 TO
                                                     SPECIAL BUSINESS PROVISIONS
                                                                       CONTINUED

                Commercial Invoice Requirements (Customs Invoice)

                       For Imports into the United States

         d.       Country of Origin: indicate the country of manufacture of each
                  item.

         e.       Terms of Sale:  Specify the International  Commercial Terms of
                  Sale  (Incoterms) as agreed to per the Boeing  Contract on the
                  invoice or Boeing  Work  Authorization.

         f.       Specify  "Related Party to the Boeing  Company" status (Yes or
                  No) on the invoice.

         g.       Commercial  Invoice Number  (Seller's  option) h. Page numbers
                  are required for each invoice (example: ____ of ____ pages).

2.       Commercial Invoice Valuation Requirements

         a.       Must be complete and accurate, including the unit cost of each
                  part and the total value of the entire shipment.

         b.       Currency on all invoices  must reflect the actual  currency of
                  the purchase contract and the transaction of money between the
                  buyer and the seller.

         c.       List separately any Assists and/or  additional  costs used for
                  manufacturing   each  part.  For  example:

                  o        Assists:  Any components,  materials,  dies molds and
                           tools that are  supplied  by Boeing free of charge or
                           at a  reduced  cost to the  Seller,  and  used in the
                           production  of  imported  goods.  This  includes  any
                           Boeing paid transportation  costs associated with the
                           assist.  These  transportation costs will be provided
                           by  the  procurement   focal   responsible  for  this
                           merchandise.

                  o        Engineering  and Design work - Work that is performed
                           outside the U.S. by  non-U.S.  employees,  and is not
                           included in the unit price of the  merchandise  being
                           imported.

                  o        Packing  Costs - Costs for packing  that are incurred
                           by the Boeing and have not been  included in the unit
                           cost.

                  o        Non-recurring charges - One time charges, incurred by
                           the  Boeing,  for such  items as,  expedite  fees and
                           transportation costs, which have not been included in
                           the unit cost.

                  o        Selling Commissions - Commissions  incurred by Boeing
                           that have not been included in the unit cost.

                  o        Royalties  - Fees the Boeing is  required to pay as a
                           condition of sale.

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                            SBP ATTACHMENT 12 TO
                                                     SPECIAL BUSINESS PROVISIONS
                                                                       CONTINUED

                Commercial Invoice Requirements (Customs Invoice)

                       For Imports into the United States

         d.       List  all  discounts  that  have  been  agreed  to,  or may be
                  allowed,  that apply to the purchase price or value,  but have
                  not been included in the unit price (Terms of Payment).

         e.       Repaired or modified parts - separately enter the value of the
                  item  and the  value of the  repair  on the  invoice.  For "no
                  charge" repair show the value of the repair on invoice.

         f.       If Seller  receives any rebates,  drawbacks or bounties,  as a
                  result of exportation, please itemize and provide description.

3.       Packing  Sheet\slip (if used by supplier)

         a.       Include packing sheet\slip number(s) on invoice

4.       US Government Programs Only (Regardless of Business Units)

         a.       If a government  contract  applies,  the prime contract number
                  must be noted on the  commercial  invoice.  Additionally,  the
                  following  government  contract statement needs to be shown as
                  follows for Military Programs.

                  "United States Dept. of Defense  Duty-Free Entry to be claimed
                  pursuant to Section XXII,  Chapter 98,  Sub-chapter VIII, item
                  9808.00.3000 of the Harmonized  Tariff Schedules to The United
                  States.  Upon  arrival  of  shipment  at the  port  of  entry,
                  District  Director of Customs,  please release  shipment under
                  Section 19 CFR Part 142 and notify Commander, Defense Contract
                  Management Area Operations  (DCMAO) New York, for execution of
                  customs forms and any required duty free entry certificates."

         b.       Commercial Invoice must show that the shipment is consigned to
                  a U.S. Government Agency (i.e.: U.S. Department of Defense) in
                  "care of Boeing", if shipment has a prime contract number.

         c.       If  items  were  exported  on  a  license  or  exemption  upon
                  importation,  that license or exemption  information should be
                  notated as follows:

                  Example:  "Originally  exported  under DSP-XX  license  number
                  XXXXXX" or "Imported under 22 CFR XXXXX"

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                            SBP ATTACHMENT 13 TO
                                                     SPECIAL BUSINESS PROVISIONS

                     On Site Terms and Conditions Supplement
                          (Reference SBP Section 29.8)

Not Applicable.

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                            SBP ATTACHMENT 14 TO
                                                     SPECIAL BUSINESS PROVISIONS

                      PRODUCTION ARTICLE DELIVERY SCHEDULE
               (Reference SBP Section 2.1, GTA Sections 4.0 & 7.0)

Not Applicable

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                            SBP ATTACHMENT 15 TO
                                                     SPECIAL BUSINESS PROVISIONS

            PRODUCTION ARTICLE DEFINITION AND CONTRACT CHANGE NOTICES
                         (Reference SBP Section 3.3.2.1)

         Not Applicable

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                            SBP ATTACHMENT 16 TO
                                                     SPECIAL BUSINESS PROVISIONS

           NON-RECURRING AND RECURRING PRICE STATUS AND SUMMARY TABLES
                          (Reference SBP Section 12.2)

          Not Applicable

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC

<PAGE>

                                                            SBP ATTACHMENT 17 TO
                                                     SPECIAL BUSINESS PROVISIONS

                                    Reserved

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                            SBP ATTACHMENT 18 TO
                                                     SPECIAL BUSINESS PROVISIONS

                 INDENTURED PRICED PARTS LIST AND SPARES PRICING

Not Applicable

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                            SBP ATTACHMENT 19 TO
                                                     SPECIAL BUSINESS PROVISIONS

                     INCREMENTAL RELEASE PLAN AND LEAD TIMES
                          (Reference SBP Section 44.0)

         Not Applicable

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                            SBP ATTACHMENT 20 TO
                                                     SPECIAL BUSINESS PROVISIONS

                                    Reserved

Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

                                                            SBP ATTACHMENT 21 TO
                                                     SPECIAL BUSINESS PROVISIONS

[ * ]
Puget Sound POP/RM
Special Business Provisions                                Seller's Name:  TIMET
dated 06/21/2005                                           [ * ]

*  Certain  information,  indicated  by  "[ * ]"  has  been  omitted  and  filed
separately  with the  U.S.  Securities  and  Exchange  Commission.  Confidential
treatment has been requested with respect to such omitted portions.

                                                                    INITIALS:MSC
<PAGE>

SBP ATTACHMENT 22 TO
SPECIAL BUSINESS PROVISIONS
[ * ]2006 Employee and Consultant's Compensation Fund and Plan

    Exhibit
      4.4

     

    VIPER
      NETWORKS, INC.

     

    2006
      EMPLOYEE AND CONSULTANT’S COMPENSATION FUND AND PLAN

     

    September
      14, 2006

     

    This
      2006
      Employee and Consultant’s Compensation Fund and Plan (the “Plan”) is hereby
      adopted by Viper Networks, Inc., a Nevada corporation (the “Corporation”)
      pursuant to a resolution adopted by the Corporation’s Board of Directors of
      September 14, 2006.

     

    WHEREAS:

     

    	A.  	
            The
              Board of Directors of Viper Networks, Inc., a Nevada corporation, seeks
              to
              adopt and provide for increased incentives for key employees and
              consultants of the Corporation.

          

     

    	B.  	
            The
              Board of Directors of Viper Networks, Inc., a Nevada corporation, intends
              to submit this Plan to the Corporation’s Stockholders for their
              approval.

          

     

    NOW
      THEREFORE, THE CORPORATION ADOPTS THE PLAN AS FOLLOWS:

     

    1. Purpose
      of Plan.
      The purpose
      of the Plan is to provide key employees and consultants of the Corporation
      and
      its Subsidiaries with an increased incentive to make significant and
      extraordinary contributions to the long-term performance and growth of the
      Corporation and its Subsidiaries, to join the interests of key employees and
      consultants with the interests of the shareholders of the Corporation and to
      facilitate attracting and retaining key individuals of exceptional
      ability.

     

    2. Control
      of the Plan.
      The Plan
      shall be controlled and subject to the supervision of the Corporation’s Board of
      Directors (the “Committee”).

     

    3. Participation.
      The
      Committee shall determine and designate from time to time, in its Discretion,
      those key employees and consultants of the Corporation or any Subsidiary who
      shall become Participants in the Plan.

     

    4. Written
      Agreement. Each
      Participant may be required to execute one or more written agreements
("Corporation-Participant
      Agreement") containing
      such provisions as may be approved by the Committee. Each such
      Corporation-Participant Agreement shall constitute a binding contract between
      the Corporation and the Participant and every Participant, upon acceptance
      of
      such Agreement, shall be bound by the terms of the Plan and such Agreement.
      The
      terms of such Corporation-Participant Agreement shall be in accordance with
      the
      Plan, but each Agreement may include such additional provisions and restrictions
      determined by the Committee, in its Discretion, provided that such additional
      provisions and restrictions are not inconsistent with the terms of the
      Plan.

     

    
      
         

      

      
        1

        
          

        

      

      
         

      

    

    5.
      Initial and Subsequent Stock to Plan. The
      initial
      allocation to the Plan shall be fifty million (50,000,000) shares of the
      Corporation’s Common Stock with such allocation to be subject to any later
      resolutions as duly adopted and approved by the Corporation’s Board of Directors
      and the Corporation’s Common Stockholders. In the event that the number of
      authorized and unissued shares of the Corporation’s Common Stock is, at any
      time, insufficient for the number of shares to be issued or awarded under this
      Plan to any one or more Participants, such issuance or award shall be deferred
      or delayed until such time as the amount of authorized and unissued shares
      shall
      be sufficient to allow said shares to be issued or awarded. The Committee shall
      have the right to use its sole Discretion in making all determinations under
      this Section 5 of this Plan.

     

    6. Compensation
      Formula and Limitations.

     

    (a) Subject
      to
      the terms of the Plan, Compensation shall be awarded to each Participant
("Compensation
      Award") at
      such
      times and in such amounts as the Committee shall determine. In general, and
      subject to approval of the Committee, the amount of the Compensation Award
      shall
      be awarded for services rendered to the Corporation or achievement of objective
      performance goals using such business criteria as the Committee establishes
      in
      connection with the goals and objectives of the Corporation and the performance
      and services rendered by the recipient of any Compensation Award (these may
      include, but are not limited to, average return on equity, average return on
      invested capital, pre-tax income and target business mix, all as may be defined
      in the Plan and/or Corporation-Participant Agreements). Payments of the
      Compensation Award for each Participant will be computed based upon the
      completion of the service or upon achievement of one or more of these
      pre-established objective performance goals.

     

    (b) Subject
      to
      the terms of the Plan, the Corporation shall pay to a Participant the
      Participant's Compensation Award as soon as reasonably practicable after
      appropriate determinations have been made. 

     

    (c) As
      a
      condition to participation in the Plan, each Participant shall remain in the
      continuous employ of the Corporation or a Subsidiary or provide consulting
      services to the Corporation or a Subsidiary for the Measurement
      Period.

     

    (d) Notwithstanding
      Section 6(c) above, if a Participant's employment or consulting services with
      the Corporation or a Subsidiary shall be terminated at any time because of
      the
      Participant's death or Permanent Disability, the Compensation Award allocable
      to
      the Participant shall be payable to the Participant or the Participant's legal
      representative or representatives in the case of Permanent Disability, or to
      the
      person or persons entitled to such payment under the Participant's will in
      the
      event of the Participant's death, or if the Participant shall fail to make
      testamentary disposition of such compensation and shall die intestate, to the
      Participant's legal representative or representatives; provided, however, that
      the committee may in its discretion reduce all or a portion of the Compensation
      Award allocable to a Participant whose employment with or consulting services
      to
      the Corporation or a Subsidiary terminates because of the Participant's death
      or
      Permanent Disability during the Measurement Period. Such payment shall be made
      in accordance with Section 6(a) above.

     

    7. Reduction
      in Responsibility.
      In the case
      of an employee, if the Participant takes another position within the Corporation
      or a Subsidiary during the Measurement Period, whether initiated by

     

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

    either
      the
      Participant, the Corporation or a Subsidiary, the Committee shall make, at
      its
      sole discretion, such additional determinations as are necessary in light of
      the
      circumstances. 

     

    8. Administration.
      The Plan
      shall be administered by the Committee. Subject to the terms of the Plan, the
      Committee is authorized to interpret the Plan, to make, amend and rescind rules
      and regulations relating to the Plan and to make all other determinations
      necessary or advisable for the Plan's administration. Interpretation and
      construction of any provision of the Plan by the Committee shall, unless
      otherwise determined by the Board of Directors of the Corporation, be final
      and
      conclusive. A majority of the Committee shall constitute a quorum and the acts
      approved by a majority of the members present at any meeting at which a quorum
      is present, or acts approved in writing by a majority of the Committee, shall
      be
      the acts of the Committee.

     

    9. No
      Rights to Continued Employment.
      Nothing
      contained in the Plan nor any action taken by the Committee hereunder, shall
      confer upon any Participant any right with respect to continuation of employment
      or any consulting arrangement by the Corporation or a Subsidiary nor interfere
      in any way with the right of the Corporation or a Subsidiary to terminate such
      person's employment or consulting arrangement at any time (with or without
      Cause).

     

    10. Termination,
      Duration and Amendments of Plan.
      The Plan
      may be abandoned or terminated at any time by the Board of Directors of the
      Corporation. The termination of the Plan shall not affect the validity of any
      Compensation Award outstanding on the date of termination. For the purpose
      of
      conforming to any changes in applicable law or governmental regulations, or
      for
      any other lawful purpose, the Board of Directors shall have the right to amend
      or revise the terms of the Plan at any time; provided, however, that no such
      amendment or revision shall, without the consent of the holder thereof, alter
      or
      impair any Compensation Award which shall have been previously vested under
      the
      Plan.

     

    11. Effective
      Date.
      The Plan
      shall be effective as of September 14, 2006.

     

    12.
      Definitions.
      The
      following words and phrases, wherever capitalized, shall have the following
      respective meanings, unless the context otherwise requires:

     

    (a)  "Board
      of Directors" shall
      mean
      the Board of Directors of the Corporation.

     

    (b)  "Cause"
      shall
      mean
      intentional or willful misconduct, gross neglect of duties, or other material
      acts or omissions detrimental to the best interests of the Corporation or a
      Subsidiary.

     

    (c) "Code"
      shall
      mean
      the Internal Revenue Code of 1986, as amended.

     

    (d) "Committee"
      shall
      mean
      the Board of Directors of the Corporation, or such other committee as shall
      be
      specified by the Board of Directors to perform the functions and duties of
      the
      Committee under the Plan; provided, however, the Committee shall comply with
      the
      requirements of (i) Rule 16b-3 of the Rules and Regulations under the Exchange
      Act, and (ii) Section 162(m) of the Code, and the regulations
      thereunder.

     

    (e) “Corporation”
      shall
      mean
      Viper Networks, Inc., a Nevada corporation, or any successor
      thereof.

     

    (f) "Corporation-Participant
      Agreement" shall
      have
      the meaning set forth in above.

     

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

    (g) “Discretion”
      shall mean
      in the sole discretion of the Committee, with no requirement whatsoever that
      the
      Committee follow past practices, act in a manner consistent with past practices,
      or treat a key employee in a manner consistent with the treatment afforded
      other
      key employees with respect to the Plan.

     

    (h) "Exchange
      Act" shall
      mean
      the Securities Exchange Act of 1934, as amended.

     

    (i) "Measurement
      Period" means
      the
      period established by the Committee, in its sole discretion, from time to
      time.

     

    (j) "Participant"
      shall
      mean
      any key employee based at the Corporation's office and any consultant to the
      Corporation’s officers and directors.

     

    (k)  "Plan"
      shall
      mean
      this Viper Networks, Inc. 2006 Employee and Consultant Compensation
      Plan.

     

    (l)  “Stockholders”
      shall mean
      all holders of the Corporation’s voting equity securities.

     

    13. 
      Operation
      and Management of the Plan.
      The Plan
      shall operate in accordance with the requirements of the law of the
      Corporation’s domicile and all applicable state and federal securities laws as
      determined by the Committee in the exercise of its sole discretion. The
      Committee shall have the right, but not the obligation, to adopt and amend
      this
      Plan as it determines and make and determine the criteria, amount, and basis
      for
      any Compensation Award upon such terms as it deems reasonable in view of the
      plans and objectives of the Corporation, the services rendered by any
      Participant, and any other matters deemed appropriate by the
      Committee.

     

    Adopted:
      As adopted
      by the Board of Directors on September 14, 2006

     

    

    Acknowledgment:                 
       /s/
      Paul E. Atkiss

    Paul
      E. Atkiss, Secretary

     

    Attested:
      As attested by the following members of the Corporation’s Board of
      Directors:

     

    Attest:     
       /s/Farid
      Shouekani

    Farid
      Shouekani

     

    Attest:     
      /s/
      Ronald G. Weaver

    Ronald
      G. Weaver

     

    4

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