Common use of Initial Provisioning Allowance Clause in Contracts

Initial Provisioning Allowance. CFM agrees to provide Airline with an Initial Provisioning Allowance in the amount of ***** per Aircraft delivered to Airline. This allowance is earned at the time of delivery of each Aircraft per the delivery schedule in Attachment A up to *****. If the total number of Aircraft are not delivered, a prorated amount will be reimbursed to CFM. Such allowance is not subject to adjustment for escalation, and will be made available to Airline as a credit against purchases of goods and services from CFM. However, to better support Airline’s start-up costs, CFM agrees to advance the total allowance of ***** prior to the delivery of the first Aircraft. Airline will notify CFM ***** prior to delivery of the first Aircraft to ensure proper timing of the credit. ***** Confidential portions of the material have been omitted and filed separately with the Securities and Exchange Commission.

Appears in 1 contract

Sources: General Terms Agreement (Virgin America Inc.)

Initial Provisioning Allowance. CFM agrees to provide Airline with an Initial Provisioning Allowance in the amount of ***** per Aircraft delivered to Airline. This allowance is earned at the time of delivery of each Aircraft per the delivery schedule in Attachment A up to *****. * If the total number of Aircraft are not delivered, a prorated amount will be reimbursed to CFM. Such allowance is not subject to adjustment for escalation, and will be made available to Airline as a credit against purchases of goods and services from CFM. However, to better support Airline’s start-up costs, CFM agrees to advance the total allowance of ***** prior to the delivery of the first Aircraft. Airline will notify CFM ***** prior to delivery of the first Aircraft to ensure proper timing of the credit. ***** Confidential portions of the material have been omitted and filed separately with the Securities and Exchange Commission.

Appears in 1 contract

Sources: General Terms Agreement (Virgin America Inc.)