Common use of Privilege Fee Clause in Contracts

Privilege Fee. As consideration for the privilege of operating the concession hereunder, Lessee shall pay to Lessor each Contract Year, for the full term of this Agreement, a Privilege Fee. Said Privilege Fee shall be the greater of the guaranteed Minimum Annual Privilege Fee applicable to Gross Revenues, hereinafter defined, as follows: 17.1.1 Privilege Fee- the greater of either: a. ten percent (10%) of the Lessee’s annual Gross Revenues (“Percentage Privilege Fee”); OR b. the respective yearly amount shown below as the Lessee’s Minimum Annual Guaranteed fee (“MAG”) March 1, 2025 – February 28, 2026 $ 215,000.00 March 1, 2026 – February 28, 2027 $ 221,450.00 March 1, 2027 – February 29, 2028 $ 228,093.00 March 1, 2028 – February 28, 2029 $ 234,935.00 March 1, 2029 – February 28, 2030 $ 241,983.00 17.1.2 Monthly payment shall be the greater of 1/12th of the respective year’s MAG or ten percent (10%) of reported Gross Revenues for the previous month remitted by the fifteenth (15th) of the following month. 17.1.3 In any Contract Year where the total deplanements at the Airport decline by 15% or more as compared to the prior Contract Year, the Lessee’s MAG for such Contract Year shall be reduced proportionate to the decline in deplanements as part of the year-end reconciliation process. Where the Lessor reasonably determines during any Contract Year that a MAG reduction is likely, the Lessee will only be required to remit the ten percent (10%) of reported Gross Revenues for any period of time the Lessor deems appropriate in its sole discretion.

Privilege Fee. As consideration for the privilege of operating the concession hereunder, Lessee shall pay to Lessor each Contract Year, for the full term of this Agreement, a Privilege Fee. Said Privilege Fee shall be the greater of the guaranteed Minimum Annual Privilege Fee applicable to Gross Revenues, hereinafter defined, as follows: 17.1.1 Privilege Fee- the greater of either: a. ten percent (10%) of the Lessee’s annual Gross Revenues (“Percentage Privilege Fee”); OR b. the respective yearly amount shown below as the Lessee’s Minimum Annual Guaranteed fee (“MAG”) March 1, 2025 – February 28, 2026 $ 215,000.00 278,325.00 March 1, 2026 – February 28, 2027 $ 221,450.00 286,675.00 March 1, 2027 – February 29, 2028 $ 228,093.00 295,275.00 March 1, 2028 – February 28, 2029 $ 234,935.00 304,133.00 March 1, 2029 – February 28, 2030 $ 241,983.00313,257.00 17.1.2 Monthly payment shall be the greater of 1/12th of the respective year’s MAG or ten percent (10%) of reported Gross Revenues for the previous month remitted by the fifteenth (15th) of the following month. 17.1.3 In any Contract Year where the total deplanements at the Airport decline by 15% or more as compared to the prior Contract Year, the Lessee’s MAG for such Contract Year shall be reduced proportionate to the decline in deplanements as part of the year-end reconciliation process. Where the Lessor reasonably determines during any Contract Year that a MAG reduction is likely, the Lessee will only be required to remit the ten percent (10%) of reported Gross Revenues for any period of time the Lessor deems appropriate in its sole discretion.

Privilege Fee. As consideration for the privilege of operating the concession hereunder, Lessee shall pay to Lessor each Contract Year, for the full term of this Agreement, a Privilege Fee. Said Privilege Fee shall be the greater of the guaranteed Minimum Annual Privilege Fee applicable to Gross Revenues, hereinafter defined, as follows: 17.1.1 Privilege Fee- the greater of either: a. ten percent (10%) of the Lessee’s annual Gross Revenues (“Percentage Privilege Fee”); OR b. the respective yearly amount shown below as the Lessee’s Minimum Annual Guaranteed fee (“MAG”) March 1, 2025 – February 28, 2026 $ 215,000.00 205,000.00 March 1, 2026 – February 28, 2027 $ 221,450.00 211,150.00 March 1, 2027 – February 29, 2028 $ 228,093.00 217,484.00 March 1, 2028 – February 28, 2029 $ 234,935.00 224,009.00 March 1, 2029 – February 28, 2030 $ 241,983.00230,729.00 17.1.2 Monthly payment shall be the greater of 1/12th of the respective year’s MAG or ten percent (10%) of reported Gross Revenues for the previous month remitted by the fifteenth (15th) of the following month. 17.1.3 In any Contract Year where the total deplanements at the Airport decline by 15% or more as compared to the prior Contract Year, the Lessee’s MAG for such Contract Year shall be reduced proportionate to the decline in deplanements as part of the year-end reconciliation process. Where the Lessor reasonably determines during any Contract Year that a MAG reduction is likely, the Lessee will only be required to remit the ten percent (10%) of reported Gross Revenues for any period of time the Lessor deems appropriate in its sole discretion.