Supplemental Agreement

Supplemental Agreement No. 37 to Purchase Agreement No. 1980 Between the Boeing Company and AMERICAN AIRLINES, INC Relating to Boeing Model 777 Aircraft

Exhibit 10.2

Supplemental Agreement No. 37

to

Purchase Agreement No. 1980

between

The Boeing Company

and

AMERICAN AIRLINES, INC

Relating to Boeing Model 777 Aircraft

THIS SUPPLEMENTAL AGREEMENT No. 37, entered into this 31st day of July, 2015, (SA-37) by and between THE BOEING COMPANY, a Delaware corporation with offices in Seattle, Washington, (Boeing) and American Airlines, Inc., a Delaware corporation with offices in Fort Worth, Texas (Customer);

RECITALS:

WHEREAS, Boeing and Customer entered into Purchase Agreement No. 1980 dated as of October 31, 1997, as amended and supplemented relating to Boeing Model 777 aircraft (Purchase Agreement) and capitalized terms used herein without definitions shall have the meanings specified in such Purchase Agreement; and

WHEREAS, Customer and Boeing mutually desire to revise the delivery of certain MADP and QADP rights as follows:

a) to convert two (2) QADP Rights with delivery in [*CTR] ([*CTR] QADP Rights) into [*CTR] MADP Rights with deliveries in [*CTR] ([*CTR] MADP Rights) as follows:

 

Item No.

 

Prior to SA-37

 

Pursuant to SA-37

[*CTR]

  QADP, [*CTR]   MADP, [*CTR]

[*CTR]

  QADP, [*CTR]   MADP, [*CTR]

 

PA No. 1980

   SA-37

Page 1

Boeing Proprietary

[*CTR]=[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]


NOW THEREFORE, the parties agree that the Purchase Agreement is amended as set forth below and otherwise agree as follows:

 

1. Table of Contents:

The Table of Contents referencing SA-36 in the footer is deleted in its entirety and is replaced with a new Table of Contents (attached hereto) referencing SA-37 in the footer. Such new Table of Contents is hereby incorporated into the Purchase Agreement in replacement of its predecessor.

 

2. Revision of Attachment B to Letter Agreement No. 6-1162-AKP-110R3:

Attachment B entitled “Information Regarding MADP Rights to Letter Agreement No. 6-1162-AKP-110R3” is deleted in its entirety and replaced with the similarly titled Attachment B (attached hereto) referencing SA-37 (Revised Attachment B) in the footer to incorporate the conversion of the [*CTR] QADP Rights into the [*CTR] MADP Rights with the Exercise Date and Delivery Date as specified in Revised Attachment B. Revised Attachment B is hereby incorporated into the Purchase Agreement in replacement of its predecessor.

 

3. Revision of Attachment C to Letter Agreement No. 6-1162-AKP-110R3:

Attachment C entitled “Information Regarding QADP Rights to Letter Agreement No. 6-1162-AKP-110R3” is deleted in its entirety and replaced with the similarly titled Attachment C (attached hereto) referencing SA-37 in the footer (Revised Attachment C) to incorporate the conversion of the [*CTR] QADP Rights into the [*CTR] MADP Rights by eliminating the [*CTR] QADP Rights from Revised Attachment C.

 

4. Effect on Purchase Agreement:

Except as expressly set forth herein, all terms and provisions contained in the Purchase Agreement shall remain in full force and effect. This Agreement contains the entire agreement between the parties with respect to the subject matter hereof and supersedes all previous proposals, and agreements, understandings, commitments or representations whatsoever, oral or written, with respect to the subject matter hereof and may be changed only in writing signed by authorized representatives of the parties.

The rest of this page is left intentionally blank.

 

PA No. 1980    SA-37

Signature Page

Boeing Proprietary

[*CTR]=[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]


EXECUTED IN DUPLICATE as of the day and year first above written.

 

THE BOEING COMPANY     AMERICAN AIRLINES, INC.
By:  

/s/ The Boeing Company

    By:  

/s/ American Airlines, Inc.

Name:   The Boeing Company     Name:   American Airlines, Inc.
Its:   Attorney-In-Fact     Its:   Vice President Fleet Planning

 

PA No. 1980    SA-37

Signature Page

Boeing Proprietary

[*CTR]=[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]


TABLE OF CONTENTS

 

ARTICLES

   PAGE & SA
NUMBER

1.

 

Quantity, Model and Description

   1, SA-20

2.

 

Delivery Schedule

   1, SA-20

3.

 

Price

   1, SA-20

4.

 

Payment

   2, SA-20

5.

 

Miscellaneous

   2, SA-20

TABLE

       SA NUMBER

1.

 

777-200ER Aircraft Delivery, Description, Price and Advance Payments ([*CTR] Deliveries)

Jul. [*CTR] Airframe Base Year

Jul. [*CTR] Engine Base Year

   Original Purchase
Agreement, SA-3,
SA-17, SA-18,
SA-26 & SA-31
 

Terminated

   SA-35

1-1.

 

777-200IGW Aircraft Information Table: 1999 Deliveries

Jul. 1995 Airframe & Engine Base Year

   SA-1

1-2.

 

777-200IGW Aircraft Information Table: 2000-2001 Deliveries

Jul. 1995 Airframe & Engine Base Year

   SA-2 & SA-6

1-3.

 

777-200IGW Aircraft Information Table: 2000-2001 Deliveries

Jul. 1995 Airframe Base Year

Jul. 1997 Engine Base Year

   SA-4, SA-5,
SA-6, SA-7 &
SA-9

1-4.

 

777-200IGW Aircraft Information Table: 2000-2001 Deliveries

Jul. 1995 Airframe Base Year

Jul. 1998 Engine Base Year

   SA-5, SA-6 &
SA-9

1-5.

 

777-223IGW Aircraft Information Table: 2001-2002 Deliveries

Jul. 1995 Airframe Base Year

Jul. 1999 Engine Base Year

   SA-10, SA-11,
SA-12 & SA-15

1-6.

 

777-200IGW Aircraft Information Table: 2003 Deliveries

Jul. 1995 Airframe Base Year

Jul. 1995 Engine Base Year

   SA-13

1-7.

 

777-323ER Aircraft Delivery, Description, Price and Advance Payments

   SA-25, SA-26,
 

(November 2012 – July 2013 Deliveries)

Jul. [*CTR] Airframe Base Year

   SA-28, SA-31

1-8.

 

777-323ER Aircraft Delivery, Description, Price and Advance Payments

   SA-36
 

(December [*CTR] and [*CTR] Deliveries)

Jul. [*CTR] Airframe Base Year

  

 

PA No. 1980    SA-37

Table of Contents Page i

Boeing Proprietary

[*CTR]=[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]


TABLE OF CONTENTS, continued

 

TABLE

   SA NUMBER
2.   

777-223IGW Aircraft Information Table: 2009-2010 Deliveries

Jul. 1995 Airframe Base Year

Jul. 2001 Engine Base Year

   SA-15 & SA-16
3.   

777-223IGW Aircraft Information Table: 2006-2010 Deliveries

Jul. 1995 Airframe Base Year [*CTR]

Jul. 2001 Engine Base Year

   SA-15 & SA-16

EXHIBIT

   SA NUMBER
A.    Aircraft Configuration   
A1.    Aircraft Configuration – 777-323ER             WITHDRAWN    SA-31
A2.    Aircraft Configuration – 777-323ER    SA-28
B.    Aircraft Delivery Requirements and Responsibilities    SA-20
C.    Defined Terms    SA-20

SUPPLEMENTAL EXHIBITS

   SA NUMBER
AE1.   

Escalation Adjustment Airframe and Optional Features - 777-323ER

   SA-20
BFE1.   

BFE Variables

  
BFE1-2.   

BFE Variables - 777-323ER

   SA-25, SA-26,
SA-28
CS1.   

Customer Support Variables

  
CS1-2   

Customer Support Variables - 777-323ER

   SA-20
SLP1   

Service Life Policy Components

  
EE1-BR1.   

Engine Escalation and Engine Warranty

   SA-15
EE1-2.   

Engine Escalation, Engine Warranty and Patent Indemnity – 777-323ER

   SA-20

LETTER AGREEMENTS

   PA or SA
NUMBER
6-1162-AKP-070   

Miscellaneous Commitments for Model 737, 757, 767 and 777 Aircraft

  
6-1162-AKP-071R1   

Purchase Obligations

Terminated Per AAL-PA-1977-LA-1105595

   PA3219
6-1162-AKP-072R3   

[*CTR]

Terminated Per AAL-PA-1977-LA-1105595

  

6-1162-AKP-073R1

  

Accident Claims and Litigation

   PA3219

 

PA No. 1980    SA-37

Table of Contents Page ii

Boeing Proprietary

[*CTR]=[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]


TABLE OF CONTENTS, continued

 

LETTER AGREEMENTS

   PA or SA
NUMBER
6-1162-AKP-109R3   

Business Considerations

   SA-20
6-1162-AKP-110R3   

Aircraft Purchase Rights and Substitution Rights

   SA-20
Attachment A   

Description and Price for Eligible Models

   SA-20
Attachment B   

Information Regarding MADP Rights

   SA-37
Attachment C   

Information Regarding QADP Rights

   SA-37
Attachment D   

Forms of Purchase Agreement Supplement

   SA-20
Attachment E   

Letter Agreements

   SA-20
Attachment F   

Information regarding MADP and QADP Rights if no 787s are reconfirmed

   SA-20
6-1162-AKP-111   

Aircraft Performance Guarantees

  
AAL-PA-1980-LA-1003346   

Aircraft Performance Guarantees - 777-323ER

   SA-20
AAL-PA-1980-LA-04205R4   

Aircraft Performance Guarantees – 777-323ER

   SA-28
6-1162-AKP-112   

Spares Matters

  
6-1162-AKP-113   

Model 777 Miscellaneous Commitments

  
6-1162-AKP-114R1   

Installation of Cabin Systems Equipment

   SA-22
AAL-PA-1980-LA-1003493   

Installation of Cabin Systems Equipment – 777-323ER

   SA-20
6-1162-AKP-115   

Component and System Reliability Commitments

  
6-1162-AKP-116   

Price Adjustment on Rolls-Royce Engines

  
6-1162-AKP-117   

Delivery Schedule

  
6-1162-AKP-118R2   

Confidentiality

   SA-20
6-1162-AKP-204   

Multiple Operating Weight Program Model 777-200IGW Aircraft

   SA-6
AAL-PA-1980-LA-1003536R1   

Multiple Operating Weight Program, Model 777-323ER Aircraft

   SA-21
AAL-PA-1980-LA-1003344   

Open Configuration Matters -777-323ER

   SA-20
AAL-PA-1980-LA-1104563   

Performance Guarantees for Rights Aircraft

   SA-23
AAL-PA-1980-LA-1105629   

Advance Payments and Permitted Transactions

   SA-25
AAL PA 1980-LA-1207588   

[*CTR] for Undelivered Aircraft

   SA-30
AAL-PA-1980-LA-1208920   

Delivery Flexibility for [*CTR] Purchase Rights

   SA-30
AAL-LA-1106678   

Assignment Matters

   SA-33

 

PA No. 1980    SA-37

Table of Contents Page iii

Boeing Proprietary

[*CTR]=[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]


Attachment B to Letter Agreement 6-1162-AKP-110R3 (Model 777)

Information Regarding MADP Rights

 

MSN or Item #

 

Exercise Date

 

Delivery Month/Year

41665

  [*CTR]   [*CTR]

31546

  [*CTR]   [*CTR]

31547

  [*CTR]   [*CTR]

33125

  [*CTR]   [*CTR]

41666

  [*CTR]   [*CTR]

67680

  [*CTR]   [*CTR]

71939

  [*CTR]   [*CTR]

71940

  [*CTR]   [*CTR]

101794

  [*CTR]   [*CTR]

71942

  [*CTR]   [*CTR]

67655

  [*CTR]   [*CTR]

181030

  [*CTR]   [*CTR]

181031

  [*CTR]   [*CTR]

 

PA No. 1980       SA-37
Attachment B to Letter Agreement 6-1162-AKP-110R3    Page 1 of 1
[*CTR]=[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]


Attachment C to Letter Agreement 6-1162-AKP-110R3 (Model 777)

Information Regarding QADP Rights

 

MSN or Item

Number

 

Exercise Date

 

Delivery Quarter

   
101789   9/30/10   [*CTR]  
31543   SA-20   [*CTR]  
101790   3/31/11   [*CTR]   SA-21
41668   SA-23   [*CTR]  
31548   SA-25   [*CTR]  
41669   [*CTR]   [*CTR]   SA-27
68870   [*CTR]   [*CTR]   SA-21
31553   SA-31   [*CTR]   SA-31
33127   SA-31   [*CTR]   SA-31
68872   SA-32   [*CTR]   SA-32
68870   SA-34   [*CTR]   SA-34
101801   [*CTR]   [*CTR]  
101790   [*CTR]   [*CTR]   SA-29
101798   [*CTR]   [*CTR]   SA-36
181032   [*CTR]   [*CTR]   SA-36
68864   [*CTR]   [*CTR]   SA-36
71938   [*CTR]   [*CTR]   SA-36

 

Note: Per SA-37, Item Numbers 181030 and 181031 are defined as the [*CTR] QADP Rights (which prior to SA-37 reflected a Delivery Quarter of [*CTR]) and are hereby converted to MADP Rights defined in SA-37 as the [*CTR] MADP Rights by eliminating the [*CTR] QADP Rights from this Revised Attachment C.

 

PA No. 1980

      SA-37
Attachment C to Letter Agreement 6-1162-AKP-110R3    Page 1 of 1
[*CTR]=[CONFIDENTIAL PORTION OMITTED AND FILED SEPARATELY WITH THE COMMISSION PURSUANT TO A REQUEST FOR CONFIDENTIAL TREATMENT]