EFTA01105740.pdf

j LEADING EDGE Leading Edge Aviation Services 3132 Airway Avenue Aviation Services, /nc. Costa Mesa. CA 92626 Mr. Larry Visosky JEGE, LLC 3800 Southern Blvd. Suite #204 W. Palm Beach, Fla. 33406 Dear Mr. Visosky, The following is our proposal to address the painting related functions as identified within to provide a Corporate Aircraft finish for your Gulfstream IV aircraft. Upon review and acceptance of this proposal a separate contract shall be provided to bind the parties (Leading Edge Aviation Services, or LEAS, and The Client) to the terms, conditions and requirements as stated within, or as developed for accuracy. Please note that the quote is being composed without the benefit of engineering drawings, paint specification, or manufacturers painting requirements and approved data. The quote is constructed assuming Sherwin Williams (or equivalent) paint products, and assumes the final specification will be a basic one color design. Leading Edge Completions (LEC) is proud to be the only major aircraft painting company to obtain AS 9100 certification in the United States. Leading Edge Completions is an FAA Certified Repair Station, and if selected for the quoted scope of work will provide Return to Service via log book entry. Section 1 SCOPE OF WORK: Prepare, chemically strip or sand, prime, and paint the aircraft in accordance with the customer provided specification and utilizing the customer provided drawings to create the intended paint scheme. Works scope specifics are identified as: Perform and document incoming inspection • Prepare aircraft for stripping to include fuselage and vertical. • Inspect all masking prior to stripper application. Apply stripper, re-apply until complete. • Inspect for surface corrosion. Any repairs deemed necessary will be handled on a Time and Materials basis. • Sand cowlings, wings, horizontal stabilizer and flight control surfaces as described in spec. • De-seal, and re-seal fuselage seams, horizontal and vertical stabilizer as required and per Boeing approved practices. • Inspect all seam sealing, repair as necessary. • Alkaline wash all landing gear, wheel wells and exterior of aircraft. • Power abrade aluminum surfaces to water break free surface. • Etch aircraft, re-check water break, alodine (or Prekote if acceptable) all bare aluminum surfaces. • Re-mask for painting. • Prime aircraft using corrosion resistant epoxy primer (or OEM required primer), scuff as deemed necessary for adhesion, and tack prior to paint application. Confidential Paget 3/12/2013 EFTA01105740  • Apply two coats of polyurethane topcoat in accordance with the customer provided drawing and develop the desired paint scheme by masking as required. Paint landing gear painted surfaces, inspect actuators for overspray and verify that all placards are visible. • Balance rudder, ailerons and elevator by calculation method, remove, balance and re-install aileron and elevator tabs IAW Gulfstream (or other provided, approved data) specifications. • Provide and apply Gulfstream standard GIV placard package. Apply registration numbers with LEAS provided stencils, (up to two colors allowable). • Polish all bright work including any exterior latches, locks, and door handles that may be currently polished, cockpit window surrounds, leading edges of wings, vertical and horizontal stabilizers, air stair step cap plate, cabin and baggage door sills, and engine intakes. • Re-apply required sealant. • Hand detail exterior of the aircraft for delivery. • Inspect and repair discrepancies, perform final outgoing inspection. • Prepare and re-fuel (if required) aircraft. • Present to Customer Section 2 OVER AND ABOVE ITEMS All over and above items will be billed at the applicable rate listed below. No over and above work will commence until Customer is notified and written approval is received from the Customer representative. Paint Labor $58.00 per m/h (straight time), $69.00 per m/h (overtime) Insp/Maint/Plan $68.00 per m/h (straight time), $78.00 per m/h (overtime) Engineering $85.00 per m/h (straight time), $100.00 per m/h (overtime) Flight Controls • Flight control weight and balance are addressed specifically in the above section. Weighing of Aircraft / De-fuel of Aircraft • Weighing of the aircraft is not included in the bid price, but may be accomplished if requested as an "Over and Above Item". • De-fueling of the aircraft will be addressed specifically should weighing option be selected. Landing Gear/Wheel Wells • This item is addressed in the scope of work to be performed. Composites • Composite areas of the aircraft are addressed specifically in the scope of work to be performed. Section 3 MATERIALS • Placards and masks (as and if required) to be provided by LEAS and as required to perform the quoted work. The customer will provide the approved drawing of required markings at least 30 days prior to input to assure lead times may be met for material procurement. Any Customer Confidential Page 2 3/12/2013 EFTA01105741  supplied materials are subject to a 15% handling charge, unless expressly addressed within this quote. • Primer and Topcoat to be provided by Leading Edge and are part of the price quoted within. Any Customer supplied materials are subject to a 15% handling charge and will be subject to verification that there is no conflict to the approved materials list for the aircraft. • Customer agrees that paint design, colors (paint color codes), and any aircraft technical paint drawing or sketch approval must be received no later than thirty (30) days prior to aircraft parts arrival and induction in order for paint to be ordered and arrive prior to aircraft induction. This requirement assumes standard color selection. Special mixes require additional lead time, as well as may be subject to an increase in material costs which would be presented for approval by the Customer prior to ordering. If less than thirty (30) working days, Customer agrees to pay expedited production and shipping charges for paint so that products arrive in time to meet contracted span time and Customer schedule. • Customer agrees that materials purchased specifically for Customer's aircraft (paint, primer placards, paint masks) will be paid for in full should Customer cancel the aircraft or readjust the aircraft schedule to a significantly later date. • Customer to furnish any special test equipment that may be required Material Purchases / Outside Vendor Services • Necessary material and or services specified by Customer that must be purchased from outside vendors or approved subcontractors will be billed at cost plus 15%. Associated shipping costs will be billed at cost plus 10%. Section 4 TECHNICAL DATA / MANUALS • Paint procedures will be in accordance with airframe manufacturers procedures or as per customer procedures supplied to Leading Edge by Customer. SRM, IPC, MM for specific aircraft will be furnished by customer prior to commencement of workscope. • In addition, Customer must supply current paint drawings (including drawings indicating correct maintenance placard placement), complete information regarding paint color numbers and recommended paint manufacturer, complete listing of graphics and part numbers and current paint engineering order or paint work cards prior to the delivery of the aircraft to Leading Edge facility. Leading Edge will be happy to assist with design renderings with the direct input of the customer as indicated in Section 10 of this quote. Section 5 INSPECTION / RETURN TO SERVICE • Work is accomplished and approval for return to service is conducted using Customer approved data or FAA approved procedures by authorized individuals. • Manufacturers approved data is utilized for return to service when customers approved data is not readily available. • All persons performing work required are appropriately rated, certified, and experienced to accomplish work. • Unless otherwise specified by Customer, acceptance of aircraft which has had all work completed will be documented and signed by Customer as having met the following appearance criteria. Leading Edge will complete the work that it has contracted with Customer for with the following inspection criteria in mind and no other unless otherwise notified in writing by Customer prior to the performance of referenced paint work: Confidential Page 3 3/12/2013 EFTA01105742  Inspection of the paint surfaces from five (5) feet or more away and at ninety (90) degree angles from all painted surfaces (except surfaces adjacent to passenger entrances) shall be made to verify that the appearance of the applied paint is consistent with good workmanship. For the surfaces adjacent to passenger entrances, inspection shall be made 3 - 5 feet away from the center of the entrance. The final appearance of the completed decorative surface shall be uniform, glossy and relatively free from sags, dirt craters, excessive orange peel and dry or over spray. Note: It should be noted that base coat/ clear coat exhibits greater than normal orange peel and Leading Edge shall not be responsible to repair the orange peel effect. Section 6 WARRANTY • Leading Edge warrants its work against workmanship defects. As used herein, defects in workmanship shall mean a failure on the part of Leading Edge to conform to acceptable industry practices as prescribed by applicable FAA and applicable manufacturer's specifications. • Leading Edge's obligation hereunder is conditioned upon the return as soon as practical of the aircraft or part thereof in which the defect exists, either to the Leading Edge facility or some other mutually agreeable to Leading Edge and Customer, and the submission of reasonable proof to Leading Edge that the defect is due to a matter embraced within Leading Edge's warranty hereunder. In case of defects in labor or workmanship, any such defect must have become apparent and customer must have notified Leading Edge within twenty four (24) months. Leading Edge's responsibility for defects in materials supplied by Leading Edge or in workmanship is limited to the repair and/or replacement of any defective accessory, equipment or part with a similar item, free from defect. All corrections, repairs, and replacements made with respect to this warranty shall be made by Leading Edge at its expense and shall be made with the reasonable care and dispatch in order that the aircraft involved may not be kept out of service longer than necessary. Should the parties hereto mutually agree that it would be impractical to return the aircraft or parts thereof to Leading Edge for warranty repairs, Leading Edge will give written approval to the customer to make warranty repairs. Such approval shall include the labor hours and material consumed to perform the warranty repair. • It is understood and agreed that abnormal erosion or chipping from impact damage, fluid or elements shall not be deemed a defect. Paint warranty is manufacturer's warranty. • For sand and paint of aircraft, Leading Edge does not warrant the adhesion of the previous paint application. • For Mankewicz, Leading Edge has experienced premature paint failure and excessive orange peel. Warranty for aircraft painted with Mankewicz will be determined on a per aircraft basis taking into account the quality issues evidenced above. Confidential Page 4 3/12/2013 EFTA01105743 Section 7 TERMS • Leading Edge normal payment schedule is as follows: 50% prior to start of work; 50% certified funs upon completion, and prior to Return to Service from Leading Edge personnel and aircraft departure • Alternate payment terms may be negotiated for multiple aircraft orders Section 8 TURN TIME • For Work scope as described above: a 12-15 working days Span Time, as defined in this section, means the total elapsed days to complete the required work scope, outlined in Section 1 of this agreement. One (1) day is defined as one (1) full twenty-four (24) hour period. Upon aircraft arrival at Leading Edge facility and after the aircraft induction and incoming inspection, commencement of the contracted work scope will begin and the beginning of the next shift. Arrival of aircraft after 4:00 PM will necessitate the aircraft work scope commence at the next shift, the day following the arrival. Section 9 FACILITY / HANGAR AVAILABILITY • Aircraft to be serviced at Leading Edge Aviation Services, Fort Worth, Texas. Section 10 BID PRICE: For aircraft in accordance with work scope outlined in Section 1 of this proposal: A/C TYPE Gulfstream GIV- VIP Price to accomplish scope of work as described per spec $137,900.00 Confidential Page 5 3/12/2013 EFTA01105744 'Leading Edge reserves the right to adjust quotation should the existence of excessive layers of paint (above 250 microns for sand, above 350 microns for strip) or exotic or fluid resistant primers be discovered during strip or sand process. -*Pricing to remain firm for the term of the agreement barring any chance in the exterior scheme of the aircraft. 'Hazardous waste collection and disposal is the responsibility of Leading Edge. —"Leading Edge agrees to waive charges for customer provided exterior markings and placards stencils for this aircraft, if applicable. *****Leading Edge reserves the right to photograph the completed aircraft at Leading Edge's expense. Leading Edge also shall have the right to utilize such photos in its marketing effort without compensation to the aircraft owner. —""De-fueling expenses are limited to $4,000.00 billed cost as a part of this proposal. Should the client elect to arrive with fuel quantities in excess of this budgetary allowance, additional charges to be billed at cost. The pricing provided in the quote will be honored if accepted within 30 days of submission to the client. Bid Submitted By: Date: 31213 Greg Lanningham General Manager, Fort Worth Leading Edge Aviation Services Confidential Page 6 3/12/2013 EFTA01105745