CFE738. For the Falcon Customer Service Plan. A Partnership: Honeywell & General Electric Company

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1 CFE738 For the Falcon 2000 Customer Service Plan A Partnership: Honeywell & General Electric Company

2 Business Aviation s Most Comprehensive Engine Maintenance Program For decades, aircraft owners have relied on engine manufacturers to provide special support and maintenance program for their propulsion engines. The CFE Company, a partnership between Honeywell and General Electric Company, is proud to offer its Customer Service Plan (CSP) for the CFE738 Turbofan Engine. In addition to the extensive maintenance coverages provided under the program, CSP operators receive important benefits like no-risk engine maintenance budgeting, predictable maintenance costs and protection against arbitrary rate escalations during the CSP Agreement term. CSP operators also enjoy significantly enhanced aircraft resale value. Of all the engine maintenance insurance programs available today, CSP is the only program officially offered and supported by the engine manufacturer. Designed and backed by the CFE Company, a partnership between two of the world s most renowned aviation companies, CSP gives you the confidence to fly without unexpected high maintenance costs. When your aircraft does require maintenance, you receive the world s best service and support from the company that designed and built your engines from the ground up.

3 2 CSP is a welcomed supplement to the CFE738 Commercial Warranty. No other maintenance program offers such CSP Operator Advantages comprehensive coverage at an affordable price. With the flexibility of receiving service at CFE738 authorized service centers worldwide, you receive the most up-to-date service from the company that originally built your engine. More importantly, you ll be able to eliminate high-cost surprises by accurately forecasting maintenance budgets. The program is fully transferable (a valuable asset is being accrued which is recoverable at the time of aircraft sale). CSP is also available to operators of either new or used engines. CSP Benefits The engine manufacturer s program: - Designed and backed exclusively by the CFE Company, the manufacturer of the CFE738 Turbofan Engine Predictable Engine maintenance costs: - Enhanced accuracy of aviation department budgeting - Engine maintenance costs are predictable through extended time periods - Eliminated financial impact of a high cost event - Included replacement of cycle life-limited parts - Annual rate adjustments limited by U.S. Government economic indices Continuous financial coverage for CFE738 service and repair: - Scheduled major engine maintenance - Unscheduled engine maintenance - Service Bulletin incorporation for guaranteed state-of-the-art configuration - Rental engine during extended unscheduled maintenance activities available at preferred rates Enhanced aircraft resale value: - Accrued engine value transferable to new owner - Aircraft value not reduced due to engine times - Enhanced aircraft resale value offsets program cost Worldwide Authorized Service Center Network: - Strategically located service facilities exclusively authorized for CFE738 maintenance

4 33 CSP... Ever Increasing the Value of Your Aircraft A CSP Contract term is 60 months and may be renewed for additional terms upon expiration. The availability of such follow-on contracts assures the operator of continued CSP coverage and ever increasing equity throughout the entire service life of the aircraft. CSP members enjoy significantly enhanced aircraft resale value. In fact, aircraft resale prices typically include the value attached to this factory-backed program. Deductions in the value of aircraft NOT covered by CSP can be significant. Scheduled and unscheduled maintenance activities, service bulletin incorporation, life limited parts replacement, and rental and exchange engine units are all covered. That s value.

5 4 CSP operators receive financial coverage for scheduled major engine maintenance, unscheduled maintenance, and service bulletin updates. Also, to minimize operator downtime during extended periods of maintenance, rental and exchange engine units are available at special CSP rates. Scheduled Maintenance Included under the scheduled maintenance guidelines is the optional Leading the Industry in Maintenance Coverage engine trend monitoring program. Engine performance data is collected from the Engine Full Authority Digital Electronic Control (FADEC) and is design for immediate review by the operator. An engine fault isolation tool is also included in this software suite. Parts for Mid Point Inspections (MPIs), including gearbox and hot section components, cycle life-limited parts, reworked parts, new parts, consumables, and all MPI labor are assumed by CSP. Core Zone Inspections (CZIs) are also covered under scheduled maintenance guidelines. As with MPIs, all parts and all labor are assumed by CSP. This includes new and reworked components, consumables and cycle life-limited parts. Likewise, because of CSP enrollment, rental engines will be made available at preferred rates during CZIs. Unscheduled Maintenance Coverage for unscheduled maintenance is another major benefit to CSP participation. Again, all parts and all repair labor are covered. Component rework, engine modules, line replaceable units (LRUs), and exchange engines are all provided under CSP. Additionally, ten (10) hours of troubleshooting labor are allowed. Based on availability and the extent of repairs needed, rental engines may also be provided at special CSP rates to minimize downtime. Service Bulletin Updates Service Bulletin updates are covered by CSP. Unlike other competitive programs, CSP covers Service Bulletins regardless of their release date in relation to the effective date of the maintenance agreement. This policy assures an operator of always having a modernized engine, configured with the latest state-of-the-art components, at no additional charge. CSP GOLD expands the standard CSP coverage to include many additional charges often associated with engine repairs. The table on the next page compares the financial coverage provided by new engine Warranty, CSP and CSP GOLD.

6 5 CSP... Complete Coverage New Engine Warranty CSP CSP GOLD Scheduled Maintenance 1 Routine Inspection Parts Routine Inspection labor only by an Authorized Service Center Mid-Point Inspection (MPI) by an Authorized Major Service Center Inspection labor 1 Consumable parts Other required parts Component repair labor (if required) Cycle life-limited parts Engine removal and reinstallation and/or access time Transportation of engine Core Zone Inspection (CZI) by an Authorized Heavy Maintenance Facility Inspection labor 1 Consumable parts Other required parts Component repair labor (if required) Cycle life-limited parts Rental engine (from CFE Co. engine bank at special CSP rates) 2 Engine removal and reinstallation and/or access time 2 Transportation of engine Unscheduled Maintenance 3 Troubleshooting labor allowance YES 1 Consumable parts YES Other required parts YES Component repair labor (if required) YES Exchange engine/module/line replaceable unit (LRU) YES Labor for module replacement or repair YES 4 Rental engine (from CFE Co. engine bank at special CSP rates) YES 2 Engine and LRU removal and reinstallation and/or access time YES 2 Logistical support for road trips (engine AOG only) 5 Transportation of unserviceable engine or LRU YES Engine Modernization Programs 6 Service Bulletins, Alert (Category 1) 6 Service Bulletins, Recommended (Category 2) 6 Service Bulletins, Optional (Category 3) as designated in SB Miscellaneous Increases aircraft resale / trade in value CFE Company Service Centers and FSE Worldwide Coverage YES New aircraft APU MSP at no cost for 2000 APU hours during 5 years if propulsion engines on CSP 1 Fluids (oil, fuel etc.) are not covered 2 Per CSP standard business practices 3 CSP up to 10 hours... CSP GOLD up to 20 (more than 20 requires approval and/or justification) Warranty up to 10 hours (more than 10 requires approval and/or justification) 4 Under Warranty, engine rental is free of charge 5 Warranty covers engine transportation only 6 Labor will be covered by CSP when bulletins are incorporated in conjunction with other CSP covered maintenance activities providing convenient access to the applicable engine area; otherwise, labor expensed will be the operator s responsibility. NOTE: Service bulletins identified as a Category 1, 2, or 3 will be incorporated into CSP engines according to the Compliance Section of the bulletin.

7 6 Enrollment into CSP is quick, easy and as simple as making a phone call. Purchasers of new aircraft having a Enrollment... Quick and Easy maximum of 25 hours total time logged are entered into the program at no charge. Used aircraft enrollment is calculated using hourly set-asides towards next Mid-Point Inspection (MPI), Core Zone Inspection (CZI) and turbine blade replacement as well as set-asides for cycle-limited component life already consumed. Protection from potentially high maintenance expense exposure extends into future contract renewals and is transferable at the time of aircraft sale. It is an important element that contributes to enhanced CSP aircraft resale value. Once enrollment is finalized, CSP operators are eligible to receive immediate worldwide full service under the provisions of the CSP contract. When delivering your aircraft for service to an authorized service center, simply identify yourself by your CSP Contract Number. It s quick! It s simple! It s hassle-free!

8 7 Flexible Payment Options Under CSP guidelines, monthly flight activity determines the cost of program participation. In keeping with our commitment to make CSP the easiest, most flexible engine maintenance program available in the industry today, two types of payment plans are now offered. CSP operators now have the ability to select the payment plan of their choice from one of the following options: 1. Actual Payment Plan Based on Monthly Utilization Each month, CSP operators complete a CSP Monthly Status/Invoice Form and submit it to Honeywell together with a usage remittance. The invoice amount is calculated by multiplying the engine operating hours logged during the previous month by the applicable hourly rate. 2. Annual Estimated Payment Plan Based on Average Utilization Operators remit a prepayment based on their historical monthly average flight activity. This results in a predictable and constant flat billing cycle based upon a mutually agreed to flight hour average. Operators electing this payment will prepay annually and an account reconciliation is conducted at the end of each calendar year.

9 8 For further information about CSP or to obtain an enrollment quote, please contact any CFE Company Authorized Service Center or the CSP Sales and Administration office listed below. We look forward to discussing CSP enrollment benefits with you. For Further Information... For more information about the Customer Service Plan, contact: The CFE Company 1944 E. Sky Harbor Circle P.O. Box Phoenix, Arizona Attn: Aftermarket Maintenance Programs Telephone: (602) Fax: (602) The CFE Company 44, Avenue Georges-Pompidou B.P Levallois-Perret Cedex France Attn: Aftermarket Maintenance Programs Telephone: 33 (0) Fax: 33 (0) CSP and Warranty information may also be obtained via the internet at The CFE Company offers, supports, and administers the CSP Program for the CFE738 Turbofan Engine. The CFE Company does not recognize any other engine maintenance or support programs offered by independent organizations, regardless of similarities.

10 A Partnership: Honeywell & General Electric Company 1944 East Sky Harbor Circle Post Office Box Phoenix, AZ Phone: (602) Fax: (602)

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