Attached files

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EX-32.1 - CERTIFICATION OF CEO AND CFO - SOUTHWEST AIRLINES COluv-3312018xex321.htm
EX-31.2 - CERTIFICATION OF CHIEF FINANCIAL OFFICER - SOUTHWEST AIRLINES COluv-3312018xex312.htm
EX-31.1 - CERTIFICATION OF CHIEF EXECUTIVE OFFICER - SOUTHWEST AIRLINES COluv-3312018xex311.htm
EX-10.3 - SUPPLEMENTAL AGREEMENT NO. 10 - SOUTHWEST AIRLINES COluv-3312018xex103.htm
EX-10.1 - SUPPLEMENTAL AGREEMENT NO. 104 - SOUTHWEST AIRLINES COluv-3312018xex101.htm
10-Q - 1ST QUARTER 2018 FORM 10-Q - SOUTHWEST AIRLINES COluv-3312018x10q.htm
 
 
 


Supplemental Agreement No. 9
 
to
 
Purchase Agreement No. 03729
 
between
 
THE BOEING COMPANY
 
and
 
SOUTHWEST AIRLINES CO.
 
Relating to Boeing Model 737-8 and 737-7 Aircraft
THIS SUPPLEMENTAL AGREEMENT No. 9 (SA-9), entered into as of February 8, 2018, is made between THE BOEING COMPANY, a Delaware corporation (Boeing), and SOUTHWEST AIRLINES CO., a Texas corporation (Customer).
RECITALS:

WHEREAS, Customer and Boeing entered into Purchase Agreement Number PA-03729 dated December 13, 2011, as amended and supplemented, (Purchase Agreement) relating to the purchase and sale of Boeing Model 737-8 (737-8 Aircraft) and Model 737-7 aircraft (737-7 Aircraft); collectively the “Aircraft”. This SA‑9 is an amendment to and is incorporated into the Purchase Agreement. Capitalized terms used herein but not otherwise defined will have the meaning set forth in the Purchase Agreement.
WHEREAS, Boeing and Customer agree to accelerate the deliveries of certain 737-8 Aircraft as identified in Table 1A, Aircraft Delivery, Description, Price, and Advance Payments 737-8 Aircraft, attached hereto.
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 of the Purchase Agreement is deleted in its entirety and replaced with a new Table of Contents (attached), which lists the Tables, Exhibits, and Letter Agreements revised by this SA‑9 and is identified by “SA‑9”. Such revised Table of Contents is incorporated into the Purchase Agreement by this reference.

2.
TABLES.

***Pursuant to 17 CFR 240.24b-2, confidential information has been omitted and has been filed separately with the Securities and Exchange Commission pursuant to a Confidential Treatment Application filed with the Commission.

SWA-PA-03729

1
SA-8
 
BOEING PROPRIETARY

 

 
 
 


Table 1A, Aircraft Delivery, Description, Price and Advance Payments - 737-8 Aircraft, is deleted in its entirety and replaced by a new Table 1A (identified by "SA-9") attached hereto and incorporated into the Purchase Agreement by this reference.

3. ADVANCE PAYMENT IMPACTS.

3.1 The revisions applied to Table 1A, Aircraft Delivery, Description, Price and Advance Payments - 737-8 Aircraft, result in ***


The Purchase Agreement is deemed to be supplemented to the extent herein provided and as so supplemented will continue in full force and effect.


EXECUTED IN DUPLICATE as of the day and year first above written.
 
THE BOEING COMPANY
SOUTHWEST AIRLINES CO.
 
 
By: /s/ Kyle Kersavage
By: /s/ Chris Monroe
 
 

Its: Attorney-In-Fact 
Its: Chris Monroe
 
      SVP, Finance


SWA-PA-03729

2
SA-9
 
BOEING PROPRIETARY

 




TABLE OF CONTENTS

ARTICLES
TITLES
 
 
 
Article 1
Quantity, Model and Description
SA-2
 
 
 
Article 2
Delivery Schedule
 
 
Article 3
Price
 
 
 
Article 4
Payment
SA-2
 
 
 
Article 5
Additional Terms
 
 
TABLE
TITLE
 
 
 
1A
737-8 Aircraft Information Table
SA-9
 
 
 
1B
737-7 Aircraft Information Table
SA-8
 
 
 
EXHIBIT
 
 
 
A1
737-8 Aircraft Configuration
SA-8
 
 
 
A2
737-7 Aircraft Configuration
SA-8
 
 
 
B*
Aircraft Delivery Requirements and Responsibilities
 
 
SUPPLEMENTAL EXHIBITS
TITLES
 
 
AE1*
Escalation Adjustment/Airframe and Optional Features
 
 
 
BFE1
BFE Variables for 737-8
SA-7
 
 
BFE2
BFE Variables for 737-7
SA-8
 
 
CS1
Customer Support Variables
 
 
 
CS1-7MAX
Customer Support Variables
SA-2
 
 
 
EE1*
Engine Escalation/Engine Warranty and Patent Indemnity
 
 
SLP1*
Service Life Policy Components
LETTER AGREEMENTS
TITLES
SWA-PA-03729-LA-1106463R3
Open Matters
SA-8

SWA-PA-03729
 
SA-9
 
BOEING PROPRIETARY
Page 1



LETTER AGREEMENTS
TITLES
 
 
 
 
SWA-PA-03729-LA-1106464*
***
 
 
 
 
SWA-PA-03729-LA-1106465*
***
 
 
SWA-PA-03729-LA-1106466
***
 
 
 
SWA-PA-03729-LA-1106467R2
***
SA-8
 
 
 
SWA-PA-03729-LA-1106468*
***
 
 
 
SWA-PA-03729-LA-1106469R1
***
SA-2
 
 
 
SWA-PA-03729-LA-1106470R1
***
SA-2
 
 
 
SWA-PA-03729-LA-1106471R1
Substitute Aircraft
SA-2
 
 
 
SWA-PA-03729-LA-1106473R1
***
SA-5
 
 
 
SWA-PA-03729-LA-1106474R2
Option Aircraft
SA-8
 
Attachment 1
SA-8
 
 
 
SWA-PA-03729-LA-1106475R3
***
SA-8
 
 
 
SWA-PA-03729-LA-1106476R2
***
SA-8
 
 
 
SWA-PA-03729-LA-1106477*
***
 
 
SWA-PA-03729-LA-1106478
***
 
 
 
SWA-PA-03729-LA-1106479R1
***
SA-2
 
 
 
SWA-PA-03729-LA-1106480R1
***
SA-2
 
 
 
SWA-PA-03729-LA-1106481R2
***
SA-2
 
 
 
SWA-PA-03729-LA-1106482*
***
 
 
SWA-PA-03729-LA-1106483*
***
 
 
SWA-PA-03729-LA-1106484R1
***
SA-8
 
Attachment A
SA-8
 
Attachment B
SA-8
 
 
 
SWA-PA-03729-LA-1106485*
***
 
 
 
SWA-PA-03729-LA-1209080
***
SA-1

SWA-PA-03729
 
SA-9
 
BOEING PROPRIETARY
Page 2



LETTER AGREEMENTS
TITLES
 
 
 
 
SWA-PA-03729-LA-1210419
***
SA-1
 
 
 
SWA-PA-03729-LA-1300943
***
SA-2
 
 
 
SWA-PA-03729-LA-1301168R3

***
SA-6
 
 
 
SWA-PA-03729-LA-1301170R2

***
SA-8
 
 
 
SWA-PA-03729-LA-1400371
***
SA-7
 
 
 
SWA-PA-03729-LA-1503792

Service Ready Operational Validation
SA-6
 
 
 
SWA-PA-03729-LA-1500831
***
SA-7
 
 
 
SWA‑PA‑03729‑LA‑1602486
***
SA-5




* Denotes revision to Page 1 or Page 2 only to reference 737-7 (SA-2)































SWA-PA-03729
 
SA-9
 
BOEING PROPRIETARY
Page 3



INACTIVE / DELETED TABLES, EXHIBITS, AND LETTER AGREEMENTS

RESTRICTED LETTER AGREEMENTS

Letter Agreement
Title
Last Updated under SA
Current Status
SWA-PA-03729-LA-1106472R1
***
SA-2
Deleted under SA-4
SWA-PA-01810/03729-LA-1301169
***
SA-2
Deleted under SA-4


SWA-PA-03729
 
SA-9
 
BOEING PROPRIETARY
Page 4

 
Table 1A To
 
 
Purchase Agreement No. PA-03729
 
 
Aircraft Delivery, Description, Price and Advance Payments
 
 
737-8 Aircraft
 

Airframe Model/MTOW:
737-8
181,200 pounds
 
Detail Specification:
 
D019A008-P (5/1/2017)
 
 
Engine Model/Thrust:
CFMLEAP-1B288(2)

28,800 pounds
 
Airframe Price Base Year/Escalation Formula:
 
Jul-11
 
ECI-MFG/CPI
Airframe Price:
 
***
 
Engine Price Base Year/Escalation Formula:
 
N/A
 
N/A
Optional Features:
 
***
 
 
 
 
 
 
Sub-Total of Airframe and Features:
 
***
 
Airframe Escalation Data:
 
 
 
 
Engine Price (Per Aircraft):
 
***
 
Base Year Index (ECI):
 
 
***
 
Aircraft Basic Price (Excluding BFE/SPE):
 
***
 
Base Year Index (CPI
 
 
***
 
Buyer Furnished Equipment (BFE) Estimate:
 
***
 
 
 
 
 
 
Seller Purchased Equipment (SPE) Estimate:
 
***
 
 
 
 
 
 


Delivery

Date*


Number of

Aircraft
Escalation

Factor

(Airframe)
Manufacturer

Serial

Number**
Escalation

Factor


Aircraft

Block
Notes
Escalation Estimate

Adv Payment Base

Price Per A/P
Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

At Signing

***

24 Mos.

***

21/18/12/9/6 Mos.

***
Total

***
Jul-2017
1
***
36929†
***
A
Note 1
***
***
***
***
***
Jul-2017
2
***
42558†, 42559†
***
C
Note 1
***
***
***
***
***
Aug-2017
3
***
36979, 36930, 36984
***
A
Note 1
***
***
***
***
***
Aug-2017
3
***
42563, 42566†, 42567
***
C
Note 1
***
***
***
***
***
Sep-2017
1
***
36934
***
A
Note 1
***
***
***
***
***
Oct-2017
1
***
42544
***
A
 
***
***
***
***
***
Oct-2017
1
***
42570
***
C
 
***
***
***
***
***
Nov-2017
1
***
36988†
***
A
 
***
***
***
***
***
Dec-2017
1
***
42554†
***
C
 
***
***
***
***
***
Mar-2018
1
***
36989†
***
A
 
***
***
***
***
***
Mar-2018
1
***
42571
***
C
 
***
***
***
***
***
Apr-2018
1
***
42546
***
A
 
***
***
***
***
***
Jun-2018
1
***
42572
***
C
 
***
***
***
***
***
Jun-2018
1
***
42547
***
A
 
***
***
***
***
***
Jul-2018
1
***
42556†
***
C
 
***
***
***
***
***
Aug-2018
3
***
42548, 37019, 42549
***
A
 
***
***
***
***
***
Aug-2018
1
***
42574
***
 
 
***
***
***
***
***
Aug-2018
1
***
42575
***
 
 
***
***
***
***
***
Sep-2018
2
***
42573, 42576
***
 
 
***
***
***
***
***
Dec-2018
1
***
42577
***
 
 
***
***
***
***
***


 
 
SA-9
SWA-PA-03729 107813 / 108198

Boeing Proprietary
Page 1

 
Table 1A To
 
 
Purchase Agreement No. PA-03729
 
 
Aircraft Delivery, Description, Price and Advance Payments
 
 
737-8 Aircraft
 



Delivery

Date*


Number of

Aircraft
Escalation

Factor

(Airframe)
Manufacturer

Serial

Number**
Escalation

Factor


Aircraft

Block
Notes
Escalation Estimate

Adv Payment Base

Price Per A/P
Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

At Signing

***

24 Mos.

***

21/18/12/9/6 Mos.

***
Total

***
Dec-2018
4
***
37042, 42550, 42551, 37043
***
A
 
***
***
***
***
***
Jul-2019
2
***
65437, 65436
***
E OPEX
 
***
***
***
***
***
Sep-2019
2
***
65471, 65438
***
E OPEX
 
***
***
***
***
***
Oct-2019
1
***
65439
***
OPEX
 
***
***
***
***
***
Oct-2019
1
***
65440
***
OPEX
 
***
***
***
***
***
Nov-2019
1
***
42536
***
A
 
***
***
***
***
***
Nov-2019
1
***
65473
***
D OPEX
 
***
***
***
***
***
Dec-2019
1
***
36722
***
B
 
***
***
***
***
***
Dec-2019
1
***
42537
***
A
 
***
***
***
***
***
Feb-2020
1
***
36727
***
B
 
***
***
***
***
***
Mar-2020
2
***
42579, 42580
***
 
 
***
***
***
***
***
Apr-2020
1
***
42539
***
A
 
***
***
***
***
***
Apr-2020
1
***
65441
***
OPEX
 
***
***
***
***
***
May-2020
1
***
42553
***
A
 
***
***
***
***
***
May-2020
1
***
35970
***
B
 
***
***
***
***
***
Jun-2020
1
***
42607
***
 
 
***
***
***
***
***
Jun-2020
1
***
65442
***
OPEX
 
***
***
***
***
***
Jul-2020
1
***
42540
***
A
 
***
***
***
***
***
Jul-2020
2
***
65443, 65444
***
OPEX
 
***
***
***
***
***
Aug-2020
1
***
42541
***
A
 
***
***
***
***
***
Aug-2020
2
***
65445, 65446
***
OPEX
 
***
***
***
***
***
Sep-2020
1
***
33941
***
B
 
***
***
***
***
***
Sep-2020
3
***
65447, 65448, 65472
***
OPEX
 
***
***
***
***
***
Oct-2020
1
***
42615
***
 
 
***
***
***
***
***
Oct-2020
1
***
42543
***
A
 
***
***
***
***
***
Oct-2020
1
***
65474
***
OPEX
 
***
***
***
***
***
Nov-2020
1
***
36733
***
B
 
***
***
***
***
***
Nov-2020
1
***
65475
***
D OPEX
 
***
***
***
***
***
Dec-2020
1
***
33940
***
B
 
***
***
***
***
***
Jan-2021
1
***
35974
***
B
 
***
***
***
***
***
Jan-2021
1
***
65450
***
D OPEX
 
***
***
***
***
***


 
 
SA-9
SWA-PA-03729 107813 / 108198

Boeing Proprietary
Page 2

 
Table 1A To
 
 
Purchase Agreement No. PA-03729
 
 
Aircraft Delivery, Description, Price and Advance Payments
 
 
737-8 Aircraft
 



Delivery

Date*


Number of

Aircraft
Escalation

Factor

(Airframe)
Manufacturer

Serial

Number**
Escalation

Factor


Aircraft

Block
Notes
Escalation Estimate

Adv Payment Base

Price Per A/P
Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

At Signing

***

24 Mos.

***

21/18/12/9/6 Mos.

***
Total

***
Jan-2021
1
***
65449
***
OPEX
 
***
***
***
***
***
Feb-2021
1
***
65451
***
D OPEX
 
***
***
***
***
***
Mar-2021
1
***
42648
***
 
 
***
***
***
***
***
Mar-2021
1
***
65452
***
OPEX
 
***
***
***
***
***
Apr-2021
3
***
42649, 42650, 42651
***
 
 
***
***
***
***
***
Apr-2021
1
***
65454
***
D OPEX
 
***
***
***
***
***
Apr-2021
1
***
65453
***
OPEX
 
***
***
***
***
***
May-2021
3
***
42652, 42653, 42654
***
 
 
***
***
***
***
***
May-2021
1
***
65455
***
D OPEX
 
***
***
***
***
***
May-2021
1
***
65456
***
OPEX
 
***
***
***
***
***
Jun-2021
3
***
42655, 42656, 42670
***
 
 
***
***
***
***
***
Jun-2021
1
***
65457
***
D OPEX
 
***
***
***
***
***
Jul-2021
3
***
42657, 42658, 42671
***
 
 
***
***
***
***
***
Jul-2021
1
***
65460
***
D OPEX
 
***
***
***
***
***
Jul-2021
2
***
65459, 65458
***
OPEX
 
***
***
***
***
***
Aug-2021
1
***
65461
***
D OPEX
 
***
***
***
***
***
Sep-2021
2
***
65463, 65462
***
OPEX
 
***
***
***
***
***
Oct-2021
1
***
65466
***
D OPEX
 
***
***
***
***
***
Oct-2021
2
***
65465, 65464
***
OPEX
 
***
***
***
***
***
Nov-2021
1
***
65467
***
D OPEX
 
***
***
***
***
***
Dec-2021
1
***
65468
***
OPEX
 
***
***
***
***
***
Jan-2022
1
***
65469
***
D OPEX
 
***
***
***
***
***
Jan-2022
1
***
65470
***
OPEX
 
***
***
***
***
***
Mar-2022
2
***
42678, 42679
***
 
 
***
***
***
***
***
Apr-2022
3
***
42680, 42681, 42688
***
 
 
***
***
***
***
***
May-2022
3
***
42682, 42683, 42684
***
 
 
***
***
***
***
***
Jun-2022
3
***
42685, 42686, 42687
***
 
 
***
***
***
***
***
Jul-2022
2
***
42689, 42690
***
 
 
***
***
***
***
***
Aug-2022
2
***
42693, 42695
***
 
 
***
***
***
***
***
Jan-2023
2
***
42560, 42565
***
 
 
***
***
***
***
***
Feb-2023
2
***
42562, 42564
***
 
 
***
***
***
***
***


 
 
SA-9
SWA-PA-03729 107813 / 108198

Boeing Proprietary
Page 3

 
Table 1A To
 
 
Purchase Agreement No. PA-03729
 
 
Aircraft Delivery, Description, Price and Advance Payments
 
 
737-8 Aircraft
 



Delivery

Date*


Number of

Aircraft
Escalation

Factor

(Airframe)
Manufacturer

Serial

Number**
Escalation

Factor


Aircraft

Block
Notes
Escalation Estimate

Adv Payment Base

Price Per A/P
Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

At Signing

***

24 Mos.

***

21/18/12/9/6 Mos.

***
Total

***
Mar-2023
1
***
42557
***
 
 
***
***
***
***
***
Mar-2023
1
***
36732
***
B
 
***
***
***
***
***
Apr-2023
1
***
42555
***
 
 
***
***
***
***
***
Apr-2023
1
***
38806
***
B
 
***
***
***
***
***
May-2023
2
***
42594, 42568
***
 
 
***
***
***
***
***
Jun-2023
1
***
42581
***
 
 
***
***
***
***
***
Jun-2023
1
***
37034
***
A
 
***
***
***
***
***
Jul-2023
2
***
42597, 42582
***
 
 
***
***
***
***
***
Aug-2023
1
***
42593
***
 
 
***
***
***
***
***
Aug-2023
1
***
42552
***
A
 
***
***
***
***
***
Sep-2023
2
***
42601, 42578
***
 
 
***
***
***
***
***
Oct-2023
1
***
42605
***
 
 
***
***
***
***
***
Oct-2023
1
***
42538
***
A
 
***
***
***
***
***
Nov-2023
1
***
38815
***
B
 
***
***
***
***
***
Dec-2023
1
***
42583
***
 
 
***
***
***
***
***
Jan-2024
3
***
42611, 42584, 42585
***
 
 
***
***
***
***
***
Feb-2024
3
***
42612, 42596, 42599
***
 
 
***
***
***
***
***
Mar-2024
3
***
38817, 35968, 35972
***
B
 
***
***
***
***
***
Apr-2024
2
***
42617, 42606
***
 
 
***
***
***
***
***
Apr-2024
1
***
36736
***
B
 
***
***
***
***
***
May-2024
3
***
42619, 42622, 42608
***
 
 
***
***
***
***
***
Jun-2024
1
***
42610
***
 
 
***
***
***
***
***
Jun-2024
1
***
42542
***
A
 
***
***
***
***
***
Jul-2024
2
***
35963, 35967
***
B
 
***
***
***
***
***
Aug-2024
2
***
42624, 42626
***
 
 
***
***
***
***
***
Sep-2024
1
***
42630
***
 
 
***
***
***
***
***
Sep-2024
1
***
36730
***
B
 
***
***
***
***
***
Oct-2024
2
***
42625, 42636
***
 
 
***
***
***
***
***
Nov-2024
1
***
42639
***
 
 
***
***
***
***
***
Nov-2024
1
***
35971
***
B
 
***
***
***
***
***
Dec-2024
2
***
42628, 42640
***
 
 
***
***
***
***
***


 
 
SA-9
SWA-PA-03729 107813 / 108198

Boeing Proprietary
Page 4

 
Table 1A To
 
 
Purchase Agreement No. PA-03729
 
 
Aircraft Delivery, Description, Price and Advance Payments
 
 
737-8 Aircraft
 



Delivery

Date*


Number of

Aircraft
Escalation

Factor

(Airframe)
Manufacturer

Serial

Number**
Escalation

Factor


Aircraft

Block
Notes
Escalation Estimate

Adv Payment Base

Price Per A/P
Advance Payment Per Aircraft (Amts. Due/Mos. Prior to Delivery):

At Signing

***

24 Mos.

***

21/18/12/9/6 Mos.

***
Total

***
Dec-2024
1
***
35975
***
B
 
***
***
***
***
***
Jan-2025
2
***
42633, 42634
***
 
 
***
***
***
***
***
Jan-2025
2
***
38804, 38805
***
B
 
***
***
***
***
***
Feb-2025
3
***
42637, 42641, 42643
***
 
 
***
***
***
***
***
Feb-2025
1
***
36729
***
B
 
***
***
***
***
***
Mar-2025
4
***
42644, 42645, 42646, 42647
***
 
 
***
***
***
***
***
Apr-2025
4
***
42659, 42660, 42661, 42662
***
 
 
***
***
***
***
***
May-2025
3
***
42663, 42664, 42666
***
 
 
***
***
***
***
***
Jun-2025
3
***
42665, 42667, 42669
***
 
 
***
***
***
***
***
Jul-2025
3
***
42668, 42672, 42673
***
 
 
***
***
***
***
***
Aug-2025
3
***
42674, 42675, 42691
***
 
 
***
***
***
***
***
Sep-2025
3
***
42676, 42677, 42694
***
 
 
***
***
***
***
***
Oct-2025
3
***
42692, 42696, 42697
***
 
 
***
***
***
***
***
Nov-2025
3
***
42698, 42699, 42700
***
 
 
***
***
***
***
***
Dec-2025
3
***
42701, 42702, 42703
***
 
 
***
***
***
***
***
Total:
 
210

* ***
** Manufacturer Serial Numbers (MSN) are for reference only and are subject to change.
† ***
Notes:
(1) ***
(2) ***









 
 
SA-9
SWA-PA-03729 107813 / 108198

Boeing Proprietary
Page 5