SOUTHWEST AIRLINES CO - FORM 10-Q - EX-10.1 - EX-10.1 BOEING SUPPLEMENTAL AGREEMENT NO. 13

Attached files

file	filename
EX-32.1 - EX-32.1 CERTIFICATION OF CEO AND CFO - SOUTHWEST AIRLINES CO	luv-6302021xex321.htm
EX-31.2 - EX-31.2 CERTIFICATION OF CHIEF FINANCIAL OFFICER - SOUTHWEST AIRLINES CO	luv-6302021xex312.htm
EX-31.1 - EX-31.1 CERTIFICATION OF CHIEF EXECUTIVE OFFICER - SOUTHWEST AIRLINES CO	luv-6302021xex311.htm
EX-10.3 - EX-10.3 BOEING SUPPLEMENTAL AGREEMENT NO. 15 - SOUTHWEST AIRLINES CO	exhibit103supplementalagre.htm
EX-10.2 - EX-10.2 BOEING SUPPLEMENTAL AGREEMENT NO. 14 - SOUTHWEST AIRLINES CO	exhibit102supplementalagre.htm
10-Q - 2ND QUARTER 2021 FORM 10-Q - SOUTHWEST AIRLINES CO	luv-20210630.htm


SUPPLEMENTAL AGREEMENT NO. 13

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. 13 (SA-13), entered into as of ____April 29________, 2021, 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 SA13 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 the acceleration of eleven (11) 737-7 Aircraft in 2022 and revise the scheduled delivery stream as applicable;

WHEREAS, Boeing and Customer agree to the acceleration of two (2) Original Option Aircraft positions in 2022 and revise the scheduled delivery stream as applicable;

WHEREAS, Boeing and Customer agree to amend the Purchase Agreement to make certain changes to the Letter Agreements as a result of the respective changes in this Supplemental Agreement; and

WHEREAS, Boeing and Customer agree to execute an SA-14 to the Purchase Agreement, on or before June 30, 2021 to [***]

[***] = Certain identified information has been excluded from the exhibit because it is both not material and is of the type that the registrant treats as private or confidential.


SWA-PA-03729	1	SA-13

	BOEING PROPRIETARY

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 SA13 and is identified by “SA13”. Such revised Table of Contents is incorporated into the Purchase Agreement by this reference.

2.TABLES.

Table 1B, Aircraft Delivery, Description, Price and Advance Payments – 737-7 Aircraft, is deleted in its entirety and replaced by a new Table 1B (identified by "SA-13") attached hereto and incorporated into the Purchase Agreement by this reference.

3.LETTER AGREEMENTS.

Letter Agreement SWA-PA-03729-LA-1106474R3, Option Aircraft, and its Attachment 1 are deleted in their entirety and are replaced with the attached revised Letter Agreement SWA-PA-03729-LA-1106474R4 and its Attachment 1.

4.ADVANCE PAYMENT IMPACTS.

The acceleration of eleven (11) 737-7 Aircraft in 2022 [***] to align with the new delivery months. [***]

5.SA-13 PAYMENT.

[***]


SWA-PA-03729	2	SA-13

	BOEING PROPRIETARY

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/ Carson J May			By: /s/ Chris Monroe

Name: Carson J. May			Name: Chris Monroe

Its: Attorney-In-Fact			Its: SVP Finance and Treasurer


SWA-PA-03729	3	SA-13

	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-12
1B	737-7 Aircraft Information Table	SA-13
EXHIBIT
A1	737-8 Aircraft Configuration	SA-11
A2	737-7 Aircraft Configuration	SA-8
A-3	737-8 Remarket Aircraft Configuration	SA-12
B*	Aircraft Delivery Requirements and Responsibilities
B-1	Remarket Aircraft Technical	SA-12
	Acceptance and 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


SWA-PA-03729		SA-13
		Page 1
	BOEING PROPRIETARY


LETTER AGREEMENTS	TITLES
SWA-PA-03729-LA-1106463R3	Open Matters	SA-8
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-1106471R2	Substitute Aircraft	SA-12
SWA-PA-03729-LA-1106473R2	[***]	SA-12
SWA-PA-03729-LA-1106474R4	Option Aircraft	SA-13
SWA-PA-03729-LA-1106475R4	[***]	SA-12
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-1106484R2	[***]	SA-12
SWA-PA-03729-LA-1106485*	[***]


SWA-PA-03729		SA-13
		Page 2

	BOEING PROPRIETARY


LETTER AGREEMENTS	TITLES
SWA-PA-03729-LA-1209080	[***]	SA-1
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-1301170R3	[***]	SA-12
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
SWAPA03729LA1602486R1	[***]	SA-12
SWAPA03729LA2100594	737-8 Remarket Production Aircraft	SA-12
SWAPA03729LA2100700	737-8 Open Configuration Matters – Remarket Production Aircraft	SA-12
SWA-PA-03729-LA-2100811	[***]	SA-12
SWA-PA-03729-LA-2100812	[***]	SA-12
SWA-PA-03729-LA-2100813	[***]	SA-12
SWAPA03729LA2100814	[***]	SA-12
SWAPA03729LA2100819	[***]	SA-12
SWA-PA-03729-LA-2100825	[***]	SA-12

SWA-PA-03729-LA-2100841	[***]	SA-12


SWA-PA-03729		SA-13
		Page 3
	BOEING PROPRIETARY



LETTER AGREEMENTS	TITLES
SWA-PA-03729-LA-2100984	[***]	SA-12

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


SWA-PA-03729		SA-13
		Page 4
	BOEING PROPRIETARY

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-13
		Page 5
	BOEING PROPRIETARY


Table 1B To
Purchase Agreement No. PA-03729
Aircraft Delivery, Description, Price and Advance Payments
737-7 Aircraft

Airframe Model/MTOW:

737-7

177,000 pounds

Detail Specification:

D019A008SWA17P-1

Engine Model/Thrust:

CFMLEAP-1B27C

26,400 pounds

Airframe Price Base Year/Escalation Formula:

Jul-11

ECI-MFG/CPI

Airframe Price:

[***]

Engine Price Base Year/Escalation Formula:

N/A

Optional Features:

[***]

Sub-Total of Airframe and Features:

[***]

Airframe Escalation Data:

Engine Price (Per Aircraft):

Aircraft Basic Price (Excluding BFE/S

[***]

PE): [***]

Base Year Index (ECI): [***]

Base Year Index (CPI): [***]

Buyer Furnished Equipment (BFE) Estimat [***]

Seller Purchased Equipment (SPE) Estimat [***]

Delivery

Date*

Original Delivery Date*

Number of

Aircraft

Escalation Factor (Airframe)

Manufacturer

Escalation Estimate Adv Payment Base Price Per A/P

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

Serial

Number**

Escalation

Factor

Note

At Signing

[***]

24 Mos.

[***]

21/18/12/9/6 Mos.

[***]

Total

[***]

Jan-22

Apr-2019

[***]

42586, 42587, 42588

[***]

Jan-22

May-2019

[***]

42589

[***]

Feb-22

May-2019

[***]

42590

[***]

Feb-22

Aug-2019

[***]

42561, 42569

[***]

May-22

Oct-2023

[***]

42614

[***]

May-22

Feb-2024

[***]

42620

[***]

May-22

Mar-2024

[***]

42621

[***]

May-22

Apr-2024

[***]

42623

[***]

May-22

May-2024

[***]

42627

[***]

May-22

Jun-2024

[***]

42629

[***]

May-22

Jul-2024

[***]

42631

[***]

Jun-22

Jan-2023

[***]

42591

[***]

Jun-22

Feb-2023

[***]

42592

[***]

Jun-22

Mar-2023

[***]

42595

[***]

Jun-22

Apr-2023

[***]

42598

[***]

Jun-22

May-2023

[***]

42600

[***]

Jun-22

Aug-2024

[***]

42632

[***]

Jul-22

Jun-2023

[***]

42602

[***]

Jul-22

Jul-2023

[***]

42603

[***]

Jul-22

Aug-2023

[***]

42604

[***]

Jul-22

Sep-2023

[***]

42609

[***]


		SA-13
SWA-PA-03729 107953-1F 116795-1F	Boeing Proprietary	Page 1


Table 1B To
Purchase Agreement No. PA-03729
Aircraft Delivery, Description, Price and Advance Payments
737-7 Aircraft

Delivery

Date*

Original Delivery Date*

Number of

Aircraft

Escalation Factor (Airframe)

Manufacturer

Escalation Estimate Adv Payment Base Price Per A/P

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

Serial

Number**

Escalation

Factor

Note

At Signing

[***]

24 Mos.

[***]

21/18/12/9/6 Mos.

[***]

Total

[***]

Jul-22

Sep-2024

[***]

42635

[***]

Jul-22

Oct-2024

[***]

42638

[***]

Jul-22

Nov-2024

[***]

42642

[***]

Aug-22

Nov-2023

[***]

42613

[***]

Aug-22

Dec-2023

[***]

42616

[***]

Aug-22

Jan-2024

[***]

42618

[***]

Jan-2023

Jul-21

[***]

42657, 42671

[***]

***737-8 Sub

[***]

Feb-2023

Mar-22

[***]

42679, 42678

[***]

***737-8 Sub

[***]

Feb-2023

Apr-22

[***]

42688

[***]

***737-8 Sub

[***]

Mar-2023

Apr-22

[***]

42681, 42680

[***]

***737-8 Sub

[***]

Mar-2023

May-22

[***]

42684

[***]

***737-8 Sub

[***]

Apr-2023

May-22

[***]

42683, 42682

[***]

***737-8 Sub

[***]

Apr-2023

Jun-22

[***]

42687

[***]

***737-8 Sub

[***]

May-2023

Jun-22

[***]

42686, 42685

[***]

***737-8 Sub

[***]

May-2023

Jul-22

[***]

42690

[***]

***737-8 Sub

[***]

Jun-2023

Jul-22

[***]

42689

[***]

***737-8 Sub

[***]

Jun-2023

Aug-22

[***]

42693

[***]

***737-8 Sub

[***]

Jul-2023

Aug-22

[***]

42695

[***]

***737-8 Sub

[***]

Jul-2023

Jan-23

[***]

42565

[***]

***737-8 Sub

[***]

Aug-2023

Jan-23

[***]

42560

[***]

***737-8 Sub

[***]

Aug-2023

Feb-23

[***]

42562, 42564

[***]

***737-8 Sub

[***]

Sep-2023

Mar-23

[***]

42557

[***]

***737-8 Sub

[***]

Sep-2023

Apr-23

[***]

42555

[***]

***737-8 Sub

[***]

Oct-2023

May-23

[***]

42594, 42568

[***]

***737-8 Sub

[***]

Oct-2023

Jun-23

[***]

42581

[***]

***737-8 Sub

[***]

Nov-2023

Jul-23

[***]

42582, 42597

[***]

***737-8 Sub

[***]

Dec-2023

Aug-23

[***]

42593

[***]

***737-8 Sub

[***]

Dec-2023

Sep-23

[***]

42578

[***]

***737-8 Sub

[***]

Jan-2024

Sep-23

[***]

42601

[***]

***737-8 Sub

[***]

Jan-2024

Oct-23

[***]

42605

[***]

***737-8 Sub

[***]

Feb-2024

Dec-23

[***]

42583

[***]

***737-8 Sub

[***]


		SA-13
SWA-PA-03729 107953-1F 116795-1F	Boeing Proprietary	Page 2


Table 1B To
Purchase Agreement No. PA-03729
Aircraft Delivery, Description, Price and Advance Payments
737-7 Aircraft

Delivery

Date*

Original Delivery Date*

Number of

Aircraft

Escalation Factor (Airframe)

Manufacturer

Escalation Estimate Adv Payment Base Price Per A/P

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

Serial

Number**

Escalation

Factor

Note

At Signing

[***]

24 Mos.

[***]

21/18/12/9/6 Mos.

[***]

Total

[***]

Feb-2024

Jan-24

[***]

42584, 42585

[***]

***737-8 Sub

[***]

Mar-2024

Jan-24

[***]

42611

[***]

***737-8 Sub

[***]

Mar-2024

Feb-24

[***]

42596, 42599

[***]

***737-8 Sub

[***]

Apr-2024

Feb-24

[***]

42612

[***]

***737-8 Sub

[***]

Apr-2024

Apr-24

[***]

42606, 42617

[***]

***737-8 Sub

[***]

May-2024

May-24

[***]

42608, 42619, 42622

[***]

***737-8 Sub

[***]

Jun-2024

Jun-24

[***]

42610

[***]

***737-8 Sub

[***]

Jun-2024

Aug-24

[***]

42626

[***]

***737-8 Sub

[***]

Jul-2024

Aug-24

[***]

42624

[***]

***737-8 Sub

[***]

Jul-2024

Sep-24

[***]

42630

[***]

***737-8 Sub

[***]

Aug-2024

Oct-24

[***]

42625, 42636

[***]

***737-8 Sub

[***]

Aug-2024

Nov-24

[***]

42639

[***]

***737-8 Sub

[***]

Sep-2024

Dec-24

[***]

42640, 42628

[***]

***737-8 Sub

[***]

Oct-2024

Feb-25

[***]

42643

[***]

***737-8 Sub

[***]

Oct-2024

Mar-25

[***]

42645, 42644

[***]

***737-8 Sub

[***]

Nov-2024

Apr-25

[***]

42659, 42660

[***]

***737-8 Sub

[***]

Dec-2024

May-25

[***]

42663

[***]

***737-8 Sub

[***]

Dec-2024

Jun-25

[***]

42667

[***]

***737-8 Sub

[***]

Jan-2025

Jul-25

[***]

42668

[***]

***737-8 Sub

[***]

Jan-2025

Aug-25

[***]

42675

[***]

***737-8 Sub

[***]

Feb-2025

Sep-25

[***]

42677, 42676

[***]

***737-8 Sub

[***]

Feb-2025

Oct-25

[***]

42692

[***]

***737-8 Sub

[***]

Mar-2025

Oct-25

[***]

42696

[***]

***737-8 Sub

[***]

Mar-2025

Nov-25

[***]

42698, 42700

[***]

***737-8 Sub

[***]

Apr-2025

Dec-25

[***]

42702, 42701

[***]

***737-8 Sub

[***]

Apr-2025

[***]

May-2025

[***]

Jun-2025

[***]

Jul-2025

[***]

Aug-2025

[***]

Sep-2025

[***]


		SA-13
SWA-PA-03729 107953-1F 116795-1F	Boeing Proprietary	Page 3


Table 1B To
Purchase Agreement No. PA-03729
Aircraft Delivery, Description, Price and Advance Payments
737-7 Aircraft

Delivery

Date*

Original Delivery Date*

Number of

Aircraft

Escalation Factor (Airframe)

Manufacturer

Escalation Estimate Adv Payment Base Price Per A/P

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

Serial

Number**

Escalation

Factor

Note

At Signing

[***]

24 Mos.

[***]

21/18/12/9/6 Mos.

[***]

Total

[***]

Oct-2025

[***]

Nov-2025

[***]

Dec-2025

[***]

Jan-2026

[***]

Feb-2026

[***]

Mar-2026

[***]

Apr-2026

[***]

May-2026

[***]

Jun-2026

[***]

Jul-2026

[***]

Aug-2026

[***]

Sep-2026

[***]

Oct-2026

[***]

Nov-2026

[***]

Dec-2026

[***]

Jan-2027

[***]

Feb-2027

[***]

Mar-2027

[***]

Apr-2027

[***]

May-2027

[***]

Jun-2027

[***]

Jul-2027

[***]

Aug-2027

[***]

Sep-2027

[***]

Oct-2027

[***]

Nov-2027

[***]

Dec-2027

[***]

Jan-2028

[***]

Feb-2028

[***]

Mar-2028

[***]

Apr-2028

[***]


		SA-13
SWA-PA-03729 107953-1F 116795-1F	Boeing Proprietary	Page 4


Table 1B To
Purchase Agreement No. PA-03729
Aircraft Delivery, Description, Price and Advance Payments
737-7 Aircraft

Delivery

Date*

Original Delivery Date*

Number of

Aircraft

Escalation Factor (Airframe)

Manufacturer

Serial

Number**

Escalation

Factor

Note

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 [***]

May-2028

[***]

Jun-2028

[***]

Jul-2028

[***]

Aug-2028

[***]

Sep-2028

[***]

Oct-2028

[***]

Nov-2028

[***]

Dec-2028

[***]

Jan-2029

[***]

Feb-2029

[***]

Mar-2029

[***]

Apr-2029

[***]

May-2029

[***]

Jun-2029

[***]

Jul-2029

[***]

Aug-2029

[***]

Sep-2029

[***]

Oct-2029

[***]

Nov-2029

[***]

Dec-2029

[***]

Jan-2030

[***]

Feb-2030

[***]

Mar-2030

[***]

Apr-2030

[***]

May-2030

[***]

Jun-2030

[***]

Jul-2030

[***]

Aug-2030

[***]

Sep-2030

[***]

Oct-2030

[***]

Nov-2030

[***]


		SA-13
SWA-PA-03729 107953-1F 116795-1F	Boeing Proprietary	Page 5


Table 1B To
Purchase Agreement No. PA-03729
Aircraft Delivery, Description, Price and Advance Payments
737-7 Aircraft

Delivery

Date*

Original Delivery Date*

Number of

Aircraft

Escalation Factor (Airframe)

Manufacturer

Escalation Estimate Adv Payment Base Price Per A/P

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

Serial

Number**

Escalation

Factor

Note

At Signing

[***]

24 Mos.

[***]

21/18/12/9/6 Mos.

[***]

Total

[***]

Dec-2030

[***]


Total:			200

* [***]

** Manufacturer Serial Numbers (MSN) are for reference only and are subject to change.

*** [***]

Notes:

(1) [***]


		SA-13
SWA-PA-03729 107953-1F 116795-1F	Boeing Proprietary	Page 6


			The Boeing Company P.O. Box 3707 Seattle, WA 981242207

SWAPA03729LA1106474R4

Southwest Airlines Co.

2702 Love Field Drive

P.O. Box 36611

Dallas, Texas 75235-1611

Subject: Option Aircraft

Reference: Purchase Agreement No. PA03729 (Purchase Agreement) between The Boeing Company (Boeing) and Southwest Airlines Co. (Customer) relating to Model 7378 aircraft and Model 737-7 aircraft

This letter agreement (Letter Agreement) amends and supplements the Purchase Agreement. All terms used but not defined in this Letter Agreement shall have the same meaning as in the Purchase Agreement.

1.Right to Purchase Option Aircraft.

Subject to the terms and conditions contained in this Letter Agreement, in addition to the Aircraft described in Table 1 to the Purchase Agreement as of the date of execution of this Letter Agreement, Customer will have the option to purchase additional Boeing Model 7378 aircraft as option aircraft (Option Aircraft).

2.Delivery.

The number of Option Aircraft and delivery dates are listed in the Attachment 1-A and 1-B (collectively Attachment 1) to this Letter Agreement. The Attachment 1-A Aircraft are the Original Option Aircraft (Original Option Aircraft) and the Attachment 1-B Aircraft are the 2020 Option Aircraft (2020 Option Aircraft).

3.Configuration.

3.1 Subject to the provisions of Article 0, below, the configuration for the Option Aircraft will be the Detail Specification for Boeing Model 7378 aircraft at the revision level in effect at the time of Definitive Agreement (as defined in Article 8). Such Detail Specification will be revised to include (i) changes applicable to the Detail Specification that are developed by Boeing between the Option Exercise Date (as defined below) and the signing of the Definitive Agreement, (ii) changes required to obtain required regulatory certificates, and (iii) other changes as mutually agreed.


SWA-PA-03729-LA-1106474R4			SA-13
Option Aircraft			Page 1
BOEING PROPRIETARY

3.2 Boeing reserves the right to configure the Option Aircraft starting from a different configuration specification, provided that it can achieve the same configuration which would result pursuant to the provisions of Article 3.1.

4. [***]

5. [***]

6. [***]


SWA-PA-03729-LA-1106474R4			SA-13
Option Aircraft			Page 2
BOEING PROPRIETARY

7. [***]

8. [***]

9.Assignment.

Notwithstanding any other provisions of the Purchase Agreement, the rights and obligations described in this Letter Agreement are provided to Customer in consideration of Customer’s becoming the operator of the Option Aircraft and cannot be assigned in whole or in part.

10.Confidentiality

Customer understands that certain commercial and financial information contained in this Letter Agreement is considered by Boeing as confidential and has value precisely because it is not available generally to other parties. Customer agrees to limit the disclosure of the contents of this Letter Agreement to (a) its directors and officers, (b) employees of Customer with a need to know the contents for performing its obligations (including, without limitation, those employees performing accounting, finance, administration and other functions necessary to finance and purchase, deliver or lease the Aircraft) and who understand they are not to disclose its contents to any other person or entity (other than those to whom disclosure is permitted by this Article) without the prior written consent of Boeing and (c) any auditors and attorneys of Customer who have a need to know such information and have signed a confidentiality agreement in the same form and substance similar to this Article, or are otherwise bound by a confidentiality obligation. Disclosure to other parties is not permitted without Boeing’s consent except as may be required by applicable law or governmental regulations. Customer shall be fully responsible to Boeing for compliance with such obligations.


SWA-PA-03729-LA-1106474R4			SA-13
Option Aircraft			Page 3
BOEING PROPRIETARY

Very truly yours,


THE BOEING COMPANY
By		/s/ Carson J May
Name		Carson J. May
Its		Attorney-In-Fact

ACCEPTED AND AGREED TO this
Date:	April 29 , 2021

SOUTHWEST AIRLINES CO.
By		/s/ Chris Monroe
Name		Chris Monroe
Its		SVP Finance and Treasurer


SWA-PA-03729-LA-1106474R4			SA-13
Option Aircraft			Page 4
BOEING PROPRIETARY


Attachment 1-A To
Letter Agreement No. 1106474
Aircraft Delivery, Description, Price and Advance Payments

Airframe Model/MTOW: 737-8

181,200 pounds

Detail Specification:

D019A008-S (5/1/2017)

Engine Model/Thrust: CFMLEAP-1B28(1)

28,800 pounds

Airframe Price Base Year/Escalation Formula:

Jul-11

ECI-MFG/CPI

Airframe Price:

[***]

Engine Price Base Year/Escalation Formula:

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:

[***]

Non-Refundable Deposit/Aircraft at Def Agreement

[***]

Delivery

Date

Number of

Aircraft

Escalation Factor (Airframe)

Option Exercise Date Deadline

Note

MSN

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-2022

[***]

Remarket Aircraft**

67206, 67205, 67207, 67208, 67209

[***]

Apr-2022

[***]

Remarket Aircraft**

67210, 67211, 67212, 67213, 67214

[***]

Apr-2022

[***]

Remarket Aircraft**

67216, 67215

[***]

May-2022

[***]

Remarket Aircraft**

[***]

May-2022

[***]

Remarket Aircraft**

67218, 67217

[***]

Jun-2022

[***]

Remarket Aircraft**

[***]

Jul-2022

[***]

Remarket Aircraft**

[***]

Aug-2022

[***]

Remarket Aircraft**

[***]

Sep-2022

[***]

Remarket Aircraft**

[***]

Sep-2022

[***]

Oct-2022

[***]

Remarket Aircraft**

[***]

Oct-2022

[***]

Nov-2022

[***]

Remarket Aircraft**

[***]

Nov-2022

[***]

Dec-2022

[***]

Remarket Aircraft**

[***]

Dec-2022

[***]

Jan-2023

[***]

Remarket Aircraft**

[***]

Jan-2023

[***]

Feb-2023

[***]

Remarket Aircraft**

[***]

Mar-2023

[***]

Remarket Aircraft**

[***]

Mar-2023

[***]


		SA-13
WA-PA-03729-LA-1106474 107813 116801-1F.txt	Boeing Proprietary	Page 1


Attachment 1-A To
Letter Agreement No. 1106474
Aircraft Delivery, Description, Price and Advance Payments

Delivery

Date

Number of

Aircraft

Escalation Factor (Airframe)

Option Exercise Date Deadline

Note

MSN

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

[***]

Apr-2023

[***]

Remarket Aircraft**

[***]

May-2023

[***]

Remarket Aircraft**

[***]

Jun-2023

[***]

Remarket Aircraft**

[***]

Jul-2023

[***]

Remarket Aircraft**

[***]

Jul-2023

[***]

Aug-2023

[***]

Remarket Aircraft**

[***]

Sep-2023

[***]

Remarket Aircraft**

[***]

Sep-2023

[***]

Oct-2023

[***]

Remarket Aircraft**

[***]

Nov-2023

[***]

Remarket Aircraft**

[***]

Nov-2023

[***]

Dec-2023

[***]

Remarket Aircraft**

[***]

Dec-2023

[***]

Jan-2024

[***]

Feb-2024

[***]

Mar-2024

[***]

Apr-2024

[***]

May-2024

[***]

Jun-2024

[***]

Jun-2024

[***]

Jan-2025

[***]

Feb-2025

[***]

Mar-2025

[***]

Apr-2025

[***]

May-2025

[***]

May-2025

[***]

Previously Earned

***

[***]

Jun-2025

[***]

Previously Earned

***

[***]

Total: 120

* [***]

** [***]

*** [***]

Note:


		SA-13
WA-PA-03729-LA-1106474 107813 116801-1F.txt	Boeing Proprietary	Page 2


Attachment 1-A To
Letter Agreement No. 1106474
Aircraft Delivery, Description, Price and Advance Payments

Delivery

Date

Number of

Aircraft

Escalation Factor (Airframe)

Option Exercise Date Deadline

Note

MSN

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

[***]

(1) [***]


		SA-13
WA-PA-03729-LA-1106474 107813 116801-1F.txt	Boeing Proprietary	Page 3

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