STANDARD GROUND HANDLING AGREEMENT No. МАНН-/15-D01 «» 201

Annex B1.0 (Simplified Procedure) — General Terms

to the Standard Ground Handling Agreement (SGHA) of January2008

Between:

having its principal office at:

duly represented by

acting with the authority of

and hereinafter referred to as the Carrier,

and: JSC «International airport Nizhny Novgorod»

having its principal office at: Airport, Nizhny Novgorod, 603056, Russia

duly represented by its Executive Director Mr. Denis Bukin

acting with the authority of contract No.IANN - 680/16-R77 dated 01.12.2016 and charter of managing company,

and hereinafter referred to as the Handling Company;

the Carrier and/or the Handling Company may hereinafter be referred to as the Party(ies).

This Annex B for the location(s): Strigino Airport of the city of Nizhny Novgorod, Nizhny Novgorod Oblast, Russia – the location of execution thereof.

Replaces:

This Annex is prepared in accordance with the Simplified Procedure whereby the Parties agree that the terms of the Main Agreement and Annex A of the SGHA of January2008 as published by the International Air Transport Association shall apply to this Annex as if such terms were repeated here in full. By signing this Annex, the Parties confirm that they are familiar with the aforementioned Main Agreement and Annex A.

At the same time the Parties agree that in case of discrepancies between Russian legislation in force, the Main Agreement, Annex A, and this Annex, Russian legislation shall be applied; and in case of discrepancies between this Annex and the Main Agreement, this Annex shall be applied.

In addition to Definitions and Terminology of SGHA of January2008, the Parties apply the following definitions:

Carrier’s Authorized Representative means a person acting in the name of the Carrier with the authority of law or a power of attorney issued by the Carrier, as well as any crew member of the Carrier’s aircraft;

Handling Company’s Authorized Representative means a person acting in the name of the Handling Company with the authority of law or a power of attorney issued by the Handling Company.

For the sake of clarity, in this Standard Ground Handling Agreement the Carrier means the aircraft operator fulfilling air carriage of passengers, baggage, freight and mail and holding a license for activities in the aviation industry subject to certification under the Russian Federation law, or an agent who has executed an agreement with the operator for arranging of aircraft handling at the Nizhny Novgorod Airport (Strigino).

In case if the Carrier is not the actual operator of the aircraft performing carriage of passengers, baggage, freight and mail, the Carrier shall provide the following information in its slot request submitted to the Handling Company prior to the flight: name of the actual operator, performing air carriage of passengers, baggage, freight and mail; name, bank and contact details of the entity to be paying for the services and material and technical resources provided under the Standard Ground Handling Agreement.

PARAGRAPH1. HANDLING SERVICES AND CHARGES

1.1 For a single ground handling consisting of the arrival and the subsequent departure of the same aircraft, the Handling Company shall render to the Carrier services according to Annex A of SGHA of January2008. The specific list of services provided is contained in individual Annexes to SGHA:

1. Annex B 1.0/2.0 — Ground Handling;

2. Annex B 1.0/3.0 - Cargo and Mail Handling Services;

3. Annex B 1.0/4.0 — De­/Anti-Icing of Aircraft;

4. Annex B 1.0/5.0 — Catering Services;

5. Annex B 1.0/6.0 – Cabin Cleaning Services;

6. Annex B 1.0/7.0 – Provision of Cabin Disposables;

7. Annex B 1.0/8.0 – Correspondence of the airport pricelist to services of Annex A

8. Annex B1.0/9.0 - Anticorruption clause;

9. Annex B 1.0/10.0 – Participation in the Airline Reward Program .

1.2 Notwithstanding Sub-Article 5.1 and 5.2 of the Main Agreement, the Parties agree that the Handling Company shall render all services in accordance with its own processes, standards, manuals, rules, and other documents. (hereinafter the Handling Company’s instructions) and/or in accordance with the Carrier’s instructions provided that the Handling Company’s capability to go by them has been confirmed in writing by the Handling Company’s Authorized Representative.

1.3. The list of services rendered shall be determined proceeding from the current legislation of the Russian Federation and/or by oral/written arrangement between the Parties.

1.4 The services that have actually been rendered shall be recorded in primary documents issued by the Handling Company. The description of services in primary documents shall be given according to the wording of the Handling Company’s Service Price List as well as according to the current legislation of the Russian Federation.

1.5 Handling in case of technical landing for other than commercial purposes will be charged according to Paragraph 7 of this Annex.

Handling in case of return to ramp will not be charged extra, provided that a physical change of load is not involved. If the Carrier requests new services, they will be charged according to Paragraph 7 of this Annex.

Handling in case of return to ramp involving a physical change of load will be charged according to Paragraph 7 of this Annex.

PARAGRAPH2. ADDITIONAL SERVICES AND CHARGES

2.1. Additional services not specified in Annexes thereto may be rendered to the Carrier subject to the Handling Company being capable to provide them according to requests by the Carrier’s Authorized Representative.

2.2. The list and prices of additional services are stipulated in the Handling Company’s Service Price List posted on the Web site www.airportnn.ru.

2.3 The additional services that have actually been rendered shall be recorded by the Parties in primary documents. The description of additional services in primary documents shall be given according to the wording of the Handling Company’s Service Price List as well as according to the current legislation of the Russian Federation.

PARAGRAPH3. Disbursements

3.1 Any disbursements made by the Handling Company on behalf of the Carrier will be reimbursed by the Carrier at cost price plus an accounting surcharge of3%.

PARAGRAPH4. Limit of Liability

4.1 Notwithstanding Article8 of the Main Agreement, the Parties agree as follows:

4.1.1 For non-fulfilment or improper fulfilment of their respective obligations under the Annexes to this SGHA, the parties shall be liable as provided for in the current legislation of the Russian Federation. In consideration of the provisions set forth below the Party in fault shall compensate the suffering Party for the actual damage; loss of benefit shall not be compensated for.

4.1.2  The Handling Company shall be relieved from its responsibility/liability for incomplete and/or late provision of services in case of non-execution and/or improper execution by the Carrier of its obligations stipulated therein, instructions of the Handling Company and/or the Carrier’s own instructions accepted for execution by the Handling Company.

4.1.3  The Handling Company shall be relieved of responsibility for late fulfilment of its obligations due to the aircraft’s arrival at Nizhny Novgorod Strigino Airport later than scheduled or assigned.

PARAGRAPH5. AREA OF RESPONSIBILITY – Not applicable.

PARAGRAPH6. Transfer of Services

6.1 Notwithstanding Article3 of the Main Agreement, the Handling Company is entitled to delegating, without the Carrier’s consent (unilaterally) and without prior notice to the Carrier, any of the services under the Annexes thereto to subcontractors. In this case the Handling Company will be responsible to the Carrier for the proper provision of such services as if they were rendered by the Handling Company itself. All settlement of account with regard to the services rendered shall be effected by the Carrier with the Handling Company.

PARAGRAPH7. Settlement

7.1 Notwithstanding Articles6,7 of the Main Agreement, the Parties agree as follows:

7.1.1 The Carrier shall pay for the services and material-technical resources provided by the Handling Company according to this Annex and other Annexes to the SGHA as per charges, tariffs and prices effective in the Handling Company at the moment of rendering of the services and/or provision of the material-technical resources, respectively.

Charges for, and tariffs and prices of, provision by the Handling Company of services and material-technical resources as well as their effective dates shall be set in accordance with current normative-legal acts of the Russian Federation and, depending on what is envisaged in the current normative-legal acts of the Russian Federation, shall be published in CRT and (or) AIP or shall be set by the Handling Company itself by publishing a direction issued by persons authorized by the Handling Company.

The Handling Company’s Service Price List shall be published on the Web site www.airportnn.ru.

7.1.2 Notwithstanding Sub-Article11.11, the Parties agree as follows:

– the Handling Company shall change (increase/lower/abolish/introduce) charges for, and tariffs and prices of, services and material-technical resources subject to publishing in CRT and (or) AIP in accordance with the current legislation of the Russian Federation, without executing an Addendum on the modification of charge/tariff/price rates under this Annex and other Annexes to the Standard Ground Handling Agreement;

– the Handling Company will change (increase/lower/abolish/introduce) tariffs and prices of services and material-technical resources not subject to publishing in CRTand (or) AIP unilaterally by publishing a new direction by a person authorized by the Handling Company, without executing an Addendum on the modification of tariffs and prices under this Annex and other Annexes to the Standard Ground Handling Agreement;

– modifications of the Handling Company’s charges, tariffs and prices shall be published on the Web site www.airportnn.ru.

7.1.3 The Carrier shall pay for the Handling Company’s services and material-technical resources by way of prepayment of 100% of estimated expenses.

The estimation of expenses shall be done by the Carrier itself proceeding from the frequency of flights, and may equal the expenses of a month, a five-day or another period, but not less than the expenses of the flight being planned.

Final settlement shall be effected by the Carrier within two (2) working days from the flight date making adjustment for the previous prepayment. Payments shall be calculated by the Carrier itself.

7.1.4 Should the Carrier fail to provide, at arrival, the loadsheet and the aircraft maximum takeoff weight (as per the flight manual of the aircraft, providing a copy of such manual), the Handling Company shall have the right to charge the services rendered based on the maximum load of the flight (enclosing the charges calculation for such flight) proceeding from the data published in publicly-available sources of information. Such publicly-available sources shall be chosen by the Handling Company. No recalculation shall be made.

7.1.5 Property storage services of the Handling Company shall be paid for by the Carrier on a monthly basis, within five (5) days from the date when the Carrier receives the Invoice or VAT Invoice by registered letter or in the Handling Company with delivery acknowledgement endorsement.

7.1.6. The date of payment by the Carrier for the services and material-technical resources shall be the day when the monies enter the Handling Company’s current account and/or the Handling Company’s pay office.

7.1.7. The currency of this Annex and other Annexes to the SGHA, and of payment:

Payer / Currency of Annex (agreement) / Currency of Payment
resident / Russian rubles / Russian rubles
non-resident / Russian rubles / Russian rubles

If a non-resident effects a payment in Russian rubles, then the payment shall be effected at the Russian Federation Central Bank exchange rate on the date of bank transfer by the Carrier.

7.1.8. Transfer of the payments to the Handling Company’s current account shall be performed by the Carrier or, when approved by the Handling Company in writing, by third parties under its instructions as Carrier.

7.1.9. The Carrier promises to ensure that the payment documents always include the following data: number and date of this SGHA, period being paid for, details of the Invoice and/or VAT Invoice being settled, and other necessary information.

If a payment order does not specify the period being paid for, the monies shall be set off by the parties in chronological order. The monies entering as payment under the agreement quoted in the payment order shall be set off against payment for the services only under that particular agreement.

7.1.10. If the Handling Company and the Carrier have an agreement whereunder the Handling Company documents passenger and/or freight carriage on the Carrier’s behalf, the Handling Company shall have the right to unilaterally set off he monies received by from transportation sales it in the month under report (the month of the transportation sales), including the fees, to the extent necessary and sufficient to pay for the services and material-technical resources provided by the Handling Company under this SGHA.

7.1.11. Documents confirming the fact of rendering services and/or providing material-technical resources include: Primary Accounting Card; Loadsheet; Freight and Mail Sheet; Airwaybill; Security Order; Bus Accounting Card; Job Order; Jet Fuel, Special Fluid and Water Spill Statement; Task Order; De­Icing Release Ticket; Property Storage Reports/Notes; Trip Tickets; other documents used by the Handling Company.

7.2. The Parties agree about the following procedure of signing and passing realization documents:

7.2.1 Form C Statement (for Russian Carriers), Form A Statement (for foreign Carriers):

– specifies the services rendered for each flight;

– is made in two copies of equal legal force;

– is signed by authorized representatives of the parties.

7.2.2. VAT Invoice and Work Completion Statement (for Russian Carriers), Invoice (for foreign Carriers):

– for non–scheduled flights — specify the services rendered for each flight; for scheduled flights — specify the services for the period under report, which consists of five calendar days;

– is made in two copies of equal legal force;

– are signed by authorized representatives of the parties.

7.2.3. The Handling Company shall issue to the Carrier the VAT Invoices, Work Completion Statements / Invoices, and Form C/A Statements, VAT invoices and Work Completion Reports for storage services, signed for its part, not later than five calendar days after the end of the respective period under report.

The period under report for storage services shall be a calendar month.

All the documents referred to in Items 7.2.1 and 7.2.2 of this Annex, as well as Work Completion Statements and VAT Invoices for property storage services, shall be sent to the Carrier by registered letter to the address specified in this Standard Ground Handling Agreement, and shall be deemed delivered on the 6th day after the sending.