ATLANTIC GAS TURBINE CENTER, INC.

ATLANTIC GAS TURBINE CENTER, INC. 3505 NW 153rd Street Miami Gardens, Florida 33054 February 6, 2013 Aircraft Engine Management Services, Inc. Attn: Mike Maier Dear, Mike Atlantic Gas Turbine Center, Inc. is pleased to quote the repair of your JT8D-7B Engine serial Number 654373 Details are as follows: Workscope, PRE-INDUCTION a) Inspect & inventory engine external parts. Provide customer with listing. b) Perform all repairs in accordance with P&W EM P/N 481672- latest revision c) Minimum build will be 2,000 Cycles / 4,000 hours ENGINEGENERAL a) Inspect all exposed bearings, seals and gears. b) All exposed bearing/ oil system compartments to be flushed and continue time inspected c) Any bearings that fails inspection will be routed for outside vendor for overhaul FAN a) Module to be inspected for continue time service b) Cl and C2 Fan Blades to be inspected and repaired, as required insitu. c) Check balance LPC a) Do not disassemble, visually inspect for continue time INTERMEDIATE CASE a) Do not disassemble, continue time inspect a) Remove high pressure compressor and de-stack the high pressure compressor disk 3505 NW 153rd Street — Miami Gardens, Florida 33054 —'Telephone: EFTA01086751 b) Dc-blade all disks. c) The C7, C8, C9, C10, C11, Cl2 and C13 disks will be stripped, repaired/overhauled and coated for completion of AD 2003-12-07 (P&W S/B 6431, 6426 & 6468) d) Check compliance with AD 2006-17-07 e) All HPC blades to be installed in overhauled condition f) The stators will be inspected, repaired as required g) Compressor will be re-assembled, static and dynamic balanced. HOT SECTION / DIFFUSER / NOZZLE CASE MODULE a) Perform HSI, all Fuel Nozzles to be installed in serviceable condition b) TI Nozzle guide vanes to be installed in overhauled condition c) TI outer air seal to be installed in serviceable condition d) Combustion Chamber Support assembly will be visually inspected. e) Install serviceable Combustion Chambers per AD 86-09-02 0 The 0CC will have an ultrasound inspection performed after build as per AD 96-23-14 HPT a) Remove and inspect TI disk/ Shaft assembly. Check balance b) Inspect No.5 bearing housing, seal housing and all bearing/oil related parts. c) No.5 carbon seal will be flow checked d) Assemble module to be balanced to serviceable limits and re-installed LPT a) Disassemble and inspect and re-class 12 NGV's. b) Visually inspect 12, T3 & T4 disk/blade assembly c) Visually inspect all spacers, airseals and shrouds d) Visually inspect all remaining parts. e) Assemble and check balance LPT module. EXHAUST CASE a) Exhaust case will be removed. Check #6 brg hag. for concentricity b) Install serviceable thermocouples and EGT harness GEARBOX a) Gearbox to be visually inspected and pressure checked. ACCESSORIES- Functionally all accessories check during test run. BEARINGS- Visually inspect all exposed bearings. Install #3 bearing in overhauled condition. FINAL SERVICES a) Upon completion of repairs, the engine to be reassembled and sent for full performance Type III test cell run. b) Cross Bleed check to be performed for No.2 position B-727 aircraft. c) The oil & fuel system to be preserved for long term storage d) Records package including FAA form 337, FAA 8130-3, Airworthiness Directive, Disk sheet and complete test cell run to be furnished to customer upon completion of repairs. The final package (travelers, repair tags etc...) will be available within 7 working days of engine delivery 3505 NW 153rd Slicer - Miami Gardens, Florida 33054 - Telephone: 305-978-0231- Fax: 305.938.5028 EFTA01086752 Budgetary Labor 65,000.00 Expendables 12,500.00 Consumables 8,500,00 Outside Vendors 38,000.00 Remove & Re-Install QEC 10,000.00 Parts 90,000.00 Test Cell 13,000.00 Total (Fixed rate not to exceed) $ 237.000.00 Terms: 50% of repair estimate upon acceptance, balance after test. Shipping charges from Stambaugh Aviation, Inc. will be billed separately. Standard warranty for work performed by Atlantic Gas Turbine Center, Inc. is (12) Months, 1,000 hours or 1,000 cycles whichever occurs first. Turn Time: 35-40 Days from initial signed acceptance and deposit received. Please feel free to contact me with any questions you may have with regards to this estimate, or any other matter that may arise. Cordially, Edw Cell: Accepted and approved by 3505 NW 153rd Street - Miami Gardens, Florida 33054 - Telephone: 305-978-0231 - Fax: 305.938.5028 EFTA01086753