RATES, FEES AND CHARGES

3.1 Landing Fees. Landing Fees for the use of the landing area will be assessed to the Airline for each landing of said aircraft at any Regional Airport. Landing Fees are calculated by multiplying the applicable rate by the quotient of the aircraft's maximum allowable gross take off weight (MAGTOW) at which an aircraft may take off from an airport as certificated by the Federal Aviation Administration and recited in flight manuals governing that aircraft type divided by 1,000 pounds. In no case will an operator pay less than the Minimum Landing Fee. Other terms and conditions applicable to Airlines operating at the Regional Airports are attached hereto as "Appendix 2." 3.2 Minimum Landing Fee. In circumstances where the calculated amount of Landing Fees for any given landing are less than the applicable Minimum Landing Fee, the Minimum Landing Fee for the use of the landing area will be assessed to the operator for each landing of an aircraft at any Regional Airport. {A0081207.2} 3.3 Parking Fees. An aircraft parked at any Regional Airports on paved or unpaved ground not under lease, and designated by the Authority for such use (as available), will be charged for calendar day or fraction per 1,000 pounds of MAGTOW. No parking fee will be assessed in respect to an aircraft parked within an area leased by fixed base operators, aircraft owners, or operators and is receiving an authorized service of those included in the contract with the Authority. 3.4 Government Exclusions to Landing Fees and Parking Fees. There shall be no Landing Fee or Parking Fee charge for Government aircraft including but not necessarily limited to aircraft owned or operated under lease or contract by the U.S. Government, the Commonwealth of Puerto Rico, or other foreign military aircraft. 3.5 Other Exclusions to Landing and Parking Fees. Certain exclusions to Landing Fees and/or Parking Fees are as follows: (1) there shall be no charge for the landing and parking of an aircraft in the case of a return landing or a landing not originally destined for that Regional Airport for mechanical, meteorological, bomb search, or other emergency reasons; and (2) there shall be no charge for the landing and parking of an aircraft if the arrival and departure is for the purpose of fueling, crew change, or cabin service without enplaning or deplaning of revenue passengers, or the loading or unloading of revenue items of any kind, and no revenue is derived from the operation (in this case, the aircraft operator must submit a certified statement within the next five calendar days after the flight or said flight will be subject to payment of charges as they apply to revenue flights); (3) there shall be no charge for the parking of an aircraft that enplanes and deplanes passengers within the Permitted Gate Occupancy Times plus applicable Grace Period (as may be defined from time to time by the Authority, currently after the arrival of 4 hours for jet aircraft and 2 hours for propeller aircraft); and (4) there shall be no charge for the parking of an aircraft that loads or unloads cargo within the time period defined by the Authority, currently after the arrival of 4 hours for jet aircraft and 2 hours for propeller aircraft. 3.6 Rental for Passenger Terminal Space. Rental for space other than space referred to in Item 3.7 will be charged at the passenger and freight terminals, if any, at the rates prescribed in Appendix 1. 3.7 Charges for Common Use Space. Passenger fees are assessed for space used in common by the air carriers using that Regional Airport. Charges for Common Use Space cover the equivalent rent for common space such as hold rooms, sterile passenger circulation areas, baggage makeup areas, and baggage claim areas. 3.8 Other Charges. The Authority reserves the right to assess other rents, fees, and charges for services rendered or for use and occupancy of the Regional Airports not all of which may be specified in Appendix 1. (A0081207.2) APPENDIX 1 SCHEDULE OF RATES, FEES, AND CHARGES October 1, 2011 to June 30, 2012 Item Rate Notes Landing Fees 1 "Landing Fee" (per 1,000 pounds of "MAGTOW") $ 0.93 "Minimum Fee per Landing" $ 9.00 Parking Fees 1 Per calendar day or fraction thereof (per 1,000 pounds of $ 0.58 "MAGTOW") Minimum Daily Parking Fee 4.00 Monthly Minimum Parking Fee 52.00 Passenger Terminal Rental Rates Air Conditioned Space (per sq. ft. per annum) $19.41 Passenger Terminal Passenger Fees All Airlines Passenger Fee $ 0.85 2 Miscellaneous Services Water used for washing aircraft - per hour or fraction thereof $15.50 Electricity use - per hour or fraction thereof 15.50 Services, not classified, per hour or fraction thereof 18.00 Services, nor classified, using Ports Authority employees; per 45.00 employee per hour or fraction thereof Ground Rental The minimum ground rental rate per square foot per year for all regional airports, with some areas set higher by negotiation. $0.55 Hangar and Warehouse Rental The minimum hangar and warehouse space rental rate, including cargo terminal space, per square foot per year for all $1.75 regional airports, with some areas set higher by negotiation. 1. US Government, PR Government, other foreign Governments are not assessed landing or parking fees and landing fees and/or parking fees maybe waived for certain commercial landings as described elsewhere. 2. Passenger fee applicable to all passengers arriving from and departing to points in the United States, U.S. Virgin Islands, Puerto Rico and foreign points in commercial or revenue producing flights. {A0081207.2} APPENDIX 2 AIR CARRIER OPERATING TERMS AND CONDITIONS Rafael Hernández and Mercedita. INTRODUCTION This document shall govern the operations of all air carriers providing air transportation service (each, an "Airline") at one or more of the Regional Airports. All references in this document to the "Terms and Conditions" shall be deemed to include the Terms and Conditions as set forth below and any and all subsequent amendments or restatement as may be adopted from time to time by the Authority.