Mr. Wilhelm Jagritsch -

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1 an I to: Tel.: von I from: Tel.: Contact technical issues Betrifft / Reference: Bezug : Icelandic Civil Aviation Administration - ICAA att. to Mr. Hreidar Pall Haraldsson /hreidar@caa.is) Fax: d Dr. Elisabeth Spitaler (focal point coordination oversight transfer) Fax:?'@ p "'% -@4" wi Mr. Wilhelm Jagritsch - wilhem.jaqritsch@austrocontrol.at Transfer of responsibilities for the aircraft OE-HRJ Agreement for the transfer of operational and technical surveillance duties from the State of Registry (Austria) to the State of Operator (Iceland) by exchange of letters Datum / Date: Seiten inkl. Deckblatt / pages incl. cover page: March 9th, 2010 EXCHANGE OF LETTERS BETWEEN AUSTRO CONTROL GMBH AND ICELANDIC CIVIL AVIATION ADMINISTRATION The Austrian owner I.L.C. Aviation GmbH, SchopfstraBe 6a/ll, A-6020 lnnsbruck (lessor), informed us, that the aircraft with the Austrian registration OE-HRJ, type of aircraft Dornier and serial number 3206 will be operated by the Icelandic operator (commercial operation under AOC) Icejet, Building 313, Reykjavik Airport, IS-101 Reykjavik (lessee), under a (financial) lease agreement from IS' of March for a period of 12 months. As GmbH sees itself in this case unable to fulfil the responsibilities of the State of Registry, your Authority is kindly requested to undertake the operational and technical surveillance of the said aircraft under this agreement according to Art 83bis of ICAO convention for the period from the bilateral signature of this agreement until 16'~ of February Under this agreement, the parties agree that GmbH transfers to ICAA concerning the aforementioned aircraft OE-HRJ the following responsibilities, including oversight and control, of relevant items contained in the respective Annexes to the ICAO Convention: Annex 6, Part I Annex 8, Part II, Chapter 3, 4 (only those portions which provide for aircraft operator and operator's authority responsibilities to the intended operations) Annex 1 Workinq Arranqement The following items should be subject of the transferred duties and responsibilities: fur Zivilluftfahrt mit beschrankter Haft ung Tel.: +43(0) Fax.: +43(0)

2 1. General The EASA set of requirements, directly or indirectly called for in this agreement is to be intended at the latest amendmenuchange issued by EASA in accordance with the pertinent effectiveness and implementation schedule as defined by EASA. In the case where your Authority would grant exemptions under provisions of Art 13 (3) of Regulation (EC) No I (as for Iceland Regulation (EC) No 216/2008 and its Art 14 (4) is not yet legally binding) or under provisions of Art 8 of Regulation (EEC) No on the harmonization of technical requirements and administrative procedures in the field of civil aviation, which have an impact to the concerned aircraft; these exemptions shall be notified to GmbH as soon as possible. 2. Approved type design The aircraft, and any product or part thereof, must comply with relevant EASA approved type design (refer to provisions of Regulation (EC) No 1702/2003). ICAA will be responsible for supervising compliance with this requirement after aircraft delivery to the operator all the time the aircraft is being operated by the lcelandic operator under Austrian registration marks. 3. AD's The aircraft must be in compliance with all the AD's applicable to that aircraft, and to any part thereof, mandated either by the relevant State of Design Authorities (refer to Decision No of The Executive Director Of The Agency dated 14 October 2003), by EASA, or by GmbH. The lcelandic operator must hold and keep up-to-date a complete status of the above applicable mentioned AD's. Any derogation to AD's requirements must be approved in accordance with EASA regulations. Any other airworthiness action mandated by GmbH (e.g. LTH-Lufttuchtigkeitshinweise) is applicable to the concerned aircraft type and partslproducts have to be fulfilled. The AD's and LTH's can be provided by internet: 4. Maintenance - Continuing Airworthiness Surveillance of the aircraft maintenance will be performed by ICAA. The aircraft shall be maintained in accordance with the ICAA approved Maintenance Programme. All the maintenance inspections, repairs and modifications to be performed on the aircraft have to be carried out by Part 145 (of Regulation (EC) No ) approved Maintenance Organisations. Repairs and modifications to be performed on the aircraft shall be approved in accordance with relevant Part 21 (of Regulation (EC) No ) provisions and relevant implementation procedures, before their embodiment. Aircraft or aircraft components will be released to service in accordance with all the applicable Part 145 provisions. The lcelandic operator shall be responsible for keeping maintenance records during the leasing period in accordance with applicable Part M (of Regulation (EC) No ) requirements and operator's national procedure; all the maintenance records as described in the applicable Part M requirements shall be transferred to the operator when the aircraft will be transferred back. The lcelandic CAA approved leasing contract, Operations Manual and CAME must reflect all stated conditions in this arrangement as applicable. ACAM (Aircraft continuing airworthiness monitoring) according to Part M of Regulation (EC) No will be performed by GmbH. fur Zivilluftfahrt rnit beschrhkter Haftung Schnirchgasse I I - A-1030 Wien Tel.: +43(0)517 G3-1601

3 5. Airworthiness ReviewIARC The airworthiness review has to be performed in accordance with the regulations laid out in Part M of Regulation (EC) No , GmbH will issue the ARC and send a copy to ICAA. 6. Permit to fly Permits to fly in respect of the said Austrian registered aircraft, where the aircraft is temporarily not in an airworthy condition, may be issued by your Authority on behalf of Austro Control GmbH and may prescribe particular limiting conditions to permit the aircraft to be flown without passengers or cargo to an approved maintenance facility at which it will be restored to an airworthy condition. Any permit to fly shall be reported to GmbH within 72 hours. 7. In-service occurrences or incidents lnformation on significant in-service occurrences that affect continuing airworthiness of the said aircraft, shall be provided by the Icelandic operator to the organisations responsible for the type design, ICAA, GmbH and the State of Design Authorities as soon as possible (in particular with quickest means available in case of any accident or serious incident, in addition to the notification to the appropriate accident investigating authorities) but not later than 72 hours. ICAA shall provide GmbH and EASA with more detailed information on investigation processes of those major events for which mandatory airworthiness actions may be taken or deemed necessary by ICAA. In case of in-service occurrences that could invalidate the aircraft Certificate of Airworthiness, ICAA is entitled to prevent aircraft from resuming any operations and shall immediately inform GmbH in order to allow proper corrective actions. 8. Operational Considerations The operational requirements established by the State of Operator for the intended type of operations apply. The aircraft has to be equipped in accordance with your operational requirements established for the intended type of operations. The operator Minimum Equipment List (MEL) shall be approved by ICAA. 9. Obligations of Lessor and Lessee, Language and lnformation The lessor and lessee shall be engaged to provide free access for ICAA and inspection respectively at any time it will be required. Maintenance and operational records must be up to date and available to any request from ICAA and until the end of the delegation. The associated documents shall be issued in the English language. The lessor and the lessee shall be engaged to promptly provide ICAA and GmbH with information about any variation in the lease agreement or termination thereof so that appropriate actions can be taken by the parties. Agreed terms and conditions for the delivery back of the aircraft shall be timely notified as well. GmbH will make available to the lessor and ICAA will make available to the lesseeloperator a copy of this agreement, which has to be carried on board of the aircraft. 10. Licences Flight operations will be conducted by the Icelandic operator employing flight crew members holding an appropriately rated licence issued, accepted or validated by ICAA. GmbH validation must be obtained by the lessee (operator) if the said licence is an Icelandic national flight crew licence not issued in accordance with JAR-FCL or has been accepted or validated by ICAA. Otherwise GmbH validation is not requested if the said licence is a JAR-FCL licence issued by any of the JAA full member authorities under a JAR- FCL mutual recognition. C)sterreichische Gesellschaft fijr Zivilluftfahrt rnit beschrsnkter Haftung Tel.: +43(0) w,austrocontrol.at

4 11. Notification Responsibility for notifiying directly any States concerned of the existence and content of this agreement rests with the State of operator, Iceland. This agreement, as well as any amendments to it, will also be registered by ICAA to ICAO. GmbH will be informed about this registration by ICAA. 12. Validity of the agreement This agreement will enter into force on its date of signature by GmbH and ICAA. It shall remain in force until 16th of February Any modification to the agreement shall agreed by the parties thereto in writing. In the event of breach of obligations as stipulated by the agreement by lessor, lessee or the parties, each party is entitled to at any time cancel the agreement either wholly or in part by giving written notice to the other party, lessor and lesse. Advance notice will be given when circumstances so warrant. Otherwise termination of the agreement will be effective immediately. In the case of variation or termination of the lease agreement the parties may also cancel this agreement with immediate effect. ICAA is kindly asked to confirm in a written manner the acceptance of the transfer of responsibilities under the above mentioned conditions and for the designated period. Thanks for your efforts and kind regards. For lschaft fijr Zivilluftfahrt ftung - Horst Has Head of Department Airworthiness & Certification, Operations and Technical Organisations fijr Zivilluftfahrt rnit beschrilnkter Haftung Tel.: +43(0)

5 SkSgarlit6 72 c;crti/tcl n OU 103 Reykjavik fer G fslandilceland GmbH YOU[ Ref Dated Horst Hasenhutl, Our Ref Date Head of Department of Aimorthiness; Celtificati~n;~~~~~~~~~~~ March Operatons and Technical Organisations fiir Zivilluftfahrt mbh A-1 030, Schnirchgasse 1 I Wien AUSTRIA Jourt~al Key: 410 Subject: Acceptance to undertake the operational and technical surveillance for the aircraft OE-HRJ With reference to your letter and agreement dated 9 March for the transfer of responsibilities for the aircraft OE-HIU, the Icelandic Civil Aviation Administration (ICAA) here by accepts to undertake the operational and technical surveillance of the said aircraft in accordance with the aforementioned agreement according to Art 83bis of the ICAO Convention fiom the 1 9th March until 1 6th of February A copy of this letter and the agreement shall be carried on board OE-HRJ. Director Flight Safety