Aircraft No. 2 N917AU, T-17; P3-A; Serial Number

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Aircraft No. 2 N917AU, T-17; P3-A; Serial Number 150510 Aircraft Data: Manufacture Date: 2/18/1963 Entered airtanker operations: 9/16/2008 FAA Registration Card - See Attachment 2-1. Issued to: Aero Union Corporation Date of Issue: October 1, 2004 Expiration Date: December 31, 2012 FAA Registration Marks: N917AU Aircraft Serial Number: 150510 FAA Airworthiness Certificate: Special Airworthiness Certificate ; RESTRICTED Category See Attachment 2-2. Purpose: Forestry and Wildlife Conservation FAA No. N917AU Serial No. 150510 Builder: Aero Union Corporation Model: P-3A Operating Limitations Dated: 4/25/11 Date of Issue: 4/25/11 Expiry Date: Unlimited Refers to: Type Certificate A32NM USFS Aircraft Approval Card- See Attachment 2-3. Issued to: Aero Union Corporation Date of Issue: 5/12/11 Expiration date: 12/2011 FAA Registration Marks: N917AU Aircraft Serial Number: 150510 Approval for: Airtanker Contract No.: AG-024B-C-08-9277, Item 3 Note- There was an open USFS Card Inspection Discrepancy that stated the: Aircraft not in compliance with P3 ALS which satisfies the contract reqts for an insp. program based on a FAA approved 25.571 analysis. Ref. Exhibit 2 B2, F.. There is a statement that the USFS management is working to resolve this fleetwide issue with the contractor. See Attachment 2-4. Last Flight- Operations Logbook Page No.: 20431 Date: 7/29/2011

Aircraft TT: Records Review: 15,813.44 hours Logbooks- Airframe 9/23/2004, Aircraft purchased from GSA; civilian logbooks established from military records at TT 15,172.4; Last Navy Depot Level Maintenance, SDLM F, Jacksonville, 6/29/1988 at TT 14,262.3 Last Phase C check 2/19/1990 at TT 14,886.0 10/4/2004, TT 15,172.4, Field inspection for ferry flight to Chico, CA. 9/2/2008, TT 15,178.3, inducted into tanker buildup/refit. All engines, landing gear and flight controls removed and inspected/overhauled as needed. General and all three phased Depot Level inspections performed. Special Structural Inspection (SSI), developed from Navy AFB 356, Rev. B, tailored to the light weight P-3 aircraft was performed. Next Phase inspection due March 2013, Phase I. Many build-up modifications and equipment installed, including Appareo Operational Loads Monitoring System. Damage tolerance and fatigue of structure was initiated in accordance with FAA approved Avenger document AAS-ALS-07-001, 11/2007, Rev. A 9/2/2008 FAA Experimental Airworthiness Certificate issued. 1/2/2009, TT 15,216.0 Aircraft Stripped and painted. Logbook Note: Late Entry 12/2/2008, TT 15,210.9, performed special (annual) inspection in October 2008.Airworthiness release signed by David McIntosh on 10/10/2008, TT 15,182.0. 1/25/2010, TT 15,475.0, Aircraft inspected in accordance with an approved inspection program. Ref. FAR 91.409(f)(4) and found to be in an airworthy condition. 2/10/2010, TT 15, 492.38, Performed audit of Navy and Aero Union Corporation records, Ref. T-17 total landing calculator, dated 2/25/2010 worksheet. Aircraft TT is correct at 15,492.38. Total landings as of 1/29/2010 are 11,132 landings. 5/12/2011, TT 15,633.8, cycles: 11,368, Aircraft inspected in accordance with an approved inspection program. Ref. FAR 91.409(f)(4) and found to be in an airworthy condition. Aircraft test flown per FAR 91.402(b). Work Order No. 4012. All of the inspection details, repairs and maintenance are included on/in Work Order No. 4012; this includes the following inspection and maintenance segments: 2/10/2011 Phase I- Induction 2/10/2011 Phase II- Inspection 2/10/2011 Phase III- ALS Inspection 2/10/2011 Phase IV- Routine Maintenance 2/10/2011 Phase V- Time/Cycle Maintenance 2/10/2011 Phase VI- Non-routine Maintenance 2/10/2011 Phase VII- Final checks and Tests

2/10/2011 Phase VIII- Deferred Items Note- two items were deferred and both items were cleared. See Attachment 2-5. (Last annual inspection) 5/16/2011, TT 15,682.5, Left Horizontal stabilizer inboard leading edge replaced due to impact damage sustained by engine access panel departing aircraft in flight. <last airframe logbook entry> Engine Logbooks- See Attachment 2-6 for engine, prop and component serial numbers, hours, cycles. Engine No. 1 Serial Number AE103368, repaired by Rolls Royce, Oakland, CA, on 9/1/2008, engine TT 12,406.9; TSO 2785.5. Installed on T-17 at airframe TT15,178.3. Engine No. 2 Serial Number AE105284, 5/6/2011, airframe TT 15,682.5, engine TT 13,627.0, TSO 3348.0, installed on T-17, No. 2 position, annual inspection. Engine No. 3 Serial Number AE103650, repaired by Rolls Royce, Oakland, CA, on 5/11/2011, engine TT 00.0, TSO 00.0. Installed on T-17, No. 3 position at aircraft TT 15,673.8, and test flown. Engine No. 4 Serial Number AE102873, overhauled by Segers Aero Corporation on9/1/2008, engine TT 10,602.4; SO 00.0. Installed on T-17 at aircraft TT 15,178.3. 5/11/2011 Airframe TT 15,673.8, engine TT 16,106.7; TSO 495.5, annual inspection. Selected FAA Form 337, Major Repair and/or Alteration- 9/3/2008 Install Operational Loads Monitoring System, Appareo installed in accordance with LLC, installation instructions document No. 600840-000005, Rv. IR, dated 11/27/2007 and Appareo Systems LLC Dwg No. 601185-000001, Rev. X04. 9/4/2008 Install updated RADS II retardant tank system in accordance with Aero Union Corporation STC No. ST00792LA and MDL No. 11700, Rev. H, dated 4/10/2008 5/16/2011 Horizontal stabilizer repaired. Airworthiness Limitations Section- A review from the winter 2010/2011 ALS printout (last annual inspection) indicated that a total of 37 inspection items are now due and several inspection items were not completed during the last winter annual inspection principally due to lack of specialized non-destructive test

(NDT) equipment. See Attachment 2-7. Note- The FAA Type Certificate Data Sheet for this aircraft requires an active FAA Approved damage tolerance and fatigue evaluation (and monitoring) program in accordance with FAR 25.571. The Type Certificate Data Sheet makes this specification in Note 4 of the Document. Records Examination and Results- I examined the aircraft and engine logbooks, file folders pertaining to: aircraft registration and airworthiness certificates, FAA Form 337 s, Major Alteration and Major Repair, ALS, USFS Certification and Work Orders. The aircraft maintenance records are detailed, concise and fully describe the inspections and maintenance performed. Aero Union operated a FAA Part 145 Repair Station maintenance facility under FAA Repair Station No. AUCR270C. Examination of the records indicated that appropriate and complete logbook entries and Work Order data and supporting outside part suppliers and material processing facilities certification documents complied with FAA and aerospace industry accepted practices and standards. The winter 2010/2011 annual inspections were extensive and the Work Order inspection cards, supporting parts and special inspection cards indicated that the inspections and maintenance were thorough and complete, excepting for some of the ALS inspections requiring specialized test equipment. The logbook revealed entries pertaining to logbook audits to insure correct aircraft total times and cycles. The P-3A aircraft was inspected and maintained in accordance with Aero Union s FAA Approved Maintenance and Inspection Program, dated October 28, 2008. The Aero Union P-3A Maintenance and Inspection Program provides for repetitive annual inspections, calendar inspections, condition inspections, Airworthiness Limitations Inspections (per FAR Part 25.571, damage tolerance and Note 4 of the Type Certificate Data sheet), and Phased Depot Level Inspections. The Phased Depot Level Inspections include a general inspection and one of three Phase inspections every 54 months. T-17 had one major Depot Level inspections in 2008 during build-up. The general and all three Depot Level Inspections phases were accomplished. The next Depot Level Inspection is due in 2013. US Navy Airframe Bulletin No. 356, Revision B. This bulletin is a major disassembly of the wing and includes the replacement of critical spar caps and critical highly stressed parts and fittings. T-17 had AFB 356 incorporated in 2008.

The Airworthiness Limitations Section Inspections are mandatory and part of the airworthiness requirements in the Type Certificate Data Sheet. Further, the FAA Type Certificate Data Sheet ALS Inspections require that several primary structural parts be inspected using both visual methods and more sophisticated electronic test equipment methods. Some parts have a finite service life and must be replaced at various aircraft total times and/or total cycles. There were several ALS inspection items that were not complied with. This is not an intentional maintenance omission; rather, this appears to have been a management decision to not procure/rent the necessary sophisticated electronic NDI equipment to perform the inspections. These inspections will need to be accomplished prior to returning the aircraft to service.