Content:

1. Grounds

2. Purpose, term, scope

3. Definitions and abbreviations

4. General conditions

5. Criteria of special prices determination for aircraft ground handling

6. Criteria of special prices determination for aircraft basing

1 Grounds are as follows:

a letter of a client with a resolution of General Director, outcome of negotiations with airline representatives, General Director’s sanction.

2 Purpose, term, scope

2.1 Regulations on application of special prices for aircraft ground handling and basing at Boryspil International Airport State Enterprise (hereinafter-the Regulations) is a document which defines a procedure for application of special prices for aircraft ground handling and basing, terms of their effectiveness and application criteria.

The Regulations are developed as an incentive scheme to support airlines as business partners of Boryspil International Airport State Enterprise. The Regulations come into force from January 1, 2009 and are posted on www.kbp.kiev.ua for clients’ information.

In case a Carrier fails to fulfill its obligations on paying accounts for aircraft ground handling on terms stipulated in the agreement, special prices specified in the Regulations may be not applied to the Carrier by the decision of General Director.

2.2 The Regulations are subject to revising as required but not less than once in three years.

3 Definitions and abbreviations

Definitions and abbreviations have the following meaning in the Regulations:

AC – aircraft;

MTOW – maximum taking-off weight;

Carrier – a natural or a legal person that operates an aircraft;

New regular flight – a Carrier’s passenger or freight regular flight which has not been operated from/to Boryspil International Airport State Enterprise before;

New airline - an airline which has not operated flights from/to Boryspil International Airport State Enterprise for the previous two years.

Calendar month – period of time from the first to the last day of month.

4 General conditions

4.1 Prices for ground handling are determined in the agreement with a Carrier according to the Rates of charges for aircraft ground handling approved by General Director, depending on:

• list of services provided;
• AC type.

4.2 Prices for AC basing are determined in the agreement with a Carrier according to the Cost of AC basing at Boryspil International Airport apron stands which is approved by General Director.

5 Criteria of special prices determination for aircraft ground handling

For promoting cooperation with airlines Boryspil International Airport State Enterprise may apply special prices for aircraft ground handling by the decision of General Director. The amount of special price for aircraft ground handling is approved by the decision of General Director, but not less than 90% of the Rates of charges for aircraft ground handling.

Criteria of special prices determination for aircraft ground handling are the following:

• commencement of regular flights on a new international route;
• commencement of sequence of charter flights on a new international route (which has not been operated for the previous two years);
• commencement of regular or sequence of charter flights by a new airline;
• increase of the operated flights on regular international route per week;
• putting into operation an aircraft with heavy MTOW and which has not been operated before;
• commencement of not less than 7 regular international flights per week.

If an airline qualifies for more than one criterion, Boryspil International Airport State Enterprise may apply special prices for aircraft ground handling by the decision of General Director in the amount not less than 80% of the Rates of charges for aircraft ground handling.

Special prices are determined in the additional agreement to the ground handling agreement with a Carrier for a term of one year.

5.1 Special pricing for ground handling of aircrafts operating flights with one-way loading

When a Carrier performs passenger flights (excluding business aviation flights) under the principle EMPTY TO / LOADED FROM or LOADED TO / EMPTY FROM, special prices for ground handling may be applied at the rate of 70% of the approved rates of charges for ground handling.

Special prices shall be set in the Additional Agreement / Ground Handling Agreement concluded with the Carrier.

5.2 Special pricing for Cargo and Mail handling

In order to promote development of the cargo transportation market at the Airport, special prices for Cargo and Mail handling at the rate of 85% of the approved cost for such handling shall be applied to the airlines, the traffic volume of which exceeded 5 000 000 kg of cargo and mail via the airport within the previous year.

Special prices for Cargo and Mail handling shall be set in the Additional Agreement / Ground Handling Agreement concluded with the Carrier.

6 Criteria of special prices determination for aircraft basing

Special price for AC basing is applied in case of actual absence of AC at its home-base Boryspil International Airport for more than one calendar month, without losing right/place for basing at the designated apron stands.

In this case the amount of special price for AC basing makes 25% of the Cost of AC basing at Boryspil International Airport apron stands.

Special prices for AC basing are determined in the additional agreement to the ground handling agreement with a Carrier per full calendar month.

In case if 15 (or more) Carrier’s aircrafts are home-based in the Airport, special prices for aircraft parking shall be applied at the rate of 85% of the approved cost for home based parking. Special prices for aircraft home-based parking shall be set in the Additional Agreement / Ground Handling Agreement concluded with the Carrier.