AutoGyro Platinum Extra Guarantee

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1 AutoGyro Platinum Extra Guarantee AutoGyro Extra Guarantee for Gyroplanes As of January 1st, 2016 AutoGyro GmbH ( AutoGyro ) will be providing as standard and included in the aircraft price, our very own Extra Guarantee for parts, repairs and restoration, on all qualifying purchases of our aircrafts to our customers (Guarantee Holders) when buying a new Gyroplane MTOsport, MTOfree, Calidus, Cavalon or CavalonPRO from us or from one of our Distribution Partners. 1. Extra Guarantee 1.1. As the manufacturer, AutoGyro assures the Customer of a new Gyroplane the repair of the aircraft and/or part thereof (including measures as allocation of parts, repair or restoration) at a predetermined cost and under the terms as defined hereinafter. The Customer is the Guarantee Holder Gyroplane kits are covered by this Guarantee if the kit was assembled under the assistance or control of AutoGyro or an approved AutoGyro Partner. The completed Gyroplane requires examination and testing (see AutoGyro Guarantee Safety Check ), official acceptance, certification and registration, each by AutoGyro or an approved AutoGyro Partner. In case this procedure is carried out by an AutoGyro Partner, notification has to be made to Autogyro within 24 hours of the examination in order to issue a valid Guarantee Policy for the benefit of/to the Customer In case the Customer sells the Gyroplane to a third party this Guarantee is automatically transferred to the new owner subject to the completion of the AutoGyro Guarantee Safety Check. The initial duration and conditions of this Guarantee remain unchanged in this case Upon the transfer of the Guarantee from the Customer to a new owner, AutoGyro will issue a new Guarantee Policy in the name of/in favour of the new owner as a new Guarantee Holder. 2. Quality Control 2.1. In order to achieve and maintain a high quality in the operation of the Gyroplane and to reduce the risk of accidents, Autogyro offers and conducts several quality measures as follows: 2.2. The AutoGyro Guarantee Safety Check constitutes AutoGyro s current instructions and guidelines instituted/established to safeguard the technical quality of the Gyroplane, and is to be carried out before the issuance of an initial or a subsequent Guarantee Policy for every Gyroplane, except for new factory built Gyroplanes The AutoGyro Approved Pilot Check Flight is a security/proficiency Check Flight for AutoGyro Gyroplanes, consisting of the AutoGyro s current instructions and guidelines for the Check Flight and handling of a Gyroplane which shall take place at a Controller authorized by AutoGyro. A Check Flight counts for a period of 12 months ( valid Check Flight ). The Check Flight must be related to the model/ type of the Gyroplane. A valid flight instructor licence for the respective Gyroplane is considered as a generated Check Flight AutoGyro Partner is defined as a Distribution Partner of AutoGyro, or a flight school that cooperates with AutoGyro.

2 2.5. The AutoGyro Approved Service Partner is an entity approved by AutoGyro for the maintenance and servicing of the Gyroplanes, to be individually authorised in each single case for Guarantee repairs The Maintenance Manual or Servicing Handbook is the AutoGyro Handbook for maintenance and services for the Gyroplanes The Pilot Operating Handbook is the AutoGyro Handbook for operating the Gyroplane. 3. Guarantee case 3.1. This Guarantee covers and includes damages caused by accidents occurring in the use of the Gyroplane. The operation include: (1) take off (2) flight (3) landing (4) Taxiing to or from the parking position, with rotor that is properly aligned in the direction of taxiing. (5) Proper transportation executed pursuant to Pilot Operating Handbook to or from the airfield or area of take-off with an original AutoGyro trailer or with an approved/licenced AutoGyro trailer Accidents are considered to be sudden and unexpected events that are determinable as to time and place, caused by an external source and leading to the damage of an object (material damage). The toppling/overturning of an insured Gyroplane or any other damage due to collision or impact is considered to be an accident covered by this Guarantee. This applies even if the accident occurred as a result of an operating error, while the limitation under section 7.1. remains unaffected. 4. Scope of the Guarantee 4.1. This Guarantee covers all costs for the repair of the Gyroplane (including measures such as allocation of parts, replacement of parts, repair, restoration or delivery of a new Gyroplane) at predetermined costs (pursuant to minutes of damages) The scope of the repair and the related costs shall be fixed and accepted by AutoGyro before the repair is executed (predetermined costs). In any case, repairs have to be carried out by the most economical method This Guarantee will to a certain extent, be related to the pilot s qualification as a pilot (see sections, 5.4., 6.2. and 8.1.). This includes: (1) A valid pilot licence for operating Gyroplanes (2) A valid Autogyro Approved Pilot Check Flight as under section 2.3.

3 4.4. All and any added non-permanently installed components, installed equipment and/or accessories are excluded from this Guarantee Any further claims shall be excluded from this Guarantee. In particular, any kind of compensation claims are excluded that are related to recovery costs, costs related to the provision of a replacement- Gyroplane for the duration of the repair/restoration, costs and/or compensation for personal injury or death of the pilot, the owner, passengers or any other third party. 5. Compensation of Repair Costs 5.1. AutoGyro will bear costs for the repair of the Gyroplane (including measures such as allocation of parts, replacement of parts, repair, restoration or delivery of a new Gyroplane) as indicated under sections 5.2., 5.3. and 5.4. : 5.2. AutoGyro will - within the limits as indicated below - bear the costs for: (1) Materials and spare parts provided by AutoGyro ex-works at the AutoGyro factory (Hildesheim) or at the local AutoGyro-Partner or AutoGyro Representative as applicable. (2) Labour costs for the replacement of materials and/or parts 5.3. Excluded from coverage are (1) All kinds of fees incurred in connection with the movement of goods in international trade, including customs and import charges. (2) any travel costs for repair staff (mechanics, engineers) 5.4. The Guarantee Holder will bear a portion of the repair costs, depending on the pilot Check Flight standard (valid Autogyro Approved Pilot Check Flight ) as under section 2.3 and as indicated in Table 1 (Annex). 6. Replacement of Gyroplane 6.1. In the event of an accident and/or any damage covered by this Guarantee, AutoGyro reserves the right to unilaterally decide, based on the extent of the damage, whether a repair is economically feasible or if the aircraft is a total loss In case of a total loss/write-off, AutoGyro may decide at its own discretion to replace the damaged Gyroplane. In such case AutoGyro will offer the Guarantee Holder a new Gyroplane at a reduced purchase price. This purchase price is deemed to be the Guarantee Holder s excess in the case of damage. The reduced purchase price will be calculated on a percentage basis as indicated in Table 2 (Annex).

4 6.3. In the case of a restoration, AutoGyro may at its discretion either replace or repair the defective parts. 7. Damages excluded from Guarantee 7.1. Accidents caused by gross negligence of the owner or the pilot are covered proportionally to the degree of negligence. Accidents and any damages caused by intentional acts of the owner or the pilot are excluded Damages arising from the following events are excluded from this Guarantee: (1) Improper handling of the Gyroplane outside of operating limits as defined in the AutoGyro Pilot Operating Handbook (2) Prior to the accident, the Gyroplane has been improperly repaired, serviced or maintained in contravention of the latest AutoGyro Servicing Handbook and AutoGyro Pilot Operating Handbook or has otherwise been altered in a manner not approved by AutoGyro, either by the Guarantee Holder himself or by any third party that is not an AutoGyro Approved Service Partner. (3) The Gyroplane has been - without the prior written approval of AutoGyro - serviced/ outfitted with parts or with tools/devices that have not been delivered, built in or admitted for installation by AutoGyro (4) The Guarantee Holder has not complied with the rules and regulations for the operation, handling and maintenance of the Gyroplane (as stated in the AutoGyro Pilot Operating Handbook and AutoGyro Servicing Handbook). (5) The accident damage was caused by the fact that the repair recommendations were not complied with during an annual inspection or a servicing activity (please keep the Maintenance Manual on file). (6) The accident damage was caused by defects that were known to the Guarantee Holder but have not immediately been repaired by an authorised AutoGyro Approved Service Partner on behalf of the Guarantee Holder. (7) The accident was caused by wartime events, civil unrest, earthquakes or other events that constitute a case of force majeure. (8) Theft of the Gyroplane or parts thereof. Theft is not considered an accident and is therefore excluded from this Guarantee. (9) Accidents and damages caused by installed equipment, and/or material operational failures are excluded from this Guarantee. (10) Wear and tear damage as well as force of nature damage outside its operation are not considered accident damages and are excluded from this Guarantee 8. Guarantee Conditions and Obligations of the Guarantee Holder 8.1 This Guarantee is granted under the following conditions:

5 (1) The Gyroplane has been registered with AutoGyro within 14 days after its purchase. The registration has to be carried out by the Guarantee Holder, either online or via the official registration card. (2) The Gyroplane is stationed, operated and properly registered (permit to fly) in the specific country that it was sold/exported to and that is subject to this Guarantee. Flights to, from and within other countries are not considered to be operating or stationing the aircraft outside its original destination and are covered by this Guarantee. (3) All services and annual inspections, maintenance schedules and service bulletins which either are required by national law or specific regulations or by AutoGyro, have been properly conducted by AutoGyro or by an AutoGyro Approved Service Partner. (4) In case of revisions or service bulletins released by AutoGyro, the revision was conducted in accordance with AutoGyro regulations and requirements by an AutoGyro Approved Service Partner, and was recorded in the aircraft log book and in the Event and Configuration Log (ECL) which is to be reported to AutoGyro. (5) In case of re-registering a used Gyroplane under the scheme, a full AutoGyro Guarantee Safety Check must be carried out by an AutoGyro Approved Service Partner to revalidate the factory condition. (6) The pilot responsible for the damage (PIC) is in possession of a valid and recognised Gyroplane pilot licence fulfilling the appropriate regulations and requirements for operating the Gyroplane at the time when the damage occurred. (7) The initial owner of the Gyroplane has purchased it directly from AutoGyro or from AutoGyro Partner or from an AutoGyro Representative. (8) The pilot responsible for the damage (PIC) has been properly registered with AutoGyro prior to the accident and via the contact address indicated by section (9) The pilot responsible for the damage has successfully completed a valid AutoGyro Approved Pilot Check Flight. Pilots must be current on model/type of the Gyroplane, otherwise the excess increases pursuant to the list in Annex For any claims under this Guarantee, the Guarantee holder must demonstrably fulfil all of the conditions as indicated above. Otherwise, AutoGyro is released from all obligations under this Guaranty. 9. Settlement of Guarantee claims 9.1. Any claims of the Guarantee Holder under this Guarantee may only be settled if the Guarantee Holder has kept the following obligations: (1) The Guarantee Holder is obliged to immediately report the accident to AutoGyro via the contact address indicated by section 13.1., preferably within a period of 72 hours after the occurrence of the damage. He must submit available documentation and proof of the accident and the damage without delay after the accident and supply all documents required according to sections (2) and (3). AutoGyro will decide within a maximum period of 14 working days of receipt of the report, if, where and in which form the necessary repair/ restoration work will be performed. (2) Where legally obliged to do so, the accident and the associated circumstances are to be documented by an official authoritative body (police, security forces, airfield supervision

6 etc.) and the Guarantee Holder has to prove the associated damage according to AutoGyro standards and regulations. All documents must be submitted to AutoGyro along with a copy of the original invoice of the Gyroplane. (3) In accordance with AutoGyro s standards and regulations, the Guarantee Holder must prove compliance with all conditions indicated by section 8 and must submit the required documents to AutoGyro including: (a) Valid pilot licence including authorisation for flying a Gyroplane as applicable (b) Aircraft log book (c) Aircraft maintenance record (d) Incident report sheet signed by pilot responsible for the operation of the Gyroplane and/or an AutoGyro Authorised Representative 9.2. After an examination of the Guarantee conditions and requirements by AutoGyro, AutoGyro will grant and submit the authorisation for repair/restoration in writing to the Guarantee Holder as well as to the designated AutoGyro Approved Service Partner. There is no alternative authorisation other than a direct authorisation from AutoGyro. If an authorised AutoGyro Approved Service Partner is instructed to commence the repair/restoration without any prior written approval by AutoGyro, AutoGyro is considered released from all obligations under this Guarantee, unless the Guarantee Holder can prove that the repair/restoration was necessary and appropriate in respect of technical and economic aspects accepted by AutoGyro. The Guarantee Holder must in this case bear any excessive costs incurred due to a difference between necessary and actual costs For all parts that are replaced, painted or repaired during the restoration of the Gyroplane, a corresponding warranty will be granted until the expiration of the warranty period of the Gyroplane All replaced parts will become the property of AutoGyro. AutoGyro will decide on its own discretion about the use, disposal, sale or other treatment of these parts In case of a total loss and the replacement of the Gyroplane (see section 6), the damaged Gyroplane and its equipment shall at all times remain the property of the Guarantee Holder, who shall have no right of abandonment against AutoGyro. AutoGyro s right to take possession of the Gyroplane and its equipment as salvage remains unaffected. 10. Warranty Rights, Waiver The legal rights, especially the statutory warranty rights against the vendor of the Gyroplane as well as any claims that are enforced against AutoGyro within the context of the product liability act, are not limited by this Guarantee Insofar as one of the Parties does not exercise a right existing under this Guarantee Agreement, this does not constitute a waiver of it.

7 11. Change of Warrantor This Guarantee Agreement may be transferred to a person other than AutoGyro as the Warrantor. The Guarantee Holder herewith agrees to such transfer under the condition that the content of the Guarantee is not changed in connection with the transfer, except the Guarantee Holder contradicts within a term of one month after the notice of the change. The new Warrantor has to fulfil the same obligations arising from this Guarantee as AutoGyro AutoGyro is enti to provide the guaranteeing through an insurance. The conditions for the clearing through an insurance result from the special conditions of Extra Guarantee in Annex Term The duration of this Guarantee for Gyroplanes begins after the handover of the Gyroplane by AutoGyro or by an AutoGyro Partner or by an AutoGyro Representative to the Customer as the initial buyer The duration of this Guarantee for Gyroplanes assembled from kits begins after the handover of the Guarantee Policy by AutoGyro or by an AutoGyro Partner or by an AutoGyro Representative to the Customer however at the latest two years after the kits purchase by the costumer This Guarantee terminates after a duration of 12 months. 13. Contact, Reports, Notices The general contact address of AutoGyro is as under Notices to AutoGyro are to be given to this address The Contact addresses for owner registration of new and used gyrocopter for pilot registration and incident / accident reporting are Notices to the Guarantee Holder are to be given to the address as indicated in the written Guarantee Policy. Changes are to be addressed in writing to AutoGyro. 14. Choice of Law, Place of Performance, Enforcement This Agreement and the contractual relationship shall be governed, construed, interpreted and given effect according to the laws of Germany without the conflict rules of the International Private Law Place of performance for all duties arising under this Agreement is the place of business (seat) of AutoGyro.

8 14.3. Information on time is under the Gregorian calendar. The term Days include all calendar days including Sundays and holidays or other work-free days. 15. Contract documents, Contents, Declarations The subject matter of this Agreement is covered conclusively in this Agreement including its exhibits and references. The exhibits are a part of this Agreement. Other than these there are no further Guarantee related agreements between the Parties. Any such prior agreements are hereby eliminated. AutoGyro s related documents as manuals, instructions and other information become part of this Agreement when issued by AutoGyro Title headings serve only as a guide for outline and do not determine conclusively the content of the text they refer to Side agreements, supplementation and amendments of this Agreement require the written form insofar as further requirements of form are not required by law. 16. Partial Invalidity, Gaps, Interpretation Should current or future provisions of this Agreement be entirely or party legally invalid or not enforceable or later lose their legal validity or enforceability, the validity of the remaining provisions of this Agreement is not disturbed. The same applies if it should appear that this Agreement has gaps In place of the invalid or unenforceable provision or to complete a gap that appropriate provision should apply that the parties would have agreed on if they had thought of the point in concluding the Agreement. This applies also when the invalidity of a provision rests on a standard of performance or time (notice period, time of performance) in this Agreement; in such cases that provision applies that comes closest to the legally permissible standard of performance or time (notice period, time of performance) in place of the Agreement If the validity of a provision in the manner described above is only attainable by agreement with consideration to particular form requirements, the parties obligate themselves to undertake the necessary acts and to give the necessary declarations If the meaning of particular provisions of this Agreement is not agreed upon between the Parties, the provision is to be interpreted according to the presumed actual intent of the Parties.

9 Annex 1 to Platinum Extra Guarantee Table 1 Minimum amount of excess (Guarantee Holder s own share) for total repair costs (section 5.4.): (Check Flight= completed fresh Check Flight as under section 2.3) Period With Check flight Without Check flight (1) One year of operation EUR EUR Table 2 Discount rate for a new Gyroplane as a percentage on the purchase price (section 6.2.): Period Value reduction (1) during 0 to 300 hours of operation 20,0 % (2) during more than 300 to 600 hours of operation 30,0 % (3) during more than 600 to 900 hours of operation 40,0 %

10 Annex 2 to Platinum Extra Guarantee Special conditions of Extra Guarantee through insurance 1. AutoGyro grants to the Guarantee Holder an Extra Guarantee for the covering of particular damage independent from warranty obligations. The Extra Guarantee will be rendered by the aforementioned insurer. The insurant is AutoGyro. The insurance policy s number is indicated in the Extra Guarantee Policy. 2. Content, extent and conditions of the Extra Guarantee are determined by the conditions for the AutoGyro Platinum Extra Guarantee (as described above). The conditions were handed out to the Guarantee Holder. 3. For the case of damage AutoGyro herewith assigns its rights arising from the insurance contract with the insurer to the Guarantee Holder pursuant to the subsequent conditions. The Guarantee Holder accepts the assignment by registering his data with AutoGyro. 4. For the case of damage the Guarantee Holder instructs and authorises AutoGyro with the clearing of the guarantee proceeds in line with the insurance contract. In particular AutoGyro will clear the claims arising from the Extra Guarantee and from the insurance contract directly with the insurer. Therefore the Guarantee Holder herewith irrevocably assigns to AutoGyro (as a collection cession) his claims previously assigned to him from AutoGyro and up to the amount of claims arising from the Extra Guarantee. AutoGyro will clear its claims arising from its guarantee services (repairing incl. restoration or replacement of aircraft) by setting it off against payments received from the insurer. AutoGyro will generate appropriate documentation for the Guarantee Holder. 5. In case of damage AutoGyro will provide the Guarantee Holder the contract documents of the insurance contract, upon request of the Guarantee Holder and as far as no clearing was carried out. In case AutoGyro claims payments from the Guaranty Holder for costs for guarantee services the Guarantee Holder will be entitled to withdraw his clearing order to AutoGyro and the assignment (collection cession) to AutoGyro. The same applies if AutoGyro does not fulfill its guarantee obligations arising from the Extra Guarantee.

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