EX-10.12.3 37 d573709dex10123.htm EX-10.12.3

Exhibit 10.12.3

[Amendment No. 2 to Credit Agreement]

AMENDMENT NO. 2 TO CREDIT AGREEMENT

THIS AMENDMENT NO. 2 TO CREDIT AGREEMENT dated June , 2017 (this “Amendment”) is entered into between MESA AIRLINES, INC., (“Mesa”) and MESA AIR GROUP AIRLINE INVENTORY MANAGEMENT, L.L.C., (together with Mesa, the “Borrowers”), MESA AIR GROUP, INC., (the “Guarantor”) and CIT BANK, NA., a national banking association, as lender and administrative agent (“Administrative Agent”),

WHEREAS, the Borrowers, Guarantor and the Administrative Agent have entered into that certain Credit and Guaranty Agreement dated as of August 12, 2016, as amended by Amendment No, 1 to Credit Agreement dated June 5, 2017 (as further amended, supplemented or otherwise modified from time to time, the “Credit Agreement”); and

WHEREAS, subject to the terms and conditions of this Amendment, the parties hereto have agreed to amend the Credit Agreement as provided herein.

NOW THEREFORE, in consideration of the mutual agreements contained herein, the parties hereto hereby agree as follows:

Section 1. Waiver of Software License Agreement.

(a) The Administrative Agent hereby agrees to waive the requirement for a collateral assignment of license agreement to be provided by the Borrowers, pursuant to Article 6.19(c) of the Credit Agreement.

(b) In lieu of this requirement, the Borrowers hereby agree to provide detailed monthly reporting of all their Spare Parts Inventory. Such monthly report is to be in substantially similar digital form and substance to the example extract report attached here as Exhibit A, and is to be provided to the Administrative Agent twenty five (25) days after the end of each fiscal month,

(c) Should a Default or Event of Default have occurred and be continuing, the Administrative Agent is entitled to request, at any frequency and in form and substance satisfactory to the Administrative Agent, additional Spare Parts Inventory data.

Section 2. Ratification. Except as expressly amended hereby, each and all of the terms, provisions and covenants of the Credit Agreement shall remain unchanged and in full force and effect.

Section 3. Governing Law. This Amendment shall be governed by, construed and enforced in accordance with the laws of the state of New York, without regard to choice of law principles.

Section 4. Counterparts. This Amendment may be executed in any number of counterparts and by the different parties hereto on separate counterparts each of which, when so executed, shall be deemed an original, but all such counterparts shall constitute but one and the same instrument. Delivery by telecopier or other electronic transmission of an executed counterpart of a signature page to this Amendment shall be effective as delivery of an original executed counterpart of this Amendment.

Section 5. Severability. The provisions of this Amendment are intended to be severable. If any provision of this Amendment shall be held invalid or unenforceable in whole or in part in any jurisdiction such provision shall, as to such jurisdiction, be ineffective to the extent of such invalidity or

[Amendment No. 2 to Credit Agreement]

unenforceability without in any manner affecting the validity or enforceability thereof in any other jurisdiction or the remaining provisions hereof in any jurisdiction.

[Amendment No. 2 to Credit Agreement]

IN WITNESS WHEREOF, the parties hereto, by their officers thereunto duly authorized, have executed and delivered this Amendment as of the date first above written.

MESA AIRLINES, INC.
By: |  |
Name: |  |
Title: |  |
MESA AIR GROUP AIRLINE INVENTORY MANAGEMENT, L.L.C.
By: |  |
Name:
Title:
MESA AIR GROUP, INC.
By: |  |
Name: |  |
Title:
CIT BANK, N.A.
By: |  |
Name: |  |
Title: |  |

[Amendment No. 2 to Credit Agreement]

EXHIBIT A

Example Spare Parts Inventory Report

REAL_INVTY

Location |  | Bin Location |  | Vendor PIN |  | Desc |  | Part Type |  | Batch #
IAH |  | INSPECTION |  | 4124T90G03 |  | ROTOR ASSY-HIGH PRESSURE TUR8 |  | R |  | 2088582
IAH |  | H BULK |  | 1703781A |  | AIR DRIVEN GENERATOR |  | R |  | 1822666
IAD |  | HANGAR FLOOR |  | WE3800770-3 |  | APU AUX POWER UNIT |  | R |  | 2082931
PHQ |  | IHR |  | WE3800770-3 |  | APU AUX POWER UNIT |  | R |  | 2072699
PHX |  | BULK |  | W63800770-3 |  | APU AUX POWER UNIT |  | R |  | 2093667
EHQ |  | ENG TRAINING |  | CF34-8C5 |  | ENGINE, GE TURBOFAN (CRJ-900) |  | R |  | 1709604
ERQ |  | IHR |  | CF34-8C5B1 |  | ENGINE, GE TURBOFAN |  | R |  | 2058888
|  |  |  | 1701317A |  | GENERATOR, INTEGRATED DRIVE |  | R |  | 2091434
IAH |  | H BULK |  | 1701317A |  | GENERATOR, INTEGRATED DRIVE |  | R |  | 1891785
IAH |  | H BULK |  | 415200-1017 |  | HORIZONTAL STABILIZER ACTUATOR |  | R |  | 1859737
IAH |  | ENGINE SHOP |  | 4125T07G09 |  | NOZZLE ASSY-STAGE 1 HPT |  | R |  | 1991377
PHX |  | 21.09-A |  | 670BA36006K5 |  | KIT, AIR LEAK BLEED |  | K |  | 0403922
IAH |  | H BULK |  | 1701317A |  | GENERATOR, INTEGRATED DRIVE |  | R |  | 1960424
IAH |  | ENGINE SHOP |  | 4124T90G03 |  | ROTOR ASSY-HIGH PRESSURE TURB |  | R |  | 1991399
EHQ |  | IHR |  | CN626-1000-003 |  | AFT CORE COWL ASSY |  | A |  | 1990862
|  |  |  | CN626-1000-003 |  | AFT CORE COWL ASSY |  | R |  | 2080036
IAH |  | ENGINE SHOP |  | CN626-1000-003 |  | AFT CORE COWL ASSY |  | R |  | 1697279
EHQ |  | ENGINE SHOP |  | CN626-1000-003 |  | AFT CORE COWL ASSY |  | R |  | 1692725
IAD |  | HANGAR FLOOR |  | CN626-1000-003 |  | AFT CORE COWL ASSY |  | R |  | 2038880
|  |  |  | 52000-21 |  | STRUT ASSY, NLG DRESSED SHOCK |  | R |  | 2085973
IAH |  | 03.01-C-ESDS |  | HG2100AB02 |  | INERTIAL REFERENCE UNIT |  | R |  | 1778555
|  |  |  | 52000-9 |  | STRUT ASSY, NLG DRESSED SHOCK |  | R |  | 2038444
PHQ |  | R1-08-D |  | 52000-17 |  | STRUT ASSY, NLG DRESSED SHOCK |  | R |  | 1658358
IAH |  | ES1 |  | 4144T59G02 |  | HPT STATOR ASSY |  | R |  | 2088593
EHQ |  | ENGINE SHOP |  | CF34-3B1 |  | ENGINE-G.E (TBS) |  | R |  | 1524992
EHQ |  | ENGINE SHOP |  | CF34-3B1 |  | ENGINE-G.E (TBS) |  | R |  | 1584308
PHX |  | BULK |  | CC670-14002-7 |  | ASSY, FLAP VANE INBOARD |  | R |  | 2078172
IAH |  | 02-01-D-ESDS |  | 415300-1005 |  | HORIZONTAL STABILIZER ACTUATOR |  | R |  | 2079088
DFW |  | BULK-2 |  | TY2152-15A |  | ACTUATOR, FEEDBACK |  | R |  | 2089508
DFW |  | LINE-BULK |  | TY2152-15A |  | ACTUATOR, FEEDBACK |  | R |  | 2073341
IAH |  | INSPECTION |  | 415300-1005 |  | HORIZONTAL STABILIZER ACTUATOR |  | R |  | 2091529
|  |  |  | 1000700-5 |  | AIR CYCLE MACHINE |  | R |  | 2098422
DFW |  | BULK-2 |  | 766277B |  | GENERATOR, INTEGRATED DRIVE |  | R |  | 2080949
PHX |  | BULK |  | 766277B |  | GENERATOR, INTEGRATED DRIVE |  | R |  | 2094633

[Amendment No. 2 to Credit Agreement]

REAL_INVTY

Location |  | S/N |  | Last Task |  | PRICE |  |  | EXTDPRICE |  |  | Status |  | Pending (y) |  | A/c Installed |  | In transfer |
IAH |  | RDUC1523 |  | REP |  |  | 585,000 |  |  |  | 585,000 |  |  |  |  |  |  |  |  |  | 0 |
IAH |  | 0784 |  | NEW |  |  | 430,201 |  |  |  | 430,201 |  |  |  |  |  |  |  |  |  | 0 |
IAD |  | P-224 |  | REP |  |  | 394,770 |  |  |  | 394,770 |  |  |  |  |  |  |  |  |  | 0 |
PHQ |  | P-431 |  | REP |  |  | 394,770 |  |  |  | 394,770 |  |  | UNS |  |  |  |  |  |  | 0 |
PHX |  | P-251 |  | REP |  |  | 394,770 |  |  |  | 394,770 |  |  |  |  |  |  |  |  |  | 0 |
EHQ |  | 194480 |  | NRA |  |  | 351,118 |  |  |  | 351,118 |  |  | UNS |  |  |  |  |  |  | 0 |
EHQ |  | 965468 |  | REP |  |  | 351,118 |  |  |  | 351,118 |  |  | UNS |  |  |  |  |  |  | 0 |
|  | 2343 |  | NEW |  |  | 350,000 |  |  |  | 350,000 |  |  | UNS |  |  |  |  |  |  | 0 |
IAH |  | 2409 |  | REP |  |  | 350,000 |  |  |  | 350,000 |  |  |  |  |  |  |  |  |  | 0 |
IAH |  | 00362 |  | INS |  |  | 349,729 |  |  |  | 349,729 |  |  |  |  |  |  |  |  |  | 0 |
IAH |  | JMM2447A |  | REP |  |  | 349,428 |  |  |  | 349,428 |  |  |  |  |  |  |  |  |  | 0 |
PHX |  |  |  | NEW |  |  | 22,501 |  |  |  | 337,520 |  |  |  |  |  |  |  |  |  | 0 |
IAH |  | 0670 |  | OVH |  |  | 312,738 |  |  |  | 312,738 |  |  |  |  |  |  |  |  |  | 0 |
IAH |  | RDUC1291 |  | REP |  |  | 306,360 |  |  |  | 308,360 |  |  |  |  |  |  |  |  |  | 0 |
EHQ |  | SB/0758 |  | NEW |  |  | 290,715 |  |  |  | 290,715 |  |  | UNS |  |  |  |  |  |  | 0 |
|  | SB/0285 |  | NEW |  |  | 290,715 |  |  |  | 290,715 |  |  | UNS |  |  |  |  |  |  | 0 |
IAH |  | SB0503 |  | RFO |  |  | 290,715 |  |  |  | 290,715 |  |  |  |  |  |  |  |  |  | 0 |
EHQ |  | SB/0063 |  | REP |  |  | 290,715 |  |  |  | 290,715 |  |  | UNS |  |  |  |  |  |  | 0 |
IAD |  | SB0748 |  | REP |  |  | 290,715 |  |  |  | 290,715 |  |  |  |  |  |  |  |  |  | 0 |
|  | MA1055 |  | REP |  |  | 287,500 |  |  |  | 287,500 |  |  | UNS |  |  |  |  |  |  | 0 |
IAH |  | 56070996 |  | REP |  |  | 272,791 |  |  |  | 272,791 |  |  |  |  |  |  |  |  |  | 0 |
|  | MA1008 |  | OVH |  |  | 260,833 |  |  |  | 260,833 |  |  | UNS |  |  |  |  |  |  | 0 |
PHQ |  | MA0130 |  | NRA |  |  | 260,833 |  |  |  | 260,833 |  |  | UNS |  |  |  |  |  |  | 0 |
IAH |  | RDUD1505 |  | REP |  |  | 251,232 |  |  |  | 251,232 |  |  |  |  |  |  |  |  |  | 0 |
EHQ |  | 807105C |  | INS |  |  | 250,000 |  |  |  | 250,000 |  |  | UNS |  |  |  |  |  |  | 0 |
EHQ |  | 807108C |  | UNK |  |  | 250,000 |  |  |  | 250,000 |  |  | UNS |  |  |  |  |  |  | 0 |
PHX |  | 15274 |  | REP |  |  | 247,300 |  |  |  | 247,300 |  |  |  |  |  |  |  |  |  | 0 |
IAH |  | 30378 |  | REP |  |  | 240,178 |  |  |  | 240,178 |  |  |  |  |  |  |  |  |  | 0 |
DFW |  | 477 |  | INS |  |  | 233,374 |  |  |  | 233,374 |  |  |  |  |  |  |  |  |  | 0 |
DFW |  | 821 |  | INS |  |  | 233,374 |  |  |  | 233,374 |  |  |  |  |  |  |  |  |  | 0 |
IAH |  | 4034 |  | REP |  |  | 226,968 |  |  |  | 226,968 |  |  |  |  |  |  |  |  |  | 0 |
|  | 2013100026 |  | NEW |  |  | 221,632 |  |  |  |  |  |  | UNS |  |  |  |  |  |  | 0 |
DFW |  | 0962 |  | OVH |  |  | 218,516 |  |  |  | 218,616 |  |  |  |  |  |  |  |  |  | 0 |
PHX |  | 0402 |  | OVH |  |  | 218,307 |  |  |  | 218,307 |  |  |  |  |  |  |  |  |  | 0 |

[Amendment No. 2 to Credit Agreement]

REAL_INVTY

Location |  | In repair |  | Avl Qty |  | A/C Type |  | A/C Series |  | Owner Code |  | CHAPTER NO, PARENT SIN
IAH |  | 0 |  | 1 |  | CRE5 |  | 795 |  |  |  | 72
IAN |  | 0 |  | 1 |  | EMB |  | 175 |  | AAR3 |  | 24
IAD |  | 0 |  | 1 |  | CRJ |  | 079 |  | AAR2 |  | 49
PHQ |  | 0 |  | 1 |  | CRJ |  | 079 |  | AAR2 |  | 49
PHX |  | 0 |  | 1 |  | CRJ |  | 079 |  | AAR2 |  | 49
EHQ |  | 0 |  | 1 |  | CRJ |  | 900 |  |  |  | 72
EHQ |  | 0 |  | 1 |  | CRJ |  | 700 |  |  |  | 72
|  | 1 |  | 0 |  | EMB |  | 175 |  | AAR3 |  | 24
IAH |  | 0 |  | 1 |  | EMB |  | 175 |  | AAR3 |  | 24
IAH |  | 0 |  | 1 |  | EMB |  | 175 |  | AAR3 |  | 27
IAH |  | 0 |  | 1 |  | CRJ |  | 079 |  |  |  | 72
PHX |  | 0 |  | 15 |  | CRJ |  | 900 |  |  |  | 38
IAH |  | 0 |  | 1 |  | EMB |  | 175 |  | AAR3 |  | 24
IAH |  | 0 |  | 1 |  | CRE6 |  | 795 |  |  |  | 72
EHQ |  | 0 |  | 1 |  | CRJ |  | 079 |  |  |  | 72
|  | 1 |  | 0 |  | CRJ |  | 079 |  |  |  | 72
IAH |  | 0 |  | 1 |  | CRJ |  | 079 |  |  |  | 72
EHQ |  | 0 |  | 1 |  | CRJ |  | 079 |  |  |  | 72
IAD |  | 0 |  | 1 |  | CRJ |  | 079 |  |  |  | 72
|  | 1 |  | 0 |  | CRJ |  | 079 |  |  |  | 32
IAH |  | 0 |  | 1 |  | EMB |  | 178 |  | AAR3 |  | 34
|  | 1 |  | 0 |  | CRJ |  | 900 |  |  |  | 32
PHQ |  | 0 |  | 1 |  | CRJ |  | 700 |  |  |  | 32
IAH |  | 0 |  | 1 |  | CRJ |  | 795 |  |  |  | 72
EHQ |  | 0 |  | 1 |  | CRJ |  | 200 |  |  |  | 72
EHQ |  | 0 |  | 1 |  | CRJ |  | 200 |  |  |  | 72
PHX |  | 0 |  | 1 |  | CRJ |  | 279 |  |  |  | 27
IAH |  | 0 |  | 1 |  | EMB |  | 175 |  | AAR3 |  | 27
OFW |  | 0 |  | 1 |  | CRJ |  | 079 |  | AAR1 |  | 78
OFW |  | 0 |  | 1 |  | CRJ |  | 079 |  | AAR1 |  | 78
IAH |  | 0 |  | 1 |  | EMB |  | 175 |  | AAR3 |  | 27
|  | 1 |  | 0 |  | EMB |  | 175 |  |  |  | 21
DFW |  | 0 |  | 1 |  | CRJ |  | 079 |  |  |  | 24
PHX |  | 0 |  | 1 |  | CRJ |  | 079 |  | AAR2 |  | 24