OH landing gear set B737-300 Private Stock Company Ukraine International Airlines TENDER DOCUMENTATION (in form of REQUEST FOR PROPOSAL) OH landing gear set B737-300 a/c reg. UR-GBD, msn. 28659 Ukraine, Kyiv DECEMBER 2015 01DEC2015 Page 1 of 11 OH landing gear set B737-300 Table of Contents: 1. 2. 3. Tender Announcement Important Tender Documentation Requirements Tender Procedure Instructions 01DEC2015 Page 2 of 11 OH landing gear set B737-300 4. TENDER ANOUNCEMENT 1. Customer: 1.1. Private Stock Company Ukraine International Airlines. 1.2. Legal address. 4, Lysenka street, Kyiv, 01030, Ukraine 1.3. Person responsible for Tender. Procedure issues – Grytsenko Sergii, Fleet Contracts Director, Tel.:+380 44 581 5015; grytsenko.sergii@flyuia.com; Technical issues – Vasilenko Sergey, Continuing Airworthiness Manager vasilenko.sergey@flyuia.com 2. Information about subject of Tender: 2.1. OH of LG set a/c reg B737-300 2.2. Loan of LG set for the duration of OH 3. Receipt of Tender documentation. Via POST. 4. Conditions of tender proposal submission: 4.1. Place. Ukraine International Airlines, 201-203, Kharkivske Road, Kyiv, 02121, Ukraine Attention: Sergii Grytsenko. Fleet Contracts Director 4.2. Means of receipt. Via Courier 4.3. Deadline 25 DECEMBER 2015, 13-00 (Kyiv time) 5. Opening of tender proposals: 5.1. Place. 201-203, Kharkivske Road, room 717, Kyiv, 02121, Ukraine 5.2. Date. 25 DECEMBER 2015, 14-30 (Kyiv time) 6. Additional information It is highly recommended to carefully study Tender documentation before preparation and further submission of Tender offer (proposal). 01DEC2015 Page 3 of 11 OH landing gear set B737-300 Important Tender Documentation Requirements 1. Ukraine International Airlines is Ukraine’s leading airline established in 1992. Today, UIA is a 100% privately-owned company. The UIA primary business is to provide safe and reliable passenger and cargo transportation. The UIA fleet currently comprises 31 modern aircraft: medium-haul Boeing 737 (including one freighter 737-300SF), medium-haul Еmbraer-190, and long-haul Boeing 767 airliners. The main base airport for UIA is Kiev Boryspil International Airport (KBP). 2. Targets of RFP UIA is actively considering a OH + LOAN arrangement with one of the providers of such services. In order to ensure the best possible market deal the airline is considering inviting more potential suppliers of LG OH services to support B737-300 a/c UR-GBD. 3. Scope of Services Request for providing LG set OH + LG set LOAN according to bellow requirements: A/c to be covered: B737-300 msn.28659, UR-GBD ; LG set NLG p/n 65-73762-20 LH MLG p/n 65-73761-107 RH MLG p/n 65-73761-108 Overhaul of the installation-level LG at flat rate price including labor and standard materials & for the fix TAT; Provide Customer with one (1) serviceable, time continued landing gear set free of charge (FOC) for the duration of OH process plus time for LG sets deliveries/redeliveries. 4. Additional requirements The Loan Unit shall be made available by supplier on the site and at the induction date defined by Customer; 10JAN16 The Loan set should has full B2B trace to the last OH, full LLP & SB/AD statuses lists: Standard OH fixed price should include material being parts replaced at every overhaul in accordance with the latest OEM CMM and includes all bushings, both standard and oversize, seals, gaskets and expendable parts. Over & above standard OH price should be quoted as following - Labor – fixed price for M/H - Additional parts – fresh OEM price + company mark up - Scrap BER rate 90% (i) Payment terms - 100% (one hundred percent) of the Flat Rate must be paid in advance with order placement. 100% of the Additional Charges shall be paid prior to the shipment of Customer’s overhauled Landing Gear set. (ii) Delivery - For the companies located in US : FCA-NY For the companies located in UK & Ireland : all inbound shipments is for the customer’s expense, all outbound – for supplier’s expense 01DEC2015 Page 4 of 11 OH landing gear set B737-300 (iii) Warranty The warranty shall cover: 3years/unlimited cycles for OH LG set from the date of redelivery to Customer 5. Selection process The successful candidate will be selected deriving from the following criteria: the completeness and timing of response the lowest offered price of standard OH, additional labor & material supply terms & conditions meeting of requested payment terms FOC loan LG set with all requested docs satisfying other, secondary conditions The selected candidate will be informed about results during one month after offer receipt. UIA leaves the right: to Extend timing of selection process to Stop the selection process anytime not to select a successful candidate. UIA does not bear any responsibility or obligations associated with costs or missed opportunities of any candidates somehow linked or seemed to be linked to his/her response to this request for proposal and his/her possible expectations from the selection process and/or results of projects. 6. Confidentiality UIA does not accept forwarding this request for proposal to any other party without prior written consent from UIA official contacts 01DEC2015 Page 5 of 11 OH landing gear set B737-300 TENDER PROCEDURE INSTRUCTIONS 1. General 1.1. Private Stock Company Ukraine International Airlines (hereinafter – UIA) announces tender (hereinafter – the Tender) for the purchase of services in accordance with the procedures and conditions specified in the Tender documentation (hereinafter - the Tender documentation) and internal UIA tender procedure orders. 1.2 Participants are individuals (residents or nonresidents), which confirmed their intention to participate in the procurement procedure and filed a tender offer (proposal). 1.3. In accordance with the requirements of the Tender documentation Participants must meet the qualification requirements. 1.4. Each Participant shall submit its proposal in the form properly executed in accordance with the requirements hereof. 1.5. Participant shall be responsible for all costs associated with preparation and submission of its tender offer (proposal) and such costs will not be reimbursed to the Participant(s). 2. Clarification of the Tender documentation 2.1. Participant has the right not later than seven calendar days before the deadline for submission of tender offer (proposal) to contact UIA for the clarification of the Tender documentation. UIA within three business days (in Kiev, Ukraine) should answer to such the request of the Participant. 3. Amendments to Tender documentation 3.1. Not later than five working days before the deadline for submission of a tender offer (proposal) UIA has right on its own initiative or on the results of searches of Participants who received Tender documentation to amend the Tender documentation and to notify about such changes in writing all persons who filed UIA with a tender offer (proposal). 3.2. Before the expiration of the deadline for submission of Tender documentation UIA is entitled to decide on its continuation in the event that one or more Participants who have received the Tender documentation may not submit a tender offer (proposal) for the specified period in accordance to any objective reasons. Notice of extension of time, change of place and procedures for opening of tender offers (proposals) shall be immediately sent to each person who was submitted with a Tender documentation 4. Tender offer (proposal) language 01DEC2015 Page 6 of 11 OH landing gear set B737-300 4.1. All documents relating to the tender offer (proposal) shall be made in English or Ukrainian. 5. Contents of tender offer (proposal) 5.1. Proposal submitted by the Participant shall include complete information about products or services and price information made pursuant to the requirements of the Tender documentation, the list of documents required to verify compliance of Participant’s qualifications and other requirements of the Tender documentation, documents certifying the credentials of the person signing the tender offer (proposal), as well as other documents that must be executed and submitted by the Participants in accordance with this Tender documentation. 6. Prices Offers 6.1. Participant determines the price of goods or services which it offers to put under the Agreement, indicating the taxes and fees paid or to be paid and all related expenses. 6.2. Price mentioned in tender offer (proposal) shall be specified in accordance with the requirements of Tender documentation. 6.3. Prices must be clearly defined. 7. Documents proving compliance of Participant with the qualification requirements 7.1. Participant is responsible for obtaining any and all necessary permits, licenses, certificates, required for sale of goods or services, and other documents related to the Tender and shall be responsible for all costs of their receipt. 7.2. According to this Tender Participant shall submit such documentation as part of its tender offer (proposal) proving compliance of Participant with qualification requirements. 7.3. UIA has the right to request from any Participant to repeat confirmation with the qualification requirements set forth in this Tender documentation. 7.4. In the event of (i) Participant's refusal to provide such confirmation or (ii) receipt of reliable information about his non-compliance with the qualification requirements set forth in the Tender documentation or (iii) it is discovered that Participant has made any false statement or material misrepresentation in any provision of the tender offer (proposal), UIA has right to reject tender offer (proposal) of such Participant and determine the winner of Tender offer (proposal) among those Participants who remained. 8. Documents proving compliance of the goods or services 8.1. Proposal submitted by the Participant, shall include the technical, quality and other characteristics of the subject of Tender and certificates. 01DEC2015 Page 7 of 11 OH landing gear set B737-300 9. Tender offer (proposal) duration 9.1. Tender offer (proposal) remains valid after the submission deadline for the period specified in the Tender documentation. Tender offer (proposal) valid for a shorter period shall be rejected by UIA, as such, that does not meet the Tender documentation requirements. 9.2. Before the expiration of the Tender offer (proposal) UIA may require the Participant to continue the validity of the proposal for an additional period of time. Request to and response from the Participant shall be submitted by means of communication, followed by written confirmation. 10. Execution and signing 10.1. Tender offer (proposal) shall be submitted in writing in a sealed envelope to ensure confidentiality of the participant prior to its official opening. Tender offer (proposal) shall be submitted via courier. 10.2. Tender offer (proposal) shall be signed by the Participant or person (s) duly authorized to sign on behalf of the participant. Such powers shall be specified in writing instruction that is part of the tender offer (proposal). All pages of tender offer (proposal) must contain the signature of the authorized person(s). All pages of the tender offer (proposal) where were made any specific records or edits should be indicated by the initials of the person or persons signing such proposal. Responsibility for the errors printed in the documents and submitted to the Tender Committee and signed accordingly is on the participant. 10.3. Tender offer (proposal) must (i) be broshured, (ii) have pagination and (iii) register of the documents. 11. Sealing and marking of proposals 11.1. Tender offer (proposal) shall be submitted in one copy in the appropriately marked envelope and must indicate the name and address of UIA, the subject of Tender according to the announcement of the Tender and the participant's name, address, contact telephone numbers. 11.2. If the envelope is not sealed or marked in accordance with the above requirements, UIA is not responsible for the premature opening of such Tender offer (proposal). 12. Deadline for submission of Tender offer (proposal) 12.1. Proposals must be submitted via courier and not later than the time and date specified in the Tender documentation. 01DEC2015 Page 8 of 11 OH landing gear set B737-300 13. Proposals which were delayed 13.1. All proposals submitted to UIA after the deadline of the submission shall not be considered by UIA and will be returned to the Participant. 14. Change and cancellation of Tender offer (proposal) 14.1. Participants may change or cancel their proposal by notification to UIA in writing before the deadline for submission of Tender offer (proposal). 15. Alternative Tender offer (proposal) 15.1. Submission of alternative Tender offer (proposal) is not allowed. 16. Disclosure of Tender offer (proposal) by UIA 16.1. UIA opens Tender offer (proposal) in a time and place specified in this Tender documentation. 17. Tender offer (proposal) explanation 17.1. UIA may request the participant to explain or comment on its Tender offer (proposal) in order to facilitate its review, evaluation and comparison with other offers. It is not accepted, not discussed and not allowed to make any changes to the Tender offer (proposal) on merits, including changes to prices, delivered during the opening of Tender offer (proposal) and the changes are aimed at adjusting the Tender offer (proposal), which does not meet the requirements of the Tender documentation, in order to bring it in compliance with such requirements. 18. Tender offer (proposal) consideration 18.1. UIA will consider the Tender offer (proposal) to determine that the Participant meets the qualification requirements, and that each Tender offer (proposal) meets the conditions of Tender documentation. 18.2. If the proposal does not meet any condition of Tender documentation, it shall be rejected by UIA and can not be brought into conformity by adjusting or changing or canceling inappropriate deviations or reservations. 18.3. Tender offer (proposal) defined as those that meet the conditions of Tender documentation will be reviewed by UIA in terms of arithmetic errors. Errors will be corrected by UIA as follows: a) When the difference between the amounts indicated in letters and figures, the amount of letters is crucial; 01DEC2015 Page 9 of 11 OH landing gear set B737-300 b) When the difference between unit price and total price of services obtained by multiplying the price per unit of quantity, the unit price is decisive and final price is being corrected. If, in the opinion of UIA, in the unit price is a clear shift decimal distributor, in this case meant the final price is crucial, and the unit price corrected. 18.4. UIA has the right to correct arithmetic errors when receiving the written consent of the Participant to such correction. 18.5. If a participant does not agree with the correction of errors, his Tender offer (proposal) shall be rejected. 19. Evaluation and comparison of Tender documentation 19.1. After the opening of Tender offer (proposal), checking them for the accuracy of and compliance with the qualification requirements and conditions of Tender documentation, than evaluation begins and UIA determine the winner. UIA evaluates and compares those proposals which were not rejected. 19.2. For proposals evaluation UIA will be using the criteria specified in the Tender documentation. 20. Privacy 20.1. To ensure confidentiality of information regarding the consideration and/or evaluation of Tender documentation, such information will not be distributed to and between the Participants. 21. The right of UIA to reject all proposals 21.1. UIA reserves the right to reject all Tender offers (proposal) at any time prior to acceptance of the Tender offer (proposal). 21.2. UIA shall have no liability to the Participant in the case of Clause 22.1. 21.3. In case of rejection of all Tender offers (proposals) UIA cancels Tender and will send respective notice to the Participants. 22. Acceptance of a Tender offer (proposal) 22.1. UIA accepts the Tender offer (proposal) of the participant who meets qualification requirements specified in the Tender documentation and whose proposal is the best from the evaluated Tender offers (proposal) and meets the requirements of the Tender documentation. 22.2. If the participant, whose Tender offer (proposal) accepted, refuses to sign the Agreement, UIA shall select the best Tender offer (proposal) among those whose validity has not expired and are sufficient to determine the winner. 22.3. Final acceptance of Tender offer shall be made by UIA Supervisory Board. 01DEC2015 Page 10 of 11 OH landing gear set B737-300 23. Execution of Contract 23.1. The contract will be signed with the participant, whose Tender offer (proposal) was accepted. 24. Audit 24.1. If necessary, UIA may audit the participants on the stage of evaluation for compliance with the requirements of Tender documentation (including quality and safety audit). 24.2. Ukrainian CAA may audit participants according to Ukrainian legislation. 01DEC2015 Page 11 of 11