Flowdown Requirements for Firm-Fixed Price Contracts A INCORPORATION OF FAR CLAUSES The Federal Acquisition Regulation (FAR) clauses referenced below are incorporated herein by reference, with the same force and effect as if they were stated in full text, and are applicable, including any notes following the clause citation, to this Contract. If the date or substance of any of the clauses listed below is different from the date or substance of the clause actually incorporated in the Prime Contract referenced by number herein, the date or substance of the clause incorporated by said Prime Contract shall apply instead. The Contract Disputes Act, 41 U.S.C. §§ 7101, et seq., shall have no application to this Contract. Any reference to “Disputes” or a “Disputes clause” shall mean the disputes provisions of this Contract. B GOVERNMENT SUBCONTRACT This Contract is entered into by the parties in support of a U.S. Government contract. As used in the FAR clauses and other clauses incorporated by reference below and otherwise in this Contract: 1. “Commercial Item” means a commercial item as defined in FAR § 2.101. 2. “Contract” means this Contract. 3. “Contracting Officer” shall mean the U.S. Government Contracting Officer for Air Methods Corporation’s government prime contract under which this Contract is entered. 4. “Contractor” and “OFFEROR” means the SELLER, as defined in this Contract, acting as the immediate (first tier) subcontractor to Air Methods Corporation. 5. “Prime Contract” means the contract between Air Methods Corporation and the U.S. Government or between Air Methods Corporation and its higher-tier contractor who has a contract with the U.S. Government. 6. “Subcontract” means any contract placed by the contractor or lower-tier subcontractors under this Contract. AS-129, Flowdowns for FFP Contracts, REV B 1 of 11 C SUBSTITUTIONS Whenever necessary to make the context of the clauses set forth below applicable to this Contract: D 1. Substitute “Air Methods Corporation” for “Government” or “United States.” 2. Substitute “Air Methods Corporation Procurement Representative” “Contracting Officer,” “Administrative Contracting Officer” and “ACO.” for AMENDMENTS REQUIRED BY PRIME CONTRACT SELLER agrees that upon the request of Air Methods Corporation it will negotiate in good faith with Air Methods Corporation relative to amendments to this Contract to incorporate additional provisions herein or to change provisions hereof, as Air Methods Corporation may reasonably deem necessary in order to comply with the provisions of the applicable Prime Contract or with the provisions of amendments to such Prime Contract. If any such amendment to this Contract causes an increase or decrease in the cost of, or the time required for, performance of any part of the work under this Contract, an equitable adjustment shall be made pursuant to the “Changes” clause of this Contract. E PRESERVATION OF THE GOVERNMENT’S RIGHTS If Air Methods Corporation furnishes designs, drawings, special tooling, equipment, engineering data, or other technical or proprietary information (Furnished Items) which the U.S. Government owns or has the right to authorize the use of, nothing herein shall be construed to mean that Air Methods Corporation, acting on its own behalf, may modify or limit any rights the Government may have to authorize the Contractor’s use of such Furnished Items in support of other U.S. Government prime contracts. F FAR CLAUSES INCORPORATED BY REFERENCE The following clauses from the Federal Acquisition Regulation (FAR) are hereby incorporated in the Contract by reference and shall have the same force and effect as if set forth in full text. The SELLER hereby acknowledges that it has in its possession or is otherwise familiar with all of the referenced clauses incorporated herein and agrees to perform this Contract in accordance with the provisions of such referenced clauses and the other provisions of this Contract. The full text of the referenced clauses may be accessed electronically at various Internet sites, including http://farsite.hill.af.mil and http://www.acquisition.gov. REFERENCE TITLE DATE 52.202-1 Definitions Nov 2013 52.203-2 Certificate of Independent Price Determination Apr 1985 52.203-3 Gratuities Apr 1984 AS-129, Flowdowns for FFP Contracts, REV B 2 of 11 52.203-5 Covenant Against Contingent Fees May 2014 52.203-6 Restrictions on Subcontractor Sales to the Government Sep 2006 52.203-7 Anti-Kickback Procedures May 2014 52.203-8 Cancellation, Rescission, and Recovery of Funds for Illegal or May 2014 Improper Activity 52.203-10 Price or Fee Adjustment for Illegal or Improper Activity 52.203-11 Certification and Disclosure Regarding Payments to Influence Sep 2007 Certain Federal Transaction 52.203-12 Limitation on Transactions 52.203-13 Contractor Code of Business Ethics and Conduct Apr 2010 52.203-14 Display of Hotline Poster(s) Dec 2007 52.203-15 Whistleblower Protections Under the American Recovery and Jun 2010 Reinvestment Act of 2009 52.204-2 Security Requirements 52.204-10 Reporting Executive Subcontract Awards 52.204-11 American Recovery and Reinvestment Act – Reporting Dec 2012 Requirements 52.209-5 Certification Regarding Responsibility Matters 52.209-6 Protecting the Government’s Interest When Subcontracting Aug 2013 with Contractors Debarred, Suspended or Proposed for Debarment 52.211-5 Material Requirements 52.211-14 Notice of Priority Rating for National Defense Use, Emergency Apr 2008 Preparedness and Energy Program Use 52.211-15 Defense Priority and Allocation Requirements Apr 2008 52.215-2 Audit and Records – Negotiation Oct 2010 52.215-9 Changes or Additions to Make-or-Buy Program Oct 1997 Payments AS-129, Flowdowns for FFP Contracts, REV B to Influence Certain May 2014 Federal Oct 2010 Aug 1996 Compensation and First – Tier Jul 2013 Apr 2010 Aug 2000 3 of 11 52.215-10 Price Reduction for Defective Certified Cost or Pricing Data 52.215-11 Price Reduction for Defective Certified Cost or Pricing Data – Aug 2011 Modifications 52.215-12 Subcontractor Certified Cost or Pricing Data Oct 2010 52.215-13 Subcontractor Certified Cost or Pricing Data – Modifications Oct 2010 52.215-14 Integrity of Unit Prices Oct 2010 52.215-15 Pension Adjustments and Asset Reversions Oct 2010 52.215-18 Reversion or Adjustment of Plans for Postretirement Benefits Jul 2005 (PRB) Other Than Pensions 52.215-19 Notification of Ownership Changes 52.215-20 Requirements for Certified Cost or Pricing Data and Data Other Oct 2010 Than Certified Cost or Pricing Data 52.215-21 Requirements for Certified Cost or Pricing Data and Data Other Oct 2010 Than Certified Cost or Pricing Data – Modifications 52.215-22 Limitations on Pass-through Charges – Identification of Oct 2009 Subcontract Effort 52.215-23 Limitations on Pass-Through Charges Oct 2009 52.219-8 Utilization of Small Business Concerns May 2014 52.219-9 Small Business Subcontracting Plan Jul 2013 52.219-16 Liquidated Damages – Subcontracting Plan Jan 1999 52.219-25 Small Disadvantaged Business Participation Program – Jul 2013 Disadvantaged Status and Reporting 52.219-28 Post-Award Small Business Program Representation Jul 2013 52.222-1 Notice to the Government of Labor Disputes Feb 1997 52.222-3 Convict Labor Jun 2003 52.222-4 Contract Work Hours and Safety Standards Act-Overtime May 2014 Compensation 52.222-11 Subcontracts (Labor Standards) AS-129, Flowdowns for FFP Contracts, REV B Aug 2011 Oct 1997 May 2014 4 of 11 52.222-19 Child Labor – Cooperation with Authorities and Remedies Jan 2014 52.222-20 Walsh-Healey Public Contracts Act May 2014 52.222-21 Prohibition of Segregated Facilities Feb 1999 52.222-26 Equal Opportunity Mar 2007 52.222-27 Affirmative Action Compliance Requirements for Construction Feb 1999 52.222-29 Notification of Visa Denial Jun 2003 52.222-35 Equal Opportunity for Veterans Jul 2014 52.222-36 Affirmative Action for Workers with Disabilities Jul 2014 52.222-37 Employment Reports on Veterans Jul 2014 52.222-38 Compliance with Requirements 52.222-40 Notification of Employee Rights Under the National Labor Dec 2010 Relations Act 52.222-41 Service Contract Act of 1965 May 2014 52.222-50 Combating Trafficking in Persons Feb 2009 52.223-3 Hazardous Material Identification and Material Safety Data Jan 1997 52.223-4 Recovered Material Certification May 2008 52.223-9 Estimate of Percentage of Recovered Material Content for May 2008 EPA-Designated Items 52.223-11 Ozone-Depleting Substances May 2001 52.223-13 Certification of Toxic Chemical Release Reporting Aug 2003 52.223-16 Acquisition of EPEAT® - Registered Personal Computer Jun 2014 Products 52.223-18 Encouraging Contractor Policies to Ban Text Messaging While Aug 2011 Driving 52.225-1 Buy American Act – Supplies May 2014 52.225-2 Buy American Act Certificate May 2014 AS-129, Flowdowns for FFP Contracts, REV B Veterans’ Employment Reporting Sep 2010 5 of 11 52.225-8 Duty-Free Entry Oct 2010 52.225-13 Restriction on Certain Foreign Purchases Jun 2008 52.225-18 Place of Manufacture Sep 2006 52.225-25 Prohibition on Contracting with Entities Engaging in Dec 2012 Sanctioned Activities Relating to Iran – Representation and Certification 52.227-1 Authorization and Consent 52.227-2 Notice and Assistance Regarding Patent and Copyright Dec 2007 Infringement 52.227-6 Royalty Information Apr 1984 52.227-9 Refund of Royalties Apr 1984 52.227-10 Filing of Patent Applications – Classified Subject Matter Dec 2007 52.227-11 Patent Rights – Ownership by the Contractor May 2014 52.227-13 Patent Rights – Ownership by the Government Dec 2007 52.227-14 Rights in Data – General May 2014 52.227-15 Representation of Limited Rights Data and Restricted Dec 2007 Computer Software 52.227-16 Additional Data Requirements Jun 1987 52.227-17 Rights in Data – Special Works Dec 2007 52.227-18 Rights in Data – Existing Works Dec 2007 52.227-19 Commercial Computer Software License Dec 2007 52.227-20 Rights in Data SBIR Program May 2014 52.227-21 Technical Data Declaration, Revision, and Withholding of May 2014 Payment – Major Systems 52.227-22 Major System – Minimum Rights Jun 1987 52.227-23 Rights to Proposal Data (Technical) Jun 1987 52.228-3 Workers’ Compensation Insurance (Defense Base Act) Jul 2014 AS-129, Flowdowns for FFP Contracts, REV B Dec 2007 6 of 11 52.229-3 Federal, State, and Local Taxes Feb 2013 52.229-4 Federal, State, and local Taxes (State and Local Adjustments) Feb 2013 52.229-6 Taxes – Foreign Fixed Price Contracts Feb 2013 52.230-1 Cost Accounting Standards Notices and Certification May 2012 52.230-6 Administration of Cost Accounting Standards Jun 2010 52.242-2 Production Progress Reports Apr 1991 52.242-13 Bankruptcy Jul 1995 52.243-1 Changes – Fixed Price Aug 1987 52.243-7 Notification of Changes Apr 1984 52.244-2 Subcontracts Oct 2010 52.244-5 Competition in Subcontracting Dec 1996 52.244-6 Subcontracts for Commercial Items Jul 2014 52.245-1 Government Property Apr 2012 52.245-9 Use and Charges Apr 2012 52.246-2 Inspection of Supplies – Fixed Price Aug 1996 52.246-7 Inspection of Research and Development – Fixed Price Aug 1996 52.246-15 Certificate of Conformance Apr 1984 52.247-67 Submission of Transportation Documents for Audit Feb 2006 G DFARS CLAUSES INCORPORATED BY REFERENCE If the Prime Contract is a Department of Defense Contract, the following Department of Defense FAR Supplement (DFARS) clauses are also incorporated by reference in the Contract and shall have the same force and effect as if set forth in full text. The SELLER hereby acknowledges that it has in its possession or is otherwise familiar with all of the referenced clauses incorporated herein and agrees to perform this Contract in accordance with the provisions of such referenced clauses and the other provisions of this Contract. The full text of the referenced clauses may be accessed electronically at various Internet sites, including http://farsite.hill.af.mil. REFERENCE AS-129, Flowdowns for FFP Contracts, REV B TITLE DATE 7 of 11 252.203-7000 Requirements Relating to Compensation of Former DoD Sep 2011 Officials 252.203-7001 Prohibition on Persons Convicted of Fraud or Other Dec 2008 Defense-Contract-Related Felonies 252.203-7004 Display of Fraud Hotline Poster(s) Dec 2012 252.204-7000 Disclosure of Information Aug 2013 252.204-7008 Export-Controlled Items Apr 2010 252.209-7001 Disclosure of Ownership or Control by the Government of a Jan 2009 Terrorist Country 252.209-7004 Subcontracting with Firms That Are Owned or Controlled Mar 2014 by the Government of a Terrorist County 252.209-7008 Notice of Prohibition Relating to Organizational Conflict of Dec 2010 Interest – Major Defense Acquisition Program 252.209-7009 Organizational Conflicts of Interest – Major Defense Dec 2012 Acquisition Program 252.211-7000 Acquisition Streamlining Oct 2010 252.211-7007 Reporting of Government-Furnished Property Aug 2012 252.211-7008 Use of Government-Assigned Serial Numbers Sep 2010 252.215-7000 Pricing Adjustments Dec 2012 252.219-7003 Small Business Subcontracting Plan (DoD Contracts) Jun 2012 252.219-7004 Small Business Subcontracting Plan (Test Program) Jan 2011 252.222-7006 Restrictions on the Use of Mandatory Arbitration Dec 2010 Agreements 252.223-7006 Prohibition of Storage and Disposal of Toxic and Hazardous Apr 2012 Materials 252.223-7008 Prohibition of Hexavalent Chromium 252.225-7000 Buy American Statute – Balance of Payments Program Jan 2014 Certificate AS-129, Flowdowns for FFP Contracts, REV B Jun 2013 8 of 11 252.225-7001 Buy American and Balance of Payments Program Dec 2012 252.225-7002 Qualifying Country Sources as Subcontractors Dec 2012 252.225-7003 Report of Intended Performance Outside the United States Oct 2010 and Canada – Submission with Offer 252.225-7004 Report of Intended Performance Outside the United States Oct 2010 and Canada – Submission After Award 252.225-7006 Quarterly Reporting of Actual Contract Performance Oct 2010 Outside the United States 252.225-7007 Prohibition on Acquisition of United States Munitions List Sep 2006 Items from Communist Chinese Military Companies 252.225-7008 Restriction on Acquisition of Specialty Metals 252.225-7009 Restriction on Acquisition of Certain Articles Containing Jun 2013 Specialty Metals 252.225-7010 Duty-Free Entry – Additional Provisions Jul 2009 252.225-7012 Preference for Certain Domestic Commodities Feb 2013 252.225-7013 Duty-Free Entry Oct 2013 252.225-7016 Restriction on Acquisition of Ball and Roller Bearings Jun 2011 252.225-7019 Restriction on Acquisition of Anchor and Mooring Chain Dec 2009 252.225-7021 Trade Agreements Oct 2013 252.225-7025 Restriction on Acquisition of Forgings Dec 2009 252.225-7027 Restriction on Contingent Fees For Foreign Military Sales Apr 2003 252.225-7028 Exclusionary Governments 252.225-7042 Authorization to Perform 252.225-7043 Antiterrorism/Force Protection Policy Contractors Outside the United States 252.226-7001 Utilization of Indian Organizations, Indian-Owned Sep 2004 Economic Enterprises, and Native Hawaiian Small Business Concerns Policies AS-129, Flowdowns for FFP Contracts, REV B and Practices Mar 2013 of Foreign Apr 2003 Apr 2003 for Defense Mar 2006 9 of 11 252.227-7013 Rights in Technical Data – Noncommercial Items 252.227-7014 Rights in Noncommercial Computer Software Noncommercial Computer Software Documentation 252.227-7015 Technical Data – Commercial Items Feb 2014 252.227-7016 Rights in Bid or Proposal Information Jan 2011 252.227-7017 Identification and Assertion of Use, Release, or Disclosure Jan 2011 Restrictions 252.227-7019 Validation of Asserted Restrictions – Computer Software Sep 2011 252.227-7020 Rights in Special Works Jun 1995 252.227-7021 Rights in Data – Existing Works Mar 1979 252.227-7022 Government Rights (Unlimited) Mar 1979 252.227-7023 Drawings and Other Data to Become Property of Mar 1979 Government 252.227-7024 Notice and Approval of Restricted Designs 252.227-7025 Limitations on the Use or Disclosure of Government- May 2013 Furnished Information Marked with Restrictive Legends 252.227-7026 Deferred Delivery of Technical Data or Computer Software Apr 1988 252.227-7027 Deferred Ordering of Technical Data or Computer Software Apr 1988 252.227-7030 Technical Data – Withholding of Payment Mar 2000 252.227-7032 Rights in Technical Data and Computer Software (Foreign) Jun 1975 252.227-7033 Rights in Shop Drawings Apr 1966 252.227-7037 Validation of Restrictive Markings on Technical Data Jun 2013 252.227-7038 Patent Rights – Ownership by the Contractor (Large Jun 2012 Business) 252.227-7039 Patents – Reporting of Subject Inventions Apr 1990 252.228-7001 Ground and Flight Risk Jun 2010 252.236-7013 Requirement for Competition Opportunity for American Jun 2013 AS-129, Flowdowns for FFP Contracts, REV B Feb 2014 and Feb 2014 Apr 1984 10 of 11 Steel Producers, Fabricators, and Manufactures 252.237-7010 Prohibition on Interrogation of Detainees by Contractor Jun 2013 Personnel 252.239-7001 Information Certification 252.244-7000 Subcontracts for Commercial Items and Commercial Jun 2013 Components (DoD Contracts) 252.245-7001 Tagging, Labeling, and Marking of Government-Furnished Apr 2012 Property 252.245-7002 Reporting Loss of Government Property Apr 2012 252.245-7003 Contractor Property Management System Administration Apr 2012 252.246-7001 Warranty of Data Mar 2014 252.246-7003 Notification of Potential Safety Issues Jun 2013 252.249-7002 Notification of Anticipated Contract Termination or Oct 2010 reduction Assurance AS-129, Flowdowns for FFP Contracts, REV B Contractor Training and Jan 2008 11 of 11