NextGen GA Fund, LLC

A F u n d t o A c c e l e r a t e N e x t G e n E q u i p a g e B e n e fi t s

f o r t h e G e n e r a l Av i a ti o n O p e r a t o r C o m m u n i t y

NextGen GA Fund: Summary

The U.S. Congress has mandated all aircraft seeking access to Class A, B and C airspace, and Class E airspace above 10,000 feet to be equipped with ADS-B by January 1, 2020.

This mandate is triggering interest from GA aircraft owners interested both rule-compliance and a broader range of avionics capabilities.

Many general aviation aircraft will lose access to U.S. airspace without timely equipage. Repair station capacity is limited – Due to slow equipage to date, over 100,000 aircraft

must be scheduled for upgrades within five years. Aircraft owners delay upgrades due to technology confusion, overall cost, and lack of

financing options.

“Section 221” of the FAA Modernization and Reform Act of 2012 allows authority to incentivize and accelerate the installation of NextGen avionics systems in U.S. aircraft through an FAA loan guarantee program.

The NextGen GA Fund will fulfill the intent of Section 221: The GA Fund will make use of private sector equity provided by aerospace companies, and debt provided by private financial institutions.

The focus of the GA Fund will be on approximately 150,000 general aviation owners and operators (Part 23, Part 91 and Part 135 operators etc.). Ultimately, the NextGen GA Fund will support over $1.3 billion of NextGen equipment installations for general aviation owners and operators over the next 10 years.

Page 2

Compliance Challenges

ADS-B Mandate

Solution

Key NextGen Applications for GA Operators

GPS WAAS

ADS-B Out / In

RNAV / RNP

Data Comm

• Precise global navigation for all phases of flight.• Signal integrity and assurance.• Supports ADS-B and RNAV investments.• Accuracy will improve with new satellite capabilities.

Page 3

• Transmits precise location and other information about the aircraft to ground stations and other ADS-B equipped aircraft.

• With “ADS-B In”, aircraft obtain graphical and textual weather products, traffic advisories, and other aeronautical information.

• An aircraft using RNAV can fly on any desired flight path within the coverage of ground- or space-based navigational aids.

• Pilots can reduce miles flown, save fuel, and enhance safety and efficiency.

• RNP is RNAV with alerting.

• Datacomm will provide means of two-way communication for ATC clearances, instructions, advisories, flight crew requests and reports.

• The exchange of routine controller-pilot messages via data link will enhance capacity/safety.

The U.S. Congress has mandated all aircraft seeking access to Class A, B and C airspace, and Class E airspace, to be equipped with GPS-capable ADS-B by January 1, 2020. Many general aviation aircraft will lose access to U.S. airspace without timely equipage.

The NextGen GA Fund will finance NextGen installations, including WAAS-GPS, ADS-B (In and Out), RNAV/RNP avionics, transponders, Datacomm, displays, instrument panel modifications, antennas, other enabling electronic components, installation, and certification costs.

NextGen GA Fund: Target Market

Page 4

FAA: Only 9,000 GA aircraft equipped as of January 2015 – well over 100,000 remain

Program Overview – Intermediary Model Structure

NEXA GP & Mgmt. Co.

LP1 LP2 LP3

GA AircraftOwners

and Operators

Commercial Debt

Facility

Section 221US TreasuryGuarantees

PPP

•Satisfies “Equity at Risk” (Sec 221)•Provides governance•Anchors industry commitment

Investors

Piston

Rotor

Fleets

Turbine

CreditProcessing Partners

Fund Manager

Denotes Ownership by Operating AgreementContractual Relationship

Others

Page 5

Contact NextGen GA Fund

Head Office 2020 K Street NW Suite 520Washington, DC 20006USA

Phone +1-202-588-6426

Website www.nextgenfund.com

Page 6