# ENDORSEMENT #2

This endorsement, effective 12:01 A.M., 5/21/85 forms a part of policy No. FE4001605 issued to International Business Machines by Landmark Insurance Co.

**AIRCRAFT PRODUCTS AND GROUNDING LIABILITY EXCLUSION**

It is agreed that the insurance afforded by this policy shall not apply with respect to liability arising out of aircraft products or reliance upon any representation or warranty made with respect thereto, or to any liability arising out of the grounding of any aircraft.

"Grounding" shall mean the withdrawal of one or more aircraft from flight operations or the imposition of speed, passenger or load restrictions on such aircraft, by reason of the existence of or alleged or suspected existence of any defect, fault or condition in such aircraft or any part thereof sold, handled or distributed by the Insured or manufactured, assembled or processed by any other person or organization according to specifications, plan, suggestions, orders or drawings of the Insured or with tools, machinery or other equipment furnished to such persons or organizations by the Insured, whether such aircraft so withdrawn are owned or operated by the same or different persons or organizations.

It is further agreed that this policy shall not apply to personal injury or property damage included within the "Completed Operations Hazard" or the "Products Hazard" with respect to "Aircraft Products".

The term "aircraft products" means:

1. Aircraft, including missiles or spacecraft and any ground support or control equipment used therewith;
2. Any article furnished by or on behalf of the Insured and installed in aircraft or used in connection with aircraft or for spare or replacement parts for aircraft, including ground handling tools and equipment;
3. Training aids, instructions, manuals, blueprints, engineering or other advice and services and labor relating to such aircraft or articles.