BE Aerospace (BEAV)

Certain Relationships and Related Transactions

In 1990, the Company adopted a formal policy whereby all transactions between its officers, directors, principal stockholders or other affiliates must be on terms no less favorable to the Company than could be obtained from unaffiliated third parties on an arm’s length basis, and such transactions will be approved by a majority of the Company’s independent and disinterested directors.

Robert Marchetti, the son of Robert A. Marchetti, the Company’s Group Vice President and General Manager, Fastener Distribution Segment, is the owner of Lone Pine Internet Technologies, which provides website and e-commerce development services to the Company.  In 2005, the Company paid approximately $74,400 to Lone Pine Internet Technologies for these services.

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Certain Relationships and Related Transactions

        In 1990, the Company adopted a formal policy whereby all transactions between its officers, directors, principal stockholders or other affiliates must be on terms no less favorable to the Company than could be obtained from unaffiliated third parties on an arm's-length basis, and such transactions will be approved by a majority of the Company's independent and disinterested directors.

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