General Conditions for Domestic Transportation of Cargo

S.F. Airlines Co., Ltd.

Version : 2.0

Effective Date : 2026/07/15

Contents

Chapter 1 Definitions

Chapter 2 Scope of Application

Chapter 3 Consignment of Cargo

Chapter 4 Special Cargo

Chapter 5 Cargo Declared Value and Insurance

Chapter 6 Air Waybill

Chapter 7 Freight Rates, Freight and Other Charges

Chapter 8 Cargo Transportation

Chapter 9 Change of Transportation

Chapter 10 Goods Delivery

Chapter 11 Charter Flights and Compartments Transportation

Chapter 12 Liability and Compensation

Chapter 13 Complaints and Claims Litigation

Chapter 14 Entry into Force and Modification

Chapter 1 Definitions

Article 1 The following definitions in these Conditions shall have the meanings set forth below, unless otherwise required or expressly provided in the particular article:

（1）“Cargo” means materials carried or to be carried in a civil aircraft except mail and baggage carried under a passenger ticket and baggage check, but including baggage moving under an Air Waybill.

（2）“Domestic transportation” means the carriage with the place of departure, the place of destination or the agreed stopover places within the territory of the People’s Republic of China according to the cargo transportation contract.

（3）“SF Airlines” means the abbreviation of S.F. Airlines Co., Ltd.

（4）“Shipper’s Letter of Instruction” means the written document to be filled out for cargo shipment by the shipper, which is also the basis containing instructions for preparing an Air Waybill

（5）“Air waybill” means the contract filled in by the shipper or the carrier entrusted by the shipper, and it is the evidence of the contract concluded between the shipper and the carrier for the carriage of goods on the carrier’s route.

（6）One shipment of cargoes means one or more cargoes transported under a single Air Waybill to one consignee at one destination address.

（7）“Carrier” means a public air transport enterprise that operates civil aircraft for the purpose of transporting cargo and mail for profit. In the Conditions, “Carrier” specifically refers to SF Airlines.

（8）“Shipper" means a person that enters into a contract with a carrier for the carriage of goods and signs the air waybill.

（9）“Shipper’s Agent” refers to an enterprise or individual authorized by the shipper to transport goods on behalf of the shipper or to sign documents related to civil aviation cargo transportation.

（10）“Air cargo sales agent” refers to an enterprise established in accordance with the laws of the People’s Republic of China that has entered into a sales agency agreement with a carrier and engages in sales agency services for civil aviation cargo transportation.

（11）“Ground service agent” refers to an enterprise commissioned by a carrier to engage in ground handling operations for air cargo, including cargo acceptance, on-site transshipment, loading, and unloading.

（12）“Consignee” means the person named in the consignee column of the air waybill.

（13）Declared value means the value of goods delivered at the destination, as specifically declared by the shipper to the carrier.

（14）Additional charge of declared value means special fund paid to the carrier as per provisions by the shipper when declaring the cargo value.

（15）Valid ID card means certificates that must be shown by the shipper consigning the cargo or the consignee taking the delivery of cargo, as provided by the competent authorities to prove their identity and within the term of validity. Those certificates include resident ID card, passport, military officer certificate, soldier certificate, civilian military certificate, residence booklet, motor vehicle driver’s license.

（16）Day refers to a calendar day and one week includes 7 days.

（17）Special cargo refers to the cargo requiring for special treatment during the acceptance, storage, custody, transport and delivery due to its nature or value.

（18）“Escorted cargo” means cargo which, according to its nature, is assigned by the shipper to an escort for the exclusive care and custody of the shipper during transportation.

（19）Unit load devices refers to special equipment on aircrafts for loading goods, mail and luggage, including various types of pallets, containers and ancillary facilities.

（20）“Change of carriage” means a change in part or all of the carriage of cargoes that has been consigned by the shipper or the carrier.

（21）“Cargo transportation incident record” means a document issued by the carrier and recognized by the consignee that certifies the abnormal condition of the cargo.

（22）“Light and bulky cargo” is cargo with a volume of more than 6,000 cubic centimeters per kilogram.

（23）“Loss” refers to the loss, damage, shortage, deterioration, pollution, etc. of goods that occur during transportation or other services related to the transportation of goods provided by the carrier.

（24）“Charter person” refers to a civil entity who signs a charter transportation contract with a carrier and uses the carrier’s aircraft to transport goods in accordance with the contract.

（25）“Period of the carriage by air” means the entire period during which checked baggage or cargo remains in the carrier’s custody, whether at an airport, on board, or at any location outside an airport where the aircraft has landed.

（26）“Contracting Carrier” means the person who, within the scope of the Conditions, enters into a contract for carriage by air in its own name with the shipper or with the shipper’s agent.

（27）“Actual Carrier” means a person who, by authority of the Contracting Carrier, performs all or part of the carriage by air and who is not engaged in continuous carriage as defined in the Civil Aviation Law of the People’s Republic of China.

Chapter 2 Scope of Application

Article 2 Scope of Application

（1）Except as otherwise provided in paragraphs (2), (3), (4), (5) and (6) of this Article, these conditions shall apply to the domestic transportation of goods carried and charged by SF Airlines.

（2）Except as otherwise provided in the conditions of free transportation, the contract and the air waybill, these conditions shall also apply to free transportation.

（3）For transportation provided under a charter contract, these Conditions shall apply only to the extent covered by the terms of such charter contract and air waybill.

（4）If there is any provision in these Conditions that is contrary to national laws, government regulations, orders or requirements, the national laws, government regulations, orders or requirements shall prevail, and the remaining provisions shall remain in force.

（5）Unless otherwise agreed, if any provision inconsistent with these Conditions is contained in the cargo transportation regulations of SF Airlines, these Conditions shall prevail.

（6）SF Airlines does not carry letters that are monopolized by postal enterprises and official documents of state organs.

（7）SF Airlines shall not accept or transport live snakes and animals for the time being.

（8）SF Airlines shall not accept or transport articles whose transportation is prohibited by national laws and regulations.

（9）All articles restricted for transportation by national laws, regulations and provisions must comply with the stipulated procedures and conditions before they can be transported, and valid certificates of permission for transportation issued by the relevant state departments must be checked. For consignments of articles restricted for transportation, shippers must provide valid certificates of authorization for transportation issued by the public security, industry and commerce, inspection and quarantine bureaus and other government administrations.

Chapter 3 Consignment of Cargo

Article 3 General requirements

（1）The shipper’s consignment of goods shall comply with national laws, governmental regulations, orders or requirements, as well as the carrier’s relevant regulations on the packaging and transportation of the goods. The shipper shall accurately declare the name of the goods, correctly classify, identify, package, mark, and label the goods, and provide true, complete, and valid civil aviation cargo transportation-related documents.

（2）The shipper shall provide the necessary information and documents to complete the relevant formalities prescribed by laws and administrative regulations before delivery of the goods to the consignee. Any loss caused by the absence, insufficiency, or non‑compliance of such information or documents shall, except to the extent caused by the fault of the carrier or its servants or agents, be borne by the shipper, who shall be liable to the carrier. Unless otherwise provided by laws and administrative regulations, the carrier shall have no obligation to inspect the information or documents referred to in the preceding paragraph.

（3）When a shipper consigns goods, he shall fill in the consignment of goods with his valid identity document and complete the consignment formalities with the carrier or its agent.

（4）When a shipper’s agent engages in civil aviation cargo transportation activities, it shall hold a letter of authorization from the shipper and shall be subject to the provisions of these regulations concerning the shipper’s responsibilities.

（5）The shipper consigns the goods, must meet the following conditions:

（a） The goods are not prohibited from transportation by national laws, government regulations, orders or requirements;

（b） The packaging of the goods shall be suitable for air transportation;

（c） When shipping items restricted by national regulations from being transported by civil aviation, the shipper shall provide true, complete, and valid supporting documents in accordance with the regulations. When transporting animals and animal products, wild animals, and their products, the shipper shall comply with the provisions of national laws and regulations. The shipper shall provide the relevant supporting documents in accordance with the regulations.

（d） The shipper shall not include prohibited or restricted items, dangerous goods, contraband, etc., in the cargo or cargo packaging.

（e） The goods shall not endanger the safety of aircraft, personnel, or property.

（6）Unless otherwise agreed, SF Airlines does not carry goods with declared value exceeding the specified limit.

（7）For goods with different transportation conditions or conflicting properties, the shipper shall handle the consignment procedures separately.

Article 4 Packaging of goods

（1）The shipper shall ensure that the packaging of the goods consigned to it will not be damaged, dispersed or leaked during the transportation; and will not damage or contaminate aircraft, equipment and other articles.

（2）The shipper shall use appropriate internal and external packaging materials and packaging forms according to the nature of the goods, weight and transportation environment, to ensure that the goods are properly packaged. Goods that are delicate, fragile, resistant to shock, pressure, and cannot be inverted must use appropriate packaging measures. It is strictly prohibited to use straw bags for packaging and tying with straw ropes.

（3）The goods are not allowed to be packed with dangerous goods, goods prohibited and restricted from transportation by the government.

（4）The carrier or the carrier’s agent has the right to make reasonable adjustments when it discovers defective packaging, but will not bear the losses arising therefrom.

Article 5 Marking, labelling and tagging of goods

（1）The shipper shall mark the departure and destination stations of each shipment on the outer packaging, as well as the unit, name, detailed address, telephone number of the shipper and consignee and other transportation marks.

（2）The shipper shall paste the air transport instructions label on the outer packaging of the goods according to the nature of the goods, and national standards for the style.

（3）When using the old packaging, the shipper must remove the original packaging on the residual markings, stickers and labels.

（4）The shipper shall affix or attach the carrier’s cargo transport label to each piece of goods consigned in accordance with regulations.

Article 6 Weight calculation of goods

（1）The weight of the goods is calculated based on gross weight and measured in kilograms. Rounding off the remainder of a weight less than 1 kilogram.

（2）The weight of valuable items is calculated based on the actual gross weight, with a calculation unit of 0.1 kilograms.

（3）Light cargo is calculated at 1 kilogram per 6000 cubic centimeters.

Article 7 Cargo weight, size

（1）The shipper shall consign goods whose weight does not normally exceed 250 kilograms and whose volume does not normally exceed 100 x 100 x 140 centimeters. For goods exceeding the above weight and volume, prior contact with the carrier and consent must be obtained.

（2）The sum of the length, width and height of each package shall not be less than 40 centimeters.

Article 8 Liability and Rights of shipper and Consignee

（1）If a shipper consigns goods in violation of national laws, government regulations, orders and requirements, as well as the relevant regulations of the carrier, he shall bear the consequences arising therefrom.

（2）If the goods consigned by the shipper do not match the goods listed on the waybill, or if the goods contain goods prohibited or restricted by the government or dangerous goods, the carrier shall handle the matter in accordance with the following provisions:

（a） Stop shipment at the departure station and notify the shipper to pick up the goods. The freight will not be refunded.

（b） Stop transportation at the transit station and notify the shipper. The freight will not be refunded and will be charged separately according to the actual transportation segment.

（c） At the destination station, the full freight will be charged separately.

（d） If necessary, the carrier shall report to the relevant government departments for handling.

（e） All consequences arising from the circumstances in this paragraph shall be borne entirely by the shipper.

（3）If the consignee causes losses to the carrier or a third party due to his fault, the consignee shall bear the liability for compensation.

（4）When a shipper uses a carrier’s container equipment to load cargo, he or she shall comply with the carrier’s regulations. The shipper shall bear liability for compensation for losses caused by failure to load cargo in accordance with the regulations.

（5）Subject to the performance of the obligations prescribed in the contract for carriage by air, the shipper and the consignee may, whether for their own benefit or for the benefit of others, respectively exercise in their own name the rights specified in Articles 23, 26 and 36 of the Conditions.

Article 9 Cargo Inspection

（1）All consigned goods shall be subject to security inspection. All goods that the shipper requires to be shipped out within 24 hours shall be subject to unpacking inspection or inspection by security inspection equipment.

（2）The carrier may unpack and inspect the consigned goods and related documents when it deems it necessary, but the carrier does not bear the obligation to conduct mandatory inspections.

Chapter 4 Special Cargo

 Article 10 Types of Special Cargo

Special cargo includes urgent items, fungi, toxins and biological products, plants and plant products, live animals, ashes, coffins, firearms, ammunition, valuables, fresh and perishable items, escorted goods, dangerous goods, etc.

Article 11 Acceptance Regulations

In addition to complying with the regulations on general cargo transportation, the transportation of various types of special cargo shall also comply with the following corresponding regulations:

（1）Urgent goods

（a）Goods that the shipper requests to be transported urgently can be transported urgently with the carrier’s consent, and the freight must be paid as required.

（b）shippers who wish to ship urgent cargo should book flights and dates in advance.

（2）Biological products

（a）Without the special approval of the Civil Aviation Administration of China, the carrier shall not carry biological products such as bacteria, culture media containing bacteria that are harmful to humans, animals and plants.

（b）For any biological products such as vaccines, bacteria, antibiotics, serum, etc. that have been artificially manufactured, refined, and sterilized, the shipper shall provide a sterility and non-toxicity certificate.

（3）Plants and plant products

When consigning plants and plant products, the shipper must provide a valid “Plant Quarantine Certificate” issued by the local animal and plant quarantine department at the county level or above.

（4）Live animals

（a）The transportation of live animals must comply with national regulations. The shipper should provide an “Animal Quarantine Certificate” issued by the local animal and plant quarantine department at or above the county level. For animals under national protection, a transportation permit from the relevant department is also required; for animals under market management, a certificate issued by the market management department is required;

（b）The shipper shall book the flight and date in advance;

（c）The shipper should fill in the “Live Animal Shipper’s Certificate”;

（d）For live animals that require special care and feeding or are in large quantities, the shipper should send someone to escort them;

（e）The packaging of live animals should be convenient for loading and unloading and suitable for the characteristics of animals and the requirements of air transportation. It should prevent animals from being damaged, escaping and contacting the outside world, ensure ventilation and prevent animals from suffocating. Facilities should be provided at the bottom of the packaging to prevent feces from spilling out;

（f）The outer packaging should be marked with instructions for care and transportation;

（g）The shipper and consignee shall check in and pick up live animals at the airport and shall be responsible for the safekeeping of the animals before transportation and after arrival;

（h）For the transportation of live animals with special requirements, the shipper should explain the precautions to the carrier or provide guidance on the operation on site;

（i）Unless otherwise specified or ordered, SF Airlines does not transport live snakes.

（5）Ashes

（a）The ashes should be placed in a sealed plastic bag or other sealed container, covered with a wooden box and wrapped in cloth on the outside.

（b）The shipper should book the flight and date in advance.

（c）The consignee should pick it up directly at the airport.

（6）Coffin

（a）The shipper should go through the coffin consignment procedures with the death certificate issued by the hospital, the coffin encoffinment certificate issued by the funeral management department and the transportation permit issued by relevant departments (public security, health inspection, etc.), and book the flight and date in advance.

（b）Dead bodies are not contagious.

（c）The body has been embalmed and is within the embalming period.

（d）The body is packed in an iron coffin or a wooden coffin, with an iron box and buckles for easy loading and unloading. The coffin is filled with absorbent materials such as sawdust or charcoal. The coffin should be nailed, welded and sealed to prevent odor and liquid from leaking out.

（e）The consignee should arrive at the airport in advance according to the flight time and wait for pickup.

（7）Dangerous Goods

（a）The transportation of dangerous goods must comply with and abide by the Civil Aviation Administration of China’s regulations on the safe transportation of dangerous goods by air.

（8）Fresh and perishable goods

（a）When consigning fresh and perishable goods, the shipper shall provide the carrier with the maximum allowable time limit and storage and transportation precautions, and send them to the airport for consignment formalities at the agreed time. Unless otherwise agreed, the transportation time limit for fresh and perishable goods shall not be less than 24 hours (starting from 2 hours before the scheduled departure time of the scheduled flight).

（b）The shipper should book the flight and date in advance.

（c）For fresh and perishable goods that need to be quarantined according to government regulations, the shipper shall provide a quarantine certificate issued by the relevant department.

（d）The packaging must be suitable for its characteristics to ensure that the aircraft, equipment and other items are not damaged or contaminated during transportation.

（e）The shipper should provide necessary facilities for fresh and perishable items that require special care, and the shipper should send someone to escort them when necessary.

（f）The costs incurred by the carrier for taking necessary protective measures during the transportation and storage of fresh and perishable goods shall be paid by the shipper or consignee.

（9）Valuables

（a）Valuables include: rare and precious metals such as gold, platinum, iridium, rhodium, palladium and their products; various gemstones, jade articles, diamonds, pearls and their products; precious cultural relics (including books, paintings, antiques, etc.); cash, securities and articles with a gross weight of more than RMB 2,000 per kilogram.

（b）Valuables should be packed in sturdy and tight packaging boxes with “#” shaped metal packaging tapes, and the seams must be sealed.

（c）shippers who wish to consign valuables should book flights and dates in advance.

（10）Firearms and ammunition

（a）Firearms and police equipment (referred to as firearms) are specially controlled items, and ammunition is a specially controlled dangerous item.

（b）shippers who wish to consign firearms and ammunition of any kind must obtain a transportation permit issued by the public security bureau of the county or city at the place of departure or destination, or a permit issued by the competent state ministry.

（c）Firearms and ammunition must be packed firmly, tightly and with seals. Firearms and ammunition should be packed separately.

（d）The shipper should book the flight and date in advance and check in at the airport at the agreed time.

（e）The consignee should arrive at the airport in advance according to the flight schedule to wait for pickup.

（11）Escorting goods

（a）SF Airlines only undertakes escort of bulk cargo.

（b）The packaging of escorted goods shall comply with the carrier’s cargo packaging requirements.

（c）The flight and date for escorting cargo should be booked in advance.

（d）The escort shall purchase aviation personal accident insurance from an insurance company and accept airport security inspection.

（e）The carrier shall assist the escort in completing the escort mission.

（f）The outer packaging of escorted goods should be affixed with an “Escorted Goods” label.

（g）In the “Handling Information and Others” column of the air waybill, indicate “Escorted Cargo” and write down the escort’s name, ID number, flight number and date.

（h）The escort shall comply with the carrier’s requirements for escorting goods and be responsible for the safe transportation of goods. The escort’s duties are:

i. Responsible for the care of the goods when they stay on the ground and the escort work during ground transportation;

ii. To direct the loading and unloading of the escorted goods;

iii. Responsible for the care of escorted cargo during flight or during stopover;

iv. Decide on the handling of cargo in the event of flight abnormalities, cargo damage or other accidents.

（12）In addition to the provisions of paragraphs (1) to (11) of this Article, the packaging of all special goods shall also comply with other regulations of the carrier.

（13）The shipper shall consign special cargo at the time and place specified by the carrier.

Chapter 5 Cargo Declared Value and Insurance

Article 12 Declared Value of Goods

（1）If the gross weight of the goods consigned by the shipper exceeds RMB 20 per kilogram, the shipper may declare the value of the goods. When declaring the value, the shipper shall indicate the declared amount in the “Declared Value” column of the air waybill. Goods with no declared value shall be noted by the shipper on the air waybill.

（2）After declaring the value of the goods, the shipper shall pay the declared value surcharge in accordance with the regulations.

（3）Unless otherwise agreed, the declared value of each air waybill shall not exceed RMB 500,000.

（4）For cargo that has gone through the consignment formalities, if the shipper requests to change the declared value before the cargo is shipped out, the cargo will be treated as returned and a new air waybill will be issued. The original declared value surcharge will not be refunded.

（5）The shipper may not change the declared value of goods that have already begun transportation.

Article 13 The shipper may purchase air cargo insurance.

Chapter 6 Air Waybill

Article 14 The air waybill shall be in eight copies, including three original copies and five copies. It shall be signed and sealed by the shipper and the carrier. The first original copy shall be given to the carrier, the second copy to the consignee, and the third copy to the shipper. The three original copies shall have the same legal effect. The air waybill shall be in writing.

（1）The air waybill shall be filled out by the shipper and shall be delivered to the carrier together with the goods. If the air waybill is filled out by the carrier at the request of the shipper, it shall, in the absence of evidence to the contrary, be deemed to have been filled out on behalf of the shipper. The carrier shall be liable for any loss sustained by the shipper or by any other person for whom the shipper is responsible, to the extent that such loss is caused by the carrier’s statements and declarations on the air waybill being non-compliant with the requirements, incorrect or incomplete. The shipper shall be responsible for the authenticity and accuracy of the contents filled out on the air waybill. The shipper shall be responsible for all losses caused to the carrier or a third party due to the untrue or inaccurate cargo description provided by the shipper.

（2）Separate air waybills shall be issued for goods with different transport conditions or conflicting properties.

（3）An air waybill can have only one shipper and one consignee.

（4）An air waybill may not be transferred and any transferred air waybill shall be invalid.

（5）The statements in the air waybill relating to the weight, dimensions, packaging and number of packages of the goods shall have the effect of initial evidence. Except in the case of statements concerning the quantity, volume and condition of the goods which have been verified by the carrier and the shipper in each other’s presence and recorded on the air waybill, or which contain a statement on the apparent condition of the goods, such statements shall not constitute evidence against the carrier.

（6）Any terms in the contract that differ from the provisions of Articles 23, 26 and 36 of the Conditions shall be subject to those set forth in the air waybill.

（7）The shipper’s failure to produce the air waybill, its non-compliance with the requirements, or its loss shall not affect the existence or validity of the contract of carriage.

Chapter 7 Freight Rates, Freight and Other Charges

Article 15 Freight Rates

（1）Freight rate refers to the freight rate between the departure airport and the destination airport.

（2）Unless otherwise specified, the freight rate for special cargo shall be 150% of the freight rate for ordinary cargo.

Article 16 Freight and Other Charges

（1）Freight refers to the fee calculated based on the effective freight rate announced by the carrier on the day when the waybill is filled out and the chargeable weight of the goods, excluding ground transportation fees between the airport and the urban area, between two airports in the same city and other fees.

（2）The calculation method of declared value surcharge is: [declared value - (gross weight × 20)] × 0.5%.

（3）Other charges refer to the storage fees and return handling fees charged by the carrier in accordance with regulations, in addition to freight, ground transportation charges and declared value surcharge.

（4）The minimum freight for each air waybill is RMB 30.

Article 17 Payment of Freight and Other Charges

（1）Freight and other charges shall be paid in RMB, with the settlement unit being “Yuan”, accurate to the nearest “jiao”, and rounded off below the “jiao”. They shall be paid by the shipper when the goods are shipped. Transportation-related charges incurred during the transportation of the goods or at the destination shall be paid by the consignee before picking up the goods.

（2）In addition to the fees that must be paid, the shipper shall also guarantee to pay for the losses that may be Incurred by the carrier or a third party due to the consignee’s fault. The carrier has the right to seize the goods for which the above fees have not been paid and may auction the goods and use part or all of the auction proceeds to pay the above fees. However, such auction cannot exempt the carrier from liability for underpayment.

（3）Regardless of whether the goods are lost or whether they arrive at the destination specified in the transportation contract, the shipper or consignee shall pay all expenses incurred by the carrier in transporting the goods.

（4）If the shipper or consignee refuses to pay all or part of the charges, the carrier may refuse to transport or deliver the goods.

Article 18 Adjustment of Freight Rates and Other Charges

When shipping goods, the shipper shall pay the freight charges according to the effective freight rate announced by the carrier on the day when the air waybill is filled out. In the event of adjustment of freight rates or other charges, the freight rates and other charges used in the air waybill filled out before the adjustment will not be adjusted.

Chapter 8 Cargo Transportation

Article 19 Urgent and time-limited cargo

（1）For urgent cargo, the carrier shall transport the cargo according to the flight and date agreed with the shipper.

（2）For goods that are transported within a limited time, the carrier shall transport the goods to the destination within the period agreed upon by the shipper.

Article 20 According to the nature of the goods, the carrier shall transport in the following order:

（1）Goods that require urgent transportation for disaster relief, epidemic prevention and control, and other matters related to the national economy and people’s livelihood, first aid, diplomatic pouches, and items designated by the government for urgent transportation;

（2）Cargoes accepted for transportation on a specified date, flight and on an urgent basis, and AOG aviation materials;

（3）Time-limited, valuable, or small items;

（4）Transit cargo;

（5）General goods shall be transported in the order in which they are accepted.

Article 21 Transport Routes

（1）The carrier shall select the cargo transportation route in accordance with the principles of rationality and speed, but shall not be obliged to transport the cargo by a specific aircraft or via a specific route or routes, or to connect the cargo with a specific flight at any place for onward transportation.

（2）Due to force majeure or unforeseen reasons, the carrier may cancel, change, postpone, advance or terminate all or part of the transportation of the goods without prior notice.

（3）In order to deliver the goods to the destination as soon as possible, the carrier may, if necessary, transfer the goods to other carriers or use other modes of transport to transport all or part of the goods to the destination without prior notice.

Article 22 Termination of Transportation

（1）During the transportation process, if there are sufficient reasons to confirm that a certain shipment of goods is prohibited from transportation by national laws, government regulations, orders or requirements, the carrier has the right to terminate the transportation of the goods, and the shipper shall be responsible for the consequences arising therefrom.

（2）If the natural properties of the goods or poor packaging may threaten the safety of the aircraft, personnel and property, the carrier may take appropriate measures at any time without prior notice.

Chapter 9 Change of Transportation

Article 23 Voluntary Change

（1）Voluntary change means a voluntary change due to the shipper’s reasons, or the carrier changes part or all of the contents of the transportation due to the shipper’s reasons. Voluntary change is only applicable to all the goods listed on one air waybill.

（2）When the shipper requests to change the transportation, he or she shall present the shipper copy of the air waybill, the written request issued by the shipper and the valid identity document. Voluntary changes shall comply with the relevant provisions of these conditions and shall not harm the interests of the carrier and the third party. Otherwise, the carrier will not process it.

（3）Changes

（a）Return at the departure station.

（b）Stop the transportation at intermediate stations.

（c）Change the destination station.

（d）Change of consignee (the changed consignee is the consignee specified in the air waybill)

（e）Transport the goods back to the originating station.

（4）If the carrier considers it is unable to implement the shipper’s request for change, it shall immediately notify the shipper.

（5）The shipper shall bear all losses caused to the carrier by exercising its right to change and pay all expenses incurred by the carrier in fulfilling the shipper’s change request.

（6）From the time the goods are consigned until the time the consignee receives the goods, the shipper has the right to make changes to the goods.

（7）If the carrier acts on the instructions of the shipper without requiring the shipper to produce the air waybill in its possession, and such action causes loss to the lawful holder of the air waybill, the carrier shall be liable, without prejudice to its right of recourse against the shipper.

（8）Upon arrival of the goods at the destination, the consignee shall be entitled to require the carrier to deliver the goods to it, provided that it pays the charges due and complies with the conditions of carriage. Thereafter, the rights of the shipper shall cease. However, if the consignee refuses to accept the goods or if the carrier is unable to contact the consignee, the shipper shall recover its right of disposal over the goods.

Article 24 Involuntary Changes

（1）Involuntary changes refer to changes in cargo transportation caused by force majeure or the carrier. When an involuntary change occurs, the carrier shall promptly notify the shipper or consignee and agree on a solution.

（2）Freight shall be handled in accordance with the following provisions:

（a）If the goods are returned at the departure station, all freight charges will be refunded.

（b）If the destination is changed, the freight for the unused segment will be refunded, and the freight from the changed station to the new destination will be charged.

（c）The goods will be transported back to the departure station at the intermediate station and all freight charges will be refunded.

（d）If other means of transport are used to transport the goods to the destination, the excess costs shall be borne by the carrier.

Chapter 10 Goods Delivery

Article 25 Arrival Notice

（1）After the goods arrive at the destination, unless otherwise agreed, the carrier shall promptly send a notice of arrival to the consignee. The notice shall be sent by telephone or in writing. The notice of arrival of urgent goods shall be sent within 2 hours after the arrival of the goods. The notice of arrival of ordinary goods shall be sent within 24 hours.

（2）Ordinary goods and dangerous goods will be stored free of charge for 3 days from the day after the arrival notice is issued; valuables and urgent goods will be stored free of charge on the day of arrival; live animals, fresh and perishable goods and other goods that need to be refrigerated or frozen will be stored free of charge for 6 hours after arrival. If they are received after the deadline, the carrier will charge storage fees and refrigeration and freezing equipment usage fees in accordance with regulations.

（3）The carrier shall not be liable if the consignee fails to receive or is delayed in receiving the arrival notice due to reasons not attributable to the carrier.

Article 26 Receive of Goods

（1）The consignee shall pick-up the goods at the pick-up location designated by the carrier. For special goods such as live animals, fresh and perishable goods, and other goods transported on designated flights, the shipper shall be responsible for notifying the consignee to wait for pick-up at the destination airport.

（2）Unless otherwise agreed between the shipper and the carrier, the cargo shall be delivered to the consignee named in the air waybill.

（3）The consignee shall present a valid identity document when picking up the goods. The carrier shall not be responsible for the authenticity of the consignee’s identity document. If necessary, the carrier may require the consignee to present documents or certificates related to the transportation of the goods.

（4）The consignee shall pay all due charges when picking up the goods.

（5）When the consignee picks up the goods, if he or she finds that the goods are lost, missed, contaminated, deteriorated, damaged or delayed in arrival, he or she shall raise the objection to the carrier on the spot, and the carrier shall fill in the cargo transportation accident record in accordance with the regulations and have both parties sign or seal it.

（6）The consignee picks up the goods and signs on the air waybill without raising any objection shall be initial evidence that the goods have been delivered in good condition in accordance with the contract of carriage.

（7）Delivery shall be deemed completed when the carrier hands over the goods to the competent national authority or department in accordance with applicable laws, government regulations or orders. In such event, the carrier shall notify the shipper or consignee.

（8）If the goods are detained or awaiting processing by relevant government departments due to reasons not attributable to the carrier, the shipper or consignee shall bear the storage fees and other related expenses. In such cases, the carrier shall notify the shipper or consignee.

（9）Except as provided in Article 23 of the Conditions, the consignee shall, upon arrival of the goods at the destination and after payment of the charges due and compliance with the conditions of carriage, be entitled to require the carrier to deliver the goods.

（10）Unless otherwise agreed, the carrier shall notify the consignee promptly after the arrival of the goods, and the consignee shall take delivery without delay. If the consignee fails to take delivery within the prescribed time, it shall pay the carrier storage charges and other expenses.

Article 27 Handling of undeliverable fresh and perishable goods

When the fresh and perishable goods are deteriorated or rotted during transportation or storage; or no one is available to pick them up at the destination; or the consignee refuses to pick them up, the carrier has the right to take necessary disposal measures, such as destroying or abandoning all or part of the goods. When taking the above measures, the carrier may not notify the shipper or consignee in advance. The resulting expenses shall be paid by the shipper.

Article 28 Undeliverable goods

（1）If no one picks up the goods within 14 days from the day after the arrival notice is issued or the consignee refuses to accept the goods, the departure station shall notify the shipper to seek his opinion on how to deal with the situation. If no one picks up the goods within 60 days and no opinion is received from the shipper on how to deal with the situation, the goods shall be treated as undeliverable.

（2）Handling of undeliverable goods

（a）All goods prohibited or restricted from transportation by the government, valuables, precious historical materials, etc., shall be transferred to the relevant government departments at no cost.

（b）All general means of production and living shall be transferred to the relevant material departments or commercial departments at a price.

（c）For fresh and perishable goods or goods that are difficult to store, the carrier shall handle them at its discretion. The resulting expenses shall be borne by the shipper.

（d）The carrier shall be responsible for keeping the payment for the goods. If the shipper or consignee claims the goods within 90 days from the date of handling, the balance after deducting the storage fee and handling fee will be returned to the claimant; if no one claims the goods after 90 days, the balance will be turned over to the state treasury.

（e）The carrier shall notify the shipper or consignee of the outcome of undeliverable goods.

Chapter 11 Charter Flights and Compartments Transportation

 Article 29 Charter Flight Transportation

（1）The charterer shall apply to the carrier for a charter flight with a letter of introduction from his/her employer or a valid ID card. The two parties shall sign a charter contract after reaching an agreement through negotiation.

（2）Except for weather or other force majeure factors, the charterer and the carrier should pay attention to their respective responsibilities, rights and obligations stipulated in the charter contract.

（3）When the charterer and the carrier execute a charter contract, a shipper’s letter of instruction and an air waybill shall be filled out for each charter flight as the transportation certificate for the charter flight.

（4）The charterer and the carrier may determine the escort according to the nature of the cargo. The duties of the escort are the same as those in Article 11(11) of these Terms.

（5）If the charterer proposes to change the charter contract, he or she shall pay the carrier’s relevant expenses such as aircraft adjustment incurred in executing the charter contract.

（6）The carrier shall charge the charter fee in accordance with the provisions of the charter contract.

（7）The tonnage of the charter aircraft shall be fully utilized by the charterer. If the carrier needs to use the remaining tonnage of the charter aircraft, it shall negotiate with the charterer.

（8）After a one-time charter flight lands at the destination airport, the charterer shall organize manpower and material resources to promptly dismantle the pallets and containers to ensure that the container equipment is intact and returned in full and on time.

Article 30 Chartering compartments or containers or pallets shall be handled in accordance with the relevant regulations on charter transport.

Chapter 12 Liability and Compensation

 Article 31 Scope of Liability

（1）The carrier shall be responsible for the safe transportation of the goods from the time of acceptance to the time of delivery. The carrier shall be responsible for the loss of goods during the transportation of the goods, except as otherwise provided by national laws, government regulations, orders or requirements and these conditions.

（2）The carrier shall not be liable for the loss of goods caused by the following reasons:

（a）War or armed conflict, government action;

（b）The damage or deterioration of the goods caused by the natural properties, defects or unsuitability of the goods for the changes in temperature and air pressure during transportation and the transportation time limit;

（c）Poor packaging method or container;

（d）The packaging is intact, the seal is intact, but the contents are missing or damaged;

（e）Reasonable loss of goods.

（3）The carrier shall not be liable for indirect losses (such as loss of market opportunities, missed sales, or lost contractual opportunities, etc.) caused by loss or delay of goods.

（4）The carrier shall not be liable for any loss, damage or expense caused by the death of animals due to natural causes; or by the biting, kicking, butting or suffocation of the animals themselves or other animals; or by the death or injury of animals caused or contributed to by the animals’ inability to withstand inevitable changes in the natural environment during transportation. If the carrier is obliged to compensate a third party due to the transportation of animals, the carrier shall have the right to recover the full amount from the shipper.

（5）The carrier shall not be liable for the loss of escorted goods unless it can be proved that the loss is caused by the fault of the carrier’s staff.

（6）The carrier shall not be liable for any injury or death caused by the animals to the escort personnel of the escorted live animals during the escort process. The shipper shall be liable for any injury caused by the animals to the carrier’s staff during normal operation.

（7）The carrier shall be liable for loss caused by delay in the carriage of goods by air, except where the carrier, its servants or agents have taken all reasonable measures to avoid the loss or where it was impossible to take such measures, and except as otherwise provided by applicable international conventions, national laws, governmental regulations, orders or requirements, and the Conditions.

（8）If, during the transportation, it is proved that the loss or delay of the goods is caused or contributed to by the fault of the shipper or consignee, the carrier’s liability shall be exempted or reduced accordingly according to the degree of fault causing or contributing to such loss.

（9）Unless the carrier has committed an intentional act, the carrier shall not be liable for any loss of goods arising from the fulfillment of the shipper’s request for change or during the change period.

（10）SF Airlines can only act as the agent of other carriers when filling out air waybills for other carriers. If cargo transported by other carriers’ flights is lost or delayed, SF Airlines will decide whether to bear compensation liability based on actual circumstances.

（11）Where the liability of the Carrier is exempted or limited under these conditions, such exemption or limitation shall also apply to the Carrier’s agents, servants or representatives and to any carrier whose aircraft or other means of transport is used for the carriage.

（12）Where an action is brought against a servant or agent of the carrier in respect of loss sustained in the carriage by air, such servant or agent, if proving that it acted within the scope of its employment or agency, shall be entitled to invoke the provisions concerning limitation of liability that the carrier itself may invoke under the Civil Aviation Law of the People’s Republic of China.

In the circumstances referred to in the preceding paragraph, the total aggregate liability of the carrier and its servants and agents shall not exceed the statutory limitation of liability.

（13）In the case of destruction, loss, damage or delay of part of the goods or of any object contained therein, the weight to be taken into account in determining the carrier’s limitation of liability shall be only the total weight of the package or packages concerned. However, where the destruction, loss, damage or delay of part of the goods or of any object contained therein affects the value of other packages covered by the same air waybill, the total weight of such other packages shall also be taken into account in determining the carrier’s limitation of liability.

（14）The period of carriage by air does not include any land, sea or river carriage performed outside an airport. However, where such land, sea or river carriage is carried out for the purpose of loading, delivery or transshipment in performance of the contract of carriage by air, any loss occurring during such carriage shall, in the absence of evidence to the contrary, be deemed to have occurred during the period of carriage by air. If the carrier, without the consent of the shipper, substitutes other means of transport for all or part of the carriage that was contractually agreed to be by air, such carriage performed by other means shall be deemed to have occurred during the period of carriage by air.

Article 32 Successive Carriers

（1）Transportation performed by several successive carriers under one air waybill is considered as a single transportation.

（2）For goods transported by successive carriers, each carrier is a party to the transport contract for the transport section handled by it under the transport contract. Except where the contract expressly provides that the first carrier shall assume responsibility for the entire carriage, any person entitled to claim may bring action only against the carrier that performed the carriage during which the accident or delay occurred. In the case of destruction, loss, damage or delay of the goods during carriage, the shipper shall be entitled to bring action against the first carrier, the consignee against the last carrier, and both the shipper and the consignee may bring action against the carrier that performed the carriage during which the destruction, loss, damage or delay occurred.

Article 33 Contracting Carrier and Actual Carrier

（1）In the absence of evidence to the contrary, the authorization relationship between the Contracting Carrier and the Actual Carrier shall be deemed to exist.

（2）The acts and omissions of the Actual Carrier, and the acts of its servants and agents performed within the scope of their employment or agency in connection with the Actual Carrier’s performance of its carriage obligations, shall be deemed to be the acts of the Contracting Carrier, and the corresponding legal consequences shall be borne by the Contracting Carrier.

（3）The acts and omissions of the Contracting Carrier, and the acts of its servants and agents performed within the scope of their employment or agency in connection with the Actual Carrier’s performance of its carriage obligations, shall be deemed to be the acts of the Actual Carrier, and the corresponding legal consequences shall be borne by the Actual Carrier; provided, however, that the Actual Carrier shall not, by reason of the acts of the Contracting Carrier and its servants or agents, assume liability in excess of the statutory limitation of liability

（4）Any special agreement under which the Contracting Carrier assumes obligations not imposed by Chapter VI of the Civil Aviation Law of the People’s Republic of China, or waives rights conferred by that Chapter, or any special declaration concerning the benefit of delivery at the destination made pursuant to Articles 31(13) and 34(2) of the Conditions, shall not affect the Actual Carrier unless agreed to by the Actual Carrier.

（5）The instructions set forth in Article 23 of the Conditions shall be effective only when given to the Contracting Carrier.

Article 34 Compensation limits

（1）If goods that have been declared with a value and for which a surcharge has been paid are lost during transportation, the declared value shall be the maximum limit of compensation. If the carrier can prove that the actual loss of the goods is lower than the declared value, compensation shall be paid according to the actual loss.

（2）If the shipper, when tendering the goods for carriage, makes a special declaration of interest in delivery at the destination and pays the applicable surcharge, the carrier shall be liable within the amount so declared, unless the carrier proves that the amount declared by the shipper exceeds the actual interest of the shipper in delivery at the destination.

（3）In the carriage by air, the carrier’s liability for destruction, loss, damage of, or delay to, the goods shall be limited to the limitation of liability prescribed by the relevant international conventions on civil aviation applicable in the People’s Republic of China at the time of the event or delay causing the damage. The amount of such limitation of liability shall be based on the latest published standards of the competent civil aviation authority under the State Council.

（4）If cargo insured by air transport suffers loss during transportation, the insurance company shall compensate for the loss in accordance with relevant regulations.

（5）Compensation for delayed transportation

Except for special circumstances, if the goods are delivered beyond the agreed or specified period due to reasons of SF Airlines, SF Airlines should make appropriate compensation, but the compensation amount for each day of delay shall not exceed 5% of the actual freight paid for the air waybill or the batch of goods, and the total compensation amount shall be limited to the limitation of liability prescribed by the relevant international conventions on civil aviation applicable in the People’s Republic of China at the time the delay occurs.

（6）The servants and agents of the Actual Carrier, or the servants and agents of the Contracting Carrier, if proving that they acted within the scope of their employment or agency, shall, in respect of the carriage performed by the Actual Carrier, be entitled to invoke the provisions concerning limitation of liability set forth in Article 34(3) of the Conditions, except as otherwise provided by the Civil Aviation Law of the People’s Republic of China.

（7）In respect of carriage performed by the Actual Carrier, the aggregate liability of the Actual Carrier, the Contracting Carrier, and their servants and agents acting within the scope of their employment or agency, shall not exceed the highest amount recoverable from either the Contracting Carrier or the Actual Carrier under the Civil Aviation Law of the People’s Republic of China; and no one among them shall be liable for an amount exceeding the limitation of liability applicable to it.

Chapter 13 Complaints and Claims Litigation

Article 35 Complaint channels and acceptance time limit

（1）For domestic cargo transported by SF Airlines, the telephone number for accepting complaints is “95338”.

（2）For domestic cargo carried by SF Airlines, SF Airlines promises to handle the case within 10 working days from the date of receipt of the complaint from the shipper or consignee and inform the complainant.

Article 36 Where the carrier acknowledges the loss of the goods, or where the goods have not arrived within seven days after the date on which they ought to have arrived, the consignee shall be entitled to assert its rights against the carrier under the contract of carriage by air.

If a claim is made for loss or delay of cargo, the shipper or consignee on the air waybill shall make a written claim to the carrier within the following period. Otherwise, the cargo shall be deemed to have been delivered in good condition and in compliance with the transportation contract.

（1）If the goods are found to be obviously damaged or partially lost when they are picked up, the claim should be made within 14 days from the date of receipt of the goods at the latest.

（2）Delayed goods must be presented within 21 days from the date on which the right of disposal of the goods is handed over to the designated consignee.

（3）If the consignee is unable to pick up the goods, he/she must make a claim within 120 days from the date the air waybill is issued.

Article 37 The limitation period for actions in air transport is 2 years, calculated from the date on which the aircraft arrives at the destination, the destination it should have arrived at, or the date on which the transport is terminated.

Article 38 Disclaimer

SF Airlines is not responsible for the destruction, loss or damage of cargo caused by the following reasons:

(a) The natural properties, quality or defects of the goods;

(b) If the goods are packed by a person other than the carrier or his servants or agents, the goods are poorly packed;

(c) The goods are well packed and sealed, but the contents are missing or damaged;

(d) Reasonable loss of goods;

(e) War or armed conflict;

(f) Force majeure;

(g) Actions taken by relevant government departments related to the entry, exit or transit of goods

(h) Goods not transported by SF Airlines;

(i) Cargo loss caused by reasons not attributable to SF Airlines;

(j) Other exemptions as provided in Chapter 12 of the Conditions.

Chapter 14 Entry into Force and Modification

Article 39 The Conditions of Transport have been filed with the Civil Aviation Administration of China and will take effect from the date of publication.

Article 40 SF Airlines has the right to modify any clause in these Terms and Conditions without prior notice in accordance with the procedures prescribed by the Civil Aviation Administration of China. However, such modification shall not apply to transportation started before the modification.

Article 41 SF Airlines’ agents, employees or representatives have no right to change, amend or waive any clause in these Terms.

Article 42 SF Airlines Co., Ltd. shall be responsible for interpreting these terms and conditions.