OST Docket Filings for January 2, 1998
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OST Docket Filings for January 2, 1998
None
Answers and Replies:
Continental/American | Continental/Delta | Continental/United/American | Continental/Delta/American/Continental |
Notices of Action Taken:
Aero Taxi del Centro | Mexicana and Aeroperu
Notices and Orders:
Aero Taxi del Centro de Mexico, S.A. de C.V. (Notice of Action Taken)
OST-96-1866 | Posted January 2, 1998
Exemption from 49 USC section 41301 to permit the applicant to continue to conduct passenger charter operations between Mexico and the United States, and other passenger charter operations in accordance with 14 CFR Part 212, using small equipment, for a period of one year.
Counsel: Lee Bauer, 202-962-9440
COMPANIA MEXICANA de AVIACION, S.A. de C.V. (MEXICANA) and EMPRESA de TRANSPORTE AERO del PERU (AEROPERU) - (Notice of Action Taken)
Undocketed | Filed February 27, 1997 | Posted January 2, 1998
Relief requested: Statement of Authorization under 14 CFR Part 212 to permit Mexicana to continue to engage in a code-share/blocked-space arrangement with Aeroperu for once-daily scheduled service over the routing Newark, New Jersey - Cancun, Mexico - Lima, Peru - Buenos Aires, Argentina, through March 10, 1998. Under the arrangement, Mexicana: 1) operates the aircraft on all segments of the route; 2) carries its own traffic between Newark and Cancun under one flight number, and operates beyond Cancun under different flight numbers; and 3) carries Aeroperu's code for traffic between Newark and Lima, and for traffic between Newark and Buenos Aires. These Aeroperu services are held out under one flight number between Newark and Lima, and a different flight number between Lima and Buenos Aires.
Applicant rep(s): Robert Papkin (for Mexicana) 202.626.6601; and John Richardson (for Aeroperu) 202.496.1234.
Continental Airlines, Inc. / American Airlines, Inc. (US-Brazil)
OST-97-3273 | OST-97-3269 | January 2, 1998
Consolidated
Answer of United Air Lines
United opposes the-applications of Continental and American. United has proposed to use the new frequencies to offer the first U.S. carrier nonstop service in the Los Angeles-Sao Paulo market. Los Angeles is the largest U.S. gateway to Brazil that lacks U.S. carrier nonstop service. The Los Angeles-Sao Paulo market is currently the preserve of several foreign flag carriers. U.S. carrier competition is clearly required in a major market of this size as a matter of priority over services in markets such as those which Continental and American propose to serve.
Counsel: United and Ginsburg Feldman, Joel Burton, 202-637-9130
Continental Airlines, Inc. / Delta Air Lines, Inc. (US-Brazil)
OST-97-3273 | OST-97-3151 | January 2, 1998
Answer of The
City of Houston and The Greater Houston Partnership
The growth of Continental's network from Houston to Latin America has both reflected and further stimulated Houston's ties to the region. Now, Continental's expansion into Brazil promises to enable Houston to tap the full potential of those ties, while providing travelers and shippers both in and behind Houston with vastly more efficient access to Sao Paulo and other Brazilian points and beyond. Houston submits that the introduction of a new U.S.-Brazil routing through Houston is in the public interest and is consistent with DOT policy and enhanced ties between the U.S. and Brazil.
Counsel: Zuckert Scoutt, Raymond Rasenberger, 202-298-6660
Continental Airlines, Inc. / United Air Lines, Inc. / American Airlines, Inc. (US-Brazil)
OST-97-3273 | OST-97-3271 | OST-97-3269 | January 2, 1998
Consolidated
Answer of Delta Air Lines
Delta urges the Department promptly to institute a case to consider the allocation of the seven additional weekly frequencies available under the U.S.-Brazil bilateral agreement. Delta wants to be in a position to obtain authority well in advance of the October 1998 start-up date under the MOC to permit it adequately to promote and market the proposed new services.
Counsel: Delta and Shaw Pittman, Robert Cohn, 202-663-8060
Continental Airlines, Inc. / Delta Air Lines, Inc. / American Airlines, Inc. / Continental Airlines, Inc. (US-Brazil)
OST-97-3271 | OST-97-3151 | OST-97-3269 | OST-97-3273 | January 2, 1998
Answer of Continental
Airlines to Motion to Consolidate
Continental believes the merits of its proposal to serve Houston so far outweigh any merits of the other proposals that its application should be granted immediately, but the Department is constrained by the Ashbacker doctrine and its own policies to institute a proceeding to consider the competing applications. American and Continental have sought consolidation of their applications with Delta's, while United has indulged in some wishful thinking about Brazil's potential willingness to offer more frequencies to the U.S. and failed to submit a motion seeking consolidation. Clearly, the American and Continental motions to consolidate should be granted whether United formally seeks consolidation or not.
Counsel: Continental and Crowell Moring, Bruce Keiner, 202-624-2615
Motion of United
Air Lines to Consolidate
Each of the captioned applications requests allocation of seven (7) V.S.-Brazil frequencies. A total of 28 frequencies are requested. Under the US/Brazil bilateral air services agreement, only seven (7) additional frequencies are available for allocation during 1998. Unless the U.S. and Brazil agree to increase the number of frequencies available, the captioned applications are mutually exclusive and must be consolidated for adjudication in a contemporaneous carrier selection proceeding.
Counsel: United and Ginsburg Feldman, Joel Burton, 202-637-9130
Essential Air Service at Seward, AK
Order 98-1-2 | OST-97-2942 | Issued January 2, 1998 | Served January 7, 1998
By this order we are finalizing our tentative decision in Order 97-9-34, to reselect F. S. Air Service, Inc. to provide subsidized essential air service at Seward, Alaska. In addition, by this order we will establish a revised annual subsidy rate in the amount of $73,498 for the two-year period beginning with the service date of this order.
By: Charles Hunnicutt
Federal Express Corporation (Thailand Cargo Start-Up Delay)
OST-97-3261 | January 2, 1998
Unlike Federal Express, Air Micronesia has dormancy conditions imposed on both its Thailand all-cargo certificate and its frequency allocation. Whatever relief the Department provides with respect to the Federal Express frequency condition should also be applied to the Air Micronesia certificate condition as well as to the frequency allocation conditions of all carriers holding Thailand cargo frequencies.
Counsel: Crowell Moring, Bruce Keiner, 202-624-2500
Polar Air opposes, however, FedEx's request that the 90-day dormancy condition be eliminated entirely and replaced by a notice provision with respect to all of FedEx's U.S.-Thailand frequencies. The use of the U.S.-Thailand frequencies should not be wholly discretionary, as FedEx proposes.' Some carriers that have been allocated frequencies have failed to use them at all and others leave several weekly frequencies underutilized on a regular basis. It would be preferable that such frequencies that remain unused or underutilized for a long term be returned for reallocation at such time as another carrier has an immediate plan to use them.
Counsel: Ginsburg Feldman, Jeffrey Manley, 202-637-9057
Order 98-1-1 | OST-97-3213 | Issued January 2, 1998 | Served January 7, 1998
The agreement increases passenger fares (except for add-on fares and related charges) from Zimbabwe to points throughout the world, including U.S. points, by 35 percent to help offset the continued depreciation of the Zimbabwe dollar.
By: Paul L. Gretch
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