OST Docket Filings for July 31, 1997
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OST Docket Filings for July 31, 1997
Aeromexico | American and British Airways | Custom Air Transport | IATA (4) | JAL | US-Ecuador
Notices of Action Taken:
Alaska Airlines | Southern Air Transport | Tower
Notices and Orders:
American and British Airways | Northwest/United
Aerovias de Mexico, S.A. de C.V. (Exemption, Monclova-Houston)
OST-97-2776 | July 31, 1997
Aeromexico seeks authority to engage in scheduled foreign air transportation of persons, property and mail between Monclova, Mexico, and Houston, Texas. Aeromexico plans to serve the market initially with Metro III aircraft via a wet lease arrangement with Aerolitoral, S.A. de C.V., a sister company, but the company may decide to institute service with large aircraft in the future. The service will consist of one daily round trip on Tuesdays, Wednesdays, Thursdays and Sundays. There currently is no service in the market so the proposed service will provide significant benefits for U.S.-Mexico passengers.
Answers are due by August 15, 1997
Counsel: Verner Liipfert, William Evans, 202-371-6030
Alaska Airlines, Inc. (Notice of Action Taken)
OST-97-2748 | Posted July 31, 1997
Scheduled foreign air transportation between Phoenix and Puerto Vallarta/San Jose del Cabo, as last renewed on May 22, 1996, and June 26, 1996.
By: Paul Gretch / Counsel: Marshall Sinick, 202-626-6651
American Airlines, Inc. and British Airways Plc (Antitrust Immunity)
OST-97-2058 | Served July 31, 1997
Notice Granting Access to Documents
We will rule on the merits of the Rule 39 Motion by subsequent order. In the meantime, to afford interested parties prompt access to this information under conditions agreed to by the Joint Applicants and imposed by the Department under similar recent circumstances, we will grant immediate interim access to these materials to counsel and outside experts for interested parties who file or who have previously filed appropriate affidavits with the Department in advance. Moreover, we find it appropriate to grant interim access to any subsequent materials filed in this docket under a Rule 39 Motion to counsel and outside experts for interested parties who file or who have previously filed appropriate affidavits with the Department in advance, unless the party filing the motion objects.
By: Charles Hunnicutt
American Airlines, Inc. and British Airways Plc (Antitrust Immunity)
OST-97-2058 | July 31, 1997
Confidentiality Affidavits for GKMG
Consulting Services
Counsel: Galland Kharasch
Custom Air Transport, Inc. (Certificate of Public Convenience to Operate Charter Passenger Services, Foreign and Interstate)
OST-97-2256 | OST-97-2255 | July 31, 1997
Supplement No. 1 to Applications
We respectfully request that the Department focus especial attention on the fact that Custom is not a start-up carrier but is, rather, a reasonably successful operating all-cargo carrier that, in the time since it originally received its all-cargo certificate in December, 1995, has grown its fleet from one to five all-cargo B-727 aircraft. With that record, relatively enviable among recent start-up carriers, we believe Custom can and should be accorded both flexibility and latitude not only in terms of meeting the Department's financial fitness criteria but also in being allowed to grow its passenger fleet to the two aircraft originally planned.
Counsel: Mendelsohn Szymkowicz, Allan Mendelsohn, 202-626-6296
Japan Airlines Company, Ltd. (Exemption Renewal, Sendai-Honolulu)
OST-95-662 | July 31, 1997
Answer of the State of Hawaii
in Support to Renew Exemption
Renewal of JAL's Sendai-Honolulu exemption authority will continue to benefit the economic interests of the State of Hawaii and the United States. The promotion and development of Japanese tourism to Hawaii continues to be one of the State's most important economic objectives. Hawaii is the largest U.S. market for Japanese visitors, attracting over 40% of such visitors annually. Japanese visitors contribute billions of dollars each year to the State's economy. It is axiomatic that Hawaii's air travel market is heavily dependent on the availability of efficient, economical and convenient air services. JAL's Sendai-Honolulu service has opened a new region of Japan for nonstop service to Hawaii, and, as a result, has contributed to an increase in Japanese visitors to the State.
Counsel: Hawaii and Shaw Pittman, Robert Cohn, 202-663-8060
Northwest Airlines, Inc. / United Air Lines, Inc. (Allocation of All-Cargo Frequencies)
Order 97-7-35 | OST-97-2145 | OST-97-2201 | Issued and Served July 30, 1997
By this order we tentatively award Northwest Airlines an allocation of two weekly frequencies to provide all-cargo scheduled service in the US-Philippines market for a period of one year from October 1, 1997.
While both Northwest and United have presented proposals that would benefit the public, we tentatively find that the selection of Northwest better serves our goal of promoting competition in the U. S.-Philippine all-cargo market. Northwest would be a new entrant to that market. Not only would it offer new competition to United, but also new competition to Federal Express, Polar, and UPS. United, on the other hand, already serves the market with three weekly frequencies. While the allocation of additional frequencies to United would enable it to increase that service, the selection of Northwest will make available to the public new price, service, and aircraft options, a benefit we believe is especially important as the Philippine market develops. In these circumstances, we tentatively conclude that the competitive benefits of a new all-cargo entrant outweigh the competitive benefits of increased operations by United.
By: Patrick Murphy
Southern Air Transport, Inc. (Notice of Action Taken – Renew)
OST-97-2513 | Posted July 31, 1997
Scheduled foreign air transportation of property and mail between New York and Prestwick/Glasgow, Scotland.
By: Paul Gretch / Counsel: Pierre Murphy, 202-872-1679
Tower Air, Inc. (Notice of Action Taken – New)
OST-97-2636 | Posted July 31, 1997
Scheduled foreign air transportation between New York and Cairo, via Athens, and to integrate this authority with its existing exemption and certificate authority.
By: Paul Gretch / Counsel: Stephen Gelband, 202-337-6200
U.S.-Ecuador All-Cargo Frequencies
OST-97-2711 | July 31, 1997
It is incorrect, as Millon contends, that "U.S.-Ecuador shippers are being adequately served." AIA officials travelled to Ecuador last week to begin preparations for obtaining scheduled authority, and met with shippers and forwarders. The strong sentiment among these people is that service in the market is quite inadequate, both in quality as well as quantity. The number of charters and extra sections which Millon reports being operated simply underscores the inadequacy of the 15-frequency regime. One of the complaints among shippers is the irregular nature of much of the service being offered. Charters and extra sections do not fill the need of exporters of highly perishable commodities for dependable, regular, scheduled service, such as that which AIA plans to provide.
Fine would have AIA receive, at best, two frequencies. AIA will, of course, operate as many frequencies the Department chooses to give it. Fewer than three frequencies, however, would be inadequate to operate what now appears to be its likely service pattern. As AIA pointed out in its pleading of May 19, 1997,2'the L-1011 is by far the preferred aircraft to use in the Ecuador market, and the one which its customers have requested. After the recent trip to Ecuador by AIA officials, it appears probable that AlA's service will be operated primarily with the L-1011. This, however, would be impossible without three frequencies. Indeed, given the response of the market, AIA could easily use far more than three frequencies. Fine again attempts to make this proceeding a competitive contest between itself and Challenge Air Cargo. It restates its arguments that the higher costs that are experienced in the Ecuador market are attributable to Challenge's control of seven out of the fifteen frequencies .
Counsel: Sher Blackwell, Mark Atwood, 202-463-2500
Agreements Adopted by the Traffic Conferences of the International Air Transport Association
July 31, 1997
Counsel: IATA, David O’Connor, 202-624-2977
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