OST Filings for March 27, 2000

OST Docket Filings for March 27, 2000

Last Updated 03/29/00 02:51 PM

Applications and Renewals:

Continental Micronesia - Saipan/Japan Renewal | IATA | FWIA - Colombia Certificate & Exemption | Legend - LGA/ORD Slots

Answers and Replies:

ANA/Air Canada - Reply/Motion | Delta/United - Consolidated Answer of Northwest | Great Lakes - Notice to Terminate | IATA - Technical Correction

UPS/Challenge (2)- Answer of UPS/Challenge/Comments of Teamsters

Notices of Action Taken:

AeroJet | American - Department Action w/ Asiana | La Valencia | UPS | TWA/Kuwait

Notices and Orders:

Aero Jet Express, S.A. de C.V.

OST-98-3741

Filed March 3, 2000
Issued March 27, 2000

Notice of Action Taken

U.S.- Mexico Charters

Exemption from 49 USC section 41301 to permit the applicant 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.

By: Paul Gretch

Index

All Nippon Airways Co., Ltd. and Air Canada

OST-00-7074	March 27, 2000	Reply of ANA and Air Canada and Motion for Leave to File Otherwise an Unauthorized Document	Los Angeles- Tokyo
		Service List

It is Joint Applicants' understanding that at the time of Delta's proposed codeshare operations with Korean Air there was no third-country codeshare agreement between the Government of Japan and the Government of Korea. Consistent with the terms of the 1998 U.S.-Japan Memorandum of Understanding, in January of 1999, Japan and Korea reached an agreement concerning third-country codesharing. However, as Delta admits in its answer, the arrangement was never implemented by Delta. The above captioned Joint Application is fully consistent with the third-country codeshare authority provided for in the 1998 U.S.-Japan Memorandum of Understanding, as well as the relevant U.S.-Canada aviation agreements. Delta provides no valid basis for delaying approval of this application. ANA and Air Canada's codeshare service is due to commence on April 1, 2000. Hence, timely approval of this application is of the utmost importance to the Joint Applicants, as well as the travelling public.

Counsel: Zuckert Scoutt, James Devall, 202.298.8660

Index

American Airlines, Inc.

OST-00-7057

Filed March 9, 2000
Date of Action

Department Action on Application

U.S.- Korea; Code-Share with Asiana

By: Director, OIA

Index

Compania Mexicana de Aviacion, S.A. de C.V.

Order 00-3-26
OST-00-7063

Issued March 27, 2000
Served March 27, 2000

Order Granting Exemptions

Guadalajara, Mexico- Chicago, Illinois - Summer

We will grant Mexicana an exemption to enable it to perform two daily scheduled flight arrivals and two daily scheduled flight departures at O'Hare for one daily nonstop round trip each to Monterrey and Guadalajara during the 2000 summer season. We find that grant of this exemption authority is consistent with the public interest.

By: Bradley Mims

Index

Continental Airlines, Inc.

Order 00-3-24 OST-97-3287 OST-98-3623 OST-98-4504 OST-99-6111	Issued March 27, 2000 Served March 27, 2000	Consent Order and Order of Dismissal	Alleged Unlawful Discrimination Against Qualified Individual with Disabilities
		Attachment: Payment Form
		Service List

The Deputy General Counsel and Continental have also determined, on review of all the materials related to this matter, including the three-captioned third-party complaints, the informal complaints received by the Department and the informal complaints received by Continental, that further action by the Department is not warranted. Accordingly, this order dismisses the subject third-party complaints. Although Continental's conduct as described in the formal complaints as well as in other documentation violated certain requirements of Part 382, the Deputy General Counsel believes that those violations are adequately addressed by the settlement reached in this case. In addition, she believes that the incidents in question were limited in number and do not appear to reflect a policy of noncompliance with Part 382 on the part of the carrier. These factors render further action by the Department on this matter not to be in the public interest.

By: Administrative Law Judge, Burton S. Kolko

Index

Continental Micronesia, Inc.

OST-00-7143 Docket 49925 Docket 49806	March 27, 2000	Application for Renewal of Certificate Authority Scanned Copy	Certificate of Public Convenience - Route 171 (Segments 9 and 13) - Saipan/Guam-Sapporo/Sendai, Japan and Honolulu-Tokyo
		Service List

Continental Micronesia is currently utilizing the Route 171 authority for which it seeks renewal to operate five weekly Saipan-Guam-Sapporo flights and provide daily Saipan-Guam-Sendai and thrice-weekly Honolulu-Tokyo service. These routes are integral to Continental Micronesia’s Asian services, and renewal of Continental Micronesia’s authority is consistent with U.S. policy, the applicable bilateral aviation agreements and the public convenience and necessity within the meaning of 49 U.S.C. § 41102.

Counsel: Crowell Moring, Bruce Keiner, 202-624-2615

Index

Delta Air Lines, Inc. / United Air Lines, Inc.

OST-00-7078 OST-00-7085	March 27, 2000	Consolidated Answer of Northwest Airlines	U.S.- Vietnam Code-Share
		Service List

Northwest plans to apply for one of the three available U.S. carrier designations and an allotment of six frequencies. Northwest has long held an interest of serving the U.S.-Vietnam market. Northwest would utilize one of the newly available third-country Vietnam service opportunities on a codeshare basis under its Commercial Cooperation Agreement with Malaysia Airlines ("MAS"). See Docket OST-2000-6792. Under the arrangement, MAS would carry Northwest's designator code on flights operated by MAS between Hanoi and Ho Chi Minh City, on the one hand, and Kuala Lumpur, on the other, connecting with Northwest service from Detroit and MAS service from Los Angeles. Northwest anticipates filing an application for a designation, an allotment of six roundtrip weekly frequencies and exemption authority within the next few days following further coordination with MAS.

The Delta and United applications account for all 21 of the frequencies made available under the MOD. Hence, as soon as Northwest (or any other U.S. carrier) applies for the third available designation and any number of frequencies, the combined applications will have requested more frequencies than are currently available under the MOD. Under the Ashbacker Doctrine, the Department is required to give contemporaneous consideration to such mutually exclusive applications.

Counsel: Northwest, Meghan Rae Rosia, 202.842.3193

Index

Florida West International Airways, Inc.

OST-00-7141	March 27, 2000	Application for a Certificate of Public Convenience and Necessity Scanned Copy	U.S.-Colombia All-Cargo
OST-00-7140	March 27, 2000	Application for an Exemption Scanned Copy	U.S.-Colombia All-Cargo
		Service List

FWIA requests certificate authority to provide scheduled foreign air transportation of property and mail between any point or points in the United States, via intermediate points, in both directions, to a point or points in Colombia, and beyond Colombia to points in the Western Hemisphere. Broad certificate authority avoids the need to seek exemption authority each time a new market opportunity develops and enables FWIA to be responsive to the needs of its customers for increased international service. Additionally, this authority will strengthen FWIA’s competitive position with respect to the U.S. and foreign air carriers that now dominate the U.S.-Colombia air cargo market. All of these factors will enable FWIA to provide more efficient and complete air cargo services to the shipping public.

Counsel: Squire Sanders, Marshall Sinick, 202-626-6651, msinick@ssd.com

Index

Great Lakes Aviation. Ltd.

OST-00-7138	March 27, 2000	Notice of Great Lakes to Terminate Essential Air Service at Huron, SD	Intent to Terminate Service at Huron, SD
		Service List

Huron is located approximately 120 highway miles from the Sioux Falls, South Dakota Airport. During the past two years, there have been significant upgrades in the scheduled service provided at the Sioux Falls Airport. Currently there are 20 daily flights to four hubs (Denver operated by United Airlines and United Express, Chicago O'Hare operated by United Express, Minneapolis/St. Paul operated by Northwest Airlines and Northwest Airlink and St. Louis operated by Trans World Airlines) with all but three departures operating in jet equipment. United Express will add a fourth daily jet round trip to O'Hare in the near future. Great Lakes operates its Huron-Minneapolis/St. Paul flights as United Express service under a comprehensive marketing agreement with United Airlines. Because United's schedule service at Minneapolis/St. Paul is limited to flights to Chicago-O'Hare and Denver, itineraries involving United Express/United Airlines require a double connection between Huron and virtually every destination. Because of the greatly expanded schedule now available at Sioux Falls, the limited frequency of service scheduled by Great Lakes Aviation between Huron and Minneapolis/St. Paul cannot generate the revenues needed to cover the costs of providing the service. Great Lakes Aviation is unable to sustain the continuing losses associated with serving this market.

Great Lakes, Richard Fontaine, 712.262.1000

Index

La Valenciana Taxi Aereo, S.A. de C.V.

OST-96-1681

Filed February 23, 2000
Issued March 27, 2000

Notice of Action Taken

U.S. - Mexico Charters

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.

By: Paul Gretch

Index

Legend Airlines, Inc.

OST-00-7134	March 24, 2000 Docketed March 27, 2000	Application for an Exemption Scanned Copy	Exemption/Slots - LaGuardia-O'Hare
		Service List

Application of Legend Airlines, Inc. pursuant to 49 U.S.C. Sections 41716 and 41717, applies for 20 LaGuardia slot exemptions and 24 O'Hare slot exemptions so that it may operate 10 roundtrips to LaGuardia and 12 roundtrips to O'Hare. Given American’s slot advantage and predatory behavior toward Legend, it is essential that the Department provide Legend with the LaGuardia and O’Hare slots necessary for Legend to compete and ultimately, survive. By granting Legend 24 slots at ORD and 20 at LGA, Legend will be able to bring competitive fares and service to Dallas passengers at the nation’s most important business markets.

Counsel: Ungaretti Harris, Edward Faberman

Index

Ozark Air Lines, Inc

Order 00-3-22 OST-99-5288	Issued March 24, 2000 Served March 28, 2000	Order Issuing Effective Certificate and Confirming Oral Action	Interstate Scheduled and Charter Air Transportation
		Certificate of Public Convenience and Necessity
		Terms, Conditions, and Limitations
		Service List

Order 2000-3-22 confirms the Department's oral action granting to Ozark Air Lines, Inc. (Ozark) a waiver of the six-day waiting period prescribed in Order 99-8-27 before its certificate authority could be made effective, and (2) reissue to Ozark a certificate authorizing it to engage in interstate scheduled air transportation of persons, property, and mail to reflect its effective date of February 11, 2000.

By: Randall Bennett

Index

Taquan Air Service, Inc.

Order 00-3-23 OST-99-6244 OST-99-6245	Issued March 24, 2000 Served March 28, 2000	Order Selecting Carrier and Setting Final Rate	90-Day Notice to Terminate Essential Service at Port Alexander, Alaska
		Attachment A: Map
		Attachment B: Annual Subsidy
		Attachment C: EAS to be Provided

By: Bradley Mims

Index

Trans World Airlines, Inc. and Kuwait Airways Corporation

OST-99-5590

Filed January 24, 2000
Approved March 24, 2000

Department Action on Application

U.S.- Kuwait, Abu, Dhabi, Dubai and

By: Barbara Schools

Index

United Parcel Service Co.

OST-97-3178

Filed February 1, 2000
Issued March 27, 2000

Notice of Action Taken

U.S.-Thailand (All-Cargo)

By: Paul Gretch

Index

United Parcel Service Co. and Challenge Air Cargo, Inc.

OST-99-6345	March 27, 2000	Comments of International Brotherhood of Teamsters, Airlines Division	Transfer of Route Authority
		Interim Supplement to Pilot Agreement
		Separation Agreement with Waiver and Release of Claims
		Service List

Forty-eight (48) Crewmembers, thirty-two (32) Mechanics and Related Employees and three (3) Stock Clerks will be adversely affected by the transaction under consideration. This is because Challenge's operations could essentially terminate following transfer of its routes to UPS. The tentative agreement reached with Challenge will provide significant, but less than comprehensive labor protection, for all affected employees. Severance payments totaling $2,112,261 will be offered to the Crewmembers; that sum represents both separation pay and the temporary continuation of certain insurance benefits. The Mechanics and Related Employees and Stock Clerks will be offered a total of $715,436 in separation pay and benefit continuation.

Counsel: Baptiste Wilder, Roland Wilder, 202.223.0723

OST-99-6345	March 27, 2000	Answer of UPS and Challenge Air	Transfer of Route Authority
		Service List

Counsel: Zucket Scoutt, William Callaway, 202.298.8660 for Challenge Air and Kelley Drye, David Vaughan, 202.955.9600 for UPS

Index

Virgin Atlantic Airways Limited

Order 00-3-25
OST-00-6952

Issued March 27, 2000
Served March 27, 2000

Order

HTML

London's Heathrow Airport-Chicago's O'Hare

We will grant Virgin Atlantic two exemptions to enable it to perform one scheduled flight arrival and one scheduled flight departure per day at O'Hare in the London Heathrow-Chicago (O'Hare) market from April 2, 2000, through April 16, 2000. The pleadings in this case have raised foreign aviation policy issues that cannot be resolved at this time or in this context. We have determined that, on balance, it is in the public interest to grant part of Virgin Atlantic's application and to defer action on the remainder. This temporary slot exemption will thus expire on April 16, 2000. This approach will provide us with the opportunity to reach a judgment on the merits of this case that provides the greatest public benefits and promotes our aviation objectives most effectively

By: Bradley Mims

Index

International Air Transport Association

OST-00-7133	March 24, 2000	Application for Approval of Agreements	PTC2 ME-AFR 0049
		Memorandum: PTC2 ME-AFR 0049
		Service List

By: David O'Connor

OST-99-6144	March 27, 2000	Application for Approval of Agreements- Technical Correction	PTC2 EUR-ME Fares 0039 Corrects PTC2 EUR-ME Fares 0034
		Memorandum: PTC2 EUR-ME Fares 0039
		Service List

By: David O'Connor

OST-00-7076	Filed March 15, 2000	Approved March 24, 2000	Approval of Agreements
OST-00-7120	Filed March 23, 2000	Approved March 24, 2000	Approval of Agreements

By: Keith Shangraw

Index