OST Filings for January 9, 2002

OST-97-2965 OST-01-11037	January 9, 2002	Motion of American Airlines for Leave to File and Rejoinder to Response of United Air Lines	U.S.- Spain Beyond Reciprocal Codesharing Services; Buenos Aires- Montevideo
		Service List

In its application, American is seeking authorization to display the "IB*" code of Iberia Lineas Aereas de Espana, S.A. on flights operated by American between Buenos Aires, Argentina and Montevideo, Uruguay for the carriage of passengers in the Madrid-Montevideo market. Such passengers will travel on Iberia between Madrid and Buenos Aires, where they will connect to American's flights between Buenos Aires and Montevideo.

United continues to assert that because it has been unable to secure extra-bilateral authority to engage in codesharing services between the U.S. and Madrid via third-country points in Europe, American's application to engage in codeshare operations with Iberia in a non-U.S.-Spain market -between Madrid and Montevideo, Uruguay via Buenos Aires -should be denied.

The Department should reject United's attempted linkage. American's application is entirely unrelated to the U.S.-Spain market which United is seeking to serve via points in Europe. Far from being "unprecedented" and "eccentric" (United response, p. 2), American's position is firmly based on the very different nature of its request and United's. There is no sound reason for the Department to prevent American and Iberia from codesharing in a non-U.S.-Spain market because of issues surrounding United's wholly unrelated proposal to codeshare to Madrid via London and Paris.

As we stated in our reply to United on December 21, 2001, the Department should encourage U.S. carriers in international markets to enter into arrangements that provide traffic support for their services. By gaining codeshare passengers from Iberia for American's Buenos Aires-Montevideo tag, American will achieve additional revenue and enhance its viability on this segment, thus benefiting passengers in the U.S.-Uruguay market.

Counsel: American, Carl Nelson, 202.496.5647, carl_nelson@aa.com

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Cargolux Airlines International, S.A.

OST-98-4606 OST-98-4944	January 9, 2002	Application to Renew Exemptions and Waivers	U.S.- Luxembourg; All-Cargo, 7th Freedom
		Service List

Cargolux respectfully requests the Department renew the exemptions and waiver to permit Cargolux to provide Seventh Freedom all-cargo scheduled and charter services described in the July 1998 Exchange of Notes and take any additional necessary steps to keep Cargolux's exemptions in effect pending final Department action on the amendments to its permit.

Counsel: Stephen Lachter, 202.862.4321, lachter@starpower.net

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Market Based Actions to Relieve Airport Congestion and Delay

OST-01-9849

October 31, 2001
Docketed January 8, 2002

Comments of Jane Landes

Public Comment to Relieve Airport Congestion and Delay

By: Jane Landes

OST-01-9849

October 31, 2001
Docketed January 9, 2002

Comments of Jean Doran Putnam

Public Comment to Relieve Airport Congestion and Delay

By: Jean Doran Putnam

OST-01-9849

January 9, 2002

Comments of New Rochelle Citizens Committee

Public Comment to Relieve Airport Congestion and Delay

By: Ann Carlin

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Transcarga International Airways, C.A.

OST-01-11231	January 9, 2002	Motion to File an Otherwise Unauthorized Document	U.S.- Venezuela
		Service List
		Answer of Arrow Air
		Service List

Fine/Arrow does not take any position upon Transcarga's application, however until the very serious U.S.-Venezuela bilateral situation which has developed involving the illegal seizure of one of Fine/Arrow's aircraft in Venezuela is resolved, there should be no action on Transcarga's application. Fine/Arrow has for many years successfully operated all-cargo services to various points in Venezuela. Under Venezuelan law, Fine/Arrow as a certificated cargo airline renders a public service and this service cannot be interrupted.. However, as a result of certain illegal actions in Venezuela, one of Fine/Arrow's L-1011 aircraft was improperly seized last month and currently remains impounded until determination of the issue by the Supreme Court of Venezuela.

A former employee of the airline, Eduardo Antonio Trajkovic Varriole had originally filed a claim in Florida under the approval of the U.S. bankruptcy court overseeing Fine/Arrow's reorganization pursuant to Chapter 11.² Notwithstanding the Chapter 11 procedures including the automatic stay on pending actions, Trajkovic nonetheless improperly continued to prosecute an action in Venezuela against the airline in a case styled: Eduardo Antonio Trajkovic Varriole vs. Fine Air Services, Inc., Arrow Air, Inc. and/or Fine Air Airlines Inc. and/or Ajzro Air Associates, Inc. (all of them part of the Fine Consortium) pending in the Juzgado de Primera Instancia del Trabajo de la Circumscripcion Judicial de Cotado Vargas. Trajkovic has continued to prosecute this action despite his express agreement through his counsel in the U.S. Bankruptcy Court not to pursue or prosecute, in any way whatsoever, any action in Venezuela against any of the Debtors included in the above-listed action. Trajkovic's illegal actions have included the seizure of Company assets resulting in an interruption of the Company's public service to Venezuela.

As a result of Trajkovic's continuing to pursue and vigorously prosecute his Venezuela action, the U.S. Bankruptcy Court was obliged to enter an order finding him to be in Civil Contempt and assessed a sanction of ten million dollars ($10,000,000.00) against him by reason of his contempt, and ordered him incarcerated if he ever were to return to the U.S.

Most recently, and because of the very serious and illegal action of seizing Fine/Arrow's L-1011 aircraft in Venezuela last month, the U. S. Bankruptcy Court was obliged to issue another order indicating, inter alia, that consideration is being given to seizing or otherwise grounding Venezuelan aircraft.

Counsel: Pierre Murphy, 202.822.8050, pmurphy@lopmurphy.com

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U.S.-Ecuador All-Cargo Frequency Allocation

OST-00-7513

January 8, 2002

Eighteenth Interim Report of Gemini Air Cargo

U.S.-Ecuador All-Cargo Frequency Allocation

On December 20, 2001, Gemini applied to operate eight charter flights during January, 2002 -- two flights during each of four weeks. By a letter dated December 26, 2001, the Director General of the DGAC denied the application for reasons that Gemini does not regard as valid. The DGAC stated that it was denying the application because the "Consejo Nacional de Aviación" (National Aviation Council) had not granted Gemini provisional authority to operate scheduled service and because Gemini had not initiated the last phase of its Ecuadoran Part 129 certification, a step that is dependent upon the receipt of Gemini’s scheduled authority from the Consejo. On December 27, 2001, Gemini’s representative wrote to the DGAC and sought reconsideration of the denial. Gemini pointed out that authority to operate charter flights was not subject to the DGAC’s conditions under either the Air Transport Agreement between the United States and Ecuador or Ecuadoran law. Indeed Gemini operated many charter flights to Ecuador in 2001 without holding scheduled authority. On January 3, 2002, Gemini requested a response to its December 27 letter seeking reconsideration, but by a letter also dated January 3, 2002, the DGAC reaffirmed the denial issued in its letter of December 27, 2001.

Gemini expects the Consejo to issue scheduled authority to Gemini at its next meeting, The Consejo normally meets on Wednesday of each week, but due to the end of year holiday period the Consejo did not meet on December 12, 19, or 26, 2001, or on Wednesday of last week, January 2, 2002. Based on the latest information available to Gemini, the Consejo will not meet this week, on January 9, which means that the next regular meeting will not be until January 16, 2002. Gemini is contacting appropriate Ecuadoran aviation officials to determine whether there is any other means under which Gemini might obtain provisional scheduled authority prior to the next official meeting of the Consejo on January 16.

Counsel: Roller Bauer, Moffett Roller, 202.331.3300, airlaw@rollerbauer.com

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International Air Transport Association

OST-02-11290

January 9, 2002

Application for Approval of Agreements

PSC/Reso/112

By: David O'Connor

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