Docketed February 13, 2002
90-Day
Notice to Terminate Essential Air Service at Pelican and Elfin Cove, AK© Copyright 2002 Airline Information Research, Inc. All rights reserved.
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OST Docket Filings for February 13, 2002 |
Last Updated 02/13/02 08:17 PM
Applications and Renewals:
Alaska Seaplane - 90 Day Notice to Terminate Service | Commander Mexicana - U.S.- Mexico Taxi Renewal | IATA
Volga - Miramar- Guam- North Island- Emergency Exemption
Answers and Replies:
American - Reply to Answer of Delta (Austria/Czech Codeshare w/ BA) | Compensation of Air Carriers (6)- Comments | Continental - Answer of Houston (Ghana)
CRS - Comments | EAS at Vernal/Cedar City, Utah - Request for Comments | Eurowings - Termination of Codeshare w/ KLM
Freedom - Notice of Application/Redacted Exhibit | TWA - Reply to Answer of United (NZ/Australia/Fiji Mail Codeshare)
U.S.- U.K. Alliance Case - Objection/Motion to Dismiss of AA/BA / Motion to Dismiss UA/bmi by Continental/Delta/Northwest and Answer to AA/BA Motion
Notices of Action Taken:
Tower Air - Dismissing Applications
Notices and Orders:
U.S.- U.K. Alliance Case - Notice Requiring Answers to Joint Motion
| OST-02-11586 | February 5, 2002 Docketed February 13, 2002 |
90-Day
Notice to Terminate Essential Air Service at Pelican and Elfin Cove, AK |
Terminate Unsubsidized Service at Pelican and Elfin Cove, Alaska |
| Service List |
Alaska Seaplane Service currently provides six flights a week with a small aircraft year around between the points Pelican and Elfin Cove and the hub point Juneau, Alaska. No other scheduled air service is provided at Pelican and Elfin Cove. Because of the events of September 11, 2001, air traffic to and from these points has fallen significantly. The winter is the slowest season of the year, but also the most costly because of the high rate of flights that cannot be completed due to weather. Immediate assistance in the form of Essential Service subsidy is needed.
By: Alaska Seaplane Service, Hank Myers, 425.641.8243
| OST-00-6901 | February 13, 2002 | Reply
of American Airlines to Answer of Delta Air Lines |
U.S.- Austria; Czech Republic via Zurich |
| Service List |
In this proceeding, American is seeking renewal and amendment of its exemption authority to serve between U.S. points, on the one hand, and Austria and the Czech Republic, on the other hand. As initially granted, the authority specified the intermediate point Zurich. American now requests authority via any intermediate point, consistent with the open skies agreements the U.S. has with both Austria and the Czech Republic. In its application, American stated an intention to use the requested authority for a codesharing arrangement with British Airways. Delta argues that the exemption should not be granted because codesharing between American and BA has not been approved. But this docket is not the place to address that issue. Under the open skies agreements with Austria and the Czech Republic, U.S. carriers are entitled to hold authority to serve between the U.S. and those two countries, via intermediate points. That is the authority American is seeking in this docket. Delta's agenda against AA/BA is irrelevant here.
Counsel: American, Carl Nelson, 202.496.5647, carl_nelson@aa.com
Commander Mexicana, S.A. de C.V.
| OST-97-2245 | February 13, 2002 | Application
for Renewal of Exemption |
U.S.- Mexico Charters |
| Exhibit A: Changes in Operations | |||
| Service List |
Counsel: Roller Bauer, Lee Bauer, 202.331.3300, airlaw@rollerbauer.com
Computer Reservation System Regulations
| OST-97-2881 | February 11, 2002 Docketed February 13, 2002 |
Comments
of Uniglobe VIP Travel |
Computer Reservation System (CRS) |
Since 1995, the airlines have been making a strong concerted effort to drive all travel agencies out of business by reducing our commissions earned on their tickets to a piddling 5% with a maximum of $20 per ticket. For the last two years, these same airlines have been very proactive in driving all potential customers to their respective website or to Orbitz, which the airlines also own. They are doing this by withholding their lowest fares from travel agencies and making them available only to those who visit these websites. Having been a strong small travel agency for 15 years, I am now threatened with going out of business because I cannot compete in the marketplace since I do not have access to these low web fares in my CRS.
By: Uniglobe VIP Travel, Tom Beebe
| OST-02-11434 | February 13, 2002 | Answer
of the City of Houston and the Greater Houston Partnership |
U.S.- Ghana |
| Service List |
The Houston Parties' interest in air service to Ghana and to Africa as a whole is rooted in the Greater Houston area's strong economic and cultural ties to the continent. Over 740 Houston-based companies trade goods and services with the western Africa region, including Ghana, and 37 Houston companies have established offices in the region. Furthermore, Regimanuel Gray Ltd., a Ghanian real estate and construction firm which develops housing, school and other real estate projects in Ghana, has its U.S. office in Houston. In 2000 (the most recent year for which data is available), the seaborne trade between the Port of Houston and Ghana was valued at more than $51 million, while air cargo trade with Ghana totaled more than 168,000 kilograms with a value of $4.1 million. Ghana was Houston's fourth-largest seaborne trading partner and fifth-largest airborne trading partner in the region. The total seaborne trade between Houston and western Africa in 2000 was valued at more than $1.5 billion and the airborne trade at more than $93.4 million. The services proposed by Continental would provide additional options for air cargo trade and thus would enhance the overall trading opportunities between Houston and the region.
In addition, there are significant cultural ties between Houston and Ghana. For example, the Museum of Fine Arts, Houston, since 1997 has featured the Glassell Collection of African Gold, which is one of the world's largest collections of gold artworks from the Ghana region. Ghana is also one of the more than 70 countries that maintain a consulate in Houston, affirming the cultural and business ties that the country shares with the Greater Houston area. The Houston Airport System has made a strong commitment to developing new aviation relationships between the U.S. and Africa, and is actively involved in promoting stronger ties with the region. In each of the past eight years, HAS has hosted a week-long annual conference on African aviation, co-sponsored by Airports Council International.
Counsel: Leftwich Douglas, Rebecca Taylor, 202.434.9100
Essential Air Service at Vernal and Cedar City, Utah
| OST-97-2706 | February 13, 2002 | Request
for Comments |
Essential Air Service at Vernal and Cedar City, Utah |
As you know, SkyWest Airlines, d/b/a United Express, has
provided subsidized essential air service to Cedar City for a number of years.
Most recently, by Order 2000-3-15, issued March 21, 2000, the Department
selected SkyWest to provide three nonstop round trips a day between Cedar City
and Salt Lake City with 30-seat Embraer Brasilia aircraft for $679,450 annually.
That rate expired on December 31, 2001, and we have recently concluded
negotiations with SkyWest for a new, prospective two-year contract.
At the request of the staff, SkyWest submitted two options
for continued service. Under Option 1, SkyWest would provide the same level of
service as it does currently, three nonstop round trips a day to Salt Lake City
with Brasilia aircraft. For this level of service, SkyWest request $1,162,978
annual subsidy. Under Option 2, SkyWest would provide the same level of service
in every aspect, except it would reduce the frequency from three round trips a
day to two, and its annual subsidy would be $902,889. Under each option, SkyWest
would be selected for a two-year period, with the first year subsidy-rate fixed,
and the second year to be negotiated based on the first year's results.
Because there is more than one service option, we wish to solicit your views and allow you to file any comments before we submit our recommendation to the Assistant Secretary for decision. So that you fully understand our process, once we receive your comments, we will issue our order tentatively reselecting SkyWest for one of the two options and allowing other carriers to submit competing bids.. If we do not receive competing proposals, we would again formally solicit the community's views as to carrier preference.
By: Dennis DeVany
| OST-95-746 OST-98-4459 |
February 13, 2002 | Re: Termination of Codeshare Serves |
Amsterdam- Germany; Codeshare with KLM and Northwest |
Counsel: Squire Sanders, Charles Donley, 202.626.6000
| OST-01-11206 | February 7, 2002 Docketed February 13, 2002 |
Re:
Mesa Air Group Notice of Certificate Application |
Scheduled Interstate Air Transportation |
This letter is to advise you that Freedom Airlines; Inc has filed a certificate application with the Department of Transportation. Freedom is a wholly-owned subsidiary of Mesa Air Group, Inc. and intends to use the trade name Freedom Airlines, Inc. Freedom will initially operate regional jet aircraft flights under the trade name "America West Express" pursuant to an agreement between America West and Mesa. Part 215 of the DOT's regulations provides that a carrier must give notification to similarly named carriers.
By: Mesa Air Group, Brian Gillman
| OST-01-11206 | February 7, 2002 Docketed February 13, 2002 |
Re:
Mesa Air Group Submitting Redacted Exhibit 15 to the Application |
Scheduled Interstate Air Transportation |
By: Mesa Air Group, Brian Gillman
Procedures for Compensation of Air Carriers
| OST-01-10885 | January 13, 2002 Docketed February 12, 2002 |
Comments
of Star Care V |
Procedures for Compensation of Air Carriers |
By: Star Care V, Wendy Wells
| OST-01-10885 | January 14, 2002 Docketed February 12, 2002 |
Comments
of Cal-Ore Life Flight |
Procedures for Compensation of Air Carriers |
By: Cal-Ore Life Flight, Dan Brattain
| OST-01-10885 | January 14, 2002 Docketed February 12, 2002 |
Comments
of Albany Med Flight |
Procedures for Compensation of Air Carriers |
By: Albany Med Flight, Tina Giangrasso
| OST-01-10885 | January 14, 2002 Docketed February 12, 2002 |
Comments
of Westchester Medical Center |
Procedures for Compensation of Air Carriers |
By: Westchester Medical Center, Ted Tully
| OST-01-10885 | January 11, 2002 Docketed February 12, 2002 |
Comments
of Critical Air Medicine |
Procedures for Compensation of Air Carriers |
By: Critical Air Medicine, Dennis Brozowski
| OST-01-10885 | January 14, 2002 Docketed February 13, 2002 |
Comments
of Inova Fairfax Hospital |
Procedures for Compensation of Air Carriers |
By: Inova Fairfax Hospital, Shirley Riggsbee
| Docket 44824 Docket 47996 Docket 48242 Docket 48270 Docket 48271 Docket 49148 OST-96-1647 OST-98-4009 |
Filed April 17, 1987 Filed February 22, 1997 Filed July 10, 1992 Filed July 24, 1992 Filed July 24, 1992 Filed September 23, 1993 Filed June 29, 1998 Filed June 29, 1998 Issued February 12, 2002 |
Notice
Dismissing Applications |
New York, NY- Paris, France; U.S. to points in Ireland U.S. to points in Dominican Republic; U.S. to points in Egypt, via Tel Aviv, Israel; New York, NY to Cairo, Egypt, via Tel Aviv, Israel; New York/Boston- Dublin, Ireland; Miami/LA/San Francisco/Boston- directly and via intermediate points, and any points in France, and beyond France to points in third countries |
44824 filed April 17, 1987. Certificate of public convenience and necessity to engage in foreign air transportation of persons, property, and mail between New York, New York and Paris, France.
47996 filed February 21, 1992. Amendment of certificate of public convenience and necessity on Route 401 to authorize Tower to engage in foreign air transportation of persons, property, and mail between points in the United States and points in Ireland.
48242 filed July 10, 1992. Amendment of certificate of public convenience and necessity on Route 401 to authorize Tower to engage in foreign air transportation of persons, property, and mail between points in the United States and points in the Dominican Republic.
48270 filed July 24, 1992. Certificate of public convenience and necessity to engage in foreign air transportation of persons, property, and mail between points in the United States and points in Egypt, via Tel Aviv, Israel.
48271 filed July 24, 1992. Exemption to engage in foreign air transportation of persons, property, and mail between New York, New York and Cairo, Egypt, via Tel Aviv, Israel.
49148 filed September 23, 1993. Certificate of public convenience and necessity to engage in foreign air transportation of persons, property, and mail between New York, New York and Boston, Massachusetts, on the one hand, and Dublin, Ireland, on the other.
OST-96-1647 filed June 29, 1998. Renew exemption to engage in foreign air transportation of persons, property, and mail between New York, New York and Paris, France. Amend the exemption to add Miami, Florida; Los Angeles, and San Francisco, California; and Boston, Massachusetts as additional gateways.
OST-98-4009 filed June 29, 1998. Certificate of public convenience and necessity to engage in foreign air transportation of persons, property, and mail between any points in the United States, directly and via intermediate points, and any points in France, and beyond France to points in third countries.
By: Paul Gretch
| OST-98-3325 | February 13, 2002 | Reply
of TWA Airlines to Answer of United Air Lines |
U.S.- New Zealand/Australia/Fiji |
| Service List |
In
its answer, United largely repeats the same arguments it made on December 27,
2001 in OST-1997-2240 with respect to renewal of American's underlying exemption
authority for a codesharing arrangement with Qantas Airways Limited. American
replied to United in that docket on January 8, 2002, and incorporates that reply
herein by reference.
Clearly,
the motive for United's filings are to enlist the Department in forcing the
termination of the TWA/ANZ mail codeshare, thereby establishing an exclusive
arrangement between United and Air New Zealand. The Department should decline to
participate in such an anticompetitive scheme.
Under
well-settled USPS mail tender procedures, foreign carriers authorized to display
U.S. carrier codes may carry U.S. international mail. TWA Airlines LLC and Air
New Zealand hold all necessary authority to engage in property and mail
codesharing, which will continue so long as TWA remains a separately
certificated carrier. If United has a complaint about USPS mail tender procedures, it should address that complaint to
the USPS, and not to the Department.
Counsel: American, Carl Nelson, 202.496.5647, carl_nelson@aa.com
Volga-Dnepr J.S. Cargo Airline
| OST-02-11600 | February 13, 2002 | Application for Emergency Exemption |
Miramar- Guam- North Island |
| Service List |
Volga-Dnepr will operate the flight on behalf of the United States Military as part of an effort to provide urgently needed lift to reach Guam not later than the scheduled shipment date of February 14, 2002. The military is shipping the seal boats to Guam in order to meet an aggressive schedule that requires replacement of certain boats in the Pacific. Given the extremely urgent need to move these boats in support of classified military operations being planned for February 13/14, 2002, the military stands to face substantial operational delays in support of highly time sensitive military operations, while only the use of Volga-Dnepr's outsized aircraft can make it possible to perform the service in question within the set schedule.
Counsel: Wicks Group, Glenn Wicks, 202.457.7790
| OST-01-11029 | February 13, 2002 | Joint
Motion of American Airlines and British Airways to Dismiss
Application |
U.S.-U.K. Alliance Case |
| Service List |
The Department has correctly linked the approval of antitrust immunity to the signing of an open skies agreement with the United Kingdom. Regrettably, we have come to the conclusion that the prospects of reaching both acceptable remedies and open skies now seem too remote to justify the continued time, effort, and expense of all parties involved.
First, we intend to maintain and strengthen the relationships between and among our oneworld partners. We will continue to look for every possible way to offer a more vigorous and competitive worldwide alliance.
Second, in the transatlantic market we intend to offer as much competition as possible to the three major immunized alliances, even though we will be at a distinct disadvantage without an immunized agreement.
Third, we intend to join forces to encourage both the United States and the European Commission to begin the process of establishing a truly open market between the U.S. and Europe. In light of the rapidly changing commercial environment in the airline industry, the public cannot and should not have to wait several years to win this result. While we expect that some parties to this case who enjoy considerable competitive advantages under the current regime will resist change, the governments should not wait. All issues should be on the table, from operating freedoms to ownership and control. Our governments should move quickly and decisively to establish a transatlantic common aviation market.
Counsel: American, Carl Nelson / British Airways and Boros Garofalo, Don Hainbach
| OST-01-11029 | February 13, 2002 |  Joint
Motion of Continental/Delta/Northwest to Dimsiss United/bmi
Application and Answer to AA/BA Motion to Dismiss
|
U.S.-U.K. Alliance Case |
This morning, American and British Airways moved to dismiss their own application, acknowledging that “acceptable remedies and open skies now seem too remote to justify the continued time, effort, and expense of all parties involved.” The Petitioners concur in that assessment.
The Department should also act to dismiss the pending application of United and bmi. Without the impetus of the AA/BA alliance, it is clear that the Department’s “fundamental predicate” of U.S.-U.K. open skies will not be satisfied, and, accordingly, there will be no basis to move forward with the United/bmi application. The Department recognized this commonality when it correctly decided to consolidate the two cases. See, Order 2001-11-10. United itself acknowledged that, as a practical matter, “approval of and antitrust immunity for the proposed addition of bmi to United’s integrated European alliance will be accomplished by the Department’s approval of the application of American and BA . . .” Answer of United, Docket OST-01-1037 (Nov. 2, 2001).
United and bmi opposed the Petitioners’ prior motion to dismiss because “[American and British Airways] have not sought leave to withdraw their joint application for immunity. Nor has either indicated that it does not intend to file timely objections to the [Show Cause] Order.” United/bmi Answer (Feb. 5, 2002). However, today’s development leaves no doubt that American and British Airways have abandoned their intent to seek an antitrust immunized alliance and with it any prospect for the requisite open skies regime.
Counsel: Continental and Crowell Moring, Delta and Shaw Pittman, Northwest Airlines
| OST-01-11029 | Served February 13, 2002 | Notice
Requiring Answers to Portion of Joint Motion |
U.S.- U.K. Alliance Case |
American Airlines, Inc. and British Airways PLC filed a joint motion to dismiss the antitrust application in this proceeding. As part of the joint motion, the movants request that "the Department immediately issue a notice suspending all further procedural dates in the above-captioned proceeding, includiing objections on February 15 and answers to objections on February 25, pending action on the joint motion to dismiss." Under our procedural regulations, answers to this motion, including the request to suspend the procedural dates, would be due on February 25. In order to afford all parties an opportunity to comment and the Department to act on this aspect of the joint motion before the due date for objections to the Department's Show Cause order in this proceeding, we require that answers to that portion of the American/British Airways motion calling for suspension of the procedural dates be filed no later than 10:00 a.m. February 14, 2002.
By: Read Van de Water
| OST-01-11029 | February 12, 2002 | Objection
of Joshua Chessman |
U.S.- U.K. Alliance Case |
By: Joshua Chessman
International Air Transport Association
| OST-02-11589 | February 13, 2002 | Application
for an Exemption, in Part, from the Conditions on the Approval of IATA's
Traffic Conference Provisions |
Exemption from the Civil Aeronautics Board Order 68-7-55. |
By: David O'Connor
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