OST Filings for January, 2003

OST Docket Filings for January 2, 2003

Last Updated 01/02/03 08:47 PM

Applications and Renewals:

ABSA - Brazil-US Renewal

Ethiopian - Renewal

Far Eastern - Taiwan-US Charters

Glenwood Aviation - Submission of Exhibits

Answers and Replies:

DCA Slots - Comments

Hong Kong Fifth Freedom - Answer of Kalitta Air

Notices of Action Taken:

None

Notices and Orders:

EAS at Decatur, IL - Order Selecting Carrier

Aerolinhas Brasilerias, S.A.

OST-96-1372	December 31, 2002 Docketed January 2, 2003	Application for Renewal of Exemption Authority	Brazil-U.S.
		Service List

Continue to conduct scheduled and charter all-cargo services between any point or points in Brazil and the U.S. coterminal points New York/ Atlanta/ Miami/ Orlando/ Detroit/ Houston/ Chicago/ Los Angeles/ Washington, D.C./ Baltimore/ San Francisco/ Boston/ San Juan, via intermediate points.

Counsel: Celestino Pena, 305 856-5655

Index

Essential Air Service at Decatur, Illinois

Order 03-01-1 OST-02-11859	Issued January 2, 2003 Served January 7, 2002	Order Selecting Carrier and Establishing Final Subsidy Rate	Essential Air Service at Decatur, Illinois
		Appendices A-C: Map, EAS Calculation

By this order, the Department is selecting Trans States Airlines, Inc., d/b/a American Connection, to provide essential air service at Decatur, Illinois, for a two-year period at a subsidy rate of $917,077 annually. In the absence of a proposal for service to Chicago, Trans States' Option A best meets Decatur's essential air service determination, since it offers 90 seats each weekday and 120 each weekend. Ninety seats each weekday easily meets the 67 contained in Decatur's essential air service determination. Although 120 seats over the weekend falls slightly short of the 134 seats contained in Decatur's determination, Trans States projects 23,352 passengers on 1,946 completed flights annually -- an average of 12 passengers per flight on 30-seat aircraft. It is clear from the carrier's traffic projection that the additional round trip required to meet Decatur's seating guarantee on weekends is not necessary as a practical matter.

By: Read C. Van de Water

Index

Ethiopian Airlines Enterprise

OST-98-3726 OST-98-4345	December 2, 2003	Application for Renewal of Exemption Authority	Addis Ababa- Newark/Washington Dulles via Rome
		Service List

On January 8, 2002, Ethiopian was granted a one-year renewal of its exemption authority to provide scheduled combination service between Addis Ababa, Ethiopia and Newark, New Jersey and Washington, DC via Rome, Italy. That authority is set to expire January 8, 2003. Ethiopian has continued to operate scheduled combination service over the routing Addis Ababa-Rome-Newark-Washington, DC since the exemption authority was granted. Ethiopian currently operates two weekly round-trip flights over this routing with Boeing B-767300 aircraft.

Counsel: Silverberg Goldman, Michael Goldman, 202 944-3305

Index

Far Eastern Air Transport Corporation

OST-03-14191	December 31, 2002 Docketed January 2, 2003	Application for an Exemption	Scheduled and Charter Foreign Air Transportation
		Service List

By Notice of Action Taken on September 10, 1998, in Docket OST-98-3980, the Department granted Far Eastern exemption authority to conduct scheduled foreign air transportation of persons, property and mail from points behind Taiwan, via Taiwan and intermediate points, to points in the U.S. and beyond; charter foreign air transportation of persons, property and mail pursuant to the Open Skies Air Transport Agreement between the American Institute in Taiwan and the Taipei Economic and Cultural Representative Office; and other charters pursuant to 14 C.F.R. Part 212. This exemption authority expired on September 10, 2000. By Notice of Action Taken on January 5, 2001, in Docket OST-2000-8495, the Department reinstated Far Eastern's exemption authority. Far Eastern was granted authority for a period of two years, through January 5, 2003.

Far Eastern requests that this exemption authority be renewed for a period of two years or until 90 days after the issuance of a final order granting the outstanding Application of Far Eastern Air Transport Corporation for Foreign Air Carrier Permit, which was filed on July 29, 1997, amended on June 24, 1998, and remains pending in Docket No. OST-97-2768, whichever occurs first.

Counsel: Preston Gates, Jonathan Blank, 202 628-1700

Index

Glenwood Aviation, LLC d/b/a America Rising

OST-02-13365

December 31, 2002

Re: Exhibits for Inclusion

Certificate of Public Convenience and Necessity - Interstate Scheduled Passenger

In accordance with the Department's December 26, 2002 ruling on confidentiality, Glenwood is filing the following exhibits for inclusion in the abovereferenced docket: Exhibit GA-105 (Aircraft Financing, Management Fees and Allocation of Seats), pages 2-4; Exhibit GA-120 (third-party verification letter); and, Exhibit GA-122 (Commitment Letter from Mr. Steve Walker), redacted consistent with the Department's December 26 ruling.

Counsel: Crowell Moring, Lorraine Halloway, 202-624-2538

Index

2002/2003 Hong Kong Fifth-Freedom All-Cargo Frequencies

OST-02-14049	January 2, 2003	Answer of Kalitta Air	US-Hong Kong Fifth-Freedom All-Cargo Frequencies
		Service List

The applicants in this proceeding believe that discussions may enable them to present a joint position to the Department that would permit the Department to allocate the frequencies at issue without the necessity of a fully litigated route proceeding. While Kalitta Air agrees that such a discussion, confined specifically to the allocation of Hong Kong Fifth Freedom frequencies, would not put the participants in jeopardy of antitrust liability, out of an abundance of caution we believe that the presence of a representative of the General Counsel's office would relieve any possible concerns.

The process proposed by the applicants is little different than discussions authorized by the Department or the Civil Aeronautics Board in the past. The example cited by FedEx is very closely on point. In Order 88-12-12, the Department authorized discussions concerning scheduling adjustments to relieve congestion at O'Hare. It stated "The product of the discussions will not be a private agreement among the carriers but an FAA decision exercising its statutory authority to regulate use of the nation's airspace. Since any restrictions imposed on the carriers' operations will result from FAA action, the carriers' participation in the discussions cannot create a risk of antitrust liability."

The purpose of the proposed discussion is essentially the same: not a private agreement, but a joint proposal to assist the Department in exercising its statutory authority to allocate the frequencies at issue. The Department may decide to allocate the frequencies in accordance with the proposal, or it may decide that the matter should be fully litigated. In any event, the action is the government's, and there should not be any risk of liability. Nonetheless, the ensure full disclose and transparency, Kalitta Air urges the Department to act promptly to authorize the intervention of the Assistant General Counsel for Aviation Enforcement and Proceedings in the proposed discussions amongst the applicant carriers.

Counsel: Sher Blackwell, Mark Atwood, 202 463-2513

Index

Ronald Reagan Washington National Airport - Establishment of Slot Proceeding

OST-00-7182

January 2, 2003

Comments of the City of Mobile

Ronald Reagan Washington National Airport - Establishment of Slot Proceeding

By: Michael Dow

OST-00-7182

December 30, 2002
Docketed January 2, 2003

Comments of Airlift Technologies

Ronald Reagan Washington National Airport - Establishment of Slot Proceeding