Titan Airways

February 2, 2006

Re: Joint Answer of American Airlines and United Air Lines

Hereby jointly answer in opposition to the application submitted on February 1, 2006 by Titan Airways, a carrier of the United Kingdom, for a statement of authorization to conduct charter flights between the U.S. and third countries. Titan's application seeks extrabilateral authority and should be denied until the Government of the United Kingdom ends the discriminatory fuel rationing scheme imposed by BAA plc at Heathrow Airport following the Buncefield oil depot fire on December 11, 2005.

American and United do not dispute the temporary need for fuel rationing at Heathrow as a result of the Buncefield fire and the ensuing fuel shortage while pipeline repairs are made and alternative delivery methods are arranged. However, the action taken by BAA is blatantly discriminatory against American and United - the two U.S. carriers serving Heathrow - in direct violation of Article 11, paragraph 1 of the United States-United Kingdom Air Transport Agreement (Bermuda 2).

To date, efforts undertaken by American and United, the Air Transport Association, DOT, and the Department of State have been unsuccessful in ending BAA's discriminatory rationing scheme. In these circumstances, where the Government of the United Kingdom is in violation of its bilateral obligations under Article 11 of Bermuda 2, the Department should deny the application of Titan Airways, a carrier of the U.K., for charter authorization.

Counsel: American, Carl Nelson, 202-496-5647 / Wilmer Cutler, Jeffrey Manley, 202-663-6670 for United

2006-031 | Filed February 1, 2006 | Approved

Application for a Statement of Authorization

One round-trip Brussels-Boston-Paris for February 8-9, 2006 using a B-757.

On February 2, 2006, American Airlines, Inc. and United Air Lines, Inc. filed a joint answer in opposition to the request. The carriers state that Titan's request should be denied until the United Kingdom, Titan's homeland, ends what they assert is a discriminatory fuel rationing arrangement that BAA plc has put in place at London's Heathrow Airport. The carriers state that they do not dispute the need for fuel rationing in the wake of the recent fire at the U.K.'s Buncefield oil depot, but that BAA's current rationing arrangement, which gives U.K. carriers a higher percentage of their fuel requirements than is given to U.S. carriers, discriminates against them--a direct violation of the U.S.-U.K. Air Services Agreement.

Also on February 2, Titan filed a reply. It states that the U.K. Government has not violated the Agreement and that BAA is a private corporation that the U.K. Government cannot direct to take specific actions with respect to fuel allocation. Titan states that the dispute is a private business matter between the U.S. carriers and BAA, and that the single flight proposed by Titan is unrelated to the fuel rationing issue. Finally, Titan states that the United States and the United Kingdom are engaging in continuing discussions on this matter, and that Titan itself cannot affect the outcome of those discussions.

We have decided to grant Titan's request. Under 14 CFR Part 212, the Department will approve a request by a foreign air carrier to conduct a fifth-freedom charter flight if the proposed operation meets the requirements of that Part and is in the public interest. A primary criterion we use in determining the public interest is the existence of reciprocity on the part of the applicant's homeland. In the case before us here, we note that the Government of the United Kingdom has been approving U.S. carrier requests to conduct the kind of fifth-freedom flights proposed by Titan, demonstrating the existence of reciprocity. We nevertheless recognize the significance of the issues raised by American and United regarding fuel rationing at London Heathrow, and that the U.S. and U.K. Governments are actively engaged in efforts to achieve a resolution to those issues. We accordingly do not find that the public interest favors our withholding the authority from Titan to conduct its proposed operation.

Charterer: Suez

Counsel: Garofalo Goerlich, Don Hainbach, 202-776-3970

February 2, 2006 - Joint Answer of American and United

2006-238 | Filed July 20, 2006 | Approved July 24, 2006

Application for a Statement of Authorization

One one-way Larnaca-London-Baltimore for July 25, 2006 using a B757.

Charterer: Diplomat Freight Services

Counsel: Garofalo Goerlich, Don Hainbach, 202-776-3970

2007-359 | Filed August 2, 2007 | Approved August 3, 2007

Application for a Statement of Authorization

Titan Airways Limited hereby requests issuance of a statement of authorization to the extent necessary to ble Titan to operate five round-trip, premium service around-the-world charters on behalf of ea tarquest Expeditions. These flights are scheduled to be operated October 30, 2008 through April 15, 2009. Titan is requesting expedited approval so that the charterer may begin marketing and selling the premium tour packages as soon as possible.

Titan will be using a Boeing 757-200 aircraft with a premium configuration of 100 seats.

Counsel: Garofalo Goerlich, Don Hainbach, 202-776-3976, dhainbach@ggh-airlaw.com

2008-107 | Filed and Approved March 13, 2008

Application for a Statement of Authorization

Titan Airways, a United Kingdom carrier, hereby requests issuance of a statement of authorization to the extent necessary to enable it to operate two Shannon-JFK-Shannon emergency subservice operations on behalf of Aer Lingus. Because these flights are scheduled to operate this Friday through Sunday, March 14-16, Titan is requesting DOT approval by close of business today if at all possible.

Aer Lingus requested Titan to operate this flight a short time ago because Aer Lingus is unexpectedly unable to operate this service with its own aircraft. Titan intends to operate this service with B-757 aircraft.

Counsel: Garofalo Goerlich, Don Hainbach, 202-776-3976, dhainbach@ggh-airlaw.com