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OST Docket Filings for July 25, 1997
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American and British Airways (5) | American Airlines and British Airways/TACA Group | American International | Baltia (2) |
Federal Express and FWIA | FWIA | IATA | JAL | Sunworld | United and Air Canada |
US-Czech Third-Country Code-Share
Notices of Action Taken:
Notices and Orders:
IATA | Page, AZ | US-Chile Combination Service Proceeding | US-Egypt Third-Country Code-Share |
American Airlines, Inc. and British Airways Plc (Antitrust Immunity, Exemptions, Certificate Authority, Statements of Authorization)
OST-97-2058 | OST-97-2054, 2055, 2056, 2057 | July 25, 1997
Response of American Airlines to Order
97-5-13
American Airlines, Inc. hereby responds to Order 975-13, May 16, 1997, which requires the submission of supplemental and updated exhibits and documents in connection with the captioned applications.
Re: American Airlines and British Airways
Editor's Note: Above Items Available in PDF on July 28th
Counsel: American, Carl Nelson, 202-496-5647
Response of British Airways to Order
97-5-13
British Airways Plc ("British Airways") hereby responds to the Department of Transportation (the "DOT" or "Department") Order No. 97-5-13, dated May 16, 1997, requesting additional information and evidence from both British Airways and American Airlines, Inc.
Motion of British Airways for
Confidential Treatment
Counsel: British Airways and Sullivan Cromwell, Richard Sauer, 202-956-7500
Continental argues that the mere announcement of distinct transactions which may or may not occur and which are independently subject to Department approval somehow justifies its request to require additional information from the parties in the TACA/American proceeding. Continental's motion is predicated on American's announcement that it is investing in and entering into an alliance with Aerolineas Argentinas and Austral, that American and its proposed codeshare partner, British Airways, have entered into alliances with Iberia, and that there may possibly be further investment in Iberia by American and British Airways. It is the TACA Group's understanding that these transactions are mere proposals which have not yet been effected and would require Department approval in any event. Should these transactions occur, and should formal authorization and approval be sought, the Department can and will have ample opportunity to examine the actual transactions presented to it in those proceedings. It is inappropriate, to put it mildly, for the Department to further delay the TACA/American proceeding to seek additional information on the basis of mere announcements of proposed -and entirely distinct -- occurrences where the record in this proceeding is already overburdened.
The TACA Group carriers flatly state that none of them, individually or collectively, is a party to anv of the proposed transactions of which Continental complains involving American and Aerolineas Argentinas, Austral, Iberia, and/or British Airways. Moreover, the existing codeshare agreement between the TACA Group carriers and American, dated June 21, 1996, does not impose any obligation on the TACA Group carriers to enter into any type of codeshare arrangement or other alliance with any other carrier, including Aerolineas Argentinas, Austral, Iberia or British Airways. The TACA Group, therefore, has no documents or information responsive to Continental's proposed requests.
Counsel: Squire Sanders and Mullenholz Brimsek
American International Airways, Inc. (Amend Certificate of Public Convenience, US-Singapore; US-Thailand; US-Indonesia)
OST-97-2765 | July 25, 1997
Application to Amend its Certificate
of Public Convenience and Necessity
AIA requests that its certificate of public convenience and necessity as issued in Order 95-9-23 be amended to permit operation of scheduled all-cargo service on all routes available to it as a U.S. carrier under the air transport services agreements between the Unites States and Singapore, Thailand and Indonesia. Specifically, AIA requests that paragraph 1 of its certificate for Route 677 be amended to authorize AIA to engage in "scheduled foreign air transportation of property and mail: Between a point or points in the United States and a point or points in Australia, New Zealand, Taiwan, Hong Kong, Singapore, Thailand and Indonesia."
Answers are due by August 29, 1997, Subpart Q
Counsel: Sher Blackwell, Mark Atwood, 202-463-2500
Baltia Air Lines, Inc. (Exemption)
OST-97-2763 | July 25, 1997
Station Arrangements have been made at JFK Airport. Through agreement with IcelandAir, Baltia will have counter space with six passenger check-in positions and use of IcelandAir's first class passenger lounge for Baltia's first and business class services. Baltia will have space for line maintenance and service personnel as well as storage for ground equipment and use of the terminal's luggage handling system. Arrangements have been made for spare parts necessary for aircraft turnaround and line maintenance. In St. Petersburg, at Pulkovo Airport, Baltia's VP Europe has arranged office space for station personnel, including space for technical staff, a location to store spare parts and ground equipment, and Good Cause Exists to Exempt Baltia Pursuant to the Department'S letter dated November 7, 1996, to obtain an exemption Baltia must show "good cause". In showing good cause, Baltia provides evidence that it still meets the Department's fitness criteria, i.e. all personnel remain in place, financial resources have increased, aircraft commitment is in place, and FAA certification awaits the Department's extension of route authority.
Motion Requesting Withholding from
Public Disclosure
Counsel: International Business Law Firm, Steffanie Lewis, 703-522-1198
Federal Express Corporation and Florida West International Airways, Inc. (Approval of a Transfer of Route Authority, US-Colombia, All-Cargo)
OST-97-2764 | July 25, 1997
Joint Application (Page 6 is
Missing - Will be Corrected)
HTML - Page 6 Corrected
Federal Express, as Buyer, and FW1A, as Seller, have entered into a Route Purchase And Transfer Agreement, dated as of July 1, 1997, for the purpose of contracting for the sale of the U.S.-Colombia certificate authority currently held by FWIA to Federal Express, in exchange for a purchase price of $5.5 million, subject to Department approval. The Joint Applicants desire to consummate the foregoing transaction on October 1, 1997, or as soon thereafter as possible.
The specific Route Authority to be transferred pursuant to the Transfer Agreement is the U.S.-Colombia all-cargo authority contained in the Certificate of Public Convenience and Necessity for Route 599 originally issued to FWIA by Order 96-8-38, served August 30, 1996, and reissued to FWIA by Order 97-2-19, served February 24, 1997, subject to the expiration date and other conditions applicable to that authorization." The route transfer will not have any effect on the "viability" of Federal Express, since the economic impact of expanded U.S.-South America operations will have a positive effect on the already-strong financial and operational health of Federal Express. Approval of the Route Authority transfer will have a positive impact on FWIA resulting from the contribution of $5.5 million in new working capital to FWIA resulting from the sale of its existing U.S.-Colombia all-cargo operating authority to Federal Express. That capital infusion will be used by FWIA to expand its service levels in other markets.
Answers are due by August 22, 1997, Subpart Q
Counsel: Squire Sanders, Marshall Sinick, 202-626-6651 for FWIA / Federal Express and Shaw Pittman, Nathaniel Breed, 202-663-8078 for Federal Express
Florida West International Airways, Inc. (Renewal of Certificate Authority)
OST-97-2646 | July 25, 1997
Amendment No. 1 to Application for
Renewal of Certificate Authority
The amendment is occasioned by FWIA's recently signed agreement proposing to transfer, subject to the approval of the Department of Transportation, its U.S.-Colombia scheduled authority to Federal Express.' FWIA is now submitting revised financial forecasts appropriately reflecting the elimination of U.S.-Colombia scheduled service as well as related service adjustments in FWIA's calendar year 1998 operating plan. Under the revised operating forecast, FWIA's projected operating profit would be $3.2 million.
Counsel: Squire Sanders, Marshall Sinick, 202-626-6651
Japan Airlines Company, Ltd. (Exemption Renewal, Sendai-Honolulu)
OST-95-662 | July 25, 1997
Application to Renew Exemption
Respectfully requests that the Department renew, prior to September 5, 1997, its exemption authority to engage in scheduled foreign air transportation of persons, property, and mail between Sendai, Japan, and Honolulu, Hawaii, at a level of seven frequencies per week for a period of not less than one year or until 90 days following final action by the Department on JAL's application to amend its foreign air carrier permit pending in Docket OST-95-972, whichever period ends first.
Answers are due by August 11, 1997
Counsel: Wilmer Cutler, Jeffrey Shane, 202-663-6000
Page, Arizona (EAS)
Order 97-7-26 | OST-97-2694 | Issued July 25, 1997 | Served July 31, 1997
Order Setting Final Subsidy Rate
By this order we are setting a final subsidy rate for Scenic Airlines' emergency interim service at Page, Arizona.
By: John Coleman
Polar Air Cargo, Inc. (Notice of Action Taken - Corrected Copy)
OST-97-2265 | Posted July 25, 1997
Corrects Notice of Action Taken dated July 21, 1997, to reflect filing date of July 18, 1997
By: Paul Gretch / Counsel: Alfred Eichenlaub, 202-637-9034
Sunworld International Airlines, Inc. (Renewal of Certificate of Public Convenience, Interstate and Foreign, US-Cayman Islands)
OST-95-666 | OST-95-667 | July 25, 1997
Motion for Leave to File and Surreply
of Sun Pacific International
A number of parties to this proceeding have referred to the incident of March 8, 1997, whereby a Sunworld aircraft arrived at the gate at Kansas City International Airport to transport a group of students to Mazatlan, and subsequently -after fuelling, catering and a brief mechanical repair had been completed -- departed without the students. The result was, not surprisingly, a near-riot. In its reply to these parties, Sunworld attempted to shift the blame for this debacle to Sun Pacific. In so doing, it misstated the facts and created an entirely false and misleading impression that the stranding of the students occurred because of Sun Pacific's negligence, or worse.
Sunworld claimed that it had had only "preliminary discussions with Sun Pacific" about "potentially" providing subservice on the Kansas City-Mazatlan flight, but that it "never, as required by the Department's regulations, received a signed contract from the carrier nor did it receive an advance payment with respect to the flight in question." (Sunworid Reply at 3.) In fact, Sunworld and Sun Pacific entered into a written contract dated March 5, 1997 (three days before the incident in question), for Sunworld to operate subservice flights on behalf of Sun Pacific. The term of the contract was March 8 through 31, 1997.
Attachment - ACMI Contracts
Counsel: Sher Blackwell, Mark Atwood, 202-463-2500
United Air Lines, Inc. and Air Canada (Antitrust Immunity)
OST-96-1434 | July 25, 1997
Confidentiality Affidavit of John
Varley, General Attorney for Delta Air Lines
Counsel: Shaw Pittman, Robert Cohn, 202-663-8000
U.S.-Chile Combination Service Proceeding
Posted July 25, 1997 | Served July 25, 1997
Notice Establishing Revised Procedural
Schedule
The incumbent carriers have submitted revised traffic data for the U. S.-Chile market. We have reviewed these data and determined that they will permit the resumption of the Proceeding. Accordingly, we will make available to the parties revised O&D tragic data on July 29, 1997. We also establish a revised procedural schedule for the submission of direct and rebuttal exhibits and briefs as follows:
By: Patrick Murphy
U.S.-Czech Third-Country Code-Share Opportunities
OST-97-2686 | July 25, 1997
The Department correctly determined that American Airlines, Inc. ("American") would offer the fewest benefits of any applicant. American does not have an integrated alliance with British Midland, and would offer poor quality connections over London Heathrow that do not match the seamless service offerings of Delta or the other applicants. American's proposal is further handicapped by the fact that it would not be able to offer any online service via its primary hub at Dallas/Ft. Worth. Thus, the Department correctly concluded that "taking into consideration the limited connecting service benefits provided under American's proposal, we are not persuaded that the presence of another carrier in the market outweighs the true service benefits available under the proposals of the other applicants in this proceeding. While Delta supports the overall determinations of the Show Cause Order, Delta is disappointed with the Department's determination to award Delta only seven frequencies.
Counsel: Delta and Shaw Pittman, Robert Cohn, 202-663-8060
U.S.-Egypt Third-Country Code-Share Opportunities
Posted July 25, 1997 | Served July 31, 1997
Two U.S. carriers, Northwest Airlines, Inc., and United Air Lines, Inc., have served Egypt under code-share arrangements with third country carriers and they plan to continue their service. We do not intend to subject the existing services of Northwest and United to the procedures set forth in this notice, and thus, we deem two of the available code-share opportunities as allocated to these carriers. The third code-share opportunity, on the other hand, is available for allocation to any U.S. certificated carrier and is the subject of this notice.
By this notice, we invite all U.S. certificated carriers interested in using the available third-country code-share opportunity to file applications with the Department. Such applications should be filed by August 14, 1997 . Answers to such applications should be filed by August 21, 1997 . Replies to answers should be filed by August 26, 1997.
By: Paul Gretch
Order 97-7-19 | Issued July 23, 1997 | Served July 29, 1997
Notice of Approval of IATA Agreement(s)
Posted July 25, 1997
OST-97-2753 / Date Filed: 7/18/97 / Date Approved: 7/24/97
Agreements Adopted by the Traffic Conferences of the International Air Transport Association
OST-97-2766 | July 25, 1997
Application for Approval of Agreements
Europe-Taiwan fares
Counsel: IATA, David OConnor, 202-624-2977
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