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OST Docket Filings for April 29, 2008
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| Applications and Renewals:
Alaska Airlines - San Francisco-Cancun and Los Angeles-La Paz Renewals Globespan d/b/a Flyglobespan - Renewal and Amendment - UK-US / Europe-US VIM Airlines - Permit and Exemption - Russia-US Charters US-China All-Cargo Frequencies - Motion of Northwest for a Dormancy Waiver Answers and Replies: Baltia - DOT Request for Additional Information (New York-St. Petersburg) / Response to Request for Information EAS at Grand Island, NE - City of Grand Island in Support of Hawaii Island Air's Proposal Republic Airlines and Shuttle America - Additional Form 41 Confidentiality Cover Letters Added to Docket Pages Notices of Action Taken: None Notices and Orders: Boston-Maine - Revoking Certificate EAS at Chisana and Healy Lake, AK - Selecting Carrier and Establishing Subsidy Rates |
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OST-2006-25077 - Exemption - San Francisco-Cancun April 29, 2008 Application for Renewal of Exemption Alaska Airlines, Inc. hereby requests renewal of the exemption authority granted to it by the Department of Transportation in the above-captioned docket to perform seasonal scheduled foreign air transportation of persons, property and mail between San Francisco, California, and Cancun, Mexico. This exemption authority expires on July 10, 2008. Alaska requests renewal of this authority for a two-year period on its existing terms and conditions. Alaska currently operates seasonal service in the San Francisco-Cancun market. Counsel: Squire Sanders, Marshall Sinick, 202-626-6651, msinick@ssd.com
OST-2006-25107 - Exemption - Los Angeles-La Paz April 29, 2008 Application for Renewal of Exemption Alaska Airlines, Inc. hereby requests renewal of the exemption authority granted to it by the Department of Transportation in the above-captioned docket to perform scheduled foreign air transportation of persons, property and mail between Los Angeles, California, and La Paz, Mexico. This exemption authority expires on July 5, 2008. Alaska requests renewal of this authority for a two-year period on its existing terms and conditions. Alaska currently operates service in the Los Angeles-La Paz market. Counsel: Squire Sanders, Marshall Sinick, 202-626-6651, msinick@ssd.com OST-2007-0007 - Certificate of Public Convenience and Necessity - New York-St. Petersburg
April 3, 2008 Re: DOT Request for Additional Information We have reviewed the information filed by Baltia Airlines, Inc., in support of its application for foreign scheduled authority and identified additional areas in which the applicant needs to provide further information and/or clarification before the Department can fully process Baltia's application. Those areas are set out in the enclosed Information Request. I ask that you respond fully to this request within 30 days of the date of this letter.
By: Aviation Analysis, Lauralyn Remo
April 26, 2008 Re: Response to Request for Information - Bookmarked For years Baltia relied upon outside financing. On several occasions financial institutions provided commitments for financing which appeared credible and were filed with the Department. In order to accelerate the certification process, Baltia's management quickly raised private bridge funds. Baltia proceeded with launching in reliance on those commitments, only to discover, time and time again, that when the time came for the financial institutions to provide the money, for one reason or another they faltered, and in the midst of certification, the launching process had to be aborted. At no time during those aborted launchings did Baltia have any deficiencies with respect to the FAA Air Carrier Certification process, or in any other respect. Since the company's inception, all of the capital in the company had been raised privately. Unreliability of funding from financial institutions is not limited to start-up airlines. An operating airline. Frontier Airlines, had a taste of it as well. The credit card processor had contracted with Frontier to hold 45% of the funds until service was provided to passengers. Unilaterally, the credit card processor held 100% of the funds. We have observed that financial institutions act in their own interests, agreement or no agreement. Fortunately, and for the first time in its history, Baltia has the cash and credit to launch without depending upon promises for funding from financing institutions. Counsel: International Business Law Firm, Steffanie Lewis, 202-296-1111, slewis@iblf.com Order 2008-4-42 Issued and Served April 29, 2008 In its objection, BMAC failed to provide any evidence supporting its financial ability to continue or expand its operations. BMAC argued that the Department’s tentative finding in Order 2008-2-3 with respect to financial fitness applied solely to its ability to conduct operations using large aircraft. We disagree. In Order 2008-2-3, the Department specifically stated that based on “BMAC’s poor financial history, its present financial condition, and the concerns raised by the FAA,” the air carrier lacked “the financial wherewithal to continue to operate.” This tentative finding applied to all of BMAC’s operations and was clearly supported by the financial information provided by the air carrier. Because BMAC has failed to demonstrate its financial fitness to operate, the Department maintains that the air carrier is not financially fit to continue to conduct any air transportation regardless of aircraft size. The Department concludes that BMAC is not fit to conduct operations as a U.S. certificated air carrier and denies BMAC’s request to maintain its certificate authority to operate small aircraft to facilitate the sale of the company to Maine Aviation. Thus, the Department revokes the interstate scheduled certificate authority issued to BMAC and dismisses its applications for foreign scheduled and exemption authority. By: Michael Reynolds Essential Air Service at Chisana and Healy Lake, Alaska Order 2008-4-41 Issued April 29, 2008 | Served May 2, 2008 Order Selecting Carrier and Establishing Subsidy Rates By this order, the Department is (a) selecting 40-Mile Air, Inc. to continue providing essential air service at Chisana and Healy Lake, Alaska, for a new two-year period, through May 31, 2010, and (b) establishing annual subsidy rates of $65,546 for Chisana and $77,683 for Healy Lake. By: Michael Reynolds Essential Air Service at Grand Island, Nebraska April 23, 2008 Re: City of Grand Island in Support of Hawaii Island Air's Proposal On behalf of the City of Grand Island, it is our pleasure to submit this Letter of Support for Essential Air Service to provide two (2) daily round trip nonstop flights to Kansas City, Missouri as proposed by Hawaii Island Air of Honolulu, Hawaii. The Central Nebraska Regional Airport has been working diligently to improve the air service options available to central Nebraskans and bring affordable and convenient options for air travel to serve more passengers. We pledge our full support, endorsement, and cooperation to improve the service options available to central Nebraska through the Essential Air Service. By: Margaret Hornady, Mayor
Globespan Airways Limited d/b/a FlyGlobespan OST-2006-23542 - Exemption - UK-US Scheduled Passenger April 29, 2008 Application for Renewal and Amendment of Exemption Authority - Bookmarked Hereby applies for renewal of its exemption authority to (i) engage in scheduled foreign air transportation of persons, property, and mail between any point or points in the United States and any point or points in the United Kingdom, excluding London’s Heathrow and Gatwick airports; and charter foreign air transportation of persons, property, and mail in accordance with 14 CFR Part 212 of the Department’s regulations, and (ii) conduct scheduled foreign air transportation of persons, property and mail over the following routings: (1) Liverpool, England – Knock, Republic of Ireland – New York, New York; (2) Glasgow, Scotland – Knock, Republic of Ireland – New York, New York; and (3) Glasgow, Scotland – Knock, Republic of Ireland – Boston, Massachusetts. Flyglobespan further requests an amendment to its exemption authority to the full extent authorized by the Air Transport Agreement Between the United States and the European Community and the Member States of the European Community. Flyglobespan was initially granted exemption authority to operate between any point or points in the United States and any point or points in the UK, excluding London's Heathrow and Gatwick airports, by Notice of Action Taken on April 13, 2006 and renewed on May 4, 2007 in this docket. DOT granted an amendment to this exemption authorizing Flyglobespan to conduct operations via Knock, Ireland on December 13, 2006; this amended authority was extended to coincide with the expiry of the US-UK authority by Notice of Action Taken on May 4, 2007. Counsel: Garofalo Goerlich, Aaron Goerlich, 202-776-3970, agoerlich@ggh-airlaw.com
US-China All-Cargo Frequencies OST-2006-25275 - 2007 US-China Combination and All-Cargo Frequency Allocation Proceeding April 29, 2008 Motion of Northwest Airlines for a Dormancy Waiver Hereby moves for a waiver of the 90 day dormancy condition applicable to seven (7) of Northwest's U.S-China all-cargo frequencies As a result of unprecedented oil prices, now verging on $120 per barrel, Northwest is suspending its daily all‑cargo service to Guangzhou. Northwest ceased operation of two U.S.‑Guangzhou cargo frequencies effective April 27, 2008, and is planning to suspend its remaining five Guangzhou all‑cargo frequencies in July, 2008. Grant of Northwest's dormancy waiver request is in the public interest and will not prejudice any carrier. At present, there are 17 all-cargo frequencies available in the unallocated pool. Fifteen (15) all-cargo frequencies become available on March 25, 2009; a further fifteen (15) additional all-cargo frequencies become available on March 25, 2010; followed by the unlimited availability of all-cargo frequencies on March 25, 2011. The unique hub benefits available to FedEx and UPS provide yet another source of China all-cargo frequencies in the interim. Accordingly, Northwest requests a waiver of the dormancy condition applicable to its seven U.S.-Guangzhou cargo frequencies through March 25, 2011. The requested waiver will enable Northwest to resume service as warranted by fuel and economic conditions. Other U.S.-China carriers have recently sought and received similar dormancy waiver relief due to fuel prices and the slowing economy. See, Motion of United Airlines for a dormancy waiver and Department action approving deferral of startup condition for United's seven U.S.-Guangzhou combination frequencies (Docket OST-2007‑28567). Counsel: Northwest, Alexander Van der Bellen, 202-842-4184, sascha.vanderbellen@nwa.com
OST-2008-0152 - Foreign Air Carrier Permit and Exemption - Russia-US Charters April 28, 2008 Application for a Foreign Air Carrier Permit and an Exemption - Bookmarked - 11MB VIM Airlines is requesting a foreign air carrier permit authorizing it to engage in charter transportation of passengers, property and mail (1) between any point or points in the Russian Federation and any point or points in the United States; and (2) between any point or points in the United States and any point or points in a third country or countries. VIM Airlines will utilize Boeing 757-200 aircraft for its proposed U.S. operations, or such other aircraft as it may have or acquire to conduct the proposed operations. VIM Airlines is a limited liability company founded as such and registered as a legal entity on October 15, 2002, under the applicable laws of the Russian Federation. VIM Airlines is privately owned and effectively controlled by Russian nationals. Counsel: The Wicks Group, Glenn Wicks, 202-457-7790, gpwicks@wicks-group.com |
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