OST Docket Filings for January 12, 2004
Updated:
| Applications and Renewals:
Continental - Brazil/Venezuela Certificate Renewals Answers and Replies: None Notices of Action Taken: Air Atlanta Europe - UK-US Charters Notices and Orders: Delta - Letter of Credit EAS at Athens, GA - Extending Service Obligation EAS at Riverton, WY - Extending Service Obligation EAS at Scottsbluff, NB - Extending Service Obligation |
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Filed June 30, 2003 | Amended November 14, 2003 | Issued January 12, 2004 Exemption from 49 U.S.C. § 41301 to engage in charter foreign air transportation of persons, property and mail between the United Kingdom and the United States; and authority to conduct other charters in accordance with Part 212 of the Department's rules. Ronald Greene, a former pilot for Air Atlanta Icelandic, filed comments in this docket. Captain Greene's comments are primarily directed at certain procedures of his former employer, Air Atlantic Icelandic (a part owner of the applicant here). Concerning Air Atlanta Europe's specific request, Captain Greene stated that allowing Air Atlanta Europe to serve the United States would add a new competitor to an already troubled airline industry in the U.S. No other comments were filed in response to Air Atlanta Europe's amended application. We did not find the concerns raised by Captain Greene dispositive in the present proceeding involving the UK carrier AAE. Rather, what is germane to our determination here is that the authority sought by AAE involves rights available to designated carriers of the United Kingdom under the Agreement, and the applicant is properly designated by its government to conduct the proposed services. By: Paul Gretch OST-98-3863 - US-Brazil Certificate January 12, 2004 Re: Renewal of Certificate Renewal Continental Airlines asks the Department to waive Part 377.10(c)(1) of its Special Regulations and continue the effectiveness of Continental's Houston‑Sao Paulo Route 758 certificate authority pending Department action on Continental's application for renewal. Due to an administrative error, Continental's Route 758 renewal application was inadvertently submitted fewer than 180 days prior to its expiration. Continental requests a waiver to ensure its ability to continue its operations if the Department does not act on Continental's application by March 29, 2004. Counsel: Crowell & Moring, Bruce Keiner, 202-624-2500
OST-97-2516 - US-Venezuela Certificate January 12, 2004 Re: Renewal of Certificate Renewal Continental Airlines asks the Department to waive Part 377.10(c)(1) of its Special Regulations and continue the effectiveness of Continental's U.S.‑Venezuela Route 381 certificate authority pending Department action on Continental's application for renewal. Due to an administrative error, Continental's Route 381 renewal application was inadvertently submitted fewer than 180 days prior to its expiration. Continental requests a waiver to ensure its ability to continue its operations if the Department does not act on Continental's application by February 5, 2004. No party answered Continental's Venezuela renewal application November 11, 2003, when answers were due. Counsel: Crowell & Moring, Bruce Keiner, 202-624-2500 Order 04-01-7 Issued and Served January 12, 2004 Order Amending Exemption | Word By Order 2003-11-16, issued November 19, 2003, we granted Delta Air Lines, Inc., a U.S. direct air carrier holding a certificate issued under 49 U.S.C. 41102, a one-year exemption from the requirements of 14 CFR 212.8(c), subject to a variety of stated conditions, to permit Delta's use of a standby letter of credit in lieu of a bond to protect charter customer payments and to guarantee the performance of charter flights it undertakes. After consulting with the Department on December 4, 2003, Delta submitted a revised letter of credit and revised drawing certificate for our consideration. See OST-2003-15944-04. We are persuaded that, together with the exemption conditions being imposed, Delta's revised letter of credit (coupled with the revised drawing certificate) offers at least as much protection as provided by a bond under section 212.8(c), and, accordingly, we amend Order 2003-11-16 in three respects, none of which substantively affects our analysis provided therein. First, we amend ordering paragraph lb. of Order 2003‑11‑16 to eliminate the requirement that the letter of credit itself include a statement that, in the event that the agreement does not otherwise provide protection comparable to that provided under a bond, the bank shall assume for the benefit of customers and participants all liabilities it would have if it entered into such a bond. Instead, we substitute a simpler explicit requirement that the letter of credit used by Delta must provide protections comparable to the protections provided by a bond. Second, we amend ordering paragraph id. of Order 2003-11-16 to eliminate as unnecessary the requirement that a copy of the letter of credit be provided to customers upon request. We believe that providing notice to each charter customer that a letter of credit is being used in lieu of a bond to provide financial protection is sufficient to inform charter customers of the nature and consequences of Delta's substitution. We therefore retain the notice requirement. Third, we amend Order 2003‑11‑16 to eliminate ordering paragraph i.e. in view of the inherent protections afforded by a letter of credit and the language of new ordering paragraph i.b. herein. As stated in Order 2003‑ii‑i6, the exemption granted by this order does not relieve Delta of its regulatory duty, under 14 CFR 212.3(f), to return to his or her point of origin any roundtrip charter passenger who received the outbound portion of such transportation under this exemption. By: Karan Bhatia Essential Air Service at Athens, Georgia Order 04-01-3 Issued January 7, 2004 | Served January 12, 2004 Order Extending Service Obligation | Word We recently concluded subsidy rate negotiations and sent a letter to the community officials requesting their views on the carrier-selection case. Therefore, in accordance with 49 U.S.C. 41734(c), we will extend Air Midwest’s service obligation at Athens for an additional 30 days, or until suitable replacement service actually begins, whichever occurs first. By: Randall Bennett Essential Air Service at Riverton, Wyoming Order 04-01-5 Issued January 9, 2004 | Served January 14, 2004 Order Extending Service Obligation | Word Although we have received proposals, this case will not be completed by the end of this holdin By: Randall Bennett Essential Air Service at Scottsbluff, Nebraska Order 04-01-6 Order Extending Service Obligation | Word Although we have received proposals, this case will not be completed by the end of this holdin period. Therefore, in accordance with 49 U.S.C. 41734(c), we will extend Great Lakes' service obligation at Scottsbluff for an additional 30 days, or until suitable replacement service actually begins, whichever occurs first. By: Randall Bennett |
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