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OST Docket Filings for March 9, 2005

Updated: 3/10/05 | 4:13 PM

Applications and Renewals:

Aviation Ventures d/b/a Vision Air - Supplement No. 5

IATA - Atlantic-Mid-East Resolutions

Northwest - Detroit-San Jose del Cabo Exemption and Designation

United - Chicago-San Jose del Cabo Exemption

2005 Los Angeles-Mexico City Combination Service Proceeding - Supplement Two to Application of Alaska Airlines

Answers and Replies:

Aerolineas Argentinas - Fifty-Ninth Escrow Deposit Report, Documentation, and January Adjustments

BTS Mail Reporting Requirements - Response of Southwest Airlines to Federal Express Letter

EAS at Burlington, IA - Comments of Sharon Scholl-Nabulsi

EAS at Cape Girardeau, MO - Request for an Extension of Time

EAS at Jackson, TN - Comments of City of Henderson, Humboldt, Jackson-Madison County Airport Authority, and Madison County

EAS at Marion, IL - Comments of B and A Travel Service

EAS at Pendleton, OR - Letter in Support of Horizon Air

Eurofly - Italy-US Polling Letter

Excel - Designation of Agent for Service of Notice, Process, Orders, Decisions and Requirements

Intra-Alaska Bush Service Mail Rates - Objections to Petition of Frontier Flying Service

Nondiscrimination on the Basis of Disability in Air Travel - Comments of American and American Eagle

North American - Answer of Continental (US-Ghana)

USA 3000 and United - Answer and Motion for Consolidation of United (Chicago-San Jose del Cabo)

US-China Designations - Answer of American to Continental Expeditious Action / Answers of American, Continental, Polar and United to Objections to Show Cause Order

2005 Los Angeles-Mexico City Combination Service Proceeding - Individual Comments from Alaska Airlines Employees / Motion of American to Strike Late-Filed Direct Exhibit of Alaska Airlines

Notices of Action Taken:

China Eastern - Los Angeles-Shenyang/Shenzen via Shanghai

Excel - UK-US Renewal

JetConnection BusinessFlight - Germany-US Renewal

Volga-Dnepr - Philadelphia-Moffett Field Emergency Exemption

Notices and Orders:

EAS at Kingman, Prescott, Page, and Show Low, AZ - Order Selecting Carriers and Establishing Subsidy Rates

Tradewind - Consent Order




Aerolineas Argentinas, S.A.

OST-03-15092 - Joint Complaint against Aerolineas Argentinas, Air Plus Argentina, Southern Winds, and the Government of Argentina

March 9, 2005

Re: Fifty-Ninth Escrow Deposit Report, Documentation, and January Adjustments

Attached please find the FIFTY-NINTH Escrow Deposit, REPORT and DOCUMENTATION for the week ended March 6, 2005, and JANUARY ADJUSTMENTS. Aerolineas made a deposit into the escrow of U.S. $29,753.25 (U.S. $33,719.75 for the week ended March 6 2005, LESS U.S. $3,956.50 representing the combined adjustments to the four estimated reports, numbers Fifty- First through Fifty-Fourth, covering the weeks ending January 9, 2005 through January 30, 2005), for a total escrow amount of U.S. $1,768,261.23.

Counsel: Rosen Weinhaus, John Romans, 212-530-4827, jromans@lrjwlaw.com

http://www.aerolineas.com

Index


Aviation Ventures, Inc. d/b/a Vision Air

OST-04-19518 - Certificate of Public Convenience and Necessity - Interstate Scheduled Passenger

March 8, 2005

Supplement No. 5 to Amended Application for a Certificate of Public Convenience and Necessity

Counsel: Eric Zubel, 206-613-4433, ez@zubelpc.com

Index


China Eastern Airlines Corporation Limited

OST-2005-20561 - Exemption - Shenyang/Shenzhen-Los Angeles via Shanghai

Filed March 3, 2005 | Issued March 9, 2005

Notice of Action Taken | Word

Exemption from 49 U.S.C. § 41301 to engage in scheduled foreign air transportation of persons, property and mail between Shenyang and Shenzhen, People’s Republic of China, on the one hand, and Los Angeles, California, on the other hand. China Eastern states that it will operate all these flights via Shanghai, People’s Republic of China.

By: Paul Gretch

http://www.ce-air.com/

Index


Essential Air Service at Burlington, Iowa

OST-01-8731 - EAS at Burlington, IA

March 6, 2005

Comments of Sharon Scholl-Nabulsi

By: Sharon Scholl-Nabulsi

http://www.brlairport.com/

Index


Essential Air Service at Cape Girardeau, Missouri

OST-96-1559 - EAS at Cape Girardeau, MO

March 9, 2005

Re: Request for an Extension of Time

Due to a local complication involving the timing of my Airport Advisory Board meetings and the Cape Girardeau City Council meetings, I have run into a problem with the time frame established for community input regarding the most recent Essential Air Service airline proposals. While I regret the potential delay in a final U.S. Department of Transportation decision on this matter, I need to request an extension of time for our community comments from the first extended date of March 15, 2005, to a new date of March 25, 2005. This extension will allow my Airport Advisory Board to interview with the interested airlines and submit a recommendation to our next City Council meeting on March 21, 2005, for Council approval. That recommendation will then be forwarded to your department prior to March 25, 2005.

By: Bruce Loy

http://www.cityofcapegirardeau.org/depts/airport/

Index


Essential Air Service at Jackson, Tennessee

OST-2000-7857


March 2, 2005

Re: Comments of City of Henderson

The City of Henderson appreciates the opportunity to be able to submit our comments regarding an essential air service provider for Jackson, TN. We ask that you approve the proposal submitted by Mesaba Airlines, d/b/a Northwest Airlink. We have been informed of the various proposals submitted and believe that service to Memphis best meets the needs of our local community. Northwest is the only airline in the area that operates a true hub and spoke system. This will result in many more connection opportunities than are available in the other proposed cities.

By: Charles Patterson, Mayor


March 1, 2005

Re: Comments of City of Humboldt

The City of Humboldt would like to express its support for Mesaba Airlines to provide essential air service to McKellar‑Sipes Regional Airport in Jackson. Humboldt has a large industrial base and we hear quite often of corporate management personnel and perspective corporate management personnel flying into Memphis and renting vehicles for travel to our area. We feel certain that this segment of air travelers would certainly appreciate the availability of convenient air travel to Jackson. Northwest Airlink uses larger aircraft than the other airlines and connects with Northwest's large number of daily flights from Memphis.

By: Allen Barker, Mayor


March 1, 2005

Re: Comments of Jackson-Madison County Airport Authority

As you are aware, Northwest Airlink served Jackson from 1987 until 2001 without EAS subsidy. During this time our boardings were consistent with steady increases. The community has expressed that it was generally pleased with their service. Our passengers especially liked their 34 passenger aircraft, the large number of connecting Northwest flights available in Memphis and their frequent flyer program. In the rare event the carrier had a cancellation due to weather or mechanical problems, passengers were transported to or from Memphis by van. In many cases today, passengers have to wait in St. Louis until the following day for another flight.

The local Chamber of Commerce has recently sponsored a number of meetings with various segments of their membership to discuss air service issues. It is clear from their responses that the current service to St. Louis is unacceptable and a change is needed. High ticket prices and the lack of reasonable connections has resulted in a 66% reduction in local boardings during the last three years. In addition, it appears that the carrier has changed our flight schedules to maximize aircraft usage rather than accommodate local business travelers. We see no indication that AmericanConnection's St Louis service will improve.

We believe that the lack of a code‑sharing arrangement by Mesa at the Nashville airport and the fact that the dominant carrier, Southwest Airlines does not share ticketing or baggage handling with other carriers will be unacceptable to leisure travelers. They will have to purchase two tickets; pick up their luggage at baggage claim; recheck it and go through security again. We have compiled the Nashville and Memphis connecting flights available within two hours of the respective carriers' proposed schedules and found that Northwest provides two to three times the number of available flights for our passengers. We plan to work with Mesaba to secure additional non‑subsidized flights.

By: Russell Farmer, Chairman


March 3, 2005

Re: Comments of Madison County

By: Jerry Gist, County Mayor


http://www.mklairport.tn.org/

Index


Essential Air Service at Kingman, Prescott, Page, and Show Low, Arizona

Order 2005-03-16
OST-97-2694 - EAS at Page, AZ
OST-98-4409 - EAS at Show Low, AZ
OST-96-1899 - EAS at Kingman and Prescott, AZ

Issued March 9, 2005 | Served March 14, 2005

Order Selecting Carriers and Establishing Subsidy Rates

By this order, the Department is selecting Great Lakes Aviation, Ltd. to provide essential air service at all four Communities captioned above for a new two-year period, at a combined first-year subsidy of $3,840,959, and a combined second-year subsidy of $3,854,958. Great Lakes’ service consists of three round trips routed Kingman-Prescott-Phoenix-Prescott-Kingman each weekday and each weekend period, three nonstop round trips between Page and Phoenix each weekday and four over the weekend period, and two nonstop round trips between Show Low and Phoenix each day, all provided with 19-seat Beech 19OOD aircraft.

By: Karan Bhatia

http://www.cityofpage.org/airport.htm
http://www.ci.show-low.az.us/departments/airport/
http://www.prcairport.com/

Index


Essential Air Service at Marion, Illinois

OST-00-7881 - EAS at Marion, IL

March 8, 2005

Re: Comments of B and A Travel Services

By: David Coracy

http://www.wilcoairport.com/

Index


Essential Air Service at Pendleton, Oregon

OST-04-19934 - EAS at Pendleton, OR

March 9, 2005

Re: The City Council of Pendleton Letter in Support of Horizon Air

By: Phillip Work

http://www.pendleton.or.us/airport.htm

Index


Eurofly, S.p.A.

OST-2005-20571 - Exemption - US-Italy

March 9, 2005

Re: Polling Letter

This is to advise you that all persons on the attached Certificate of Service have been contacted and have informed my office that they do not oppose the application.

Counsel: Roller & Bauer, Lee Bauer, 202-331-3300

http://www.eurofly.it/

Index


Excel Airways Limited


OST-01-10348 - UK-US Charters

Filed January 28, 2005 | Issued March 9, 2005

Notice of Action Taken | Word

Renew exemption from 49 U.S.C. § 41301 to conduct charter foreign air transportation of persons, property and mail between the United Kingdom and the United States, and other charters pursuant to Part 212 of the Department’s rules.

By: Paul Gretch


OST-02-12556 - Designation of Agent for Service of Notice, Process, Orders, Decisions and Requirements

February 25, 2005

Designation of Agent for Service of Notice, Process, Orders, Decisions and Requirements

By: Jonathan Bousfield

http://www.xl.com/

Index


International Air Transport Association

OST-2005-20624

March 9, 2005

Application for Approval of Agreements

PTC12 NMS-ME 0221 dated 4 March 2005 TC12 North Atlantic-Middle East (except USA-Jordan) Resolutions PTC12 NMS-ME 0222 dated 4 March 2005 TC12 North Atlantic USA-Jordan Resolutions PTC12 NMS-ME 0223 dated 4 March 2005 TC12 Mid Atlantic-Middle East Resolutions PTC12 NMS-ME 0224 dated 4 March 2005 TC12 South Atlantic-Middle East Resolutions r1-r47

Counsel: IATA, David O'Connor, 202-293-9292

http://iata.org

Index


Intra-Alaska Bush Service Mail Rates

OST-2003-14694

March 8, 2005

Objections to Petition of Frontier Flying Service and Motion to Dismiss | Word

Frontier Flying Service claims that it is in serious financial trouble, but has provided no proof of its assertion.  It asks for extra-regulatory action to provide it with a 40% premium on the established Part 121 linehaul rate.  It makes no claim that the existing linehaul rate is inadequate or inconsistent with established rate making procedures.  Frontier even offers a most reasonable alternative to the 40% premium, and that is conversion of its Beechcraft 1900 aircraft to Part 135 configuration.  The undersigned Carriers concur with the content of the previously filed comments filed on January 24, 2005.  In addition, the Carriers argue that Frontier and the Postal Service have completely failed to meet their burden of proof to justify this exemptive action.  Any information or data provided by Frontier must be placed in the pubic docket as it would be the only information on which any decision could be made.  Granting the petition is contrary to law and established regulatory standards.  Granting the petition is also inconsistent with the terms of the Rural Service Improvement Act which only encourages Part 121 bush service “where such operations are supported by the needs of the community;”. 

The obvious cause of Frontier’s financial problems is that is operating Part 121 service where such service is not supported by the needs of the community.  A simple, viable and proper alternative was raised by Frontier itself; convert its Part 121 aircraft to Part 135 configuration.  Clearly no rate premium is either justified or necessary.  Finally, the carriers request the Department clarify that the appropriate rate to be paid to Part 135 carriers competing with a Part 121 carrier receiving mail tender pursuant to a waiver is the Part 135 wheel rate.  This rate would continue in force for the Part 135 operators until the waiver carrier achieves the market share necessary to qualify for the pool into which it has been waivered.  In case the waivered carrier achieves its required market share, all service would convert to the Part 121 rate.  In case the waivered carrier does not achieve a qualifying share, damage to the incumbent carriers would be limited to the loss of mail tender associated with the extra tender share.

Counsel: Hank Myers, 425-641-8243, hank@mtcworld.com - Smokey Bay Air, LAB Flying Service, Skagway Air Service, Alaska Seaplane Service, Larry’s Flying Service, Baker Aviation, Island Air Service, Iliamna Air Taxi, Servant Air

Index


JetConnection BusinessFlight AG

OST-02-11906 - Germany-US Executive Charters

Filed February 14, 2005 | Issued March 9, 2005

Notice of Action Taken

Exemption from 49 USC section 41301 to permit the applicant to continue to conduct, using small equipment, charter operations, carrying persons, property and mail, as follows: between any point or points in Germany and any point or points in the United States; and between any point or points in the United States and any point or points in a third country or countries, provided that, except with respect to cargo charters, such service constitutes part of a continuous operation, with or without change of aircraft, that includes service to Germany for the purpose of carrying local traffic between Germany and the United States; and other charter operations pursuant to 14 CFR Part 212.

By: Paul Gretch

http://www.jetconnection.com/

Index


Nondiscrimination on the Basis of Disability in Air Travel

OST-2004-19482

March 9, 2005

Comments of American Airlines and American Eagle

American echoes the AlA's concerns and comments regarding this proposal. Codeshare flights permit U.S. carriers to fly to destinations they otherwise would be unable to serve due to an insufficient number of passengers to operate their own aircraft profitably or lack of governmental authority to service that destination. Requiring foreign flights that are marketed as codeshare flights by U.S. carriers to comply with the Department's ACM regulations might lead foreign carriers to refuse to agree to, or withdraw from, codeshare arrangements with U.S. carriers due to perceived added expense or non‑compliance risk. U.S. carriers could be put at a competitive disadvantage as they might be forced to cease service in a market that foreign carriers are otherwise free to serve.

Counsel: American, Alec Bramlett, alec.bramlett@aa.com

Index


North American Airlines, Inc.

OST-2005-20581 - US-Accra, Ghana

March 9, 2005

Answer of Continental Airlines

Continental' applied for U.S.-Ghana authority and seven frequencies in Docket OST-05-20523 on March 2, 2005, and North American has now applied for the same authority. Continental has no objection to the award of U.S.-Ghana exemption authority and seven frequencies to North American so long as Continental's earlier application is granted prior to, or contemporaneous with, North American's application.

Counsel: Crowell & Moring, Bruce Keiner, Jr., 202-624-2615

http://www.northamericanair.com/

Index


Northwest Airlines, Inc.

OST-2005-20646 - Exemption and Designation - Detroit-San Jose del Cabo

March 9, 2005

Application for an Exemption and Designation

Northwest seeks authority so it can provide scheduled foreign air transportation of persons, property and mail between Detroit, Michigan and San Jose del Cabo, Mexico. Northwest intends to provide seasonal service in this market on Saturdays beginning January 7, 2006, utilizing A-320 aircraft (configured with 16 first and 132 coach class seats). Northwest asks the Department grant this exemption for a two-year period, and to notify the Mexican civil aviation authorities of Northwest’s designation on the route.

Counsel: Northwest, Ronald Brower, 202-842-3193, ron.brower@nwa.com

OST-2005-20459 - USA 3000 Airlines - Chicago/Detroit-San Jose del Cabo

http://www.nwa.com

Index


Request for Public Comments on Mail Reporting Requirements

BTS-2004-19241

March 8, 2005

Re: Response of Southwest Airlines to Letter Submitted by Federal Express

In its most recent letter, FedEx again argues that it should not be required to report standard Part 241 data on mail that it transports for USPS. To be clear, the information that FedEx is refusing to report is the same information that every other air carrier transporting U.S. mail is required to provide to the Department of Transportation. No additional or unique burden would be placed on FedEx.

Ironically, FedEx's primary argument actually supports the release of its Part 241 data. In a tortured effort to justify its noncompliance with Part 241, FedEx asserts that the public release of this information would facilitate price competition between air carriers and lower prices for USPS: "The harm cited by both USPS and FedEx Express is the harm that parties on either side of a transaction can suffer whenever one bidder knows another's bid. Having the ability to slightly undercut a competitor's price harms the competitor that loses the bid and harms the contractor which could possibly have gotten a lower price."

This statement may well be true insofar as competitive bidding would "harm" FedEx by constraining the prices it could offer for its services. However, it is certainly not true that price competition will harm the contractor, in this case USPS (and U.S. taxpayers), by providing them with lower prices.

Counsel: Leslie Carr, 202-263-6285, leslie.carr@wnco.com

Index


Tradewind Aviation, LLC

Order 2005-03-17
OST-2005-20077 - Violations of 49 U.S.C. 41101, 41712, and 41738 and 14 CFR Part 298.21

Issued and Served March 9, 2005

Consent Order

This consent order concerns unauthorized scheduled passenger service as a commuter air carrier by Tradewind Aviation, LLC, that constitutes violations of 49 U.S.C. 41101, 41712, and 41738 and 14 CFR Part 298. This consent order directs Tradewind to cease and desist from further violations of these statutory provisions and federal regulation and to pay a compromise civil penalty of $40,000.

Tradewind has a fleet of three cessna Grand caravans, one Pilatus PC‑l2, and two Beech King Air 200's, all of which seat between six and nine passengers. The carrier has been engaging in unauthorized commuter air service using these aircraft since at least April 2004, when it launched its seasonal "Nantucket Shuttle" on routes between Nantucket, Massachusetts, and Teterboro, New Jersey, as well as between Nantucket and White Plains, New York. The Nantucket Shuttle operated pursuant to a schedule posted on Tradewind's Internet website, which listed 62 weekly "proposed" times for "shared charter" flights on its Nantucket‑Teterboro and Nantucket‑White Plains routes. The website included a disclaimer that a particular flight would take place only if there were at least five passenger bookings. Ultimately, on both routes, the carrier conducted a significant number of the 62 weekly flights shown on its schedule‑a number well in excess of the four‑flight‑per‑route weekly maximum allowed for air taxis that have not been found fit by the Department to provide scheduled passenger service as a commuter air carrier.

By: Rosalind Knapp

OST-2005-20570 - Charter Passenger Certificate Application Filed March 4th

http://www.tradewindaviation.com/

Index


USA 3000 Airlines and United Air Lines, Inc.

OST-2005-20459 - Chicago/Detroit-San Jose del Cabo
OST-2005-20630 - Exemption - Chicago-San Jose del Cabo

March 9, 2005

Answer and Motion for Consolidation of United Air Lines

United objects to the application of USA 3000 for an exemption in the Chicago-San Jose del Cabo city-pair to the extent that it precludes United's application. United is clearly a better choice than USA 3000 for this service. United will serve not only the local Chicago-San Jose del Cabo market but also passengers in numerous cities on United's network served over its principal hub at Chicago O'Hare. United will also offer codeshare and other interline connections to additional markets.

The Department should establish uniform procedural dates for the proceeding into which these applications are consolidated. On whatever date the Department selects, the present applicants and any additional applicants would be required to submit their year‑round service proposals (schedules, equipment, startup dates, traffic projections) for Chicago‑San Jose del Cabo services. A common date for applications and amendments is necessary as a matter of due process to put all applicants on the same procedural schedule so that no applicant has the advantage of knowing what another's final proposal may be. The establishment of a uniform date for applications and amendments is consistent with the Department's practice in carrier selection cases even where, as here, some applications have already been filed.

By: Wilmer Cutler, Jonathan Moss, 202-663-6960, jonathan.moss@wilmerhale.com

OST-1999-6172 - American's Chicago-San Jose del Cabo Certificate Authority

Index


United Air Lines, Inc.

OST-2005-20630 - Exemption - Chicago-San Jose del Cabo

March 9, 2005

Application for an Exemption

United seeks an exemption authorizing it to provide scheduled foreign air transportation of persons, property and mail between Chicago, Illinois and San Jose del Cabo, Mexico. United plans initially to operate services on a year round basis from O'Hare International Airport starting on or about May 7, 2005, on the following schedule: twice weekly service from May 7, 2005, through October 31, 2005, and four times weekly from November 1, 2005, through April 30, 2006. From its Chicago hub, United serves 137 nonstop destinations, offering connection opportunities to points throughout its system.

By: Wilmer Cutler, Jonathan Moss, 202-663-6960, jonathan.moss@wilmerhale.com

http://www.united.com/

Index


Volga-Dnepr J.S. Cargo Airline

OST-2005-20487 - Emergency Exemption - Philadelphia Moffett Field

Filed March 7, 2005 | Issued March 9, 2005

Notice of Action Taken

Amend exemption from 49 U.S.C. § 40109(g) granted on March 2, 2005 to permit the applicant to its operate one, one-way cargo charter flight, using its AN-124-100 aircraft, carrying outsized cargo on behalf of Lockheed Martin Commercial Space Systems, for a period of five days beyond March 10, 2005 (i.e. March 15, 2005). The applicant states that this five-day extension beyond the date of the initial grant is needed as a result of a production delay.

By: Karan Bhatia

http://www.vda.com.ru/

Index


2005 Los Angeles-Mexico City Combination Service Proceeding

OST-2005-20406


March 8, 2005

Supplement Two to Application and Motion for Leave to File of Alaska Airlines

Attached hereto is a letter from the entire Washington State Congressional Delegation, including Senators Murray and Caniwell as well as Representatives Dicks, McDermott, Hastings, Inslee, Smith, Baird, Larsen, McMorris and Reichert, strongly supporting Alaska's application. Alaska is very appreciative of the Washington Delegation's endorsement of its proposed services.

Alaska is also attaching a supplement to its Exhibit AS-2, which provides further detail with respect to Alaska's beyond-market schedules. Notwithstanding American's position in its Reply, Alaska believes its application, including Exhibit AS-2, complies fully in every material respect with the Department's instituting order and that its application establishes without question that Alaska is the best choice to replace Delta on the Los Angeles-Mexico City route. So that there is no doubt, however, as to Alaska's commitment to this service or its compliance with the instituting order, Alaska is submitting this supplement to its schedule identifying elapsed travel times for its beyond-market connecting services.

Counsel: Alaska and Squire Sanders, Marshall Sinick, 202-626-6651, msinick@ssd.com


March 9, 2005

Motion of American Airlines to Strike Late-Filed Direct Exhibit of Alaska Airlines

As American urged in its reply and brief of March 1, Alaska's application should be dismissed for failure to comply in material respects with item (3) of the evidence request. That called for proposed schedules, including flight numbers, complete routings from origin to destination (including behindgateway and beyond-gateway points), with elapsed times, departure and arrival times, equipment types including seating configuration, days scheduled, and classes of service offered. Alaska submitted none of this information with respect to behind Los Angeles connecting schedules on the due date, and now asks that its supplemental filing be accepted two weeks late and after replies and briefs have been submitted.

If there is ever to be a proceeding in which the Department enforces its evidentiary rules, this is that proceeding. In light of "the need to restore service quickly" on the Los Angeles-Mexico City route, the Department imposed unusually expedited procedural dates, allowing one week for direct exhibits and one week for replies and briefs.

Counsel: American, Carl Nelson, 202-496-5647, carl.nelson@aa.com


Individual Comments from Alaska Employees - Not All Links Active as the Correspondence is a Form Letter

Janet Anderson | Aaron Barger | Steven Bass | Allison Bergman | Robert Blandino | Dee Dee Butler | Scott Cary | Lynn Christensen | Ross De Jong | William Duncan | Sean Ellis | Mark Funkhouser | Alfred Hestle II | Kathy Hintz | Tallee Holder-Wellman | Teri Hopkins | Peggy Gardner | Angela Jones | Teresa Kavanagh | Lane Kemper | Ronald Kotyk | Barb Kupietz | Victory Lavalle | Lisa Lornstron | Lisa Luchau | Brian Malone | Dulce Perez Malagon | Jacqueline Martin | Jennifer Martin | Charles Mitchell | Alicia Sainos Perez | Cori Rathbone | Russ Rathbone | Jan Sawatzky | Kurt Schendel | Edward Smith | Cheri Starkey | Renata Stecz | Sean Summers | Mark Taylor | Garth Thompson | Kristi Thompson | Reka Willms | Jacquie Witherrite


Index


2005/2006 US-China Air Services Case and Designations

OST-04-19077


March 9, 2005

Answer of American Airlines to Motion of Continental Airlines for Expeditious Action

American shares Continental's interest in having a final order at the earliest possible date. However, American opposes Continental's suggestion that the Department could finalize Continental's award first, and enter a separate order dealing with American's award later.

Having already found that the public interest would be best served by authorizing American as the back-up selection - to fly to China in 2005 if Continental defaults, there should be no question that the Department would find the case favoring American to be even more compelling for 2006. Accordingly, it would make little sense for the Department to wait any longer to finalize American's 2006 award.

Counsel: American, Carl Nelson, 202-496-5647, carl.nelson@aa.com


March 9, 2005

Answer of American Airlines to Objections to Show-Cause Order 2005-2-14

American Airlines, Inc. hereby answers objections submitted on March 4, 2005 to show‑cause Order 2005‑2‑14, February 22, 2005, in which the Department tentatively granted American's application for Chicago‑Shanghai authority beginning in 2006. None of the objectors have offered any compelling reason for the Department to change its tentative award to American, which should be promptly confirmed by a final order.

Counsel: American, Carl Nelson, 202-496-5647, carl.nelson@aa.com


March 9, 2005

Answer of Continental Airlines

Alone among the 18 parties which submitted briefs in this proceeding, United has objected to the award of New York/Newark-Beijing authority to Continental in 2005. Since United's arguments have already been made to, and rejected by, the Department, the Department should issue a final decision immediately awarding Continental a certificate authorizing New York/Newark- Beijing service and seven 2005 U.s. -China frequencies so Continental can secure the necessary foreign authority and handling arrangements in China and begin marketing and selling its new service well in advance of its June 2005 commencement of service.

Counsel: Crowell & Moring, Bruce Keiner, Jr., 202-624-2615


March 9, 2005

Answer of Polar Air Cargo to Objections to Order to Show Cause | Word

The Objections filed do not focus on the allocation of all-cargo frequencies in 2006 but are raised primarily in connection with the underlying 2006 choice by the Department of a combination versus all-cargo carrier and the allocation of combination service frequencies. This Answer is offered in response only to those comments raised in connection with the Department's tentative award to Polar of three additional all-cargo frequencies in 2006. Continental Airlines, Inc. filed a motion for expeditious action in this case. Polar is fully sympathetic, from its own recent experience, with the urgency of Continental's request to commence service in time for peak seasonal demand. Polar does not object to the request for expedition but does not agree with Continental that the proceeding can or should at this juncture be split and decisions separately finalized for 2005 and 2006 route and frequency awards. One decision could not be rendered without impacting the other. Polar would instead urge the Department to use all means at its disposal to render a final decision in this proceeding as quickly as possible.

Counsel: Polar, Kevin Montgomery, 202-828-1002, kevin.montgomery@polaraircargo.com


March 9, 2005

Answer of United Air Lines

The record is clear that United's proposal for daily San Francisco­ Guangzhou service provides greater public benefits than any other combination carrier proposal, including American's proposal to become the second U.S.‑flag carrier operating nonstop Chicago‑Shanghai service and third U.S.‑flag carrier offering online service on the route. As United detailed in its Objection, United's proposal to offer the first daily nonstop service to Guangzhou would provide vastly superior public benefits by having a greater competitive impact in the U.S.‑China market, providing more balance of trade benefits and generating better passenger service options than any other proposal.

By: Wilmer Cutler, Jonathan Moss, 202-663-6960, jonathan.moss@wilmerhale.com

Index



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