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Updated: Friday, December 30, 2005 10:32 AM


United Air Lines, Inc. - 2005 Filings


United Air Lines, Inc.


Undocketed - Codeshare with Air Canada
Undocketed - Codeshare with All Nippon Airways
OST-00-6803 - US-Austria-Iraq Codeshare - Codeshare with Austrian
OST-03-15758 - US-UK Codeshare - Codeshare with British Midland
Undocketed - Codeshare with Lufthansa
OST-99-5251 - US-Scandinavia Codeshare - Codeshare with SAS

January 24, 2005

Re: Codeshare Notice

Hereby notifies the Department that United intends to display the designator codes of these foreign carriers on flights it operates between and among the U.S. cities listed in Exhibit A hereto. In addition, United hereby notifies the Department it intends to display the codes of these foreign carriers on flights it operates between any of the U.S. cities listed in Exhibit A hereto and any of the Canadian cities listed in Exhibit B hereto.

The code-share services will be operated as part of United's mainline operations as well as its United Express code-share arrangements with Air Wisconsin, Mesa Airlines, SkyWest Airlines, and Trans States Airlines. Docket OST-04-17986). This notice will enable United and United Express carriers to operate code-share services interchangeably to the points listed without the need to file repetitive notices as connecting services shift from one carrier to another.

United has not included Air Canada in this notice as it has authority to display Air Canada's designator code on all U.S-Canada transborder flights operated by United and on flights operated by United beyond any U.S. gateway to any U.S. point. See Statement of Authorization #98-54, June 12, 1998 (Undocketed).

Counsel: Wilmer Cutler, Jeffrey Manley, 202-663-6600, jeffrey.manley@wilmerhale.com


OST-04-19148 - Exemption - US-Germany Codeshare with Lufthansa (Libya)

Filed September 15, 2004 | Issued January 24, 2005

Notice of Action Taken | Word

Exemption for at least two years under 49 U.S. C. 40109 to the extent necessary to permit United to display its designator code on flights operated by Deutsche Lufthansa AG and other carriers that operate flights on Lufthansa’s behalf on the following services:

Scheduled foreign air transportation of persons, property, and mail between points in Germany; between points in the United States and points in Germany, either nonstop or via third country intermediates; and between points in Germany and points in third countries, either nonstop or via third-country intermediates.

By: Paul Gretch


OST-1995-195 - Certificate of Public Convenience - US-Ukraine

January 28, 2005

Application for Renewal and Amendment of a Certificate of Public Convenience and Necessity

By Order 2000-8-19, the Department reissued United an experimental certificate for Route 669, authorizing United to engage in scheduled foreign air transportation of persons, property and mail between a point or points in the United States and the terminal point Kiev, Ukraine, via the intermediate point Frankfurt, Germany. United's authority became effective on August 22, 2000, for five years and is due to expire on August 22, 2005. By this application, United asks that this certificate authority be renewed indefinitely or at a minimum for a period of five years.

United currently conducts service over this route under its code share arrangement with Lufthansa and plans to continue operating a daily code share flight between Frankfurt and Kiev on services operated by Lufthansa. United does not anticipate any difficulties in obtaining adequate supplies of fuel for these operations.

Counsel: United and Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


OST-04-19148 - US-Germany-Third-Country Codeshare with Lufthansa

January 26, 2005

Application to Amend Exemption

By Notice of Action Taken dated January 24, 2005, the Department granted United Air Lines, Inc. broad code-share-related exemption authority under 49 U.S.C. § 40109 to permit United to display its designator code on flights operated by Deutsche Lufthansa AG and other carriers that operate flights on Lufthansa's behalf: 1) between points in Germany; 2) between points in the United States and points in Germany, either nonstop or via third-country intermediates; and 3) between points in Germany and points in third countries, either nonstop or via third-country intermediates.

Pursuant to 49 U.S.C. § 40109, United hereby applies to amend the exemption granted by the January 24, 2005 NOAT to allow United to provide scheduled foreign air transportation of persons, property, and mail between the United States and points worldwide on a third-country code-share basis pursuant to blanket code-share statements of authorization previously approved by the Department for United's "UA" designator-code to be displayed on flights operated by Air New Zealand Limited; All Nippon Airways Co. Ltd.; Asiana Airlines, Inc.; Austrian Airlines, Osterreichische Luftverkehrs AG; Lauda Air Luftfahrt GmbH; Polskie Linie Lotnicze LOT S.A.; Scandinavian Airlines System; Singapore Airlines Limited; and Tyrolean Airways, Tiroler Luftfahrt GmbH dlb/a Austrian arrows. United also requests route integration authority to combine this exemption authority with its current certificate and exemption authority as permitted under applicable bilateral agreements. United requests that this exemption be granted for a period of at least two years.

Counsel: Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


OST-1995-195 - Certificate of Public Convenience - US-Ukraine

January 31, 2005

Re: Correction to Application

This letter is to notify you that the title of the Application filed by United Air Lines, Inc. in the above referenced docket on January 28, 2005, should be corrected to read "Application of United Air Lines, Inc. for Renewal of a Certificate of Public Convenience and Necessity" to conform to the text of the application. That application requests only the renewal of United's certificate, not an amendment.

Counsel: United and Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


OST-04-19148 - US-Germany Third-Country Codeshare with Lufthansa

Filed January 26, 2005 | Issued March 1, 2005

Notice of Action Taken | Word

Amend exemption under 49 U.S.C. 40109 to permit United to display its designator code on flights operated not only by Lufthansa and other carriers that operate flights on Lufthansa’s behalf, but also on flights operated by its other foreign code-share partners on the following services:

Scheduled foreign air transportation of persons, property, and mail between points in the United States and points worldwide on a third-country code-share basis pursuant to blanket code-sharing statements of authorization approved by the Department, and to integrate this authority with its existing certificate and exemption authority.

By: Paul Gretch


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-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


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

March 24, 2005

Answer of USA 3000 Airlines

In view of the fact that USA 3000 and now United have applications pending for Chicago‑San Jose del Cabo exemption authority and only one exemption is available, USA 3000 submits that these applications are mutually exclusive. Under the principles established by the Supreme Court in Ashbacker Radio Corp. v. Q the Department is required to conduct a carrier selection proceeding to choose the applicant whose proposal will generate the maximum public benefit.

Counsel: Pierre Murphy, 202-776-3980, pmurphy@lopmurphy.com


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

April 4, 2005

Reply of United Air Lines

As United noted in its application, there is only one remaining designation available under the U.S.-Mexico bilateral agreement for a U.S. carrier to serve the Chicago-San Jose del Cabo city pair. USA 3000 has also applied for that designation, proposing weekly service." United filed an answer opposing USA 3000's application in Docket OST-05-20459 to the extent it precluded the grant of United's application, and requested that the Department institute a carrier selection case, consolidate the applications of USA 3000 and United, and establish uniform procedural dates for consideration of these applications. USA 3000 subsequently filed its answer opposing United's application and similarly requesting that the Department conduct a carrier selection proceeding.

While United's proposed service would initially be operated with mainline aircraft, it would later be operated using its "Ted" product. United has developed its new "Ted" product to compete in leisure markets such as Mexican resort areas. This involves the use of specially-configured Airbus A320 aircraft. Public reception of the "Ted" product has been very positive. In markets where "Ted" services were first introduced early last year, United's market share increased significantly.

Counsel: United and Wilmer Cutler, Jeffrey Manley, 202-663-6670, Jeffrey.Manley@wilmerhale.com

Index


OST-1995-675 - Confidential Treatment Under Section 302.39 - Schedule B-43

March 28, 2005

Motion to Withhold Information from Public Disclosure

Counsel: United, David Olaussen, 847-700-6169


OST-1995-675 - Confidential Treatment Under Section 302.39 - Schedule B-7

March 28, 2005

Motion to Withhold Information from Public Disclosure

Counsel: United, David Olaussen, 847-700-6169


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

April 6, 2005

Motion of City of Chicago for Leave to File a Reply in Support of Application of United Air Lines

Only one U.S. carrier currently provides scheduled service between O'Hare and San Jose del Cabo. American Airlines offers daily service. See Order 2000-5-31 (reissuing American Airlines' Certificate for Route 560). As United noted in its application, there is only one remaining designation available under the U.S.-Mexico bilateral agreement for a U.S. carrier to serve the Chicago-San Jose del Cabo city pair. Both United and Brendan Airways, LLC, dlb/a USA 3000 Airlines, have applied for that remaining designation. See Docket OST-05-20459. According to their pleadings, United has proposed initially to operate two to four frequencies per week from O'Hare, and USA 3000 has proposed to operate one frequency per week. Both carriers would use A320 equipment and propose to start services in May that would operate year round.

Chicago believes that United's proposed service would provide greater public benefits than the service proposed by USA 3000. United is the world's second largest carrier and has its principal hub at O'Hare; USA 3000 is primarily a charter carrier with no connecting service at O'Hare. United is proposing substantially more frequencies and capacity than USA 3000.

Counsel: Chicago, Eduardo Cotillas, 312-744-6478, ecotillas@cityofchicago.org


OST-1995-299 - Exemption - Miami-Bonaire

Filed June 5, 2003 | Issued April 27, 2005

Notice of Action Taken

Scheduled foreign air transportation of persons, property, and mail between Miami, Florida, and Bonaire, Netherlands Antilles. United also requests authority to co‑terminalize its Bonaire services with services to Curacao, Port‑au‑Prince, and Aruba, and to integrate this service with its existing certificate and exemption authority. United intends to operate this service under a code‑share arrangement with a code‑share partner or to operate the service with its own aircraft.

By: Paul Gretch


OST-2005-21162 - Exemption - Denver-Cozumel

May 3, 2005

Application for an Exemption

United seeks an exemption authorizing it to provide scheduled foreign air transportation of persons, property and mail between Denver, Colorado and Cozumel, Mexico. United plans initially to operate weekly service from Denver International Airport starting on or about October 31, 2005. The service will operated on a year-round basis except for September-October. From its Denver hub, United serves 98 nonstop destinations, offering connection opportunities to points throughout its system.

Frontier Airlines, Inc. has applied for one of the two available designations. Docket OST-2005-21033

Counsel: Wilmer Cutler, Jeffrey Manley, 202-663-6670, Jeffrey.Manley@wilmerhale.com


2005 Chicago-San Jose del Cabo Exemption Proceeding

OST-2005-21156
OST-2005-20459 - USA 3000 Airlines
OST-2005-20630 - United Air Lines

Issued and Served May 3, 2005

Notice on Procedures and Consolidation of Exemption Applications

We intend to issue Chicago‑San Jose del Cabo exemption authority for a two‑year period, subject to a 90‑day startup condition, and subject also to certain dormancy notice requirements routinely imposed on U. S.‑Mexico air transportation services. Except where service in the market is seasonal/intermittent in nature, the dormancy conditions will apply as specified above. In light of the U.S.‑Mexico dormancy conditions, and consistent with our standard policy, we will only grant Chicago‑San Jose del Cabo route authority to an applicant presenting firm service plans.

We intend to resolve issues on the basis of the pleadings filed, and to award the immediately-available Chicago-San Jose del Cabo authority by proceeding directly to final order. As the applications filed are already ripe, and all interested parties have had an opportunity to file competing requests, we will not provide for additional applications here.

We will give USA 3000 and United an opportunity to file any other pertinent information to support their Chicago-San Jose del Cabo applications. The additional information should be filed no later than five (5) business days from the date of service of this Notice, and should be served on all parties in the captioned docket.

By: Paul Gretch


OST-2002-13527 - USA 3000 Airlines - Baltimore-Cancun
OST-2003-16210 - United Air Lines - Washington, DC-Cancun

May 4, 2005

Re: Letter Requesting Comparative Carrier Selection

On behalf of AirTran Airways, Inc., we ask the Department to institute a comparative carrier selection proceeding for Washington/Baltimore ‑ Cancun, Mexico services. Such a proceeding will assure that the limited traffic rights available under the U.S.‑Mexico bilateral are put to the highest and best use possible by selecting the carriers that will maximize public benefits under the Department's traditional carrier selection criteria.

At the time the Department "deferred" the US Airways application, AirTran was actively preparing an application for BWI-CUN. AirTran has a substantial connecting complex of low-fare scheduled services at BWI, where it now provides air services to 10% of the total BWI market and is the second largest operator after Southwest Airlines, Inc. AirTran's initiation of scheduled services between BWI and CUN is therefore a logical expansion of those operations (AirTran currently has pending in Docket OST-2005-21134 an application for exemption authority to provide scheduled combination services in the ATL/MCO/TPA-CUN markets, with a start date of December 15, 2005.) Because of the Department's decision to "defer" the US Airways application in anticipation of some liberalization of the bilateral following talks with the Government of Mexico, AirTran refrained from submitting its application for BWI-CUN authority.

Counsel: Wiley Rein, Edward Faberman, 202-719-7000


OST-2005-21162 - Exemption - Denver-Cozumel, Mexico

May 18, 2005

Answer of Frontier Airlines

On April 18, 2005, Frontier Airlines filed an application with the Department of Transportation seeking an exemption and a U.S.-Mexico designation to provide scheduled foreign air transportation of persons, property and mail between Salt Lake City and Puerto Vallarta. (Docket No. OST-2005-21033). Since there are two available designations and two interested applicants, Frontier does not object to United's application, provided that Frontier's application is approved as soon as possible.

Frontier does note, however, that United, which is attempting to emerge from bankruptcy, applied to serve this market only after another carrier offering fares and services that are desired by the public originally applied for authority to serve the market.

Counsel: Frontier and Wiley Rrein, Edward Faberman, 202-719-7402, efaberman@wrf.com


OST-1995-675 - Form 41 - Schedule B-7

May 10, 2005

Motion to Withhold Information from Public Disclosure

Counsel: United, David Olaussen, 847-700-6169


OST-2005-21162 - Exemption - Denver-Cozumel

Filed May 3, 2005 | Issued June 6, 2005

Notice of Action Taken | Word

Scheduled foreign air transportation of persons, property, and mail between the terminal point Denver, Colorado, and the terminal point Cozumel, Mexico.  United proposes initially to operate this route on a year-round basis except for September-October, beginning on or about October 31, 2005.

By: Paul Gretch


OST-2003-16210 - Exemption - Washington, DC-Cancun

July 8, 2005

Application for Renewal of an Exemption

United intends to continue to operate daily year-round nonstop service with its own aircraft between Washington and Cancun. United operates A320 equipment in this market and, in November, will introduce its popular low-fare Ted service using specially configured A-320 aircraft with 156 seats in all-economy configuration (including Economy Plus). United also offers code-share service sold under US Airways' US* designator code on these flights. See Notice of Action Taken dated July 6, 2004 (Docket OST-04-18060).

In November 2004, United filed an application requesting renewal of its U.S.-Mexico certificate authority and amendment of that authority to add, inter alia, its exemption authority for Washington, D.C.-Cancun granted in this docket to its certificate. Application for Renewal and Amendment of a Certificate of Public Convenience and Necessity, at p. 4, November 23, 2004 (Docket OST-99-5846).

Counsel: United and Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manely@wilmerhale.com

OST-2002-13527 - USA 3000 Airlines - BWI-Cancun
OST-2002-13855 - US Airways - BWI-Cancun


OST-2003-16210 - Exemption - Washington Dulles-Cancun

July 18, 2005

Answer of Metropolitan Washington Airpots Authority to Application for Renewal of an Exemption | Word

The Authority believes that United is operating this service in complete accord with the terms and conditions of the authority granted it by the Department in this exemption and under its various certificates. The Authority is aware of no countervailing reason or contention that would indicate that United is not adequately serving this market or is not in compliance with the terms of the exemption.

Because United's service is a benefit to the traveling public and for the other reasons set forth herein, the Metropolitan Washington Airports Authority urges the Department to renew the exemption authority for United Airlines to serve Cancun, Mexico from Washington for a minimum period of two years.

By: Edward Faggen, 703.417.8615, Edward.Faggen@mwaa.com


OST-1999-6013 - US-New Zealand Codesharing

July 19, 2005

Notice of United Air Lines

Pursuant to the Department's approval of the blanket statement of authorization in the above referenced proceeding granted to United Air Lines, Inc. and Air New Zealand Limited on August 6, 1999, United hereby notifies the Department that ANZ's "NZ*" designator code will be placed on flights operated by United between: Los Angeles, CA and New Orleans, LA and San Francisco, CA and New Orleans, LA.

Counsel: Wilmer Cutler, Jeffrey Manley, 202.663.6670


OST-2003-16210 - Exemption - Washington, DC-Cancun

July 25, 2005

Answer of AirTran Airways

AirTran Airways, Inc. submits this answer in opposition to the July 8, 2005 application of United Air Lines, Inc., for renewal of an exemption to provide nonstop service between Washington, D. C. and Cancun, Mexico. AirTran respectfully requests that the Department defer action on this application until the bilateral rights of U.S. air carriers to directly provide scheduled combination services have been resolved in negotiations with the Government of Mexico. In the event such negotiations do not improve the opportunities for U.S. carriers to offer such scheduled services in the Washington, D.C./Baltimore - Cancun markets, the Department should then set down a carrier selection proceeding to hear this and other applications for the reasons presented in AirTran's motion to institute such a proceeding pending in Docket OST-2002-13527. Deferral of action on United's application will not harm United or any member of the public because United can continue to serve the market under the automatic extension provisions of the Administrative Procedure Act as set forth in paragraph 2 of the application.

Counsel: AirTran and Wiley Rein, Bert Rein, 202-719-7045, brein@wrf.com


OST-2003-16210 - Exemption - Washington, DC-Cancun, Mexico

July 29, 2005

Reply of United Air Lines to AirTran Airways Opposition

In opposing United's application, the arguments FL makes are essentially identical to claims it made in Docket OST-02-13527, where it is opposing an application USA 3000 Airlines filed to amend an exemption it holds to provide scheduled service between Baltimore and Cancun to include Washington, D.C. as a U.S, gateway. United has already responded to FL's arguments in pleadings it filed in Docket OST-02-13527, wherein United showed that FL's position is fundamentally inconsistent with longstanding Department precedent and utterly without merit --if not actually frivolous - in public interest and transportation policy terms,S Simply repeating unsound arguments in another docket, as FL has done, does not improve their standing.

Counsel: Wilmer Cutler, Bruce Rabinovitz, 202-663-6960


OST-2003-16210 - Exemption - Washington, DC-Cancun, Mexico

August 1, 2005

Attachments Omitted from July 29, 2005 Reply - Bookmarked

Attached are copies of two pleadings that were referenced as attachments to the Reply of United Air Lines, Inc. filed in the above referenced docket on July 29, 2005. These attachments were inadvertently omitted from United's reply.

Counsel: Wilmer Cutler, Bruce Rabinovitz, 202-663-6960, brucerabinovitz@wilmerhale.com


OST-2003-16116 - US-Poland Codeshare with LOT

August 1, 2005

Application for Statement of Authorization

LOT's designator code will be displayed on a blind-sector basis for traffic moving between the U.S. and the European intermediate points listed above. These services are consistent with the U.S.IPoland bilateral air services agreement. The services will be implemented on or after August 31, 2005.

Counsel: Wilmer Hale, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


OST-2005-22195 - US-Ukraine Third-Country Codeshare Frequency Allocation

August 18, 2005

Application for Frequency Allocation

By Order 2005-7-17, the Department awarded United an additional third- country code-share opportunity to offer service in conjunction with Lufthansa between the U.S. and Kiev via Munich. The Department in the same order also allocated to United 3.5 weekly frequencies, which is the number required for a single daily third-country code-share service between the U.S. and Kiev.

Under the U.S.-Ukraine agreement, there are four remaining unallocated frequencies. United by this application requests 3.5 of those frequencies to allow it to offer code-share service on the second daily flight operated by Lufthansa between Munich and Kiev. By adding a code share on these additional Lufthansa Munich-Kiev services, United can offer enhanced competitive choices to passengers between the U.S. and Kiev.

The four unallocated frequencies under the U.S.-Ukraine agreement are presently going to waste. The Department has consistently followed a policy of maximizing the use of underutilized service opportunities that are available under bilateral air service agreements. 2005 U.S.-Argentina Combination Frequency Proceeding, Order 2005-7-23 at 2-3; In the Matter of Delta Air Lines for Allocation of Us,-Brazil Frequencies, Order 2005-7-16 at 3; In the Matter of U.S.-Ecuador All-Cargo Frequency Allocation, Order 2000-9-23 at 5; 1998 US.-Brazil Combination Service Case, Order 98-12-33 at 11. These frequencies may currently be used by the U.S. carriers that have been awarded the four third-country code-share services opportunities available under the agreement: United, Northwest and Delta. The code-share partners of Northwest and Delta do not operate multiple daily services to Kiev.

Counsel: United and Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


OST-2005-22195

August 19, 2005

Supplement to Application for Frequency Allocation

The additional Lufthansa Munich-Kiev services identified in United's application on which United proposes to code share (flights LH 3230/3231) are currently operating, and United will implement code-share service as soon as it has received all of the necessary governmental approvals. The allocation should be effective immediately for an indefinite term subject to the usual 90-day dormancy condition. Lufthansa uses different aircraft types for these flights. These aircraft include A319 (126 seats); B737 (123 seats); and Canadair RJ700 (70 seats). Lufthansa's aircraft are configured with Business (C) and Economy (Y) seats, with the number of seats in each class adjusted to meet demand.

Counsel: Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


OST-2003-16213 - Exemption - US-China Code-Sharing with Air China

August 22, 2005

Application for Renewal of an Exemption

Pursuant to 49 U.S.C. § 40109 and Subpart C of the Department's Rules of Practice (14 C.F.R. Part 302), United Air Lines, Inc. hereby applies for renewal of its exemption authority in the above-captioned docket which supports United's U.S.-China code share services with Air China Limited d/b/a Air China. United requests that its exemption be renewed for a minimum period of two years or until the Department grants United's application for renewal and amendment of its certificate of public convenience and necessity for Route 246 currently pending in Docket OST-1997-3020.

Counsel: Wilmer Cutler, Jeffrey Manley, 202-663-6670


OST-1995-675 - Confidential Treatment, Form 41 Schedule B-7

August 1, 2005

Motion to Withold Information from Public Disclosure

Pursuant to Rule 39(e) of the Department of Transportation, Office of the Secretary Procedural Rules, United Air Lines, Inc. hereby files this Motion to Withhold From Public Disclosure the information contained in a sealed envelope and captioned Schedule B-7 Airframe and Aircraft Engine Acquisitions and Retirements and delivered to the Office of Aviation Transportation Management. This information is provided pursuant to Part 241 of the Department's Economic Regulations, 14 CFR 241, and is part of Form 41 Schedule B-7 for Period Ended June 30, 2005.

The information sought to be withheld from public disclosure details United's acquisition cost and sales realization amounts with respect to new and used aircraft and aircraft engines, each broken down by model, individual serial number, and individual purchase or sale prices.

United considers the requested information deleted from Schedule B-7 to be highly sensitive and confidential.

Counsel: United, David Olaussen


OST-2005-22360 - Exemption - Los Angeles-Cancun

September 1, 2005

Application for an Exemption

United seeks an exemption authorizing it to provide scheduled foreign air transportation of persons, property and mail between Los Angeles, California and Cancun, Mexico. United plans to initially operate daily service from Los Angeles International Airport starting on or about December 15, 2005. The service will be operated on a year-round basis using A320 aircraft.

Currently, Alaska Airlines and ATA Airlines are designated to provide nonstop service between Los Angeles and Cancun. However, ATA has announced that it will discontinue its Los Angeles-Cancun service in mid-September 2005. Furthermore, the OAG (September 2005) shows no ATA services between Los Angeles and Cancun after operations scheduled for September 3, 2005, and ATA has loaded no schedules for Los Angeles-Cancun service beyond September 3, 2005 in any global distribution systems. ATA's present exemption authority for Los Angeles-Cancun service is scheduled to expire on September 25, 2005, and ATA has not filed a timely application to renew that authority.

Counsel: United and Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com

OST-2001-10009 - Alaska Airlines' Los Angeles-Cancun Authority
OST-1999-6690 - ATA's Los Angeles-Cancun Authority


OST-1999-5846 - Amendment of Certificate of Public Convenience and Necessity for Route 566 - US-Mexico

September 1, 2005

Supplement No. 2 to Application for Renewal and Amendment of a Certificate of Public Convenience and Necessity

United Air Lines, Inc, pursuant to 49 U.S.C. § 41102 and the Department's Notice dated August 23, 2005 (In the Matter of Streamlining Regulatory Procedures For Licensing U.S. and Foreign Air Carriers), hereby supplements its pending application in Docket OST-1999-5846 for renewal and amendment of its experimental certificate of public convenience and necessity for Route 566 (U.S.-Mexico) to include authority to carry persons, property and mail in foreign air transportation between Los Angeles and Cancun. United also requests authority to integrate this Los Angeles Cancun service with other services it is authorized to provide by exemptions and certificates of public convenience and necessity. United has concurrently applied for exemption authority for Los Angeles-Cancun service and proposes to initially operate daily service beginning on or about December 15, 2005. United asks that the amended certificate authority be granted for a period of no less than five years or until its certificate of public convenience and necessity for Route 566 has been amended to include comparable authority.

Counsel: United and Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


OST-2005-22360 - Exemption - Los Angeles-Cancun

September 7, 2005

Answer of Delta Air Lines

Delta Air Lines, Inc. hereby submits this Answer to the above captioned application of United Air Lines, Inc. Today, Delta filed a competing application seeking an exemption and a U.S.-Mexico designation to provide scheduled foreign air transportation of persons, property and mail between Los Angeles and Cancun.

Delta opposes the application of United due to the fact that it is mutually exclusive to Delta's application. Because there is only one available U.S.-Mexico designation for the Los Angeles-Cancun route with two interested applicants, the Department must conduct a carrier selection proceeding to evaluate the public interest merits of the competing applications. See Ashbacker Radio Corp. v. FCC, 326 U.S. 327 (1945). Delta will demonstrate the superior public benefits of its proposal in that proceeding.

Counsel: Hogan & Hartson, Robert Cohn, 202-637-4999, recohn@hhlaw.com


OST-1995-495 - Certificate Amendment, South America
OST-1995-625 - Route Integration
OST-1997-3020 - Renewal of Certificate of Public Convenience, China Route
OST-1999-6385 - Certificate of Public Convenience and Necessity

September 8, 2005

Motion for Immediate Action - Bookmarked

United has on file in the above-captioned dockets applications for certificates of public convenience and necessity or for amendments to existing certificates for various countries for which it holds current temporary exemption authority. A list of those countries and the corresponding dockets containing the certificate application and current temporary exemption authority is attached hereto as Exhibit A. United also has on file certificate applications for various countries associated with applications for exemption authority that were never granted for reasons that have never been explained. A list of those countries and the corresponding dockets containing the pending certificate and exemption applications is attached as Exhibit B. As United's applications have been pending before the Department for varying periods of time, some as long as thirteen years, United hereby requests that the Department act immediately on its pending applications for those countries listed in Exhibits A and B in accordance with the procedures set out in the Notice.

Counsel: Wilmer Cutler, Jeffrey Manley, jeffrey.manley@wilmerhale.com


OST-1999-5846 - Certificate - US-Mexico - Route 566

September 8, 2005

Supplement No. 3 to Application for Renewal and Amendment of Certificate of Public Convenience and Necessity and Motion for Immediate Action

United Air Lines, Inc., pursuant to 49 U.S.C. § 41102 and the Department's Notice dated August 23, 2005, In the Matter of Streamlining Regulatory Procedures For Licensing U.S. and Foreign Air Carriers, hereby supplements its pending application in Docket OST-1999-5846 for renewal and amendment of its experimental certificate of public convenience and necessity for Route 566 (U.S.-Mexico) to include authority to carry persons, property and mail in foreign air transportation between Denver and Cozumel and between Chicago and San Jose del Cabo. United also requests authority to integrate this Denver-Cozumel and Chicago-San Jose del Cabo service with other services it is authorized to provide by exemptions and certificates of public convenience and necessity.

Counsel: Wilmer Cutler, Jeffrey Manley, jeffrey.manley@wilmerhale.com


OST-2005-22195 - US-Ukraine Third-Country Codeshare Frequency Allocation

September 9, 2005

Motion for Leave to File and Answer of Delta

Delta Air Lines, Inc. hereby submits this Answer in opposition to the above-captioned application of United Air Lines, Inc. United already holds seven U.S. -Ukraine frequencies, and is able to offer double daily codeshare service from United's U.S. gateways to Kiev via a choice of Lufthansa's Frankfurt and Munich hubs. United's proposal to add yet another third-country codeshare service on Lufthansa's second daily Munich flight adds virtually no new public interest benefits, and would exhaust 3.5 of the last four available U.S. -Ukraine frequencies.

Counsel: Hogan & Hartson, Robert Cohn, 202-637-4999, recohn@hhlaw.com


OST-2005-22360 - Exemption - Los Angeles-Cancun

September 29, 2005

Support Letter of Los Angeles World Airports

Los Angeles World Airports wishes to express its support for United Airlines’ request for an exemption to immediately engage in scheduled foreign air transportation of passengers, property and mail between Los Angeles and Cancun, Mexico on its low-fare subsidiary airline Ted. United Airlines’ proposed Ted service between Los Angeles and Cancun international airports would provide substantial economic and competitive benefit to Los Angeles and the Southern California region.

United’s proposed service would provide several economic benefits to consumers in the local market, by continuing to offer low-fare service in the LAX-CUN city pair. Ted service would be similar to the fare-competitive service offered by ATA up to this point. As a result, Southern California consumers would continue to enjoy both low-fare and mainline service alternatives in the market.

By: Kim Day


Undocketed - Codeshare with Air Canada
Undocketed - Codeshare with All Nippon Airways
OST-2000-6803 - US-Austria-Iraq Codeshare - Codeshare with Austrian
OST-2003-15758 - US-UK Codeshare - Codeshare with British Midland
Undocketed - Codeshare with Lufthansa
OST-1999-5251 - US-Scandinavia Codeshare - Codeshare with SAS

October 14, 2005

Blanket Codeshare Notifications

Pursuant to the blanket statements of authorization granted to United Air Lines, Inc. and its foreign code-share partners Air Canada (June 12, 1998, Undocketed), All Nippon Airways Co. Ltd. (August 7, 1998, Undockcted), Austrian Airlines, Osterreichische Luftverkehrs AG (March 13, 2000, Docket OST-2000-6803), British Midland Airways Limited (December 3, 2003, Docket OST-2003-15758), Deutsche Lufthansa AG (April 9, 1998, Undocketed), and Scandinavian Airlines System (May 24, 1999, Docket OST-1999-5251), United hereby notifies the Department that United will display the designator codes of these foreign carrier partners on United's flights between its hubs at Chicago (ORD), Denver (DEN), Los Angeles (LAX), San Francisco (SFo), and/or Washington, D.C. (lAD), on the one hand, and the following points, on the other:

Daytona Beach, FL
Fort Lauderdale, FL
Great Falls, MT
Kona, HI

These markets may be served interchangeably by United and United Express services. A similar notice is being filed for United Express carriers in Dockets OST-2003-16724, OST-2004-17955 and OST-2004-17986. The notice will be effective on November 14, 2005.

Counsel: Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


OST-2005-22767 - Exemption - Chicago-Cancun; Los Angeles-San Jose del Cabo; Chicago-Puerto Vallarta; Los Angeles-Puerto Vallarta

October 17, 2005

Application for an Exemption

United Air Lines, Inc. pursuant to 49 U.S.C. § 40109 and Subpart C of the Department's Rules of Practice (14 C.F.R. Part 302) and in response to the Department's Notice dated October 5, 2005 hereby applies for an exemption from 49 U.S.C. § 41101 authorizing it to provide scheduled combination service in foreign air transportation of persons, property and mail between Chicago, Illinois and Cancun, Mexico; between Los Angeles, California and San Jose del Cabo, Mexico; between Los Angeles, California and Puerto Vallarta, Mexico; and between Chicago, Illinois and Puerto Vallarta, Mexico. On Chicago-Cancun, United proposes initially to operate 11 weekly frequencies in the peak season, and daily service in the off-peak, beginning within 90 days of a grant of such authority. On Los Angeles-San Jose del Cabo, Los Angeles-Puerto Vallarta and Chicago-Puerto Vallarta, United proposes initially to operate daily service in the peak season and twice weekly service in the offpeak, beginning within 90 days of a grant of such authority for Los Angeles-San Jose del Cabo and Los Angeles-Puerto Vallarta, and beginning April 2, 2006 for Chicago-Puerto Vallarta. United asks that the requested authority be effective immediately and remain in effect for two years.

All "Ted" service will be operated with A320 aircraft with 156 seats in an all-economy configuration (including Economy Plus) currently in United's fleet. All mainline service will be operated with A320 aircraft with 12 first class and 126 economy seats currently in United's fleet. United developed its "Ted" product specifically to compete in leisure markets such as Cancun, Puerto Vallarta and San Jose del Cabo, where low-fare service will be well received by consumers. Public reception of the "Ted" product has been extremely positive and United projects similar results from the use of its "Ted" product in these markets.

Counsel: Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


OST-2005- Exemption - Chicago-St. Lucia

October 19, 2005

Application for Exemption

United seeks an exemption authorizing it to provide scheduled foreign air transportation of persons, property and mail between Chicago, Illinois and St. Lucia. United plans to initially serve the Chicago-St. Lucia market starting on or about February 5, 2006 with weekly service on a seasonal basis.

United has applied for certificate authority for service between the U.S and St. Lucia and that application is currently pending. Application of United Air Lines, Inc. for Certificate of Public Convenience and Necessity, Docket OST-1999-6385, October 19, 1999. United requests that the requested exemption authority and the pending certificate authority for U.S.-St. Lucia service be awarded pursuant to the Department's new streamlined regulatory procedures for licensing U.S. carriers.

United plans to operate its proposed services with B-757-200 aircraft with 182 seats configured with 24 first-class and 158 economy class seats. United anticipates no difficulty in obtaining fuel for these services.

Counsel: Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


Order 2005-10-22
OST-2005-20077
- Violations of 49 U.S.C. 41101 and 41712

Issued and Served October 20, 2005

Consent Order | Word

This consent order concerns a complaint filed by an individual with a disability alleging that United Air Lines, Inc. violated 14 CFR Part 382 when it refused to board her due to her disability. Part 382 implements the Air Carrier Access Act, 49 U.S.C. § 41705, and violations of that Part also violate the ACAA. ACAA and Part 382 violations also constitute unfair and deceptive trade practices in violation of 49 U.S.C. § 41712. Based on an investigation conducted by the Office of the Assistant General Counsel for Aviation Enforcement and Proceedings, it has been determined that United violated the ACAA and its implementing rules when it denied boarding to a qualified disabled passenger due to her cerebral palsy. This order directs United to cease and desist from future violations of Part 382, the ACAA, and 49 U.S.C. § 41712 and assesses United a civil penalty.

The alleged violation took place on August 16, 2003, subsequent to United’s December 9, 2002, filing of a petition for reorganization under Chapter 11 of the Bankruptcy Code.

United Air Lines, Inc. is assessed $30,000 in compromise of civil penalties that might otherwise be assessed for the violations found in paragraphs 2 through 4 of this order.

By: Rosalind Knapp


OST-2005-22799 - Exemption - Chicago-St. Lucia

October 21, 2005

Re: Polling Results

On behalf of United Air Lines, Inc., I have polled the representatives of all carriers on the service list attached to the Application of United Air Lines, Inc. for Exemption filed October 19, 2005 in the above referenced docket. All carrier representatives have advised me that they have no objection to the granting of the request contained in the Application.

Counsel: Wilmer Cutler, Kenneth Hines, 202-663-6000


OST-2005-22799 - Exemption - Chicago-St. Lucia

Filed October 19, 2005 | Issued October 27, 2005

Notice of Action Taken | Word

Scheduled foreign air transportation of persons, property, and mail between Chicago, Illinois and St. Lucia.  United also seeks route integration authority to combine this exemption authority with its existing certificate and exemption authority.  United proposes initially to operate weekly service beginning on or about February 5, 2006 on a seasonal basis.

United expressly requests expedited approval of this exemption application so that marketing and sale of the new service may begin without delay.  United also asks that the requested exemption authority in the instant docket and United’s pending application for U.S.-St. Lucia certificate authority (Docket OST-1999-6385) be awarded pursuant to the Department’s new streamlined regulatory procedures for licensing U.S. carriers (see Docket OST-2005-22228).  In the interest of according United the expedited treatment it seeks on the present application, we have decided to grant United’s request for exemption authority to serve the Chicago-St. Lucia market here, and to handle the carrier’s pending application for U.S.-St. Lucia certificate authority separately. 

By: Paul Gretch


OST-1996-1346 - Exemption - U.S.-Brazil Frequency Allocation
OST-1997-2358 - Exemption/Statement of Authorization - US-Brazil

November 4, 2005

Application for Renewal and Amendment Exemptions

United Air Lines, Inc. hereby applies for renewal of two exemption authorizations in the above-captioned dockets which support, inter cilia, a number of United's U.S.-South America operations, both-code share and direct. United requests that these two exemptions be renewed for a minimum period of two years or until the Department grants United's corresponding application for a certificate of public convenience and necessity, as amended, pending in Docket OST-1995-495. United also requests amendment of its exemption in Docket OST-1997-2358 to grant code-share authority coextensive with the U.S./Brazil air services agreement.

United filed a Motion for Immediate Action, dated September 8, 2005, in Docket OST-1995-495 requesting that the Department act on this long-pending application in accordance with the procedures set out in the Notice In the Matter of Streamlining Regulatory Procedures For Licensing U.S and Foreign AirCarriers, issued by the Department August 23, 2005, in Docket OST-2005-22228.

Counsel: Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


OST-1996-1346 - Exemption - US-Brazil Frequency Allocation
OST-1997-2358 - Exemption - Statement of Authorization - US-Brazil

November 8, 2005

Answer of American Airlines

American does not object to United's requested amendment with respect to codeshare points in Brazil, provided that American receives equal treatment in OST-1997-2419, in which American is seeking renewal and amendment of its Brazil authority by application submitted on November 4, 2005.

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


OST-1995-675 - Confidential Treatment - Form 41 Schedule B-7

November 16, 2005

Motion to Withhold Information from Public Disclosure

United hereby files this Motion to Withhold From Public Disclosure the information contained in a sealed envelope and captioned Schedule B-7 Airframe and Aircraft Engine Acquisitions and Retirements for a period of not less than ten years.

The information sought to be withheld from public disclosure details United’s acquisition cost and sales realization amounts with respect to new and used aircraft and aircraft engines, each broken down by model, individual serial number, and individual purchase or sale prices. United considers the requested information deleted from Schedule B-7 to be highly sensitive and confidential.

Counsel: United, David Olaussen, 847-700-6169


OST-2005-21162 - Exemption - Denver-Cozumel

December 2, 2005

Motion for a Dormancy Waiver

United Air Lines, Inc. hereby requests a waiver of the dormancy condition applicable to United's exemption authorizing it to provide scheduled combination service of persons, property and mail between Denver, Colorado and Cozumel, Mexico, so that the 90-day dormancy period will begin on October 31, 2006.

Due to the devastation of Cozumel caused by Hurricane Wilma, United has determined that it is not feasible to start new service in this market until next year. The requested waiver will enable United to promptly implement the new service when conditions warrant.

Counsel: Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


OST-1998-4043

December 5, 2005

Supplemental Comments of United Air Lines

United Air Lines, Inc. is submitting these Supplemental Comments on the Department of Transportation's proposal to modernize data collection requirements under its Origin-Destination Survey of Airline Passenger Traffic. We are taking this step because United believes there is a need to clarify some fundamental points in light of the submission, on September 30, 2005, of Joint Supplemental Comments by the Air Carrier Association of America and various self-described small and low-cost carriers. Those Supplemental Comments argued that the entire proposal is ill-conceived and asked that the rulemaking proceeding be terminated. See ACAA Supplemental Comments at 16. In fact, the thrust of the ACAA Supplemental Comments belies this conclusion and, when read in conjunction with other comments in the docket, demonstrates instead that there is broad agreement among air carriers on ways in which the O&D Survey can and should be improved. United is making this submission in order to ensure that the Department does not lose sight of this important point when confronted with a cacophony of competing voices expressing somewhat disparate, but not incompatible, views on the central issues in the rulemaking.

The carriers who joined in the ACAA Supplemental Comments have overstated their case against making any change in the O&D Survey. Even they acknowledge that a number of changes would be beneficial; moreover, their opposition to the new methodology for determining one-way trips and to reporting data on an individual flight/date/time-of-day basis is misplaced. If the required additional data elements are tailored along the lines described in Part III above (including the new definition of one-way trip and reporting on a flight/date/time-of-day basis), the additional burdens of enhanced O&D reporting will be minimized, and the concerns about disclosure of confidential financial and operational information will be mooted. The Department should recognize the broad consensus that exists in favor of these changes and should implement them in a final rule that will make the O&D Survey program far more useful to the wide range of stakeholders who rely on it as a critical source of information.

Counsel: Wilmer Cutler, Bruce Rabinovitz, 202-663-6960, bruce.rabinovitz@wilmerhale.com


OST-1995-369 - US-Nairobi Codeshare
OST-1996-1348 - US-Manchester, UK
OST-1996-1560 - US-Azerbaijan/Turkmenistan Codeshare
OST-1998-3476 - US-Bosnia/Croatia Codeshare
OST-1999-5097 - US-Namibia Codeshare
OST-1999-6720 - US-Ghana/Nigeria Codeshare
OST-2000-6852 - US-Portugal

December 8, 2005

Application for Renewal of Exemptions

By this application, United seeks to renew each of the above-detailed exemption authorities for a minimum period of two years or until the Department grants United's corresponding applications for a certificate of public convenience and necessity, as amended, currently pending in Dockets OST-1995-625 and OST-1999-6385.

United filed a Motion for Immediate Action, dated September 8, 2005, in Dockets OST-1995-495 and 1999-6385 requesting that the Department act on these long-pending applications in accordance with the procedures set out in the Notice In the Matter of Streamlining Regulatory Procedures For Licensing U.S and Foreign Air Carriers issued by the Department August 23, 2005, in Docket OST-2005-22228.

Counsel: Wilmer Cutler, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


Order 2005-12-5
OST-2005-22228

Issued and Served December 9, 2005

Order to Show Cause - Bookmarked

By this order we tentatively find that it is in the public interest to grant to each air carrier in the above-captioned proceeding the blanket route integration certificate attached as Appendix A to this order.

In response to the Notice, we received more than 20 submissions to the Docket from U.S. carriers seeking blanket route integration authority. The applicants of record are listed above, in the caption for this proceeding. For the most part, the carriers requesting such authority urged us to grant it in the broadest possible terms so that it would encompass prospective or future awards of authorities, as well as all currently held authority, and would be valid for an indefinite period or, alternatively, the longest possible duration, as opposed to the five-year term described in the Notice.

Decision:

We have tentatively decided to grant to each applicant of record a blanket route integration certificate covering all of its current and prospective international route authorities. We tentatively find that the award of such authority, with the enhanced operational flexibility and administrative convenience it would accord to the holder, is consistent with the public convenience and necessity. The authority would be subject to standard route integration and certificate conditions, and such other conditions as the Department may establish. The certificate would be awarded for a five-year duration and open to renewal. Consistent with the Notice, we will use a self-executing final order (Appendix B) to issue to each applicant of record an initial five-year blanket route integration certificate of public convenience and necessity in the form attached as Appendix A, assuming no objections and upon completion of the 49 U.S.C. § 41307 Presidential review.

We have considered requests that we issue longer term or even indefinite route integration authority. However, we tentatively find that it would be more reasonable in the circumstances presented to award the authority for an appropriate and suitably limited length of time to give us the opportunity to review our streamlining approach to blanket route integration authority before renewing it. We tentatively regard five years as the appropriate length of time for this purpose.

We note that some applicants of record may have previously submitted applications requesting route integration authority, among other things. To the extent superseded by the action taken here, we will deem those portions of pending applications as moot, as Department action on them would be duplicative and narrower in scope than the blanket route integration authority we intend to issue, and we will deem all such requests to have been dismissed without prejudice.

By: Paul Gretch


OST-2005-22767 - Exemption - Chicago-Cancun; Los Angeles-San Jose del Cabo; Chicago-Puerto Vallarta; Los Angeles-Puerto Vallarta

Filed October 17, 2005 | Issued December 12, 2005

Notice of Action Taken

Scheduled foreign air transportation of persons, property, and mail between (1) Chicago, Illinois, and Cancun, Mexico; (2) Los Angeles, California, and San Jose del Cabo, Mexico; (3) Los Angeles, California, and Puerto Vallarta, Mexico; and (4) Chicago, Illinois, and Puerto Vallarta, Mexico. United states that, with the exception of the Chicago-Puerto Vallarta market, it will provide a combination of peak and off-peak service in all of the subject markets beginning within 90 days of a grant of the requested authority. United states that it will provide a combination of peak and off-peak services in the Chicago-Puerto Vallarta market beginning April 2, 2006.

United also requests that its exemption authority for Chicago-Cancun, Los Angeles-San Jose del Cabo, Los Angeles-Puerto Vallarta, and Chicago-Puerto Vallarta be awarded under the Department’s streamlined licensing procedures. To the extent that United is seeking certificate authority for the subject markets, we will handle that request subsequently.

Granted: exemption authority to United to serve the Chicago-Puerto Vallarta market.

Deferred: on United’s request for exemption authority to serve the Chicago-Cancun, Los Angeles-San Jose del Cabo, and Los Angeles-Puerto Vallarta markets.

Deferred: on United’s request for certificate authority to serve the Chicago-Cancun, Los Angeles-San Jose del Cabo, Los Angeles-Puerto Vallarta, and Chicago-Puerto Vallarta markets.

By: Paul Gretch


OST-2005-22360 - United - Exemption - Los Angeles-Cancun
OST-2005-22415 - Delta - Exemption - Los Angeles-Cancun

Filed September 1/7, 2005 | Supplemented October 17, 2005 | Issued December 12, 2005

Notice of Action Taken

Scheduled foreign air transportation of persons, property, and mail between Los Angeles, California, and Cancun, Mexico. United states that it will initially provide daily service in the market, beginning on or about December 15, 2005.

United also requests that its exemption authority for Los Angeles-Cancun be awarded under the Department’s streamlined licensing procedures. To the extent that United is seeking certificate authority for the subject market, we will handle that request subsequently.

Scheduled foreign air transportation of persons, property, and mail between Los Angeles, California, and Cancun, Mexico, and to combine this exemption authority with Delta’s existing exemption and certificate authority, consistent with applicable international agreements. Delta states that it will provide daily service in the market, beginning on or about June 1, 2006.

In a consolidated supplement filed in Delta’s present application (Docket OST-2005-22415), among other dockets, Delta urges the Department to grant its request for Los Angeles-Cancun authority under the Department’s streamlined licensing procedures. To the extent that Delta is seeking certificate authority for the subject market, we will handle that request subsequently.

By letter dated November 22, 2005, Delta revised its startup date for Los Angeles-Cancun services from December 1, 2005, to June 1, 2006.

Granted: exemption authority to United and Delta to serve the Los Angeles-Cancun market.

Granted: route integration authority to Delta.

Deferred: on United’s and Delta’s requests for certificate authority to serve the Los Angeles-Cancun market.

By: Paul Gretch


OST-2005-22450 - Delta - Frequency Allocation - New York-Kiev
OST-2005-22195 - United - US-Ukraine Third-Country Codeshare Frequency Allocation

December 19, 2005

Objections of United Air Lines

The Department has made this tentative decision without a shred of evidence comparing the relative benefits of United's and Delta's services. Rather, the Department merely asserts, without further analysis and contrary to past practice in frequency allocation carrier selection cases, that the record has not persuaded it that United's use of the frequencies "would outweigh the benefits that would derive from Delta's introduction of U.S.-flag nonstop service to Ukraine."

The Department also concludes erroneously (Order 2005-12-6 at 3) that the award of frequencies to Delta will maximize the use of available frequencies whereas United's allocation would result in the waste of 1/2 of a frequency. In fact, United indicated that it had no objection to the award of the 1/2 frequency it does not require to Delta, giving Delta a total of 4 which it could use for its proposed schedule.

The DOT also erroneously concludes that an award of 4 frequencies to Delta will increase competition between the U.S, and Ukraine in any meaningful way. In fact, the New York-Kiev market, which Delta proposes to serve, is already highly competitive. United and Delta already compete with each other as well as with Northwest for online code-share service. In addition, AeroSvit, a Ukrainian carrier, operates nonstop service with U.S.-built equipment, and several foreign carriers, such as Lufthansa, KLM, Air France, British Airways and others offer one-stop services via their European hubs.

The Department recognizes that United's proposal to start immediately gives it a substantial advantage over Delta which does not propose to start until next summer, "on or about June 1, 2006." The Department seeks to neutralize United's advantage in this regard by offering a temporary allocation to United to use the frequencies until such time as Delta wants to use them. The Department's temporary allocation proposal is, however, unworkable in the form proposed because United cannot know when Delta will start to use the frequencies until 30 days before Delta proposes to do so. This would limit United to selling services on flights to be operated, only within 30 days of the date of sale. Effective marketing requires that services be available over a longer period than 30 days, but were United to do so, Delta would have the unilateral right to demand the frequencies at any time on 30 days' notice in a manner that would interrupt United's marketing and cause inconvenience and disruption to passengers booking more than 30 days in advance. Delta's actions could impose on United the onerous expense of notifying and rebooking passengers who bought tickets for United-coded services beyond the 30 day period of Delta's notice.

Counsel: Wilmer Hale, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


OST-2003-16537 - Exemption - US-Turks and Caicos, Anquilla, British Virgin Islands, and Montserrat

December 23, 2005

Application for Renewal of an Exemption and Request for Action on Deferred Portion of Application

United Air Lines, Inc. pursuant to 49 U.S.C. § 40109 and Subpart C of the Department's Rules of Practice (14 C.F.R. Part 302), hereby applies for renewal of the exemption granted in the above-captioned docket to offer services between points in the U.S. and Providenciales, Turks and Caicos. United also requests that the Department act on the deferred portion of United's application filed in this docket on November 17, 2003, for an exemption to engage in scheduled foreign air transportation of persons, property, and mail between a point or points in the U.S., on the one hand, and any point or points in Turks and Caicos, Anguilla, the British Virgin Islands, and Montserrat, on the other hand, and to integrate these services with United's existing certificate and exemption authority United requests that this exemption authority be granted for a minimum period of two years or until the Department grants United's corresponding pending application for a certificate of public convenience and necessity.

Counsel: Wilmer Hale, Jeffrey Manley, 202-663-6670, jeffrey.manley@wilmerhale.com


Order 2005-12-18

OST-2005-23494 - New York/Newark-Cancun Combination Service Proceeding
OST-2005-23496 - Chicago-Cancun Combination Service Proceeding
OST-2005-23497 - Los Angeles-Puerto Vallarta Combination Service Proceeding
OST-2005-23498 - Los Angeles-San Jose del Cabo Combination Service Proceeding

OST-2005-22551 - Delta - Exemption - New York-Cancun
OST-2005-22579 - Jet Blue - Exemption - US-Cancun
OST-2005-22636 - USA 3000 - Exemption - Newark/Chicago-Cancun

OST-2005-22636 - USA 3000 - Exemption - Newark/Chicago-Cancun
OST-2005-22580 - Frontier - Exemption - Chicago (MDW)-Cancun
OST-2005-22767 - United - Exemption - Chicago-Cancun; Los Angeles-San Jose del Cabo; Chicago-Puerto Vallarta; Los Angeles-Puerto Vallarta
OST-2005-22589 - Spirit - Exemption - Dallas-Ft. Worth/Chicago-Cancun

OST-2005-22620 - Delta - Exemption - Atlanta-Acapulco; Boston-Cancun; Los Angeles-Puerto Vallarta/San Jose del Cabo/Zihuatanejo; Washington, DC-Cancun
OST-2005-22767 - United - Exemption - Chicago-Cancun; Los Angeles-San Jose del Cabo; Chicago-Puerto Vallarta; Los Angeles-Puerto Vallarta

OST-2005-22769 - America West d/b/a US Airways - Exemption - Los Angeles-San Jose del Cabo
OST-2005-22620 - Delta - Exemption - Atlanta-Acapulco; Boston-Cancun; Los Angeles-Puerto Vallarta/San Jose del Cabo/Zihuatanejo; Washington, DC-Cancun
OST-2005-22766 - ExpressJet - Designation - Los Angeles-San Jose del Cabo
OST-2005-22590 - Frontier - Exemption - Los Angeles-San Jose del Cabo
OST-2005-22767 - United - Exemption - Chicago-Cancun; Los Angeles-San Jose del Cabo; Chicago-Puerto Vallarta; Los Angeles-Puerto Vallarta

Issued and Served December 29, 2005

Instituting Order - Bookmarked

By this order we institute proceedings to select one primary carrier and one backup carrier to provide direct carrier (own-aircraft), scheduled combination air services in the New York/Newark-Cancun, Chicago-Cancun, Los Angeles-Puerto Vallarta, and the Los Angeles-San Jose del Cabo markets, thereby implementing new rights available to US. carriers under the recently amended US.-Mexico aviation agreement.

We grant the motions to consolidate applications into the relevant proceedings as described in this instituting order, and we consolidate the applications for the four city-pair markets addressed in this instituting order into the four carrier selection cases described herein.

We grant the motion of Spirit Airlines, Inc. to withdraw its application for exemption authority to serve the Chicago-Cancun market and hereby dismiss that application.

Procedural Timetable:

Petition for Reconsideration: 1-4-06
Replies to Petitions for Reconsideration: 1-6-06
Supplements/Amendments to Applications: 1-10-06
Answers: 1-12-06
Replies: 1-17-06

By: Michael Reynolds


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