OST-00-6838

Sun Country Airlines, Inc.

Hereby applies for an exemption from the high density rule, 14 C.F.R. Part 93, Subparts K and S, to enable operation of one daily round-trip flight between JFK International Airport and Minneapolis/St. Paul, Minnesota using 170-seat Boeing 727-200 aircraft. Sun Country seeks two exemption slots to operate its proposed nonstop point-to-point service. Sun Country plans to begin the new service in May 2000. Accordingly, the Department is requested to accelerate the answer date, and issue its decision on an expedited basis, so that Sun Country can make the arrangements necessary for operation of the service.

Minneapolis/St. Paul presently has only the barest minimum nonstop daily service to JFK. Sun Country operates a single round-trip that arrives 10:20 and departs 12:50, well bef6re the 15:00-20:00 period covered by the high density rule. No other point-to-point service is offered between the involved airports. Sun Country's additional nonstop roundtrip daily flight thus will double the amount of convenient direct service offered to the public in the market. All other Minneapolis/St. Paul-JFK service is highly circuitous and passes through connecting hubs at O'Hare or St. Louis.  Sun Country will offer walk-up and advance purchase fares at the same level charged for its existing non-high density rule flight. Sun Country's average nonstop one-way fare between Minneapolis/St. Paul and JFK is $129 (see attached illustrative data). This is significantly lower than the prevailing one-way average fare of $227 in that market for inferior connecting service. The difference in advance purchase fares is even greater. Sun Country's lowest advance -one-way fare in the market is $99; the lowest advance one-way fare via a connecting hub is offered by Trans World Airlines via STL at $629.

Counsel:  Morgan Lewis, Dennis Barnes, 202.467.7060, Barn7060@mib.com

Sun Country Airlines, Inc.

While JetBlue vigorously supports increased competition in the airline industry, especially by other low fare new entrants, the application of Sun Country for two new entrant exemption slots at JFK is neither supported nor opposed by JetBlue. JetBlue does have reservations, however, about applications for JFK exemption slots not necessarily based on the particular merits of a specific request, but rather based upon both the operational availability of exemptions and compliance with all environmental laws. The Department’s grant of this, or any other application for an exemption at JFK, without first requiring that the appropriate operational and environmental analyses be performed, including the assumption that JetBlue’s operations will utilize all 75 slots granted in Order 99-9-11, would set a disturbing precedent.

Counsel:  Dow Lohnes, Jonathan Hill, 202.776.2000

Sun Country Airlines, Inc.

The effect of these "reservations" would be to thwart Sun Country's application by imposing upon the pending request for two slots the same procedural and analytical requirements used to determine JetBlue's application for 75 slots at JFK. The cases presented by Sun Country and JetBlue are clearly distinguishable. JetBlue has not demonstrated any credible grounds for its contentions. The Department should not be coaxed into delaying action upon Sun Country's application by accepting the false parallel asserted by JetBlue.

Counsel: Morgan Lewis, Dennis Barnes, 202.467.7060, Barn7060@mib.com

Sun Country Airlines, Inc.

Counsel:  Hugh Weinberg, 718.286.2880

Sun Country Airlines, Inc.

Sun Country's application has been pending for 60 days. It has drawn comment, but not opposition, from JetBlue Airways. Only the Borough of Queens has opposed tile application. As shown herein, that opposition relies on grounds that will vanish when Air 21 is signed into law. The Department should deem the 60-day application process provided in Air 21, § 231(a)(1)(i) to have been satisfied, and grant immediately the two slot exemptions requested by Sun Country.

Counsel:  Morgan Lewis, Dennis Barnes, 202.467.7060, Barn7060@mib.com

Sun Country Airlines, Inc.

Sun Country, in the high-handed and dismissive tone used in its papers, truly demonstrates its contempt for the people of Queens, whose two million residents constitute a large percentage of the New York market which it seeks to serve. Apparently, Sun Country has contempt for the High Density Rule as well.

Counsel:  Queens Borough Presidents Office, Hugh Weinberg, 718.286.2880

Establishment of Slot Exemptions Proceedings 

By:  Bradley Mims

Wendell H. Ford Aviation Investment and Reform Act for the 21st Century

Counsel:  Morgan Lewis, Dennis Barnes, 202.467.7060, Barn7060@mib.com

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