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OST-96-1988

United Air Lines, Inc. and Compania Mexicana de Aviacion, S.A. de C.V. (Notice of Action Taken)

OST-96-1988 | Posted June 13, 1997

Notice of Action

Exemption to permit Mexicana to conduct scheduled, combination services in certain US-Mexico markets, including both Zacatecas-San Francisco and Tijuana-San Francisco for one year. In reaching our decision to grant Compania Mexicana authority to conduct Zacatecas-San Francisco and Tijuana-San Francisco services, we found that the subject operations are encompassed by the U. S.-Mexico Agreement, and we noted that the Mexican carrier's request for underlying authority to conduct these operations is unopposed. We determined that the circumstances of this case warranted duration of authority for one year (which is consistent with our usual policy of granting interim exemption authority).

By: Paul Gretch / Counsel: Robert D. Papkin for Mexicana

Compania Mexicana de Aviacion, S.A. de C.V. and United Air Lines, Inc. (Notice of Action Taken)

OST-96-1988 and Undocketed | Posted June 24, 1997

Notice of Action

Statement of Authorization under 14 CFR Part 212 to permit Mexicana to carry United's code in 21 U. S -Mexico and intra-Mexico city-pair markets (see Attachment 1 of the application), for a period of two years. (The joint application also includes requests by Mexicana and United for underlying operating authority in certain markets and by United for authority to carry Compania Mexicana's code in certain markets. We have concurrently addressed these requests separately.)

In reaching our decision to grant Mexicana authority to carry United's code in the above 18 markets for a period of 179 days (this is not a license with reference to an activity of a continuing nature within the meaning of 5 U.S.C. 558(c)), we found that favorable action for that duration was supported by adequate reciprocity by the Government of Mexico. In that connection, we noted that Mexican authorities have approved the Northwest/Alaska Airlines code-share request (see above) for two consecutive six-month periods. Also, we noted that American Airlines had set forth substantially similar arguments in its petition for review (filed December 11, 1996) of the staff's action approving the Delta/Aeromexico reciprocal codeshare services in various U.S.-Mexico markets (undocketed), which action has been affirmed by the Department in Order 97-1-15 (issued January 21, 1997). American has not raised any new issues for consideration since that Order was issued that would warrant unfavorable or different action on the instant application. Moreover, we note that general issues relating to limitations on authorization of code-share services in the U.S.-Mexico market have been raised in the context of the American Airlines/Aero California code-share application, Dockets OST-97-2477/2481 and undocketed. We intend to address those issues in the context of our decision in that case. The parties in this case are on notice that the authorities granted by our action here will be subject to any decision made on the general issues raised in the American/Aero California code-share case. Further, while granting the above authority, we also deferred action on Mexicana's pending request to carry United's code in the Chicago-Puerto Vallarta, Miami-Cancun, and Newark-Cancun markets and for underlying authority by exemption to conduct scheduled services in various U.S.-Mexico markets (see Attachment 4 ofthe application). That portion of Mexicana's re quest to carry United's code in the three additional markets was not ripe for consideration, because United, at this point, lacks authority to conduct scheduled services in those markets.

By: Paul Gretch / Counsel: Joel Burton for United, 202-637-9130 / Robert Papkin for Mexicana, 202-626-6601

United Air Lines, Inc. and Compania Mexicana de Aviacion, S.A. de C.V. (New – Notice of Action Taken)

OST-96-1988 | Posted June 24, 1997

Notice of Action

Scheduled foreign air transportation of persons, property, and mail in the following U.S.-Mexico citypair markets: Chicago-Guadalajara; Chicago-Puerto Vallarta; Denver-Mazatlan; Denver-Puerto Vallarta; Denver-San Jose del Cabo; Los Angeles-Cancun; Miami-Cancun; Miami-Cozumel; Newark-Cancun; San Antonio-7VIesico City; San Francisco-Guadalajara; and San Jose-Guadalajara. United stated that it plans to operate these services under a code-share arrangement with Mexicana on flights operated by Mexicana.

In addition, United applied for exemption authority to serve the Chicago-Acapulco market (where American is designated and is currently serving) and the Washington, D.C.-Cancun market (where US Airways is designated and is currently serving). Each of these markets is approved only for single-designation services. Should we obtain double-designation approval from the Mexican aviation authorities for these routes, we will proceed to act on United's requests.

Finally, we have deferred action on United's request to put Mexicana's code on its flights in the ChicagoBoston and Los Angeles-Honolulu markets. Mexicana does not currently hold the necessary underlying economic authority to serve the Mexico-Boston and Mexico-Honolulu markets requested in Docket OST-961988. See Notice of Action Taken dated June 23, 1997, acting on Mexicana's requests in Docket OST-961988.

By: Paul Gretch / Counsel: Joel Burton for United, 202-637-9130 / Robert Papkin for Mexicana, 202-626-6601

Various Foreign Air Carrier

Order 97-6-32 | Issued June 26, 1997 | Served July 2, 1997

Order

• Aeroempresarial - OST-97-2559
• Aeromexpress - OST-97-2506
• United Air Lines and Mexicana - OST-96-1988
• Aerojets Corporativos - OST-96-1978
• Pacific International Airlines - OST-96-1864
• Aerocer - OST-96-1231
• DHL Aero Expreso - OST-96-1035

American Airlines, Inc. and Aero California S.A. de C.V. / United Air Lines, Inc. and Compania Mexicana de Aviacion, S.A. de C.V. / Delta Air Lines, Inc. and Aerovias de Mexico, S.A. de C.V. / United Air Lines, Inc.

Order 97-7-31 | OST-97-2477 and OST-97-2481 | Undocketed | OST-96-1988 | OST-97-2161 and Undocketed | Undocketed | Issued July 29, 1997 | Served August 4, 1997

Order Granting (In Part) Exemption and Statements of Authorization and Order to Show Cause

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By this order we grant, in part, the captioned applications of American Airlines, Inc. (American), and Aero California S.A. de C.V. (Aero California), for exemption authority and statements of authorization to permit the carriers to engage in certain code-share services in various U.S.-Mexico markets. Additionally, this order proposes certain conditions to be imposed on all U. S.-Mexico code-share arrangements to permit, in certain instances, direct air carrier services to replace code-share services in a given city-pair market.

• Appendix A – Applicants Seek to Place Aero California’s Designator Code on the Following American/American Eagle Services between US Gateways and Points in the US
• Appendix B - Applicants Seek to Place American’s Designator Code on the Following Aero California Services between Mexico Gateways and the Following Points in Mexico
• Appendix C – US-Mexico Exemption Authority Granted to American Airlines by this Order
• Appendix D – Statement of Authorization Granted to American to Place Aero California’s Designator Code on American’s Transborder Flights in the Following Markets / Intra-US Flights
• Appendix E – Statement of Authorization Granted Aero California by this Order for the Following Markets

By: Charles Hunnicutt

American Airlines, Inc and Aero California, S.A. de C.V. / United Air Lines, Inc. and Compania Mexicana de Aviacion S.A. de C.V. / Delta Air Lines, Inc. and Aerovias de Mexico, S.A. de C.V. / United Air Lines, Inc.

OST-97-2477/2481 | Undocketed | OST-96-1988 | OST-97-2161 and Undocketed | Undocketed

Joint Comments of American Airlines and Aero California on Order 97-7-31

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Second, and even more importantly, a conditional grant of the application would unambiguously signal to the Mexican authorities that the Department favors, as the Order 97-7-31 states, the expansion of U.S.-Mexico service options through codeshare arrangements. In this connection, the Joint Applicants believe that the grant of the application subject to the issuance of designations and underlying economic authority could further the bilateral discussions between the U.S. and Mexico on codesharing arrangements and leave no question as to the intent of the Department to allow extensive codesharing services to be offered in the U.S.-Mexico market.

Counsel: Steptoe Johnson, David Coburn, 202-429-8063 | American, Carl Nelson, 202-496-5647

United Air Lines, Inc. and Compania Mexicana de Aviacion, S.A. de C.V. (Exemptions and Statements of Authorization, US-Mexico Codesharing)

OST-96-1988 and Undocketed | August 15, 1997

Joint Motion for Immediate Action

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United Air Lines, Inc. ("United") and Compania Mexicana De Aviacion, S.A. de C.V. ("Mexicana") hereby request the Department immediately to grant that deferred portion of their abovecaptioned joint application to the extent necessary to authorize United to offer code-share services on Mexicana's flight between Miami, Florida and Cancun, Mexico. United and Mexicana request that their respective authorizations be granted on a temporary basis pending agreement between the U.S. and Mexico to allow all authorized carriers to code share notwithstanding limits on designations or, absent such an agreement, completion of any carrier selection proceedings that may be needed to resolve longer term authorization issues with respect to designations for the Miami-Cancun city pair.

Counsel: Squire Sanders, Robert Papkin, 202-626-6601 for Mexicana / United and Ginsburg Feldman, Joel Burton, 202-637-9130

American Airlines, Inc. and Aero California, S.A. de C.V. / United Air Lines, Inc. and Compania Mexicana de Aviacion, S.A. de C.V. / Delta Air Lines, Inc. and Aerovias de Mexico, S.A. de C.V. (for exemptions, designations and statements of authorization, US-Mexico code-sharing)

OST-97-2477 | OST-97-2481 | OST-97-1988 | OST-97-2161 | Undocketed | August 19, 1997

Answer of United Air Lines

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United is aware of at least one U.S.-Mexico code share that involves two U.S. carriers. This is the code share operated by Alaska Airlines, Inc., and Northwest Airlines, Inc. (Order 96-12-8) That code share also has an impact on U.S. carrier designations to the extent that Northwest must be designated on certain U.S.-Mexico city pairs in order to hold out service in its own name. It would be unfair to impose the proposed condition only on U.S./Mexican carrier code shares while leaving the U.S./U.S. carrier code shares unconditioned. Indeed, the issue of imposing such a condition was originally raised by United in the context of the Alaska/Northwest code share. See Answer of United, dated May 9, 1996 in Docket OST-96-1332.

In these circumstances, United objects to issuance of a final order based on the tentative findings and conclusions in Order 97-7-31 with respect to the condition on U.S.-Mexico code shares unless the Department is prepared to impose the same condition on all U.S. carrier U.S.-Mexico code shares, including those involving two U.S. carriers. The Department should issue an amended order to show cause proposing to apply that condition to the code share of Alaska and Northwest as well as to any other outstanding and future U.S.-Mexico code shares involving two U.S. carriers.

Counsel: United Air Lines and Ginsburg Feldman, Joel Burton, 202 637 9130

American Airlines, Inc. / Aero California S.A. de C.V. / United Air Lines, Inc. / Compania Mexicana de Aviacion, S.A. de C.V. / Delta Air Lines, Inc. / Aerovias de Mexico, S.A. de C.V. (Exemptions, Designations and Statements of Authorization, US-Mexico Code Sharing)

OST-97-2477 | OST-97-2481 | OST-97-1988 | OST-97-2161 | Undocketed | August 25, 1997

Joint Answer of United Air Lines and Mexicana

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If the Department decides to grant the relief requested by American and Aero California relating to the deferred portions of their code-share applications, it should grant the same relief to United and Mexicana with respect to the deferred portions of their code-share applications. The benefits recited by American and Aero California to be derived from the conditional grant of their deferred applications apply with equal weight to those of United and Mexicana.

Counsel: United and Ginsburg Feldman, Joel Burton, 202-637-9130 / Squire Sanders, Robert Papkin, 202-626-6601 for Mexicana

United Air Lines, Inc. and Compania Mexicana de Aviacion, S.A. de C.V. (US-Mexico Codesharing)

OST-96-1988 and Undocketed | August 25, 1997

Answer of Delta Air Lines to Joint Motion for Immediate Action

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To the extent that there is an available designation to provide Miami-Cancun service, Delta is every bit as qualified as United immediately to implement service and utilize the designation. As acknowledged by United, Aeromexico currently operates daily service in that city-pair. Indeed, Delta and Aeromexico have been waiting longer than United/Mexicana to implement service, with an originally-planned Delta start date of April 6, 1997 as compared to May 31, 1997 for United.

Counsel: Delta and Shaw Pittman, Robert Cohn, 202-663-8060

Various Foreign Air Carriers

Order 97-8-18 | Issued August 21, 1997 | Served August 26, 1997

Order

• Aerovias de Mexico, S.A. de C.V. | OST-97-2650
• Servicios Aeroeos Litoral, S.A. de C.V. and Aerolitoral, S.A. de C.V. | OST-97-2619
• Compania Mexicana de Aviacion, S.A. and United Air Lines, Inc. | OST-96-1988 and Undocketed
• Compania Mexicana de Aviacion, S.A. de C.V. | OST-96-1495 | OST-96-1464
• Aerotransportes Mas de Carga, S.A. de C.V. | OST-96-1249
• Compania Mexicana de Aviacion, S.A. and Empresa de Transporte Aero del Peru | Undocketed

American Airlines, Inc. / AeroCalifornia S.A. de C.V. / United Airlines, Inc. /
Compania Mexicana de Aviacion, S.A. de C.V. | Delta Airlines, Inc. / Aerovias de Mexico, S.A. de C.V. (US-Mexico Code-Sharing)

OST-97-2477 | OST-97-2481 | OST-96-1988 | OST-97-2161 | Undocketed | September 4, 1997

Consolidated Reply of Northwest Airlines, Inc. and Motion for Leave to File

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The Department should not authorize code-share operations involving Mexican carriers until all requisite designations and underlying economic authority have been secured. The Department also should continue to limit to 179 days all authorizations of code-share operations involving Mexican carriers. See Order 977-31 (granting United/Mexicana and American/Aero California authority to code-share in certain markets but limiting the effective periods to 179 days; Notice of Action Taken dated September 3, 1997 "limiting to 179 days Aeromexico's authority to code-share with Swissair).

Service List

Counsel: Megan Poldy, 202 842 3193

American Airlines, Inc. and Aero California, S.A. de C.V. / United Air Lines, Inc. and Compania Mexicana de Aviacion, S.A de C.V. / Delta Air Lines, Inc. and Aerovias de Mexico, S.A. de C.V. / Northwest Airlines, Inc. / American Airlines, Inc. / United Air Lines, Inc.

Order 97-9-38 | OST-97-2477 and OST-97-2481 | Undocketed | OST-96-1988 | OST-97-2161 and Undocketed | OST-96-1332 | Undocketed | Issued September 29, 1997 | Served October 3, 1997 | Posted October 2, 1997

Final Order and Order on Reconsideration

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By this order we make final our tentative decision in Order 97-7-31, issued July 29, 1997, to condition all existing and future U.S.-Mexico code-share authorities to establish a rebuttable presumption in favor of replacing code-share services with direct air carrier services in a given city-pair market. Further, upon reconsideration, we affirm our decision in Order 97-7-31 to defer action on certain portions of the American/Aero California applications.

It has been our longstanding policy to grant authority only in cases where the route rights are available under the bilateral agreement between the United States and the country involved or where we have assurance from the country involved that it is prepared to approve the proposed operations on an extrabilateral basis. Furthermore, because of the limited-entry nature of the U.S.-Mexico market, along with the dormancy provisions attached to all U.S.-Mexico route authority, we have awarded U. S.-Mexico authority only in markets where carriers have firm plans for service. Consistent with these policies, we granted the applications of American and Aero California only in markets where the authority was available under the U.S.-Mexico aviation agreement and where Aero California held the requisite authority and corresponding Mexican Government designation. No party has presented any persuasive reason to deviate from those polices here.

By: Charles Hunnicutt

Continental Airlines, Inc. / United Air Lines, Inc. and Compania Mexicana de Aviacion, S.A. de C.V. (San Antonio-Mexico / US-Mexico, Codeshare, Route Integration)

Order 97-11-26 | OST-97-2845 | OST-96-1988 | Issued and Served November 13, 1997

Order to Show Cause

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By this order we tentatively decide to (1) withdraw the designation and related regulatory authorities for United Air Lines, Inc., (United), to provide scheduled combination services in the San Antonio-Mexico City market pursuant to a code-share arrangement with Compania Mexicana de Aviacion, S.A. de C.V. (Mexicana); and (2) grant exemption authority to, and designate, Continental Airlines, Inc. (Continental), to provide foreign scheduled air transportation services in the San Antonio-Mexico City market with its own aircraft.

By: Patrick Murphy

Continental Airlines, Inc. / United Air Lines, Inc. and Compania Mexicana de Aviacion, S.A. de C.V. (US-Mexico)

OST-97-2845 | OST-96-1988 | November 20, 1997

Objections of United Air Lines to Order 97-11-26

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The only authorization properly at issue in this proceeding is, however, United's designation for SAT-MEX service, not the underlying exemption issued to United for SAT-MEX service or the statement of authorization issued to Mexicana. If a withdrawal is to be made in these circumstances, it is only the designation of United, which is used solely for code-share service, that needs to be withdrawn. There should be no need to withdraw other authority relating to code sharing since it may become possible for United and Mexicana to restore SAT-MEX codeshare service at a future date.

Counsel: United and Ginsburg Feldman, Joel Burton, 202-637-9130

Continental Airlines, Inc. / United Air Lines, Inc. and Compania Mexicana de Aviacion, S.A. de C.V.

OST-97-2845 | OST-96-1988 | November 21, 1997

Answer of Continental Airlines

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No one has objected to the Department's proposal to award Continental authority to operate its own aircraft between San Antonio and Mexico City, although United's concurrence is contingent upon retention by United and Mexicana of their underlying operating authority to offer code-share services between San Antonio and Mexico City and reversion of the San Antonio-Mexico City designation to United if Continental discontinues service in the market with its own aircraft. In the interest of expediting action on its application, which has been pending for over 13 weeks, Continental does not object to the conditions suggested by United, at least on an interim basis, and urges the Department to act immediately on Continental's application.

Counsel: Continental and Crowell Moring, Bruce Keiner, 202-624-2500

Continental Airlines, Inc. / United Air Lines, Inc. and Compania Mexicana de Aviacion S.A. de C.V.

Order 97-12-10 | OST-97-2845 | OST-96-1988

Final Order

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We have decided to make final our tentative decisions in Order 97-11-26. Specifically, we will withdraw the designation and related regulatory authorities for United to provide scheduled foreign air transportation services of persons, property, and mail in the San Antonio-Mexico City market pursuant to a code-share arrangement with Mexicana, and (2) grant exemption authority and designate Continental to provide foreign scheduled air transportation services of persons, property, and mail in the San Antonio-Mexico City market with its own aircraft (direct carrier services). Continental's exemption authority will be effective immediately for a period of two years, and will be subject to the condition that it will remain effective only if Continental continues to serve the market with its own aircraft. It also will be subject to our standard 90-day dormancy notice condition.

By: Patrick Murphy

Compania Mexicana de Aviacion, S.A. de C.V.

OST-96-1464 | OST-96-1495 | OST-96-1988 | May 12, 1998

Application for Renewal of Exemptions

Compania Mexicana de Aviacion, S.A. de C.V. ("Mexicana") hereby requests renewal of the exemption authority granted to it by the Department of Transportation (the "Department") in the above-captioned dockets to perform scheduled foreign air transportation between (i) Huatulco, Mexico and Los Angeles, California; (ii) Zihuatanejo, Mexico and Los Angeles, California; and (iii) Zacatecas/Tijuana, Mexico and San Francisco, California. Exemptions for the first two routes expire on June 24, 1998; the exemption for the third expires on June 13, 1998. Mexicana requests renewal of each of these exemptions for a one-year period on their existing terms and conditions. Mexicana relies upon the provisions of the Administrative Procedures Act and Part 377 of the Department's procedural regulations to continue its existing authorizations in force pending a final decision.

Service List

Counsel:  Squire Sanders, Charles Donley II, 202.626.6601

United Air Lines, Inc.

By Order 97-7-31 (Docket OST-96-1988), the Department confirmed its initial grant of exemptions and statements of authorization to United and Mexicana to begin codesharing in a number of U.S.-Mexico markets.' United was authorized by exemption to serve the following city-pair markets: Chicago-Guadalajara, Denver-Mazatlan, Denver-Puerto Vallarata. Denver-San Jose del Cabo (Los Cabos), Los Angeles-Cancun, Miami-Cozumel. San FranciscoGuadalajara and San Jose-Guadalajara.' United also received exemption and route integration authority to serve the following behind-gateway points via Mexico City, connecting with flights from United's U.S. gateways (Chicago. Denver, Los Angeles, Miami, San Antonio, San Francisco and Washington, D.C. ) operated by United or on a code-share basis with Mexicana: Acapulco, Cancun, Guadalajara, Merida, Puerto Vallarta and Ixtapa/Zihuatanejo.3 United's exemption authority was granted June 24, 1997, for a period of two years, and is currently set to expire on June 24, 1999.

Counsel:  Kirkland & Ellis, Jeffrey Manley for United, 202.879.5161, jeffrey_manley@kirkland.com

Compania Mexicana de Aviacion, S.A. de C.V.

Exemption from 49 USC section 41301 to permit the applicant to continue to conduct scheduled, combination services between: 1) the terminal point Huatulco, Mexico, and the terminal point Los Angeles, California; 2) the terminal point Zihuatanejo, Mexico, and the terminal point Los Angeles, California; and 3) the coterminal points Zacatecas and Tijuana, Mexico, and the terminal point San Francisco, California.

By:  Paul Gretch

United Air Lines, Inc. and Compania Mexicana de Aviacion, S.A. de C.V.

• Scheduled foreign air transportation of persons, property, and mail in the following U.S.-Mexico nonstop tram&order markets: Chicago-Guadalajara, Denver-Mazatlan, Denver-Puerto Vallarta, Denver-San Jose de1 Cabo, Los Angeles-Cancun, Miami-Cozumel, San Francisco-Guadalajara, San Jose-Guadalajara, for the purpose of code-sharing services with Compania Mexicana de Aviation, S.A. de C.V. (Mexicana).
• Scheduled foreign air transportation of persons, property, and .mail between Chicago, Denver, Los Angeles, Miami, San Antonio, San Francisco, and Washington D.C., on the one hand, and Acapulco, Cancun, Guadalajara, Merida, Puerto Vallarta, and Ixtapa/Zihuatanejo, on the other hand, via Mexico City, for the purpose of code-sharing services with Mexicana.
• Scheduled foreign air transportation of persons, property, and mail in the following U.S.-Mexico nonstop transborder markets: Chicago-Morella, Chicago-Leon, Chicago-Durango, Denver-Zacatecas, and San Francisco-Morelia, for the purpose of code-sharing services with Mexicana.
• Granted, in part (i.e., through June 4,2001), renewal of exemption authority for all nonstop transborder markets requested by United in both dockets (see below)
• Dismissed requests for award of such exemption authority for a longer duration (see below)
• Granted waiver from advance filing requirements in 14 CFR 377.10(c) with respect to United’s application in both dockets 
• Dismissed, as moot, April 26,1999, request for beyond-Mexican gateway authority requested by United in Docket OST-96-1988, as well as earlier-deferred portions of United’s application in Docket OST-96-1988

By:  Paul Gretch

Compania Mexicana de Aviacion, S.A. de C.V.

Counsel:  Squire Sanders, Charles Donley, 202.626.6601

United Air Lines, Inc.

Counsel: Wilmer Cutler, Jeffrey Manley, 202.663.6670, jmanley@wilmer.com 

United Air Lines, Inc.

Renew for two years exemption to provide the following services (Docket OST-96-1988):  Scheduled foreign air transportation of persons, property, and mail between the following city-pair markets for the purpose of code-sharing on flights operated by Compania Mexicana de Aviacion, S.A. de C.V. (Mexicana): Chicago- Guadalajara, Denver- Mazatlan, Deaver- Puerto Vallarta, Denver- San Jose del Cabo, Los Angeles- Cancun, San Francisco- Guadalajara, and San Jose- Guadalajara.

Renew for two years exemption to provide the following services (Docket OST-97-3237):  Scheduled foreign air transportation of persons, property, and mail between the following city-pair markets for the purpose of code-sharing on flights operated by Mexicana: Chicago- Morelia and San Francisco- Morelia, and Scheduled foreign air transportation of persons, property, and mail between the following city-pair markets for the purpose of code-sharing on flights operated by Mexicana: Chicago- Puerto Vallarta, Los Angeles- San Jose del Cabo, Los Angeles- Guadalajara, Miami- Cancun, New York/Newark- Mexico City, Oakland- Guadalajara, and San Antonio- Mexico City, and Scheduled foreign air transportation of persons, property, and mail between points in the United States and points within Mexico beyond United's authorized Mexican gateway points for transborder services, for the purpose of blindsector code-sharing services between the Mexican gateway points and other points within Mexico on services operated by either United or Mexicana.

Renew for two years exemption to provide the following services (Docket OST-99-648 1):  Scheduled foreign air transportation of persons, property, and mail between the following city-pair markets for the purpose of code-sharing on flights operated by Mexicana: Chicago- Monterrey, Denver- Zacatecas, and Los Angetes- Leon.

By:  Paul Gretch 

United Air Lines, Inc.

Provide scheduled foreign air transportation of persons, property and mail in certain U.S.­Mexico transborder markets and to points within Mexico beyond United's authorized Mexican gateways. United currently serves these markets pursuant to a code-share arrangement with Compania Mexicana de Aviacion, S.A. de C.V. 

By Notice of Action Taken dated April 26, 2001, in Docket OST-96-1988, the Department renewed United's exemption to serve the following city pairs for the purpose of code sharing on flights operated by Mexicana: Chicago-Guadalajara, Denver­Puerto Vallarta, Denver-San Jose del Cabo, Los Angeles-Cancun, San Francisco-Guadalajara and San Jose-Guadalajara.) United's exemption authority was issued for a two year period and is currently set to expire April 26, 2003.  By the same NOAT, the Department renewed United's exemption authority for the Denver-Mazatlan city pair, but United does not seek to renew this exemption because the authority has become dormant and reverted to the Department.

By Notice of Action Taken dated April 26, 2001, in Docket-OST-97-3237, the Department renewed United's exemption to engage in scheduled foreign air transportation of persons, property and mail in the following transborder markets for the purpose of code sharing on flights operated by Mexicana: Chicago-Morelia, San Francisco-Morelia, Chicago-Puerto Vallarta, Los Angeles-San Jose del Cabo, Los Angeles-Guadalajara, Miami-Cancun, New York/Newark-Mexico City, Oakland­Guadalajara, and San Antonio-Mexico City. United's exemption was granted on April 26, 2001, and is currently set to expire on April 26, 2003.  

By the same NOAT in Docket OST-97-3237, the Department also renewed United's blanket U.S Mexico exemption authority to engage in scheduled foreign air transportation of persons, property and mail between points in the United States, on the one hand, and points within Mexico beyond United's authorized Mexican gateways, on the other hand, for the purpose of blind-sector code sharing between the Mexican gateway points and other points within Mexico on services operated by either United or Mexicana. United's blanket exemption authority was issued on April 26, 2001, and is currently set to expire on April 26, 2003.

By Notice of Action Taken dated April 26, 2001, in Docket-OST-99-6481, the Department renewed United's exemption authority to serve the following city pairs for the purpose of code sharing on flights operated by Mexicana: Chicago-Monterrey and Los Angeles-Leon.

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

United Air Lines, Inc.

OST-96-1988: Scheduled foreign air transportation of persons, property, and mail between (1) the terminal point Chicago, Illinois, and the terminal point Guadalajara, Mexico; (2) the terminal point Denver, Colorado, and the terminal point Puerto Vallarta, Mexico; (3) the terminal point Denver, Colorado, and the terminal point San Jose del Cabo, Mexico; (4) the terminal point Los Angeles, California, and the terminal point Cancun, Mexico; (5) the terminal point San Francisco, California, and the terminal point Guadalajara, Mexico; and (6) the terminal point San Jose, California, and the terminal point Guadalajara, Mexico, for the purpose of code sharing on flights operated by Compania Mexicana de Aviacion, S.A. de C.V. (Mexicana).

OST-97-3237: (A) Scheduled foreign air transportation of persons, property, and mail between (1) the terminal point Chicago, Illinois, and the terminal point Morelia, Mexico; (2) the terminal point San Francisco, California, and the terminal point Morelia, Mexico; (3) the terminal point Chicago, Illinois, and the terminal point Puerto Vallarta, Mexico; (4) the terminal point Los Angeles, California, and the terminal point San Jose del Cabo, Mexico; (5) the terminal point Los Angeles, California, and the terminal point Guadalajara, Mexico; (6) the terminal point Miami, Florida, and the terminal point Cancun, Mexico; (7) the terminal point New York, New York/Newark, New Jersey, and the terminal point Mexico City, Mexico; (8) the terminal point Oakland, California, and the terminal point Guadalajara, Mexico; and (9) the terminal point San Antonio, Texas, and the terminal point Mexico City, Mexico, for the purpose of code sharing on flights operated by Mexicana. (B) Scheduled foreign air transportation of persons, property, and mail between points in the United States, on the one hand, and points within Mexico beyond United's authorized Mexican gateway points, on the other hand, for the purpose of blind-sector code-sharing services between the Mexican gateway points and other points within Mexico on services operated by either United or Mexicana.

By: Paul Gretch

OST-96-1988 - US-Mexico
OST-97-3237 - US-Mexico
OST-99-5582 - US-Mexico Codesharing
OST-99-6481 - US-Mexico
OST-00-8221 - United Codeshare with Mexicana
OST-00-8260 - Blind Sector Codeshare for Mexicana - San Francisco-Sydney
OST-00-8297 - US-Japan Blind Sector Codeshare for Mexicana
OST-01-9177 - Mexico-Guatamela/Panama City Codeshare
OST-01-9715 - Blind Sector Codeshare for Mexicana - Chicago-London
OST-01-9955 - Blind Sector Codeshare for Mexicana - US-Korea
OST-02-11289 - Codeshare Operations; Mexico City and San Salvador-Miami and Santo Domingo
OST-02-12502 - US-Mexico Codesharing
OST-02-12966 - Blind Sector Codeshare for Mexicana - Chicago-Frankfurt
OST-02-13092 - Conversion of Denver-Mexico City Designation
OST-02-13204 - Blind Sector Codeshare for Mexicana - Beyond US to Buenos Aires and Paris
OST-02-13228 - Mexico City-San Jose Codeshare
OST-02-13663 - Los Angeles-Zacatecas/Morelia Codeshare

November 14, 2003

Re: Joint Notification of Termination of Codeshare and Regulatory Cooperation Agreement

In accordance with the terms of the Department of Transportation's approvals of the statements of authorization in the above‑captioned dockets, Compania Mexicana de Aviacion, S.A. de C.V. and United Air Lines, Inc. hereby notify the Department of the expiration of their Codeshare and Regulatory Cooperation Agreement effective November 15, 2003. As a result of the Agreement's expiration, all codeshare services operated by Mexicana and United will be discontinued effective March 31, 2004, and the related statements of authorization cease to be effective after that date. This notice applies only to the statements of authorization issued in the above referenced dockets and not to any exemptions granted to United or Mexicana in those dockets or any other docket.

Counsel: Wilmer Cutler, Jeffrey Manley, 202-663-6670 for United / Squire Sanders, Charles Donley, 202-626-6840 for Mexicana

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