OST-97-2557
Home | OST Filings by Number | OST Orders
and Notices | OST
Filings by Carrier
OST Filings by
Proceeding | OST Filings by Day | Office of Intl Aviation Filings by Carrier | Office of Intl Filings by Day
OST-97-2557
AirTran Airways, Inc. (Exemption, Slot Restrictions at New York LaGuardia)
OST-97-2557 | May 27, 1997
AirTran proposes to expand this unique brand of affordable service between New York LaGuardia (LGA) and Bloomington, IL (BMI); Moline/Quad Cities, IL (MLI); Toledo, OH (TOL); Akron/Canton, OH (CAK); and Knoxville, TN (TYS) by offering convenient nonstop and direct jet service. Currently these cities lack any direct or nonstop service to New York LaGuardia or any other airport in to New York metropolitan area. AirTran will remedy this situation by offering daily, well timed flights at affordable fare levels. The pattern of service proposed is critical in order to maximize station efficiency at LaGuardia since cost of operations exceed those of other airports in the AirTran system.
AirTran has researched the commercial availability of slots at LaGuardia and concludes the costs of slots coupled with the poor service pattern make the purchase or lease of existing slots not economically viable. Therefore, AirTran submits this application for exemption to the High Density Rule.
Exh 1 - Proposed New York LaGuardia Schedule | Exh 2 - Slot Requirements | Exh 3 – Letters from State Farm, Growmark, Bloomington Chamber of Commerce, Mitsubishi, Eureka | Exh 4 – Nonstop Markets to NYC – Top 75 Population Base | Service List
Counsel: AirTran, Lawrence Brinker
AirTran Airways, Inc. (Exemption, Slot Restrictions LaGuardia Airport)
OST-97-2557 | June 4, 1997
Comments of
the Chamber of Commerce of Toledo
AirTran Airways, Inc. (Exemption, High Density Rule, New York LaGuardia)
OST-97-2557 | June 5, 1997
Delta's concern is that the grant of LaGuardia exemptions will open the floodgates for requests for new slots at LaGuardia. In response to Frontier's request for LaGuardia slots, ValuJet and AirTran promptly filed applications seeking free slots from the Department. AirTran's application seeks the creation of 12 daily LaGuardia slots. Combined, AirTran, ValuJet and Frontier have requested a total of 30 additional daily peak hour slots at LaGuardia.
Counsel: Delta and Shaw Pittman, Robert Cohn, 202-663-8060
AirTran's arguments for an exemption are similar to arguments made by other airlines in previous applications for exemptions from the High Density Rule, one of which was made only weeks ago. If AirTran's application is granted, than there will likely be a flood of new applications advancing similar arguments as to why the rule should be waived for them as well. Granting AirTran's application could set a precedent in that any service between LaGuardia and an unserved or underserved location would meet several of the public interest criteria set forth in federal law. The effect of granting multiple exceptions would be inconsistent with the limits imposed by the rule in the first place.
Counsel: Queens, David Nocenti, 718-286-2888
Comments of
the Chamber of Commerce of Toledo
The New York metropolitan area remains one of the top five destinations from Northwest Ohio--even though direct service does not exist. I am confident that this service will not only increase passenger traffic at Express but greatly assist the City of Toledo with the ongoing resurgence in economic development. Many of our top employers in Toledo and the surrounding communities have ties with New York and the Northeast.
By: City of Toledo
AirTran Airways, Inc. (Exemption, Slot Restrictions at New York LaGuardia)
OST-97-2557 | June 9, 1997
Filing in
Support of Request for Exemption – Aviation Systems Research
Without question, the AirTran proposal makes the most judicious and beneficial use of scarce LaGuardia slots. Instead of just benefiting one community, the AirTran proposal is unique in that it provides four entire regions, comprising at least twenty important mid-size cities, with cost-effective access to New York, benefiting millions of consumers."
By: John Presburg, Vice President, 303-526-2000
Answer of Trans
World Airlines
If the Department grants any of the current applications for LaGuardia slots', it will undoubtedly be besieged by additional filings by other new entrant carriers. The result will be increased congestion at LaGuardia and massive delay costs imposed upon other airlines and their passengers. Indeed, the present proposals, standing alone, are enough to create substantial aircraft delays at the airport.
Counsel: TWA and Richard Fahy, 202-457-4764
Letter in Support from J Edward Auld - available in PDF June 10th
Letters in Support from Akron-Canton Regional Airport – available in PDF June 10th
AirTran Airways, Inc. (Exemption, Slot Restrictions at New York LaGuardia)
OST-97-2557 | June 10, 1997
Response in
Support on Behalf of Moline/Quad Cities and Bloomington/Normal, IL
The Moline/Quad City International Airport, along with the 770,000 plus residents of the Illinois/Iowa Quad Cities wish to add their support to the above filing on the part of AirTran Airways, Inc. (AirTran). AirTran's proposed new service would significantly increase the availability of air service to one of the Quad Cities most important markets. The overall community has been growing considerably in the last few years and traffic has increased 11+% increase in 1996 and to date this year a 6.8% increase over last year's passengers has additionally been realized.
Included with this filing as Exhibit A is an Air Service Study conducted by the Quad City International Airport's consultant, Michael Boyd of Aviation Systems Research Corporation, Golden, Colorado, which clearly supports the need for the service. Additionally, Exhibit B contains letters of support for the granting of slots to AirTran for the service to the Quad Cities and Bloomington/Normal. The response from the federal, state and local legislators, along with the corporate community, over the last week to ten days has been overwhelming as is exhibited in the attached letters of support. Enclosed with the letters of support are various articles from local newspapers concerning this service. The newspapers, together with the television and radio response, has been outstanding.
By: Kent George, Director of Aviation, Quad City Intl Airport
Letters in Support from Akron Canton Regional Airport and Civic Parties
Letter in Support from J Edward Auld
Letter in Support from Picton Cavanaugh, Inc.
AirTran Airways, Inc. (Exemption, Slot Restrictions at New York LaGuardia
OST-97-2557 | June 12, 1997
Filing in
Support on Behalf of the Central Illinois Regional Airport
While it is acknowledged that LaGuardia Airport is a busy one, the AirTran proposal represents little or no material danger of increasing delays at that facility. Central Illinois Regional Airport would point out that the Department's published data prove that LaGuardia boasts one of the best records for on-time departure performance among large US airports. Of the 27 airports for which airlines report such data, LaGuardia is consistently in the top seven for on-time departures. In the latest data reported, LaGuardia was ranked fifth, with 86.9% of departures reported within 15 minutes of schedule.' The best airport in this regard, San Diego, was only marginally better, at 88.3%. LaGuardia consistently has a higher percentage of on time departures than many less congested airports. In fact, LaGuardia is consistently better in this regard than even Denver's new state-of-the-art airport.
By: Michael La Pier, Executive Director
AirTran Airways, Inc. (Exemption, Slots at New York LaGuardia)
OST-97-2557 | June 12, 1997
Letters in
Support from Various Civic Parties – Bloomington/Normal
AirTran Airways, Inc. (Exemption, LaGuardia Slots)
OST-97-2557 | June 13 and 14, 1997
Letters in
Support from Various Civic Parties
Hylant MacLean, Toltest, KeyBank, General Mills, Toledo-Lucas County Public Library, Medical College of Ohio
AirTran Airways, Inc. (Exemption, LaGuardia Slots)
OST-97-2557 | June 17, 1997
Letters from
Various Civic Parties in Support
County of Mahoning and Toldeo Public Schools
AirTran Airways, Inc. (Exemption, LaGuardia Slots)
OST-97-2557 | June 20, 1997
The relevant circumstances of AirTran's application for an exemption are comparable to those in which the Department granted the exemption requests of Reno Air and Air South. Based on the identified corporate demand, and the low-fare, highly competitive service to be provided, scent traffic win be generated between Quad City/Bloomington/Normal and LaGuardia to support the proposed service. Granting the exemption would enable non-stop or single plane service from four airports and twenty communities to the key business market that is currently underserved. Accordingly, the Department should grant AirTran's application.
Counsel: Hopkins Sutter, Thomas Devine, 202-835-8000
AirTran Airways, Inc. (Exemption, Slot Restrictions LaGuardia Airport)
OST-97-2557 | June 23, 1997
Letters in
Support from City of Rock Island; Illinois DOT; City of Alcoa
Trans Continental Airlines, Inc. (Removal of Certificate Restriction)
Order 97-6-28 | OST-97-2257 | Issued June 25, 1997 | Served July 1, 1997
Order
Removing Restriction and Reissuing Certificate
Given the company's history of profitable operations and overall financial position, we no longer see any reason from a financial standpoint to continue the scheduled service restriction currently contained in its certificate. Moreover, we have no other reason to question the company's fitness. The carrier's management personnel appear to possess the qualifications needed to perform their responsibilities, and there is nothing in the record or otherwise known to us that leads us to question the carrier's compliance disposition.
During Calendar Year 1995, the company reported operating and net profits of $2.4 million and $2.5 million, respectively, on approximately $13.1 million in revenues; for the 12 months ending December 31, 1996, it experienced operating and net profits of $1.8 million and $1.9 million, respectively, on tote! revenues of approximately $19.8 million. Although the company's balance sheet at December 31, 1996, shows that, at that date, it had approximately $2.4 million in negative working capital, it also reported $18 million in total assets, and positive retained earnings and stockholders' equity of approximately $4.4 million.
Certificate of Public Convenience and Necessity for Interstate Air Transportation | Service List
By: Charles Hunnicutt
Chicago O’Hare and New York LaGuardia Slots / Frontier Airlines, ValuJet, AirTran, Western Pacific (Exemptions from High Density Rule)
OST-97-2230, 97-2442, 97-2557, 95-277 | July 9, 1997
Motion for
Leave to File an Answer and Answer of Air Carrier Association of America
It is time for the Department of Transportation to reject the duplicitous arguments of the large carriers and create "open skies" in this country. The inability of affordable fare carriers to obtain slots prevented meaningful competition at LaGuardia and O'Hare for the summer of 1997. Now is the time for the Department to take the steps necessary to provide access for new entrants at the high density airports. Providing the slots requested will have minimal impact economic impact -- but not acting will have a negative impact on the costs for millions of travelers and the future economic growth of communities throughout this country.
By: Edward Faberman, Executive Director, 202-778-4462
OST-97-2230 | OST-97-2442 | OST-97-2557 | OST-95-277 | July 15, 1997
US Airways strongly objects to both ACAA's highly intemperate attacks on US Airways and its confused attempt to link the fundamentally different issues of Heathrow access with its members' applications for waivers of DOT's domestic slot rules. If DOT accepts for consideration ACAA's unauthorized filing, US Airways requests that DOT also accept this Reply and, on the basis of the points set forth above, reject the spurious argument of ACAA.
Attachment – Letter from President of the Borough of Queens to Rodney Slater – June 10, 1997
Counsel: US Airways and Zuckert Scoutt, Richard Mathias, 202-298-8660
Chicago O’Hare and New York LaGuardia Slots / Fontier Airlines, Inc. / ValuJet / AirTran / Western Pacific (Exemptions, High Density Rule)
OST-97-2230 | 97-2442 | OST-97-2557 | OST-95-277 | July 18, 1997
Motion for
Leave to File and Reply of Trans World Airlines
The Department would be hard pressed to justify transfer of any slots to any of the applicants in these dockets. Valujet and Frontier propose only duplicative service to hubs of major airlines. Each hub already has ample competitive service to the New York area. Western Pacific already provides competitive service between Chicago and Colorado Springs, and its pleading claims to have done well on the route. It demonstrates that low fare carriers can compete quite effectively by using other airports to serve major destinations. Airtran proposes distinctly inferior use of valuable frequencies. For example, if TWA were to lose a LaGuardia slot to Airtran for service to Toledo, TWA would be unable to provide a full pattern of service to its major St. Louis hub. This would deprive passengers at numerous points behind St. Louis of the competitive alternative offered by TWA. In a perfect world, it would be nice to allow everyone to serve LaGuardia from everywhere. However, the present slot allocation system under which major hub carriers have put slots to their highest use -- full daily patterns to competitive hubs -- has created the most efficient and competitive air transportation system in the world. The Department will not be able to justify reducing hub competition in order to accommodate the desires of cities with limited traffic volume for nonstop service to LaGuardia.
Counsel: TWA and Richard Fahy, 202-457-4764
Chicago O’Hare and New York LaGuardia Slots | Frontier Airlines, Inc., ValuJet Airlines, Inc., AirTran Airways, Inc., Western Pacific Airlines, Inc. (Exemptions, High Density Rule)
OST-97-2230 | OST-97-2442 | OST-97-2557 | OST-95-277 | July 23, 1997
Motion for
Leave to File and Reply of Delta Air Lines
ACAA's attempt to establish alleged inconsistencies in the positions of Delta and other carriers by taking selective quotes out of context is misguided and irrelevant. ACAA fails to comprehend the fundamental factual, policy and legal differences between the captioned applications and the issues presented in the AA-BA alliance, which render any comparisons meaningless. ACAA's filing is largely an attack on the validity of the highdensity and buy-sell rules, and ignores the fact that 49 U.S.C. § 41714(c) allows the grant of an exemption for qualified new entrants only if the applicants demonstrate "exceptional circumstances." As previously noted by Delta and other participants in the captioned dockets, the high density rule has been examined on numerous occasions by the Department and in each instance it was determined that the rule should not be disturbed. While the Department has the authority to decide the mechanism by which slots are allocated, a major revision of the high density rule and slot allocation procedures would require formal rulemaking procedures and is clearly beyond the scope of the instant applications.
Counsel: Delta and Shaw Pittman, Robert Cohn, 202-663-8060
AirTran Airways, Inc. (High Density Rule, LaGuardia)
OST-97-2557
Correspondence - Denis Butler, NY State Assembly
Correspondence - Ralph Regula, House of Representatives;
Bill Frist, US Senate; John Duncan, House of Representatives
OST-97-2230 | OST-97-2442 | OST-97-2557 | OST-95-277 | OST-97-2771 | OST-97-2780 | September 4, 1997
The Air Carrier Association of America ("ACAA") hereby moves for leave to file this Reply' to respond to the various replies filed by United, US Airways, Delta and TWA regarding the Applications of Frontier Airlines, ValuJet Airlines, Inc., Air Tran Airways, Inc., Western Pacific, Inc., and Reno Air ("affordable fare carriers") to gain access to LaGuardia Airport in New York City ("LaGuardia") and O'Hare International Airport ("O'Hare").
Counsel : Edward Faberman, 202 778 4462
Frontier Airlines, Inc. / ValuJet Airlines, Inc. / AirTran Airways, Inc. (Exemptions from High Density Rule, New York LaGuardia)
Order 97-10-17 | OST-97-2230 | OST-97-2442 | OST-97-2557 | Issued and Served October 24, 1997
Order Granting and Denying Applications for Slot Exemptions at
New York's LaGuardia Airport
After considering applications for exemptions from 14 CFR Part 93, Subparts K and S. for slots at New York's LaGuardia Airport, the Department has decided to grant six slot exemptions to Frontier Airlines, Inc. ("Frontier"), for service in the Denver, CO-LaGuardia market; eleven slot exemptions to ValuJet Airlines, Inc. ("ValuJet"), for service in the Atlanta, GA-LaGuardia market; and four slot exemptions to AirTran Airways, Inc. ("AirTran") for service in the Knoxville. TN-LaGuardia market. We find that granting these exemptions is in the public interest and meets the statutory "exceptional circumstances. test. Grant of the exemptions is conditioned on their being used solely for the markets designated in the carriers' applications. The Department has also decided to deny the remainder of AirTran's application for eight slot exemptions for service between LaGuardia and four other points.
By: Charles Hunnicutt
Access Holdings, Inc.
(Exemptions from Slot Restrictions at LaGuardia for Service between Des Moines, IA /
Moline-Quad Cities, IL and New York LaGuardia (Combination Service)
AirTran Airways, Inc. (Exemptions from Slot Restrictions at LaGuardia for Service between Bloomington/Normal, IL / Moline-Quad Cities, IL and New York LaGuardia (Combination Service)
OST-97-2557 | OST-97-3087 | November 18, 1997
Response To Additional Requests for LaGuardia Slots to Serve
Moline/Quad Cities Airport - Metropolitan Airport Authority of Rock Island
County, IL
It is important that the Department understand that this request will provide nonstop and direct access to New York LaGuardia to over 700,000 consumers served by Moline/Quad Cities International Airport. Furthermore, it is urged that the Department review and include in its decision the fact that today over 60,000 consumers from this region travel to and from New York City. The addition of Access Air service would stimulate this traffic by providing lower fares and far more convenient service.
By: Mr. Kent George, Director of Aviation for Metropolitan Airport Authority of Rock Island County, IL
Response To DOT Order Denying AirTran Request For
LaGuardia Slots For Service to Moline/Quad Cities Airport - Moline-Quad Cities
Airport
The Airport makes official note of its disappointment with the decision denying LaGuardia slots for AirTran service to Moline/Quad Cities and BloomingtonlNorrnal, and would again point out that, contrary to the comments of the Department, such service would be a highly efficient use of such slots, and generate substantial passenger traffic. The denial of AirTran's proposal is unfortunate, and the Airport herein respectfully request to the Secretary to revisit the Department's analysis of the impact such service would have on the region.
Exhibits:
Counsel: Michael Boyd, 303.674.2000
Note: Respondents Requested of DOT that Filings be Grouped as one
AirTran Airways, Inc. - (Exemption to Allow Non-Stop Service To/From New York La Guardia Airport)
OST-97-2557 | November 26, 1997
Application and Petition for Reconsideration of Order 97-10-17
The people and businesses of Bloomington-Normal, Illinois; Toledo, Ohio; Moline, AL; and Akron-Canton, Ohio, ("parties")" respectfully request that the Deparunent reconsider itsdecision in Order 97-10-17 and grant an exemption from the requirements of Subparts K and S of Part 93 of the Federal Aviation Regulations so that they may -- for the first time -- have directnon-stop service to New York LaGuardia Airport. The parties request eight slots at LaGuardiato allow four LaGuardia round-trip flights.
Combined with the success enjoyed by low fare service to leisure markets -- such as Orlando and Denver -- and business markets -- such as Atlanta -- if Akron-Canton, BloomingtonNormal, Moline-Quad Cities and Toledo obtain even limited access to LaGuardia Airport, they will become alternative airports for millions for passengers throughout the entire midwest. Competition will be alive and well in the midwest for the first time since deregulation was enacted. Moreover, economic development in this part of the country will no longer be discouraged because of high cost and non-competitive air service. The true winners from a Department action to grant this limited exemption would be the consumers and business people of the midwest. Agreement of this petition will bring "[t]he low cost airline service revolution" to the midwest.
Exhibits:
Counsel: Ungaretti Harris, Edward Faberman, 202.778.4460
December 3, 1997
Motion of The Queens Borough President to File
a Late Answer and;
Consolidated Answer of The Queens Borough President
For the reasons set forth above, none of the six airline applicants has met the criteria for an award of slot exemptions from the High Density Rule at LaGuardia or Kennedy Airports, either under the statutory standard or pursuant to the revised scope of review announced by the Department in October. This does not mean, however, that the Department is powerless to assist these airlines in their efforts to provide additional service to the New York City area.Specifically, the Department of Transportation has the power to reallocate existing slots from their current holders to other airlines.
If the Department believes that the flights being proposed would provide greater benefits than existing service at the airports, it can use this power to transfer slots and allow those flights to occur. By using this reallocation power, the Department can achieve the public benefits that it believes would result from increased low fare competition, without causing the increased flight delays that ATM has determined would occur, and without increasing the already overwhelmingly adverse noise, traffic and pollution impacts on local residents.
Exhibit A - Letter from Queens County Legislators to President William Jefferson Clinton
Counsel: Queens, David Nocenti, (718) 286-2880
AirTran Airways, Inc. (LaGuardia Slots)
OST-97-2557 | December 8, 1997
The Airport makes official note of its disappointment with the decision denying LaGuardia slots for AirTran service to Moline/Quad Cities and Bloomington/Normal, and would again point out that, contrary to the comments of the Department, such service would be a highly efficient use of such slots, and generate substantial passenger traffic. The denial of AirTran's proposal is unfortunate, and the Airport herein respectfully request to the Secretary to revisit the Department's analysis of the impact such service would have on the region.
By: Rock Island County/Quad City Intl Airport, Kent George
AirTran Airways, Inc. (Exemption, High Density Rule, New York LaGuardia)
OST-97-2557 | November 26, 1997
Letter from
Central Illinois Airport to Patrick Murphy
I was pleased to see that you understand and appreciate the regional nature associated with affordable fare carrier service. Certainly this concept is well documented in the success of AirTran Airways and Frontier Airlines service from Central Illinois Regional Airport. I would say that it is somewhat unlikely that this concept would be as successful in another community in Central Illinois inasmuch as the three major interstates bisecting the state of Illinois all intersect in Bloomington-Normal making this the true transportation hub of the region. In essence, to drive from one side of the region to the other a traveler would have to pass through Bloomington-Normal.
By: Michael La Pier, 309-663-7383
Order 98-4-22 | OST-97-3087 | OST-97-2984 | OST-97-2970 | OST-97-3086 | OST-97-2870 | OST-97-2932 | OST-97-2885 | OST-97-2557 | Issued and Served April 21, 1998
ORDER GRANTING AND DENYING APPLICATIONS FOR SLOT
EXEMPTIONS AT NEW YORK'S LAGUARDIA AND JOHN F. KENNEDY
INTERNATIONAL AIRPORTS
After considering applications for exemptions from 14 CFR Part 93, Subparts K and S, for slots at New York's LaGuardia and John F. Kennedy (JFK) Airports, the Department has decided to grant five slot exemptions to American Trans Air, Inc. (ATA) for nonstop service in the Chicago (Midway)-LaGuardia market; and four slot exemptions to Spirit Airlines, Inc. (Spirit) for nonstop service in the Melbourne, Florida-LaGuardia market. We find that granting these exemptions is in the public interest and meets the statutory "exceptional circumstances" test. Grant of these exemptions is conditioned on their being used solely for nonstop service in the city-pair markets designated in the carriers' applications. The Department has also decided to deny the remainder of ATA’s and Spirit's applications as well as the applications of AccessAir Holdings, Inc., America West Airlines, Inc., Colgan Air, Inc., and the joint application of Pan American World Airways, Inc. and Carnival Air Lines, Inc. Further, we deny the petition for reconsideration of AirTran Airways' application filed by the People and Businesses of Bloomington-Normal, IL; Moline-Quad Cities, IL; Toledo, OH; and Akron-Canton, OH. In reaching our decision on all of these requests we were committed, among other guidelines, to avoiding significant congestion and environmental problems. Primarily for these reasons, we are granting only a limited number of exemptions.
By: Charles Hunnicutt
Home | OST Filings by Number | OST Orders
and Notices | OST
Filings by Carrier
OST Filings by
Proceeding | OST Filings by Day | Office of Intl Aviation Filings by Carrier | Office of Intl Filings by Day
