OST-97-2825
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OST-97-2825
US-Thailand All-Cargo Frequency Allocation Case / Air Micronesia, Inc. (Exemption Delayed Start-Up)
OST-96-1496 | OST-97-2825 | August 18, 1997
Application for Exemption and Frequency Renewal
Because of delays in completing operational arrangements and securing additional all-cargo aircraft as well as existing market conditions, Air Micronesia seeks to extend its current start-up date to November 30, 1997.
By granting the requested exemption from the September 1, 1997 start-up requirement in Air Micronesia's frequency and certificate awards, the Department will allow Air Micronesia to initiate its Thailand all-cargo service efficiently at a time when the market can absorb additional capacity. Federal Express has said it will be instituting five additional MD-11 flights at Bangkok on September 1, Northwest will be operating four of its five weekly B-747 frequencies at Bangkok as of September 1, and Polar will be adding an additional weekly B-747F at Bangkok before then.Under these circumstances, large amounts of additional U.S.-flag capacity will be introduced at Bangkok by September, and the further introduction of Air Micronesia's capacity at the end of November will be appropriate. Air Micronesia already provides all-cargo service in the Philippines, Korea, Taiwan, Indonesia, Malaysia and Hong Kong markets, and deliveries of additional aircraft to expand service further have been delayed. As a result, adding Thailand service by September 1 would require inefficient schedules or reductions in service at other points.
Answers due by September 2, 1997
Counsel: Crowell Moring, R. Bruce Keiner, Jr., 202 624 2500
Air Micronesia, Inc. (Notice of Action Taken – New and Renew)
OST-97-2825 | Posted August 29, 1997
By Order 96-9-16 the Department issued Air Micronesia a certificate of public convenience and necessity to provide scheduled all-cargo service between Guam and Thailand via intermediate points in Palau and the Philippines (Route 7W), and allocated it five weekly all-cargo frequencies for this service. By its terms, the certificate would expire April 1, 1997, unless Air Micronesia commenced service by that date. On March 28, 1997, Air Micronesia applied for an exemption to extend its April 1 startup date to September 1, 1997. By Order Notice of Action Taken dated March 28, 1997, the Department granted the extension. (A Order 97-S-6). Air Micronesia seeks extension of the September 1 startup date to November 30, 1997. Air Micronesia states that because of delays in completing operational arrangements and existing market conditions, the opt mum date to commence its operations ifs November 30, 1997
Counsel: Steven Mirmina, 202-624-2500
Order Confirming Notices of Action Taken
Order 97-9-20 | Issued September 19, 1997 | Served September 25, 1997
By: Paul Gretch
U.S.-Thailand All-Cargo Frequency Allocation Case / Air Micronesia, Inc. (Start-Up Delay)
OST-96-1496 | OST-97-2825 | November 6, 1997
Air Micronesia seeks to extend its startup date to June 30, 1998 because of Thailand's current economic crisis. Thailand's government was forced to close down about half of the country's financial institutions after it had spent at least $16 billion trying to support them and another $20 billion to prop up its currency. With the closing of many of Thailand's financial institutions and corresponding layoffs and substantial decreases in purchasing power and economic activity, the demand for cargo service has been reduced dramatically.
Answers are due by November 21, 1997
Counsel: Crowell Moring, Bruce Keiner, 202-624-2500
US-Thailand All-Cargo Frequency Allocation Case / Application of Air Micronesia - (Thailand Delay Start-Up) / Application of Northwest Airlines, Inc. - (Thailand Delay Start-Up)
OST-96-1496 | OST-97-2825 | OST-97-2755 | OST-97-2209 | November 21, 1997
Answer of Northwest Airlines, Inc.
Northwest does not object to the Department's grant of the above-referenced application of AMI so long as the Department grants Northwest a similar extension.
Note: Application was accepted in the Docket section after the close of business on Friday, 11/21/97, but was not made available until today, 11/24/97.
Counsel: Megan Poldy for Northwest, 202.842.3193
Air Micronesia, Inc. - (New - Notice of Action Taken)
OST-97-2825 | Filed November 6, 1997 | Approved November 28, 1997
By Order 96-9-16 the Department issued Air Micronesia a certificate of public convenience and necessity to provided all-cargo service between Guam and Thailand via intermediate points in Palau and the Philippines (Route 704), and allocated it five weekly all-cargo frequencies for this service. By its terms, the certif cate would expire April 1, 1997, unless Air Micronesia commenced service by that date. On March 28 and September 18, 1997, Air Micronesia applied for exemptions to extend its startup date to September 1 and November 30, 1997, respectively. By Notices of Action Taken dated March 28 and August 29, 1997, the Department granted the extensions. (See Orders 97-S-6 and 97-9-20). Air Micronesia seeks extension of the November 30 startup date to June 30, 1998. Air Micronesia states that because of Thailand's existing economic conditions in Thailand, the optimum date to commence its operations is June 30, 1998.Northwest Airlines filed an answer stating it did not oppose Air Micronesia's application as long as the Department granted Northwest's request for a similar extension on its U.S.-Thailand services
Applicant Representative: Steven Mirmina, 202.624.2817
Air Micronesia, Inc. / U.S.-Thailand All-Cargo Frequency Allocation Case
OST-97-2825 | OST-96-1496 | May 1, 1998
Permitting Air Micronesia to defer its startup until October 31 will allow time for an economic recovery in Thailand and avoid the administrative burden of potential multiple requests for extensions in the meantime. Grant of the requested exemption will enable Air Micronesia to provide the most effective air cargo service beginning at an appropriate time to match the demand for Thailand air cargo service with additional capacity.4 Thailand is an important Asian air cargo market, and Air Micronesia must be able to include Thailand in its all-cargo network when the Thai economy has improved and shippers again have a requirement for additional Thailand all-cargo services.
Counsel: Crowell Moring, Bruce Keiner, 202-624-2500
Federal Express Corporation / Air Micronesia, Inc. / Northwest Airlines, Inc. (US-Thailand Start-Up Delay)
OST-97-3261 | OST-97-2825 | OST-97-2209 | May 15, 1998
Consolidated Answer of Polar Air Cargo
Polar Air is concurrently filing an exemption renewal and amendment application in Docket OST-97-31 62 seeking the same relief as that requested by the Applicants. Polar has no objection to grant of the Applicants' requests so long as Polar's application for renewal and amendment of the exemption applicable to its two U.S.-Thailand all-cargo frequencies is granted concurrently.
Counsel: Polar and Ginsburg Feldman, Jeffrey Manley, 202-637-9057
Air Micronesia, Inc. (Notice of Action Taken)
OST-97-2825 | Filed May 1, 1998 | Issued June 15, 1998
Air Micronesia seeks extension of the June 30 startup date to October 31, 1998. Air Micronesia states that because of existing economic conditions in Thailand, the optimum date commence its operations is October 31, 1998.
Applicant Rep: Lorraine Halloway, 202-624-2500
U.S.-Thailand All-Cargo Frequency Allocation Case / Air Micronesia, Inc. (Start-Up Delay)
OST-96-1496 | OST-97-2825 | August 27, 1998
Application for Renewal of Exemption
Air Micronesiai applies to renew its current exemption from the start-upcondition in its certificate for Route 704 and on its Thailand Cargo frequencies, as amended by Orders 97-5-ó, 97-9-20, 98-1-6 and Notice of Action Taken dated June 15, 1998, so Air Micronesia can institute U.S.-Thailand all-cargo service on August 29, 1999, with a standard 90-day dormancy condition from that date.
The continuing economic troubles in Thailand have adversely impacted the demand for Thailand cargo service. These depressed economic conditions have prevented Federal Express, Northwest, Polar Air Cargo and United Parcel Service from utilizing frequencies allocated by Order 96-9-16.3 In Notice of Action Taken December 4, 1997, the Department granted UPS an exemption to extend its startup authority to June 30, 1998, seven months beyond the expiration of its 90 day dormancy condition of November 30, 1997, and ten months beyond the start-up date of September 1, 1997.
Counsel: Crowell Moring, Bruce Keiner, 202-624-2500
Air Micronesia, Inc.
| OST-97-2825 | Filed August 27, 1998 Action Taken September 28, 1998 |
Notice of Action |
Guam - Thailand All Cargo |
By Order 96-9-16 the Department issued Air Micronesia a certificate of public convenience and necessity to provide scheduled all-cargo service between Guam and Thailand Ma intermediate points in Palau and the Philippines (Route 7W), and allocated it fire weekly all-cargo frequencies for this service. By its terms, the certificate would expire April 1, 1997, unless Air Micronesia commenced service by that date. Since then, the Department has granted extensions of the startup date through October 31, 1998. (See Orders 97-5-6, 97-9-20, 98-1 - , and Notice of Action Taken issued June IS, 1998.) Air Micronesia seeks extension of the October 31 startup date to August 29, 1999. Air Micronesia states that because of the continuing economic crisis in Thailand, the optimum date to commence its operations is August 29, 1999. Air Micronesia indicated that should Thailand's economy recover sooner, it could institute service before the August 29 startup date and would so advise the Department.
Applicant Rep.: Lorraine Halloway, 202.366.6519
Air Micronesia, Inc./U.S.- Thailand All- Cargo Frequency Allocation Case
| OST-96-1496 OST-97-2825 |
November 2, 1999 | Application for Renewal of Exemption | U.S.- Thailand (Delay Start-Up) |
| Service List |
Counsel: Crowell Moring, Bruce Keiner, 202.624.2615
| OST-97-2825 | Filed November 2, 1999 Issued November 10, 1999 |
Notice of Action Taken | Guam- Thailand |
By Order 96-9-16 the Department issued Air Micronesia a certificate of public convenience and necessity to provide scheduled all-cargo service between Guam and Thailand via intermediate points in Palau and the Philippines (Route 704), and allocated it five weekly all-cargo frequencies for this service. By its terms, the certificate and the frequency allocation would expire April 1, 1997, unless Air Micronesia commenced service by that date. Since then, the Department has granted extensions of the startup date. (See Orders 97-5-6, 97-9-20, 98-1-6, and Notices of Action Taken dated June 15 and September 28, 1998.) Under the latest extension, Air Micronesia's frequencies would expire November 27, 1999. Air Micronesia seeks a further extension of the startup date to April 30, 2000. Air Micronesia states that because of the continuing economic crisis in Thailand, the optimum date to commence its operations is April 30, 2000. Air Micronesia indicated that should Thailand's economy recover sooner, it could institute service before the April 30 startup date and would so advise the Department.
Air Micronesia's waiver from the dormancy condition is effective until April 30, 2000, or until the date on which Air Micronesia begins service with these frequencies, whichever occurs earlier. Once the waiver ceases to be effective, the 90-day dormancy condition applies from that point forward.
By: Paul Gretch
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