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OST-1998-3727

http://www.flyethiopian.com/

Ethiopian Airlines Enterprise

OST-1998-3727 - Foreign Air Carrier Permit - Ethiopia-US

April 9, 1998

Application for an Initial Foreign Air Carrier Permit

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Ethiopian Airlines proposes to provide twice-weekly combination service of passenger, property and mail on Boeing 767-300 and Airbus 340-300 aircraft. The configuration of the Boeing 767 service will consist of 10 first class, 24 business class and 187 economy class seats. The Airbus 340 configuration consists of 18 first class, 36 business class and 209 economy class seats. Ethiopian Airlines anticipates possible seasonable variations in traffic and wishes to provide three times a week service to Washington, D.C. as demand may permit.

Answers are due by May 7, 1998, Subpart Q

Counsel:  Condon Forsyth, Thomas Whalen, 202-289-0500



April 17, 1998

Supplement to Application

This Supplement consists of Ethiopian Airlines' financial data summaries setting forth in Ethiopian Birr and U.S. Dollars Ethiopian Airlines' profit and loss statements and balance sheets for 1996 and 1997.

Counsel:  Condon Forsyth, Thomas Whalen, 202-289-0500

Consolidated Answer of The Washington Parties

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There is an enormous need for the service proposed by Ethiopian Airlines. Although 18 international carriers offer service to 24 international destinations from Washington Dulles, there is not at present either published direct or connecting service in the Washington-Addis Ababa market. Ethiopian Airlines' proposal to offer twice-weekly Addis Ababa-Rome-Washington flights, using B-767 and A-340 aircraft, would meet a large unmet need. The traveling and shipping public would derive additional benefit by gaining access to a large array of points throughout Africa and the Middle East served by Ethiopian Airlines beyond Addis Ababa.

Counsel:  MWAA, Edward Faggen, 703-417-8766



OST-98-3726 | OST-98-3727

April 24, 1998

Consolidated Answer of Delta Air Lines

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In light of the fact that the only feasible way for U.S. carriers, such as Delta, to institute competitive service to Ethiopia is through third-country codeshare arrangements, it is important for the Department to seek clarification that the Government of Ethiopia will authorize U.S. carrier requests to serve to Ethiopia on a third-country code-share basis. This is particularly true since once Ethiopian Airlines' current U.S. service objectives are fulfilled, there will be little bargaining leverage to ensure the grant of U.S. carrier requests.

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



OST-98-3726 | OST-98-3727

May 1, 1998

Reply of Ethiopian Airlines to Answer of Delta Air Lines

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Notably, Delta does not currently seek to provide either direct or code-share service to Ethiopia, has no applications for code-share authority pending either before the U.S. Department of Transportation or Ethiopian's Civil Aviation Authority nor does it presently have an alliance with a carrier serving Addis Ababa.  Ethiopia is not one of those points' nor does Delta identify a carrier with which it seeks to code-share to Ethiopia in the future. In fact, the only carrier with current plans to code-share to Ethiopia is United Airlines, which has requested and has been granted, authority to code-share by the Government of Ethiopia. Consistent with the Department's positions in the Asiana/Northwest and Delta/Korean Air Lines matters, Delta's hypothetical objection to Ethiopian Airlines' Application here is no basis for delaying or conditioning Ethiopian's request for operating authority.

Counsel:  Condon Forsyth, Thomas Whalen, 202-289-0500



OST-98-3727 September 23, 1998 Application to Amend its Application for an Initial Foreign Air Carrier Permit  
    Service List  

EAE hereby applies for an amendment to its application for an initial foreign air carrier permit authorizing Ethiopian Airlines to provide scheduled foreign air transportation of persons, property and mail betweenAddis Ababa, Ethiopia, Newark and Washington, D.C. via Rome. By application dated August 19, 1998, Ethiopian Airlines applied for an amendment of its exemption authority' in accordance with 49 U.S.C. §40109 and the Department's Economic Regulations. Ethiopian Airlines proposes to commence this service on or about October 28, 1998 on either Boeing 767-300 or Airbus 340-300 aircraft.

Counsel: Condon Forsyth, Evelyn Sahr, 202.289.0500



June 19, 2006

Second Application to Amend Application for an Initial Foreign Air Carrier Permit - Bookmarked

Eight years ago, on April 9, 1998, Ethiopian first applied for an initial foreign air carrier permit to provide foreign air transportation of persons, property and mail between Addis Ababa, Ethiopia and Washington, D.C. Subsequently, by application dated September 23, 1998 Ethiopian applied for amendment of its April 9, 1998 foreign air carrier permit application to provide for scheduled foreign air transportation of persons, property and mail between Addis Ababa, Ethiopia, Newark, New Jersey and Washington, D.C. via Rome.

Contemporaneously with its April 9, 1998 permit application, Ethiopian filed an application for exemption authority to permit it to engage in scheduled foreign air transportation of persons, property and mail between Addis Ababa, Ethiopia and Washington, D.C., which was granted by the Department on May 22, 1998. Notice of Action Taken, dated May 22, 1998, Docket OST-1998-3726. On September 17, 1998, the Department amended Ethiopian's exemption authority to add Newark, New Jersey as a coterminal point on the Addis Ababa-Rome-Washington route. Notice of Action Taken, dated September 17, 1998, Docket OST-1998-4345. Ethiopian's exemption authority was most recently renewed by Notice of Action Taken, dated March 31, 2006, and is set to expire on March 31, 2008.

Ethiopian operates a modem fleet of 28 passenger and freighter aircraft (excluding training and regional aircraft). Ethiopian has also recently ordered 10 Boeing B-787 Dreamliner aircraft to be delivered to the carrier between 2008 and 2012. Ethiopian currently operates three weekly roundtrip flights with B-767-300 aircraft between Addis Ababa, Ethiopia and Washington, D.C., via Rome, pursuant to its DOT-issued exemption authority.

Ethiopian has entered into a codeshare agreement with South African Airways on flights Ethiopian operates between Addis Ababa, Ethiopia and Johannesburg, South Africa. Ethiopian does not have any other cooperative working agreements with any other carrier nor do any of its officers, directors, managers or stockholders hold any interest in any U.S. air carrier or other U.S. air carrier-related entity.

Counsel: Silverberg Goldman, Michael Goldman, 202-944-3305



August 30, 2006

Supplement No. 1 to Second Application to Amend Its Application for an Initial Foreign Air Carrier Permit

On June 19, 2006, Ethiopian Airlines Enterprise, the flag carrier of the Federal Democratic Republic of Ethiopia, applied to amend its application for an initial foreign air carrier permit authorizing it to engage in the foreign air transportation consistent with the recent Open Skies Air Transport Agreement entered into between the Governments of the United States and Ethiopia. Ethiopian requested that its application be processed under the simplified non-hearing procedures specified in Subpart B of the Department's Rules of Practice, and the Department's August 26, 2005 Notice in Docket OST-2005-22228 regarding streamlined regulatory procedures for licensing U.S. and foreign air carriers. Ethiopian's application is unopposed.

Exhibit 4 to the June 19, 2006 Application listed the officers, directors and key management personnel of Ethiopian, all of whom are of Ethiopian nationality. Subsequent to the filing of the Application, Ethiopian experienced a change to the carrier's management team, and some of the individuals listed on Exhibit 4 have been replaced. Exhibit 4 (Rev.) attached hereto updates the June 19, 2006 Application and lists Ethiopian's current officers, directors, and other key management personnel.

As Ethiopian's Application is unopposed, Ethiopian urges that the Department grant it expeditiously under the streamlined procedures for licensing foreign air carriers set out in the Department's August 26, 2005 Notice. Ethiopian first applied for an initial foreign air carrier permit in April 1998; its application has now been pending before the Department for over eight years.

Counsel: Silverberg Goldman, Michael Goldman, 202-944-3305



Order 2007-3-2
OST-1998-3727 - Foreign Air Carrier Permit - Ethiopia-US

Issued and Served March 7, 2007

Order to Show Cause

By application filed April 9, 1998, as supplemented April 17, 1998, amended September 23, 1998 and June 19, 2006, and again supplemented August 30, 2006, Ethiopian Airlines, a foreign air carrier of Ethiopia, requests a foreign air carrier permit to engage in scheduled and charter foreign air transportation of persons, property and mail.

Subsequent to the filing of these pleadings, the United States and Ethiopia reached an open skies Air Transport Agreement, signed May 17, 2005, which provides extensive rights for carriers of both countries, including in Annexes I and II to that Agreement, the authority sought by Ethiopian in this proceeding. We received no answers to either of the Ethiopian filings submitted following the conclusion of this Agreement.

By this order we tentatively find that it is in the public interest to grant the applicant the foreign air carrier permit attached as the Appendix to this order.

By: Paul Gretch



Order 2007-5-3
OST-1998-3727 - Foreign Air Carrier Permit - Ethiopia-US

Issued March 29, 2007 | Served May 8, 2007

Final Order

By Order 2007-3-2, issued March 7, 2007, we directed all interested persons to show cause why we should not make final our tentative findings and conclusions stated therein and award a foreign air carrier permit in the form attached to the Order and subject to the conditions attached thereto.  We gave interested persons 21 days to file objections to the Order. We make final our findings and conclusions as stated in the Order and award to Ethiopian Airlines Enterprise the foreign air carrier permit with associated conditions attached to the Order.

By: Paul Gretch


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