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OST-01-8632

United Air Lines, Inc.

In its December 26, 2000 Notice, the Department invited U.S. carriers to request allocation of the third-country code-share opportunity that becomes available on April 1, 2001 under the June 1998 U.S.-France bilateral air services agreement.

United hereby requests that it be allocated that opportunity. United intends to use this authority to offer scheduled foreign air transportation of persons, property and mail between the U.S. and France, via Copenhagen, Denmark; Stockholm, Sweden; and Oslo, Norway, pursuant to United's code-sharing relationship with SAS. Under these operations, United would place its "UA" designator code on SAS flights operated between Copenhagen, Stockholm, and Oslo, on the one hand, and Paris (CDG) and Nice, France, on the other.

SAS plans to implement nonstop service between Copenhagen and Washington Dulles in May 2001. See "SAS Starts Service to Washington D.C.," SAS Press Release, November 7, 2000.

The specific markets that United proposes to serve are listed in Exhibits UA-1, 2, 3, and 4 hereto. Those Exhibits identify the U.S. cities that would receive nonstop-to-nonstop connections in the U.S.-France market, and the total elapsed travel time (including layover time) for each flight between each U.S. gateway point and each France gateway point in both directions, including a total elapsed roundtrip travel time for each gateway-to-gateway city pair. Services illustrated are for the summer season. Winter seasonal service adjustments are noted.

United has listed additional connections between Scandinavian intermediate points and France which would offer slightly longer ground times. Those flights would be available as alternatives in the event of a delay in the primary connecting flight. These alternative connections are not included in the total frequencies available. In two cases, United has SAS code-share connections eastbound but not westbound via the intermediate point Stockholm. In both of those cases, there are SAS westbound connections via Copenhagen which are illustrated on the schedules. These westbound Copenhagen connections are counted only once, however, in computing the total number of frequencies.

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

United Air Lines, Inc. and U.S.- France Third Country Code-Share Opportunities

In its December 26, 2000 Notice, the Department invited U.S. carriers to submit applications for allocation of the third-country code-share opportunity that becomes available on April 1, 2001 under the June 1998 U.S.-France bilateral air services agreement. The Department directed each applicant to include specific information about its proposed service. United is the only carrier to have submitted such an application, including a comprehensive response to the Department's detailed information request.

Delta, which previously had indicated an interest in receiving the U.S.-France third-country code-share opportunity at issue, declined the Department's invitation to "update its application with the information requested in this notice by the established application date. Delta has requested authority to conduct blind-sector code-share services beyond Paris and Lyon to Prague in conjunction with Czech Airlines. In light of Delta's withdrawal of its application for the third-country code-share opportunity at issue, United does not oppose Delta's request on condition that the Department approve United's application no later than it approves Delta's request for beyond-France blind-sector code-sharing authority.

As United has filed the only application that responds in a timely fashion to the Department's request for applications, including the Department's infon-nation request, the Department should promptly grant United's application as unopposed, thereby enabling United, in conjunction with SAS, to move forward with its plans to implement new third-country code-share service between the U.S. and France.

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

Counsel:  Wilmer Cutler, Jeffery Manley, 202.663.6000, jmanley@wilmer.com

United Air Lines, Inc.

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

United Air Lines, Inc.

OST-01-8632

Filed January 5, 2001 Issued March 5, 2001

Notice of Action Taken

U.S.- France Third Country Code-Share Opportunity (2001)

Scheduled foreign air transportation of persons, property, and mail between the United States and France. United intends to operate these services pursuant to a code-share arrangement with Scandinavian Airlines System between the U.S., on the one hand, and Paris and Nice, France, on the other hand, via Copenhagen, Denmark; Stockholm, Sweden; and Oslo, Norway, commencing April 1, 2001.

By Notice dated December 20, 2000, we requested applications from all U.S. carriers interested in making use of additional U.S.-France third-country code-share opportunities. In response to our notice, United filed the application at issue here. Delta filed a contingent request in Docket OST-2000-8207 for a U.S.-France third-country code-share opportunity, stating that it would accept an authorization only if no other competing applications are filed. If competing applications were filed, Delta stated that it would not pursue its application. Against this background, United is the only applicant currently requesting use of a U.S.-France code-share opportunity under the terms of our December 20 Notice.

Under the June 1998 aviation agreement between the United States and France, the United States may, effective April 1, 2001, choose one of the following two rights: (a) designate a fourth U.S. carrier to operate code-share services via an intermediate third-country ;2 or (b) allocate one additional codeshare to one of the three airlines already designated for code-share operations via intermediate third countries.' As United is the only applicant that filed an application to use one of these opportunities, we have decided to allocate one additional U.S.-France code-share opportunity to United to provide third-country code-share service with SAS.

American Airlines, Inc., United Air Lines, Inc., and Northwest Airlines, Inc. are currently authorized to provide third--country code-services. (See Order 98-6-5 and Notice of Action Taken dated February 3, 2000, in Docket OST-99-6540) 3Currently, the codeshares authorized are Northwest/KLM, Northwest/Alitalia, American/Sabena, American/Swissair, and United/Lufthansa.

By:  Paul Gretch

U.S.- France Third-Country Code-Share Opportunity (2001)/United Air Lines, Inc.

On March 5, 2001, the Department granted United's application for allocation of a U.S.-France third-country code-share opportunity, thereby authorizing United to introduce third-country code-share service between the U.S. and France via Scandinavia in conjunction with SAS. See Notice of Action Taken dated March 5, 2001 (Docket OST-01-8632).

This letter is intended to clarify that United also plans to code share on SAS flights between Paris (CDG) and points in Scandinavia, connecting to United's flights between the United States and Paris, effective April 1, 2001.

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

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