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OST-2001-8772

http://www.delta.com/
http://www.elal.co.il/


Delta Air Lines, Inc. and El Al Israel Airlines Ltd

OST-2001-8772 - Exemption - US-Israel Codeshare with Delta - Israel-Ft. Lauderdale January 24, 2001 Joint Application for Statements of Authorization and an Exemption U.S.- Israel Codesharing
    Attachment:  Codesharing Agreement  
    Exhibit A & A1-A2:  To the Codesharing Agreement  
    Service List  

Delta Air Lines, Inc. ("Delta") and El Al Israel Airlines Ltd. ("El Al") (together, the "Joint Applicants") hereby apply for the following authority, pursuant to the ad referendum agreement reached between the Governments of the United States and Israel on January 10, 20011, to enable the carriers to provide reciprocal codeshare service pursuant to the Joint Applicants' codesharing agreement, attached hereto:

The Joint Applicants plan to commence reciprocal codeshare services on or about March 25, 2001, and request that this application be granted by no later than February 1, 2001.

Counsel:  El Al and Pillsbury Winthrop, John Gillick, 202.775.9800 and Delta and Shaw Pittman, Robert Cohn, 202.663.8060



OST-2001-8772 - Exemption - US-Israel Codeshare with Delta - Israel-Ft. Lauderdale February 2, 2001 Answer of Northwest Airlines U.S.- Israel Codesharing
    Service List  

First, the Department should not approve the Joint Application prior to acting upon the applications pending in the U.S, -Israel Third-Country Codeshare Opportunities, Docket OST-01-8726. Northwest has been waiting for nearly 8 years for the opportunity to serve the U.S.-Israel market via codesharing with KIM. In denying Northwest's complaint against the Government of Israel under the International Air Transportation Fair Competitive Practices Act ("IATFCPA") regarding Israel's policy on third-country codesharing, the Department committed to "continue to pursue the issue of third-country code-share operations with Israel." Order 94-4-7 at 4. The U.S. negotiators are to be applauded for opening up the U. S. -Israel market to third-country codesharing with the signing of the U.S.-Israel Memorandum of Consultations on January 10, 2001 ("MOC"). It would be bad policy and contrary to the public interest, however, to permit El Al and Delta to implement their new codeshare services before authorizing other U.S. carriers, including Northwest, to compete with that alliance by simultaneously awarding the third-country codeshare opportunities secured in the recent MOC. Notably, the expedited procedural schedule set by the Department in Docket OST-01-8726 would permit award of the available third-country codeshare opportunities as well as approval of the Delta/El Al Application well in advance of the Joint Applicants proposed March 25, 2001 start date.

Second, the Department should not grant the Joint Applicants authority for Delta to codeshare on flights operated by El Al prior to Delta's completion of a safety audit of El AL in accordance with the DOT/FAA Codeshare Safety Program Guidelines issued on February 29, 2000 ("the Guidelines"). Northwest has numerous codeshare applications pending at the Department involving codesharing between Northwest and its foreign codeshare partners for which Northwest has conducted safety audits in accordance with Northwest's audit program approved by the DOT/FAA on July 10, 2000 under the Guidelines. Two of Northwest's applications have been pending for over nine months. One was filed almost two years ago, long before the Guidelines were even adopted. Northwest is aware of no safety issues preventing the Department's prompt approval of all of the referenced applications involving Northwest. It would be manifestly unfair for the Department to authorize Delta's codesharing on El Al, particularly where Delta has yet to even complete its safety audit of El Al, while Northwest and its foreign partners continue to wait for approval despite complying with the referenced Guidelines.

Counsel:  Northwest, Megan Rae Rosia, 202.842.3193, megan.rosia@nwa.com


OST-2001-8772 - Exemption - US-Israel Codeshare with Delta - Israel-Ft. Lauderdale February 2, 2001 Answer of United Air Lines U.S.- Israel Codesharing
    Service List  

The MOC also authorizes other U.S. carriers to offer code-share services to Israel with foreign carriers of third countries. The Department has set down a proceeding to allocate the first three such third-country code-share opportunities. U.S.-Israel Third-Country Code-Share Opportunities (2001), Docket OST-01-8726. United, along with two other carriers, have requested allocation of these opportunities. Because one of the three opportunities is not available until next year (unless the governments mutually agree to advance the date), it will be necessary for the Department to conduct a comparative carrier selection proceeding in order to allocate these opportunities.

United has no objection to the approval of the Delta/El Al applications in time to meet their start-up date so long as the Department completes the procedures in Docket OST-01-8726 in time to allow the carriers selected for Phase 1 to start at the same time. United has been seeking authority to code share to Israel since it first began its code-share alliance with Lufthansa in 1993. Now that El Al has entered into a code-share arrangement with a U.S. partner and its government has agreed to allow U.S. carriers to code share in competition with El Al, the Department should act to assure that these competitive services are permitted to begin at the same time. Only by so doing can the Department ensure that El Al's alliance does not gain an unfair competitive advantage over the other U.S. carrier alliances in marketing services for the coming peak summer season.

Delta and El Al concluded their code-share agreement on October 3, 2000, obviously in anticipation of an intergovernmental agreement to allow code sharing. These carriers waited until after conclusion of the bilateral agreement to seek approval from the Department. In these circumstances, they can hardly expect to receive more expedited action on their application than is given to those of the U.S. carriers who had no option but to file after DOT invited applications pursuant to the MOC.

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



OST-2001-8772 - Exemption - US-Israel Codeshare with Delta - Israel-Ft. Lauderdale February 8, 2001 Motion for Leave to File and Consolidated Joint Reply of Delta Air Lines and El Al Israel Airlines U.S.- Israel Codesharing
    Service List  

Neither United nor Northwest dispute that approval of the Joint Application is in the public interest, or, moreover, that the Joint Application is fully consistent with the ad referendum agreement between the Governments of the United States and Israel, which specifically authorizes codeshare arrangements between an airline or airlines of either Party. There are no limitations on the number of bilateral codeshare partnerships, whereas third--country codeshare agreements are subject to the phase-in provisions of the agreement.

For purely parochial reasons, United and Northwest urge the Department to deny Delta, El Al and the traveling public the immediate and fully effective bilateral codeshare benefits that are available under the Agreement -- and instead to impose an unwritten condition precedent that the Department conclude its third-country carrier selection process prior to authorizing the proposed Delta/El Al services.

The delay tactics urged by United and Northwest would be contrary to the public interest, and would violate the United States Government's obligations under the January 10, 2001 Memorandum of Consultations ("MOC"). Under the MOC, the only relevant approval conditions to the Delta/El Al codeshare agreement are that the Joint Applicants (i) hold the appropriate authority and (ii) meet the requirements normally applied to such arrangements.

Finally, Delta shares the concerns expressed by Northwest with respect to the systemic delays in the issuance of DOT/FAA authority for foreign carrier codeshare relationships that are supported by satisfactory codeshare safety audits. Delta also has several long-pending applications with various foreign codeshare partners, and Delta urges the Department and the FAA to work towards a more efficient and timely process that will enable U.S. carriers and the traveling public to enjoy the important benefits of new codeshare services. However, since each foreign-carrier partnership presents its own individual concerns, Delta does not believe it would be appropriate, as Northwest suggests, to prioritize approval of safety-related codeshare audits based on the date of filing. Delta urges the Department and the FAA to approve all eligible codeshare relationships that are supported by adequate safety audits as quickly as possible based on the facts and circumstances of each case.

Counsel:  El Al and Pillsbury Winthrop, John Gillick, 202.775.9800 and Delta and Shaw Pittman, Robert Cohn, 202.663.8060



OST-2001-8772 Filed January 24, 2001
Issued March 2, 2001
Notice of Action Taken U.S.- Israel Codesharing

By:  Paul Gretch



OST-2001-8772 Filed January 24, 2001
Issued October 1, 2001
Notice of Action Taken US-Israel Codeshare

(1) Exemption from 49 U.S.C. 41301 to permit El Al Israel Airlines to conduct scheduled foreign air transportation of persons, property and mail between Israel and Atlanta, Boston, Cincinnati, Dallas/Ft. Worth, Los Angeles, Miami, Orlando, Phoenix, Salt Lake City, San Francisco, Seattle, and Washington, DC/Baltimore, pursuant to a code-share arrangement with an authorized U.S. carrier.

(2) Statement of authorization pursuant to 14 CFR 212 of the Department's regulations to permit El Al Israel Airlines to display Delta's designator code on flights operated by El Al between Tel Aviv and New York (JFK and Newark).

(3) Statement of authorization pursuant to 14 CFR 212 to permit Delta Air Lines to display El Al's designator code on flights operated by Delta (a) between New York (JFK) and Tel Aviv, and (b) between New York (JFK and Newark) and Atlanta, Boston, Cincinnati, Dallas/Ft. Worth, Los Angeles, Miami, Orlando, Phoenix, Salt Lake City, San Francisco, Seattle, Washington, DC/Baltimore.

On March 2, 2001, we granted El Al the exemption authority it requested and Delta the statement of authorization it requested as described above in paragraphs (1) and (3). We deferred action on El Al's request for a statement of authorization that would enable it to place Delta's designator code on flights operated by El Al between Tel Aviv and New York, pending advice from the FAA. By memorandum dated September 24, 2001, the FAA advised us that it had no objection to the proposed code-share.

We are granting El Al the statement of authorization it requests to display Delta's designator code on flights operated by El Al between Tel Aviv and New York (JFK and Newark). Grant of the authority is consistent with the provisions of the Protocol to the U.S.-Israel Air Transport Agreement signed July 11, 2001.

By:  Paul Gretch



OST-2001-8772 February 27, 2002 Application of for Renewal of Exemption U.S.- Israel Codesharing
    Service List  

Renewal of an exemption, initially granted on March 2, 2001, authorizing El Al to provide scheduled foreign air transportation of persons, property and mail between a point or points in Israel, on the one hand, and Atlanta, Boston, Cincinnati, Dallas/Ft. Worth, Los Angeles, Miami, Orlando, Phoenix, Salt Lake City, San Francisco, Seattle and Washington, D.C./ Baltimore, on the other hand, pursuant to a code-share arrangement with Delta Airlines Inc.

Under this arrangement the "LY" designator code is displayed on flights operated by Delta between New York (JFK) and twelve interior U.S. points, and the "DL" designator code is displayed on flights operated by El Al between New York (JFK and Newark) and Tel-Aviv.

Counsel:  Pillsbury Winthrop, John Gillick, 202.775.9800



OST-2001-8772 Filed February 27, 2002
Issued March 18, 2002
Notice of Action Taken Exemption/Statement of Authorization- U.S.- Israel Codesharing w/Delta 

Renew exemption to conduct scheduled foreign air transportation of persons, property and mail between a point or points in Israel, on the one hand, and Atlanta, Boston, Cincinnati, Dallas/Ft. Worth, Los Angeles, Miami, Orlando, Phoenix, Salt Lake City, San Francisco, Seattle, and Washington, DC/Baltimore, on the other hand, pursuant to a code-share arrangement with an authorized U.S. carrier.

By:  Paul Gretch



OST-2001-8772 March 5, 2003 Application for Renewal of an Exemption Exemption/Statement of Authorization- U.S.- Israel Codesharing with Delta 

Provide scheduled foreign air transportation of persons, property and mail between a point or points in Israel, on the one hand, and Atlanta, Boston, Cincinnati, Dallas/Ft. Worth, Los Angeles, Miami, Orlando, Phoenix, Salt Lake City, San Francisco, Seattle and Washington, D.C./ Baltimore, on the other hand, pursuant to a code-share arrangement with Delta Air Lines Inc.  Under this arrangement the “LY” designator code is displayed on flights operated by Delta between New York (JFK) and twelve interior U.S. points, and the “DL” designator code is displayed on flights operated by El Al between New York (JFK and Newark) and Tel-Aviv. El Al and Delta hold statements of authorization under 14 C.F.R. Part 212 to engage in such ser­vices, approved by Notice of Action Taken on March 2, 2002 (for Delta), and October 1, 2001 (for El Al) for an indefinite duration.

Counsel:  Pillsbury Winthrop, John Gillick, 202-775-9800



June 30, 2003

Joint Application for an Amended Statement of Authorization

hereby apply for an amended statement of authorization pursuant to 14 C.F.R. Part 212 authorizing El Al to display Delta's "DL" designator code on flights operated by El Al for the limited purpose of allowing Delta to transport U.S. mail on the following routes:

New York - Frankfurt - Tel Aviv
New York - Amsterdam - Tel Aviv
Chicago - Amsterdam - Tel Aviv

The Joint Applicants plan to implement mail-only codeshare service on these routes on or about July 15, 2003. El Al operates scheduled one-stop cargo service between New York and Tel Aviv via Frankfurt and Amsterdam, and Chicago and Tel Aviv via Amsterdam. Pursuant to the Joint Applicants' Mail Codesharing Agreement, which is attached hereto,' Delta plans to offer the United States Postal Service additional opportunities to transport U.S. Mail over these routes on Delta codeshare flights operated by El Al.

Addendum to Mail Codeshare Agreement
Service List

Counsel: Pillsbury Winthrop, John Gillick, 202-775-9800 for El Al / Delta and Shaw Pittman, Robert Cohn, 202-663-8060



Filed June 30, 2003 | Issued July 11, 2003

Notice of Action Taken

Statement of Authorization under 14 CFR Part 212 to permit EL AL ISRAEL to carry DELTA's code, for an indefinite duration, carrying mail on scheduled flights operated by EL AL ISRAEL between: 1) New York and Tel Aviv, via Frankfurt; 2) New York and Tel Aviv, via Amsterdam; and 3) Chicago and Tel Aviv, via Amsterdam.

By: Paul Gretch



April 22, 2004

Joint Application for an Amended Statement of Authorization and Exemption

Delta Air Lines, Inc. and EI Al Israel Airlines, Ltd. hereby apply for (1) an amended statement of authorization pursuant to 14 C.F.R. Part 212 authorizing Delta to display El AI's "LY" designator code on flights operated by Delta between New York (JFK), on the one hand, and Denver, on the other hand, and (2) an exemption for El Al pursuant to 49 U.S.C. 40109, authorizing El Al to provide scheduled foreign air transportation of persons, property, and mail, between a point or points in Israel, on the one hand, and Denver, on the other hand, pursuant to a codeshare arrangement with an authorized U.S. carrier.

Counsel: Pillsbury Winthrop, John Gillick, 202-775-9800 for El Al / Delta and Shaw Pittman, Robert Cohn, 202-663-8060 for Delta



Filed April 23, 2004 | Issued May 18, 2004

Notice of Action Taken | Word

Exemption from 49 USC section 41301 to permit El Al to conduct scheduled foreign air transportation of persons, property and mail, between a point or points in Israel and Denver, Colorado, via New York, New York (the Denver-New York segment to be conducted by code-share with a U.S. air carrier); and a Statement of Authorization under 14 CFR Part 212 to permit Delta to carry the code of El Al on Delta’s scheduled flights between New York and Denver.

By: Paul Gretch



Filed April 23, 2004 | Issued May 28, 2004

Notice of Action Taken - Corrected Copy

The Department has previously approved statements of authorization for Delta-El Al code share services. See, e.g. Notices of Action March 2,2001, and October 1,2001, in Docket OST-2001-8772. The joint applicants propose to expand their codeshare arrangement to include Denver as an additional point of service. This corrected Notice clarifies the nature of the request for an amended statement of authorization, as well as the indefinite duration of the statement of authorization we are granting. It also clarifies the conditions attached to the authority awarded by this Notice.

By: Paul Gretch



May 6, 2005

Joint Application for an Amended Statement of Authorization and Exemption

The Joint Applicants now propose to expand their codeshare arrangement to include Ft. Lauderdale as an additional point of service. By this application, El Al requests that it be granted authority to hold out this service to Ft. Lauderdale.

Counsel: Delta and Hogan & Hartson, Robert Cohn, 202-637-4999 / Zuckert Scoutt, John Gillick, 202-973-7939 for El Al



May 13, 2005

Application for Renewal of Exemption

Hereby applies for a renewal of its exemption authorizing El Al to provide scheduled foreign air transportation of persons, property and mail between a point or points in Israel, on the one hand, and Denver, on the other hand, via New York (JFK), pursuant to a code share agreement with Delta Air Lines.

Counsel: Zuckert Scoutt, John Gillick, 202-298-8660



September 14, 2005

EL AL Israel Airlines - Clarification of Authority Request

With reference to the Joint Application filed by Delta Airlines, Inc. and EL AL Israel Airlines, Ltd. in the above-referenced docket on May 6, 2005, the exemption authority sought by EL AL is to provide foreign air transportation between Israel and Ft. Lauderdale, Florida, on a code-share basis by placing its LY code on flights operated by Delta between New York, New York, and Ft. Lauderdale, Florida.

We trust that this clarifies EL AL's request for authority, but please do not hesitate to contact me if there should be a need for additional information.

Counsel: Zuckert Scoutt, John Gillick, 202-973-7939, jegillick@zsrlaw.com



Filed May 6, 2005 | Issued September 19, 2005

Notice of Action Taken | Word

Exemption from 49 U.S.C. section 41301 to permit El Al to conduct scheduled foreign air transportation of persons, property and mail, between a point or points in Israel and Ft. Lauderdale, Florida via New York, New York (the New York-Ft. Lauderdale segment to be conducted by code-share with a U.S. air carrier); and amended Statement of Authorization under 14 CFR Part 212 to permit Delta to carry the code of El Al on Delta’s scheduled flights between New York and Ft. Lauderdale.

By: Paul Gretch



December 13, 2005

Letter of El Al Israel - Displaying Designator Code

EL AL Israel Airlines Ltd. holds an exemption authorizing it to conduct scheduled foreign air transportation of persons, property and mail between a point or points in Israel and several US. points, including Atlanta, pursuant to a code-share arrangement with an authorized U.S. carrier. Notice of Action Taken dated March 18, 2002 (Docket OST-2001-8772) (a timely renewal application dated March 5, 2003, remains pending).

The purpose of this letter is to inform the Department that EL AL intends, based on the above grant of authority, to display its LY designation code on new nonstop flights to be operated by Delta between Atlanta, Georgia, and Tel Aviv, Israel, commencing March 27, 2006. Previously, EL AL, acting under the above-referenced authority, has placed its designation code on Delta flights operating between points in the United States and Israel via JFK International Airport.

Counsel: Zuckert Scoutt, John Gillick, 202-973-7939, jegillick@zsrlaw.com



June 9, 2006

Joint Application for an Amended Statement of Authorization and Exemption

Delta Air Lines, Inc. and El Al Israel Airlines, Ltd. hereby apply for (1) an amended statement of authorization pursuant to 14 C.F.R. Part 212 authorizing Delta to display El Al's "LY" designator code on flights operated by Delta between New York (JFK), on the one hand, and Tampa and Las Vegas, on the other hand, and (2) an exemption for El Al pursuant to 49 U.S.C. § 40109, authorizing El Al to provide scheduled foreign air transportation of persons, property, and mail, between a point or points in Israel, on the one hand, and Tampa and Las Vegas, on the other hand, on a codeshare basis by placing its LY code on flights operated between New York and Tampa and New York and Las Vegas pursuant to its codeshare arrangement with Delta.

The Joint Applicants now propose to expand their codeshare arrangement to include Tampa and Las Vegas as additional points of service. By this application, El Al requests that it be granted authority to hold out this service to Tampa and Las Vegas. Likewise, Delta requests an amended statement of authorization to display the LY code on its New York-Tampa and New York-Las Vegas flights. El Al requests that its exemption authority remain in effect for a period of at least two years, and Delta requests that the amended statement of authorization be granted indefinitely.

The Joint Applicants plan to commence this new codeshare service as soon after approval of this application as is possible.

Counsel: Hogan & Hartson, Robert Cohn, 202-637-4999 for Delta / Zuckert Scoutt, John Gillick, 202-973-7939 for El Al Israel



June 15, 2006

Re: Polling Results

This letter will notify you that we have polled all carriers served with the above-referenced application for an exemption and statement of authorization, and none have interposed an objection to the granting of the authority requested or the request to shorten the answer period. The Department's early action on this exemption and statement of authorization will be appreciated.

Counsel: Zuckert Scoutt, John Gillick, 202-973-7939, jegillick@zsrlaw.com



Filed June 9, 2006 | issued July 3, 2006

Notice of Action Taken

Exemption from 49 U.S.C. section 41301 to permit El Al to conduct scheduled foreign air transportation of persons, property and mail, between a point or points in Israel, on the one hand, and Tampa, FL and Las Vegas, NV, on the other hand; on a codeshare basis by placing its LY* code on flights operated between New York, NY and Tampa, FL and New York, NY and Las Vegas, NV pursuant to its codeshare arrangement with Delta; and amended Statement of Authorization under 14 CFR Part 212 to permit Delta to carry the code of El Al on Delta’s scheduled flights between New York, and Tampa and New York and Las Vegas.

By: Paul Gretch



Filed June 9, 2006 | Issued July 3, 2006

Notice of Action Taken - Corrected Copy

By: Paul Gretch



September 14, 2006

Application for Renewal of Exemption

Hereby applies for a renewal of its exemption authorizing El Al to provide scheduled foreign air transportation of persons, property and mail between a point or points in Israel, on the one hand, and Ft. Lauderdale, on the other hand, via New York (JFK), pursuant to a code-share agreement with Delta Air Lines.

El Al and Delta have made full use of this authority, and now seek to continue their successful code-share service. Delta and El Al have been conducting and gradually expanding various code-share operations, of which the code-share service to Ft. Lauderdale is an integral part.

Counsel: Zuckert Scoutt, John Gillick, 202-973-7939



Filed September 14, 2006 | Issued November 30, 2006

Notice of Action Taken

Renew exemption from 49 U.S.C. § 41301 to permit El Al to conduct scheduled foreign air transportation of persons, property and mail, between a point or points in Israel and Ft. Lauderdale, Florida via New York, New York (the New York-Ft. Lauderdale segment to be conducted by code-share with a U.S. air carrier).

We note that El Al sought authority for a two-year period. However, as is our usual practice on conferring exemption authority in the circumstances presented, we are limiting the term of authority to one year. El Al may, of course seek renewal of this authority in accordance with the Department's regulations.

By: Paul Gretch



OST-2001-8772 - El Al - Exemption - US-Israel Codeshare with Delta - Israel-Ft. Lauderdale
OST-2005-23312 - Delta - Statement of Authorization - Atlanta-Tel Aviv Codesharing with El Al Israel Airlines

November 6, 2007

Re: Cessation of All Codesharing

Pursuant to the codeshare conditions attached to the statements of authorization issued in the above-referenced Dockets, Delta Air Lines, Inc. and EL AL Israel Airlines, Ltd. hereby notify the Department that all codesharing between the carriers ended on October 27, 2007.

Counsel: Zuckert Scoutt, John Gillick, 202-973-7939 for El Al / Hogan & Hartson, Robert Cohn, 202-637-4999 for Delta


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