2005/2006 US-China Air Services Case and Designations

Order 2005-02-14
OST-04-19077

Issued and Served February 22, 2005

Order to Show Cause - Bookmarked

By this Order, we tentatively decide to award Continental Airlines, Inc. and American Airlines, Inc. certificate authority to provide combination services in the U.S.-China market and to allocate Continental and American seven weekly combination frequencies, respectively, for their proposed services. The rights would become available to Continental on March 25, 2005, and to American on March 25, 2006. We also tentatively decide to select American as a backup to Continental’s primary award for 2005 and Delta Air Lines, Inc. as a backup to American’s primary award for 2006. Further, we tentatively decide to allocate the 12 weekly all-cargo frequencies available on March 25, 2006, as follows: three weekly frequencies each to Federal Express Corporation, Northwest Airlines, Inc., Polar Air Cargo, Inc., and United Parcel Service, Co.

By: Karan Bhatia

Issued and Served February 22, 2005

Erratum

The third sentence on page 2 of the Order should read:

Further, the restrictions on entry and competition ill-serve the economies, consumers, carriers, and communities of both China and the United States.

By: Paul Gretch