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OST-2005-21134 - AirTran Airways - Atlanta/Orlando/Tampa-Cancun
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OST-2005-21134 - Exemption - Atlanta/Orlando/Tampa-Cancun May 2, 2005 AirTran Airways will initially operate non‑stop services as follows: Atlanta Georgia and Cancun Mexico AirTran Airways plans to commence daily non-stop services on December 15, 2005 using B-717-200 or B--737-700 aircraft configured at 117 seats or 137 seats respectively. The daily nonstops will depart Hartsfield-Jackson Atlanta International Airport (ATL) at 0920 hours, arriving Cancun at 1055 hours. In the northbound direction, the daily nonstops will depart Cancun at 1145 hours, arriving ATL at 1525 hours. Orlando Florida and Cancun Mexico AirTran Airways plans to commence once weekly non-stop service on December 15, 2005 using B-717-200 or B-737-700 aircraft configured at 11 7seats or 137 seats respectively. The nonstop flight will depart Orlando International Airport (MCO) at 1230 hours, arriving Cancun at 1335 hours. In the northbound direction, the non-stop flight will depart Cancun at 1425 hours, arriving at MCO at 1715 hours. Tampa Florida and Cancun Mexico AirTran Airways plans to commence once weekly non‑stop service on December 15, 2005 using B‑717‑200 or B‑737700 aircraft configured at ll7seats or 137 seats respectively. The non‑stop flight will depart Tampa International Airports (TPA) at 1115 hours, arriving Cancun at 1215 hours. In the northbound direction, the non‑stop flight will depart Cancun at 1305 hours, arriving at TPA at 1555 hours. Counsel: AirTran and Wiley Rein, Bert Rein, 202-719-7045, brein@wrf.com
OST-2005-21165 - Spirit Airlines - Exemption - Orlando/Tampa-Cancun May 17, 2005 Consolidated Answer of Delta Air Lines Today, Delta has also filed an application with the Department seeking an exemption and a U.S.‑Mexico designation to provide scheduled foreign air transportation of persons, property and mail between Orlando and Cancun. Delta opposes the applications of Spirit and AirTran to the extent they are mutually exclusive to Delta's application. Because there are only two available U.S.‑Mexico designations for the Orlando‑Cancun route with three interested applicants, the opportunities are over‑subscribed and the Department must conduct a carrier selection proceeding to evaluate the public interest merits of the competing applications. See Ashbacker Radio Corp. v. FCC, 326 U.S. 327 (1945). Counsel: Delta and Hogan & Hartson, Robert Cohn, 202-637-4999, recohn@hhlaw.com
May 17, 2005 At the moment, no carrier is serving the Tampa-Cancun market. Under the US- Mexico bilateral air service agreement, the United States may designate up to two carriers to serve any given city pair. Given those facts, the Department should promptly approve both this Application and the application filed by Spirit in Docket OST-2005-21165. Until this afternoon, when Delta filed an application for Orlando-Cancun operating authority, (OST-2005-21284) Spirit would not have opposed the Air Tran application, as the Department could have awarded this authority to both Spirit and AirTran. However, now that Delta has belatedly expressed interest in this market, the Department will be compelled to employ some form of route allocation procedure in order to award the two available routes. In this proceeding, Spirit will demonstrate that its own daily service would be superior to AirTran's proposed once-weekly Orlando-Cancun service. Moreover, Spirit also will demonstrate that Delta's own (belated) interest in the market will offer fewer public benefits than the low-fare service proposed by Spirit. Counsel: Garfinkle Wang, Anita Mosner, 703-294-5890
OST-2005-21165 - Spirit Airlines - Exemption - Orlando/Tampa-Cancun May 23, 2005 Consolidated Reply of AirTran Airways Following notice of AirTran' s initial application, both Delta and Spirit filed for Orlando-Cancun exemption authority. Because the U.S. may only designate two air carriers to exercise scheduled combination service rights under the U.S.- Mexico bilateral in its current form, the Department will be required to conduct a carrier selection proceeding, as was duly noted by Delta and Spirit in their answers to AirTran's application. AirTran joins Delta and Spirit in requesting early institution of a 2005 Orlando--Cancun Exemption Proceeding so that timely awards of exemption authority may be in well in advance of the coming winter season. It is also important that selections be made as promptly as possible so that the U.S. and constituents of the U.S. airline industry can take full advantage of the important economic rights that have been negotiated with the Government of Mexico. Such selections will, in the usual manner, be made on the basis of final service proposals made by each applicant in response to the Department's requests for information. AirTran notes that the efforts of both Delta and Spirit in their answers to jump the gun by invoking comparative consideration of their service proposals in their applications ‑ developed after having first seen AirTran's initial application are unavailing. AirTran will submit its final service proposal, including daily service between Orlando and Cancun building on its very strong scheduled service position at Orlando, within the context of the comparative proceeding once instituted. Delta's application was filed on May 17, 2005, in Docket OST-2005-21284 Counsel: AirTran and Wiley Rein, Bert Rein, 202-719-7045, brein@wrf.com
May 9, 2005 Re: Tampa International Airport Letter in Support By: TIA, Louis Miller
Filed May 2, 2005 | Issued June 24, 2005 Exemption for two years under 49 U.S.C. 40109 to provide the following service: Scheduled foreign air transportation of persons, property, and mail between: (1) the terminal point Atlanta, Georgia, and the terminal point Cancun, Mexico; (2) the terminal point Orlando, Florida, and the terminal point Cancun, Mexico'; and (3) the terminal point Tampa, Florida, and the terminal point Cancun, Mexico. AirTran proposed to institute these services on December 15, 2005. We will handle the carrier's request for authority to serve the Orlando-Cancun market separately. Under the U.S.-Mexico aviation agreement, two U.S. airlines may be designated to provide direct carrier (own aircraft) service in the Orlando-Cancun market. Currently, no U.S. carrier is designated to provide such services. Thus, two designations are available on this route. However, four applications have been filed for the Orlando-Cancun market (AirTran's application here, Boston-Maine Airways Corp.'s application in Docket OST-2003-14985, Delta Air Lines' application in Docket OST-2005-21284, and Spirit Airlines' application in Docket OST-2005-21165). Therefore, we are deferring action on AirTran's request for authority to serve the Orlando-Cancun market and will address it in the context of our consideration of these other applications. By: Paul Gretch
June 27, 2005 Support of Greater Orlando Aviation Authority Our interest, as well of that of passengers in Central Florida and our local economy, is an expeditious decision by the Department which permits the selected carriers to commence service this Winter Season. Successful launch of these new Winter Season flights will require advanced marketing so time is of the essence in awarding these new opportunities. By: C. William Jennings
August 26, 2005 By Notice of Action Taken dated June 24, 2005 in this Docket, the Department granted the May 2, 2005 application of AirTran Airways, Inc. for an exemption to provide non-stop scheduled foreign air transportation of persons, property and mail between Tampa, Florida and Cancun, Mexico. The NOAT required that AirTran start these new services on December 15, 2005. By this application, AirTran respectfully requests a brief extension of the service institution date until March 4, 2006. AirTran has proposed once‑a‑week scheduled flights in the Tampa ‑ Cancun market. The flights will be operated on Saturdays only and will arrive and depart during the peak operating hours at Cancun. AirTran, which is a new entrant in the Mexican market, is in the process of obtaining its Mexican operating authority. It is anticipated that this process will take a month or more for completion. AirTran has also met with the airport officials at Cancun regarding the availability of gates and landing/take‑off times to commence these new services. Counsel: AirTran and Wiley Rein, Bert Rein, 202-719-7045
OST-2005-21284 - Delta Air Lines - Exemption - Orlando-Cancun September 26, 2005 Motion of Delta Air Lines for Immediate Action Delta Air Lines, Inc. hereby moves for immediate action, and urges the Department to promptly grant the above-captioned applications of Delta, Spirit and AirTran for Orlando-Cancun authority. In light of the recent the new liberalizing agreement reached with Mexico, there is no need for further carrier selection proceedings, since there are now sufficient designations available to authorize Delta, Spirit and AirTran to serve the Orlando-Cancun route. Under the new agreement, the Department will be able to designate three US carriers for service from any point in the United States to several specified points in Mexico, including Cancun. Counsel: Delta and Hogan & Hartson, Robert Cohn, 202-637-4999, recohn@hhlaw.com
Filed August 26, 2005 | Issued September 28, 2005 After careful consideration of this matter, we have decided to grant the application filed by AirTran for a waiver of the start-up deadline imposed by the Notice of Action Taken dated June 24, 2005 (in Docket OST-2005-21134), and amend the start-up deadline through March 4, 2006, for Tampa-Cancun combination air transportation. We will require AirTran to institute the proposed services no later than March 4, 2006. We find that waiving the start-up condition imposed on AirTran’s award is in the public interest in the circumstances presented; namely, that as a new entrant in the Mexican market, AirTran must obtain a Mexican operating permit so it may serve the Tampa-Cancun market; that the record indicates it is in the process of doing so; and that no party opposed its request for a waiver. In taking this action, however, we put AirTran on notice that, should other US carriers file applications for Tampa-Cancun authority, we reserve the right to reconsider our decision here to determine whether or not that decision continues to be in the public interest. In addition, there should be no expectation that an additional waiver request to further extend the start-up deadline will necessarily be granted. Any future request to extend the waiver at issue here will have to be considered in light of any specific arguments offered and responses thereto, and in the context of the circumstances present at that time, including whether another carrier seeks to use the designation at issue. By: Paul Gretch
October 17, 2005 Notice of Withdrawal of Application for an Exemption The Department's undocketed Notice served October 5, 2005, sought clarification of the status of pending applications for U.S.-Mexico authority in light of recent amendments to the U.S. Mexico bilateral agreement expected to become effective later this month. In response, AirTran Airways, Inc. herewith gives notice of withdrawal of its application for Orlando-Cancun, Mexico scheduled combination exemption authority pending in this Docket. Counsel: Wiley Rein, Bert Rein, 202-719-7045, brein@wrf.com
November 9, 2005 Decision Not to Inaugurate Service By Notice of Action Taken June 24, 2005, AirTran Airways, Inc., received exemption authority to provide scheduled combination services between Atlanta/Tampa and Cancun, Mexico with a planned start-up date of December 15, 2005. The start-up date for the Tampa-Cuncan services was extended to March 4, 2006 by Notice of Action Taken September 28, 2005. This exemption authority is subject to the dormancy notice requirements set forth in condition 7 of Appendix A to Order 88-10-2. Pursuant to that condition, AirTran herewith gives notice of its decision not to inaugurate services in the Atlanta/Tampa - Cancun markets on the dates set forth in the Notices of Action Taken or until the winter season of 2006, at the earliest. Counsel: Wiley Rein, Edwin Bailey, 202-719-7045, ebailey@wrf.com
November 18, 2005 Motion for Temporary Dormancy Waiver By letter dated November 9, 2005, AirTran Airways, Inc. gave notice to the Department of its decision not to inaugurate Atlanta-Cancun and Tampa-Cancun scheduled services on December 15, 2005 and March 4, 2006 as contemplated by Notices of Action Taken in this Docket. The notice, a copy of which was placed in this Docket, was required by condition 7 of Appendix A to Order 88-10-2, which is incorporated by reference in the Department's Notices. The decision not to commence the Cancun services was necessitated by the damage to the Cancun area brought about by Hurricane Katrina, The notice stated that AirTran did not believe that it could commence the services until the winter season of 2006 at the earliest. By this motion, AirTran wishes to clarify that it is seeking a dormancy waiver from the 90-day notice requirements of condition 7 of the referenced Order for the Atlanta-Cancun and Tampa-Cancun routes through December 15, 2006. The relief requested is in the public interest because of the unexpected and widespread effects of Hurricane Katrina on the Cancun area and infrastructure. In the circumstances, AirTran respectfully requests that the Department grant temporary relief from the dormancy requirements for these routes through December 15, 2006. Counsel: Wiley Rein, Bert Rein, 202-719-7045
Filed November 18, 2005 | Approved January 11, 2006 Motion for Temporary Dormancy Waiver By letter dated November 9, 2005, AirTran Airways, Inc. gave notice to the Department of its decision not to inaugurate Atlanta-Cancun and Tampa-Cancun scheduled services on December 15, 2005 and March 4, 2006 as contemplated by Notices of Action Taken in this Docket. The notice, a copy of which was placed in this Docket, was required by condition 7 of Appendix A to Order 1988-10-2, which is incorporated by reference in the Department's Notices. The decision not to commence the Cancun services was necessitated by the damage to the Cancun area brought about by Hurricane Katrina. The notice stated that AirTran did not believe that it could commence the services until the winter season of 2006 at the earliest. By this motion, AirTran wishes to clarify that it is seeking a dormancy waiver from the 90-day notice requirements of condition 7 of the referenced Order for the Atlanta-Cancun and Tampa-Cancun routes through December 15, 2006. The relief requested is in the public interest because of the unexpected and widespread effects of Hurricane Katrina on the Cancun area and infrastructure. In the circumstances, AirTran respectfully requests that the Department grant temporary relief from the dormancy requirements for these routes through December 15, 2006. By: Esta Rosenberg
July 31, 2006 Notice of Decision Not to Operate Service By Notice of Action Taken June 24, 2005, AirTran Airways, Inc., received exemption authority to provide scheduled combination services between Atlanta/Tampa and Cancun, Mexico with a planned start-up date of December 15, 2005. The start-up date for the Tampa-Cancun services was extended to March 4, 2006 by Notice of Action Taken September 28, 2005 and then extended to December 15, 2006 by action of the Department dated January 11, 2006. With the continuing increases of operating costs and initiating new service, AirTran has decided not to operate the Tampa-Cancun service. Therefore, AirTran herewith gives notice of its decision not to inaugurate services in the Tampa-Cancun market. Nevertheless, inaugurating service to Cancun is important to AirTran. AirTran applauds actions taken by the Department to open new opportunities for U.S. carriers in U.S.-Mexico markets. As a low-fare carrier that has expanded options for travelers in markets throughout the country, AirTran continues to maintain plans to inaugurate Atlanta-Cancun service and remains interested in other service options. Counsel: Wiley Rein, Edward Faberman, 202-719-7402, efaberman@wrf.com
November 9, 2006 By Notice of Action Taken June 24, 2005, AirTran Airways, Inc., received exemption authority to provide scheduled combination services between Hartsfield-Jackson Atlanta International Airport and Cancun, Mexico with a planned start-up date of December 15, 2005. The start-up date for the Atlanta Cancun services was extended to March 4, 2006 by Notice of Action taken September 28, 2005 and then extended to December 15, 2006 by action of the Department dated January 11, 2006. As a result of changes in a number of factors including aircraft deliveries and costs and since the reopening of various Cancun resorts took longer than originally planned, AirTran Airways hereby advises the Department that it cannot initiate the proposed Atlanta-Cancun service as planned. Accordingly, AirTran Airways respectfully provides Notice of Dormancy with respect to this route. AirTran Airways is anxious to begin service to Cancun and other markets in Mexico and will continue to look at dates in 2007 to initiate important low-fare service to Mexico. Counsel: Wiley Rein, Edward Faberman, 202-719-7402, efaberman@wrf.com
September 25, 2008 Application for Exemption Authority AirTran Airways, Inc. respectfully requests exemption authority allowing AirTran to provide carriage of persons, property and mail in scheduled combination service between: 1) Atlanta Hartsfield International Airport and Cancun, Mexico and 2) Baltimore-Washington International Thurgood Marshall Airport and Cancun, Mexico. AirTran requests that this exemption be granted for a period of two years. AirTran proposes to commence operations on the ATL-CUN route in mid-February 2009 and on the BWI-CUN route in early March 2009. AirTran proposes to commence daily nonstop services on February 25, 2009 or such later date within ninety days thereof as may be required for obtaining all governmental authorizations, using B-737-700 aircraft configured at 137 seats for service between ATL and CUN. AirTran also proposes to commence twice weekly service on March 7, 2009 or such later date within ninety days thereof as may be required for obtaining all governmental authorizations, using B-737-700 aircraft configured at 137 seats for service between Baltimore BWI and Cancun. The daily ATL-CUN nonstops will depart Atlanta at 1000 hours, arriving at Cancun at 1130 hours while the BWI-CUN nonstops will depart Baltimore at 1100 hours, arriving Cancun at 1325 hours. In the northbound direction, the daily CUN-ATL nonstops will depart Cancun at 1220 hours, arriving Atlanta at 1555 hours, while the daily CUN-BWI nonstops will depart Cancun at 1415 hours, while arriving BWI at 1855 hours. Block times for the round-trip flights to/from ATL will be 5 hours 5 minutes and the round-trip flights to/from BWI will be 6 hours 15 minutes. At present, only one U.S. carrier, Delta Airlines, provides scheduled combination services in the ATL-CUN market. USA 3000 Airlines and US Airways have authority to operate scheduled combination nonstop services in the BWI-CUN market. The December 12, 2005 Memorandum of Consultations and Annexes between the United States and the United Mexican States authorizes three U.S. carriers to provide scheduled service between points in the United States and Cancun, Mexico. Therefore, two authorities are still available for designation in the ATL-CUN market and one authority is still available for designation in the BWI-CUN market. Accordingly, grant of this Application would permit the exercise of important aviation traffic rights that have been negotiated with Mexico and would therefore serve the public interest. Counsel: Wiley Rein, Edward Faberman, 202-719-7402 |
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