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Updated: Wednesday, January 4, 2006 5:04 PM


OST-2005-22551 - Delta Air Lines - New York-Cancun


Delta Air Lines, Inc.

OST-2005-22551 - Exemption - New York-Cancun

September 22, 2005

Application for Exemption

Delta hereby applies for an exemption authorizing Delta to provide scheduled foreign air transportation of persons, property and mail between New York (JFK) and Cancun, Mexico. Delta plans to operate New York (JFK) Cancun route service on a year-round basis using Boeing 757-200 aircraft configured with 24 premium and 159 coach seats. The proposed start-up date for this service is December 17, 2005, or within 90 days of the date the Department grants this exemption request.

Counsel: Hogan & Hartson, Robert Cohn, 202-637-4999, recohn@hhlaw.com


OST-2005-22551 - Exemption - New York-Cancun
OST-2005-22576 - Certificate of Public Convenience and Necessity - US-Cancun

September 26, 2005

Answer of JetBlue to Application of Delta and Motion to Consolidate

JetBlue's application on its face demonstrates the superiority of its proposed service to Cancun over that of Delta's not only through JetBlue's award winning customer service but because of JetBlue's financial and operational strength. JetBlue's service and its proven success over the past five years in both domestic and international service have allowed it to successfully face unprecendented obstacles and requires the selection of JetBlue for this service.

Counsel: Dow Lohnes, Jonathan Hill, 202-776-2000, jhill@dlalaw.com

OST-1999-6275 - Delta Air Lines' New York-Cancun Codeshare with Aeromexico


OST-2005-22551 - Delta Air Lines - Exemption - New York-Cancun
OST-2005-22576 - JetBlue - Certificate of Public Convenience and Necessity - US-Cancun
OST-2005-22579 - JetBlue - Exemption - US-Cancun

September 28, 2005

Answer of Continental Airlines

Delta and JetBlue have applied for New York-Cancun authority and requested expedited action on their applications.

Continental does not object to the Delta and JetBlue requests for New Yor-Cancun authority or JetBlue's request for a carrier-selection proceeding so long as Continental's authority to provide New York-Cancun service remains effective and Continental can continue to serve the route.

Counsel: Continental, Thomas Bolling, 713-324-5606, thomas.bolling@coair.com;
Crowell & Moring, Bruce Keiner, 202-624-2615, rbkeiner@crowell.com


OST-2005-22551 - Delta - Exemption - New York-Cancun
OST-2005-22636 - USA 3000 - Exemption - Newark/Chicago-Cancun

October 5, 2005

Answer of JetBlue to Application of USA 3000 and Motion to Consolidate

JetBlue Airways Corporation submits its Answer in Opposition to the Applicatoin of USA 3000 Airlines for an exemption to operate between New York and Cancun, Mexico submitted September 30, 2005. JetBlue has itself filed both for an exemption and a certificate application under 49 U.S.C. 401102 and 401109 for service under the recently signed Mexican MOU for service from New York (JFK) to Cancun in the referenced docket.

JetBlue opposes USA 3000's application to the extent it is mutually exclusive to JetBlue's application. Based upon the fact that there is only one additional opportunity between New York and Cancun, JetBlue requests that all applications (JetBlue's, Delta's, and USA 3000's) be consolidated and the Department of Transportation set a comparative proceeding to select JetBlue's proposed service.

Counsel: Dow Lohnes, Jonathan Hill, 202-776-2000, jhill@dowlohnes.com

OST-2005-22579 - JetBlue's Application for New York-Cancun


OST-2005-22576 - JetBlue Airways - Certificate of Public Convenience and Necessity - US-Cancun
OST-2005-22579 - JetBlue Airways - Exemption - US-Cancun
OST-2005-22551 - Delta - Exemption - New York-Cancun

October 5, 2005

Consolidated Answer of USA 3000 Airlines

As the Department is aware, USA 3000 has also filed an application seeking exemption authority as the 3rd U.S. carrier on the New York/Newark city-pair. See: USA 3000 Application of September 30, 2005, Docket OST 2005-22636. USA 3000 opposes the applications of JetBlue and Delta to the extent they are mutually exclusive to the application of USA 3000. Since only one (1) additional U.S. carrier designation will become available for this city-pair under the recently-concluded U.S-Mexico accord, and there are currently three (3) applicants for this single available designation, this valuable opportunity is therefore over-subscribed and a carrier selection proceeding must be conducted by the Department

Counsel: Pierre Murphy, 202-776-3980, pmuprhy@lopmurphy.com


OST-2005-21284 - Exemption - Orlando-Cancun
OST-2005-22243 - Exemption - Cincinnati-San Jose del Cabo / Atlanta-Merida / New York-Acapulco/Cozumel/Puerto Vallarta/San Jose del Cabo
OST-2005-22415 - Exemption - Los Angeles-Cancun
OST-2005-22551 - Exemption - New York-Cancun
OST-2005-22620 - Exemption - Atlanta-Acapulco; Boston-Cancun; Los Angeles-Puerto Vallarta/San Jose del Cabo/Zihuatanejo; Washington, DC-Cancun
OST-1999-6275 - Certificate of Public Convenience and Necessity for Route 562 - US-Mexico

October 17, 2005

Supplement to Applications for Exemption and Amended Certificate Authority

Pursuant to the Department's Notice served October 5, 2005, Delta Air Lines, Inc. hereby supplements its applications for U.S.-Mexico exemption authority pending in the above-captioned dockets by confirming the proposed start-up dates, types of service (seasonal or year-round), number of weekly flights, and types, capacity and availability of aircraft, as follows:

1. Atlanta, GA -Acapulco, Mexico (Docket OST-2005-22620). On or about March 11, 2006, Delta proposes to introduce two weekly frequencies (Saturdays/Sundays) on this route using Boeing 737-800 aircraft with 16 premium and 134 coach seats, on a year-round basis. No other U.S. carriers currently provide Atlanta-Acapulco service and, provided that no other applications are submitted, the Department need not await the signing of the new U.S.-Mexico agreement in order to grant Delta's request for exemption authority with respect to this route.

2. Atlanta, GA - Ixtapa/Zihuatanejo, Mexico (Docket OST-2005-22620). On or about March 18, 2006, Delta proposes to introduce two weekly frequencies (Saturdays/Sundays) on this route using Boeing 737-800 aircraft with 16 premium and 134 coach seats, on a year-round basis. No other U.S. carriers currently provide Atlanta-Ixtapa/Zihuatanejo service and, provided that no other applications are submitted, the Department need not await the signing of the new U.S.-Mexico agreement in order to grant Delta's request for exemption authority with respect to this route.

3. Boston, MA - Cancun, Mexico (Docket OST-2005-22620). On or about February 4, 2006, Delta proposes to introduce one weekly roundtrip flight (Saturdays) on this route using Boeing 737-800 aircraft with 16 premium and 134 coach seats, on a year-round basis.

4. Los Angeles, CA - Cancun, Mexico (Docket OST-2005-22415). On or about December 1, 2005, Delta proposes to introduce daily yearround service on this route using Boeing 737-800 aircraft with 16 premium and 134 coach seats.

5. Los Angeles, CA - Ixtapa/Zihuatanejo, Mexico (Docket OST-2005-22620). On or about March 18, 2006, Delta proposes to introduce one weekly roundtrip flight (Saturdays) on this route using Boeing 737800 aircraft with 16 premium and 134 coach seats, on a year-round basis.

6. Los Angeles, CA - Puerto Vallarta, Mexico (Docket OST-2005-22620). On or about February 4, 2006, Delta proposes to introduce one weekly roundtrip flight (Saturdays) on this route using Boeing 737800 aircraft with 16 premium and 134 coach seats, on a year-round basis.

7. Los Angeles, CA - San Jose del Cabo, Mexico (Docket OST-2005-22620). On or about February 4, 2006, Delta proposes to introduce one weekly roundtrip flight (Saturdays) on this route using Boeing 737-800 aircraft with 16 premium and 134 coach seats, on a yearround basis.

8. New York, NY/Newark, NJ- Cancun, Mexico (Docket OST-2005-22551). On or about December 17, 2005, Delta proposes to introduce daily year-round service on this route using Boeing 757-200 aircraft with 24 premium and 159 coach seats.

9. New York, NY/Newark, NJ - San Jose del Cabo, Mexico (Docket OST-2005-22243). On or about March 4, 2006, Delta proposes to introduce one weekly roundtrip flight (Saturdays) on this route using Boeing 737-800 aircraft with 16 premium and 134 coach seats, on a year-round basis.

10. Orlando, FL - Cancun, Mexico (Docket OST -2005-21284). As early as November 1, 2005, but no later than 90 days after the Department approves exemption authority to serve this route, Delta proposes to introduce daily year-round service on the Orlando-Cancun route using Boeing 737-800 aircraft with 16 premium and 134 coach seats.

11. Washington, D.C. - Cancun, Mexico (Docket OST-2005-22620). On or about February 4, 2006, Delta proposes to introduce one weekly roundtrip flight (Saturdays) on this route using Boeing 737-800 aircraft with 16 premium and 134 coach seats, on a year-round basis. Delta proposes to provide service via Washington Dulles International Airport.

Delta proposes to operate all of the foregoing services using its existing fleet resources. Delta has 71 Boeing 737-800 aircraft and 121 Boeing 757-200 aircraft in its fleet, in addition to a number of other aircraft types, and has additional aircraft on order.

Counsel: Hogan & Hartson, Robert Cohn, 202-637-4999, recohn@hhlaw.com


Delta Air Lines, Inc. / JetBlue Airways Corp. / USA 3000 Airlines / Frontier Airlines, Inc. / Spirit Airlines, Inc. / United Air Lines, Inc. / ExpressJet Airlines, Inc. / America West Airlines, Inc. / Florida West International Airways, Inc. / Centurion Air Cargo, Inc. / Kitty Hawk Air Cargo, Inc

OST-2005-22551 - Delta - Exemption - New York-Cancun
OST-2005-22579 - JetBlue - Exemption - US-Cancun
OST-2005-22636 - USA 3000 - Exemption - Newark/Chicago-Cancun
OST-2005-22580 - Frontier - Exemption - Chicago (MDW)-Cancun
OST-2005-22589 - Spirit - Exemption - Dallas-Ft. Worth/Chicago-Cancun
OST-2005-22767 - United - Exemption - Chicago-Cancun; Los Angeles-San Jose del Cabo; Chicago-Puerto Vallarta; Los Angeles-Puerto Vallarta
OST-2005-22620 - Delta - Exemption - Atlanta-Acapulco; Boston-Cancun; Los Angeles-Puerto Vallarta/San Jose del Cabo/Zihuatanejo; Washington, DC-Cancun
OST-2005-22590 - Frontier - Exemption - Los Angeles-San Jose del Cabo
OST-2005-22766 - ExpressJet - Designation - Los Angeles-San Jose del Cabo
OST-2005-22769 - America West - Exemption - Los Angeles-San Jose del Cabo
OST-2005-22151 - FWIA - Exemption and Designation - US-Mexico All-Cargo
OST-2005-21709 - Centurion - Exemption - US-Mexico Scheduled All-Cargo Services
OST-2005-22751 - Kitty Hawk - Exemption - US-Mexico Scheduled Cargo Service

Served October 20, 2005

Notice Suspending Further Procedures | Word

By Notice dated October 5, 2005, we invited interested U.S. carriers to supplement already-filed applications and/or to file new exemption/certificate applications for new U.S.-Mexico combination and all-cargo air transportation services under the September 21, 2005, Memorandum of Consultations between the United States and Mexico.   We instructed U.S. carriers to file their submissions within seven business days of the Notice, that is, not later than October 17, 2005.  Our stated objective in issuing the October 5 Notice was to be in a position promptly to implement the new rights once they become effective (currently anticipated to occur on October 26, 2005), and to promote an orderly process for doing so.

We have received numerous applications and supplements to existing applications for the newly available authority and, accordingly, have now identified the service markets for which carrier selection proceedings will be necessary.  Captioned above are those city-pair markets for which we will be instituting carrier selection proceedings.  Also captioned above are dockets reflecting limited designation opportunities for all-cargo Mexico City services that will also require carrier selection proceedings.

For each of the captioned city-pair markets we are suspending further procedures under 14 CFR part 302 (part 302).  Instead, we intend to issue notices shortly, establishing procedures and timetables for the applicants and other interested parties to follow so that we may establish a decisional record for carrier selection as to each of the subject markets.  Accordingly, for the city-pair and all-cargo markets captioned, we request that interested parties not file responsive pleadings at this time, but rather that they await the issuance of the aforementioned notices.  We hereby suspend as to applications filed for those markets, and until further notice, the procedural requirements of part 302 to the extent consistent with this approach.  For all other applications filed in response to our October 5 Notice (i.e., applications seeking authority in markets other than those listed above), the procedures set forth in part 302, including the time limits for filing responsive pleadings, will continue to apply.

By: Paul Gretch


OST-2005-21284 - Delta - Exemption - Orlando-Cancun
OST-2005-22415 - Delta - Exemption - Los Angeles-Cancun
OST-2005-22551 - Delta - Exemption - New York-Cancun
OST-2005-22620 - Delta - Exemption - Atlanta-Acapulco; Boston-Cancun; Los Angeles-Puerto Vallarta/San Jose del Cabo/Zihuatanejo; Washington, DC-Cancun
OST-2005-22737 - Comair - Exemption - Cincinnati-Cancun

November 22, 2005

Modified Start-Up Plans

In light of the severe damage Hurricane Wilma has inflicted on Cancun, Delta Air Lines, Inc. and its wholly owned subsidiary Comair, Inc. have modified their start-up plans with respect to the above-referenced routes, as described in Attachment A.

Delta anticipates that it will institute service on most of the subject routes by June 1, 2006, and requests that any dormancy condition run from that date. Delta is monitoring the situation in Cancun and hopes that it may be able to institute service sooner in some markets. Accordingly, Delta urges the Department to grant the requested economic authority for the identified routes as soon as possible.

Finally, Delta no longer has active service plans for Orlando-Cancun, and hereby withdraws that application.

Attachment A:

US Gateway Applicant Docket No. OST-2005- Original Start Date New Start Date
Los Angeles Delta 22415 December 15, 2005 June 1, 2006
New York Delta 22551 December 15, 2005 June 1, 2006
Boston Delta 22620 February 4, 2006 June 1, 2006
Washington Delta 22620 February 4, 2005 June 1, 2006
Cincinnati Comair 22737 December 15, 2005 June 1, 2006
Orlando Delta 21284 December 15, 2005 Application Withdrawn

Counsel: Hogan & Hartson, Alexander Van der Bellen, 202-637-8382, sascha.vanderbellen@hhlaw.com


Order 2005-12-18

OST-2005-23494 - New York/Newark-Cancun Combination Service Proceeding
OST-2005-23496 - Chicago-Cancun Combination Service Proceeding
OST-2005-23497 - Los Angeles-Puerto Vallarta Combination Service Proceeding
OST-2005-23498 - Los Angeles-San Jose del Cabo Combination Service Proceeding

OST-2005-22551 - Delta - Exemption - New York-Cancun
OST-2005-22579 - Jet Blue - Exemption - US-Cancun
OST-2005-22636 - USA 3000 - Exemption - Newark/Chicago-Cancun

OST-2005-22636 - USA 3000 - Exemption - Newark/Chicago-Cancun
OST-2005-22580 - Frontier - Exemption - Chicago (MDW)-Cancun
OST-2005-22767 - United - Exemption - Chicago-Cancun; Los Angeles-San Jose del Cabo; Chicago-Puerto Vallarta; Los Angeles-Puerto Vallarta
OST-2005-22589 - Spirit - Exemption - Dallas-Ft. Worth/Chicago-Cancun

OST-2005-22620 - Delta - Exemption - Atlanta-Acapulco; Boston-Cancun; Los Angeles-Puerto Vallarta/San Jose del Cabo/Zihuatanejo; Washington, DC-Cancun
OST-2005-22767 - United - Exemption - Chicago-Cancun; Los Angeles-San Jose del Cabo; Chicago-Puerto Vallarta; Los Angeles-Puerto Vallarta

OST-2005-22769 - America West d/b/a US Airways - Exemption - Los Angeles-San Jose del Cabo
OST-2005-22620 - Delta - Exemption - Atlanta-Acapulco; Boston-Cancun; Los Angeles-Puerto Vallarta/San Jose del Cabo/Zihuatanejo; Washington, DC-Cancun
OST-2005-22766 - ExpressJet - Designation - Los Angeles-San Jose del Cabo
OST-2005-22590 - Frontier - Exemption - Los Angeles-San Jose del Cabo
OST-2005-22767 - United - Exemption - Chicago-Cancun; Los Angeles-San Jose del Cabo; Chicago-Puerto Vallarta; Los Angeles-Puerto Vallarta

Issued and Served December 29, 2005

Instituting Order - Bookmarked

By this order we institute proceedings to select one primary carrier and one backup carrier to provide direct carrier (own-aircraft), scheduled combination air services in the New York/Newark-Cancun, Chicago-Cancun, Los Angeles-Puerto Vallarta, and the Los Angeles-San Jose del Cabo markets, thereby implementing new rights available to US. carriers under the recently amended US.-Mexico aviation agreement.

We grant the motions to consolidate applications into the relevant proceedings as described in this instituting order, and we consolidate the applications for the four city-pair markets addressed in this instituting order into the four carrier selection cases described herein.

We grant the motion of Spirit Airlines, Inc. to withdraw its application for exemption authority to serve the Chicago-Cancun market and hereby dismiss that application.

Procedural Timetable:

Petition for Reconsideration: 1-4-06
Replies to Petitions for Reconsideration: 1-6-06
Supplements/Amendments to Applications: 1-10-06
Answers: 1-12-06
Replies: 1-17-06

By: Michael Reynolds


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