Compass Airlines, Inc.

OST-2007-28132 - Exemption - US-Canada Open Skies

May 3, 2007

Application for an Exemption

Compass is a newly certificated carrier, and is a wholly owned subsidiary of Northwest Airlines Corporation. Earlier this week, the Department issued Compass an effective certificate to engage in interstate scheduled air transportation (Order 2007-4-28), and on May 2, 2007 Compass celebrated its first revenue flight.

Compass will initially operate four aircraft and plans to operate a fleet of 36 Embraer EMB-175 regional jet aircraft in Northwest Airlink service. Compass begins taking delivery of its EMB-175s in the third quarter of 2007. The EMB-175 will accommodate 76 passengers in a dual class configuration, with 12 seats in first class and 64 seats in coach class.

Compass plans to deploy its new EMB-175s on a variety of U.S.-Canada transborder routes, and requests prompt approval of this application so that Compass can begin advance sales and marketing activities.

Counsel: Northwest, Alexander Van der Bellen, 202-842-4184, sascha.vanderbellen@nwa.com

May 7, 2007

Re: Polling Results

This is to confirm that we have completed a poll of all carrier representatives in the above-captioned matter. There are no objections to Compass’s application or its request for expedited action.

Counsel: Northwest, Alexander Van der Bellen, 202-842-4184, sascha.vanderbellen@nwa.com

Filed May 3, 2007 | Issued August 6, 2007

Notice of Action Taken

Scheduled foreign air transportation of persons, property, and mail between a point or points in the United States, via intermediate points, to a point or points in Canada, and beyond.

Compass is authorized to engage in interstate scheduled transportation using large aircraft, subject to the restriction that its operations are performed under a fee-for-service agreement with Northwest Airlines, Inc., or a similar agreement with a major U.S. air carrier (see Order 2007-4-28). Compass states that it is a wholly-owned subsidiary of Northwest and will operate as a Northwest Airlink partner, whereby its services will be sold and marketed under Northwest’s “NW*” code.

By: Paul Gretch

OST-2006-24295 - Transfer of Certificate Authority

January 18, 2008

Application to Amend Exemption

Compass Airlines, Inc. hereby requests amendment of its U.S.-Canada exemption (Notice ofAction Taken, Docket OST-2007-28132; issued on August 6, 2007) to remove the condition which limits Compass's authority to operations performed under a fee-for-service agreement with major U.S. carriers. Compass respectfully requests that the Department amend the U.S.-Canada exemption condition described herein simultaneously with the amendment of Compass's Interstate Certificate Authority in Docket OST-2006-24295.

Counsel: Wiley Rein, Edward Faberman, 202-719-7402

Filed January 18, 2008 | Issued June 19, 2008

Notice of Action Taken | Word

Compass requests that the Department amend its exemption granted by Notice of Action Taken dated August 6, 2007, authorizing Compass to engage in scheduled foreign air transportation of persons, property, and mail between a point or points in the United States, via intermediate points, and a point or points in Canada, and beyond, to remove the condition that limits Compass’ authority to operations performed under a fee-for-service agreement with major U.S. carriers.

On June 16, 2008, the Department granted Compass’ request to amend its certificate for scheduled interstate air transportation, in Docket OST-2006-24295, by removing the restriction on Compass’ operations requiring that its large aircraft services be performed under a fee-for-service arrangement with a major U.S. carrier (see Order 2008-6-17).

With our action here, Compass is authorized to operate the subject U.S.-Canada services in its own name or under a code-share arrangement with other U.S. air carriers. (Should the carrier engage in code-share services with another U.S. air carrier pursuant to the authority, as amended here, such operations must be conducted in compliance with the codeshare conditions specified in the original grant of authority in this docket dated August 6, 2007.) The exemption authority granted on August 6, 2007, as amended by this Notice of Action Taken, will expire on August 6, 2009.

By: Paul Gretch