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OST-2007-28807 - Colgan Air - Certificate - Interstate and Foreign
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Colgan Air, Inc. OST-2007-28807 - Certificate of Public Convenience and Necessity July 19, 2007 Application for a Certificate of Public Convenience and Necessity - Bookmarked - 496 Pages Colgan Air, Inc. applies for a certificate of public convenience and necessity to engage in scheduled interstate air transportation of persons, property and mail. Colgan holds a commuter fitness determination and is an operating commuter air carrier and essential air service provider serving over 50 cities. Colgan intends in the coming months to inaugurate scheduled operations within the United States and between the United States and Canada utilizing new Bombardier Dash-8 Q400 aircraft designed and configured for greater than 60 seats, hence this application. Colgan plans to inaugurate revenue operations utilizing the first of its new Dash-8 Q400s on or about January 5, 2008. Ultimately, Colgan will operate 14 operational patterns or “lines” of flying under its Continental Airlines code-share agreement using the Dash-8 Q400 aircraft. Newark’s Liberty International Airport will be the hub of these operations, which will fly under the Continental Connection trade name. The 15 aircraft will be phased in from January through June 2008, with one aircraft utilized as a spare. Concurrent with the filing of this application, Colgan has filed an application for a certificate of public convenience and necessity to engage in scheduled foreign air transportation of persons, property and mail between all points in the United States and all points in Canada. Counsel: Garofalo Goerlich, Gary Garofalo, 202-776-3970, ggarofalo@ggh-airlaw.com
August 1, 2007 To correct an error in footnote 2 on page 3 of Colgan Air, Inc.'s Application for a Certificate of Public Convenience and Necessity filed herein on July 19, 2007, Colgan Air respectfully seeks leave to replace "was received" with "is under review." Counsel: Garofalo Goerlich, Gary Garofalo, 202-776-3970, ggarofalo@ggh-airlaw.com
OST-2007-28807 - Certificate of Public Convenience and Necessity August 3, 2007 Clarification of Certificate Applications On July 19, 2007, Colgan Air, Inc. applied for both interstate and foreign Certificates of Public Convenience and Necessity in the above dockets, respectively. In paragraph 9 and Exhibit 304 of those applications, Colgan stated there was only one pending action or outstanding judgment against it involving an amount in excess of $5,000. It since has come to our attention that Colgan is involved in litigation arising from the hijacked flights on September 11, 2001. Currently, Colgan is one of the defendants to seventeen wrongful death/personal injury and sixteen property damage and business loss claims resulting from the crash of American Airlines Flight 11. Colgan's defense of these claims was assumed by its insurance company, Global Aerospace. Colgan believes any liability arising from these claims will fall within its insurance coverage limits and, in any event, may be required by statute not to exceed its coverage. In preparing this portion of its certificate applications, Colgan staff believed that because Colgan's insurance company had assumed the defense, disclosure of this matter was not necessary. This explains why this litigation was not included in Colgan's initial applications. Under the circumstances, Colgan does not believe this matter has an impact on its interstate or foreign certificate applications. Counsel: Garofalo Goerlich, Gary Garofalo, 202-776-3970
October 3, 2007 Colgan Air, Inc. hereby supplements its application filed July 19, 2007, with the enclosed information:
Additionally, Colgan's Board of Directors recently expanded from three to five members. The two new members are Philip H. Trenary, President, CEO and Member of the Board of Directors of Pinnacle Airlines, Inc. and Peter Hunt, Chief Financial Officer and Member of the Board of Directors of Pinnacle Airlines, Inc. Mr. Trenary is Chairman of Colgan's Board of Directors. Also, George A. Casey, former Colgan Corporate Liaison, replaced Michael J. Colgan, Sr. as President and General Manager of Colgan. Mr. Casey and Mr. Colgan remain Members of Colgan's Board of Directors. Colgan currently has no Chief Executive Officer. Counsel: Garofalo Goerlich, Gary Garofalo, 202-776-3970, ggarofalo@ggh-airlaw.com
October 3, 2007 Motion to Withhold Information from Public Disclosure Colgan hereby moves to withhold from public disclosure the contents of the following exhibit to Supplement No. 1 to Application of Colgan Air, Inc., which is sirnultancously being filed with the Department:
Counsel: Garofalo Goerlich, Gary Garofalo, 202-776-3970, ggarofalo@ggh-airlaw.com
October 24, 2007 It is not the Department's practice to withhold from public disclosure information regarding an applicant's historical financial statements, financing plans, or forecast financial statements. Most of the information contained in Exhibits 302 and 504 is of the type that is usually released to the public. Therefore, we deny confidential treatment to the Balance Sheets and Statements of Operations contained in Exhibit - 302 and the financing plan contained in Exhibit 504. We will, however, grant confidential treatment loan amount disclosed in financing plan. Additionally, although the Department generally does not grant confidential treatment to an applicant's first-year operating forecast, we find that the grant of confidential treatment is warranted in this case in light of Colgan's service agreement with Continental Airlines, Inc. To the extent not denied above, we grant the applicant's motions to withhold from public disclosure. In doing so, we find that the material requested to be withheld from public disclosure meets the standards of disclosure found in the Freedom of Information Act, this type of information is not the type that is normally released to the public, and a substantial harm to its competitive position would result from public disclosure of the given information. If Colgan elects to petition the Department as to this confidentiality determination, we expect that it will provide a statement explaining how the item falls within the exceptions under the Freedom of Information Act and is not otherwise required to be filed publicly by all applicants for certificate authority. Responses shall be due within five calendar days of the filing of such a petition. If Colgan elects not to file a petition, we direct that the information identified above for which confidential treatment was denied; be submitted in the public docket in this proceeding within five business days of the date of this letter. By: Aviation Analysis, Lauralyn Remo
October 25, 2007 Previously Withheld Exhibits - Bookmarked
Counsel: Garofalo Goerlich, Gary Garofalo, 202-776-3970
OST-2007-28807 - Certificate of Public Convenience and Necessity October 30, 2007 DOT Request for Additional Information
By: Air Carrier Fitness Division, Damon Walker
OST-2007-28807 - Certificate of Public Convenience and Necessity November 6, 2007 Supplment No. 2 to Applications
Counsel: Garofalo Goerlich, Gary Garofalo, 202-776-3970, ggarofalo@ggh-airlaw.com
OST-2007-28807 - Certificate of Public Convenience and Necessity November 20, 2007
Counsel: Garofalo Goerlich, Gary Garofalo, 202-776-3970, ggarofalo@ggh-airlaw.com
Order 2007-11-22 Issued and Served November 26, 2007 Order Issuing Interstate Certificate Authority | Word By this order, we find that Colgan Air, Inc. d/b/a Continental Connection d/b/a US Air Express d/b/a United Express is fit, willing, and able to provide interstate and foreign scheduled air transportation of persons, property, and mail, and should be issued certificates of public convenience and necessity authorizing such operations. We cancel the commuter authority issued to Colgan Air, Inc. d/b/a Continental Connection d/b/a US Airways Express d/b/a United Express by Order 1991-8-37. Should Colgan Air, Inc. d/b/a Continental Connection d/b/a US Airways Express d/b/a United Express propose to operate more than 15 large aircraft or propose to operate scheduled air transportation independent of its agreement with Continental Airlines, Inc., or similar agreement with another major U.S. air carrier, we direct it to notify the Department in writing at least 45 days prior to the proposed operation and demonstrate its fitness to conduct such operations before their commencement. By: Andrew Steinberg
December 5, 2007 Colgan hereby applies for a waiver from Section 201.5(a)(2) to permit its code-share partner Continental Airlines, Inc. to accept customer payments and issue tickets in advance of Colgan's interstate certificate of public convenience and necessity becoming effective as applicable to the operation of large aircraft. Colgan requests action on this application by December 7, 2007. Colgan requests the Department act on this request without waiting for the filing of answers. Alternatively, Colgan asks the Department to issue a notice establishing a very brief (two day) comment period for interested persons. See Order 2000-1-20 and Notice issued July 5, 2007 (Docket OST-2007-28673). Colgan's certificated operations using Q400 equipment will be conducted on a code-share basis as a "Continental Connection" carrier pursuant to a capacity purchase agreement with Continental, a well established certificated air carrier. Continental will be responsible for the collection of all passenger funds along with all marketing, reservations and ticketing functions. The relief Colgan requests is comparable to that granted recently to Lynx Aviation, Inc. by the Department (See Order 2007-6-20 (July 29, 2007)). In contrast to Lynx, Colgan submits there is no need for a condition whereby passenger funds and related revenues are required to be placed in an escrow or other special consumer fund protection arrangement prior to the institution of Q400 revenue operations. While the escrow condition may have been appropriate in the case of a start-up carrier such as Lynx, Colgan is a well-established scheduled carrier with a history of safe and reliable service. Counsel: Garofalo Goerlich, Gary Garofalo, 202-776-3970, ggarofalo@ggh-airlaw.com
Order 2007-12-6 Issued and Served December 13, 2007 By this order, we are granting Colgan Air, Inc. d/b/a Continental Connection d/b/a US Airways Express d/b/a United Express a waiver of section 201.5 of our rules, subject to conditions. The relief requested would allow Continental Airlines, Inc. to begin accepting payment and issuing tickets for flights to be operated by Colgan using large aircraft. The Department’s primary concern in acting on “pre-sale” requests, such as that of Colgan, is the protection of consumers’ expectations and their funds. We have routinely granted such requests when the applicant remains fit, appears likely to obtain its FAA authority before its proposed start-up date, and has put in place mechanisms to protect prospective passenger funds and expectations.5 Colgan has agreed to establish procedures designed to protect its prospective customers. Additionally, since Continental will be responsible not only for ensuring the air transportation is provided, but also for collecting passenger payments and issuing tickets (or refunds if necessary), we believe that consumer funds and expectations will be adequately protected. By: Todd Homan |
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