ABX Air, Inc.

OST-2007-29318 - Exemption - Los Angeles-Guadalajara All-Cargo

September 21, 2007

Application for an Exemption and Designation

ABX hereby requests an exemption and designation permitting it to engage in scheduled foreign air transportation of property and mail between Los Angeles and Guadalajara. This application is being submitted in response to the Department's September 12th Notice inviting applications from U.S. carriers for exemption authority in connection with the additional designations that become available on October 26, 2007 under the U.S.-Mexico Air Transport Agreement for services between the U.S. and Guadalajara and Monterrey. As noted, ABX is also filing today a separate application with the Department for authority to provide scheduled foreign air transportation of property and mail between Los Angeles and Mexico City. a designation for which is now available under the U.S.-Mexico Air Transport Agreement due to the recent decision of Florida West International Airways. Inc. to forgo its effort to institute scheduled service between the U.S. and Mexico and return the authority to the DOT for reallocation. See letter from Charles F. Donley, dated September 13, 2007. tiled in Dockets OST-2005-22151 and OST-2006-24671.

ABX intends to commence scheduled all-cargo service between Los Angeles and Guadalajara within 90 days of its receipt of authority from the Department to conduct such operations, or as soon as it is able to obtain authority from the Mexican Government to conduct scheduled all-cargo operations.

ABX intends to operate between Los Angeles and Mexico seven days per week on a year-round basis (with 5 weekly operations between Los Angeles and Guadalajara or greater as demand warrants). ABX may, however, reduce its operations to Mexico to six days per week during periods of' low demand.

ABX will use Boeing 767-200SF freighter aircraft to conduct the operations set forth in Exhibit 1 . The aircraft that ABX will use for these operations is already in the ABX fleet as it is the same aircraft with which ABX currently conducts its charter operations on behalf of Aeromexpress.

ABX has been operating all-cargo charter flights between Los Angeles and Guadalajara and Mexico City under a charter agreement with Aeromexpress. S.A. de C.V., a foreign air freight forwarder since September 2006. ABX now desires to operate similar service on a scheduled basis.

Counsel: Silverberg Goldman, Robert Silverberg, 202-944-3300, rsilverberg@sgbdc.com

OST-2007-29318 - Exemption - Los Angeles-Guadalajara All-Cargo
OST-2007-29319 - Exemption - Los Angeles-Mexico City All-Cargo

Filed September 21, 2007 | Issued October 15, 2007

Notice of Action Taken

OST-2007-29318: Scheduled foreign air transportation of property and mail between Los Angeles, California, and Guadalajara, Mexico.

OST-2007-29319: Scheduled foreign air transportation of property and mail between Los Angeles, California, and Mexico City (Benito Juarez Airport), Mexico.

ABX attached a proposed flight schedule to each application showing a Los Angeles-Guadalajara/Mexico City service with stops in both Guadalajara and Mexico City and service to points beyond. ABX notes that it would not carry local traffic between Guadalajara and Mexico City and that the United States has "open-skies" aviation agreements with all of the countries to which it proposes beyond service.

By: Paul Gretch