Air Berlin Plc & Co. Luftverkehrs Kg.

OST-2008-0006 - Foreign Air Carrier Permit - Germany-US

January 7, 2008

Application for Foreign Air Carrier Permit and Interim Exemption - Bookmarked

Air Berlin PLC & Co. Luftverkehrs KG requests that the Department of Transportation issue it a Foreign Air Carrier Permit and an interim exemption while the permit application is pending. Air Berlin, an established air carrier licensed by the Federal Republic of Germany, operates from Germany to major European cities and Mediterranean and other tourist destinations and has a dense route system within Germany, but has not previously served the United States.

Air Berlin is wholly-owned by Air Berlin PLC, a public company, which also acquired LTU Lufttransport-Unternehmen GmbH (LTU), another German air carrier, effective August 7, 2007. LTU has held a Foreign Air Carrier Permit and operated to the United States since 1977. The code of Air Berlin is now carried by LTU on its flights between Germany and the United States, pursuant to an exemption granted by the Department. Notice of Action Taken, December 6, 2007, Docket OST-2007-0035. Air Berlin hereby seeks its own permit and interim exemption, to operate flights to and from the United States in its own name. At the outset this will be done with the wet lease of aircraft from LTU, which plans to file an application for a Statement of Authorization for that wet lease.

Air Berlin asks that its requested exemption be effective March 30, 2008. This will mean that the initial authorization can provide for the full authority between the European Union and the United States available on that date. This date also coincides with the beginning of the summer season in the European Union, and is thus an operationally advantageous time to begin a new service.

For the service now proposed, Air Berlin plans to wet lease six Airbus 330 aircraft from LTU. Air Berlin itself also has on order a new Airbus 330-200, scheduled for delivery in March 2008, which it may use for service to the United States at a later date.

The initial service proposed is between Dusseldorf and New York, Miami, Fort Myers and Los Angeles. LTU has been operating these routes.

Counsel: Frederick Hird, 202-778-0878, hird@att.net

Order 2008-3-31
OST-2008-0006 - Foreign Air Carrier Permit - Germany-US

Issued and Served March 26, 2008

Order Granting Exemption and To Show Cause

By this order we (1) grant the application of the referenced foreign air carrier for an exemption under 49 U.S.C. §40109, subject to conditions;' and (2) tentatively find that it is in the public interest to grant the applicant a foreign air carrier permit attached as Appendix B to this order.

The record indicates that Air Berlin PLC & Co. Luftverkehrs KG is part of the Air Berlin Group, owned by Air Berlin PLC. The Air Berlin Group is comprised of three German carriers, Air Berlin, LTU Lufttransport Unternehmen GmbH, and dba Luflfahrtgesellschafl mbH. The record indicates that approximately 67% of the shareholder ownership of Air Berlin PLC consists of EU citizens, and approximately 61% of the shareholder ownership consists of German citizens. The record also shows that the shareholders holding a 5% or greater interest are all EU citizens.

By: Paul Gretch

Order 2008-6-24
OST-2008-0006 - Foreign Air Carrier Permit - Germany-US

Issued April 18, 2008 | Served June 18, 2008

Final Order

By Order 2008-3-31, issued March 26, 2008, we directed all interested persons to show cause why we should not make final our tentative findings and conclusions stated therein and award an amended foreign air carrier permit in the form attached to the Order and subject to the conditions attached thereto. We gave interested persons 21 days to file objections to the Order. We said that if no objections were filed, all further procedural steps would be deemed waived, and the Department would enter an order (subject to Presidential review under 49 U.S.C. §41307) which would make final the findings and conclusions of the Order.

No objections were received within the time period provided.

By: Paul Gretch