OST-00-7172 / Shuttle America / High Density Rule - New York LaGuardia / April 3, 2000

Application of

SHUTTLE AMERICA CORPORATION / DOCKET OST 00-7172

for an Exemption from the requirements of subparts ) K and S of 14 C.F.R. Part 93 pursuant to 49 U.S.C. ) §41716 (New York airports)

Shuttle America Corporation ("Shuttle America") respectfully applies to the Department of Transportation ("Department") for an Exemption from the requirements of subparts K and S of 14 C.F.R. Part 93 pursuant to 49 U.S.C. §41716 (as amended) /1 to enable it to provide the first ever nonstop air transportation using 50 seat Bombardier Dash 8-300 turboprop aircraft between Hanscom Field in Bedford, Massachusetts and New York LaGuardia Airport. Shuttle America applies for 12 slot exemptions at LaGuardia to provide service to this nonhub airport.

In Support of its Application Shuttle America states as follows:

1. The Ford Act, (49 U.S.C. §41716. as amended), requires the Secretary of Transportation ("Secretary") to grant exemptions to any carrier to provide nonstop air

1/ All references to 49 U.S.C. §41716 el seq. are to those sections as amended by The Wendell H. Ford Aviation Investment and Reform Act for the 21^st Century (the "Ford Act").

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transportation, using aircraft with a certificated maximum seating capacity of less than 71 between LaGuardia Airport and a nonhub airport if the air carrier was not providing such air transportation during the week of November 1, 1999.

2. Hanscom Field is a nonhub airport. It was without commercial service until September 1999, when Shuttle America launched four daily nonstop flights to Trenton, New Jersey. The market area includes the booming high-tech corridor along Route 128 and a growing residential population in excess of one million people. Since then, the market has grown to ten daily departures with nonstops to Trenton, Buffalo and direct service to Greensboro, North Carolina. Service to New York's LaGuardia Airport is the number one requested market from existing Shuttle America customers, whose access to Boston's Logan airport has been made difficult, expensive and time-consuming by growing traffic congestion, constricted parking and legendary "Big Dig" delays in conjunction with highway/airport construction.

3. Shuttle America requests 12 slot exemptions for the following scheduled flights between Hanscom Field and LaGuardia Airport:

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4. Shuttle America projects that the slot exemptions would provide service for 150 passengers per day each way which would amount to approximately 45,000 passengers annually, given weekend service reductions. For Hanscom Field, these flights are the first nonstops to LaGuardia and provide convenient access to the New York market, a valuable service to the traveling public.

5. Shuttle America's request for an exemption meets the Ford Act requirements. Shuttle America seeks exemptions for new service between LaGuardia and Hanscom Field, a nonhub airport, using Bombardier Dash 8-300 turboprop aircraft with a seating capacity of 50. Thus, under the Ford Act, Shuttle America's exemption request under section 41716 shall be automatically granted within 60 days unless the Secretary acts by either requesting further information or denying the request. /2

2/ Shuttle America recognizes that the Ford Act has not yet been signed into law, but is confident of its enactment and requests that the Department accept this Application under its provisions as if it were enacted.

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For all these reasons, Shuttle America Corporation respectfully requests the Department to grant its Application for an Exemption from the requirements of subparts K and S of 14 C.F.R. Part 93.

Respectfully submitted,

Stephen H. Lachter

LAW OFFICES OF STEPHEN H. LACHTER

1150 Connecticut Avenue, N.W.

Suite 900

Washington, D.C. 20036

(202) 862-4321

COUNSEL FOR SHUTTLE AMERICA CORPORATION

April 3, 2000