	                    UNITED STATES OF AMERICA

            DEPARTMENT OF TRANSPORTATION

                    OFFICE OF THE SECRETARY

                             WASHINGTON, DC

Issued by the Department of Transportation on February 24, 2005

NOTICE OF ACTION TAKEN -- DOCKET OST-1996-2025

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This serves as notice to the public of the action described below, taken
by the Department official indicated (no additional confirming order
will be issued in this matter).

Application of EVERGREEN INTERNATIONAL AIRLINES, INC. filed 12/29/04

XX  Renewal of waiver of 90-day dormancy condition:

Evergreen seeks to renew through March 31, 2006, its waiver of the
90-day dormancy condition applicable to its allocation of three weekly
all-cargo frequencies for services between Anchorage, Alaska, on the one
hand, and Khabarovsk, Petropavlovsk, Vladivostok, and Yuzhno-Sakhalinsk,
Russia, on the other. 

Evergreen notes that it began serving the U.S.-Russia market in 1995,
but that the ability of the carrier to continue those operations was
made extraordinarily difficult as a result of the events of September
11, 2001, and the subsequent downturn in economic activity that was
experienced in the air cargo market.  Evergreen states that it intends
to resume direct service to Russia once economic conditions prevail that
have the potential to sustain profitable levels of service, but that
those conditions have not yet been reached in the U.S.-Russia market. 
Evergreen further states that only 8 of the available 23 all-cargo
frequencies have been allocated by the Department for U.S.-Russia
all-cargo services and, thus, grant of the relief requested herein would
not preclude another U.S. carrier from commencing new all-cargo services
to Russia.

Under the terms of its current latest waiver, Evergreen’s frequency
allocation would automatically expire if Evergreen does not resume
service by March 31, 2005.  Evergreen states that it recognizes that
dormancy waivers should not be taken for granted and must be fairly and
reasonably enforced, but that current market conditions and
circumstances continue to support the grant of the relief requested
herein, particularly in light of the fact that only approximately
one-third of the available U.S.-Russia all-cargo frequencies are
currently allocated.

 

Applicant rep:  Robert P. Silverberg (202) 944-3300   DOT Analyst:  Thuy
H. Cooper (202) 366-5423

D I S P O S I T I O N

XX  Granted (See remarks below.) 

The above action was effective when taken:  February 24, 2005 through
March 31, 2006

Action taken by:  Paul L. Gretch, Director	

		    Office of International Aviation	

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Remarks:  We find that grant of Evergreen’s request, in the particular
circumstances presented, is in the public interest.  However, we are
putting Evergreen on notice that, should other U.S. carriers file
applications to use the frequencies at issue here, we have the right to
reconsider our decision here to determine whether or not that decision
continues to be in the public interest.  In addition, there should be no
expectation that an additional waiver request will necessarily be
granted.  Any future request to extend the dormancy waiver for the
frequencies at issue here will have to be considered in light of any
specific arguments offered and responses thereto, and in the context of
the circumstances present at that time, including whether another
carrier seeks to use the frequencies at issue.

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Under authority assigned by the Department in its regulations, 14 CFR
Part 385, we found that (1) our action was consistent with Department
policy; (2) grant of the waiver was consistent with the public interest;
and (3) grant of the authority would not constitute a major regulatory
action under the Energy Policy and Conservation Act of 1975.  To the
extent not granted, we denied all requests in the referenced Docket.  We
may amend, modify, or revoke the authority granted in this Notice at any
time without hearing at our discretion. 

Persons entitled to petition the Department for review of the action set
forth in this Notice under the Department’s regulations, 14 CFR §
385.30, may file their petitions within seven (7) days after the date of
issuance of this Notice.  This action was effective when taken, and the
filing of a petition for review will not alter such effectiveness.

An electronic version of this order is available on the World Wide Web
at 

  HYPERLINK "http://dms.dot.gov//reports/reports_ aviation.asp" 
http://dms.dot.gov//reports/reports_ aviation.asp 

 Evergreen’s waiver from the dormancy condition is effective through
March 31, 2006, or until the date on which Evergreen begins service with
each of these frequencies, whichever occurs earlier.  As to any
frequency with which Evergreen does not begin service by March 31, 2006,
its frequency allocation with respect to that frequency expires
automatically and reverts to the Department for reallocation.

