 

UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, DC

Issued by the Department of Transportation on August 18, 2004

   NOTICE OF ACTION TAKEN -- DOCKET OST-98-3652

________________________________________________________________________
_________________________________

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    Polar Air Cargo, Inc.      filed   6/9/2004  to:

XX Renew for two years and amend exemption under 49 U.S.C. 40109 to
provide the following service: 

Scheduled foreign air transportation of property and mail between points
in the United States, and Jeddah, Saudi Arabia, via Prestwick, Scotland,
and Amsterdam, the Netherlands, and beyond Saudi Arabia to Johannesburg,
South Africa; Harare, Zimbabwe; and Nairobi, Kenya, and to integrate its
Saudi Arabia authority with its existing exemption and certificate
authority.  

Applicant rep:   Kevin P. Montgomery    202-828-1002    DOT Analyst: 
Gerald Caolo    202-366-2406

D I S P O S I T I O N

XX  Granted (subject to conditions, see below)

The above action was effective when taken:  August 18, 2004, through  
August 18, 2006

Action taken by:   Paul L. Gretch, Director	

		    Office of International Aviation

	

XX  The authority granted is consistent with the aviation agreements
between the United States and Saudi Arabia, between the United States
and the United Kingdom, between the United States and the Netherlands,
between the United States and South Africa, and with the overall state
of aviation relations between the United States and Zimbabwe and between
the United States and Kenya.

  

Except to the extent exempted or waived, this authority is subject to
the terms, conditions, and limitations indicated:  XX  Holder’s
certificates of public convenience and necessity

	   XX  Standard exemption conditions (attached)

________________________

Remarks: The authority for which Polar Air Cargo requested renewal
expired August 15, 2004, but had been kept in force pursuant to the
provisions of the Administrative Procedure Act, 5 U.S.C. 558(c), as
implemented by 14 CFR Part 377, pending action on its timely-filed
renewal application.  

Conditions:  The route integration authority granted is subject to the
condition that any service provided

under this exemption shall be consistent with all applicable agreements
between the United States and the foreign countries involved. 
Furthermore, (a) nothing in the award of the route integration authority
requested should be construed as conferring upon Polar rights (including
fifth-freedom intermediate and/or beyond rights) to serve markets where
U.S. carrier entry is limited unless Polar notifies the Department of
its intent to serve such a market and unless and until the Department
has completed any necessary carrier selection procedures to determine
which carrier(s) should be authorized to exercise such rights; and 

(b) should there be a request by any carrier to use the limited-entry
route rights that are included in Polar’s authority by virtue of the
route integration exemption granted here, but that are not then being
used by Polar, the holding of such authority by route integration will
not be considered as providing any preference for Polar in a competitive
carrier selection proceeding to determine which carrier(s) should be
entitled to use the authority at issue.

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____________

On the basis of data officially noticeable under Rule 24(g) of the
Department's regulations, we found the applicant qualified to provide
the services authorized.

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
exemption authority 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 document 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 

U.S. Carrier Exemption Conditions

In the conduct of the operations authorized, the U.S. carrier
applicant(s) shall:

(1)  Hold at all times effective operating authority from the government
of each country served;

(2)  Comply with applicable requirements concerning oversales contained
in 14 CFR 250 (for scheduled operations, if authorized);

(3)  Comply with the requirements for reporting data contained in 14 CFR
241;

(4)  Comply with requirements for minimum insurance coverage, and for
certifying that coverage to the Department, contained in 14 CFR 205;

(5)  Except as specifically exempted or otherwise provided for in a
Department Order, comply with the requirements of 14 CFR 203, concerning
waiver of Warsaw Convention liability limits and defenses;

(6)  Comply with all applicable requirements of the Federal Aviation
Administration and with all applicable U.S. Government requirements
concerning security, including, but not limited to, 49 CFR Part 1544. 
To assure compliance with all applicable U.S. Government requirements
concerning security, the holder shall, before commencing any new service
(including charter flights) to or from a foreign airport, contact its
International Principal Security Inspector (IPSI) to advise the IPSI of
its plans and to find out whether the Transportation Security
Administration has determined that security is adequate to allow such
airport(s) to be served; and

(7)  Comply with such other reasonable terms, conditions, and
limitations required by the public interest as may be prescribed by the
Department of Transportation, with all applicable orders and regulations
of other U.S. agencies and courts, and with all applicable laws of the
United States.

The authority granted shall be effective only during the period when the
holder is in compliance with the conditions imposed above.

05/2004

 Polar is amending its authority by substituting the new intermediate
points of Prestwick and Amsterdam for the existing intermediates of
Shannon and Ostend.

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