 

UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, DC

Issued by the Department of Transportation on June 15, 2005

                  NOTICE OF ACTION TAKEN – DOCKETS      OST-2000-6816	
      OST-2000-7022

OST-2000-7390         OST-2000-8270

OST-2001-10438       OST-2001-10457

OST-2001-10691       OST-2003-15252

OST-2003-15698       OST-2003-16555

OST-2004-16975

________________________________________________________________________
______

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).

Applications of Delta Air Lines, Inc. filed 3/31/05 for: 

XX  Renewal of exemptions for two years under 49 U.S.C. §40109 to
provide the following service:

OST-2000-6816:  Scheduled foreign air transportation of persons,
property, and mail between the terminal point Chicago, Illinois, and the
terminal point Mexico City, Mexico.  Delta provides year-round service
on this route pursuant to a code-share arrangement with Aerovias de
Mexico, S.A., de C.V. (Aeromexico), whereby Delta places its code on
flights operated by Aeromexico in the market.

OST-2000-7022:  Scheduled foreign air transportation of persons,
property, and mail between the terminal point Las Vegas, Nevada, and the
terminal point Hermosillo, Mexico.  Delta provides year-round service on
this route pursuant to a code-share arrangement with Aerovias de Mexico,
S.A., de C.V. (Aeromexico), whereby Aeromexico places its code on
flights operated by Delta in the market.

OST-2000-7390:  Scheduled foreign air transportation of persons,
property, and mail between (1) the terminal point Atlanta, Georgia, and
the terminal point Leon, Mexico; and (2) the terminal point Atlanta,
Georgia, and the terminal point San Jose del Cabo, Mexico.   Delta
provides service on this route pursuant to a code-share arrangement with
Aerovias de Mexico, S.A., de C.V. (Aeromexico), whereby Aeromexico
places its code on flights operated by Delta in the markets. 

OST-2000-8270:  Scheduled foreign air transportation of persons,
property, and mail between the terminal point Ontario, California, and
the terminal point Guadalajara, Mexico.  Delta provides year-round
service on this route pursuant to a code-share arrangement with Aerovias
de Mexico, S.A., de C.V. (Aeromexico), whereby Delta places its code on
flights operated by Aeromexico in the market.

OST-2001-10438:  Scheduled foreign air transportation of persons,
property, and mail between (1) the terminal point Salt Lake City, Utah,
and the terminal point Mexico City, Mexico; and (2) the terminal point
Salt Lake City, Utah, and the terminal point Hermosillo, Mexico.  Delta
provides year-round service on these routes pursuant to a code-share
arrangement with Aerovias de Mexico, S.A., de C.V. (Aeromexico), whereby
Delta places its code on flights operated by Aeromexico in the markets.

OST-2001-10457:  Scheduled foreign air transportation of persons,
property, and mail between the terminal point Cincinnati, Ohio, and the
terminal point Cancun, Mexico.   Delta provides service on this route
pursuant to a code-share arrangement with Aerovias de Mexico, S.A., de
C.V. (Aeromexico), whereby Aeromexico places its code on flights
operated by Delta in the market. 

OST-2001-10691:  Scheduled foreign air transportation of persons,
property, and mail between (1) the terminal point New York, New York,
and the terminal point Acapulco, Mexico; and (2) the terminal point New
York, New York, and the terminal point Puerto Vallarta, Mexico.  Delta
provides year-round service on these routes pursuant to a code-share
arrangement with Aerovias de Mexico, S.A., de C.V. (Aeromexico), whereby
Delta places its code on flights operated by Aeromexico in the markets.

OST-2003-15252:  Scheduled foreign air transportation of persons,
property, and mail between the terminal point Orlando, Florida, and the
terminal point Monterrey, Mexico.  Delta provides year-round service on
this route pursuant to a code-share arrangement with Aerovias de Mexico,
S.A., de C.V. (Aeromexico), whereby Delta places its code on flights
operated by Aeromexico in the market.

OST-2003-15698:  Scheduled foreign air transportation of persons,
property, and mail between the terminal point Las Vegas, Nevada, and the
terminal point Guadalajara, Mexico.  Delta provides year-round service
on this route pursuant to a code-share arrangement with Aerovias de
Mexico, S.A., de C.V. (Aeromexico), whereby Delta places its code on
flights operated by Aeromexico in the market.

OST-2003-16555:  Scheduled foreign air transportation of persons,
property, and mail between the terminal point Boston, Massachusetts, and
the terminal point Mexico City, Mexico.  Delta provides year-round
service on this route pursuant to a code-share arrangement with Aerovias
de Mexico, S.A., de C.V. (Aeromexico), whereby Delta places its code on
flights operated by Aeromexico in the market.

OST-2004-16975:  Scheduled foreign air transportation of persons,
property, and mail between the terminal point Boston, Massachusetts, and
the terminal point Cancun, Mexico.  Delta provides year-round service on
this route pursuant to a code-share arrangement with Aerovias de Mexico,
S.A., de C.V. (Aeromexico), whereby Delta places its code on flights
operated by Aeromexico in the market.

For all of the captioned applications, Delta requests authority to
combine services operated under these exemptions with all other Delta
services authorized by existing certificates and exemptions, to the
extent permitted by applicable international agreements.   Delta also
requests that all of the authorities be renewed for a period of two
years with a common expiration date. 

Applicant rep: Alexander Van der Bellen (202) 637-8382  DOT Analyst:
Thuy H. Cooper (202) 366-5423

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: June 15, 2005, through June
15, 2007.

Action taken by:   Paul L. Gretch, Director	

		    Office of International Aviation

XX  The authority granted is consistent with the aviation agreement
between the United States and Mexico.

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)

Conditions:  The U.S.-Mexico transborder exemption authority granted to
Delta in the captioned dockets is subject to the dormancy notice
requirements set forth in condition 7 of Appendix A of Order 88-10-2. 
With the exception of the U.S.-Mexico exemption authority granted in
Dockets OST-2001-10457, OST-2000-7390, and OST-2000-7022, the
U.S.-Mexico exemption authority granted is limited to services provided
on a code-share basis only.

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 granted should be construed as conferring upon
Delta rights (including fifth-freedom intermediate and/or beyond rights)
to serve markets where U.S. carrier entry is limited unless Delta
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 Delta’s
authority by virtue of the route integration exemption granted here, but
that are not then being used by Delta, the holding of such authority by
route integration will not be considered as providing any preference for
Delta in a competitive carrier selection proceeding to determine which
carrier(s) should be entitled to use the authority at issue.

The code-share operations conducted under this authorization are subject
to the following conditions:

The code-sharing operations conducted under this authority must comply
with 14 CFR 257 and with any amendment to the Department’s regulations
concerning code-share arrangements that may be adopted.  Notwithstanding
any provisions in the contract between the carriers, our approval here
is expressly conditioned upon the requirements that the subject foreign
air transportation be sold in the name of the carrier holding out such
service in computer reservation systems and elsewhere; that the carrier
selling such transportation (i.e., the carrier shown on the ticket)
accept responsibility for the entirety of the code-share journey for all
obligations established in its contract of carriage with the passenger;
and that the passenger liability of the operating carrier be unaffected.
 The operating carrier shall not permit the code of its U.S. code-share
partner to be carried on any flight that enters, departs, or transits
the airspace of any area for whose airspace the Federal Aviation
Administration has issued a flight prohibition; and    

The authority granted here is specifically conditioned so that neither
Delta nor Aeromexico shall give any force or effect to any contractual
provisions between themselves that are contrary to these conditions.

Remarks: Delta states that, while it intends to use the
Cincinnati-Cancun authority on a year-round basis, it requests certain
flexibility to use its accompanying designation authority for service on
a year-round or seasonal basis, as dictated by market circumstances. 
U.S. carrier designations pursuant to the U.S.-Mexico aviation agreement
are not specifically labeled regarding year-round or seasonal service. 
Thus, as regards its designation, such flexibility is already available
to Delta here with no further action necessary on its part or on the
part of the U.S. Government.  As regards Delta’s underlying economic
authority, however, should Delta decide to convert its proposed
year-round services to seasonal services in the Cincinnati-Cancun
market, no additional award of authority would be necessary, but Delta
would need to timely notify the Department of such change so that the
carrier’s authority will not be deemed dormant pursuant to the
dormancy provisions consistently applied to U.S.-Mexico route authority
(see condition 7 of Appendix A of Order 88-10-2). 

________________________________________________________________________
_____________

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 application 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_aviation.asp" 
http://dms.dot.gov/reports_aviation.asp 

 

APPENDIX 

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

   Delta provides seasonal service in the Atlanta-San Jose del Cabo
market.

   Delta has requested flexibility to use its authority in the
Cincinnati-Cancun market on a year-round or seasonal basis, as dictated
by market circumstances.  We address this request in the remarks
section.

  Delta states that it is not seeking renewal of its exemption authority
for Ft. Lauderdale-Mexico City service in Docket OST-2003-15252 because
the route is dormant. 

