 

UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, D.C.

Issued by the Department of Transportation on September 30, 2002

                     NOTICE OF ACTION TAKEN -- DOCKET OST-2002-11706

_____________________________________________________________

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   Delta Air Lines, Inc.    filed   9/5/2002  for:

				 

XX  Waiver of dormancy condition:

The Department has granted authority to Delta to provide service between
New York and Tokyo and allocated it seven weekly frequencies to operate
this service.  The frequencies are subject to the condition that they
will expire automatically and revert to the Department for reallocation
if they are not used for a period of 90 days.  The Department has
previously granted Delta a waiver of the dormancy condition for this
market and other Japanese markets.   Delta seeks a further waiver of the
90-day dormancy condition for the period through March 31, 2003, so that
this waiver will be coextensive with its other Japan dormancy waivers. 
It states that economic conditions do not warrant service at this time. 

American Airlines filed an answer and Delta filed a reply. 

American Airlines opposes the grant of a dormancy waiver for Delta’s
New York-Tokyo frequencies.  American states that these frequencies are
particularly valuable under the 1998 U.S.-Japan Memorandum of
Understanding since they are part of a limited pool of frequencies that
may be used to serve Tokyo from any U.S. gateway, including the
restricted gateways of New York, Los Angeles and Honolulu.  Further,
American states that Delta has set forth no plans to use these
frequencies.  Under these circumstances, American states these
frequencies should be returned to the unallocated pool, where they will
be available for reallocation to other carriers without Delta claiming
that they should not be reassigned.

Delta replied that American has stated no service plans for the
frequencies and has not offered any reasons why the Department should
reverse its longstanding policy concerning the grant of Japan dormancy
waivers.  Delta states that there is no need to recall Delta's
frequencies at this time since there is ample authority to fund all
current and foreseeable U.S. carrier Japan service plans.  Furthermore,
Delta states that retaining these frequencies will facilitate Delta's
ability to serve the New York-Tokyo market when economic circumstances
permit.  Finally, Delta states that while American has decided to
discard its own Japan frequencies, there is no present need or
justification to revoke Delta's authority.

Applicant rep.:  Robert E. Cohn,  (202) 663-8060   DOT analyst:   Gerald
Caolo,  (202)-366-2406   

DISPOSITION

XX  Denied (See Remarks below)

The above action was effective when taken:    September 30, 2002   

XX  Action taken by:	Paul L. Gretch, Director		

			Office of International Aviation

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_____________

Remarks:  In March, when we last issued Delta a waiver for these
frequencies through October 1, 2002, we placed the carrier on notice
that “there should be no expectation that an additional request will
similarly be granted.” (Notice of Action Taken, Docket OST-2002-11706,
March 27, 2002)  In the circumstances presented now, and taking into
consideration the record before us, we find that the public interest
would be best served by reassigning these seven frequencies to the
unallocated pool of frequencies so that whenever Delta or another
carrier has firm plans to use them, it may apply for the frequencies
accordingly.

________________________________________________________________________
___________

Under authority assigned by the Department in its regulations, 14 CFR
Part 385, we found that

our action was consistent with Department policy; and (2) denial of the
waiver was consistent with the public interest.  

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:

http://dms.dot.gov//reports/reports_aviation.asp.

 See Notice of Action Taken dated March 27, 2002, Docket OST-2002-11706,
extending the waiver through October 1, 2002.

  The Department has granted dormancy waivers to Delta in the Los
Angeles-Nagoya and Portland-Osaka/Fukuoka markets for the period through
March 31, 2003.  We had also granted a dormancy waiver in the Los
Angeles-Tokyo market but Delta subsequently relinquished its frequencies
for this market and no longer has a waiver for them.  See the Notice of
Action Taken dated March 27, 2002, and Delta's notice dated June 21,
2002, Docket OST-2002-11706.

 Delta's reply was accompanied by a motion for leave to file an
otherwise unauthorized document.  We will grant the motion.

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