			  UNITED STATES OF AMERICA

		        DEPARTMENT OF TRANSPORTATION

			  OFFICE OF THE SECRETARY

			          WASHINGTON, D.C.

Issued by the Department of Transportation on May 12, 2004 

NOTICE OF ACTION TAKEN -- DOCKET OST-2002-12211

________________________________________________________________________
___________________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  MN AIRLINES, LLC d/b/a SUN COUNTRY AIRLINES  filed 
3/4/04, to:

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

Scheduled foreign air transportation of persons, property, and mail
between Minneapolis/St. Paul, Minnesota, on the one hand, and Cancun,
Cozumel, Puerto Vallarta, Mazatlan, and Manzanillo, Mexico, on the other
hand; and between Dallas/Ft. Worth, Texas, and Cancun, Mexico, and to
integrate this authority with other exemption and certificate
authorities held by Sun Country.  Sun Country states that it is
providing seasonal service in all of the subject markets, and it
proposes to continue providing such seasonal service. 

XX  Reactivate for two years dormant exemption authority under 49 U.S.C.
40109 to provide the following service:

Scheduled foreign air transportation of persons, property, and mail
between Minneapolis/St. Paul, Minnesota, and Ixtapa/Zihuatanejo, Mexico.
 Sun Country states that it will provide seasonal service in this
market.

Applicant rep:  John S. Fredericksen (651) 681-3948 DOT Analyst: Sylvia
Moore (202) 366-6519

D I S P O S I T I O N

XX  Granted (subject to conditions, see below)

The authority granted was effective when taken:  May 12, 2004, through 
May 12, 2006

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)

2

Conditions:  The U.S.-Mexico exemption authority granted is subject to
the dormancy notice requirements set forth in condition 7 of Appendix A
of Order 88-10-2.  

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

________________________________________________________________________
________________________________________

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:

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.

											

 The carrier does not seek to renew exemption authority to serve the
Dallas/Ft. Worth-Cozumel/Puerto Vallarta markets, granted in the
original request.  (See Notice of Action Taken May 30, 2002, in this
docket.)

 With respect to the reactivated authority to serve the Minneapolis/St.
Paul-Ixtapa/Zihuatanejo market, consistent with our policy, the dormancy
period will begin January 1, 2005, Sun Country’s proposed startup date
for this service.

05/2004

