			  UNITED STATES OF AMERICA

		        DEPARTMENT OF TRANSPORTATION

			  OFFICE OF THE SECRETARY

			          WASHINGTON, D.C.

Issued by the Department of Transportation on January 27, 2005

NOTICE OF ACTION TAKEN -- DOCKETS OST-2002-12503

                     							       

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 ATLAS AIR, INC. (ATLAS), filed 1/26/05 for:

				 

XX  Waiver of startup deadline in Order 2004-3-16 for U.S.-Ecuador
all-cargo services

Background:

 

By Order 2004-3-16, the Department, among other things, granted to Atlas
six available frequencies to conduct scheduled U.S.-Ecuador all-cargo
air transportation services.  These awards were subject to the condition
that the carriers commence service with the frequencies no later than
June 14, 2004.  By Notices of Action Taken dated June 14, 2004,
September 15, 2004, November 30, 2004, and January 14, 2005, in the
above-captioned docket, the Department granted the requests of Atlas to
extend the startup deadline for the subject U.S.-Ecuador all-cargo
frequencies.  The most recent extension was granted through January 31,
2005. 

Application for Waiver of the Startup Condition:

On January 26, 2005, Atlas filed an application in the captioned docket
for a waiver of the startup condition imposed by Order 2004-3-16, and
asked that the startup period be extended for an additional period
through March 31, 2005.  Atlas states that, earlier in the month when it
filed its last waiver request, it believed the Ecuadorian licensing
process would be completed within two weeks.  Atlas explains that its
legal counsel in Quito recently has advised that completion of the
process now requires Ecuadorian Consejo Nacional de Aviacion Civil
(CNAC) and Direccion General de Aviacion Civil review and approval of
Atlas’ bank warranty, and issuance of a CNAC resolution of final
approval.  Atlas states that these steps should be completed within 30
days, but it is seeking an additional month extension to account for
further unexpected delays.  

Atlas maintains that this situation is unlike the normal startup waiver
situation where a carrier seeks to postpone commencement of new flights
in a new market.  Atlas states that it is already operating a regular
pattern of Ecuador charter flights and plans to upgrade those to
scheduled flights as soon as Ecuador grants the final license for such
service.

  

Applicant rep.: Russell E. Pommer (202)822-9121  DOT Analyst:  Linda L.
Lundell (202)366-2336 

												2

Disposition:

We grant the application filed by Atlas Air for a waiver of the startup
deadline imposed by Order 2004-3-16 in the 2002 U.S.-Ecuador All-Cargo
Service Case, and extend, through March 31, 2005, the startup deadline
for the frequencies allocated to Atlas Air.  In taking this action, we
find that grant of the requested waiver is in the public interest in the
circumstances presented; namely, that the carrier has indicated on the
record that it continues to work diligently to complete the Ecuadorian
licensing process, and that no party opposed the waiver request here.  

We acted on this application without awaiting expiration of the answer
period with the consent of all parties served with the application.

The above action was effective when taken: January 27, 2005.   

XX  Action taken by:	Paul L. Gretch, Director		

			Office of International Aviation

________________________________________________________________________
______

Under authority assigned by the Department in its regulations, 14 CFR
Part 385, we found that (1) our action was consistent with Department
policy, and (2) grant of the request was consistent with the public
interest.  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

  Extension of the startup deadline is effective through March 31, 2005,
or until the date on which Atlas begins service with its allocated
U.S.-Ecuador frequencies, whichever occurs earlier.  As to any frequency
with which Atlas does not begin service by March 31, 2005, the
allocation with respect to that frequency will expire automatically and
revert to the Department for reallocation. 

