 

			  UNITED STATES OF AMERICA

		        DEPARTMENT OF TRANSPORTATION

			  OFFICE OF THE SECRETARY

			          WASHINGTON, D.C.

Issued by the Department of Transportation on March 4, 2003

NOTICE OF ACTION TAKEN -- DOCKET OST-2003-14393

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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).

Applicant:  AEROVIAS CARIBE, S.A. de C.V.                               
                          Date Filed:  January 28, 2003

Relief requested:  Exemption from 49 USC section 41301 to permit
Aerovias Caribe to conduct scheduled, combination services between:  1)
Mexico City, Mexico, and Austin, Texas; 2) the Mexican coterminal points
Cancun/Puerto Vallarta, and the U.S. coterminal points San
Antonio/Austin, Texas; and a Statement of Authorization under 14 CFR
Part 212 to permit Aerovias Caribe to carry Mexicana’s designator code
on these flights.

Applicants’ representative:  Robert D. Papkin, 202-626-6600     DOT
analyst:  Allen F. Brown, 202-366-2405

If renewal, date and citation of last action:  New authority.

Responsive pleadings:  None.

	DISPOSITION

Action:  Approved. 			   			                    Action date:  March 4,
2003

Effective dates of authority granted:  March 4, 2003, through March 4,
2004.

Basis for approval:  United States-Mexico Air Transport Services
Agreement.

Except to the extent exempted/waived, the exemption authority is subject
to the terms, conditions, and limitations indicated:  standard exemption
conditions.

Special conditions/Remarks:  We found that Aerovias Caribe, S.A. de
C.V., is operationally and financially qualified to conduct its proposed
operations and that it is substantially owned and effectively controlled
by citizens of Mexico.  Also, the FAA advised us that it knows of no
reason to withhold this operating authority.

The codeshare operations are subject to the following conditions – a)
The subject foreign air carriers (Aerovias Caribe and Mexicana) must
promptly notify the Department (Office of International Aviation) if the
code-share agreements under which these code-share services are operated
are no longer in effect, or if the carriers decide to cease operating
all or any portion of the approved code-share services.  (We expect this
notification to be received within ten days of such non-effectiveness or
of such decision.  This notice should be filed in Docket
OST-2003-14393.)  b) The code-sharing operations conducted under this
authority must comply with 14 CFR Part 257 and with any amendments to
the Department’s regulations concerning code-share arrangements that
may be adopted.  Notwithstanding any provisions in the contract between
the subject air 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 the service in computer
reservation systems and elsewhere; that the carrier selling such
transportation (that is, 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.
 c) The authority granted here is specifically conditioned so that the
subject foreign air carriers shall not give any force or effect to any
contractual provisions between themselves that are contrary to these
conditions.

Action taken by:   Paul L. Gretch, Director, Office of International
Aviation	

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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) the applicant was qualified to perform its proposed
operations; (3) grant of the authority was consistent with the public
interest; and (4) 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/deferred/dismissed, 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

