    5701 SILVERADO WAY, UNIT L

      ANCHORAGE, ALASKA 99518

   907-562-2227  FAX 907-563-8177

                HYPERLINK mailto:ats@atsak.com  ats@atsak.com   
www.atsak.com

Before the

Department of Transportation

Washington, D.C.  20590

RATE EQUALIZATION NOTICE

In the Matter of:

INTRA ALASKA CLASS:						Docket OST-03-14694

SERVICE MAIL RATES:						Docket OST-03-14695

EQUALIZATION NOTICE OF

ARCTIC TRANSPORTATION SERVICES, INC.

Arctic Transportation Services, Inc. (7S), an Alaskan incorporated air
carrier currently authorized to transport United States Mail, hereby
gives notice of its intent to equalize its mail rates to the lowest
authorized rates legally in effect between Bethel, Alaska and Chefornak,
Eek, Goodnews Bay, Hooper Bay, Kongiganak, Kipnuk, Kwigillingok,

Mekoryuk, Nightmute, Toksook Bay, Platinum, Quinhagak,  Scammon Bay,
Tununak, Chevak, Tuntatuliak, Newtok, between Nome Alaska and Gambell,
Savoonga, between Kotzebue Alaska and Point Hope, Noatak with the lower
levels paid to other carriers or combinations of other carriers in these
markets effective February 18, 2004.

1.	Order 90-10-34 provides that an air carrier may elect to establish a
reduced charge equal to the charge prescribed for mail transportation
actually being performed between the same origin and destination points
by any other certificated air carrier or combination of carriers,
regardless of routing.

2.	Subject to the conditions below, Arctic Transportation Services, Inc.
gives this notice of its election to equalize its rates for small
aircraft in the Bethel to Chefornak, Eek, Goodnews Bay, Hooper Bay,
Kongiganak, Kipnuk, Kwigillingok, Mekoryuk, Nightmute, Toksook Bay,
Platinum, Quinhagak, Scammon Bay, Tununak, Chevak, Tuntatuliak, Newtok
markets and in the Nome to Savoonga, Gambell markets, and in the
Kotzebue to Point Hope, Noatak markets to match, on a total rate per
pound basis, the lower rate or combination of rates now in effect or
hereafter determined and paid to ERA Aviation and Frontier Flying
Service for each category of mail ERA Aviation and Frontier Flying
Service transports in these markets to any lower rate or combination of
rates paid in the future to any other carrier in these markets.

3.	Arctic Transportation Service’s offer of equalization results from
the implementation of the Rural Service Improvement Act of 2002, and the
assertion by the Postal Service that air carriers operating under FAR
135 would not be tendered mail in markets served by carriers operating
under FAR 121 unless the 135 passenger carrier equalized to the new part
121 bush passenger mail rate.

4.	Equalization under this notice is effective immediately and is
effective for an indefinite period.  This notice will remain in effect
until terminated by written notice filed at least ten days in advance.  


WHEREFORE, Arctic Transportation Services, Inc. gives this notice of
equalization of its mail rates and requests equitable tender of mail in
these markets pursuant to the practices and procedures of the Department
of Transportation and the United States Postal Service.

Respectfully submitted,

Wilfred P. Ryan

President

February 18, 2004

Service List

Postmaster General

C/o Assistant General Council-Transportation

United States Postal Service

475 Le Enfant Plaza S.W.

Washington, D.C.  20260-7130

Mr. Steve Deaton

Western District Network

4141 Postmark Drive

Anchorage, AK  99502-9781

Documentary Services Division (C-55)

DOT/OST Room PL 401

400 7th Street, S.W.

Washington, D.C.  20590-0001

Attn: Paul Landis

ERA Aviation

6160 Carl Brady Drive

Anchorage, AK  99502-1801

Frontier Flying Service

5245 Airport Industrial Rd.

Fairbanks, AK 99704

