 

UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, DC

Issued by the Department of Transportation on June 27, 2005

   NOTICE OF ACTION TAKEN -- DOCKET OST-2003-15399

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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).

Application of US AIRWAYS, INC. (US Airways) filed 5/5/05 for:

XX Renewal of exemption under 49 U.S.C. 40109 to provide the following
service:

Scheduled foreign air transportation of persons, property, and mail
between a point or points in the United States, via intermediate points,
and a point or points in Korea and beyond, and to integrate this
authority with its existing exemption and certificate authority.  US
Airways is operating this service pursuant to its code-share arrangement
with United Air Lines.

Applicant rep: Howard Kass (703) 872-5230   DOT Analyst:  Thuy H. Cooper
(202)366-5423

D I S P O S I T I O N

XX  Granted (subject to conditions, see below)

The above action was effective when taken: June 27, 2005, through June
27, 2007.

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 the Republic of Korea.                    
                          

  

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)

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Conditions:  (1) The code-share operations conducted under this
authority must comply with 14 CFR 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
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 such service in computer reservation
systems and elsewhere; that the carrier selling such transportation
(i.e., 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, and (2) the authority
granted here is specifically conditioned so that neither US Airways nor
United Air Lines shall give any force and effect to any contractual
provisions between themselves that are contrary to these conditions.

The route integration authority granted is subject to the condition that
such operations are consistent with the applicable bilateral aviation
agreements.  Furthermore, (a) nothing in the award of the route
integration authority requested should be construed as conferring upon
US Airways rights (including fifth-freedom intermediate and/or beyond
rights) to serve markets where U.S. carrier entry is limited unless US
Airways first 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; and (b) should there be a request by
any carrier to use the limited-entry route rights that are included in
US Airways’ authority by virtue of the route integration authority
granted here, but that are not then being used by US Airways, the
holding of such authority by route integration will not be considered as
providing any preference for US Airways in a competitive carrier
selection proceeding to determine which carrier(s) should be entitled to
use the authority at issue.

The authority granted to serve intermediate and beyond points is limited
to countries with which the United States has signed open-skies
agreements and/or countries for which the carrier holds authority to
serve under certificates or exemptions issued by the Department, and for
which it holds route integration authority by virtue of either the
present action or other action of the Department.

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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
exemption authority 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:

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

05/2004

 US Airways states that it is currently offering code-share services to
Seoul, Korea.

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