 

UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, DC

Issued by the Department of Transportation on July 29, 2003

NOTICE OF ACTION TAKEN –

DOCKETS OST-2003-15473, OST-2003-15583, OST-2003-15503,

OST-2003-15509, OST-2003-15484, OST-2003-15448, and OST-2003-15447

________________________________________________________________________
_____________________________________________

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).

The following U.S. air carriers applied for exemptions for two years
pursuant to 49 U.S.C. § 40109:

1.	Application of  	Air Transport International, LLC.     Docket
OST-2003-15503     filed     6/24/03   

to provide the following service:

Scheduled foreign air transportation of property and mail between a
point or points in the United States, via Amsterdam, the Netherlands, or
other intermediate points, and a point or points in Iraq.  

2.	Application of  	Gemini Air Cargo, Inc.	         Docket
OST-2003-15509	filed	 6/25/03   

to provide the following service: 

Scheduled foreign air transportation of property and mail between a
point or points in the United States, via intermediate points, and a
point or points in Iraq and Afghanistan, and beyond.  Gemini also
requests the authority to integrate its exemption here with all of its
existing certificate and exemption authority consistent with the
applicable bilateral aviation agreements.   

3.	Application of  	Evergreen International Airlines, Inc.     Docket
OST-2003-15484	filed	 6/23/03   

to provide the following service: 

Scheduled foreign air transportation of property and mail between any
point or points in the United States, via intermediate points, and any
point or points in Iraq, and beyond.  Evergreen also requests the
authority to integrate its exemption here with all of its existing
certificate and exemption authority consistent with the applicable
bilateral aviation agreements.   

4.	Application of  Atlas Air, Inc.   Docket OST-2003-15448  filed 
6/18/03  to provide the following service: 

Scheduled foreign air transportation of property and mail between any
point or points in the United States, via intermediate points, and any
point or points in Iraq and Afghanistan, and beyond.  Atlas Air also
requests the authority to integrate its exemption here with all of its
existing certificate and exemption authority consistent with the
applicable bilateral aviation agreements. 

5.	Application of  Polar Air Cargo, Inc.   	Docket OST-2003-15447  
filed  	6/18/03 		 to provide the following service: 

Scheduled foreign air transportation of property and mail between any
point or points in the United States, via intermediate points, and any
point or points in Iraq and Afghanistan, and beyond.  Polar also
requests the authority to integrate its exemption here with all of its
existing certificate and exemption authority consistent with the
applicable bilateral aviation agreements.     

6.	Application of  North American Airlines, Inc.   	Docket
OST-2003-15583	 filed  	7/7/03 		 to provide the following service: 

Scheduled foreign air transportation of persons, property and mail
between a point or points in the United States and a point or points in
Iraq.  

The State of Maryland filed an answer in support of North American’s
application.  

7.	Application of  Continental Airlines, Inc.   	Docket OST-2003-15473  
filed  	6/19/03 		 to provide the following service: 

Scheduled foreign air transportation of persons, property and mail
between any point or points in the United States, directly or via any
intermediate point or points, and any point or points in Iraq, and
beyond.  Continental also requests the authority to integrate its
exemption here with all of its existing certificate and exemption
authority consistent with the applicable bilateral aviation agreements. 
   

Applicant reps:  	Thomas E. Fosko for Air Transport International (501)
615-3500;

		John E. Gillick for Gemini Air Cargo (202)775-9870;

		William C. Evans for Evergreen International (202) 371-6030;

		Russell E. Pommer for Atlas Air and Polar (202) 354-3843;

		David M. Kirstein for North American (202) 861-1756; and 

		R. Bruce Keiner for Continental (202) 624-2615.

DOT Analyst:      Michael D. Bodman  (202) 366-9667

D I S P O S I T I O N

XX  Granted (subject to conditions, see below).

XX  Balance deferred (i.e., requests to serve Afghanistan).

The above action was effective when taken:  July 29, 2003, through July
29, 2005 

Action taken by:   Paul L. Gretch, Director	

		    Office of International Aviation

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)

________________________________________________________________________
_____________

Conditions:  We remind all of the carriers seeking to exercise Iraq
authority (whether underlying route authority or code-share authority)
that the authority granted here cannot alone result in new service to
Iraq.  (See order 2003-6-20.)  This authority is subject to compliance
with all applicable Office of the Coalition Provisional Authority,
Department of Transportation, Federal Aviation Administration,
Transportation Security Administration, Department of Defense, and other
U.S. Government requirements.   Further, to assure compliance with all
applicable U.S. Government requirements concerning security, before
commencing any new service (including charter flights) to or from a
foreign airport, carriers are reminded to contact their Principal
Security Inspector (PSI) to advise the PSI of their plans and to find
out whether the Transportation Security Administration has determined
that security is adequate to allow such airport(s) to be served. 

The exemption authorities granted to serve intermediate and beyond
points are 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,
and is subject to all conditions attached to that authority. 

The route integration authorities granted are subject to the condition
that any service provided under these exemptions 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 authorities should be construed as conferring upon the
holder rights (including fifth-freedom intermediate and/or beyond
rights) to serve markets where U.S. carrier entry is limited unless the
holder 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 the
holder’s authority by virtue of the route integration exemptions
granted here, but that are not then being used by the holder, the
holding of such authority by route integration will not be considered as
providing any preference for the holder in a competitive carrier
selection proceeding to determine which carrier(s) should be entitled to
use the authority at issue.

Deferrral:  Consistent with Order 2003-6-20, we deferred on applications
to the extent that they sought authority to serve Afghanistan.  We will
process Afghanistan requests separately.   

___________________________________

On the basis of data officially noticeable under Rule 24(g) of the
Department's regulations, we found the applicants 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 authorities was consistent with the
public interest; and (3) grant of the authorities would not constitute a
major regulatory action under the Energy Policy and Conservation Act of
1975.  To the extent not granted or deferred, we denied all requests in
the referenced Dockets.  We may amend, modify, or revoke the authorities
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

APPENDIX

U.S. CARRIER

Standard Exemption Conditions

In the conduct of operations authorized by the attached notice, the
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 the applicable requirements of the Federal Aviation
Administration Regulations and with all applicable U.S. Government
requirements concerning security; 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.

To assure compliance with all applicable U.S. Government requirements
concerning security, the holder should, before commencing any new
service (including charter flights) to or from a foreign airport,
contact its Principal Security Inspector (PSI) to advise the PSI 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.

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