 

			  UNITED STATES OF AMERICA

		        DEPARTMENT OF TRANSPORTATION

			  OFFICE OF THE SECRETARY

			          WASHINGTON, D.C.

Issued by the Department of Transportation on September 5, 2003

NOTICE OF ACTION TAKEN -- DOCKET OST 2003-16077

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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:  VOLGA-DNEPR J.S. CARGO AIRLINE                

Date Filed:  September 2, 2003, as supplemented September 4, 2003 

Relief requested:  Exemption from 49 U.S.C. section 40109(g) to permit
the applicant to operate one, one-way cargo charter flight from
Philadelphia, Pennsylvania, to Moffet Field, Sunnyvale, California, on
or about September 15-16, 2003, using its AN-124-100 aircraft, to carry
one Lockheed Martin Commercial Space Systems AMC-SES communications
satellite, on behalf of Lockheed Martin.  The applicant stated that
Lockheed Martin needs prompt shipment of this cargo to Moffet Field to
complete aggressive development and launch schedules, that the cargo is
too large for transportation on U.S.-carrier aircraft; and that surface
transportation is not feasible because of the delicate nature and high
value of the cargo, and conditions unsuitable to maintaining system
integrity compliance.

Applicant representative:  Glenn P. Wicks, 202-457-7790         DOT
analyst:  Allen F. Brown, 202-366-2405

Responsive pleadings:  Volga-Dnepr served its application on those U.S.
carriers operating large all-cargo aircraft.  Each carrier indicated
that it did not have aircraft available to conduct the proposed
operations and that it had no comment or did not oppose grant of the
requested authority.

Statutory Standards:  Under 49 U.S.C. section 40109(g), we may authorize
a foreign air carrier to carry commercial traffic between U.S. points
(i.e., cabotage traffic) under limited circumstances.  Specifically, we
must find that the authority is required in the public interest; that
because of an emergency created by unusual circumstances not arising in
the normal course of business the traffic cannot be accommodated by U.S.
carriers holding certificates under 49 U.S.C. section 41102; that all
possible efforts have been made to place the traffic on U.S. carriers;
and that the transportation is necessary to avoid unreasonable hardship
to the traffic involved (an additional required finding, concerning
emergency transportation during labor disputes, was not relevant here).

                                                                        
        DISPOSITION

Action: Approved                                                        
                                             Action date:  September 5,
2003

Effective dates of authority granted:  September 5, 2003, through
September 18, 2003

Basis for approval:  We are granting Volga-Dnepr’s request to operate
its proposed one-way flight from Philadelphia to Moffet Field, through
September 18, 2003.  We found that its request met all the relevant
criteria of 49 U.S.C. section 40109(g) for the grant of an exemption of
this type and that the grant was required in the public interest. 
Specifically, we were persuaded that the need to move the cargo promptly
in order to meet the urgent development and launch schedules, the fact
that the cargo could not be transported by surface transportation
because of its delicate nature and high value, the potential negative
impact of delivery delay; and the unique, outsized nature of the cargo,
constituted an emergency not arising in the normal course of business. 
Moreover, based on the representations of the U.S. carriers, we
concluded that no U.S. carrier had aircraft available that could be used
to conduct the operations at issue here.  We also found that grant of
this authority would prevent unreasonable hardship to Lockheed Martin
Space Systems.  Finally, we found that the applicant was qualified to
perform its proposed operation.

Except to the extent exempted/waived, this authority is subject to our
standard exemption conditions and to the condition that the applicant
must comply with an FAA-approved flight routing for the authorized
operation.

Action taken by:      Michael W. Reynolds

                                  Acting Assistant Secretary for

                                     Aviation and International Affairs	

An electronic version of this document is available on the World Wide
Web at:

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

