 

			  UNITED STATES OF AMERICA

		        DEPARTMENT OF TRANSPORTATION

			  OFFICE OF THE SECRETARY

			          WASHINGTON, D.C.

Issued by the Department of Transportation on December 31, 2003

NOTICE OF ACTION TAKEN -- DOCKET OST 2003-16803

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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:  December 23, 2003

Relief requested:  Exemption from 49 U.S.C. section 40109(g) to permit
the applicant to operate (on behalf of Lockheed Martin) one, one-way
cargo charter flight from Philadelphia, Pennsylvania, to Moffet Field,
Sunnyvale, California, on or about January 6-8, 2004, using its
AN-124-100 aircraft, to carry one Lockheed Martin Space Systems C202
AMC-SES communications satellite in a container.  The applicant stated
that Lockheed Martin needs prompt shipment of this cargo to Moffet Field
to meet extremely tight schedules associated with satellite development
and launch, that the cargo cannot be transported 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
operation 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:  December 31,
2003

Effective dates of authority granted:  December 31, 2003, through
January 11, 2004

Basis for approval:  We are granting Volga-Dnepr’s request to operate
its proposed one-way flight from Philadelphia to Moffet Field, through
January 11, 2004.  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 urgent schedules for satellite development and launch,
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:        Karan K. Bhatia

                                  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

