 

			  UNITED STATES OF AMERICA

		        DEPARTMENT OF TRANSPORTATION

			  OFFICE OF THE SECRETARY

			          WASHINGTON, D.C.

Issued by the Department of Transportation on May 25, 2004

NOTICE OF ACTION TAKEN – DOCKET OST-2004-17411

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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:  AEROMODELO, S.A. de C.V.                                    
                           Date Filed:  March 25, 2004

Relief requested:  Exemption from 49 USC section 41301 to permit the
applicant to conduct passenger charter operations between Mexico and the
United States, and other passenger charters in accordance with 14 CFR
Part 212, using small equipment (see below).

Applicant representative:  James E. Ramsey, 816-474-0777      DOT
analyst:  Allen F. Brown, 202-366-2405

Responsive pleadings:  None

	DISPOSITION

Action:  Approved.                                			                   
                Action date:  May 25, 2004

Effective dates of authority granted:  May 25, 2004, through May 25,
2005.

Basis for approval:  United States-Mexico Air Transport Services
Agreement of August 15, 1960, as amended and extended (Agreement).

Except to the extent exempted/waived, this authority is subject to the
terms, conditions, and limitations indicated:  Standard exemption
conditions.

Special conditions/Remarks:  We found that Aeromodelo, S.A. de C.V., is
operationally and financially qualified to conduct its proposed
operations and is properly licensed by its homeland.  Also, the FAA
advised us that it knows of no reason to withhold this authority.

Although Mexican nationals control Aeromodelo, some of its stock is
owned by non-Mexican citizens.  In that connection, Aeromodelo requested
that the Department waive, to the extent necessary to grant the
authority requested, its standard requirement that a foreign air carrier
be substantially owned and effectively controlled by citizens of the
licensing homeland.  We concluded that such a waiver was warranted,
finding nothing in the ownership and control of the applicant that would
be inimical to U.S. aviation policy or interests.

In the conduct of the operations the carrier may only use aircraft
designed to have a maximum passenger capacity of not more than 60 seats
and a maximum payload capacity of not more than 18,000 pounds (small
equipment).  The above grant includes authority to conduct Third and
Fourth Freedom charter operations.  While we have subjected, consistent
with the provisions of the Agreement, Mexican carriers conducting
charter operations with large aircraft to prior approval or submission
of notices for their Third and Fourth Freedom charters, we determined
that any such requirement was not necessary on public interest grounds
in this case, since the carrier will be conducting these operations
solely with small aircraft.  Other passenger charters to be conducted
under this authority, however, are subject to prior approval under 14
CFR Part 212.

Action taken by:   Paul L. Gretch, Director	

		      Office of International Aviation	

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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) the applicant was qualified to perform its proposed
operations; (3) grant of the authority was consistent with the public
interest; and (4) 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/deferred/dismissed, 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:

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

