			  UNITED STATES OF AMERICA

		        DEPARTMENT OF TRANSPORTATION

			  OFFICE OF THE SECRETARY

			          WASHINGTON, D.C.

Issued by the Department of Transportation on July 23, 2004  

NOTICE OF ACTION TAKEN -- DOCKET OST-2004-18440

________________________________________________________________________
_____________________________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).

Joint Application of AMERICA WEST AIRLINES, INC., and MESA AIRLINES,
INC.

filed 6/17/04 for:

XX  Exemption authority for America West for two years under 49 U.S.C.
§40109 to provide the following service:

Scheduled foreign air transportation of persons, property, and mail
between (1) the terminal point Los Angeles, California, and the terminal
point Acapulco, Mexico; and (2) the terminal point Oakland, California,
and the terminal point San Jose del Cabo, Mexico.  The applicants state
that the subject exemption authority will be used by America West to
provide nonstop direct-carrier flights in the Los Angeles-Acapulco and
Oakland-San Jose del Cabo markets.

XX  Exemption authority for America West and Mesa Airlines for two years
under 49 U.S.C. §40109 to provide the following service:

Scheduled foreign air transportation of persons, property, and mail
between:  (1) the terminal point Las Vegas, Nevada, and the terminal
point San Jose del Cabo, Mexico, (2) the terminal point Las Vegas,
Nevada, and the terminal point Puerto Vallarta, Mexico; (3) the terminal
point San Diego, California, and the terminal point San Jose del Cabo,
Mexico; and (4) the terminal point San Diego, California, and the
terminal point Puerto Vallarta, Mexico.  The applicants state that the
subject exemption authority will be used pursuant to a code-share
arrangement, whereby America West will place its “HP” code on the
direct-carrier flights of Mesa Airlines in the Las Vegas-San Jose del
Cabo/Puerto Vallarta and San Diego-San Jose del Cabo/Puerto Vallarta
markets.  

Applicant rep:   Joanne W. Young (202) 861-1532    DOT Analyst:  Linda
L. Lundell (202) 366-2336

D I S P O S I T I O N

XX  Granted, subject to conditions (see below).

The action above was effective when taken:   July 23, 2004,   through  
July 23, 2006  .   

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 Mexico.

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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Special Conditions/Remarks:  The U.S.-Mexico exemption authority granted
is subject to the dormancy notice requirements set forth in condition 7
of Appendix A of Order 88-10-2.  Consistent with our policy, the
dormancy notice period for the exemption authority granted will begin
December 18, 2004, the applicants’ proposed startup date for these
services.  The exemption authority granted to America West to serve the
Las Vegas-San Jose del Cabo/Puerto Vallarta and San Diego-San Jose del
Cabo/Puerto Vallarta markets is limited to code-share services only.

The code-share operations conducted under this authorization are subject
to the following conditions:  (a) The code-sharing operations conducted
under this authority must comply with 14 CFR 257 and with any amendment
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 (b) the authority
granted here is specifically conditioned so that neither America West
nor Mesa shall give any force or effect to any contractual provisions
between themselves that are contrary to these conditions.

________________________________________________________________________
___________________

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 application 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_aviation.asp" 
http://dms.dot.gov/reports_aviation.asp 

					APPENDIX

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.

   No code-share services are proposed on these routes at this time.

05/2004

