			  UNITED STATES OF AMERICA

		        DEPARTMENT OF TRANSPORTATION

			  OFFICE OF THE SECRETARY

			          WASHINGTON, D.C.

Issued by the Department of Transportation on September 28, 2005

NOTICE OF ACTION TAKEN -- DOCKETS OST-2005-20478                        
                                                                    

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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).

Application of AMERICAN EAGLE AIRLINES, INC. (AMERICAN EAGLE) filed
8/16/2005 for:

XX  Waiver of the dormancy condition for scheduled services in the
Dallas/Ft.Worth-Veracruz market and request of a new start-up deadline
of October 1, 2006

Background:

 

By Notice of Action Taken dated March 21, 2005, the Department granted
American Eagle’s application, in Docket OST-2005-20478, for exemption
authority to conduct Dallas/Ft.Worth-Veracruz combination service on a
year-round basis.  American Eagle had advised us that it would commence
services on the route on July 2, 2005.  Consistent with our policy for
U.S.-Mexico route awards, the authority was subject to the condition
that the dormancy notice period would begin on July 2, 2005.  Under
those terms, American Eagle must begin Dallas/Ft.Worth-Veracruz services
no later than October 1, 2005 (90 days from the date the dormancy notice
period begins -- July 2). 

 

Application for Waiver of the Startup Condition:

On August 16, 2005, American Eagle filed an application in the captioned
docket for a waiver of the start-up condition imposed, and asked that
the start-up deadline period be extended through October 1, 2006. 
American Eagle indicates that while it will not be inaugurating service
at this time, it seeks the flexibility to institute service in the
Dallas/Ft.Worth-Veracruz market when conditions warrant.  American Eagle
further notes that it is the only U.S. carrier designated for the
Dallas/Ft.Worth-Veracruz market, so another opportunity will remain
available.

Applicant rep:  Carl B. Nelson  (202) 496-5647   DOT Analyst:  Thuy H.
Cooper  (202) 366-5423

Disposition

After careful consideration of this matter, we have decided to grant the
application filed by American Eagle for a waiver of the dormancy
condition imposed by the Notice of Action Taken dated March 21, 2005 (in
Docket OST-2005-20478), and have amended the start-up deadline through
October 1, 2006, for Dallas/Ft.Worth-Veracruz combination air
transportation.  We will require American Eagle to institute the
proposed services no later than October 1, 2006.  We find that granting
American Eagle’s request is in the public interest in the
circumstances presented; namely, that it is the only U.S. carrier
authorized to serve the Dallas/Ft.Worth-Veracruz market (leaving one
U.S. designation opportunity available in this market); and that no
party opposed its request for a waiver.  

In taking this action, however, we put American Eagle on notice that,
should other U.S. carriers file applications for
Dallas/Ft.Worth-Veracruz authority, we reserve the right to reconsider
our decision here to determine whether or not that decision continues to
be in the public interest.  In addition, there should be no expectation
that an additional waiver request to further extend the start-up
deadline will necessarily be granted.  Any future request to extend the
waiver at issue here will have to be considered in light of any specific
arguments offered and responses thereto, and in the context of the
circumstances present at that time, including whether another carrier
seeks to use the designation at issue.  

XX  Granted

The above action was effective when taken: September 28, 2005 through
October 1, 2006.

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) grant of the authority 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
Dockets.  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/reports_aviation.asp" 
http://dms.dot.gov//reports/reports_aviation.asp 

