BEFORE THE DEPARTMENT OF TRANSPORTATION WASHINGTON, D. C.
Application of AMERICAN AIRLINES, INC. DOT-OST-2010­ 0088 under 49 USC 40109 for allocation of 11 weeklyU.S.-Brazil frequencies

MOTION OFAMERICANAIRLINES, INC. FOR IMMEDIATE APPROVAL
Communications with respect to this document shouldbe sent to: VIRASB VAHIDI WILLIAM K. RIS, JR. SeniorVice President

- SeniorVice President

­ Planning Government Affairs AmericanAirlines, Inc. AmericanAirlines, Inc. P.O. Box 619616, MD 5634 1101 17th Street, N.W. DFW Airport, Texas 75161 Washington, D.C. 20036 KENJI C. HASHIMOTO CARL B. NELSON, JR. Vice President

- Strategic Associate General Counsel Alliances AmericanAirlines, Inc. AmericanAirlines, Inc. 1101 17th Street, N.W. P.O. Box 619616, MD 5635 Washington, D.C. 20036 DFW Airport, Texas 75261 (202) 496-5647 carl.nelson@aa.com ROBERT A. WIRICK Director, Regulatory AmericanAirlines, Inc. P.O. Box 619616, MD 5635 DFW Airport, Texas 75261 (817) 963-0394 robert.wirick@aa.com April 12, 2010BEFORE THE DEPARTMENT OF TRANSPORTATION WASHINGTON, D. C.
Application of AMERICAN AIRLINES, INC. DOT-OST-2010­ 0088 under 49 11 weeklyUSC 40109 for allocation of U.S.-Brazil frequencies

MOTION OFAMERICAN FOR IMMEDIATEAIRLINES, APPROVAL INC.

approval AmericanAirlines, Inc. herebymoves for of its application submitted onApril 8, imme 2010diate for allocation of 11 weekly U.S.-Brazil combination frequencies. American proposes to use this authority to institute daily nonstop servicebetweenNewYorkJFK andRiode Janeiro and four-days-a-week nonstop servicebetweenMiami andBrasilia effective October 1, 2010. American's request was in response to the Department's Notice issued onMarch 24, 2010 inviting "certificated U.s. air carriers to file applications for the combination frequencies that become available effective October 2010 for scheduled U.S.-Brazil services." The Department statedthat "[t]he frequencies at issueheremaybe used at anypoints that U.s. carriers may serve, subject to the restriction that these

tional Airport [GRU] until infrastructure-related constraints at the ai are removed" (emphasis added).**----------~-----------------**- 2

The GRU limitation is contained in the U.S.-Brazil Memorandumof Consultations, June 26, 2008, Attachment B, Annex 1, Section II (2), p. 4 n. 5, which states that "the frequencies provided in (D) [7 available October 1, 2009] and (E) [14 available October 1, 2010] may not be used for services between Guarulhos International Airport and points in the United States until the regulatory constraints inplace as of June 26, 2008,
re ed to infrastructure at that airport, are removed." DeltaAir Lines, Inc. was the only other carrier to file a Brazil application on theApril 8 due date (DOT-OST 2010 0089). Despite the Department's clear directive inviting applications" the combination frequencies that become available effective October 2010" (emphasis added), and the exclusion of GRU as an eligib point, Delta nonetheless asked frequencies to serve Sao Paulo. While Delta "recognizes" the Sao Paulo restriction, it contends that frequencies are "ultimately" usable at Sao Paulo, and that "long-term" considerations support its request.- 3 ­



### In the 2009 U.S.-Brazil Combination Frequency Proceeding (DOT-OST-2009-0003), the Department placed issue seven Brazil frequenc s available on October 1, 2009 and sectto the same GRU restriction appli Iehere. In response, Delta sought authorityto servebetweenAtlanta and "the largest and most important trafficpoint eligible for 2009 award service, Rio de Janeiro" (January 27, 2009, p. 2, emphasis added). Delta repeated that Rio de Janeirowas the largest "eligibleN 

### Brazil point in its answer on February 12, 2009 (p. 3). Delta didnot applyto serve Sao Paulo, knowing that Sao Paulo frequencies were not in issue and that Sao Paulo was ineligible for t October 1, 2009 award. Nor has any other applicant sought frequencies to serve Sao Paulo under Sect II (2)(D) and (E) of the MOU. In t 2009 proceeding, American, Continental, Delta, Spirit, and US Airways each sought to use the authority available October 1, 2009 to serve Rio de Janeiro. No carrier appliedto serve Sao Paulo. Now Delta, without explanation, has reversed its position on "eligibility" and is the only applicant 2010 frequencies at Sao o.

### - 4 ­

Delta's application shouldbe dismissed. The 14 frequencies at issue are those "thatbecome available effect October 2010" (emphasis added), which does not include ce to GRU. As Delta itselfdeclared in seeking re-allocation of dormant Brazil frequencies fromUnitedAir s, "the Depart ment has statedunequivocallythat U.S.-Brazil frequencies are valuablebilateral rights that shouldbe used and not wasted

.

. , Order 98-12 33 at 11 ('the frequencies available r U.S.-Brazil services constitutevaluable rights t we do not intend to be wast ')" (Application of DeltaAirLines, DOTOST-2004-19161, September 17, 2004, p. 

### 2). The Department agreed and granted Delta's request. See Order 2005-2-10, February 16, 2005 (show-cause); Order 2005-4-13, April 12, 2005 (f 1); Order 2005-7-16, July 22, 2005 (on reconsideration). In the July order, the Department stated "as we havemade clear throughout this proceeding, it is
our establishedpolicy not to permit valuable operating rights to remain unused for an extendedperiod, particul y when another carrierhas firmplans to use them and the ca r holding the authoritydoes not" (p. 3).------ ------ ------ 

### - 5 ­

The same principle should applyhere. The Brazil frequencies available on October 1, 2010 are not usable at GRU, and neither Delta nor any other carrier shouldbe permittedto warehouse these frequencies until some indeterminate future date when the GRU restrictionmight be lifted. Indeed, Delta is on record as having opposeda "dormancywaiver [to American] to warehouse Brazil frequencies that Delta is ready, willing and able to use right now" (Delta Air Lines Reply, DOT-OST2002-11706, March 18, 2002, p. 3). On April 8, 2010, American responded to the Department's invitationby presenting firmplans to use 11 of the 14 Brazil frequencies availableOctober 1, 2010 to serve New York (JFK)-Rio de Janeiro andMiami-Brasilia. American's application is within the scope of the Department's invitation and shouldbe immediatelyapproved as uncontested. Delta's application is outside the scope of the invitation and contrary to Delta's own position on "eligibility" in 2009, as well as at odds with the Department's "establishedpolicynot to permit valuable operating rights to remain unused," and shouldbe dismissed.------ 6 ­
Respectfully submitted,

CARL B. NELSON, JR. Associate General Counsel AmericanAirlines, Inc. April 12, 2010

-_.
__._- -------­-------------------------- CERTIFICATE OF SERVICE

I hereby certifythat I have this day servedthe foregoing document by email on the following persons: sascha.vanderbellen@delta.com scott.mcclain@delta.com sametta.c.barnett@delta.com kquinn@pillsburywinthrop.com bkeiner@crowell.com mrosia@crowell.com bruce.rabinovitz@wilmerhale.com jeffrey.manley@united.com bob.kneisley@wnco.com robert.land@jetblue.com msinick@ssd.com cdonley@ssd.com gbleopard@fedex.com dvaughan@kelleydrye.com kevin.montgomery@polaraircargo.com jrichardson@johnlrichardson.com lhalloway@crowell.com efaberman@wil .com mroller@rollerbauer.com howard.kass@ .com benjamin.slocum@usairways.com sophy.chen@hklaw.com david.heffernan@wilmerhale.com jhill@dlalaw.com bill@mietuslaw.com mgoldman@sgbdc.com rsilverberg@sgbdc.com dhainbach@ggh-airlaw.com mcmillin@woa.com eskraft@jamhoff.com dpdean@jamhoff.com dkirstein@yklaw.com jyoung@yklaw.com donna.kooperstein@usdoj.gov dwight.moore@ustranscom.mil jim.ballough@faa.gov byerlyjr@state.gov recohn@hhlaw.com cjsimpson@zsrlaw.com pmurphy@lopmurphy.com lachter@starpower.net anita.mosner@hklaw.com rpommer@atlasair.com gmurphy@crowell.com russell.bailey@alpa.org

CARL B. NELSON, JR. April 12, 2010