UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY WASHINGTON, DC

Issued by the Department of Transportation on March 18 , 20 10

NOTICE OF ACTION TAKEN

-- DOCKET DOT

- OST

- 200 7

- 0095

_____________________ _________________________________________________________ ____________ ___________________________ 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 AIRLINES , INC

. ( American ) filed 1/ 20 / 10 , as amended 2/24/10 for:

XX Renewal of e xemption for two years under 49 U.S.C. 40109 to provide the following service:

Scheduled foreign air transportation of persons, prope rty, and mail between the United States and

Israel and beyond

. 1

Applicant rep : Carl B. Nelson (202) 496

- 5647 DOT Analyst: Brett D. Kruger (202) 366

- 8 025

D I S P O S I T I O N

XX Granted

The above action granting exemption authority w as effective when taken: March 18 , 20 10 through

March 18 , 20 1 2

. Action taken by: Paul L. Gretch, Director

Office of International Aviation



### XX The authority granted is consistent with the U.S.

- Israel A ir T ransport A greement.

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)

XX Statement of Authorization appr oving the American/El Al Israel Airlines Ltd. code

share operations, dated March 28, 2008, Docket DOT

- OST

- 2007

- 0095, and conditions

therein

On the basis of data officially noticeable under Rule 24(g) of the Department's regulations, we found the applica nt qualified to provide the exemption 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 authority was consistent with t he 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 r evoke 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 peti tions 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://www.regulations.gov

1 American states that it uses this authority for cod e

- share services with El Al Israel Airlines, Ltd. (El Al). We note

that t he se code

- share operations are suspended until the G overnment of Israel attains a Category I rating under the FAA’s International Aviation Safety Assessment (IASA) program.

### ATTACHMENT 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 a uthority 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 require ments of 14 CFR 203, concerning waiver of Warsaw Convention liability limits and defenses;

(6) Comply with all applicable requirements of the Federal Aviation Administration, the Transportation Security Administration, and with all applicable U.S. Govern ment 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 fligh ts) to or from a foreign airport, contact its Principal Security Inspector (PSI) to advise the PSI 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 serve d;

(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 a ll 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.

1/2008