UNITED STATES OF AMERICA DEPARTMENT OF TRANSPORTATION OFFICE OF THE SECRETARY WASHINGTON, DC Issued by the Department of Transportation on August 2 , 20 10 NOTICE OF ACTION TAKEN -- DOCKET S DOT - OST - 20 10 - 0 179, DOT - OST - 2010 - 0186, and DOT - OST - 201 0 - 0188 1

_______________________________________________________________________________________ This serves as notice to the public of the action s described below, taken by the Department official indicated (no additional confirming order will be issued in this matter). Application of A MERICAN AIRLINES , INC. ( American ) filed 7/26 /10 for: XX Allocation of three U.S.

- Brazil weekly combination frequencies , returned by Delta Air Lines, Inc. (Delta) , for deployment on American’s proposed Miami

- Brasilia service
. Application of DELTA AIR LINES, INC. (Delta) filed 7/23/ 10 for: XX Allocation of three U.S.

- Brazil frequencies to provide three weekly round

- trip flights between Atlanta and Rio de Janeiro
. Application of AMERICAN AIRLINES, INC. (American) filed 7/8/10 for: XX Allocation of three U.S.

- Brazil weekly combination frequencies to provide three

- days

- a - week service between Dallas/Ft. Worth and Rio de Janeiro. Applicant rep s : Carl B. Nelson ( 202 ) 496 - 5647 (American) and Alexander Van der Bellen (202) 842 - 4184 (Delta) DOT Analyst: Brett D. Kruger (202) 366 - 8025

1 By Notice of Action Taken on June 16, 2010, in Docket DOT

- OST

- 2010

- 0088, the Department awarded American 11 frequencies that can be used to serve any point in Brazil except (until infrastructure

- related constraints are removed) Sao Paulo. American planne d to use four of these frequencies for Miami

- Brasilia service, effective November 18, 2010. Three other U.S.

- Brazil frequencies remained unallocated (See Notice dated March 24, 2010), and on July 8, 2010, American applied for them, proposing three

- times

- a - week service between Dallas/Ft. Worth and Rio de Janeiro (Docket DOT

- OST

- 2010

- 0179). On July 23, Delta applied for those same three frequencies, proposing to use them for existing Atlanta

- Rio de Janeiro service (which would thereby free up three Sao Pau lo

- eligible frequencies for Delta’s Detroit

- Sao Paulo service) (Docket DOT

- OST

- 2010

- 0186). Delta would begin to use the frequencies October 28, 2010. Then, by letter dated July 23, 2010, Delta stated that it is returning to the Department, effective Sept ember 7, 2010, three of the gateway

- restricted U.S.

- Brazil frequencies that it was allocated August 8, 2008, in Docket DOT

- OST

- 2008

- 0227. American, in its July 26 application, states that it will deploy these three returned frequencies on its proposed Mia mi

- Brasilia service, effective November 18, 2010. This in turn will free up three of the frequencies allocated to American on June 16 and enable American to use those three freed

- up frequencies to institute its proposed Dallas/Ft. Worth

- Rio de Janeiro ser vice. American accordingly asks us to dismiss its July 8, 2010 application in Docket DOT

OST

- 2010

- 0179 as moot, and we will do so. In light of these developments, Delta’s July 23 application for three U.S.

- Brazil frequencies is now uncontested. Similarly , American’s July 26 application for Delta’s returned frequencies is also uncontested.DISPOSITION XX Granted allocation to American of three U.S. - Brazil frequencies previously awarded to Delta on August 8, 2008, in Docket DOT - OST - 2008 - 0227 , and returned by Delta (subject to conditions, see below) XX Granted allocation to Delta of three U.S. - Brazil frequencies (subject to conditions, see below) XX Dismissed as moot American’s July 8, 2010 application in Docket DOT - OST - 2010 - 0179 The above action s allocating frequencies were effective when taken: August 2 , 20 10 , and will remain in effect indefinitely, subject to the conditions below. 2 The above action dismissing , as moot, American’s application in Docket DOT

- OST

- 2010

- 0179 was effective when taken: August 2 , 20 10
. Action taken by: Paul L. Gretch, Director O ffice of International Aviation XX The authority granted is consistent with the aviation agreement between the United States and Brazil, as amended . Except to the extent exempted or waived, this authority is subject to the terms, conditions, and limitations indicated: XX American ’s certificates of public convenience and necessity XX

_______________________________________________________________________________________ Delta ’s certificates of public convenience and necessity Responsive Pleadings: The Dallas/Fort Worth International Airport filed an answer in Docket DOT

- OST

2010

- 0179, in support of American’s proposal for Dallas/F or t Worth

- Rio de Janeiro service
. 3 In addition, the Wayne County Airport Authority, which operates Detroit Metropolitan Wayne County Airport, filed an answer in Docket DOT

- OST

- 2010

- 0186, i n support of Delta’s proposal which would result in Detroit gaining additional Sao Paulo service. Conditions: The frequencies allocated here are subject to restrictions on the Brazilian points that may be served. With respect to the frequencies allocate d to American, we note that the frequencies are limited to points in the North, Northeast, and Midwest regions of Brazil and/or Belo Horizonte. With respect to the frequencies allocated to Delta, we note that the frequencies may be used at any points that U.S. carriers may serve, subject to the restriction that they may not be used at Sao Paulo’s Guarulhos International Airport until infrastructure

- related constraints at the airport are removed. Consistent with our standard practice, the frequencies alloc ated here are subject to our standard 90

- day dormancy condition, wherein any frequency not operated for a period of 90 days (once inaugurated and for

2 We note that the frequencies allocated to American may not be used by American until September 7, 2010, concurrent with the return of the frequencies by Delta. 3 We also note that Delta filed an answer to the American July 8, 2010 application in Docket DOT

- OST

- 2010

- 0179. We note finally that Delta filed a related U.S.

- Brazil application in Docket DOT

- OST

- 2010

- 0162 which it subsequently withdrew.any reason other than seasonal use), will be deemed dormant and the allocation as to that frequency will e xpire automatically and the frequency will revert to the Department for reallocation. In addition, consistent with our practice in awarding U.S.

- Brazil frequencies, we will require that American and Delta inaugurate service with the frequencies allocated here within 90 days of their proposed startup date s of November 18, 2010 , for American ’s proposed service; and October 28, 2010 , for Delta ’s proposed service ( i.e. , by February 16 , 201 1 and January 26, 2011, respectively ). Failure to inaugurate service with a newly allocated frequency by those dates will result in the unused frequency reverting to the Department. Remarks: We acted on th e application s without awaiting expiration of the respective 15

- day answer period s w ith the consent of all parties served with the application s . With our action here, all available U.S.

- Brazil combination frequencies have been allocated to U.S. carriers.

_______________________________________________________________________________________ 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 or dismissed , we denied all requests in the referenced Docket s . We may amend, modify, or revoke the authority granted in this N otice at any time without hearing at our discretion. Persons entitled to petition the Department for review of the action s set forth in this Notice under the Department’s regulations, 14 CFR §385.30, may file their petitions within seven (7) days after th e 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