UNITED STATES OF AMERICA DEPARTMENT OF TRANSPORTATION OFFICE OF THE SECRETARY WASHINGTON, DC
Issued by the Department of Transportation on April 23

, 20 1 4

NOTICE OF ACTION TAKEN

-- DOCKET S DOT

- OST

- 20 03

- 14542 , DOT

- OST

- 2004

- 19 419, DOT

- OST

- 2010

- 0103, and DOT

- OST

- 2010

- 0193

______________________________________________________________________________________________ ____________ ___________ 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 s of ALASKA AIRLINES , INC. ( Alaska ) for:

1. Docket DOT

- OST

- 2003

- 14542

Date filed: January 21, 2014

XX Renewal of e xemption for two years under 49 U.S.C. 401 09 to provide the following service:

Scheduled foreign air transportation of persons, property, and mail between Los Angeles , California , and Guadalajara , Mexico.

2. Docket DOT

- OST

- 2004

- 19419

Date filed: February 4, 2014

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

Scheduled foreign air transportation of persons, property, and mail between Los Angeles, California , and Loreto , Mexico. 1

3 . Docket DOT

- OST

- 20 10

- 0103

Date filed: January 21, 2014

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

Scheduled foreign air transportation of persons, property, and mail between San Diego , California, and Puerto Vallarta , Mexico. 2

4 . Docket DOT

- OST

- 20 10

- 0193

Date fil ed: February 4, 2014

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, property, and mail between San Jose , California, and San Jose del Cabo , Mexico.

Applica nt rep resentatives : Charles F. Donley II and M arshall S. Sinick (202) 626

- 6 840 DOT Analyst: Brett D. Kruger (202) 366

- 8025

1 Alaska states that it currently serves the subject market on a code

- share basis only, by placing its code on the Los Angeles

- Loreto flights of Horizon Air Industries, Inc. (Horizon).
2 Alaska states that it uses this authority to provide seasonal service in the market.D I S P O S I T I O N

XX Granted (subject to conditions, see below)

The above action was effective when taken: April 23 , 20 1 4

, th rough April 23 , 20 1 6

, or , with respect to the Los Angeles

- Guadalajara exemption authority granted in Docket DOT

- OST

- 2003

- 14542, until 90 days after final Department action on the carrier’s request for corresponding certificate authority, in Docket DOT

- OST

1 999

- 6276, whichever occurs earlier

.
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)

Conditions : 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 , and, as to the San Diego

- Puerto Vallarta market, the notice requirements for seasonal/intermittent services as set forth in Order 96

- 11

- 24, at 5

. The Los Angeles

- Loreto exemption authority is limited to services provided on a code

- share basis only.

The code

- share operations conducted under this Notice of Action Taken are subject to the following conditions:

(a) The code

- sharing operations conducted under th is authority must comply with 14 C.F.R. 257 and with any amendments 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 gran ted here is specifically conditioned so that neither Alaska nor Horizon shall give any force or effect to any contractual provisions between themselves that are contrary to these conditions.

Remarks: The authorities for Alaska to provide service in the L os Angeles

- Guadalajara (Docket DOT

OST

- 2003

- 14542) and the San Diego

- Puerto Vallarta (Docket DOT

- OST

- 2010

- 0103) markets expired April 5, 2014, but have been kept in force pursuant to the provisions of the Administrative Procedure Act, 5 U.S.C. 558(c), as i mplemented by 14 CFR Part 377, pending action on Alaska’s timely

- filed renewal applications.

__________ ___________________________________________________________________________ On the basis of data officially noticeable under Rule 24(g) of the Department 's regu lations, we found the applicant 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 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 s

. 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 regulation s, 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 do cument is available on the World Wide Web at: http://www.regulations.gov

### Attachment

U.S. Carrier Exemption Conditions

In the conduct of the operations authorized, the U.S. carrier applicant(s) shall:

(1) H old 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 Dep artment 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, the Transportation Security Administratio n, 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

an y new service (including charter flights) 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 adequat e to allow such airport(s) to be served ;

(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 othe r 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.

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