UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY WASHINGTON, DC



### Issued by the Department of Transportation on June 23, 2010

NOTICE OF ACTION TAKEN -- DOCKET DOT-OST-2004-18017

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 PSA AIRLINES, INC. (PSA) filed 6/4/10 for:

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

Scheduled foreign air transportation of persons, prop erty, and mail between points in the United States and points in the Bahamas. 1

Applicant rep: Howard Kass (202) 326-5153 DOT Analyst: Thuy H. Cooper (202) 366-5423

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: June 23, 2010 , through June 23, 2012

.

Action taken by: Paul L. Gretch, Director

Office of International Aviation

XX The authority granted is consistent with the 1946 Air Transport Agreement between the United States and the United Kingdom, as amended, to which the Government of the Bahamas acceded upon its independence, and with the overall state of aviation rel ations between the United States and the Bahamas.

Except to the extent exempted or waived, this authorit y is subject to the terms, conditions, and limitations

indicated: XX The holder’s certificate of public convenience and necessity

XX Standard exemption conditions (attached)

On the basis of data officially noticeable under Rule 24(g) of the Department's regulations, we found the applicant qualified to provide the exemption services authorized.

Under authority assigned by the Department in its regul ations, 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 re gulatory action under the Energy Policy and Conservation Act of 1975. To the extent not granted, we de nied all requests in the referenced Docket. 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 with in 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 PSA states that it currently provides scheduled air service between Charlotte, North Carolina and Freeport, Bahamas. The carrier further states that it also provid es service between the United States and the Bahamas pursuant to its code-share arrangements with Bahamasair, US Airways, and Piedmont.

### ATTACHMENT

U.S. Carrier Exemption Conditions

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

(1) Hold at all times effectiv e operating authority from the govern ment of each country served;

(2) Comply with applicable requirements c oncerning oversales contained in 14 CFR 250 (for scheduled operations, if authorized);

(3) Comply with the requirements fo r reporting data contained in 14 CFR 241;

(4) Comply with requirements for minimum insu rance coverage, and for certifying that coverage to the Department, contained in 14 CFR 205;

(5) Except as specifically exempted or otherwis e provided for in a Department Order, comply with the requirements of 14 CFR 203, concerning waiver of Warsaw Convention liability limits

and defenses;

(6) Comply with all applicable requirement s of the Federal Aviati on Administration, the Transportation Security Administ ration, and with all ap plicable 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 co ncerning security, the holder shall, before commencing any new service (includi ng charter flights) to or from a foreign airport, contact its Principal Security Inspector (PSI) to advise th e PSI of its plans and to find out whether the Transportation Security Administra tion has determined that security is adequate to allow such airport(s) to be served; and

(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 applicab le orders and regulations of other U.S. agencies and courts, a nd with all applicable laws of the United States.

The authority granted shall be e ffective only during the period wh en the holder is in compliance with the conditions imposed above.

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