UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY WASHINGTON, DC



### Issued by the Department of Transportation on November 3 , 2010

NOTICE OF ACTION TAKEN

-- DOCKET DOT

- OST

- 2007

- 29016

_________________________________________________________________________________________________________ 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 SKYWEST AIRLINES, INC. (Skywest)

, filed 9 / 17 / 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, property, and mail between Salt Lake City, Utah, and Puerto Vallarta, Mexico, and to combine this exemption with other Skywest certificate and exemption authority. 1

Applicant rep: Lorraine B. Halloway (20 2) 624

- 25 00 DOT Analyst: Brett D. Kruger (202) 366

- 8025

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: November 3 , 2010

, through November 3 , 2012

.

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 The holder’s certificates of public convenience and necessity

XX Standard exemption conditions (attached)

Conditions

1 Skywest states that it serves this route on a seasonal basis as a Delta Connection carrier, in cooperation with Delta Air Lines, Inc. (Delta). : The U.S.

- Mexico exemption authority granted is subject to the dorm ancy notice requirements set forth in condition 7 of Appendix A of Order 88

- 10

- 2 , and the notice requirements for

seasonal/intermittent services as set forth in Order 96

- 11

- 24, at 5

.2

The code

- share operations conducted under this authorization are subject to the following conditions:

(a) The code

- sharing operations conducted under this 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 res ervation 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 passe nger; and that the passenger liability of the operating carrier be unaffected; and

(b) The authority granted here is specifically conditioned so that neither Skywest nor Delta shall give any force or effect to any contractual provisions between themselves tha t are contrary to these

conditions.

The route integration authority granted is subject to the condition that any service provided under this exemption shall be consistent with all applicable agreements between the United States and the foreign countries involved. Furthermore, (a) nothing in award of the route integration authority granted should be construed as conferring upon Skywest rights (including fifth

- freedom intermediate and/or beyond rights)

to serve markets where U.S. carrier entry is limited unless Skywest notifies the Department of its intent to serve such a market and unless and until the Department has completed any necessary carrier selection procedures to determine which carrier(s) should be authorized to exercis e such rights; and (b) should there be a request by any carrier to use the limited

- entry route rights that are included in Skywest’s authority by virtue of the route integration exemption granted here, but that are not then being used by Skywest, the holdi ng of such authority by route integration will not be considered as providing any preference for Skywest in a competitive carrier selection proceeding.

______________________________________________________________________________ As noted above, on the b asis 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 regulations, 14 CFR Part 385, we found th at (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. 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 th e action set forth in this Notice under the Department’s regulations, 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 w ill

not alter such effectiveness.

An electronic version of this document is available on the World Wide Web at: http://www.regulations.govATTACHMENT

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 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 Department 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 Administration, 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 any 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 adequate 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 other 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 compli ance with the conditions imposed above.



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