Order 2015-5-2

UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, D.C.

Issued by the Department of Transportation

on the 4th day of March, 2015

Served: May 6, 2015

Application of

AIR BUSAN CO., LTD. Docket DOT-OST-2014-0228

for an exemption under 49 U.S.C. §40109 and a foreign 

air carrier permit under 49 U.S.C. §41301 

FINAL ORDER

By Order 2015-2-6, issued February 10, 2015, we directed all interested persons to show cause 

why we should not make final our tentative findings and conclusions stated therein and award a

foreign air carrier permit in the form attached to the Order and subject to the conditions attached 

thereto. We gave interested persons 21 days to file objections to the Order. We said that if no 

objections are filed, all further procedural steps shall be deemed waived, and the Department will 

enter an order (subject to Presidential review under 49 USC §41307) which will make final the 

findings and conclusions of the Order. 

No objections were received within the time period provided.

ACCORDINGLY,

1. We make final our findings and conclusions as stated in Order 2015-2-6 and award to Air 

Busan Co., Ltd. the foreign air carrier permit with associated conditions attached to the Order 

(and attached as the Appendix to the present Order);

2. Unless disapproved by the President of the United States under 49 USC §41307, this order 

shall become effective on the 61st day after its submission for §41307 review or upon the date of 

receipt of advice from the President or his designee under Executive Order 12597 and 

implementing regulations that he or she does not intend to disapprove the Department’s order 

under that section, whichever occurs earlier;

1

 1 This order was submitted for review under 49 U.S.C. §41307, on March 4, 2015. The 61st day is May 5, 2015. 

Since the President or his designee did not disapprove this order before that date, it became effective on May 5, 

2015.

 
3. To the extent not acted upon above, we dismiss all remaining requests for relief in this Docket 

(DOT-OST-2014-0228); and 

4. We will serve a copy of this order on the applicant, the Embassy of the Republic of Korea in 

Washington, D.C., the Federal Aviation Administration, and the U.S. Department of State.

PAUL L. GRETCH

Director

Office of International Aviation

(SEAL)

Appendix

An electronic version of this document is available on the World Wide Web at:

http://www.regulations.gov
 

Issued by

Order 2015-5-2

 UNITED STATES OF AMERICA 

 DEPARTMENT OF TRANSPORTATION 

 OFFICE OF THE SECRETARY

 WASHINGTON, D.C.

--------------------------------------------------------

PERMIT TO FOREIGN AIR CARRIER

---------------------------------------------------------

AIR BUSAN CO., LTD.

A Foreign Air Carrier of the Republic of Korea

is authorized, subject to the following provisions, the provisions of Title 49 of the U.S. Code, 

and the orders, rules, and regulations of the Department of Transportation, to engage in:

Scheduled foreign air transportation of persons, property, and mail behind the 

Republic of Korea via the Republic of Korea and intermediate points to a point or 

points in the United States and beyond; and

Charter foreign air transportation of persons, property, and mail between any point 

or points in the Republic of Korea and any point or points in the United States, and 

between any point or points in the United States and any point or points in a third 

country or countries, provided that such service constitutes part of a continuous 

operation, with or without a change of aircraft, that includes service to the Republic 

of Korea and the United States; and

The holder shall also be authorized to engage in other charter trips in foreign air transportation, 

subject to the terms, conditions, and limitations of the Department’s regulations governing 

charters.

This permit and the exercise of the privileges granted in it shall be subject to the terms, 

conditions and limitations in both the order issuing this permit and the attachment to this order, 

and to all applicable provisions of any treaty, convention or agreement affecting international air 

transportation now in effect, or that may become effective during the period this permit remains 

in effect, to which the United States and the holder’s homeland are or shall become parties.

This permit shall be effective on May 5, 2015. Unless otherwise terminated at an 

earlier date pursuant to the terms of any applicable treaty, convention or agreement, this permit 

shall terminate (1) upon the dissolution or liquidation of the holder to whom it was issued; (2) 
upon the effective date of any treaty, convention, or agreement or amendment, which shall have 

the effect of eliminating the bilateral right for the service authorized by this permit from the 

service which may be operated by airlines designated by the Government of the Republic of 

Korea (or, if the right is partially eliminated, then the authority of this permit shall terminate in 

like part); (3) upon the effective date of any permit granted by the Department to any other 

carrier designated by the Government of the Republic of Korea in lieu of the holder; or (4) upon 

the termination or expiration of the applicable air services agreement between the United States 

and the Republic of Korea. However, clause (4) of this paragraph shall not apply if prior to such 

termination or expiration, the foreign air transportation authorized herein becomes the subject of 

another treaty, convention or agreement to which the United States and the Republic of Korea

become parties.

The Department of Transportation has executed this permit and affixed its seal on March 4, 

2015.

By: 

PAUL L. GRETCH

Director

Office of International Aviation

(SEAL)
Appendix A

Foreign Air Carrier Permit Conditions

In the conduct of the operations authorized, the foreign carrier applicant(s) shall:

(1) Not conduct any operations unless it holds a currently effective authorization from its homeland for such 

operations, and it has filed a copy of such authorization with the Department;

(2) 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, 14 CFR Parts 129, 91, and 36 and 49 CFR Part 1546 or 1550, as applicable. To assure compliance with 

all applicable U.S. Government requirements concerning security, the holder shall, before commencing any new 

service (including charter flights) from a foreign airport that would be the holder’s last point of departure for the 

United States, contact its International Industry Representative (IIR) (formerly referred to as International Principal 

Security Inspector) to advise the IIR 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;

(3) Comply with the requirements for minimum insurance coverage contained in 14 CFR Part 205, and, prior to the 

commencement of any operations under this authority, file evidence of such coverage, in the form of a completed 

OST Form 6411, with the Federal Aviation Administration’s Program Management Branch (AFS-260), Flight 

Standards Service (any changes to, or termination of, insurance also shall be filed with that office);

(4) Not operate aircraft under this authority unless it complies with operational safety requirements at least equivalent 

to Annex 6 of the Chicago Convention;

(5) Conform to the airworthiness and airman competency requirements of its Government for international air 

services;

(6) Except as specifically exempted or otherwise provided for in a Department Order, comply with the requirements 

of 14 CFR Part 203, concerning waiver of Warsaw Convention liability limits and defenses;

(7) Agree that operations under this authority constitute a waiver of sovereign immunity, for the purposes of 28 

U.S.C. 1605(a), but only with respect to those actions or proceedings instituted against it in any court or other 

tribunal in the United States that are: (a) based on its operations in international air transportation that, according to 

the contract of carriage, include a point in the United States as a point of origin, point of destination, or agreed 

stopping place, or for which the contract of carriage was purchased in the United States; or (b) based on a claim 

under any international agreement or treaty cognizable in any court or other tribunal of the United States. In this 

condition, the term "international air transportation" means "international transportation" as defined by the Warsaw 

Convention, except that all States shall be considered to be High Contracting Parties for the purpose of this 

definition;

(8) Except as specifically authorized by the Department, originate or terminate all flights to/from the United States in 

its homeland;

(9) Comply with the requirements of 14 CFR Part 217, concerning the reporting of scheduled, nonscheduled, and 

charter data;

(10) If charter operations are authorized, except as otherwise provided in the applicable aviation agreement, comply 

with the Department's rules governing charters (including 14 CFR Parts 212 and 380); and

(11) Comply with such other reasonable terms, conditions, and limitations required by the public interest as may be 

prescribed by the Department, with all applicable orders or regulations of other U.S. agencies and courts, and with all 

applicable laws of the United States.

This authority shall not be effective during any period when the holder is not in compliance with the conditions 

imposed above. Moreover, this authority cannot be sold or otherwise transferred without explicit Department 

approval under Title 49 of the U.S. Code.

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