Order 20 1 1 - 3 - 3 Served: March 1, 2011 UNITED STATES OF AMERICA DEPARTMENT OF TRANSPORTATION OFFICE OF THE SECRETARY WASHINGTON, D.C. Action on IATA Agreement Is sued by the Department of Transportation on the 1 st day

of March, 2 01 1

ORDER The International Ai r Transport Association (IATA) has filed an agreement with the Department under sections 41308 and 41309 of Title 49 or the United State s Code (the Code) and Part 303 of the Department’s regulations. The agreement was adopted at the twenty- eighth Joint ATA\IA TA Passenger Service Conference held in Geneva, October 8 - 9, 2008. 1 IA TA requests approval and antitrust immunity for existing reso lutions and recommended practices (R.P.’s) and f

ive new resolutions and R.P.’s affecting passenger services worldwide. The existing resolutions address formats and procedures relating to issuance of electronic and paper tickets, boarding passes and other documents ; acceptance and carriage of passengers requiring special assistance ; and refund and rerouting procedures . The amendments proposed largely involve non - substantive changes of a technical, editorial or administrative nature to existing approved reso lutions and recommended practices, and appear to be in conformity with

1 IATA memorandum PSC/RESO/143 , filed with the Department on May 20, 2009. Five resolutions and eighteen R.P.’s were submitted for information only because they are among the resolutions and R.P.’s that have been exempted from the Department’s prior review and approval requirements by Order 2002 - 1 - 15, January 29, 2002; Order 2002 - 7 - 3, July 1, 2002; Order 2003 - 6 - 15, June 10, 2003; and Order 2005 - 7 - 50, July 20, 2005 (Dockets OST 2001 - 9575, OST - 2002 - 11798, OST - 2002 - 13807, OST - 2003 - 16776, respectively). The resolutions listed for information only are 722a (Off Premise Transitional Automated Ticket (OPTAT)), 722e (Automated Ticket/Boarding Pass (ATB) and Multi Purpose Document (MPD)

– Coupon By Coupon Technical Specification), 730 (Security Features For Accountable Passenger Traffic Documents), 740 (Form Of Interline Baggage Tag), 783 (Passenger And Airport Data Interchange Standards Board), 1008 (Glossary of Commonly Used Air Passenger Term s), 1707 (Standard Symbols for Description of Standard Message Formats), 1707a (Data Field Diction ary For DCS Passenger Messages), 1707b (Data Element Directory for DCS Passenger Messages), 1708 (Passenger Name List (PNL) and Additions And Deletions List (ADL)), 1710 (Standardisation of Seat Designators), 1711 (Seats Protected Message (SPM), 1712 (Seat s Occupied Message (SOM)), 1713 (Space Available Message (SAM)), 1715 (Passenger Service Message (PSM), 1716 (Passenger Information List (PIL)), 1717 (Teletype Passenger Manifest (TPM), 1718 (Passenger Transfer Message (PTM), 1719 (Passenger Final Sales Me ssage (PFS)), 1719a (Frequent Traveller List (FTL), 1719b (Passenger Reconcile List (PRL)), 1719c (Electronic Ticket List (ETL)), and 1745 (Baggage Services Messages). A greement among Member Carriers of the I nternational Air Transport Association c oncerning passenger service matters Docket OST - 200 9 - 0123 R- 1 through R- 44 Docket OST - 2007 - 0080 R - 82

our substantive policies and concerns. As such, they raise no public interest issues, and will be approved. We will also approve four of the five new resolutions and recommended p ractices . Resolution 725h (Electronic Miscellaneous Document - Ground Handling) provides standards for exchange of data between carriers and third - party ground handlers. Resolution 781b (Fraud Related to Electronic Documents) provide s rules for fraud prevention of electronic tickets and other electronic documents. Recommended Practice 1700b (Carriage of Passenger with Reduced Mobility and Escorts Requirement) provides guidance on defini ng passengers with reduced mobility , and guidelines on escort requirement s, e mbarkation and evacuation . Recommended Practice 1721 (Netting f

or Exchange/Reissue Transactions) provid e s a standard process for “ netting ” transactions, for example where the passenger purchases a new ticket but is owed a refund for a portion of his original ticket. We will , sua sponte, exempt Recommended Practice 1797a (Aviation Information Data Exchange (AIDX)) which establishes specifications and stand ards for the exchange of flight related information among carriers, airpo rts and associated servic e providers. The actual technical data - exchange specifications were not provided with the agreement but were made available to the Department for our review . Such specification s are among the ty pes of purely technical standards that we have exempted in o ther resolutions and R.P.’s , and we see no reason to review them or to approve and immunize them from the antitrust laws . We will, however, condition our approval of the resolutions and R.P.’s involving passengers with disabilities to stipulate that the c arriers’ implementation of them shall be in compliance with the Department’s own regulations in 14 CFR Part 382, Non - discrimi n ation on the Basis of Disab i lity in Air Travel. For example, new R ecommended P ractice 1700b states, in paragraph 3 (Maximum Number and Escort Requirement), that “The number of passengers with reduced mobility travelling with escorts and where escorts are not required is not limited as long as they do not exceed the number of able - bodied persons capable of assisting with an emergency evacuation.” This provision would appear to conflict with section 382.17 of the DOT rule which, on flights covered by Part 382, prohibits carriers from limiting the number of passengers with disabilities on a given flight absent a legally

binding conflic t of law. Under section 382.7, our rule applies to all U.S. carriers, regardless of where their operations take place, except as otherwise provided in the rule; and to flights of foreign carriers that begin or end at a U.S. airport. Under section 382.9, c arriers may request waivers of provisions of Part 382 where an applicable provision of a foreign law precludes the carrier from complying with the relevant section of Part 382. Similarly , although existing Resolution 700 is captioned “(Except Canada and U SA),” in section 5.2.3.1(a), it states that “Members shall endeavor to make available at all stations (emphasis added) , wheelchairs for boarding/disembarking purposes and within airport facilities, before departure, during intermediate stops and on arrival ... ” While it appears that the intent of this provision is to make a good faith effort to provide wheelchair s for enplaning, deplaning, and connecting upon the request of an individual with a disability, such assistance, if requested, is a mandatory require ment under sections 382.91 and 382.95 of DOT’s disability rule on all flights covered by

Part 382, including those originating or terminating at foreign airports.3

R ecommended P ractice 1700e (Publication in Airline Guides of Rates and Conditions Relate d to Travel of Passengers with Reduced Mobility ) lists pertinent information that carriers should make publicly

available, including “special excess baggage rate (sic) for medical equipment on which the passenger is dependent.” Under our rule, however, carriers are prohibited from charging passengers with disabilities for carrying on or checking a wheelchair or any other assistive device. 2 We will take similar action on R ecommended P ractice 1708a (Passenger Assistance List (PAL) and Change Assistance List (CAL)), on which we deferred action in an earlier order. 3 The PAL is a list of passengers with reduced mobility (PRM) on a particular flight travelling to or from EU airports, including itineraries that include non - EU points; and the CALis the updated P AL list. Section 1.1.1 of the R . P . implies that all disabled passengers are to be listed on the PAL , and section 1.1.2 states that the CAL contains the names of passengers “who qualify for reduced mobility handling.” Inaddition, Section 2.5.4 of the R . P . states “I f there are no PRM passengers for an airport, the word NIL will appear for each airport and RBD where there are no PRM passengers.” Taken as a whole, this language may imply to some carriers or carrier employees that a passenger with a disabil ity must self - identify to the carrier in advance in order to qualify for enplaning, deplaning or connecting assistance. However, under Part 382, on flights to or from the United States (and on all flights worldwide for U.S. carriers), airlines must provid e that assistance even if the passenger first requested it at the airport without having notified the carrier in advance. We find that the approved resolutions , as conditioned , are not adverse to the public interest, in violation of the Code, or likely to lessen competition substantially . Furthermore, we conclude that the approved portions of the agreement should be granted immunity from the operation of the antitrust laws to the extent necessary to permit their implementation. In general, they amend e xisting provisions already approved and immuni zed by the Department. As a result, none raises immunity issues not previously

considered, and the conferral of immunity upon them is consistent with our policy of conferring immunity

on amendments coextensive ly with the underlying agreements. 1. Pursuant to authority

duly assigned under the Department’s regulations, 49 CFR 1.54 (b) (1): We find that the Recommended Practice 1797a as incorporated in Docket OST - 2009 - 0123 should be granted an exemption from fil ing with the Department for prior approval under condition #2 imposed on IATA’s by- laws. 2. Pursuant to the authority duly assigned under the Department’s Regulations, 14 CFR 385.13:

2 See 14 CFR Part 382, sections 382.31(a), 382.121 and 382.125. 3 Order 2008 - 11 - 3, N ovember 5, 2008, Docket OST - 2007 - 0080.4

We do not find Resolutions R - 1 through R - 4 3 of the agreement in Docket OST - 2009 - 0123, and Resolution R - 8 of the agreement in Docket OST - 2007 - 0080, as set forth in the attached Appendix, to be adverse to the public interest, in violation of the Code, or likely to lessen competition substantially , provide d that approval is subject, where applicable, to conditions previously

imposed or those imposed herein; ACCORDINGLY, 1. We exempt Passenger Service Conference R ecommended p ractice 1797a as incorporated in Docket OST - 2009 - 0123 from condition #2 impos ed on IA TA ’s Procedures for Conduct of the IA TA Traffic Conferences, Agreement 1175, as amended , by Order 68 - 7 - 55, to the extent that IA TA need not file it for review and approval by the Department prior to a declaration of effectiveness by

IATA and implem entation by IATA members; 2. We approve and grant antitrust immunity to the agreements set forth in finding paragraph 2 above, subject , where applicable, to conditions previously imposed or imposed herein; 3. The exemption granted in paragraph 1 above may be r evoked in whole or in part, at any time; and 4. This Order will be served on the International Air Transport Association. Persons entitled to petition the Department for review of this order, under 14 CFR 385.30, may file such petitions within seven days a fter the date of service of this order.This order shall be effective and become the action of the Department of Transportation upon

expiration of the above period , unless within such period a petit ion for review is filed or the Assistant Secretary

for Aviation and International Affairs given notice that she will review this order on her own motion. By: Paul L. Gretch Director, Office of International Aviation (SEAL) An electronic version of this document is available on the World Wide Web at: http://www.regulations .gov/AP PENDIX Page 1 o f 4 Docket IATA OST - 09 - 0123 Designation IATA Resolution Title R - 1 PSC (28)700 Acceptance and Carriage of Passengers Requiring Special Assistance Pro vided that carriers’ implementation of these provisions shall be in compliance with the Department’s Regulations in 14 CFR Part 382. R - 2 PSC ( 28)720a Passenger Ticket and Baggage Check Is suance and Honoring Procedures R - 3 PSC ( 28)722 Transitional Automated Ticket (TAT) R - 4 PSC ( 28)722c Automated Ticket/Boarding Pass

– Version 2 (ATB2) R - 5 PSC ( 28)722f Electronic Ticket

– Airline R - 6 PSC ( 28)722g Electronic Ticket

– Neutral R - 7 PSC ( 28)722h Electronic Ticket/Electronic Miscellaneous Documents

– Ground Handling R - 8 PSC ( 28)725a Miscellaneous Charges Order (MCO) - Is suance and Honouring Procedures by Members R - 9 PSC ( 28)725d Automated Miscellaneous Charges Order (MCO)

– Neutral (Coupon - By- Coupon) R - 10 PSC ( 28)725f Electronic Miscellaneous Document - Airline R - 1 1 PSC ( 28)725g Electronic Miscellaneous Document

– Neutral R - 1 2 PSC ( 28)725h Electronic Miscellaneous Document

– GroundAPPENDIX Page 2 o f 4 Docket IATA OST - 09 - 0123 Designation IATA Resolution Title R - 13 PSC (2 8)727 Tickets

– Alterations to Flight Coupons R - 1 4 PSC ( 28)727a Collection of Penalty Fees R - 1 5 PSC ( 28)728 Code Designators for Passenger Ticket And Baggage Check R - 1 6 PSC ( 28)735 Period of Validity R - 1 7 PSC ( 28) 735a Extension of Period of Validity R - 1 8 PSC ( 28)735b Waiver of Minimum Starry Requirement R - 1 9 PSC ( 28)735c Rerouting in Case of Death R - 20 PSC ( 28) 735d Involuntary Change of Carrier, Routing, Class or Ty

pe of Fare R - 21 PSC ( 28) 735e Procedure for Involuntary Change of Routing En Route R - 2 2 PSC ( 28)736 Voluntary Changes to Tickets R - 2 3 PSC ( 28)737 Refunds R - 2 4 PSC ( 28)7 42 a Excess Baggage Ticket

– Is suance Procedures R - 2 5 PSC ( 28)762 Airlines Designators R - 2 6 PSC ( 28)763 Lo cation I dentifiers R - 2 7 PSC ( 28)767 Airline Accounting Codes and Prefixes R - 2 8 PSC ( 28)7 80 Form of Interline Traffic Agreement

– PassengerAPPENDIX Page 3 o f 4 Docket IATA OST - 09 - 0123 Designation IATA Resolution Title R - 2 9 PSC ( 28)781 Blacklisted Paper Documents R - 30 PSC ( 28)781a In demnification for Recovery of Blacklisted Accountable Paper Transportation Documents R - 3 1 PSC ( 28)781b Fraud Related to Electronic Documents R - 3 2 PSC ( 28)792 Bar Coded Boarding Pass (BCBP) R - 3 3 PSC ( 28)1700a Expectant mothers and New Born Babies R - 3 4 PSC ( 28)1700b Carriage of Passenger with Reduced Mobility

and Escorts Requirement Provided that carriers’ implementation of these provisions shall be in compliance with the Department’s Regulations in 14 CFR Part 382 R - 3 5 PSC ( 28)1700c Seat Assignment for Passengers With Reduced Mobility

and for Escorts P rovided that carriers’ implementation of these provisions shall be in compliance with the Department’s Regulations in 14 CFR Part 382 R - 3 6 PSC ( 28)1700d Passengers with Reduced Mobility Group Travel Provided that carriers’ implementation of these provisions shall be in compliance with the Department’s Regulations in 14 CFR Part 382APPENDIX Page 4 of 4 Docket IATA OST - 09 - 0123 Designation IATA Resolution Title R - 3 7 PSC ( 28)1700e Publication in A irline Guides of Rates and Conditions Relating To Travel of Passengers with Reduced Mobility Provided that carriers’ implementation of these provisions shall be in compliance with the Department’s Regulations in 14 CFR Part 382 R - 3 8 PSC (28)1714 In dustry Discount Message (IDM) R - 39 PSC (28)1719d Electronic Ticket L ist (ETL) R - 4 0 PSC (28)1720a Standard Thirteen - Digit Numbering System for Traffic Documents R - 4 1 PSC (28)1721 Netting for Exchange/Reissue Transactions R - 4 2 PSC ( 28)1787 Reservations Procedures for Free And Reduced Rate Transportation R - 4 3 PSC ( 28)1790 Additional Services R - 8 PSC (29)1708 a Passenger Assistance List (PAL) and Change Assistance List (CAL) Provided that carriers’ implementation of these provisions shall be in compliance with the Department’s Regulations in 14 CFR Part 382