UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY WASHINGTON, D.C.

Issued by the Department of Transportation on February 2 , 2012



### NOTICE OF ACTION TAKEN

-- DOCKET DOT

- OST

- 2012

- 0017

________________________________________________________________________________________________ ________ This serves as notice to the public of the action described below, taken by the Department official indicated (no additional confirming order will be i ssued in this matter).

Applicant : POLSKIE LINIE LOTNICZE LOT S.A. (LOT) Date Filed: January 30, 2012

Relief requested: Exemption under 49 U.S.C. §40109 and an amended foreign air carrier permit under 49 U.S.C. §4 1301 1

to engage in:

a. foreign scheduled and charter air transportation of persons, property, and mail from any point or points behind any Member State of the European Union, via any point or points in any Member State and via intermediate points to any point or points in the United Sta tes and beyond;

b. foreign scheduled and charter air transportation of persons, property, and mail between any point or points in the United States and any point or points in any member of the European Common Aviation Area;

c. other charters pursuant to the prior approval requirements set forth in 14 CFR Part 212 of the Department’s Economic regulations; and

d. transportation authorized by any additional route rights that may be made available to European Union carriers in

the future

.

Applicant representative s : John E. Gillick and David M. Endersbee, 202

- 973

- 7939

DOT analyst: Robert J. Finamore , 202

- 366

- 2405

Responsive pleadings: None.

DISPOSITION

Action: Approved in part (exemption authority), remainder (request for amended permit authority) deferred 2

Action date: February 2 , 2012 3

Effective dates of authority granted: February 2 , 2012 , through February 2 , 2014

.

Basis for approval (bil ateral agreement/reciprocity): U .S.

- E U A ir Transport Agreement

.

Except to the extent exempted/waived, this authority is subject to the terms, conditions, and limitations of our standard exemption conditions (attached)

.

1 LOT ’s existing foreign air carrier permit authorizes it to engage in : 1) scheduled foreign air transportation of persons, property , and

mail between a point or points in Poland, via named intermediate points , and New York, Chicago, Miami, and Los Angeles; and 2) charter trips in foreign air transportation subject to the term s, conditions, and limitations of the Department’s regulations governing charters. ( See Order 95

- 2

- 33.) LOT also holds various exemption authorities to engage in certain code

- share services. ( See Notices

of Action Taken in Dockets DOT

- OST

- 2003

- 16118 and DOT

- OST

- 2011

- 0001.)

2 W e note that LOT also requested an amended foreign air carrier permit to engage in its proposed services. We will act on that

po rtion of its request separately, with the concurrence of the applicant.

3 The Department is acting on the exemption application of LOT prior to the expiration of the 15

- day answer period with the consent of all parties served.Special conditions/Remarks: With regard to the authority granted here to LOT to conduct transportat ion authorized by any additional route rights made available to European Union carriers in the future, we are requiring LOT , before it commences any new service under this authority, to provide us with evidence in this Docket that it holds a homeland

licen se for that new service, unless it has already provided such evidence.

Action taken by: Paul L. Gretch, Director, Office of International Aviation

________________________________________________________________________________________________________ Under authority assigned by the Department in its regulations, 14 CFR Part 385, we found that (1) our action was consistent w ith Department policy; (2) the applicant was qualified to perform its proposed operations; (3) grant of the authority was consistent with the public interest; and (4) grant of the authority would not constitute a major regulatory action under the Energy Policy an d Conservation Act of 1975. To the extent not granted/deferred/dismissed, 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 the action set forth in this Notice under the Department’s regulati ons, 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 docu ment is available on the World Wide Web at: http://www.regulations.govForeign Air Carrier Exemption Conditions

In the conduct of the operations authorized, the foreign carrier applicant 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 Aviatio n 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 comp liance 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, co ntact 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 ade quate 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 authorit y 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 e xempted 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 Stat es 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 a Member State of the European Union;

(9) Comply wi th 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.

EU carrier 01/2008