UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY WASHINGTON, D.C.

Issued by the Department of Transportation on March 1 , 20 1 1



### NOTICE OF ACTION TAKEN

-- DOCKET S DOT

- OST

- 200 9

- 0036 , DOT

- OST

- 2009

- 0071,

and DOT

- OST

- 2010

- 0035

___ _____________________________________________________________________________________________________ This serves as notice to the public of the action described below, taken by the Department official indicated (no additional confirming order will be issu ed in this matter).

Applicant: CONCESIONARIA VUELA COMPANIA DE AVIACION, S.A. de C.V. D/B/A VOLARIS ( Volaris )

Date Filed: February 4 , 20 1 1

Relief requested:

Docket DOT

- OST

- 2009

- 0036: Renewal of e xemption from 49 USC §41301 to permit the applican t to engage in: 1) scheduled foreign air transportation of persons, property, and mail between Toluca, Mexico

, and Ft. Lauderdale, Florida; and 2) charter foreign air transportation in accordance with 14 CFR Part 212.

Docket DOT

- OST

- 2009

- 0071: Renewal of exemption from 49 USC §41301 to permit the applicant to engage in scheduled foreign air transportation of persons, property, and mail between: 1) Toluca, Mexico

, and Oakland, California; 2) Guadalajara, Mexico, and Oakland, California; and 3) Toluca, Mexi co, and Los Angeles, California.

Docket DOT

- OST

- 2010

- 0035: Renewal of e xemption from 49 USC §41301 to permit the applicant to engage in scheduled foreign air transportation of persons, property, and mail between Guadalajara, Mexico, on the one hand,

and San Jose, California

, and Chicago, Illinois, on the other hand.

Applicant representative: Charles F. Donley II, 202

- 626

- 6840

DOT anal yst: Brett D. Kruger , 202

- 366

- 8025

Responsive pleadings: None.

DISPOSITION

Action: Approved

. Acti on date: March 1

, 20 1 1

Effective dates of authority granted: March 1

, 20 11 , through March 1

, 20 12

.

Basis for approval (bilateral agreement/reciprocity): United States

- Mexico Air Transport Services Agreement.

Except to the extent exempted/waived, this authority is subject to the terms, conditions, and limitations of our standard exemption conditions (attached).Special conditions/Remarks: I n accordance with 14 CFR §212.9(d), Volaris shall not perform any charter flights to or

from the United States un less the Department has granted a statement of authorization for such operations. 1

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 refer enced 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 regulat ions, 14 CFR §385.30, may file their petitions within seven (7) days after the date of issuance of this Notice. This action was effec tive 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 See , e.g. , Order 91

- 5

- 25, where the Department placed this condition on the foreign air carrier permit granted to Aerovias de Mexico, S.A. de C.V. We note, however, that the Department has granted blanket exemption authority to existing and future Mexican carriers, relieving them of this prior approval requirement for third and fourth freedom charter operations if they s ubmit to the Department advance notice of their charter operations as described in Orders 98

- 4

- 2 and 99

- 7

- 23.

### Foreign Carrier Exemption Conditions

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

(1) Not con duct 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 Administr ation, 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 I nternational Industry Representative (IIR) (formerly referred to as International Principal Security Inspector) to advise the I IR of its plans and to find out whether the Transportation Security Administration has determined that security is adequate to al low 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 complet ed 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 u nless 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 specifica lly 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 sove reign 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 requ irements 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. ag encies 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 tra nsferred without explicit Department approval under Title 49 of the U.S. Code.

1 2/2007