BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

)

Application of )

)

SPIRIT AIRLINES, INC. ) Docket OST-2014-_____

)

for an exemption pursuant to )

49 U.S.C. § 40109 )

(Houston, Texas – Cancun, Mexico; )

Houston, Texas – Los Cabos, Mexico; )

Houston, Texas - Toluca, Mexico) )

 )

APPLICATION OF SPIRIT AIRLINES, INC.

FOR AN EXEMPTION

Communications with respect to this document should be sent to:

Joanne W. Young

David M. Kirstein

Kirstein & Young, PLLC

1750 K Street, N.W. 

Suite 200

Washington, D.C. 20006

(202) 331-3348

(202) 331-3933

Attorneys for

SPIRIT AIRLINES, INC.

September 4, 2014

NOTICE: SPIRIT WILL POLL U.S. CARRIERS.
BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

)

Application of )

)

SPIRIT AIRLINES, INC. ) Docket OST-2014-_____

)

for an exemption pursuant to )

49 U.S.C. § 40109 )

(Houston, Texas – Cancun, Mexico; )

Houston, Texas – Los Cabos, Mexico; )

Houston, Texas - Toluca, Mexico) )

 )

APPLICATION OF SPIRIT AIRLINES, INC.

FOR AN EXEMPTION

Pursuant to 49 U.S.C. § 40109 and Subpart C of the Department’s Procedural Rules, 

14 CFR § 302.301, et seq., Spirit Airlines, Inc. (“Spirit”) applies for an exemption from 49 

U.S.C. § 41101 authorizing it to engage in scheduled foreign air transportation of persons, 

property and mail between Houston, Texas, on the one hand, and Cancun, Mexico, Los Cabos, 

Mexico and Toluca, Mexico on the other hand and to designate Spirit for such service. 

In support of this application, Spirit states as follows:

1. Spirit is a corporation organized and existing under and pursuant to the laws of 

the State of Delaware. Its principal office is located at 2800 Executive Way, Miramar, Florida 

33025. Spirit currently serves 56 destinations in the United States, Central America, the 

Caribbean, and South America.

2. Spirit was founded in 1980, and has international gateways in Detroit, Michigan, 

Dallas, Texas, Chicago, Illinois, San Diego, California and Ft. Lauderdale, Florida. It is the 
Application of Spirit Airlines

IAH-CUN; IAH-SJD; IAH-TLC Exemptions

Page 2 of 4

leading low-fare carrier serving routes between the U.S. and the Caribbean, as well as Latin 

America, currently serving 26 destinations in this region. 

3. Spirit is a citizen of the United States within the meaning of 49 U.S.C. 

§40102(a)(15). Its President and two-thirds of its Board of Directors and other managing 

officers are U.S. citizens, and at least 75 percent of its voting stock is owned and controlled by 

U.S. citizens.

4. Spirit’s Ultra Low Cost Carrier (“ULCC”) services provide significant public 

benefits and advance the public interest by making low cost air travel much more available in the 

growing markets between the U.S. and Mexico and Latin America. Specifically, Spirit plans to 

expand its low fair service to Mexico. Since 2004, Spirit has operated competitive service to 

Mexico. Currently, Spirit offers competitively priced flights from U.S. markets including 

Dallas-Fort Worth, Fort Lauderdale, San Diego and Detroit to Mexican cities including Cancun, 

Toluca, and Los Cabos. Spirit now seeks to expand its service to Mexico by offering direct 

flights in the following three city pairs: (1) Houston and Cancun; (2) Houston and Los Cabos; 

and (3) Houston and Toluca. Cancun and Los Cabos are two of the biggest tourist destinations 

in Mexico with thousands of American tourists visiting these vacation destinations each year. In 

addition, the state capital of Mexico State, Toluca is the center of the fifth largest urban area in 

Mexico, has a large number of cultural tourism destinations, and is second only to Mexico City 

in the number of museums. Importantly, Toluca’s proximity to Mexico City enables passengers 

seeking non-stop service to the capitol city of Mexico to have the additional low-fare option of 

flying into Toluca.

 5. Spirit’s proposed service is authorized by Annex I sections A1.a., B.4. and B.5. and 

B.7. of the U.S.-Mexico Bilateral Air Transport Agreement as amended, which permits the 
Application of Spirit Airlines

IAH-CUN; IAH-SJD; IAH-TLC Exemptions

Page 3 of 4

United States to designate, from Houston, up to three U.S. carriers to serve Cancun and Los 

Cabos and two U.S. carriers to serve Toluca. Currently, there are two designations available in 

the Houston- Cancun market, with United holding one designation, one designation available in 

the Houston- San Jose del Cabo market, with United and its regional affiliate, Express Jet, 

holding two of the designations, and one designation available in the Houston – Toluca market 

with ExpressJet holding one of the two designations. Spirit’s service will clearly advance the 

public interest by establishing a convenient low-cost alternative for travel between Houston, 

Texas and all three proposed Mexican markets.

6. The Department has repeatedly found Spirit fit, willing, and able to provide 

scheduled air transportation of persons, property, and mail.1 Spirit holds a Certificate of Public 

Convenience and Necessity to provide interstate air transportation of persons, property and mail 

(Order 98-7-6), a Certificate of Public Convenience and Necessity for foreign air transportation 

of persons, property, and mail to all open-skies countries (Order 2007-7-3), and a consolidated 

certificate of authority to provide combination service to limited-entry markets (other than 

Mexico) and non-open skies markets. See Order 2010-1-12. There have been no material 

changes within the Company that would affect those prior fitness findings. 

7. Spirit plans to implement the requested service on or about May 7, 2015 using 

178 seat A320 aircrafts. Between May 7, 2015 and June 10, 2015, Spirit plans to initially 

operate seasonal service with three roundtrip flights between Houston and Cancun, two weekly 

roundtrip flights between Houston and Los Cabos and two weekly roundtrip flights between 

Houston and Toluca. Beginning June 11, 2015, Spirit plans to expand its seasonal service and 

begin operating daily roundtrip flights between Houston and Cancun, four weekly roundtrip 

 

1

Spirit requests that the Department take official notice of the financial information it provides the Department on a 

regular basis in its Form 41 reports. 
Application of Spirit Airlines

IAH-CUN; IAH-SJD; IAH-TLC Exemptions

Page 4 of 4

flights between Houston and Los Cabos and three weekly roundtrip flights between Houston and 

Toluca. The initial service schedule is set forth at Exhibit NK-1. 

8. Spirit will continue to abide by all of the conditions and limitations the 

Department attaches to exemption authorities.

9. Spirit’s annual expected fuel burn for the following routes consists of the 

following:

 Houston, Texas – Cancun, Mexico – 1, 231, 425 gallons 

 Houston, Texas – Los Cabos, Mexico – 812, 388 gallons

 Houston, Texas – Toluca, Mexico – 564,491 gallons

All of these forecasts are well below the ten million gallon threshold specified in Section 

313.4(a)(1) of the Department’s regulations. Approval of Spirit’s application does not qualify as 

a major regulatory action under Part 313 of the Department’s rules.

WHEREFORE, for the foregoing reasons, Spirit respectfully requests that the 

Department grant the exemption authority requested above for a minimum period of two years

and designate Spirit for this service. Spirit further requests any different or additional relief that 

the Department may deem necessary.

Respectfully submitted,

Joanne W. Young

David M. Kirstein

Kirstein & Young, PLLC

1750 K Street, N.W. 

Suite 200

Washington, D.C. 20006

(202) 331-3348

(202) 331-3933

Attorneys for

SPIRIT AIRLINES, INC.

September 4, 2014
EXHIBIT NK-1 

Page 1

SPIRIT AIRLINES, INC.

HOUSTON(IAH) – CANCUN (CUN) SERVICE

MAY 7, 2015 – JUNE 10, 2015

Departure Arrival Flight Stops Frequency Equipment

IAH

11 :45 am

CUN

1 :49 pm

488 0 Monday, 

Wednesday 

and Saturday

320

CUN

2 :40 pm

IAH

5 :04 pm

489 0 Monday, 

Wednesday 

and Saturday

320

HOUSTON(IAH) – CANCUN (CUN) SERVICE 

EFFECTIVE JUNE 11, 2015

Departure Arrival Flight Stops Frequency Equipment

IAH

11 :45 am

CUN

1 :49 pm

488 0 Daily 320

CUN

2 :40 pm

IAH

5 :04 pm

489 0 Daily 320

HOUSTON(IAH) – LOS CABOS, MEXICO (SJD) SERVICE

MAY 7, 2015- JUNE 10, 2015

Departure Arrival Flight Stops Frequency Equipment

IAH

10 :35 am

SJD

12 :13 pm

471 0 Tuesday and 

Friday

320

SJD

1 :15 pm

IAH

4 :58 pm

472 0 Tuesday and 

Friday

320
EXHIBIT NK-1 

Page 2

HOUSTON(IAH) – LOS CABOS, MEXICO (SJD) SERVICE 

EFFECTIVE JUNE 11, 2015

Departure Arrival Flight Stops Frequency Equipment

IAH

10 :35 am

SJD

12 :13 pm

471 0 Monday, 

Wednesday, 

Friday, and 

Saturday

320

SJD

1 :15 pm

IAH

4 :58 pm

472 0 Monday, 

Wednesday, 

Friday, and 

Saturday

320

HOUSTON(IAH) – TOLUCA (TLC) SERVICE

MAY 7, 2015- JUNE 10, 2015

Departure Arrival Flight Stops Frequency Equipment

IAH

10 :45 am

TLC

12 :55 pm

493 0 Sunday and 

Thursday

320

TLC

2 :15 pm

IAH

4 :35 pm

494 0 Sunday and 

Thursday

320

HOUSTON(IAH) – TOLUCA (TLC) SERVICE

EFFECTIVE JUNE 11, 2015

Departure Arrival Flight Stops Frequency Equipment

IAH

10 :45 am

TLC

12 :55 pm

493 0 Sunday, 

Tuesday and 

Thursday

320

TLC

2 :15 pm

IAH

4 :35 pm

494 0 Sunday, 

Tuesday and 

Thursday

320

Notes:

1. All times listed are local times.
CERTIFICATE OF SERVICE

I hereby certify that I have this day served the foregoing “Application of Spirit Airlines, 

Inc. for an Exemption” by email on the following persons:

gmurphy@crowell.com 

dan.weiss@united.com 

steve.morrissey@united.com 

anita.mosner@hklaw.com 

jennifer.nowak@hklaw.com 

sascha.vanderbellen@delta.com 

sametta.c.barnett@delta.com 

chris.walker@delta.com

jrichardson@johnlrichardson.com 

jCanny@amerijet.com 

cefelts@fedex.com 

Chuck.Hill@airtransport.cc

robert.wirick@aa.com 

howard.kass@aa.com

francis.heil@aa.com

john.s.duncan@faa.gov

agoerlich@ggh-airlaw.com 

rsilverberg@sgbdc.com 

jjohnson@sgbdc.com

brian.hedberg@dot.gov

brett.kruger@dot.gov

Mario.Diaz@houstontx.gov

marshall.sinick@squirepb.com 

dwight.moore@ustranscom.mil

rpommer@atlasair.com 

matwood@cozen.com 

jhill@dowlohnes.com 

thomas.Ting@suncountry.com 

john@mietuslaw.com 

mgoldman@sgbdc.com

kevin.montgomery@ polaraircargo.com 

peter.beckett@polaraircargo.com

stephen.lachter@lachterlaw.com

reese.davidson@dot.gov

robert.finamore@dot.gov

bob.kneisley@wnco.com

leslie.abbott@wnco.com

robert.cohn@hoganlovells.com

patrick.rizzi@hoganlovells.com

barbara.russell@virginamerica.com

john.varley@virginamerica.com

pmurphy@lopmurphy.com

perkmann@cooley.com

englets@state.gov

 David Kirstein

September 4, 2014