BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D. C.

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

In the matter of :

: DOT

- OST

- 2010

-

2010 U.S.

- Haneda Combination Services : 0018

Allocation Proceeding :

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

ANSWER OF AMERICAN AIRLINES, INC. TO MOTION OF

DELTA AIR LINES, INC. FOR DORMANCY WAIVER

Communications with respect to this document should be sent to:

VIRASB VAHIDI WILLIAM K. RIS, JR.

Senior Vice President

- Senior V ice President

- Marketing and Planning Government Affairs

and Chief Commercial Officer American Airlines, Inc.

American Airlines, Inc. 1101 17 th Street, N.W.

P.O. Box 619616, MD 5634 Washington, D.C. 20036

DFW Airport, Texas 75161

CARL B. NELSON

KENJI C. HASHIMOTO Associate General Counsel

Vice President

– Strategic American Airlines, Inc.

Alliances 1101 17 th Street, N.W.

American Airlines, Inc. Washington, D.C. 20036

P.O. Box 619616, MD 5635 (202) 496

- 5647

DFW Airport, Tex as 75261 carl.nelson@aa.com

ROBERT A. WIRICK

Director, Regulatory Affairs

American Airlines, Inc.

P.O. Box 619616, MD 5635

DFW Airport, Texas 75261

(817) 963

- 0394

robert.wirick@aa.com

June 14 , 2011BEFORE THE

DEP ARTMENT OF TRANSPORTATION

WASHINGTON, D. C.

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

In the matter of :

: DOT

- OST

- 2010

-

2010 U.S.

- Haneda Combination Services : 0018

Allocation Proceeding :

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

ANSWER OF AMERICAN AIRLINES, INC. TO MOTION OF

DEL TA AIR LINES, INC. FOR DORMANCY WAIVER

American Airlines, Inc. hereby answers the motion filed

by Delta Air Lines, Inc. on June 3, 2011 seeking a dormancy

waiver for the seven weekly Det roit

- Haneda slots ( frequencies )

that Delta received in the captioned proceeding by Order 2010

- 7

-

2, July 2, 2010.

In its motion, Delta cites “the lingering effects of the

Japanese earthquake” (p. 1) and states that it requires the

waiver in order t o have “the flexibility to respond to difficult

and unexpected market condi tions” (p. 4).

American is also being challenged by very difficult

conditions in the U.S.

- Tokyo market which are adverse ly

impact ing our New York (JFK)

- Haneda operations. Amer ican is

committed to making this route succeed, and is devoting

substantial market ing and other resources to that end.- 2

-

We do not oppose Delta’s motion and agree that Delta has

provided compelling reasons for the Department to review the

Haneda situation. However, American would like to offer a

somewhat different perspective because we intend to continue our

Haneda service without further interruption.

To be in the best position to do so, we are interested in

extra

- bilateral authorization to depart Haneda in the 2300 hour

.

Under Section 3 of the U.S.

- Japan Memorandum of Understanding

initialed on Dece mber 11, 2009 and signed on October 25, 2010

,

scheduled combination service “is permitted at Haneda between

2200 and 0700 hours local time,” subject to the additional

condition that “departures from Haneda to a point in the 48

contiguous U.S. states shall not be permitted prior to

midnight.”

The operating environment would substantially improve,

and American’s New York (J FK)

- Haneda service would have far

greater prospects for long

- te rm viability, if we could leave

Haneda in the 2300 hour, which is before the midnight departure

requirement in the MOU. With this proposed change, and assuming

that American is able to secure the slots to support it, we feel

that JFK

- Haneda will have a substantially better chance of

succeeding.- 3

–

The modest relief American desires sh ould be granted on

an in terim extra

- bilateral basis pending amendment of the MOU.

See Lan Airlines and Lan Cargo , DOT

- OST

- 2005

- 23236, Notice of

Action Taken, April 13, 2006 (granting authority as being in the

public interest despite lack of a n applicable bilateral

provision ) ; Continental/Alitalia Codeshare , Order 94

- 9

- 4,

September 6, 1994 (granting extra

- b ilateral authority as being

in the public interest and citing likely approval by the

Government of Italy ); Delta/Varig Codeshare , Order 94

- 3

- 33,

March 18, 1994 (granting extra

- bilateral authority a s being in

the public interest and citing likely approval b y the Government

of Brazil )

.

T he MOU specifically states with respect to Haneda that

“the delegations affirmed that the provisions of Section 3 of

the Annex of the 2009 MOU may be amended by agreement of the

Parties . . . and the delegations exp ressed their willingness to

consider amendments on an expedited basis if operational or

commercial considerations so justify.”- 4

-

The requested adjustment is amply supported by

“operational or com mercial considerations” related to the stage

length of the New York (JFK)

- Haneda route (6,733 miles) that do

not apply to the shorter Honolulu (3,844 miles) and Los Angeles

routes (5,468 miles) . The action we are seeking will enhance

the viability of our New York (JFK)

- Haneda service, and should

be granted as consistent with the public interest.

American has reason to believe that the Government of

Japan would not object to interim extra

- bilateral relief from

the midnight departure condition while formal amendments to the

Haneda operating win dow are being considered. Indeed, we

believe that the Japanese Government is prepared to immediately

eliminate the midnig ht provision altogether, resulting in a

single operating window, from 10 pm to 7 am, for all departu res

to, or arrivals from, the Unit ed States.

As the Department considers Delta’s request for a

dormancy waiver (which would permit Delta to suspend service),

the Department shoul d at the same time consider American’s

request to adjust the Haneda departure windo w in order to help

Am erican to maintain service.- 5

-

With the abili ty to depart Haneda earlier than midnight

,

we can improve our New York (JFK)

- Haneda schedule s , and enhance

the viability of our Haneda flights during a time of very

challenging conditions in the U.S

. - Tokyo market.

Respectfully submitted,

_____________________________ CARL B. NELSON

Associate General Counsel

American Airlines, Inc.

June 14, 2011CERTIFICATE OF SERVICE

I hereby certify that I have this day served the foregoing document by email

on the following persons:

sascha.vanderbellen@delta.com jhill@dlalaw.com

scott.mcclain@delta.com bill@mietuslaw.com

sametta.c.barnett@d elta.com mgoldman@sgbdc.com

kquinn@pillsburywinthrop.com rsilverberg@sgbdc.com

bkeiner@crowell.com dhainbach@ggh

- airlaw.com

esahr@eckertseamons.com mcmillin@woa.com

bruce.rabinovitz@wilmerhale.com eskraft@jamhoff.com

jeffrey.manley@united.co m dpdean@jamhoff.com

bob.kneisley@wnco.com dkirstein@yklaw.com

robert.land@jetblue.com jyoung@yklaw.com

msinick@ssd.com William.stallings @usdoj.gov

cdonley@ssd.com dwight.moore@ustranscom.mil

gbleopard@fedex.com john.allen@faa.gov

d avid.heffernan@wilmerhale.com urskr@state.gov

kevin.montgomery@polaraircargo.com recohn@hoganlovells.com

jrichardson@johnlrichardson.com cjsimpson@zsrlaw.com

lhalloway@crowell.com pmurphy@lopmurphy.com

efaberman@wileyrein.com lachter@starpower .net

mroller@rollerbauer.com anita.mosner@hklaw.com

howard.kass@usairways.com jennifer.nowak@hklaw.com

benjamin.slocum@usairways.com gmurphy@crowell.com

dan.weiss@coair.com russell.bailey@alpa.org

rpom mer@atlasair.com Thomas.bolling@coair.com

annalei.avancena@united.com Paul.Gretch@dot.gov

keith.glatz@dot.gov esta.rosenberg@dot.gov

todd.homan@dot.gov Eugene_alford@ita.doc.gov

info@airlineinfo.com

________________________________ CARL B. NELSON

June 14 , 2011