AAM-11-218-E April 6, 2011

Exemption No. 10233 Regulatory Docket No. FAA-2011-0049

Captain Donald L. Gunther Staff Vice President - Safety

Continental Airlines P.O. Box 4607 HQSSY Houston, TX 77210-4607

Dear Captain Gunther:

This letter is to inform you that we have granted your request for exemption. It transmits our decision, explains its basis, and gives you the conditions and limitations of the exemption, including the date it ends.

The Basis for Our Decision

By letter dated March 7, 2011, you petitioned the Federal Aviation Administration (FAA) on behalf of Continental Airlines (Continental) for an exemption from part 120 of Title 14, Code of Federal Regulations (14 CFR). That exemption, if granted, would permit Continental to operate its drug and alcohol testing program in unison with United Airlines’ (United) drug and alcohol program.

The FAA has determined that good cause exists for not publishing a summary of the petition

in the Federal Register because the requested exemption would not set a precedent, and any delay in acting on this petition would be detrimental to Continental and United Airlines.

The FAA has issued a grant of exemption in circumstances similar in all material respects to those presented in your petition. In Grant of Exemption No. 9927 (copy enclosed), the FAA found that the individuals transferring from Northwest to Delta would perform the same functions as prior to the merger. In addition, Delta’s reasons do not differ materially from those presented in the findings of the precedent-setting grant of Exemption No. 6960. That exemption allowed individuals to be transferred from one operating certificate to the other2

without performing pre-employment testing. The FAA found that a grant of exemption from the pre-employment testing requirement does not adversely impact safety and is in the public

interest.

Having reviewed your reasons for requesting an exemption, I find that—

 they do not differ materially from those presented by the petitioner in the enclosed grant of exemption;

 the reasons stated by the FAA for granting the enclosed exemption also apply to the situation you present; and

 a grant of exemption is in the public interest.

Our Decision

Under the authority contained in 49 U.S.C. 40113 and 44701, which the FAA Administrator has delegated to me, I hereby grant Continental Airlines an exemption from part 120 to the extent necessary to permit Continental to operate its drug and alcohol testing program in unison with United Airlines, subject to the conditions and limitations described below.

Conditions and Limitations

1. Continental and United must submit MIS annual report data that is within 2 percent of the administrator’s minimum annual rate. Specifically, the amount to be tested for drugs is no less than 24.5 percent (2% of 25%) and for alcohol no less than 9.8 percent (2% of 10%).

2. Continental must continue to submit MIS annual report data for each year or portion thereof for which they are in operation.

3. All Continental locations must be in compliance with the requirement to display informational materials and hotline numbers within 6 months of the single operating

certificate issuance date.

4. All drug and alcohol testing records for the combined programs (Continental and United) must be produced at one central employer location within 6 months of the single certificate issuance date.3

5. The FAA’s confidentiality requirements are regulated by the DOT’s procedural regulation 49 CFR part 40, specifically § 40.25. The FAA concurs with the DOT’s determination regarding confidentiality requirements. Continental must refer to the

DOT decision.

This exemption terminates on April 30, 2013, unless sooner superseded or rescinded.

Sincerely,

/s/
James R Fraser, M.D. Deputy Federal Air Surgeon

Enclosures