U.S. Department of Transportation Office ofthe Secretary ofTransportation

June 2, 2015 Mr. Paul A. Lange 1200 NewJerseyAvenue SE Washington DC 20590

LawOffices ofPaul A. Lange 80 FerryBoulevard Stratford, CT06615 Re: DocketDOT-OST-2015-0037 Motion ofLiberty Helicopters, Inc. for Confidential Treatment ofDocuments Dear

### Mr. Lange: We are currently reviewing the application of Liberty Helicopters, Inc. ("Liberty"), in DocketDOT-OST-2015-0037 for commuter authority. The purpose ofthis letter is to notifyyou ofour intended ruling on your requests for confidential treatment ofdocuments filed in support ofthis application. Liberty filed a motion requesting that the following material be withheld from public disclosure by letter datedFebruary20, 2015: 1. Exhibit9 2. Exhibit 10 3. Exhibit 19 4. Exhibit22 5. Exhibit23 Ownership information ofentitiesrelatedto Liberty. Shareholders listfor SightseeingTours ofAmerica, Inc. ("STA") Information abouttheproposed service including forecasted expenses Consolidatedfinancial statements ofLiberty's parent STA Liberty's accountspayablereport OnApril20, 2015, Liberty also filed a motionrequesting that the following material be withheld from public disclosure: 1. ExhibitE Notes to Liberty's forecasted expenses 2. ExhibitF Aircraftlease agreementbetweenLiberty and an affiliated company In support ofyour request for confidential treatment ofthe specified documents, you state that the documents Liberty requests to withhold from public disclosure are (1) commercial or financial, (2) obtained from a person outside the government, and (3) privileged or confidential. Moreover, you state that disclosure would cause substantial harm to the competitive position of Liberty orthe individual from whomthe information was obtained and serve no public interest if released. Further, you contend thatthe information inExhibit 19 and Exhibit E contain financial and commercial information that couldbe used by competitors to impede the applicant's plansto undertaketheproposed air service..2



### Rule 12 instructs us to evaluate requests for confidential treatment in accordance with the standards ofdisclosure found in the Freedom ofInformation Act (5 U.S.C. section 552). Bythis standard, information may be withheld from disclosure ifit is "(1) commercial or financial, (2) obtained from a person outside the government, and (3) privileged or confidential." [Gulf& Western Industries, Inc. 

### v. U.S., 

### 615 F.2d 527,529 (D.C. Cir. 1979).] The information sought to be withheld from disclosure clearly meets the first two requirements. The only question, therefore, is whether the information is privileged or confidential--whether "disclosure ofthe information is likely to have either ofthe following effects: (1) to impair the government's ability to obtain necessary information in the future; or (2) to cause substantial harm to the competitive position of the person from whom the information was obtained." [National Parks and ConservationAssociation 

### v. Morton, 

### 498 F.2d 765, 770 (D.C. Cir. 1974).] Furthermore, to be privileged or confidential, the information must not be ofthe type that is

.usuallyreleased to the public. [Gulf & Western Industries, Inc. 

### v. U.S., 

### supra, 615 F.2dat530.] Absent extenuating circumstances, it is not the Department's practice to withhold from public disclosure information regarding an applicant's current or historical financial condition, pre-operating cost forecasts, proposed operating plans and related statistics, first-year operating cost forecasts, and forecast balance sheets reflecting these forecasts. When requested, however, the Department will generally grant confidential treatment to information pertaining to a company's forecast revenues (and related statistics). It is also our practice to grant confidential treatment to specific agreements between an applicant and vendors, potential customers, etc. Under the circumstances, our decision as to confidential treatment with respect to Liberty's application is as follows: 1. With respect to Exhibit 9 - Ownership information of entities related to Liberty, and Exhibit 10- Shareholders list for STA, we have decided to deny confidential treatment. Exhibit 9 & 

### 10 contains the ownership information necessary to determine the applicant's · U.S. citizenship as defined by 49 U.S.C. § 40102 (a)(15). 2. With respect to Exhibit 19 -Informationabout the proposed service including forecasted expenses, we have decided to deny confidential treatment. The Department finds that the information related to Liberty's service and the forecasted expenses for the proposed operation are necessary to determine Liberty's financial fitness test. 3. With respect to Exhibit 22

- Consolidated financial statements of Liberty's parent company STA, we have decided to deny confidential treatment. Since the air carrier is dependent on STA to support its financial condition, the fmancial information ofSTA is necessary to enable the Department to determine STA's financial wherewithal to extend financial supportto Liberty. 4. With respect to Exhibit 23 -Liberty's accounts payable report as ofFebruary 12, 2015, we have decided to grant confidential treatment. The Department finds thatthis exhibitis not necessaryto make a fitness determination.3

5. With respect to Exhibit E- Information about the proposed service including forecasted expenses, load factors etc., we have decided to deny confidential treatment. The Departmentfinds thatthe forecasted expenses for the proposed operation are necessary to determine Liberty's fitness. 6. With respect to Exhibit F - Aircraft lease agreement between Liberty and an affiliated company, we have decided to grant confidential treatment. The Department has, in the past, afforded confidential treatment to agreements and we see no reason not to do so here. Under Rule 12, a Departmentruling on motions for confidential treatment will nottake effect if, within five (5) business days after issuance, the person requesting confidential treatment files a petition for reconsideration of that decision, or files a statement that he or she in good faith intends to seekjudicial review ofthe decision. IfLiberty elects to petition the Department as to this confidentiality determination, we expect that it will provide a statement explaining how the item falls within the exceptions under the Freedom of Information Act and is not otherwise required to be filed publicly by all applicants for commuter authority. Responses shall be due within five calendar days ofthe filing ofsuch a petition. IfLiberty elects not to file a petition, we direct that it file the exhibits noted above in the public docket inthis proceeding within five business days ofthe date ofthis letter. Inthe meantime, as is the Department's practice, further processing of your application will be deferred pending receiptofthis material. Thankyoufor your cooperation inthis matter. Ifyou have any questions regarding this letter, please feel free to contactme or Shabu Thomas of my staffat (202) 366-9721.

Chief, 

### Air Carrier Fitness Division Office ofAviationAnalysis

cc: DocketDOT-OST-2015-0037

Mr. Dennis Kaskovich, FAA POIfor LibertyHelicopter, Inc. FAA