DEPARTMENT OF TRANSPORTATION OFFICE OF THE SECRETARY WASHINGTON, D.C. Application of FEDERAL EXPRESS CORPORATION for renewal ofa cetiificate ofpublic convenience and necessity pursuant to 49 U.S.C. § 41102 (U.S.-Mexico All-Cargo Service) ) ) ) Docket DOT-OST-2011-0076 ) Docket DOT-OST-2008-0105 ) ) )



## _____________________________________) APPLICATION OF FEDERAL EXPRESS CORPORATION FOR RENEWAL OF CERTIFICATE AUTHORITY
Communications with respect to this document should be sent to: Nancy S. Sparks Managing Director Regulatory Affairs FEDERAL EXPRESS CORPORATION 1700 Pennsylvania Avenue, N.W. Suite 950 Washington, D.C. 20006 (202) 393-9286 (phone) (202) 628-0654 (fax) Email: nssparks@fedex.com

Dated: January 10, 2013 Courtney E. Felts Senior Attomey Regulatory Affairs FEDERAL EXPRESS CORPORATION 3620 Hacks Cross Road Building B, 3rd Floor Memphis, Tennessee 38125 (901) 434-8632 (phone) (901) 434-8283 (fax) Email: cefelts@fedex.com Attomeys for FEDERAL EXPRESS CORPORATIONDEPARTMENT OF TRANSPORTATION OFFICE OF THE SECRETARY WASHINGTON, D.C. Application of FEDERAL EXPRESS CORPORATION for renewal ofa cetiificate ofpublic convenience and necessity pursuant to 49 U.S.C. § 41102 (U.S.-Mexico All-Cargo Service) ) ) ) Docket DOT-OST-2011-0076 ) Docket DOT-OST-2008-0105 ) ) )



## _____________________________________)
APPLICATION OF FEDERAL EXPRESS CORPORATION FOR RENEWAL OF CERTIFICATE AUTHORITY
Pursuant to 49 U.S.C. § 41102, Federal Express Corporation ("FedEx Express") hereby applies for renewal of its Certificate of Public Convenience and Necessity for Route 568, authorizing FedEx Express to authority to engage in scheduled foreign all-cargo air transportation between a point or points in the United States, and certain named points in Mexico. Renewal of this certificate authority would be consistent with Depmiment of Transpotiation ("the Department") precedent and public interest. FedEx Express requests that its U.S.-Mexico Cetiificate for Route 568 be renewed for
an additional five-year period, through July 10, 2018, or such longer term as the Department may deem appropriate. FedEx Express fmiher requests the right to integrate such authority with its other cetiificate and exemption authority to provide foreign air transportation. FedEx Express will accept the standard condition that any services operated pursuant to such route integration authority be conducted in accordance with all applicable agreements between the United States and the foreign countries to which such services are operated.
1FedEx Express also requests that this Application be processed pursuant to the expedited non-hearing procedures established in Subpart B ofthe Procedural Regulations of the Depatiment. In support ofthis Application, FedEx Express states as follows: 1. FedEx Express is a citizen of the United States, as defined in 49 U.S.C. § 40102(a)(15). It is a corporation duly organized under the laws ofthe State ofDelaware with its principal offices located at 3610 Hacks Cross Road, Memphis, Tennessee 38125, and is a wholly-owned subsidiary ofFedEx Corporation, which is a corporation duly organized under the laws of the State of Delaware. Its president and at least two-thirds of its board of directors and other managing officers are citizens of the United States, and it is under the actual control of citizens of the United States. At least 75 percent of its voting interest is owned or controlled by persons that are citizens ofthe United States. 2. FedEx Express is an air carrier of property and mail in scheduled atr transportation, operating such services between numerous points m the United States pursuant to an All-Cargo Air Service Cetiificate issued under 49 U.S.C. § 41103, and in
numerous international markets pursuant to various Certificates of Public Convenience and Necessity issued under 49 U.S.C. § 41102 and specific grants of exemption authority pursuant to 49 U.S.C. 

### § 40109. 3. FedEx Express currently holds cetiificate authority to provide scheduled allcargo service between the U.S. and Mexico pursuant to its Certificate for Route 568, which
was most recently renewed and reissued to FedEx Express for a five-year term expiring on July 10, 2013, by Order 2008-7-15, served July 11, 2008. FedEx Express' cmTent U.S.- Mexico certificate authorizes FedEx Express to operate scheduled all-cargo service over nine 2

### specific city-pair routes between Memphis, Tennessee, Harlingen Texas, Oakland, California, and Lafayette, Louisiana on the one hand, and Guadalajara, Monten·ey, and Toluca, Mexico on the other hand. 1 

### 4. FedEx Express provides worldwide air cargo transpmiation through a highly efficient worldwide network. The network provides significant public benefits by giving U.S. shippers and exporters worldwide, on-demand access from any address in the United States to over 220 countries. The U.S.-Mexico component is an important part ofthe FedEx Express network. FedEx Express has continuously provided scheduled air transpmtation service between the United States and Mexico, including Guadalajara and Monteney, for many years. 5. FedEx Express' continued services following the grant of this ce1tificate authority renewal request will not result in a near-term net annual change in aircraft fuel consumption of 10 

### million gallons or more. The proposed services' environmental impacts
are thus de minimis 

### and do not constitute a "major regulatory action" under 14 

### C.F.R. § 313.4. 

### 6. The certificate authority renewal requested herein is wholly consistent with the terms of the U.S.-Mexico Air Transpmt Agreement, and FedEx Express has been formally designated through diplomatic channels to Mexico as a duly-authorized U.S. allcargo air can·ier pursuant to the agreement.

FedEx Express also holds exemption authority to serve two specific city-pair routes between Memphis, Tennessee, Mobile, Alabama, and Indianapolis, Indiana on the one hand, and between Queretaro, Mexico and Guadalajara, Mexico, on the other hand. See Notice ofAction Taken, OST-2011-0179 (September 30, 2011). In that exemption authority application, FedEx Express sought an "all points" amendment to its certificate. The Depmiment has not issued a final determination on that request. 37. FedEx Express is fit, willing, and able to provide international air cargo services, as required by 49 U.S.C. § 41102(b)(l). FedEx Express is an air carrier ofproperty and mail in scheduled air transportation, operating such services within the United States pursuant to an all-cargo air service certificate issued under 49 U.S.C. § 41103. In international markets, FedEx Express operates under a certificate ofpublic convenience and necessity issued under 49 U.S.C. § 41102, and specific grants of exemption authority pursuant to 49 U.S.C. § 40109. FedEx Express requests that the Department take official notice, pursuant to 14 C.F.R. 

### § 302.24(g), ofthe extensive data on file with the Department that establish conclusively the fitness of FedEx Express to operate under the requested authority. 8. FedEx Express hereby invokes and relies upon the provisions of Section 558(c) ofthe Administrative Procedure Act, 5 U.S.C. § 558(c), as implemented by Pati 377 ofthe Department's Special Regulations, 14 C.F.R. 

### § 377, to continue in effect its certificate authority to serve Mexico until the Depatiment makes a final determination on this Application. In accordance with Section 377.10(c), this renewal application is being filed
one hundred and eighty (180) days prior to the expiration date ofthe authority at issue. 9. Finally, FedEx Express requests that this cetiificate renewal application be processed through expedited non-hearing procedures pursuant to Subpart B of the Department's Procedural Regulations. There are no issues ofmaterial fact which require an evidentiary hearing in the case of this application, and the use of expedited non-hearing procedures will serve the public interest by making efficient use of the Depatiment's staff and resources.

4WHEREFORE, FedEx Express respectfully requests that the Depatiment issue a renewed Ce1iificate of Public Convenience and Necessity for Route 568 to FedEx Express for an additional five-year period, through July 

### 10, 2018, or such longer period as the Department may deem appropriate.

5 Respectfully submitted, FEDERAL EXPRESS CORPORATION

# ~VA~**~,** 

# f-<&W Courtney E. Felts Senior Attorney Regulatory AffairsCERTIFICATE OF SERVICE
I hereby certify that I have this ta..Pciay of January 2013, served a copy of the foregoing Application of FedEx Express for an Exemption and an Amendment to Certificate Authority upon each person listed below via email.

SERVICE LIST
Counsel for ABX rsilverberg(ci1sgbdc
.com Counsel for AirTran and Frontier efabennan @ wilevrein.com Alaska Airlines msinick@ssd
.com American Airlines carl.nelson @ aa.com robert.wirick@ aa. com francis.heil @ aa.com**iames.kalei~h _@** **aa.com** Counsel for Amerijet jrichardson@j ohnlrichardson.com 

### icanny(a),ameri

### iet.com Counsel for ASTAR lachter(a),starpower.net Atlas Air rpommer(a),atlasair.com Counsel for Cargo 360 and Ryan agoerlich@ ggh-airlaw.com International Counsel for Capital Cargo mgoldman(a),sgbdc.com Counsel for Centurion bill(a),mietuslaw.com Champion Air ken.redetzke(a),championair
.com Continental Airlines dan
.weiss @ coair.com United Airlines steve.monissev@ united.com Delta Airlines sascha.vanderbellen(a),delta.com Counsel for Express.Net Airlines lhalloway(a),crowell.com Counsel for Gemini Air Cargo mroller(a),rollerbauer
.com JetBlue robert.land(a),j etblue.com Counsel for Kitty Hawk Aircargo rsilverberg(a),sgbdc
.com Memphis-Shelby County Airp01t larryc @mscaa.com Authority Polar Air Cargo kevin
. montgomery(a),polaraircargo
. com Counsel for Spirit Airlines jyoung @ yklaw
.com dkirstein@vklaw.com Sun Country Airlines 

### iohn
. fredericksen(a),suncountrv.com Counsel for United Parcel Service anita.mosner@hklaw
.com iennifer
.nowak@ hklaw
.com Counsel for USA 3000 Airlines pmumhv@ lopmumhv
.com 

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# IUS Airways 

### I benjamin.slocum@usairways.com With comiesy copies to: Federal Aviation Administration iohn.allen@faa.gov U.S. Department of State ursk@state.gov U.S. Depmiment ofTranspmiation brian.hedberg@dot.gov esta.rosenberg@dot.gov brett.kruger@dot.gov

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