BEFORE THE 

DEPARTMENT OF TRANSPORTATION 

WASHINGTON, D.C.

 

 ) 

Application of ) 

 ) 

 UNITED AIR LINES, INC. ) Dockets DOT-OST-2009-0192 

 ) 

for an exemption pursuant to 49 U.S.C. § 40109 ) 

(Continental Code Share) ) 

 ) 

APPLICATION OF UNITED AIR LINES, INC. 

TO AMEND AN EXEMPTION 

 Communications with respect to this document should be sent to: 

HERSHEL I. KAMEN 

Vice President 

International, Regulatory and Policy 

UNITED AIR LINES, INC. and 

CONTINENTAL AIRLINES, INC. 

1350 I Street, N.W. 

Washington, D.C. 20005-3389 

MARY BARNICLE 

Director – International & 

Regulatory Affairs 

UNITED AIR LINES, INC. 

77 West Wacker Drive, HDQIZ 

Chicago, IL 60601 

STEVE MORRISSEY 

Managing Director – International & 

Regulatory Affairs 

JEFFREY A. MANLEY 

Senior Advisor – Regulatory Affairs 

UNITED AIR LINES, INC. 

1025 Connecticut Avenue, N.W. 

Suite 1210 

Washington, D.C. 20036 

Phone: (301) 229-8571 

jeffrey.manley@united.com 

Dated: November 17, 2010 

Notice: United is requesting expedited treatment of this application and will poll 

carrier representatives in the attached Service List. United will advise the 

Department of the results. 

 
BEFORE THE 

DEPARTMENT OF TRANSPORTATION 

WASHINGTON, D.C.

 

 ) 

Application of ) 

 ) 

 UNITED AIR LINES, INC. ) Dockets DOT-OST-2009-0192 

 ) 

for an exemption pursuant to 49 U.S.C. § 40109 ) 

(Continental Code Share) ) 

 ) 

Dated: November 17, 2010 

APPLICATION OF UNITED AIR LINES, INC. 

TO AMEND AN EXEMPTION 

 United Air Lines, Inc. (“United”) hereby applies pursuant to 49 U.S.C. § 40109 

and Subpart C of the Department’s Rules of Practice for an amendment of its exemption 

from 49 U.S.C. § 41101 authorizing it to provide scheduled foreign air transportation of 

persons, property and mail between the United States and various foreign points by 

displaying its designator code on flights operated by Continental Airlines, Inc. 

(“Continental”). Specifically, United by this application requests the Department to add 

the Los Angeles, CA-Leon/Guanajuato, Mexico (“LAX-BJX”) city pair to that exemption 

for code-share services for a period co-extensive with the existing exemption authority 

issued by Notice of Action Taken dated September 18, 2009, as amended, which will 

expire on September 18, 2011. 

 In support of this application, United states the following: 

1. United is a Delaware corporation with its principal place of business at 77 

West Wacker Drive, Chicago, IL 60601. United is a wholly owned subsidiary of United 

Continental Holdings, Inc. (“UCH”, formerly “UAL Corporation”), which also owns 
Application of United 

Page 2

Continental. United, Continental and UCH are citizens of the United States within the 

meaning of 49 U.S.C. § 40102. Although owned by UCH, Continental and United will

continue to operate under their respective operating certificates granted by the Federal 

Aviation Administration (“FAA”) until FAA grants them a single operating certificate. 

Initially, Continental will operate LAX-BJX services in its aircraft and United will code 

share on those flights. After their operational merger, service will continue in the name 

of United. 

2. United has been awarded an exemption authorizing it to provide scheduled 

foreign air transportation of persons, property and mail on flights operated by Continental 

and its affiliated network carriers, inter alia, in several U.S.-Mexico city-pair markets. 

After DOT’s issuance of this exemption authority, the Department authorized Continental 

to serve LAX-BJX, which the carrier now serves. See, Notice of Action dated September 

10, 2010 in Docket DOT-OST-2010-0226. United and Continental now wish to display 

United’s designator code on the LAX-BJX flights operated by Continental and United 

hereby requests the addition of that city pair to its exemption already issued in this 

proceeding, as amended. United will accept and abide by all terms, limitations and 

conditions that the Department normally attaches to exemption authority for scheduled 

foreign air transportation. United asks that the requested exemption remain in effect until 

September 18, 2011 and subject to terms and conditions already applied to its U.S.-

Mexico exemption authority issued in this proceeding. 

3. The proposed code-share services are fully consistent with the aviation 

agreement between the United States and Mexico, which allows code sharing between 

two U.S. flag carriers. There are sufficient code-share designations available under the 
Application of United 

Page 3

U.S.-Mexico Air Services Agreement to allow United to code share on Continental’s 

LAX-BJX flights without affecting the rights of any other carrier. These services will 

also provide substantial consumer benefits by expanding the service options of U.S. 

passengers and shippers through United’s ability to offer on-line services from its LAX 

hub to BJX, a route which United does not currently serve. This will offer online benefits 

to passengers throughout United’s network via connections at LAX where United offers 

over 180 daily departures to 53 destinations. Benefits to consumers will include one-stop 

check-in, frequent flyer program enhancements, improved interline services for baggage 

and more convenient, coordinated connections. 

4. United and Continental intend to begin code-share services under this 

exemption as soon as all regulatory approvals are obtained. Services will continue under 

those arrangements until such time as the pending application in Docket DOT-OST2010-0163 has been approved reissuing Continental’s exemption authority for LAX-BJX 

in the name of Continental and/or United, allowing United and Continental to operate and 

code share on services over each other’s routes pending merger of their operations into a 

single carrier operating under the name of United.1 

5. United holds various certificates of public convenience and necessity and 

exemptions authorizing it to engage, inter alia, in scheduled foreign air transportation of 

persons, property and mail. See, Orders 2010-5-17 (Mexico authorities), 2007-4-19 

(Blanket Open Skies Route Authority) and 2006-1-1 (Certificate for Blanket Route 

 

1

 Services will also be provided by ExpressJet d/b/a Continental Express depending on 

seasonal demand. United will also code-share on those flights. ExpressJet operates small 

aircraft pursuant to a blanket exemption in 14 C.F.R. §§ 206.5, 212.1 and 298.11 and 

does not require additional authority for such code-share services. 
Application of United 

Page 4 

Integration) and Notice of Action Taken dated June 15,2009 in DOT-OST-2004-19148 

(renewing United's broad code-share exemption authority). 

6. United is fit, willing and able to continue performing the scheduled air 

transportation at issue in this application. United requests that the Department take 

official notice, pursuant to Rule 24 of its Rules of Practice (14 C.F.R. § 302.24), of all 

data filed to establish United's fitness. United will continue to conduct its operations in 

accordance with the terms and conditions of its authority, as well as with all applicable 

international agreements. 

7. Grant ofthis amendment of United's exemption authority for code-share 

service will not affect the commitment of either Continental or United to the CRAF 

program. Moreover, the code-share services contemplated herein will not increase the 

consumption of fuel since they will be performed on flights that are currently being 

operated. 

WHEREFORE, on the basis of the foregoing, United respectfully requests the 

Department to promptly amend United's exemption authority in Docket DOT-OST-2009-

0192 as described above and grant such other and further relief as the Department deems 

to be consistent with the public interest. 

DATED: November 17,2010 

Respectfully submitted, 

H~~~/M Vice President 

International, Regulatory and Policy 

UNITED AIR LINES, INC. and 

CONTINENTAL AIRLINES, INC. 
CERTIFICATE OF SERVICE 

I hereby certify that I have this date served a copy of the foregoing document on 

all persons named below by causing a copy to be sent via email: 

barbara.russell@virginamerica.com 

carl.nelson@aa.com 

dkirstein@yklaw.com (Spirit)

donna.kooperstein@usdoj.gov 

dwight.moore@ustranscom.mil 

efaberman@wileyrein.com (Air Tran/Frontier)

howard_kass@usairways.com 

jhill@dowlohnes.com (Hawaiian/Jet Blue)

john.allen@faa.gov 

john.fredericksen@suncountry.com (Sun Country)

msinick@ssd.com (Alaska)

pmurphy@lopmurphy.com (USA 3000)

sascha.vanderbellen@delta.com 

urskr@state.gov 

Annalei Avanceña 

Advisor—Regulatory Affairs 

DATED: November 17, 2010