## Application of: 

# BEFORE THE DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.

) )**~** ·-. 

### '. -_:i**~** 

### ; ._)



# TRANSPORTES AEREOS SIERRA MADRE, S.A. de C.V. 

# ) Docket OST-98-4388 ) 

## for a renewal of an exemption (MEXICOUS) under 49 U.S.C. Section 40109 ) ) )


# APPLICATION FOR A RENEWAL OF AN EXEMPTION FILED BY TRANSPORTES AEREOS SIERRA MADRE, S.A. de C.V. FOR A PERIOD OF TWO YEARS We are relying on the automatic extension provisions of Federal Law Specifically 5 USC 558(c), as implemented by 

## 14 CFR Part 

## 377, to keep our exemption authority 

## in effect, pending final department action on this renewal application. It should be noted that no changes have occurred in the company management, stock holders, their nationality, aircraft or aircraft crews. This carriers Ops Specs are managed at the Fort Worth, Tx, FAA/FSDO, and the aircraft have fewer than 30 seats. 

## COMMUNICATIONS WITH RESPECT TO THIS DOCUMENT SHOULD BE ADDRESSED TO: Mr. Eugene E. Smith 7717 Village Oak San Antonio, Tx. 78233 Tel (210) 590-1630 Fax (210) 653-9281 Agent for Service in the U.S. for: 

# TRANSPORTES AEREOS SIERRA MADRE, S.A. de 

# c.v. 19 MAR 2013

## In support of this application, and pursuant to the Department's Procedural Regulations, Sierra states the following:

1. Sierra, incorporated in Mexico in 1994, is a privately held corporation that is 100% owned and controlled by Mexican citizens. Name, citizenship and percentage of ownership of Sierra are enumerated in Exhibit A. The full name and corporate address of Sierra is: Transportes Aereos Sierra Madre, S.A. de C.V. Washington 629 Ote. Monterrey, Nuevo Leon 64000 MEXICO 2. 

## The name and official address of the government air transport authority in Mexico having regulatory jurisdiction over Sierra is: Secretaria de Comunicaciones y Transportes Direccion General de Aeronautica Civil ("DGAC") Av. Providencia No. 807, Piso 1-7 Colonia del Valle Delegacion Benito Juarez Mexico, D.F. 03100 MEXICO 3. As noted above, Sierra is seeking transborder charter authority to engage in foreign air transportation of persons and their belongings without the need for prior Department approval of each flight, or series of flights. Sierra is also requesting stopover privileges.
2

## 4. Sierra is operationally and financially qualified to perform the service for which authority is requested herein. As evidence thereof: (a) The Mexican DGAC has issued a permit authorizing Sierra to conduct non-scheduled, international air taxi transportation of passengers in the North and South American Continents. This permit is valid indefinitely and is attached as Exhibit B. (b) In 1998, Sierra received its DGAC permits and commenced commercial flight operations. From its base in Monterrey, Nuevo Leon, Sierra provides air transportation to domestic and international passengers, consisting of members of the following institutions which form part of the governing body, owners, and stock holders of Sierra:
EDITORA EL SOL, S.A. de C.V.

Future operations, including its proposed U.S. service, are likely to be a continuation of this type of operation. Sierra estimates that it will operate 50 to 60 round trip flights annually between Mexico and the United States with an average load of five passengers per flight; all of which will originate in Mexico.

3

## (c) Sierra owns and operates a single 8 passenger Hawker Model 800a Jet aircraft with Mexican registration XA-CHA. (d) Sierra maintains its aircraft pursuant to a maintenance service agreement with Aerovitro, S.A. de C.V.; an DGAC certificated Repair Station in Monterrey, Nuevo Leon, Mexico. And in accordance with an airworthiness program approved by the Mexican DGAC in compliance with ICAO Annexes 1,6 (Part I) and 7.
(e) Sierra has established a well qualified management team with the necessary experience in providing domestic and international air taxi services.

Lie. Bertha Ezeta has served as General Manager of Sierra since the founding of the company in June 1994. 

## She graduated with a Business Administration Degree from the Universidad Nacional Autonoma de Mexico, in Mexico City.

Pilot Capt, Mario I. Fernandez joined Sierra in 1994 

## and serves as the company's Chief of Operations and Chief Pilot. He graduated as a Traffic Controller from the Centro de Adiestramiento de Aviacion Civil, a 

## dependancy of the

4

## International Civil Aviation Organization (ICAO). He received his Private Pilot License, in 1979, from Escuela Tecnica Aeronautica of Monterrey, Nuevo Leon, Mexico. Capt. Fernandez received his Commercial Pilot License, in 1981, from Flight Proficiency School, in Dallas Texas, USA. He has since accummulated over 5100 hour of fight in his 27 years of aviation experience, with over 1200 hours in the Hawker. Capt. Fernandez is licensed to operate the company's Hawker and attends annual training courses, at Flight Safety in Wilmington, Delaware.
Copilot, Capt. Rodolfo F. Martinez G. received his Pilot's License in 1975. Joined Sierra in 2011, received his Unlimited Commercial Pilot's License in 1975 and has accumulated over 9400 hours of flight during his 39 years of aviation experience, with
over 4500 hours in the Hawker. Capt. Martinez is**~icensed** 

## to operate the company's Hawker and attends annual training courses, at Flight Safety in Wilmington, Delaware.

A composite of Sierra's key personnel is shown in Exhibit C.

5

## (f) Sierra has been financially self-sufficient and fully capable to continue providing transportation services to the companies enumerated in Paragraph 4(b).
(g) A copy of OST form 6411, Foreign Air Carriers Certificate of Insurance, is attached as Exhibit E. As shown therein, Sierra limits of liability exceed the requirements of 14 CFR Part 205.
(h) Sierra has not been involved in any safety violations, tariff violations or fatal accidents since its inception.
(i) Sierra does not have any agreement or cooperative working arrangements with any U.S. air carrier affecting its proposed services to the United States

5. Sierra's proposed U.S. services are consistent with the public interest for the following reasons:
(a) Sierra will be carrying executives to the U.S. on business, thereby fostering commerce between Mexico and the United States consistent with the objectives of the North American Free Trade Agreement (NAFTA)

6

## (b) Sierra's request for stopover privileges is consistent with the need of the executives using its services will, from time to time, need to stop at two or more places in the U.S. as part of their round trip itineraries. Sierra submits that no regulatory purpose would be served by preventing Sierra from responding to the stopover needs of its customers.

WHEREFORE, Sierra respectfully requests exemption authority to engage in charter foreign air transportation of persons and their accompanying baggage with small aircraft as set forth herein, and such other relief as may be in the public interest.

Agent for Service in the U.S. for Transportes Aereos Sierra Madre, S.A. de 

## C.V.

19 Mar 2013

7J 

### i 

## I 

# I i l

# l I OWNERSHIP of SIERRA 

## EXHIBIT A

TRANSPORTES AEREOS SIERRA MADRE, S.A. de C.V.


## SHAREHOLDER CITIZENSHIP PORCENTAGE 

# ============================================================ PATRICIA JUNCO ELBA JUNCO

TRANSPORTES AEREOS SIERRA MADRE,S.A. de C.V. MEXICAN 50 

## % 

## MEXICAN 50 

## %

## D.G.A.C. INTERNATIONAL AIR TAXI PERMIT of 

## TRANSPORTES AEREOS SIERRA MADRE, S.A. de C.V. 

## SIERRA EXHIBIT B:Na!nUtt H**(CUIUid:.IC:~U** YlUJtPQITD OIRECCICN GENER,t.L DE AERONAUTlCA CIVIL.. OIRECCION DE TRANSPORT! Y CONTROl. AERONAUTICO. SUEIOIRECCION DE AVIACION GENERAL 101.31)5. 101.421. 

### ,972
ASLlNTO· Se modiflca elPonn11c No:**102.~20-11570**tiel 02**~~** DCIUI>Ill cie 1gge. Me>i<c. D.F., a 07 c1e dic:iemtira dol 2000. TRANSPORTES AEREOS SIERRA MADRE, S.A. OE C.V. AIC. JORGE PAOILLI,AUO!FFREC. WASHINGTON 629 OTE. 64000 MONTIORREY, N.L En 'elp•·esta a au n!:tilo del 29 dt noYiembre**~el** pr$HIIIe, esta DireccianGeneral,eonfundamerr:oenIa$anlc:ua:;e.. fracciOn VI, VIII, IX.XIIyXIII.49,51 y 120 do Ia lay de Viae Generatet oe Ceomul\1-:aci<in; 10., 3o.,**~o.,** 5o
.. lra<ciOn I, incooo

## •>. 6o., fracc!onniV, V. XI yXII, 7c
.. 12.,**1~**•• 16., 17, 18., 24

.. 32., 35

..38

.. 42., 44,47

..fraccione• 1!, IV yv,**6~**.• 70.• 7-4., 78

..**e~.** ydemia aplicablot aIa Ley lie**A~iitd6n**yan roleaon conelarticulo 18 fraec-0.. VI. eel**Regi~~me:"llo** lrrttriorceilSecreliriedeComun.cac:ia!IHyiranaportH, rnodiliea el pcnn,so Nc. 102.42().11570**~** 02

### o•**oct~** c1e**1~,** yautorizl a IaemDteU TRANSPORTES AEREOS SIERRA &lAPRE,S.A. 0E C.V., a ineoliren IUequipo dt**vue!~** Ia Mronavtl BAE·12S. eOOA Mt.TRICULA XA.CHA, 

## P"''**reai~Z.W** Tl\AN$POfiTE NO REGULAR DE TAXI AEREO. INTERNAtiONAL0£PAUJI;ROS,uuoeau blude CP.Iracioneo ·enelAeropuerto delHorta I AON) an Montarrvy, .N.L., IUicla•1 CcntiJ>Inta**Amari~no.** parlo tanta elequipo expreaamenle autcrizado••el elguler114: · · · · EQUIPOAUTORIZADOA OPERAR: MATRICULA:

. XA.CHA.

. Etta mcdiflcaci6n debe**a~g;;;**..a "'astat:>leCldc enw permiao No. 102.42()..1 1570 del02lie**cc;t~bre**de 1996:·

. Para 11 cp.r'acl6n d•.ic')•'t..vualc(a) intemaciol!ll(es) Que 18 aUiorizaln). eSI empreoa queda obf<gidl a Clln)pi't**.cpn·l~**.loa .-.quisftos que eotabllz::a ;a ,l"irecci6noe Aviaci6n,**adicn.~**aeshl Direcci6n.· : •**~rei** de.A8rcin8utita Cioli. \'

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Fed Icle DeNchoa,**vla~~me.** De conlormidod ton Ia lay era**~•culc** 159 fracc:IOn II, ecsici6n d• Ia mlama.**~...** • eata modilicaciOn caUia d•recnlcholl**f~ =•h~cr** VI $336.00II.N. $**2,09!~00** M.N.:porreg!atro, • u o ' '

# LIST OF KEY PERSONNEL
NAME POSITION CITIZENSHIP SIERRA 

## EXHIBIT C



# TELEPHONE 

# ===================================================================== PATRICIA JUNCO PRESIDENT MEXICAN LIC. BERTHA EZETA GEN. MANAGER MEXICAN CAPT. MARIO FERNANDEZ CHIEF OPS/PILOT MEXICAN

COMPANY ADDRESS FOR ABOVE PERSONNEL IS:
TRANSPORTES AEREOS SIERRA MADRE, S.A. de C.V. WASHINGTON 629 OTE. MONTERREY, NUEVO LEON 64000 MEXICO 

# 011-528-345-5100 011-528-343-1798 011-528-346-7395

## FOREIGN AIR CARRIERS CERTIFICATE OF INSURANCE OST FORM 6411 of 

## TRANSPORTES AEREOS SIERRA MADRE, S.A. de C.V. SIERRA 

## EXHIBIT DAGENCY DISPLAYOF ESTIMATED BURDEN


### U.S. Departmentof Transportation The public reporting burden forthis collection of information is estimated to average 30 minutes per response. If you wish to comment on the accuracy of the estimate or make suggestions for reducing this burden, please direct your comments to: DOT and OMB atthe following.addresses: 

### Office of the Secretary of Transportation U.S. Department of Transportation Federal Aviation Administration Flight Standards Service, AFS 260 800 Independence Avenue, S.W

.. Office of Management and Budget and Office of Information and Regulatory Affairs Paperwork Reduction Proyect 2106-0030 Washington, D.C. 20591



## FOREIGN AIR CARRIERS- CERTIFICATE OF INSURANCE POLICIES OF INSURANCE FOR AIRCRAFT ACCIDENT BODILY INJURY AND PROPERTY DAMAGE LIABILITY FILING INSTRUCTIONS: File an original of this form with the Federal Aviation Administration, Flight Standards Service, AirTransportation Division, Program Management Branch, AFS-260, 800 IndependenceAvenue, S.W., Washington DC 20591 (Please type information, exceptsignatures.) THIS CERTIFIESTHAT:

### ------------.!Q:!t!B~E:..;D!:!!E!::...!!!!M!.!::E~X~IC~O~C,oOo2MwP~A~N~IA~D.!::.E..:::S:.=E~G~Uw:RO~S~S:!:..A~.**J:::D.:.E..::C~.V!..:..**--------- (Name of Insurer) has issued a policy or policies ofAircraft Liability Insuranceto. TRANSPORTESAEREOS SIERRA MADRE, S.A. DE C.V. WASHINGTON 629 OTE COL. CENTRO, C.P. 64000, MONTERREY, NUEVO LEON. (Name and address of Insured Foreign Air Carrier) effective from OCTOBER 27TH, 2012 until ten (10) days afterwritten noticefrom the insurer orcarrier ofthe intenttoterminate coverage is received bythe Department ofTransportation.

.._ NOTE: Part 205 of the Department's Regulations does not allowfor a predeterminedtermination date;and a certificate showing such a date is unacceptable. 1. The Insurer (Check One): is licensed to issue aircraft insurance policies in the United States; 

### ® is licensed orapproved by the government of MEXICO to issue aircraft insurance policies; or is an approved surplus line insurer in the State(s) of 2. The insurerassumes, underthe policy orpolicies listed below, aircraft accident liability insuredto minimums at least equal to the following during operation, maintenance, or use of aircraft in ''foreign airtransportation" as thatterm is defined in the Federal Aviation Act (Complete applicable section (s) below): A. CANADIAN CHARTER AIRTAXI OPERATORS WITH PART294 AUTHORITYONLY The aircraft covered bythis policy have: (1) 30 orfewer passenger seats and a maximum payload capacity of 7,500 pounds or less; and/or (2) a maximum authorized takeoff weight on wheels of no more than 35,000 pounds. (.Check separate or combined coverage as appropriate): Separate Coverages: Type of

### Liability Each person Combined Bodily Injury (Excluding Passengers other than cargo attendants) and Property Damage Liability $75,000 Passenger Bodily Injury Liability $75,000 Minimum Limit Each Occurrence $2,000,000*(See note) $75,000 x 75% of total number of passenger seats installed in the aircraft Combined Coverage: This combined coverage is a single limit of liabilityfor each occurr.ence at least equal tothe required minimums stated above for bodily injury (excluding passengers), property damage, and passenger bodily injury. PolicyNo

..______________ _ Amount of Coverage.

________ _ This policy covers CARGO operations onlyand excludespassenger liability insurance. NOTE: lf the aircraft covered by this policy have more than 30 passenger seats or more than a maximum payload capacity of 7,500 pounds, the minimum limit per occurrence shall be $20,000,000.

### OST Form 6411 OMB No. 2106-0030
B. FOREIGN AIR CARRIERS OPERATING SMALL AIRCRAFT The aircraft covered bythis policy are SMALLAIRCRAFT (i.e., with 60 orfewer passengerseats orwith a maximum payload capacity of 18,000 pounds or less). (Checkseparate orcombinedcoverage as appropriate): Separate Coverages: PolicvNo. Type ofLiability

----------- Combined Bodily Injury (Excluding Passengers other than cargo attendants) and Property Damage Liability Passenger Bodily Injury Liability Minimum Limit Each person

$300,000 $300,000 Each Occurrence $2,000,000 * (see note)

$300,000 x75% of total number of passengerseats installed in the aircraft @ Combined Coverage: This combined coverage is asingle limit of liabilityfor each occurrence at least equal tothe required minimums stated above for bodily injury (excluding passengers), property damaged, and passenger bodily injury. PolicyNo._ 400010162 Amount of Coverage.-'U""S""D""$,.,_1u0"",0'""0""0""',0""0""0'"-------------- This policy covers CARGO operations onlyand excludes passenger liability insurance. 

### C. FOREIGN AIR CARRIERS OPERATING LARGE AIRCRAFT The aircraftcovered bythis policy are LARGE AIRCRAFT (i.e., with morethan 60 passengerseats orwith a maximum payload capacity of more than 18,000 pounds). (Checkseparate orcombinedcoverage as appropriate): Separate Coverages: PolicvNo. Type ofLiabilitv Combined Bodily Injury (Excluding Passengers other than cargo attendants) and Property Damage Liability Passenger Bodily Injury Minimum Limit Each person $300,000

$300,000 Each Occurrence $20,000,000 

### * (see note) $300,000 x 75% of

total numberof passenger seats installed in the aircraft Combined Coverage: This combined coverage is a single limitof liabilityforeach occurrence at least equal tothe required minimums stated above for bodily injury (excluding passengers), property damaged, and passenger bodily injury. PolicyNo.

______________ _ Amount of Coverage.

________ _ This policy covers CARGO operations onlyand excludespassenger liability insurance. 3. The policy or policies listed in this certificate insure(s) (.Check One): Operations conductedwith all aircraft operated bythe insured Operations conductedwiththe following types of aircraft: Make and Model FAA or Foreign Flag Registration No.

@ Operations with the following aircraft: (Use additional page if necessary) HAWKER BAE-125-800A, SERIAL258241 , 1993, XA-CHA
4. Each policy listed in this certificate meets or exceeds the requirements in 14CFR Part 205. QBE DE MEXICO COMPANfA DE SEGUROS S.A. DE C.V. (Name ofInsurer) PANZACOLA NO. 621NT. 102-204 (Address) COL. VILLA COYOACANMEXICO D.F. (City, State, Zip Code) JOSEANTONIO VELAZQUEZPEREZ ALTERNATIVAS EN RIESGOS AGENTE DE SEGUROS Y DE FIANZAS, S.A. DE C.V. (Name ofBroker, ifapplicable) AVE. ROBLENO. 695-6. COL. VALLEDEL CAMPESTRE. (Address) MONTERREY. NUEVO LEON C.P. 66265

(City, State, Zip Code) LEOBARDO DELG Contact (person who can verifythe effectiveness ofthe coverage) rauthorizedrepresentative) 5255 5339.4000 

### I 52555339 6659

(Area Code, Phone Number) (Area Code, FaxNumber)

# \~A**~~ ngnatur~j**  MARCH 12TH 2013 (Date) 5281 8115-2901 (Area Code, FaxNumber)