BEFORE THE U.S. DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.

Application of
VIRGIN AMERICA INC.
for renewal ofexemption authoritypursuant to 49 U.S.C. 

### § 40109 (San Francisco- Puerto Vallarta) ) ) ) ) ) ) DOT- OST-2011-0130



# _____________________________________)

APPLICATION OFVIRGIN AMERICA INC. FORRENEWAL OF EXEMPTION
Communications with respect to this document should be sent to:

Christina Hanna Associate General Counsel Virgin America Inc. 555 Airport Blvd., Second Floor Burlingame, CA 9401 0 (650) 762-7149 (phone) (650) 762-7004 (fax) christina.hanna@ivirginamerica.com

May 21,2015 Malcolm L. Benge David M. Endersbee Jonathon H. Foglia Zuckert, Scoutt & Rasenberger L.L.P. 888 17th Street, NW Washington, D.C. 20006 (202) 298-8660 (phone (202) 202-342-0683 (fax) mlbenge@zsrlaw.com dmendersbee@zsrlaw.com jhfoglia@zsrlaw.com Counsel for Virgin America Inc.

Notice: Any person who wishes to support or oppose this Application may do so by filing an answerbyJune 5, 2015 and serving a copyonVirginAmerica and all personslisted onthe attached certificate of service.BEFORE THE 

### U.S. DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.



### Application of VIRGIN AMERICA INC. 

### for renewal ofexemption authoritypursuant to 49 U.S.C. § 

### 40109 (San Francisco Puerto Vallarta) ) ) ) ) ) ) 

## _____________________________________) DOT- OST-2011-0130

APPLICATION OFVIRGIN AMERICA INC. FOR RENEWAL OFEXEMPTION


### Pursuant to 49 U.S.C. § 

### 40109 and Subpart C ofthe Department's Rules ofPractice, Virgin America Inc. ("Virgin America") hereby applies for renewal ofits exemption authority authorizing Virgin America to (i) operate scheduled foreign air transportation of
persons, property, and mail between San Francisco and Puerto Vallarta, Mexico, and (ii) integrate this exemption authority with its other existing economic authority.

In support ofits application, Virgin America states as follows:
1. Virgin America is a Delaware corporation with its principal place ofbusiness at 555 Airport Blvd., Burlingame, CA 94010.
2. Virgin America is a citizen ofthe United States, as defined in 49 U.S.C. § 

### 40102(a)(15), and is authorized to engage in interstate air transportation ofpersons, property and mail pursuant to its certificate ofpublic convenience and necessity. See Order 2007-8-17 (Aug. 17, 2007) (confirming oral actions and issuing effective certificate authority).
3. Virgin America hereby incorporates byreference all datapreviously filed with the Department to establish Virgin America's fitness, and respectfully requests the Department take

-2-notice ofsuch datapursuant to Rule 24 ofthe Department's Rules ofPractice.

4. Under this exemption authority, Virgin America operates roundtrip San Francisco
-Puerto Vallarta flights with seasonal frequency variations using A320 aircraft.

5. ByNotice ofAction Taken dated July 24, 2013, the Department found that Virgin
America's services remained consistent with the terms ofthe U.S.- Mexico bilateral agreement and that grant ofthe requested renewal ofexemption and route integration authority for an additional two yearperiod was in the public interest. Renewal ofthe authorityrequested herein
remains in the public interest and is consistent with the terms ofthe U.S.- Mexico bilateral agreement. Virgin America's crossborder services provide valuable competition in the U.S.-
Mexico market.

6. Virgin America accepts and will comply with the Department's standard terms and conditions imposed on exemption authorities for scheduled foreign air transportation.

7. Virgin America's application for an exemptionposes no environmental, energy,

ornoise issues. Approval ofthis renewal application will notresult in a near-term increase in
fuel consumption of 10 million gallons ormore.
8. Virgin Americahereby states its intention to rely on the Administrative Procedure Act, 5 U.S.C. § 558(c), as implemented by 14 C.F.R. Part 377, to continue in effect its current exemption authoritypending a final determination on this renewal application. Virgin America's

current exemption is effective through July 24, 2015. Accordingly, this renewal application is timely filed pursuant to 14 C.F.R. § 377.10(c).

-3-WHEREFORE, for the foregoing reasons, Virgin America Inc. respectfullyrequests that
the Department renew its exemption authority for an additional two-year period, as more fully
described above. Virgin America further requests that the Department grant such other or additional reliefas it considers consistent with this Application and the public interest.

May 21, 2015 Respectfully submitted,

Malcolm L. Benge David M. Endersbee Jonathon H. Foglia Zuckert, Scoutt & Rasenberger L.L.P. 888 17th Street, NW Washington, D.C. 20006 (202) 298-8660 (phone (202) 202-342-0683 (fax) mlbenge@zsrlaw.com dmendersbee@zsrlaw.com jhfoglia@zsrlaw.com

Counsel for Virgin America Inc.

-4-

### VERIFICATION
Pursuantto Title 18 United States Code Section I001, I, Christina Hanna, in myindividual capacity and as the authorized representative ofthe applicant, have not in any manner knowingly orwillfully falsified, concealed orcoveredup anymaterial fact ormade any false, fictitious or fraudulent statement orknowingly used any documents which contain such statements in connection withthepreparation, filing orprosecution ofthis exemption application. I understand that an individual who is found to have violated the provisions of 18 U.S.C. Section 1001 shall be fined not more than $10,000 orimprisoned notmore than five years, or both.

# ~~~-~~·**~~~--** /

arne: Christina Hanna Date:**May~.** 2015 Title: Associate General CounselCERTIFICATE OF SERVICE I hereby certify that I caused a copy ofthe foregoing renewal applicationto be served, this the 21st day ofMay, 2015, via email transmission, onthe following persons: Dan Weiss Managing Director- International & Regulatory Affairs United Airlines 77 West Wacker Drive-HDQIZ Chicago, IL 60601 dan.weiss@united.com Stephen J. Morrissey Managing Director, Regulatory and Policy United Airlines, Inc. 1225 New York Avenue, NW- DCAIZ Suite 1100 Washington, DC 20005 steve.morrissey@united.com abby.bried@united.com
Gerald F. Murphy Steven J. Seiden Crowell & Moring United Airlines, Inc. 1001 Pennsylvania Avenue, N.W. Washington, D.C. 20004 gmurphy@crowell.com sseiden@crowell.com
Aaron Goerlich Counsel for Florida West International Airways Garofalo Goerlich Hainbach PC 1200 New Hampshire Avenue NW Suite 800 Washington, D.C. 20036-6802 agoerlich@ggh-airlaw.com Anita Mosner Jennifer Nowak Counsel for United Parcel Service Holland & Knight 800 17th Street, N.W. Suite 1100 Washington, D.C. 20006 Anita.mosner@hklaw.com Jennifer.nowak@hklaw.com dsmalls@ups.com
AlexanderVan der Bellen Chris Walker Delta Air Lines 1212 New York Avenue, NW Suite 200 Washington, D.C. 20005 Sascha.vanderbellen@delta.com chris.walker@delta.com
Robert Wirick Howard Kass Francis Heil American Airlines, Inc. 1101 Seventeenth Street, N.W. Suite 600 Washington, D.C. 20036 Robert.wirick@aa.com Howard.kass@aa.com Francis.heil@aa.com
Joan Canny John L. Richardson Counsel for Amerijet International John L. Richardson, P.L.L.C. 555 13th Street, N.W. Suite 420 West Washington, D.C. 20004 jrichardson@johnlrichardson.com jcanny@amerijet.comSandra Lunsford Sharon Pasley Bailey Leopard Legal and Regulatory Affairs Federal Express Corporation 3620 Hacks Cross Road Building B, 3rct Floor Memphis, TN 38125 sllunsford@fedex.com Sharon.pasley@fedex.com gbleopard@fedex.com
MarkW. Atwood Stephen Lachter Counsel for Kalitta Air and Frontier Airlines Cozen 0'Connor AnnyNavy Building 1627 I Street, NW Suite 1100 Washington, D.C. 20006 matwood@cozen.com slachter@cozen.com
Pierre Murphy Counsel for XtraAirways 1200 New Hampshire Avenue, N.W. Suite 590 Washington, D.C. 20036-6802 pmurphy@lopmurphy.com ldunn@xtraairways.com
Robert W. Kneisley Associate General Counsel-Federal Affairs Southwest Airlines Co. and AirTran Airways 1250 Eye Street, N.W. Suite 1110 Washington, D.C. 20005 bob.kneisley@wnco.com Jonathan B. Hill J. Parker Erkmann Counsel for Hawaiian Airlines Cooley LLP 1299 Pennsylvania Avenue, NW Suite 700 Washington, DC 20004 jhill@cooley.com perkmann@cooley.com
Thomas Ting MN Airlines, LLC dba Sun Country Airlines 1300 Mendota Heights Road Mendota Heights, MN 55120 Thomas.Ting@suncountry.com
Joanne W. Young David Kirstein Counsel for Spirit Airlines and America West Airlines Kirstein & Young PLLC 1001 Pennsylvania Ave., N.W. Suite 600 South Washington, DC 20004 jyoung@yklaw.com dkirstein@yklaw.com John R. Mietus, Jr. Counsel for Centurion Air Cargo Law Office ofJohn Mietus, LLC 315 C Street, SE, Lower Level Washington, DC 20003 john@mietuslaw.com Brian Gillman Executive Vice President and General Counsel Mesa Air Group (Freedom Airlines) 410 N. 44th Street Suite 700 Phoenix, AZ 85008 brian.gillman@mesa-air.comJohnS. Duncan Director Flight Standards Service Federal AviationAdministration 800 Independence Avenue, S.W. Room 821 Washington, D.C. 20591 jolm.s.duncan@faa.gov
David Heffernan Counsel for Alaska Airlines and Horizon Air Cozen 0'Connor Army Navy Building 1627 I Street, NW Suite 1100 Washington, D.C. 20006 dheffernan@cozen.com Jeremy Ross SeniorAttorney Alaska Airlines and Horizon Air Horizon Air 19300 International Blvd. Seattle, WA 98188 Jeremy.Ross@AlaskaAir.com Evelyn Sahr Drew Derco Counsel for JetBlue Airways Eckert Seamans Cherin & Mellott, LLC 1717 Pennsylvania Avenue, NW, 12th Floor Washington, DC 20006 esahr@eckertseamans.com dderco@ecketiseamans.com
Robert E. Cohn Partick Rizzi Counsel for Republic Airways Hogan Lovells 555 13th Street, N.W. Washington, D.C. 20004 robert.cohn@hoganlovells.com Patrick.rizzi@hoganlovells.com

# 101,~ Kathy Luhrman