BEFORE THE

U.S. DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

_____________________________________ Application of )

)

AIRTRAN AIRWAYS, INC. )

) Docket No. OST

- 2010

- 0146

under 49 U.S.C. § 40109 for renewal of )

exemption authority (Milwaukee, Wisconsin

– )

Cancun, Mexico ) )

_____________________________________ )

APPLICATION OF AIRTRAN AIRWAYS, INC.

FOR RENEWAL OF EXEMPTION

Communications with respect to this document should be sent to:

Bob Jordan Robert W. Kneisley

President Associate General Counsel

AIRTRAN AIRWAYS, INC. Leslie C. Abbott

9955 AirTran Boulevard Senior Attorney

Orlando, FL 32827 SOUTHWEST AIRLIN ES CO.

1901 L Street, N.W., Suite 640

Washington, D.C. 20036

bob.kneisley@wnco.com

(202) 263

- 6284

May 3 , 2012

NOTICE : Any per son may file an answer to this A pplication in this docket and

served on the persons listed above, on or before May 1 7 , 2012. AIRTRAN WILL

POLL THE U.S. CARRIE RS ON THE ATTACH ED SERVICE LIST REGA RDING THIS

A PPLICATION AND WILL NOTIFY THE DEPARTMEN T OF THE RESULTS AS

SOON AS POSSIBLE.1 BEFORE THE

U.S. DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

_____________________________________ Application of )

)

AIRTRAN AIRWAYS, INC. )

) Docket No. OST

- 2010

- 0146

under 49 U.S.C. § 40109 for renewal of )

exemption authority (Milwaukee, Wisconsin

– )

Cancun, Mexico ) )

_____________________________________ )

APPLICATION OF AIRTRAN AIRWAYS, INC.

FOR RENEWAL OF EXEMPTION

Pursuant to 49 U.S.C. § 40109, AirTran Airways, Inc. (“AirTran”) 1 hereby applies

for renewal of exemption authority to engage in scheduled foreign air transportation of

persons, property, and mail between Milwaukee, Wisconsin (“MKE”) and Cancun,

Mexico (“CUN”)

. Th e Department of Transportation (“DOT”) originally awarded t his

exemption authority to AirTran by Notice of Action Taken on June 23, 2010 in this

Docket

. The current exemption is scheduled to expire on June 23, 2012. 2 To ensure

no interruption of scheduled service, AirTran respectfully requests prompt renewal of its

exemption authority for a minimum of two years

.

Renewal of the subject exemption is in the public interest for the same reasons

that supported the original issuance of authority for AirTran’s MKE

- CUN service.

AirTran ’s service has provided consumers with high

- qual ity, low

- cost travel options and

1 AirTran Airways, Inc. is a wholly owned subsidiary of Southwest Airlines Co.

2 To the extent necessary, AirTran relies upon the automatic extension provisions of 5 U.S.C. § 558(c) to maintain the

subject authority in effect beyond the expiration date, pending DOT action on this Application.2

low

- fare competition in this market using Stage III Boeing 737

- 700 aircraft configured for

137 seats . C ontinuation of this service is in the public interest.

AirTran continues to be fit, willing and able to conduct the services described in

this A pplication . In fact, the Department recently granted AirTran exemption authority to

provide service in several other U.S.

– Mexico markets including MDW

- CUN, AUS

CUN, DEN

- CUN, MDW

- CUN, SAT

- CU N, SAT

- MEX, SNA

- MEX, and SNA

- SJD

. See

Docket s OST

- 2012

- 0001 (MDW

- CUN), OST

- 2012

- 0007 (AUS/DEN

- CUN) a nd OST

2011

- 0205 (SAT

- CUN/MEX and SNA

- MEX/SJD)

. AirTran requests that the Department

take official notice, pursuant to Rule 24 of the Department's Rules of Practice, of all data

on file with the Department necessary to establish AirTran 's fitness.

The requested renewal of exemption authority is fully consistent with the terms of

the U.S.

- M exico Air Transport Agreement (Agreement)

, as amended by the two

governments on December 12, 2005. The Agreement a uthorizes air carriers

designated by the U.S. to operate “[f]rom a point or points in the United States to a point

or points in Mexico.” Annex I(A)(1)(a). Pursuant to the amended Agre ement, three U.S.

carrier designations are authorized on U.S.

– CUN routes . Annex I(B)(5) , and AirTran

serves MKE

- CUN as one of three designated U.S. airlines

.3

WHEREFORE, AirTran Airways , Inc. resp ectfully requests renewal of its

exemption authority under 49 U.S.C. § 40109 for a minimum of two years to provide

scheduled foreign air transportation of persons, property, and mail between Milwaukee,

Wisconsin and Cancun, Mexico.

Respectfully submitted,

______________________ Robert W. Kneisley

May 3 , 20124 C ERTIFICATE OF SERVIC E

I hereby certify that on May 3 , 2012 , a copy of the foregoing was served via e

mail on the following persons:

msinick@ssd.com (Alaska Airlines)

carl.nelson@aa.com (American Airlines)

sascha.vanderbellen@delta.com (Delta Air Lines)

robert.cohn@hoganlovells.com (Frontier Airlines)

jhill@dowlohnes.com (JetBlue Airways)

dkirstein@yklaw.com (Spirit Airlines)

John.Fredericksen@sunco untry.com (Sun Country Airlines)

dan.weiss@united.com (United Air Lines)

howard_kass@usairways.com (US Airways)

pmurphy@lopm urphy.com (USA3000)

jegillick@zsrlaw.com (Virgin America)

susan.kurland@dot.gov

paul.gretch@dot.gov

brian.hedberg@dot.gov

brett.kruger@dot.gov

Barry Bateman

Airport Director

General Mitchell International Airport

bbatema n@mitchellairport.com

info@airlineinfo.com

__________________________ Leslie C. Abbott