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VIA EMAIL TRANSMISSION 

The Honorable Ray LaHood 

Secretary 

"::?ARTMENT OF 

" !J'JSPORTATION 

,:::1' OPERATIONS 

March 3, 2010 

U.S. Department of Transportation 

1200 New Jersey Avenue, SE 

Washington, D.C. 20590 

Dear Secretary LaHood: 

f S 1 0-1 00303-056 

Jonathan B. Hili 

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On November 25, 2009 Assistant Secretary Kurland wrote to counsel for 

Republic Airlines advising Republic that it could not become the holder and operate 

Midwest Airlines, Inc.'s two "within-perimeter" AIR-21 slot exemptions and five "slot 

slides" at Ronald Reagan Washington National Airport (DCA) that it had received when 

Republic purchased Midwest Airlines,lnc. That letter, a copy of which is attached for 

your reference, concluded 

we are satisfied that the transfer of the slot exemptions to Republic under 

the circumstances present here contravenes statutory and administrative 

direction, and section 41714( d) clearly limits slot slides to situations in 

which exceptional circumstances are shown. 

The Deparbnent detennined to "resolicit applications for the two AIR-21 slot 

exemptions .. ," and required Republic to submit an application for authority to continue --

to use the five slot slides within 60 days. In the interim, the Department pennitted 

Republic to operate the AIR-21 exemptions and slot slides pending the outcome of these 

proceedings. 

Despite the Department's conclusion that it must initiate a proceeding to 

determine which canier satisfies the criteria imposed by Section 41718(b) for the award 

of DCA AIR-21 slot exemptions, DOT has failed to initiate such resolicitation. Indeed, 

several inquires to your staffby our representatives during the preceding 60 days as to the 

timing of the resolicitation and have received no indication that the initiation of the 

proceeding is imminent. In the meantime, Republic has been continuing to use the two 

AIR-21 slots in violation of 49 USC §41718 (b). 

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The Honorable Ray LaHood 

March 3. 2010 

Page 2 

~:S 1 0-100303-056 

• 

In addition, with respect to the 5 slot slide exemptions. the Department concluded . 

that given Republic's holding over 100 exemptions at DCA the "exceptional 

circumstances" justifying the award of the exemptions to Midwest were no longer 

applicable. I Assistant Secretary Kurland indicated that Republic would have 60 days 

from November 29, 2009 to submit an application for authority to continue to use the five 

Midwest slots slides. Although the application was filed by Republic, no other caniers 

were invited to submit new competitive proposals and to date no action has been taken 

and Republic continues to utilize those five slots without proper authority under 49 USC 

§ 41714 (d). 

Despite our often stated desire to gain access to DCA, the traveling public 

continues to be ~enied the option oflow cost, award winning service from DCA that 

would be offered by a low cost camer such as-JetBlue and as required by 49 USC 

§ 4l718(b). JetBlue is prepared to use the two AIR-2l slots immediately and consider 

utilization of the additional five slots underlying the "slot slides" that Republic continues 

to use illegally. 

On behalf of JetBlue we ask that an immediate proceeding be started to reallocate 

these 7 slots at DCA. 

Enc. 

ce: Susan Kurland 

Robert Goldner 

Robert C. Land 

I Indeed, one of Republic's proffered justifications for continuing to operate the slot 

exemptions and slot slides was that Republic would continue to do business as "Midwest 

Airlines" and planned to request that IA T A issue Republic Midwest's YX designator 

code," Yet, Republic announced plans in late February to offer a "unified brand," 

indicating that Republic may drop the Midwest name, Tom Daykin, Republic Airways 

Plans 'UnifIed' Brand, May Drop Midwest Name, Milwaukee Journal Sentinel OnJine 

(Feb. 26, 2010) (available at: http://WWW.jsonline.com!business/85502612.html) 

("Republic Chatnnan Bryan Bedford said a new brand is coming soon, suggesting it 

might not use either the Midwest or Frontier name.").