UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY WASHINGTON, D.C.

Issued by the Department of Transportation on October 27, 2014



### NOTICE OF ACTION TAKEN

-- DOCKET DOT

- OST

- 20 07

- 26805

_____________________________________________________________________________________________________________________________ ___ This serves as notice to the public of the action described below, taken by the Department official indicated ( no additional confirming order will be issued in this matter).

Applicant : 

### Joint Stock Company “Aeroflot

- Russian Airlines ” Date Filed June 26, 2014

Relief requested: Renew e xemption from 49 U.S.C. § 4 0109 to engage in :

A. s cheduled foreign air transpo rtation of persons, property, and mail between a point or points in Russia, on the one hand, and Atlanta, Bangor, Boston, Cleveland, Columbus (Ohio), Dallas/Ft. Worth, Denver, Detroit, Honolulu, Houston, Huntsville, Las Vegas, Minneapolis, Philadelphia, Po rtland (Oregon) , and Toledo, on the other hand; 1

B. s cheduled foreign air transportation of persons, property, and mail between a point or points in Russia, on the one hand, and Baltimore, MD ; Buffalo, NY ; Charleston, SC ; Charlotte, NC ; Cincinnati, OH ; India napolis, IN ; Jacksonville, FL ; Nashville, TN ; New Orleans, LA ; Norfolk, VA ; Phoenix, AZ ; Pittsburgh, PA ; Raleigh

- Durham,

NC ; Richmond, VA ; Rochester, NY ; Salt Lake City, UT ; San Antonio, TX ; San Diego, CA ; St. Louis, MO ; Syracuse, NY ; Tampa, FL ; Montreal, Canada ; Quebec City, Canada ; and Tor onto, Canada, on the other hand; 2

and

C. scheduled foreign air transportation of persons, property, and mail between Yerevan, Armenia and Baku, Azerbaijan through points in the Russian Federation to Anchorage, AK; Atlant a, GA; Baltimore, MD; Bangor, ME; Boston, MA; Buffalo, NY; Charleston, SC; Charlotte, NC; Chicago, IL; Cincinnati, OH ; Cleveland, OH; Columbus, OH; Dallas/Ft. Worth, TX; Denver, CO; Detroit, MI; Honolulu, HI; Houston, TX; Huntsville, AL; Indianapolis, IN; Jacksonville, FL; Las Vegas, NV; Los Angeles, CA; Miami, FL; Minneapolis, MN; Nashville, TN; New Orleans, LA; New York, NY; Norfolk, VA; Orlando, FL; Philadelphia, PA; Phoenix, AZ; Pittsburgh, PA; Portland, OR; Raleigh

- Durham, NC; Richmond, VA; Rochester, NY; Salt Lake City, UT; San Antonio, TX; San Diego, CA; San Francisco, CA; Seattle, WA; St. Louis, MO ; Syracuse, NY; Tampa, FL; Toledo, OH; Washington, DC; Montreal, Canada; Quebec City, Canada; and Toronto, Canada. 3

If renewal, date and citation of last action s : July 1, 2013 ; October 29, 2013; and December 6, 2013, in this docket

.

Applicant representative: Don H. Hainbach (202) 763

- 3970

DOT Analyst: Shelita A. Johnson (202) 366

- 1226

Responsive pleadings: None filed

1 U nder the Agreement, Aeroflot may serve Cleveland, Denver, Detroit, Las Vegas, Minneapolis, and Philadelphia as the marketing

carrier on a code

- share

- only basis.

2 Unde r the Agreement, Aeroflot may serve these points as the marketing carrier on a code

- share

- only basis.

3 U nder the Agreement, Aeroflot may serve the following points as the marketing carrier on a code

- share

- only basis; Baltimore, MD; Buffalo, NY; Charlest on, SC; Charlotte, NC; Cincinnati, OH; Cleveland, OH; Denver, CO; Detroit, MI; Indianapolis, IN; Jacksonville, FL; Las Vegas, NV; Minneapolis, MN; Nashville, TN; New Orleans, LA; Norfolk, VA; Philadelphia, PA; Phoenix, AZ; Pittsburgh, PA; Raleigh

- Durham, N C; Richmond, VA; Rochester, NY; Salt Lake City, UT; San Antonio, TX; San Diego, CA; St. Louis, MO; Syracuse, NY; Tampa, FL; Montreal, Canada; Quebec City, Canada; and Toronto, Canada. We further note that under the Agreemen t, Aeroflot may serve the follow ing points, either with its own aircraft or as the marketing carrier in a code

- share arrangement: Anchorage, AK; Atlanta, GA; Bangor, M E ; Boston, MA; Chicago, IL; Columbus, OH, Dallas/Fort Worth, TX: Honolulu, HI ; Houston, TX; Huntsville, AL: Los Angeles, CA; Miami, FL; New York, NY; Orlando, FL; Portland, OR; San Francisco, CA; Seattle, WA; Toledo, OH; and Washington, DC.DISPOSITION

Action: Approved Action date : October 27, 2014

Effective dates of exemption authority granted: October 27, 2014

– October 27, 2015

Basis for approval (bilateral agreement/reciprocity) : The authority granted is consistent with the Annexes to the 1994

U.S.

- Russian Federation Air Transport Agreement. 4

Except to the extent exempted/waived, this authority is subject to the terms, conditions, and limitations indicated:

X Standard exemption conditions (attached) X Foreign air carrier permit ( Ord er 86

- 5

- 75 )

X Code

- Share conditions previously imposed on Joint Stock Company and Delta Air Lines , Inc. in this docket

Action taken by: Paul L. Gretch, Director

Office of International Aviation

_______________________________________________ __________________________________________________ Under authority assigned by the Department in its regulations, 14 CFR Part 385, we found that (1) the applicant is qualified to perform the proposed operations; (2) our action was consistent with Departmen t policy; (3) grant of the authority was consistent with the public interest; and (4) grant of the authority would not constitute a major regulatory action under the Energy Policy and Conservation Act of 1975. To the extent not granted/deferred/dismissed, we denied all requests in the referenced Docket. We may amend, modify, or revoke the authority granted in this Notice at any time without hearing at our discretion.

Persons entitled to petition the Department for review of the action set forth in this Notice under the Department’s regulations, 14 CFR § 385.30, may file their petitions within seven (7) days after the date of issuance of this Notice. This action was effective when taken, and the filing of a petition for review will not alter such effecti veness.

An electronic version of this document is available on the World Wide Web at: http://www.regulations.gov

4 On February 14, 2013, the United States and the Russian Federation agreed, ad referendum , to revised Annexes to the U.S.

- Russian

Fede ration Air Transport Agreement and stated that, pending their entry into force, the respective aeronautical authorities inten d to implement the provisions of those Annexes on the basis of comity and reciprocity.12/2007 Foreign Carrier Exemption Conditions

In the conduct of the operations authorized, the foreign carrier applicant(s) shall:

(1) Not conduct any operations unless it holds a currently effective authorization from its homeland for such operations, and it has filed a copy of such authorization with the Department;

( 2) Comply with all applicable requirements of the Federal Aviation Administratio n, the Transportation Security Administration, and with all applicable U.S. Government requirements concerning security, including, but not limited to, 14 CFR Parts 129, 91, and 36 and 49 CFR Part 1546 or 1550, as applicable. To assure compliance with all applicable U.S. Government requirements concerning security, the holder shall, before commencing any new service (including charter flights) from a foreign airport that would be the holder’s last point of departure for the United States, contact its Inter national Industry Representative (IIR) (formerly referred to as International Principal Security Inspector) to advise the IIR of its plans and to find out whether the Transportation Security Administration has determined that security is adequate

to allow such airport(s) to be served;

(3) Comply with the requirements for minimum insurance coverage contained in 14 CFR Part 205, and, prior to the commencement of any operations under this authority, file evidence of such coverage, in the form of a completed OST Form 6411, with the Federal Aviation Administration’s Program Management Branch (AFS

- 260), Flight Standards Service (any changes to, or termination of, insurance also shall be filed with that office);

(4) Not operate aircraft under this authority unl ess it complies with operational safety requirements at least equivalent to Annex 6 of the Chicago Convention;

(5) Conform to the airworthiness and airman competency requirements of its Government for international air services;

(6) Except as specifica lly exempted or otherwise provided for in a Department Order, comply with the requirements of 14 CFR Part 203, concerning waiver of Warsaw Convention liability limits and defenses;

(7) Agree that operations under this authority constitute a waiver of sov ereign immunity, for the purposes of 28 U.S.C. 1605(a), but only with respect to those actions or proceedings instituted against it in any court or other tribunal in the United States that are: (a) based on its operations in international air transportati on that, according to the contract of carriage, include a point in the United States as a point of origin, point of destination, or agreed stopping place, or for which the contract of carriage was purchased in the United States; or (b) based on a claim un der any international agreement or treaty cognizable in any court or other tribunal of the United States. In this condition, the term "international air transportation" means "international transportation" as defined by the Warsaw Convention, except that all States shall be considered to be High Contracting Parties for the purpose of this definition;

(8) Except as specifically authorized by the Department, originate or terminate all flights to/from the United States in its homeland;

(9) Comply with the requirements of 14 CFR Part 217, concerning the reporting of scheduled, nonscheduled, and charter data;

(10) If charter operations are authorized, except as otherwise provided in the applicable aviation agreement, comply with the Department's rules gover ning charters (including 14 CFR Parts 212 and 380); and

(11) Comply with such other reasonable terms, conditions, and limitations required by the public interest as may be prescribed by the Department, with all applicable orders or regulations of other U. S. agencies and courts, and with all applicable laws of the United States.

This authority shall not be effective during any period when the holder is not in compliance with the conditions imposed above. Moreover, this authority cannot be sold or otherwis e transferred without explicit Department approval under Title 49 of the U.S. Code.