BEFORE THE DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.

Application of

DELTA AIR LINES, INC.

for a statement of authorization pursuant to 14 C.F.R. Part 212 (U.S.-Vietnam Codesharing) ) ) ) ) ) ) ) ) ) ) ) Docket DOT-OST-2010-

APPLICATION OF DELTA AIR LINES, INC. FOR A STATEMENT OF AUTHORIZATION

Communications with respect to this document should be sent to:

March 23, 2010 Alexander Van der Bellen, Managing Director, Government Affairs and Associate General Counsel Jeff Morgan Regional Director, Government Affairs DELTA AIR LINES, INC. 1212 New York Avenue, NW Suite 200 Washington, DC 20005 (202) 842-4184 sascha.vanderbellen@delta.com

NOTICE: Delta is conducting a poll on this application and will advise the Department of the results as soon as possible.BEFORE THE DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.

Application of

DELTA AIR LINES, INC.

for a statement of authorization pursuant to 14 C.F.R. Part 212 (U.S.-Vietnam Codesharing) ) ) ) ) ) ) ) ) ) ) ) Docket DOT-OST-2010-

APPLICATION OF DELTA AIR LINES, INC. FOR A STATEMENT OF AUTHORIZATION Delta Air Lines, Inc. (“Delta”) hereby applies pursuant to 14 C.F.R. Part 212 for a blanket statement of authorization to display the “VN” code of Vietnam Airlines Corporation (“Vietnam Airlines”) on flights operated by Delta. The proposed services are expressly authorized under the U.S.-Vietnam Air Transport Services Agreement. Vietnam Airlines is a flag carrier of Vietnam. Delta and Vietnam Airlines have entered into a codeshare agreement under which Vietnam Airlines will display its code on Delta operated flights. 1 This codesharing arrangement will create important benefits for the traveling public and will enable Vietnam Airlines to expand its network to the United States, while providing Delta with valuable marketing support. Delta and Vietnam Airlines seek to begin offering codeshare services as soon as possible. 2

1 The Delta/Vietnam Airlines codeshare agreement provides for reciprocal codeshare services, however, Vietnam Airlines is not seeking authority to display the Delta code on Vietnam Airlines operated services at this time. Accordingly, no IO SA safety audit of Vietnam Airlines is required to support the instant application. Vietnam Airlines plans to seek authority to carry the DL code when regulatory conditions would permit such service.

2 Delta hereby requests a waiver of the 45-day adv ance filing requirement under Part 212 so that Delta/Vietnam Airlines codeshare serv ice may be introduced without delay.Application of Delta Page 2 Specifically, Delta requests a blanket statement of authorization under 14 C.F.R. Part 212 to display Vietnam Airlines’ VN designator code in conjunction with foreign air transportation of persons, property, and mail on flights operated by Delta as follows: • Between any point or points in the United States 3 and any point or points Vietnam (on a nonstop basis and intermediate routings via points in Japan and open-skies points); • Between U.S. points; and • Beyond the United States to any open-skies point or points. In support of this Application, Delta submits the following: 1. Vietnam Airlines holds exemption authority to conduct scheduled foreign air transportation of persons, property, and mail between points behind Vietnam, via Vietnam and intermediate points, to 25 co-terminal U.S. points and beyond, on a code-sharing basis with authorized U.S. and third-country air carriers. The existing exemption was approved by Notice of Action Taken dated December 6, 2005 (Docket OST-2000-8562). Vietnam’s authority continues in force under the automatic renewal provisions of the Administrative Procedures Act by virtue of a timely-filed renewal application submitted on November 28, 2007.

2. Delta holds numerous certificates of public convenience and necessity and exemptions which authorize Delta to engage in scheduled foreign air transportation of persons, property and mail between points in the United States and points around the world. More particularly, Delta holds exemption authority to provide U.S.-Vietnam service

3 In accordance with bilateral requirements, Vietnam Airlines’ code will be displayed to a maximum of 25 codeshare-only points in the United States selected by the Government of Vietnam.Application of Delta Page 3 via Japan. NOAT Dated 11/20/08 (OST-2008-0355); Order 2001-8-21 (OST-2000-7194); Order 2009-1-8 (Delta/Northwest Route Transfer). 4 3. The proposed codeshare services are fully consistent with the Open Skies Air Service Agreement between the United States and Vietnam. U.S.-Vietnam Agreement, Article 8, paragraph 7. 4. The proposed codeshare services are fully consistent with the public interest and DOT policy. The Department recognized in its 1995 International Policy Statement that codeshare services such as those proposed herein produce important public benefits: Code sharing and other cooperative marketing arrangements can provide a cost-efficient way for carriers to enter new markets, expand their systems and obtain additional flow traffic to support their other operations by using existing facilities and scheduled operations. Because these cooperative arrangements can give the airline partners new or additional access to more markets, the partners will gain traffic, some stimulated by the new service, and some diverted from incumbents. In this way, cooperative arrangements can enhance the competitive positions of both partners in such a relationship. Increased international code sharing and other cooperative arrangements can benefit consumers by increasing international service options and enhancing competition between carriers, particularly for traffic to or from cities behind major gateways. By stimulating traffic, the increased competition and service options shoul d expand the overall international market and increase overall opportunities for the aviation industry. 5

Codesharing by Delta and Vietnam Airlines will help maximize the range of service options available to the traveling and shipping public and will make both carriers more competitive for U.S.-Asia traffic.

5. Codeshare Markets and Blanket Authorizations

4 This statement of authorization application does not involve the display of Delta code on any Vietnam Airlines flights. Before introducing new Delta-coded or Delta-operated services in the U.S.-Vietnam marketplace, Delta will seek any additional underlying certificate or exemption authority that may be necessary to support such services in the future.

5 U.S. International Air Transportation Policy St atement, 60 Fed. Reg. 21841, 21842 (May 3, 1995).Application of Delta Page 4 (A) A redacted version of the Delta/Vietnam Airlines codeshare agreement (ATTACHMENT B) sets forth the initial codeshare markets at Exhibit A-1. (B) Delta recognizes the current limitation of 25 codeshare-only points available to Vietnam Airlines in the United States, pursuant to Annex III (C) and requests that this blanket statement extend to the 25 currently-selected U.S. points designated by the Government of Vietnam. (ATTACHMENT A)

. 6 Should the Government of Vietnam change its selection of points, Delta will provide 30 days advance notice prior to the introduction of service in this docket. (C) Delta will also provide 30 days prior written notice before introducing service to intermediate or beyond points in non-open skies countries. (D) Delta requests that this application serve as blanket notification of codeshare service to beyond and intermediate Open Skies points, which are available to Vietnam Airlines Under Annex 1, Section 1 of the U.S.-Vietnam Agreement. 6. Delta requests, consistent with the Department's precedents in other codeshare dockets, that the statement of authorization be issued for an indefinite period, so long as the Delta/Vietnam Airlines codeshare agreement continues in effect. Delta will notify the Department if the agreement should cease to be effective. 7. Vietnam Airlines will abide by the consumer notification requirements of 14 C.F.R. Part 257 as well as the other conditions applicable to codeshare services operated to or sold in the United States. 8. Delta's engagement in codeshare services with Vietnam Airlines will not affect Delta’s commitment of aircraft to the CRAF program.

6 The 25 U.S. codeshare points authorized for se rve by the Government of Vietnam may be served by any authorized rout ing or gateway.Application of Delta Page 5 WHEREFORE, Delta respectfully requests that the Department grant the

statement of authorization described above.

Respectfully submitted,

___________________ Alexander Van der Bellen, Managing Director, Government Affairs and Associate General Counsel DELTA AIR LINES, INC.CERTIFICATE OF SERVICE A copy of the foregoing document has been served this 23rd day of March, 2010, upon the following persons via email: gucarneal@hhlaw.com carl.nelson@aa.com dan.weiss@coair.com hershel.kamen@coair.com rbkeiner@crowell.com (for Continental) mrosia@crowell.com (for Continental) jeffrey.manley@united.com julie.oettinger@united.com howard.kass@usairways.com benjamin.slocum@usairways.com esta.rosenberg@dot.gov keith.glatz@dot.gov mike.orr@airlineinfo.com