BEFORE THE DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.

) In the matter of the application of ) ) CONCESIONARIA VUELA COMPAÑÍA DE AVIACIÓN, ) Docket DOT-OST-2011-_____ S.A.P.I. DE C.V. d/b/a VOLARIS ) ) for an exemption from 49 U.S.C. §41301 ) )

APPLICATION FOR EXEMPTION Communications with respect to this document should be addressed to: Alfonso Ascencio Triujeque Director Juridico Concesionaria Vuela Compañía de Aviación, S.A.P.I. de C.V. d/b/a Volaris Av. Prolongacion Paseo de la Reforma 490, Piso 1 Col. Santa Fe Pena Blanca Mexico D.F. 01210 Mexico alfonso.ascencio@volaris.com.mx

DATED: June 20, 2011BEFORE THE DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.

) In the matter of the application of ) ) CONCESIONARIA VUELA COMPAÑÍA DE AVIACIÓN, ) Docket DOT-OST-2011-_____ S.A.P.I. DE C.V. d/b/a VOLARIS ) ) for an exemption from 49 U.S.C. §41301 ) )

APPLICATION FOR EXEMPTION Concesionaria Vuela Compañía de Avi ación, S.A.P.I. de C.V. d/b/a Volaris (“Volaris”), pursuant to the provisions of T itle 49 of the United States Code and Subpart C of the Department of Transportation’s (“Department”) Rules of Practice, hereby requests an exemption from 49 U.S.C. 41301 a nd from any other provisions of Title 49 and the Economic Regulations of the Depart ment to the extent necessary to permit Volaris to engage in the scheduled forei gn air transportation of persons, property and mail between (i) Monterrey, Mexico, and Chica go (Midway), Illinois; (ii) Mexico City, Mexico, and Las Vegas, Nevada; and (iii) Mexico City, Mexico, and Los Angeles, California. Volaris requests an exemp tion valid for a one-year period, limited and

conditioned as described herein. Volaris w ill commence service on these routes shortly after receipt of the Department’s approval.Application of Concesionaria Vuela Compañía de Aviación, S.A.P.I. de C.V. d/b/a Volaris Docket DOT-OST-2011-________ June 20, 2011

- 2 - Volaris submits it is fit, willing and able to perform these services and that the services are clearly consistent with the pub lic interest. In support of its application,

Volaris states as follows: 1. Volaris is a low cost, low fare carrier that provides a high level of service, reliability, and safety for its passengers. Volaris began operations on March 13, 2006, and today serves numerous cities within Mexico with additional domestic and international expansion plans. Volaris’ pr incipal base of operations is Adolfo López Mateos International Airport in the City of Toluca (TLC) in the Estado de México, located approximately 70 kilometers west of Mexico City. Volaris utilizes Airbus A319 and A320 aircraft in all operations. All of Vo laris’ aircraft are configured in a single class, with leather seats and generous pitch between seats, and are equipped with V2500 engines manufactured by International Aero Engines. Volaris is a citizen of Mexico. 2. Volaris currently holds exemptions authorizing it to operate charter and

various scheduled services to the United States. 1 The Department has previously found that Volaris is operationally and financially qualified to operate charter and scheduled

1 See , Notices of Action Taken in Dockets DOT-OST-2009-0036, DOT-OST-2009-0071, DOT-OST-2009- 0119, DOT-OST-2009-0128, DOT-OST-2009-0242, DOT-OST-2009-0308, DOT-OST-2010-0035, DOTOST-2011-0020, DOT-OST-2011-0031 and DOT-OST-2011-0072Application of Concesionaria Vuela Compañía de Aviación, S.A.P.I. de C.V. d/b/a Volaris Docket DOT-OST-2011-________ June 20, 2011

- 3 - services between the United States and Mexico, and that it is properly licensed by the

Government of Mexico to serve the United States. 2 3. Volaris requests authority from the Department, on a conditional and extrabilateral basis, to engage in scheduled combination foreign air transportation between (i) Monterrey and Chicago (Midway); ( ii) Mexico City and Las Vegas; and (iii) Mexico City and Los Angeles. Volaris w ill utilize Airbus A319/A320 aircraft on these routes. Volaris requests that the Department approve its request on a conditional basis so that Volaris can provide substitute service on these three routes until Mexicana Airlines

resumes service on them. 4. On December 12, 2005, the United States and Mexico signed an amendment to the Air Transport Agreemen t of August 15, 1960, broadening air transport services between the two countries and perm itting designated Mexican carriers to operate from “a point or points in Mexico to a point or points in the United States.” 3 While the Monterrey-Chicago (Midway), Mexico City-L as Vegas and Mexico City-Los Angeles routes are within the scope of the U.S.-Mexic o bilateral, Mexican carrier designations for these routes are not available currently. The designations for these routes are assigned to

Mexicana as well as another Mexican carrier . Mexicana has not operated since late

2 Id.

3 Annex I(A)2(a)Application of Concesionaria Vuela Compañía de Aviación, S.A.P.I. de C.V. d/b/a Volaris Docket DOT-OST-2011-________ June 20, 2011

- 4 - August 2010, shortly after it sought bankruptcy protection, and it remains subject to the supervision of the Mexican bankruptcy authorities. Under Mexican law, the Government of Mexico cannot re-assign (even temporarily) any of Mexicana’s designations while it is under the protection of the Concurso Mercantil (which is equivalent to U.S. bankruptcy procedures). As a result, Mexico is unable to substitute another Mexican carrier for temporary service on Mexicana’s routes, leav ing a number of U.S.-Mexico routes with substantially decreased competition, fewer se rvice options and higher fares. Volaris therefore requests approval of its applicati on on a conditional basis allowing it to provide service on these three routes until Mexicana resumes flight operations on them. 5. Approval of Volaris’ application is justified and would be consistent with

the state of aviation relations between the Un ited States and Mexico. Neither the United States nor Mexico anticipated the exceptional circumstances that exist today in the U.S.- Mexico market. The bilateral reflects both countries’ determination that at least two, and in many cases three, carriers of each side s hould at all times be permitted to operate in each market. Yet today, in a number of markets only a single Mexican carrier is operating and competing with multiple U.S. carriers. The bilateral’s designation provisions were never intended to, and ought not, be applied in a manner leading to unequal opportunities for one side.Application of Concesionaria Vuela Compañía de Aviación, S.A.P.I. de C.V. d/b/a Volaris Docket DOT-OST-2011-________ June 20, 2011

- 5 - 6. Included with this application is the Government of Mexico’s letter confirming the Concurso Mercantil’s restrictions and requesting the Department’s

assistance and favorable consideration of Volaris’ application under the unique

circumstances described above. The Mexican Government’s letter makes clear that any such authorization would be temporary and that it would not result in Mexican carrier operations on any U.S.-Mexico route in excess of the bilateral limit. 4 7. Volaris will accept from the Department a condition permitting it to operate in the Monterrey-Chicago (Midway), Mexico City-Las Vegas and Mexico CityLos Angeles markets until Mexicana resumes fli ght operations in the respective market. To the extent passengers may hold Volaris tickets for a route on which Volaris has ceased service, Volaris will accommodate such passengers on another Mexican or U.S. carrier or provide them with full refunds. 8. Volaris is subject to the safety and operational rules of the Government of Mexico. Mexico is a contracting party to the Convention on International Civil Aviation and observes all applicable ICAO standards. 9. This exemption application raises no environmental or energy issues. All service will be operated with modern, Stage 3 aircraft that meet all applicable noise

4 Exhibit AApplication of Concesionaria Vuela Compañía de Aviación, S.A.P.I. de C.V. d/b/a Volaris Docket DOT-OST-2011-________ June 20, 2011

- 6 - abatement requirements. Similarly, approval of this request will not result in a near-term increase in fuel consumption of ten million gallons or more.

WHEREFORE , Concesionaria Vuela Compañía de Aviación, S.A.P.I. de C.V. d/b/a Volaris respectfully requests that it be exempted from 49 U.S.C. 41301 and the Department’s Regulations to the extent nece ssary to permit Volaris to provide scheduled combination service in foreign air transportation, as more fully described herein. Respectfully submitted, /s/ Alfonso Ascencio Triujeque

______________________________________ Alfonso Ascencio Triujeque Director Juridico Concesionaria Vuela Compañía de Aviación, S.A.P.I. de C.V. d/b/a Volaris Av. Prolongacion Paseo de la Reforma 490, Piso 1 Col. Santa Fe Pena Blanca Mexico D.F. 01210 Mexico alfonso.ascencio@volaris.com.mx

DATED: June 20, 2011CERTIFICATE OF SERVICE

I hereby certify that the foregoing Appli cation for Exemption has this day been served on all persons listed on the attached serv ice list via e-mail, telecopier or first class mail, postage prepaid. /s/ Alfonso Ascencio Triujeque

_________________________________ Alfonso Ascencio Triujeque

DATED: June 20, 2011

sascha.vanderbellen@delta.com ; sametta.c.barnett@delta.com ; jeff.morgan@delta.com dan.weiss@coair.com ; steve.morrissey@united.com efaberman@wrf.com msinick@ssd.com howard.kass@usairways.com ; benjamin.slocum@usairways.com jhill@dowlohnes.com mlbenge@zsrlaw.com dkirstein@yklaw.com carl.nelson@aa.com pmurphy@lopmurphy.com ; pmurphy@ggh-airlaw.comEXHIBIT ASubsecretary of Transport Directorate General of Civil Aeronautic 4.1.1301

“2011 Year of Tourism in Mexico”

PAUL L. GRETCH Director, Office of International Aviation U.S. Department of Transportation 1200 New Jersey Avenue, SE Washington, DC 20590 Mexico City, June 10, 2011 I hereby make reference to the Agreement Between the Government of The United States of America And The Government of the Un ited Mexican States Of August 15, 1960, as amended and extended, which established that each one of the Parties may designate up to two airlines for each city-pair in most cases, and up to three airlines in 14 markets, for the operation of the combination scheduled air services specified in Annex I to the Agreement. Regarding this matter, and taking into account the circumstances c onfronting one of the Mexican airlines (Mexicana de Aviación) which is desi gnated in accordance with such bilateral instrument in various city-pairs, and that at this moment we cannot withdraw its designation and give it to another airline to operate in the same city-pair, I would be very thankful if, within the framework of the good bilateral cooperation and relations, especially in the matter of air transportation, which have always distinguished our countries, you would consider gi ving to the Mexican airline Concesionaria Vuela Compañía de Aviación, S.A.P.I. de C.V., “VOLARIS”, an extra bilateral authorization for the routes México-Las Vegas, México-Los Angeles y Monterrey Chicago, for the operation of scheduled combination services, with the understanding that such authorization will be as stated in the Agreement referred to above while Mexicana de Aviación does not operate on such routes, meaning that during such period the [designation] limit of two airlines in each city-pair, or three, will be exceeded, as the case may be, and that such authorization will be extra-bilateral and temporary in nature. Pending of a favorable response to this petition of a special nature, I take this opportunity to send my best regards.

S I N C E R E L Y EFFECTIVE SUFFRAGE, NO RE-ELECTION GENERAL DIRECTOR MR. HÉCTOR GONZÁLEZ WEEKS

SSR /RGG C.C. Mr. Felipe Duarte Olvera-Sub secretary of Transportation C.C. Directorate General of Civ il Aeronautic- Offices –President C.C. Concesionaria Vuela Compañía de Aviación, S. A.P.I. “Volaris”-Avenida Prolongación Paseo de la Reforma #490, first floor, Col. Santa Fe Peña Blanca, Z.C. 01210.- President. [A stamped seal reading:] S.C.T. Directorate General of Civil Aeronautic

Jun 10 2011 Correspondence Sub-directorate of Regular Aviation Dispatch