CITY OF ATLANTA 

KASIM REED 

55 TRIN ITY AVENUE, S.W., S UITE 2400 

ATLANTA, GEORGIA 30303-0300 

MAYOR 

The Honorabl e Anthony R. Foxx 

Secretary of Transportation 

U.S. Department of Transportation 

1200 New Jersey Ave, S.E. 

Washington, D.C. 20590 

The Honorabl e John F. Kerry 

Secretary of State 

U.S. Department of State 

2201 C Street, N.W. 

Washington, D.C. 20520 

The Honorabl e Penny Pritzker 

U.S. Department o f Commerce 

1401 Constitution Ave .. N.W. 

Washington. D.C. 20230 

TEL 14041 330-6100 

May 12.20 15 

Dear Secretaries Foxx. Kerry and Pritzker: 

I am writing to express my concerns regarding the recent reports that government subsidies 

provided by the governments of Qatar and the United Arab Emirates ("UAE") to their three 

state-owned Gulf airlines - Qatar Airways. Etihad Airways and Emirates Airline- are violating 

the Open Skies agreements each government has with the United States. I have welcomed the 

cargo operations of Emirates SkyCargo and Qatar Airways to Hartsfi eld-Jackson Atlanta 

International Airport ("Hartsfield-Jackson"). However. these airlines must operate at 

Hartsfield-Jackson in accordance with the policies contained in the Open Skies agreements. 

I have learned that American Airlines. Delta Air Lines and United Airlines. as well as the largest 

unions in the airline industry, announced a partnershi p to encourage the U.S. government to level 

the playing fi eld for fair competition with the government-subsidized, state-owned airlines of 

Qatar and the UAE. Whil e I encourage international airlines to bring their flights, passengers and 

cargo to Atlanta, I am concerned o f reports that some international airlines may have received 

unfair government subsidies and benefits. 

s 10-150519-045 
The Honorable Anthony R. Foxx 

The Honorable John F. Kerry 

The Honorable Penny Pritzker 

May 12,2015 

Page 2 

According to the January 28, 2015 white paper entitled ... Restoring Open Skies: The Need to 

Address Subsidized Competition from State-Owned Airlines in Qatar and the UAE,'" Qatar 

Airways, Etihad Airways and Emirates Airline are fueled by massive subsidies. As detailed in 

the white paper, it is believed that the state-owned Gulf airlines have collectively received at 

least $42 billion dollars in government subsidies and other unfair benefits over the last ten years. 

As you know, our U.S. airlines do not receive government subsidies. 

The state-owned Gulf airlines have been expanding at a rapid pace in order to divert traffic 

through their own hubs. This route structure is not reflecti ve of supply and demand between the 

United States and Qatar and UAE. Instead. the Gulf airl ines appear to be taking advantage of 

unlimited funding of the aviation sectors in Qatar and the UAE and are growing at 

unprecedented and astounding rates. Our U.S. carriers strongly believe their market shares and 

revenues are at risk in light of this unprecedented expansion. If the subsidies outlined in the 

white paper have in fact been provided, the resulting unfair competition would threaten the 

airline routes and jobs that we depend on in Atl anta and ac ross the country. 

Economic development strategies pursued through subsidies contradict Open Skies policy, which 

is predicated on fair competition. Open Skies policies have allowed for greater access and 

growth of the aviation industry in the United States. to the benefit of U.S. travelers and the U.S. 

economy. The tactics by the Gulf airlines and their state sponsors outlined in the white paper 

create an uneven playing field contrary to the Open Skies policy developed by the United States. 

If unfair competition is permitted in contradi ction to the current Open Skies policy, service to all 

U.S. communities will suffer as our domestic airlines are forced to curtail fl ights. 

If U.S. airlines are pushed off of international routes and lose market share to the governmentowned Gulf airlines, it will mean American job losses. lt is estimated that every international 

roundtrip flight that is lost by a U.S. airline results in an average net loss of over 800 U.S. jobs. 

including pilots, flight attendants. maintenance workers. baggage crew. ticketing agents and 

others that are involved in a single overseas route. It is these aviation industry workers and those 

impacted throughout the community whose livelihoods depend on a healthy U.S. airline industry. 

Therefore. I ask you to open consultations with Qatar and the UAE, and put a freeze on any new 

capacity until this issue can be resolved . The U.S. Open Skies policy has served the citizens of 

Atl anta well. Please help to keep all Open Skies agreements open and fair by addressing any 

subsidies that may have been provided to these three airlines. 

s 10-150519-045 
CITY OF ATLANTA 

KASIM REED 

MAYOR 

55 TRINITY AVENUE. S.W. 

ATLANTA. GEORGIA 30303.0300 

s 1 0-150519-045 

The llonorable Anthony R. Foxx 

Secretary ofTransportation 

U.S. Department ofTransportation 

1200 New .I ersey Ave. S. E. 

Washington, D.C. 20590