UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, D.C.

Issued by the Department of Transportation on December 18, 2013

NOTICE OF ACTION TAKEN -- DOCKET DOT-OST-2013-0135

_______________________________________________________________________________________________

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: AIR CONTRACTORS (IRELAND) LTD (Air Contractors)

Date Filed: July 9, 2013; as supplemented July 17, 2013, and August 12, 2013; and amended November 20, 2013

Relief requested: Exemption under 49 U.S.C. §40109 to engage in:

i. foreign scheduled and charter air transportation of persons and property from any point or points behind any Member State of 

the European Union, via any point or points in any Member State and via intermediate points to any point or points in the 

United States and beyond;

ii. foreign scheduled and charter air transportation of persons, property, and mail between any point or points in the United 

States and any point or points in any member of the European Common Aviation Area; 

iii. foreign scheduled and charter cargo air transportation between any point or points in the United States and any point or points;

iv. other charters pursuant to the prior approval requirements set forth in 14 CFR Part 212 of the Department’s Economic 

Regulations; and

v. transportation authorized by any additional route rights that may be made available to European Union carriers in the future.

Air Contractors states that it intends to operate Ireland-U.S. services on behalf of Aer Lingus Limited (Aer Lingus) beginning in 

January 2014.In thisregard, the applicant requests a statement of authorization pursuant to 14 CFR Part 212 of the Department's 

regulations to the extent necessary to enable it to engage in a long term wet-lease agreement with Aer Lingus for operation of Aer 

Lingus’ servicesin the Shannon-New York (JFK), Shannon-Boston, Dublin-New York (JFK), and Dublin –Boston markets.1

 

Applicant representative: Paul Hughes, 353 1 812 1151 DOT analyst: Darren Jaffe, 202-366-2512

Responsive pleadings: None.

DISPOSITION

Action: Approved, subject to conditions.(See conditions and remarks below.)

 

Action date: December 18, 2013

Effective dates of authority granted: The exemption authority granted to Air Contractorsis effective December 18, 2013, through 

December 18, 2015. The statement of authorization granted to Air Contractors to permit it to engage in a long-term wet-lease to Aer 

Lingus is effective December 18, 2013, through December 18, 2015, subject to conditions.

Basis for approval (bilateral agreement/reciprocity): U.S.-EU Air Transport Agreement.

 1 In its August 12, 2013 filing, the applicant also requested statements of authorization pursuant to 14 CFR Part 212 to permit it to

display the (UA*) designator code of United Air Lines and the (B6*) designator code of JetBlue Airways on flights it operated on 

behalf of Aer Lingus in the referenced markets. In its November 20, 2013 amendment, Air Contractors indicated that it was no 

longer pursing its pending request for code-share authority but rather would apply separately for the code-share statements of 

authorization once code-share audit requirements had been completed. 
Except to the extent exempted/waived, this authority is subject to the terms, conditions, and limitations of our standard exemption 

conditions attached as Appendix A.

Special conditions/Remarks: Based on the record in this case, we found that Air Contractorsis operationally and financially qualified 

to conduct the proposed services, and that it is substantially owned and effectively controlled in a manner consistent with the 

provisions of the U.S.-EU Agreement.2

 We also note that the applicant is properly licensed by its homeland to perform the proposed 

services. In addition, on September 10, 2013, the Federal Aviation Administration advised us that it knew of no reason why we 

should act unfavorably on the applicant’s requestfor exemption authority. 

With regard to the authority granted here to permit the applicant to conduct transportation authorized by any additional route rights 

made available to European Union carriers in the future, we are requiring Air Contractors, before it commences any new service 

under this authority, to provide us, in Docket DOT-OST-2013-0135, with evidence that it holds a homeland license for that new 

service, unless it has already provided such evidence. 

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) our action was consistent with 

Department policy; (2) the applicant was qualified to perform its proposed operations; (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 effectiveness.

An electronic version of this document is available on the World Wide Web at:

http://www.regulations.gov

 2 We make this finding based on Article 2 (Reciprocal Recognition of Regulatory Determinations with Regard to Airline Fitness 

and Citizenship) of the Protocol to amend the U.S.-EU Air Transport Agreement, signed June 24, 2010.
Appendix A

Foreign Air Carrier Exemption Conditions

In the conduct of the operations authorized, the foreign carrier applicant 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 Administration, 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 International 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 unless 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 specifically 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 sovereign 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 transportation 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 

under 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 

a Member State of the European Union;

(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 governing 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 otherwise transferred without explicit Department approval 

under Title 49 of the U.S. Code.

EU carrier 01/2008