### UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY WASHINGTON, DC

Issued by the Department of Transportation on November 24, 2010

NOTICE OF ACTION TAKE N -- DOCKET DOT-OST-2010-0285

__________________________________________________________________________________________ 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).

Application of DELTA AIR LINES, INC. (Delta) filed 11/16/10 for:

XX Allocation of 12 U.S.-China frequencies in order to provide scheduled combination service, as follows: (1) five frequencies to provide scheduled combinat ion service between Detroit, Michigan and Beijing, People’s Republic of China and (2) seven frequenci es to provide daily combination service between Tokyo and Guangzhou, People’s Republic of China. 1

XX Request for expedited action. 2

Applicant Rep: Alexander Van der Bellen (202) 842-4184 DOT Analyst: Thuy H. Cooper (202) 366-5423

DISPOSITION

XX Granted (subject to conditions, see below)

The above action was effective when taken: November 24, 2010 . The allocation of the frequencies will remain in effect indefinitely, subject to conditions.

Action taken by: Paul L. Gretch, Director

Office of International Aviation

XX The authority granted is consistent with the Air Transport Agreement, as amended, between the United States and the People’s Republic of China.

Except to the extent exempted or waived, this authorit y is subject to the terms, conditions, and limitations

indicated: XX Holder’s certificates of public convenience and necessity

______________________________________________________________________________________________ Responsive Pleadings: Delta polled interested parties, and only Am erican Airlines, Inc. (American) objected. American filed an answer stating that of the 12 freque ncies requested, it does not object to an award of five frequencies from the pool of unallocated frequencies; how ever, American opposes Delta’s request for an additional seven frequencies given that Delta has seven dormant U.S. -China frequencies (two for Seattle-Beijing and five for Atlanta-Shanghai). American argues th at Delta should be required to use sev en frequencies currently covered by a dormancy waiver before nearly depl eting the unallocated frequency pool.

1 Delta states that it proposes to operate five times weekly Detroit-Beijing service beginning July 1, 2011. Delta further states that it proposes to operate daily Tokyo Narita-Guangzhou service beginning April 6, 2011. The carrier notes that its Tokyo-Guangzhou route will initially originate in San Francisco; however, it will integrate its authority to serve Guangzhou from U.S. points in order to offer U.S.-Tokyo-Guangzhou service.

2 On November 18, 2010, Delta requested expedited action on its application in its reply to American’s answer.Delta filed a reply stating that it is currently offering fi ve weekly Seattle-Beijing flight s and has just announced the resumption of two weekly Atlanta-Shanghai flights. Delta states that there are more than enough frequencies to accommodate its request. It notes that after the grant of its request for 12 new China frequencies, there would still be two frequencies immediately available for allocation. Al so, 14 new frequencies will become available for allocation on March 25, 2011, and a further 14 on March 25, 2012, for a total of 30 available U.S.-China frequencies in the near term. Delta states that given the absence of a competing pr oposal by American, and the non-objection of every other U.S. carrier authorized to serve China, there is no r eason to foreclose Delta’s ab ility to increase service on these

routes.

Three civic parties (the Wayne County Airport Authority, the Port of Seattle, and Hartsfield-Jackson Atlanta International Airport) submitted replie s in support of Delta’s request.

Decision: We have decided to grant Delta’s request for 12 additional frequencies. Under the circumstances presented here, where we have unallocated frequencies with substantially more becoming available soon, and no competing applications for the frequencies Delta has requ ested, we have determined that it is in the public interest to grant Delta the full complement of frequenci es it has requested. With regard to American’s assertion that Delta should instead be required to draw from its existing China frequencies that are currently under a dormancy waiver, we note that Delta has already announced plans to institute new service with certain of those frequencies, and we believe that under the present circumst ances it should be allowed the continued flexibility to introduce new service with those frequencies in a timely manne r. Therefore, we will grant the request of Delta for 12 weekly U.S.-China scheduled combination frequen cies for its proposed Detroit-Beijing and Tokyo NaritaGuangzhou services.

We note that with our action here, two U.S.-China schedul ed combination frequencies remain immediately available

for allocation. We further note that an additional 14 scheduled combination U.S.-C hina frequencies will become available effective March 25, 2011.

Conditions: Consistent with our standard practice, the freque ncies awarded to Delta are subject to a dormancy condition. We remind the carrier that any frequencies not operated for a period of 90 days (once inaugurated and for any reason other than seasonal use) would be deemed dormant and the allocation with respect to each such frequency would expire automatically a nd the frequency would revert to the Department for reallocation. In addition, if Delta does not begin service with all of the allocated frequencies for its Tokyo-Guangzhou service within 90 days of April 6, 2011, its proposed start-up date , the unused frequencies will automatically revert to the Department for reallocation. With respect to the frequencies for the Detroit-Beijing service, Delta must inaugurate service with all five frequencies within 10 days of July 1, 2011 ( i.e. , by July 11, 2011), the carrier’s proposed start-up date. Any such frequency not inaugurate d by July 11, 2011 will revert to the Department.

_ ______________________________________________________________________________________________________ Under authority assigned by the Department in its regula tions, 14 CFR Part 385, we found that (1) our action was consistent with Department policy; (2) grant of the author ity was consistent with the public interest; and (3) 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, 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 with in 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