### Order 2010 - 05 - 17 UNITED STATES OF AMERICA DEPARTMENT OF TRANSPORTATION OFFICE OF THE SECRETARY WASHINGTON, D.C. Issued by the Dep artment of Transportation

on March 4, 2010 Served: May 13, 2010

Docket DOT - OST - 2005 - 22228

ORDER ISSUING CERTIFICATE Summary By this order we grant United Air Lines, Inc. (referred to as United or the captioned a ir carrier) consolidated certificate authority to provide combination service in various U.S. - Mexico markets for which United holds economic authority by exemption or certificate. Background and Consolidation Request In furtherance of the Department’s r egulatory streamlining initiative for licensing U.S. air carriers, we announced by Notice on February 13, 2009 (February Notice) our intention to realign the existing non - open - skies economic authority held by carriers already holding a blanket open - skies c ertificate into new consolidated certificates of public convenience and necessity. 1 

### We stated that we would realign economic authority involving markets, other than Mexico, that are not open skies partners of the United States into two certificates

– an i ndefinite duration certificate for markets that are not entry - or frequency - limited and a five - year certificate for limited - entry and limited - frequency markets so that all authority in limited - entry or limited - frequency markets will have a common expiratio n date. We stated that we would cover a carrier’s U.S. - Mexico authority in a separate certificate, as a carrier must obtain new economic authority on a city - pair basis each time it proposes to add a new city - pair market to its U.S. - Mexico services.

1 Notice dated February 13, 2009, in Docket DOT - OST - 2005 - 22228. 

### In the Matter of Consolidated International Route Authority for: UNITED AIR LINES, INC. under 49 U.S.C. §4 1102 for a certificate of public convenience and necessity (U.S. - Mexico)

### We invited carriers to request realignment of their economic authority by submitting a letter to the

streamlining docket, Docket DOT - OST - 2005 - 22228, identifying the authority to be included in the new certificates. Specifically, the carrier must identify the authority it holds for a particular market, whether it is limited to code - share services only, whether the market is entry - or frequency - limited, the number of the order in which the authority was granted (for previously issued certificate authority) and the docket in which it was granted (for exemption authority). We stated that if no issues arise making it impractical to consolidate currently held authority as requested by the carrier, we would draft a self - executing final order designed to issue the no n open - skies market certificate(s) upon completion of the 49 USC 41307 Presidential review process. By letter dated December 4, 2009, 2 

### United requested a consolidated U.S. - Mexico certificate, and provided a listing of the U.S. - Mexico city - pair markets for which it seeks consolidation. 3 

### Decision Under assigned authority and consistent with our streamlining and consolidated certificate initiative, we have decided to grant United’s consolidation request and to reissue United’s existing economic authority to serve various city pairs in the U.S. - Mexico market. United is eligible to receive the consolidated certificate, as described in the February Notice, as it holds a blanket open - skies certificate. 4 

### Our action here establishes for the carrier a new route certificate, attached at Appendix A. Each U.S. - Mexico city - pair market is included in the certificate as a route segmen t. The attached certificate also authorizes United to provide services beyond Mexico City to named foreign points in conjunction with c ertain services. We find that grant of the certificate is consistent with the public convenience and necessity. 5 

### We find further that the pending consolidated certificate request is not controversial and that it is appropriate to grant the authority at i ssue here under simplified procedures, as explained in the February Notice. 6 

### The authority in the attached certificate is consistent with the aviation agreement between the United States and Mexico, authorizing the use of rights for which the United St ates has exchanged valuable operating rights. All of the authority conferred here contributes to the variety of price and service options available to travelers and shippers.

2 As corrected on December 29, 2009, and February 1, 2010 . 3 The city - pair markets for which United seeks a consolidated ce rtificate are listed in Appendix B. This Appendix also identifies markets that are limited to code - share services only, those markets that may be served on a seasonal basis, and those markets that provide for services beyond Mexico City. 4 By Order 200 7 - 4 - 19, United was issued a Certificate of Public Convenience and Necessity for Route 838, authorizing the carrier to serve the open - skies partners of the United States. 5 Based on officially noticeable data, the Department has found the captioned air c arrier fit, willing, and able to engage in foreign scheduled air transportation of persons, property, and mail using large aircraft. See Order 2007 - 4 - 19. 6 In accordance with 14 CFR § 302.207, et seq ., we may, in our discretion, omit a tentative decis ion in proceedings and proceed directly to a final decision.

### We therefore find, under assigned authority, that the public interest warrants granting United the

consolidated certificate attached at Appendix A, subject to the conditions attached. The attached certificate of public convenience and necessity is subject to the standard terms, conditions, and limitations we consistently impos e in the public interest. 7 

### The certificate holder may request amendment of the certificate to include newly obtained U.S. - Mexico authority through the addition of a new route segment, as described in the February Notice. Upon effectiveness, the authori ty granted by this order supersedes any orders previously issued or actions taken by the Department granting the carrier operating rights in the listed markets. For those services currently operated under an exemption, the exemption will terminate upon th e effectiveness of the attached certificate of public convenience and necessity. Findings and Conclusions In view of the foregoing and all the facts of record, we find and conclude that: 1. It is consistent with the public convenience and necessity to issu e the captioned air carrier the certificate attached as Appendix A to this order; 2. On the basis of data officially noticeable under 14 CFR 302.24 of the Department’s regulations, the captioned air carrier is a citizen of the United States and is fit, willi ng, and able to perform properly the foreign air transportation described in the attached certificate and to conform to the provisions of Subtitle VII of Title 49, United States Code (Transportation), and to the Department’s rules, regulations, and require ments; 3. The public interest requires that the exercise of the privileges granted by the attached certificate be subject to the terms, conditions and limitations contained in the attached certificate and to such others required by the public interest as the Department may prescribe; 4. The issuance of the attached certificate to the captioned air carrier does not constitute a major regulatory action under the Energy Policy and Conservation Act of 1975, as defined by section 313.4(a)(1) of the Department’s regu lations; 8 

### and 5. The public interest does not require an oral evidentiary hearing or a show - cause proceeding on the application and the actions taken here. There are no material, determinative issues of fact requiring such procedures for their resolution. In view of the above, and acting under authority assigned by the Department in its regulations, 14 CFR Part 385, we find that our action here is consistent with Department policy.

7 See Appendix B for the type of service (direct carrier (own - aircraft) vs. code - share - only) authorized in each U.S. - Mexico city - pair market, including the level of service (year - round vs. seaso nal) the carrier provides in each market. We remind the carrier to follow established procedures for requesting conversions of its direct - carrier/code - share authority and/or noticing service level changes. 8 Our finding is based on the fact that the gran t of this portion of the application would not result in a near - term increase in annual fuel consumption in excess of 10 million gallons.

### ACCORDINGLY,

1 . We issue, as attached in Appendix A, a certificate of p ublic convenience and necessity to United Air Lines, Inc., covering U.S. - Mexico city - pair markets ( as well as certain authority to serve beyond Mexico City to named foreign points ) which United Air Lines, Inc., is authorized to serve by exemption or cert ificate; 2. This order supersedes any orders previously issued or actions taken by the Department to the extent such order or action grants the carrier operating rights, by certificate or exemption, in markets covered by the attached certificate; 3. Th e certificate issued to United Air Lines, Inc., will be effective upon the service date of this order; 4. Unless disapproved by the President of the United States under 49 U.S.C. § 41307, this order shall become effective upon the 61st day after its su bmission for § 41307 review, or upon the date of receipt of advice from the President or his designee under Executive Order 12597 and implementing regulations that he or she does not intend to disapprove the Department’s order under that section, whichever occurs earlier; 9 

### and 5. We will serve this order on United Air Lines, Inc.; the Ambassador of Mexico in Washington, D.C.; the U.S. Department of State (Office of Aviation Negotiations), and the Federal Aviation Administration. By: PAUL L. GRETCH Director Office of International Aviation (SEAL) An electronic version of this document is available on the World Wide Web at: http://www.regulations.gov

9 This order was submitted for revi ew under 49 USC Section 41307 on March 4, 2010. The 61 st day is May 4, 2010. Sin ce the President or his designee did not disapprove this order before that date, it became effective on May 4, 2010.

### Appendix A



# Experimental Certificate o f Public Convenience and Necessity

for ROUTE 902 This Certifies That 

# United Air Lines, Inc. is authorized, subject to the provisions of Subtitle VII of Title 49 of United States Code, the orders, rules, and regulations issued thereunder, and the attached Terms, Conditions, and Limitations, to engage in foreign air transportation of persons, property and mail. This certificate is not transferable without the appr oval of the Department of the Transportation. By Direction of the Secretary Issued by Order 2010 - 05 - 17 Paul L. Gretch On March 4, 2010 Director, Office of Effective on May 4, 2010 International Aviation

### Order 2010 - 05 - 17 Route 902 Page 1 of 3 Terms, Conditions, and Limitations United Air Lines, Inc. for Ro ute 902 is authorized to engage in scheduled foreign air transportation of persons, property and mail over the following U.S. - Mexico city - pair route segments:

Charlotte - Cozumel Los Angeles - Cancun Charlotte - Mexico City Los Angeles - Puerto Vallarta Los Angeles - San Jose del Cabo Chicago - Cancun Chicago - Cozumel Chicago - Mexico City New York/Newark - Acapulco Chicago - Puerto Vallarta New York/Newark - Cancun Chicago - San Jose del Cabo New York/Newark - Cozumel New York/Newark - Mexico City Cleveland - Cancun New York/Newark - Puerto Vallarta New York/Newark - San Jose del Cabo Denver - Cancun San Francisco - Cancun Denver - Mexico City San Francisco - Mexico City Denver - Puerto Vallarta San Francisco - Puerto Vallarta Denver - San Jose del Cabo San Francisco - San Jo se del Cabo Houston - Acapulco Washington, D.C. - Cancun Houston - Aguascalientes Washington, D.C. - Mexico City Houston - Cancun Houston - Chihuahua Los Angeles - Mexico City and Houston - Ciudad del Carmen beyond Mexico City to the following Houston - Cozume l points: Houston - Durango Houston - Guadalajara Buenos Aires, Argentina Houston - Huatulco Belem, Brazil Houston - Ixtapa/Zihuatanejo Brasilia, Brazil Houston - Leon/Guanajuato Rio de Janeiro, Brazil Houston - Manzanillo Sao Paulo, Brazi l Houston - Mazatlan Barranquilla, Colombia Houston - Merida San Jose, Costa Rica Houston - Mexico City San Salvador, El Salvador Houston - Monterrey Guatemala City, Guatemala Houston - Morelia Georgetown, Guyana Houston - Oaxaca Teguciga lpa, Honduras Houston - Puebla Managua, Nicaragua Houston - Puerto Vallarta Panama City, Panama Houston - Queretaro Paramaribo, Suriname Houston - San Jose del Cabo Port of Spain, Trinidad and Tobago Houston - San Luis Potosi Montevideo, Uru guay Houston - Saltillo Caracas, Venezuela Houston - Tampico Maracaibo, Venezuela Houston - Toluca Houston - Torreon Houston - Veracruz Houston - Villahermosa

### Order 2010 - 05 - 17 Route 902 Page 2 of 3 This authority is s ubject to the following conditions: (1) The holder shall at all times conduct its operations in accordance with the regulations prescribed by the Department of Transportation for the services authorized by this certificate, and with such other reasonable terms, conditions, and limitations as the Department of Transportation may prescribe in the public interest. (2) The holder shall at all times conduct its operations in accordance with all treaties and agreements between the United States and other countr ies, and the exercise of the privileges granted by this certificate is subject to compliance with such treaties and agreements and with any orders of the Department of Transportation issued under them. To the extent that the holder has authority to serve more than one country or points in more than one country on the same route segment, that authority does not confer upon the holder any additional rights (including fifth - freedom intermediate and/or beyond rights) in limited - entry markets unless the Departm ent has completed any necessary carrier selection procedures to determine which carrier(s) should be authorized to exercise such rights and has notified the foreign country(ies) involved that any such selected carrier(s) has the required authority. In suc h cases, the fact that the carrier may hold authority to serve the countries (points) at issue on the same segment will not be considered as providing any preference to the holder in a carrier selection proceeding. (3) The exercise of the authority grante d here is subject to the holder’s first obtaining from the appropriate foreign governments such operating rights as may be necessary. (4) The holder’s authority is effective only to the extent that such operations 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, 49 CFR Part 1544. To assure compliance with all applicable U.S. Go vernment requirements concerning security, the holder shall, before commencing any new service (including charter flights) to or from a foreign airport, contact its Principal Security Inspector (PSI) to advise the PSI of its plans and to find out whether t he Transportation Security Administration has determined that security is adequate to allow such airport(s) to be served. (5) The holder shall at all times remain a “Citizen of the United States,” as required by 49 U.S.C. 40102(a)(15). (6) The holder shall maintain in effect liability insurance coverage as required under 14 CFR Part 205. Failure to maintain such insurance coverage will render a certificate ineffective, and this or other failure to comply with the provisions of Subtitle VII of 49 U.S.C . or the Department’s regulations shall be sufficient grounds to revoke this certificate. (7) The holder acknowledges that this certificate is granted to determine if the holder’s projected services, efficiencies, methods, rates, fares, charges, and other projected results will, in fact, materialize and remain for a sustained period of time, and to determine whether the holder will provide the innovative and low - priced air transportation it proposed in its application for this authority.

### Order 2 010 - 05 - 17 Route 902 Page 3 of 3 (8)(a) The holder may combine services on all city - pair route segments of this certificate and combine services on this certificate with U.S. - Mexico combination services authorized by other Department of Transportation certificates or exemptions, subject to the conditions below. (8)(b) The provisions in paragraph (8)(a), above, shall not authorize services which would constitute multiple designations on city - pair route segments where such multiple de signations are not agreed to by the United States and Mexico. (9) The holder shall file a notice with the Department if it discontinues services on a city - pair route segment for 90 days or longer. This notice shall be given as soon as the decision to di scontinue service (other than seasonal/intermittent) is made, but in no case later than the 91 st 

### day of dormancy. Notices shall be filed in the form of a letter addressed to the U.S. Department of Transportation, U.S. Air Carrier Licensing Division, X - 44, 1200 New Jersey Avenue, SE, Washington, DC 20590, and shall identify the dormant city - pair route segment, and the date the market became (or will become) dormant. (10) Should the holder propose any substantial changes in its o wnership, management, or op erations (as that term is defined in 14 CFR 204 of the Department’s regulations), it must comply with the requirements of 14 CFR 204.5. (11) In the event the holder ceases all operations for which it was found “fit, willing, and able,” its authority und er this certificate shall be suspended under the terms of 14 CFR 204.7 and the holder may neither recommence nor advertise such operations unless its fitness to do so has been redetermined by the Department. Moreover, if the holder does not resume operati ons within one year of its cessation, its authority shall be revoked for dormancy. (12 )(a) The holder may combine its authority on the route segment for Washington, D.C. - Mexico City service with its authority to serve the Los Angeles - Mexico City and bey ond route segment in this certificate in order to provide service beyond Mexico City to the foreign points named in this certificate. (1 2)(b) The holder shall make a stop at Mexico City on all flights serving a point or points beyond Mexico City. The a uthority to serve each city - pair route segment in this certificate shall continue in effect until May 4, 2015; notwithstanding the above , however , the authority to serve any city - pair route segment shall expire automatically and revert to the Department (a ) the 90 th 

### day after the holder discontinues service on that segment, or (b) the holder notifies the Department (as provided in this certificate) that the segment is dormant, whichever occurs earlier; unless the Department earlier suspends, modifies, or de letes the authority.

### Appendix B Page 1 of 2 List of Currently - Held U.S. - Mexico Economic Authority Submitted for Consolidation by United Markets Where United is Authorized to Provide Service Using its Own Aircraft Market Type of Authority Dock et Number Level of Service Chicago - Cancun Exemption DOT - OST - 2005 - 23496 Year - round Chicago - Cozumel Exemption DOT - OST - 2004 - 17490 Seasonal Chicago - Mexico City Certificate (Rt. 566) DOT - OST - 1999 - 5846 Seasonal Chicago - Puerto Vallarta Exemption DOT - OST - 2005 - 22767 Year - round Chicago - San Jose del Cabo Exemption DOT - OST - 2005 - 21156 Year - round Denver - Cancun Exemption DOT - OST - 2004 - 18692 Year - round Denver - Mexico City Exemption DOT - OST - 2002 - 12502 Seasonal Denver - Puerto Vallarta Exemption DOT - OST - 2004 - 1 8692 Seasonal Denver - San Jose del Cabo Exemption DOT - OST - 2004 - 17676 Seasonal Los Angeles - Cancun Exemption DOT - OST - 2005 - 22360 Year - round Los Angeles - Puerto Vallarta Exemption DOT - OST - 2008 - 0243 Year - round Los Angeles - San Jose del Cabo Exemption DOT - OST - 2008 - 0056 Year - round San Francisco - Cancun Exemption DOT - OST - 2004 - 17685 Seasonal San Francisco - Mexico City Certificate (Rt. 566) DOT - OST - 1999 - 5846 Year - round San Francisco - Puerto Vallarta Exemption DOT - OST - 2004 - 17685 Seasonal San Francisco - San Jose del Cabo Exemption DOT - OST - 2004 - 17685 Seasonal Washington, DC - Cancun Exemption DOT - OST - 2003 - 16210 Year - round Washington, DC - Mexico City 1 Certificate (Rt. 566) DOT - OST - 1999 - 5846 Year - round Los Angeles - Mexico City Certificate (Rt. 566) DOT - OST - 1999 - 5846 Year - round and beyond Mexico City to: Buenos Aires, Argentina Belem, Brazil Brasilia, Brazil Rio de Janeiro, Brazil Sao Paulo, Brazil Barranquilla, Colombia San Jose, Costa Rica San Salvador, El Salvador Guatemala City, Guatemala Georgetown, Guyana Tegucigalpa, Honduras Managua, Nicaragua Panama City, Panama Paramaribo, Suriname Port of Spain, Trinidad and Tobago Montevideo, Uruguay Caracas, Venezuela Maracaibo, Venezuela

1 The carrier may combine its route authority to serve Washington, D.C. - Mexico City with its route authority to serve Los Angeles - Mexico City in order to provide certain beyond Mexico City services ( see certificate for named points beyond Mexico City, along with applicable certificate conditions).

### Appendix B Page 2 of 2 List of Currently - Held U.S. - Mexico Economic Authority Submitted for Consolidation by United Markets Where United is Authorized to Provide Service on a Code - Share Basis Only Market Type of Authority Docket Number Level of Service 2 Charlotte - Cozumel Exemption DOT - OST - 2003 - 14576 Year - round Charlotte - Mexico City Exemption DOT - OST - 2003 - 14576 Year - round Cleveland - Cancun Exemption DOT - OST - 2009 - 01 92 Year - round Houston - Acapulco Exemption DOT - OST - 2009 - 0192 Seasonal Houston - Aquascalientes Exemption DOT - OST - 2009 - 0192 Year - round Houston - Cancun Exemption DOT - OST - 2009 - 0192 Year - round Houston - Chihuahua Exemption DOT - OST - 2009 - 0192 Year - round H ouston - Ciudad del Carmen Exemption DOT - OST - 2009 - 0192 Seasonal Houston - Cozumel Exemption DOT - OST - 2009 - 0192 Year - round Houston - Durango Exemption DOT - OST - 2009 - 0192 Seasonal Houston - Guadalajara Exemption DOT - OST - 2009 - 0192 Year - round Houston - Huatulco Exempt ion DOT - OST - 2009 - 0192 Year - round Houston - Ixtapa/Zihuatanejo Exemption DOT - OST - 2009 - 0192 Year - round Houston - Leon/Guanajuato Exemption DOT - OST - 2009 - 0192 Year - round Houston - Manzanillo Exemption DOT - OST - 2009 - 0192 Year - round Houston - Mazatlan Exemption DOT - O ST - 2009 - 0192 Seasonal Houston - Merida Exemption DOT - OST - 2009 - 0192 Year - round Houston - Mexico City Exemption DOT - OST - 2009 - 0192 Seasonal Houston - Monterrey Exemption DOT - OST - 2009 - 0192 Year - round Houston - Morelia Exemption DOT - OST - 2009 - 0192 Seasonal Houston - Oaxaca Exemption DOT - OST - 2009 - 0192 Seasonal Houston - Puebla Exemption DOT - OST - 2009 - 0192 Year - round Houston - Puerto Vallarta Exemption DOT - OST - 2009 - 0192 Seasonal Houston - Queretaro Exemption DOT - OST - 2009 - 0192 Seasonal Houston - San Jose del Cabo Exemption DO T - OST - 2009 - 0192 Seasonal Houston - San Luis Potosi Exemption DOT - OST - 2009 - 0192 Year - round Houston - Saltillo Exemption DOT - OST - 2009 - 0192 Year - round Houston - Tampico Exemption DOT - OST - 2009 - 0192 Year - round Houston - Toluca Exemption DOT - OST - 2009 - 0192 Seasonal Houston - Torreon Exemption DOT - OST - 2009 - 0192 Year - round Houston - Veracruz Exemption DOT - OST - 2009 - 0192 Seasonal Houston - Villahe r mosa Exemption DOT - OST - 2009 - 0192 Seasonal New York/Newark - Acapulco Exemption DOT - OST - 2009 - 0192 Seasonal New York/Newark - Ca ncun Exemption DOT - OST - 2009 - 0192 Year - round New York/Newark - Cozumel Exemption DOT - OST - 2009 - 0192 Year - round New York/Newark - Mexico City Exemption DOT - OST - 2009 - 0192 Seasonal New York/Newark - Puerto Vallarta Exemption DOT - OST - 2009 - 0192 Seasonal New York/Ne wark - San Jose del Cabo Exemption DOT - OST - 2009 - 0192 Seasonal

2 United advises that the level of service provided in each of these markets is dependent o n its code - share partner(s). In this regard, we will apply service level changes of the operating carrier(s) to United, as well.