U.S. Department of Transportation Office ofthe Secretary ofTransportation



### DEPARTMENT ACTION ONAPPLICATION IN DOCKET OST-2015-0021 filed February 6, 2015



### Joint application ofJetBlueAirways Corporation (JetBlue) and Icelandairehf. (Icelandair)

for blanket statements ofauthorization (1) to permitIcelandair to displayJetBlue's B6* designatorcode on flights operated by Icelandairbetween any point orpoints in the United

States and any point orpoints in Iceland (either nonstop orvia intermediatepoints) and beyond to any point orpoints in any third country; and (2) to permitJetBlue to display Icelandair's Fl* designatorcode on flights operated by JetBlue between Icelandair'sU.S. gateways and any point orpoints in the United States in conjunction with foreign air transportation ofpassengers held outby Icelandair.


### Approved under assigned authority (14 CFR § 385.13).

Date ofAction: April 7, 2015

This action is subject to the conditions attached. Persons entitled to petition the Department for review ofthis action under the Department's regulations, 14 CFR § 385.30, should file theirpetitions within seven days ofthe date ofthis action. This action is effective immediately, and the filing ofa petition for review will not alter its effectiveness.

An electronic version of this document is available on the World Wide Web at: http://dms.dot.gov/lreports/reports aviation.aspThe code-share operations authorized here are subject to the following conditions: (a) The statement ofauthorization will remain in effect only as long as (i) JetBlue and Icelandaircontinue to hold the necessary underlying authority to operate the code-share services at issue, and (ii) the code-share agreement providing for the code-share operations remains in effect. (b) JetBlue and/or Icelandair must promptly notify the Department ifthe code-share agreement providing for the code-share operations is no longer effective orthe carriers decide to cease operating any orall ofthe approved code-share services.' Such notice should be filed in Docket OST-2015-0021. (c) JetBlue and/or Icelandair must notify the Department no laterthan 30 days before they begin any new code-share service underthe code-share services authorized here? Such notice shall identify the market(s) to be served, which carrierwill be operatingthe aircraft in the codeshare market added, and the date on which the services will begin. Such notices shall be filed in Docket OST-2015-0021. (d) The code-sharing operations conducted underthis authority must comply with 14 CFR 257 and with any amendments to the Department's regulations concerning code-share arrangements that may be adopted. Notwithstanding any provisions in the contract between the carriers, our approval here is expressly conditioned upon the requirements thatthe subject foreign air transportation be sold in the name ofthe carrierholding out such service in computerreservation systems and elsewhere; that the carrier selling such transportation (i.e., the carrier shown on the ticket) accept responsibility for the entirety ofthe code-share journey for all obligations established in its contract ofcarriage with the passenger; that the passenger liability ofthe operating carrier be unaffected; and that the operating carrier shall not permitthe code ofits U.S. code-sharing partnerto be carried on any flight that enters, departs, ortransits the airspace ofany area for whose airspace the Federal Aviation Administration has issued a flight prohibition. (e) The authority to operateto third countries is subjectto the condition that any service provided underthe statement ofauthorization shall be consistent with all applicable agreements between the United States and the foreign countries involved. Furthermore, (i) nothing in the award ofthis blanket statement of authorization should beconstrued as conferring upon JetBlue rights (including codeshare, fifth freedom intermediate and/or beyond rights) to serve markets where U.S. carrierentry is limited unless JetBlue notifies the Department oftheir intent to serve such a market and unless and until the Department has completed any necessary carrier selection procedures to determine which carrier(s) should be authorizedto exercise such rights; and (ii) should there be a request by any carrierto use the limited-entry route rights that are included in the authority ofJetBlueby virtue ofthe blanket statement ofauthorization granted here, butthat are not then being used by JetBlue, the holding ofsuch authority will not be considered as providing any preference for JetB.lue in a competitive carrier selection proceedingto determine which carrier(s) should be entitledto use the authority at issue. 3 (f) The authority granted here is specifically conditioned so that neitherJetBlue nor Icelandair shall give any force or effect to any contractual provisions between themselves that are contrary to these conditions. (g) We may amend, modify, orrevoke the authority granted at any time withouthearing at ourdiscretion.

1We expect this notification to be received within I0 days ofsuch non-effectiveness or ofsuch decision. 2 The Joint Applicants state in their application that pursuant to the Department's Notice in the Matter ofBlanket Notification ofCode-Share Service to Open-Skies Partners and Points dated February 9, 2009, they provide blanket notice oftheir intent to engage in codeshare services between open skies points. In addition, they provide notice oftheir proposed initial code-share markets. They further state that they agree to notify the Department no laterthan 30 days before commencing any code-share services to non-open skies points. 3 The notice in paragraph (c) above can be used for this notification.