BEFORE THE

U.S. DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

________________________________________________ )

Application of )

)

VIRGIN AMERICA INC. ) Docket Nos. OST

- 2010

- 0168

) OST

- 2010

- 0169

for renewal of exemption authorities pursuant ) OST

- 2010

- 0170

to 49 U.S.C. § 40109 )

San Francisco

– Cancun )

Los Angeles

– Cancun )

San Francisco

– San Jose del Cabo )

________________________________________________)

APPLICATION OF VIRGIN AMERICA INC.

FOR RENEWAL OF EXEMPTIONS

Communications with respect to this document should be sent to:

Barbara Russell

Associate General Counsel

Virgin America Inc.

555 Airport Blvd., Second Floor

Burlingame , CA 94010

(650) 762

- 7394 (phone)

(650) 762

- 7004 (fax)

barbara.russell@virginamerica.com

May 8

, 2014

Notice : Any person who wishes to support or oppose this Application may do so by fi ling an

answer by May 2 3 , 2014, serving a copy on Virgin America and all persons listed on the

attached certificate of service. However, Virgin America intends to poll and requests expedited

action.1 BEFORE THE

U.S. DEPARTMENT OF TRANSPORTATION

WASHINGTO N, D.C.

________________________________________________ )

Application of )

)

VIRGIN AMERICA INC. ) Docket Nos. OST

- 2010

- 0168

) OST

- 2010

- 0169

for re newal of exemption authorities pursuant ) OST

- 2010

- 0170

to 49 U.S.C. § 40109 )

San Francisco

– Cancun )

Los Angeles

– Cancun )

San Francisco

– San Jose del Cabo )

________________________________________________)

APPLICATION OF VIRGIN AMERICA INC

. FOR RENEWAL OF EXEMPTIONS

Pursuant to 49 U.S.C. § 40109 and Subpart C of the Department's Rules of Practice,

Virgin America Inc. (“Virgin America”) hereby applies for renewal of its exemption authorities

authorizing Virgin America to operate scheduled f oreign air transportation of persons, property,

and mail between San Francisco and Cancun; Los Angeles and Cancun; and San Francisco and

San Jose del Cabo.

In support of its application, Virgin America states as follows:

1. Virgin America is a Delaware corp oration with its principal place of business at

555 Airport Blvd., Burlingame, CA 94010.

2. Virgin America is a citizen of the United States , as defined in 49 U.S.C. §

40102 (a)(15) and has been found fit to provide scheduled interstate air transportation of persons,

property and mail. Se e Order s 2007

- 5

- 11 and 2007

- 8

- 17

.2 3. Virgin America hereby incorporates by reference all data previously filed with the

Department to establish Virgin America’s fitness, and respectfully requests the Depar tment take

notice of s uch data pursuant to Rule 24 of the Department’s Rules of Practice.

4. Under these authorities, Virgin America operates one roundtrip San Francisco

–

Cancun flight per week using A320 aircraft. It operates five roundtrip Los Angeles

– Cancun

flights per wee k using A320 aircraft and daily roundtrip service between San Francisco and San

Jose del Cabo, also using A320 aircraft.

5. By Notice of Action Taken dated June 26 , 201 2

, 1

6. Virgin America accepts and will comply with the Department’s standard terms

and conditions imposed on exemption authority for scheduled foreign air transportation. the Department found that

Virgin America’s proposed services were consistent with the terms of the U.S.

– Mexico bilateral

agreement and that grant of the requested exemption authorities was in the public interest.

Renewal of the authorities requested herein remains in the public interest. Virgin America’s

crossborder services provide va luable competition in the U.S.

– Mexico market.

7. Virgin America’s application for an e xempt ion poses no environmental, energy

,

or noise issues. Approval of this application will not result in a near

- term increase in fuel

consumption of 10 million gallons or more.

8. Virgin America hereby invokes and relies upon the provisions of Section 558(c)

o f the Administrative Procedure Act, 5 U.S.C. § 558(c), as implemented by Part 377 of the

Department's Special Regulations, 14 C.F.R. Part 377, to continue in effect these exemption

authorities until the Department makes a final determination of this Applic ation. 2

1 These exemptions will expire on June 26, 2014, absent this renewal application.

2 Virgin America seeks a waiver of the requirement of 14 C.F.R. § 377.10(c) that this renewal application be filed

more th an sixty days before these exemption authorities expire. This application is being filed well in advance of3 WHEREFORE, for the foregoing reasons, Virgin America Inc. respectfully requests that the

Department renew the exemption s described above for an additional two

- year period, as more

fully described above , and grant such further relief as the Depart ment may deem appropriate

.

Respectfully submitted,

Barbara Russell

Associate General Counsel

Virgin America Inc.

555 Airport Blvd., Second Floor

Burlingame, CA 94010

(650) 762

- 7394 (phone)

(650) 762

- 7004 (fax)

barbara.russell@virginamerica.com

May 8

, 2014

the expiration date, and grant of a waiver will not prejudice any party. To expedite Department processing, Virgin

America will poll all carriers o n the service list and will report the results to the Department as soon as possible.VERIFICATION

Pursuant to Title 18 United States Code Section 1001, I, Barbara Russell, in my

individual capacity and as the authorized representative of the applicant, have not in any manner

knowingly or willfully falsified, concealed or covered up any material fact or made any false,

fictitious or fraudulent statement or knowingly used any documents which contain such

statements in connection with the preparation, filing or prosecu tion of this exemption

application. I understand that an individual who is found to have violated the provisions of 18

U.S.C. Section 1001 shall be fined not more than $10,000 or imprisoned not more than five

years, or both.

Name: Barbara Russell

Date: May 8 , 2014

Title: Associate General CounselCERTIFICATE OF SERVICE

I hereby certify that on this 8 th day of May 2014 , a copy of the foregoing Application was served by

e mail on the parties named below.

Dan Weiss

Managing Director

– International &

Regulatory Affairs

United Air Lines

77 W est Wacker Drive

- HDQIZ

Chicago, IL 60601

dan.weiss@united.com

Stephen J. Morrissey

Managing Director, Regulatory and

Policy

United Air Lines, Inc.

1 225 New York Avenue, NW

- DCAIZ

Suite 1100

Washington, DC 20005

steve.morrissey@united.com

Steven J . Seiden

Gerald F. Murphy

Crowell & Moring

United Airlines, Inc.

1001 Pennsylvania Avenue, N.W.

Washington, D.C. 20004

sseiden @crowell.com

gmurphy@crowell.com

Anita Mosner

Jennifer Nowak

Counsel for United Parcel Service

Holland & Knight

2099 Pennsylvani a Avenue, NW

Suite 100

Washington, D.C. 20006

Anita.mosner@hklaw.com

Jennifer.nowak@hklaw.com

dsmalls@ups.com

Alexander Van Der Bellen

Sametta C. Barnett

Chris Walker

Delta Air Lines

1212 New York Avenue, NW

Suite 200

Washington, D.C. 20005

sascha.vanderbellen@delta.com

sametta.c.barnett@delta.com

chr i s.walker@delta.com Robert Wirick

Howard Kass

Francis Heil

American Airlines, Inc.

1101 Seventeenth Street, N.W.

Suite 600

Washington, D.C. 20036

Robert.wirick@aa.com

Howard.kass@aa.com

Francis.heil@aa.com

Joan Canny

John L. Richardson

Counsel for Amerijet International

John L. Richardson, P.L.L.C.

555 13 th Street, N.W.

Suite 420 West

Washington, D.C . 20004

jrichardson@johnlrichardson.com

jcanny@amerijet.com

M alcolm L. Benge

Counsel for North American Airlines

Zuckert, Scoutt & Rasenberger, L.L.P.

888 Seventeenth Street, N.W.

Suite 700

Washing ton, DC 20006

mlbenge@zsrlaw.com

Sandra Lunsford

Sharon Pasley

Legal and Regulatory Affairs

Federal Express Corporation

3620 Hacks Cross Road

Building B, 3 rd Floor

Memphis, TN 38125

sllunsford @fedex.com

Sharon.pasley@fedex.com

Robert E. Cohn

Counsel for Frontier Airlines

Hogan Lovells

555 13 th Street, N.W.

Washington, D.C. 20004

robert.cohn@hoganlovells.com2 Edward P. Faberman

Counsel for AirTran Airways

Wiley Rein LLP

1776 K Street, N.W.

Washington, DC 20006

efaberman@wrf.com

Marshall S. Sinick

Counsel for Florida West International

Airways

Squire, Sanders & Dempsey

120 1 Pennsylvania Avenue, N.W.

Suite 500

Washington, D.C. 20004

msinick@ssd.com

Stephen H. Lachter

Lachter Law

1150 Connecticut Avenue, N.W., Ste. 900

Washington, DC 20036

Stephen. lachter@ lachterlaw.com

Jonathan B. Hill

Counsel for Hawaiian Airlines and JetBlue

Cooley LLP

1299 Pennsylvania Avenue, NW

Suite 700

Washington, DC 200 04

jhill@ cooley.com

Thomas Ting

MN Airlines, LLC dba Sun Country

Airlines

1300 Mendota H eights Road

Mendota Heights, MN 55120

Thomas.Ting @suncountry.com

Joanne W. Young

David Kirstein

Counsel for Spirit Airlines and

America West Airlines

Kirstein & Young PLLC

1001 Pennsylvania Ave., N.W.

Suite 600 South

Washington, DC 20004

jyoung@yk law.com

dkirstein@yklaw.com John R. Mietus, Jr.

Counsel for Centurion Air Cargo

Law Office of John Mietus, LLC

315 C Street, SE, Lower Level

Washington, DC 20003

john@mietuslaw.com

Lisa Dunn

Counsel for TEM Enterprises/ Xtra Airways/

Casino Express

331 7 th Street

Elko, NV 89801

ldunn@ xtraairways.com

Chris Pappaioanou

Vice President and General Counsel

Mesa Air Group (Freedom Airlines)

410 N. 44 th Street

Suite 700

Phoenix, AZ 85008

chris.p @mesa

- air.com

John S. Duncan

Deputy Director

Flight Standards Service

Federal Aviation Administration

800 Independence Avenue, S.W.

Room 821

Washington, D.C. 20591

john.s.duncan @faa.gov

________________________________ Barbara Russell