UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, DC

Issued by the Department of Transportation on June 1 , 20 1 2

NOTICE OF ACTION TAKEN

-- DOCKET DOT

- OST

- 2004

- 18017

______________________________________________________________________________ ____________ ___________________________ 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 PSA AIRLINES, INC. filed 4/3/12 for:

XX Renewal of e xemption under 49 U.S.C. 40109 to provide the following service:

Scheduled foreign air transportation of persons, property, and mail between points in the United

States and points in the Bahamas

. 1

Applicant rep : Howard Kass (202

- 326

- 5153

DOT Analyst: Darren Jaffe (202) 366

- 2512

D I S P O S I T I O N

XX Granted (subject to conditions, see below)

The above action granting exemption authority was effective when taken: June 1

, 2012 through June 1

, 201 4

.

Action taken by: Paul L. Gretch, Director

Office of International Aviation

XX The authority granted is consistent with the 1946 Air Transport Agreement between the

United States and the United Kingdom, as amended, to which the Government of the Bahamas

acceded upon its independence, and with the overall state of aviation relations between the United

States and the Bahamas.

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

indicated:

XX Holder’s certificates of public convenience and necessity

XX Standard exemption conditions (attached)

On the basis of data off icially noticeable under Rule 24(g) of the Department's regulations, we found the

applicant qualified to provide the exemption services authorized.

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) grant of the authority 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

1 PSA states that it currently provides scheduled air service between Charlotte, North Carolina and Freeport,

Bahamas. The carrier further states that it also provides service between the United States and the Bahamas pursuant

to its code

- share arrangements with Bahamasair, US Airways, and Piedmont.Docket. We may amend, modify, or revoke the authority granted in this Notice at any time witho ut

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

### ATTACHMENT

U.S. Carrier Exemption Conditions

In the conduct of the operations authorized, the U.S. carrier applicant(s) shall:

(1) Hold at all times effective operating authority from the government of each country served;

(2) Comply with applicable requirements concerning oversales contained in 14 CFR 250 (for

scheduled operations, if authorized);

(3) Comply with the requirements for reporting data contained in 14 CFR 241;

(4) Comply with requirements for minimum insurance coverage, and for certifying that coverage

to the Department, contained in 14 CFR 205;

(5) Except as specifically exempted or otherwise provided for in a Department Order, comply

with the requirements of 14 CFR 203, concerning waiver of Warsaw Convention liability limits

and defenses;

(6) 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. Government requirements concerning security, the holder shall, before

commencing any new service (including charter flights) to or from a foreign airport, contact its

Pri ncipal Security Inspector (PSI) to advise the PSI 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;

(7) Comply with such other reasonable terms, conditions, and limitations required by the public

interest as may be prescribed by the Department of Transportation, with all applicable orders and

regulations of other U.S. agencies and courts, and with all applicable laws of the United States.

The aut hority granted shall be effective only during the period when the holder is in compliance

with the conditions imposed above.

1/2008