BEFORE THE U.S. DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.

__________________________________________ ) Application of ) ) DREAMJET SAS ) ) Docket No. OST-2014-0063 ) for an exemption pursuant to 49 U.S.C. § 40109 ) and a foreign air carrier permit pursuant to ) 49 U.S.C. § 41301 (US-EU Open Skies) ) __________________________________________)

REPLY OF AIR LINE PILOTS ASSOCIATION (ALPA), TRANSPORTATION TRADES DE PARTMENT, AFL-CIO (TTD) AND EUROPEAN COCKPIT ASSOCIATION (ECA) TO ANSWER OF NORWEGIAN AIR INTERNATIONAL LIMITED

Communications with respect to th is document should be addressed to:

Edward Wytkind, President Transportation Trades Department, AFL-CIO 815 – 16th Street NW Washington, DC 20006 Phone: 202-628-9262 Fax: 202-628-0391 Email: edw@ttd.org

May 9, 2014 Russell Bailey David Semanchik Air Line Pilots Association 1625 Massachusetts Avenue NW Washington, DC 20036 Phone: 202-797-4086 Fax: 202-797-4014 Email: Russell.Bailey@alpa.org Email: David.Semanchik@alpa.org

Counsel for Air Line Pilots Association

Philip Von Schöppenthau, Secretary General European Cockpit Association Rue du Commerce 20-22 B-1000 Brussels Belgium Phone: 32-2-705-3293 Fax: 32-2-705-0877 Email: pvs@eurocockpit.beBEFORE THE U.S. DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.

__________________________________________ ) Application of ) ) DREAMJET SAS ) ) Docket No. OST-2014-0063 ) for an exemption pursuant to 49 U.S.C. § 40109 ) and a foreign air carrier permit pursuant to ) 49 U.S.C. § 41301 (US-EU Open Skies) ) __________________________________________)

REPLY OF AIR LINE PILOTS ASSOCIATION (ALPA), TRANSPORTATION TRADES DE PARTMENT, AFL-CIO (TTD) AND EUROPEAN COCKPIT ASSOCIATION (ECA) TO ANSWER OF NORWEGIAN AIR INTERNATIONAL LIMITED

ALPA, TTD and ECA (“Joint Parties”) hereby reply to the Answer of Norwegian Air

International (“NAI”) in s upport of the applicat ion of Dreamjet SAS (“Dreamjet”).

NAI first states that it “fully supports the prompt grant” of Dreamjet’s applications for an

air carrier permit and exemption in accordance wi th the provisions of the U.S.-European Union

Air Transport Agreement (“ATA”) and the Appli cation Procedures for Foreign Air Carriers of

the European Union. NAI then argues that it, too, is entitled to a prompt grant of its own permit

request that is subject to consideration in Docket No. 2013-0204. While the Joint Parties do not

oppose the prompt grant of Dreamjet’s reque sted authority, we believe that NAI’s

application raises materially different and mo re complex issues than those posed in this

proceeding and thus warrants a more comprehensive review by DOT.

DISCUSSION

NAI asserts that applications “similar” to its own have been granted in an average of one

month after the answer period expires and that five months have elapsed si nce its application has2 been filed. NAI then argues that since the adoption of the ATA, that it “is the only EU carrier to

be subjected to such unprecedented scrutiny a nd delay” and that “no basis exists for the

Department to subject any EU carrier that complies with the requirements under the [ATA] and

the Department’s streamlined procedures to the types of unprecedented delays” that NAI has

experienced.

The short answer to NAI’s asse rtions is that the reason its application has been subjected

to “unprecedented scrutiny and delay” is that the issues presented by that application are

unprecedented and that, because of the nature of these issues, a number of airlines and employee

organizations on both sides of the Atlan tic have opposed that application.

In particular, a substantial record has been developed in connection with NAI’s

application that demonstrates th at approval of that application would be inconsistent with the

ATA and the public interest. That record s hows that NAI’s parent company, Norwegian Air

Shuttle (“NAS”), did not wish to have Norweg ian employment laws apply to its long-haul

operations and, accordingly, sought to establish a subsidiary (i.e., NAI) outside of Norway to

conduct those operations. Ultimately, it decided to establish the subsidiary in Ireland, which has

granted NAI an Air Operator Certificate. The re cord also shows that this establishment of NAI

in Ireland appears to allow NAI to use pilots w ho are contracted from an Asian hiring company

that employs them on short-term individual co ntracts on terms and conditions substantially

inferior to those of the pilots employed by NAS . The opponents to NAI’s application argue that

this use of an opportunity created by the ATA in a manner that undermines the labor standards

and principles contained in the la ws of Norway -- and potentially those of the U.S. -- means that

grant of NAI’s application woul d be inconsistent with the ATA and the public interest as

expressed in the U.S. aviation statutes.3 In short, NAI’s application is a far cry from that presented to the Department by Dreamjet

and by the many other unopposed applications that have been presented to the Department by

European carriers following implementation of the ATA. 1 It is appropriate that DOT carefully

consider the record that has been developed in connection with NAI’s application and it may be

appropriate for the Department to further develo p that record by seeking additional information

on why NAI was established outside of Norway a nd which laws apply to the various aspects of

the employment of the flight crew who work on NAI’s aircraft.

CONCLUSION

For the foregoing reasons, the Department shoul d decide the application of Dreamjet in

this docket on a time table appropriate for consider ation of its merits and the application of NAI

in Docket No. 2013-0204 on a time table appr opriate for consideration of its own

separate merits.

Respectfully submitted,

[signatures on following page]

1 See Consolidated Reply of NAI at 6 n.15 (Docket No. 2013-0204, entered Jan. 2, 2014) and Joint Reply of ALPA, TTD and ECA to Repl y of NAI at 10-11 (Docket No. 2013-0204, entered Jan. 8, 2014).4 ______________________________ /s/ Edward Wytkind Edward Wytkind, President Transportation Trades Department, AFL-CIO 815 – 16th Street NW Washington, DC 20006 Phone: 202-628-9262 Fax: 202-628-0391 Email: edw@ttd.org Russell Bailey David Semanchik Air Line Pilots Association 1625 Massachusetts Avenue NW Washington, DC 20036 Phone: 202-797-4086 Fax: 202-797-4014 Email: Russell.Bailey@alpa.org Email: David.Semanchik@alpa.org

Counsel for Air Line Pilots Association

May 9, 2014 /s/ Philip Von Schöppenthau Philip Von Schöppenthau, Secretary General European Cockpit Association Rue du Commerce 20-22 B-1000 Brussels Belgium Phone: 32-2-705-3293 Fax: 32-2-705-0877 Email: pvs@eurocockpit.beCERTIFICATE OF SERVICE

The undersigned certifies that on May 9, 2014, a true and correct copy of the foregoing Reply of Air Line Pilots As sociation (ALPA), Transportation Trades Department, AFL-CIO (TTD) and European Co ckpit Association (E CA) to Answer of Norwegian Air International Limited was serv ed by electronic mail on the individuals identified below:

Josh Romanow Peter Nelson Pillsbury Winthrop Shaw Counsel for Norwegian Air romanow@pillsburylaw.com peter.nelson@pillsburylaw.com

Steve Morrissey Dan Weiss United Airlines steve.morrissey@united.com dan.weiss@united.com

Sascha Vanderbellen Chris Walker Delta Airlines sascha.vanderbellen@delta.com chris.walker@delta.com

Malcolm L. Benge Counsel for North American mlbenge@zsrlaw.com

Russell E. Pommer Atlas Air Inc. rpommer@atlasair.com

Robert Wirick Howard Kass American Airlines, Inc. robert.wirick@aa.com howard.kass@aa.com

Nick Tsokris Harvey Siegel FAA New York IFU nicholas.tsokris@faa.gov Havey.siegel@faa.gov

Anita Mosner Jennifer Nowak Counsel for UPS Holland & Knight anita.mosner@hklaw.com jennifer.nowak@hklaw.com

Nancy S. Sparks Bailey Leopard Federal Express Corporation nssparks@fedex.com gbleopard@fedex.com Krishna Urs Department of State urskr@state.gov

Eugene A l ford D epartment of Commerce eugene.alford@trade.gov

Paul Gretch Robert Finamore U.S. Department of Transportation paul.gretch@dot.gov Robert.Finamore@dot.gov

Matthew Baldwin Director of Air Transport European Commission Matthew.Baldwin@ec.europa.eu

Dr. Felix Leinemann First Secretary Delegation of the European Union to the USA Felix.LEINEMANN@eeas.euro
pa.eu

David Batchelor SJU Liason Officer SESAR Joint Undertaking Delegation of the European Union to the USA David.Batchelor@sesarju.eu

Michael Goldman Counsel for DreamJet Silverberg, Goldman & Bikoff mgoldman@sgbdc.com

Kevin Commy, Deputy Chief of Mission Alan Gibbons, First Secretary Economics Embassy of Ireland Kevin.conmy@dfa.ie Alan.gibbons@dfa.ie

Donal Handley Head of Corporate Affairs Irish Aviation Authority donal.handley@iaa.ie Mark W. Atwood Cozen O’Connor Counsel for Kalitta Air matwood@cozen.com

John L. Richardson Counsel for Amerjet International jrichardson@johnlrichardson.com Joan Canny jcanny@amerijet.com

John R. Mietus Law Office of John Mietus LLC Counsel for Centurion Air Cargo and Trade Winds Airlines john@mietuslaw.com

Marshall S. Sincik Squire, Sanders & Dempsey Counsel for Florida West International Airways msinick@ssd.com

Aaron Goerlich Garofalo Goerlich Hainbach Counsel for Southern Air agoerlich@ggh-airlaw.com

Charles Hill Air Transport International chuck.hill@airtransport.cc

Bradley Rubinstein Manager, Industry and Regulatory Relations Port Authority of New York and New Jersey brubinst@panynj.com

Deputy Director Flight Standards Service Federal Aviation Administration john.s.duncan@faa.gov

/s/Louise Fawbush Louise Fawbush