UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY WASHINGTON, D.C.

Issued by the Department of Transportation on June 7

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### N OTICE OF ACTION TAKEN

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_______________________________________________ _________________________________________________________________________________ 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).

Joint Applicant s : AEROVIAS de MEXICO, S.A. de C.V. (Aeromexico) and DELTA AIR LINES, INC. (Delta)

Date Filed: May 29, 2013

Relief requested: E xemption for Aeromexico under 49 USC § 4 0109 to permit Aeromexico to engage in scheduled foreign air transpo rtation of persons, property, and mail between Cancun, Mexico, on the one hand, and Dallas/Ft. Worth and Houston, Texas, on the other hand

.

Exemption for Delta under 49 USC § 4 0109 to permit Delta to engage in scheduled foreign air transportation of per sons, property, and mail between Cancun, Mexico, on the one hand, and Dallas/Ft. Worth and Houston, Texas, on the other

hand

. 1

Aeromexico also requests a statement of authorization pursuant to 14 CFR Part 21 2 to permit Aeromexico to display

Delta’s “DL” designator code on Aeromexico flights between Cancun, Mexico, on the one hand, and Dallas/Ft. Worth and Houston, Texas, on the other hand.

The joint applicants further request a waiver of the 45

- day advance filing requirement under 14 C.F.R. Part 212.

A pplicant representative s : John R. Mietus, Jr. (Aer omexico ), ( 202 ) 747

- 5212 ; and Alexander Van der Bellen (Delta), (202) 842

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DOT analyst: Brett D. Kruger , 202

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- 8025

Responsive pleadings: None

DISPOSITION

Action: Approved ( subject to c onditions ) Action date: June 7 , 2013 2

Effective dates of authority granted : The exemption authority granted to Aeromexico is effective June 7 , 2013

, through

June 7 , 2014

. The exemption authority granted to Delta is effective June 7 , 2013 , through June 7 , 2015. The statement of authorization granted to Aeromexico is effective June 7 , 2013 , and will remain in effect for an indefinite duration , subject

to conditions

. The waiver of the 45

- day advance filing requirement under 14 CFR Part 212 is effec tive June 7 , 2013.

Basis for approval (bilateral agreement/reciprocity): United States

- Mexico Air Transport Services Agreement

.

Except to the extent exempted/waive d , this authority is subject to the terms, conditions, and limitations of our standard

fore ign air carrier exemption conditions attached as Appendix A

, our standard U.S. carrier exemption conditions attached as Appendix B, and codeshare conditions attached as Appendix C

.

1 Delta states that it will serve the subject markets by placing its “DL” desig nator code on flights operated by Aeromexico, and requests that the Department issue the necessary code

- share notification to the Government of Mexico.

2 We acted on the application without awaiting expiration of the answer period with the consent of all p arties served with the application.The U.S.

- Mexico exemption authority granted to Delta is subject to the dor mancy notice requirements set forth in condition 7 of Appendix A of Order 88

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The exemption authority granted to Delta is limited to services provided on a code

- share basis only.

We note that Delta has conducted a safety audit of Aeromexico under the Department’s Code

- Share Safety Audit Program, and the FAA has advised us that it has reviewed the relevant audit report and found it to be acceptable.

Action taken by: Paul L. Gretch, Director Office of International Aviation

______________________ ___________________________________ ___________________________________________________ Under authority assigned by the Department in its regulations, 14 CFR Part 385, we found that (1) our action was consistent w ith Department policy; (2) the applicant s w e re qualified to perform their proposed operations; (3) grant of the authority was consistent with the public interest; and (4) grant of the authority would not constitute a major regulatory action under the Energy Poli cy and

Conservation Act of 1975. To t he extent not granted, we denied all requests in the referenced Docket. We may amend, modify, or revoke the authority granted in this Notice at any time without hearing at our discretion.

Persons entitled to petition the Department for review of the acti on 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 no t alter such effectiveness.

An electronic version of this document is available on the World Wide Web at: http://www.regulations.govAppendix A



### Foreign Carrier Exemption Conditions

In the conduct of the operat ions authorized, the foreign carrier applicant(s) shall:

(1) Not conduct any operations unless it holds a currently effective authorization from its homeland for such operations, and it has filed a copy of such authorization with the Department;

(2) Co mply 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, 14 CFR Parts 129, 91, and 36 and 49 CFR Part 1546 or 1550, as applicable. To assure compliance with all applicable U.S. Government requirements concerning security, the holder shall, before commencing any new service (including charter flights) from a foreign airport that would be th e holder’s last point of departure for the United States, contact its International Industry Representative (IIR) (formerly referred to as International Principal Security Inspector) to advise the IIR 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;

(3) Comply with the requirements for minimum insurance coverage contained in 14 CFR Part 205, and, prior to the commencement of any operations under this authority, file evidence of such coverage, in the form of a completed OST Form 6411, with the Federal Aviation Administration’s Program Management Branch (AFS

- 260), Flight Standards Service (any changes to, or termination of, insurance also shall be f iled with that office);

(4) Not operate aircraft under this authority unless it complies with operational safety requirements at least equivalent to Annex 6 of the Chicago Convention;

(5) Conform to the airworthiness and airman competency requirements of its Government for international air services;

(6) Except as specifically exempted or otherwise provided for in a Department Order, comply with the requirements of 14 CFR Part 203, concerning waiver of Warsaw Convention liability limits and defenses;

(7) Agree that operations under this authority constitute a waiver of sovereign immunity, for the purposes of 28 U.S.C. 1605(a), but only with respect to those actions or proceedings instituted against it in any court or other tribunal in the

United Stat es that are: (a) based on its operations in international air transportation that, according to the contract of carriage, include a point in the United States as a point of origin, point of destination, or agreed stopping place, or for

which the contract of carriage was purchased in the United States; or (b) based on a claim under any international agreement or treaty cognizable in any court or other tribunal of the United States. In this condition, the term "international air transportation" means "inte rnational transportation" as defined by the Warsaw Convention, except that all States shall be considered to be High Contracting Parties for the purpose of this definition;

(8) Except as specifically authorized by the Department, originate or terminate a ll flights to/from the United States in its homeland;

(9) Comply with the requirements of 14 CFR Part 217, concerning the reporting of scheduled, nonscheduled, and charter data;

(10) If charter operations are authorized, except as otherwise provided in the applicable aviation agreement, comply with the Department's rules governing charters (including 14 CFR Parts 212 and 380); and

(11) Comply with such other reasonable terms, conditions, and limitations required by the public interest as may be prescrib ed by the Department, with all applicable orders or regulations of other U.S. agencies and courts, and with all applicable laws of the United States.

This authority shall not be effective during any period when the holder is not in compliance with the con ditions imposed above. Moreover, this authority cannot be sold or otherwise transferred without explicit Department approval under Title

49 of the U.S. Code.

12/2007Appendix B

U.S. Carrier Exemption Conditions

In the conduct of the opera tions 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 o perations, 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) Exce pt 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 Avia tion 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 requiremen ts 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 the Transportation S ecurity 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 Tra nsportation, with all applicable orders and regulations of other U.S. agencies and courts, and with all applicable laws of the United States.

The authority granted shall be effective only during the period when the holder is in compliance with the conditi ons imposed above.



### 1/2008Appendix C

The Statement of Authorization granted is subject to the following conditions:

(a) The statement of authorization for Aeromexico will remain in effect only as long as (i) Aeromexico and Delta continue 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 

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( b ) Delta and/or Aeromexico, as appropriate, must notify the Dep artment immediately if the code

- share agreement under

which these code

- share services are operated is no longer in effect or if the carriers decide to cease operating all or a portion of the approved code

- share services. Such notice should be filed in Doc ket DOT

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( c ) The code

- sharing operations conducted under this 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 provisi ons in the contract between the carriers, our approval here is expressly conditioned upon the requirements that the subject foreign air transportation be sold in the name of the carrier holding out such service in the computer reservation systems and elsew here; that the carrier selling such transportation ( i.e., the carrier shown on the ticket) accept responsibility for the entirety of the code

- share journey for all obligations established in its contract of carriage with the

passenger; and that the passeng er liability of the operating carrier be unaffected ;

( d ) The authority granted here is specifically conditioned so that neither Del ta nor Aeromexico shall g ive any force or effect to any contractual provisions between themselves that a re contrary to these conditions;

( e ) We may amend, modify, or revoke the authority granted at any time wi thout hearing at our discretion.

Persons entitled to petition the Department for review of this action under the Department’s regulations, 14 CFR §385.30,

should file t heir petitions within seven days of the date of this action. This action is effective immediately, and the filing of a petition for review will not alter its effectiveness.

1 We expect this notification to be received within 10 days of such non

- effectiveness or of such decision.