UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY WASHINGTON, D.C.

Issued by the Department of Transportation on January 7 , 20 1 3

NOTICE 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).

Applicant : Aerolineas Argent inas S.A. ( Aerolineas ) Date Filed: December 17 , 201 2

Relief requested : Renewal of e xemption under 49 U.S.C. § 4 0109 to permit Aerolineas to engage in (1) s cheduled foreign air transportation of persons, property, and mail between points in Ar gentina and fourteen (14) points in the United States, and beyond to three (3) points in Canada, four (4) points in Asia (except Japan, China, and the Philippines), eight (8) points in Europe, four (4) points in Mexico, and points in the Caribbean, Central America, and South America; (2) scheduled foreign air transportation of persons, property, and mail between points in Argentina and five (5) additional points in the United States on a code

- share basis only; and (3) scheduled foreign air transportation of persons, property, and mail between points in Argentina and five (5) additional points in the United

States on a code

- share basis only, in conjunction with a designated airline of the United States. 1 Aerolineas requests that the authority be renewed for a period of one year.

If renewal, date and citation of last action: December 2 0, 2011, in this Docket

.

Applicant representative : Charles F. Donley II (202) 626

- 6840

DOT analyst: Brett D. Kruger ( 202 ) 366

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Responsive pleadings: Non e.

DISPOSITION

Action: Approved

. Action date: January 7 , 20 1 3

Effective dates of authority granted: January 7 , 201 3 , through January 7 , 2014

. Basis for approval (bil ateral agreement/reciprocity): U.S.

- Argentina Air Transport Agre ement

. Except to the extent exempted/waived, this authority is subject to the terms, conditions, and limitations of our standard exemption conditions (attached)

, and to the otherwise

- applicable terms, conditions, and limitations of Aerolineas’ foreign

air carrier permit (Order 77

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.

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

______________________________________________________________________________________________ __________ Under authority assigned by the Depart ment in its regulations, 14 CFR Part 385, we found that (1) our action was consistent with Department policy; (2) the applicant was qualified to perform its proposed operations; (3) grant of the authority was consist ent with the public interest; and (4) gr ant of the authority would not constitute a major regulatory action under the Energy Policy and Conservation Act of 1975. To the extent not granted/deferred/dismissed, we denied all requests in the referenced Docket. We may amend, modify, or revoke the a uthority granted in this Notice at any time without hearing at our discretion.

1 Under Section B(2) of Annex I to the Agreement, Argentine carriers may provide scheduled combination service as follows: (a)

direct

- carrier or code

- share services from points behind Argentin a, via Argentina and intermediate points, to fourteen (14) points in the United States, and beyond to three (3) points in Canada, four (4) points in Asia (except Japan, China, and the Philippine s), eight (8) points in Europe, four (4) points in Mexico, and points in the Caribbean, Central America, and South America; (b) a total of five (5) additional points in the United States may be served on a code

- share

- only basis; and (c) a total of five (5) additional points in the United States may be served on a cod e

- share

- only basis with a designated airline of the United States . The Argentine Government has selected, at this time, Atlanta, Boston, Chicago, Dallas/Ft. Worth, Denver, Detroit, Houston, Las Vegas, Los Angeles, Miami, Minneapolis/St. Paul, New York/New ark, Orlando, and Philadelphia as points for Argentine direct

- carrier or

code

- share service; Montreal, Toronto, Vancouver , and Cancun for service beyond the United States to Canada and Mexico; Phoenix, Salt Lake City, and New Orleans as three of five point s for service on a code

- share

- only basis; and San Diego, San Francisco, San Juan, Seattle, and Washington, D.C. as points for service on a code

- share

- only basis with a designated U.S. carrier.Persons entitled to petition the Department for review of the action set forth in this Notice under the Department’s regulati ons, 14 CFR §385.30, may file their petitions wit hin 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

### Foreign Carrier Exemption Conditions

In the conduct of the operations 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) Comply with all applicable requirements of the Federal Aviation Administration, the Transportation Security

Administrat ion, 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 c oncerning security, the holder shall, before commencing any new service (including charter flights) from a foreign airport that would be the holder’s last point of departure for the United States, contact its International Industry Representative (IIR) (fo rmerly referred to as International Principal Security Inspector ) to advise the I IR 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 A dministration’s Program Management Branch (AFS

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

(4) Not operate aircraft under this authority unless it complies with operational safety re quirements 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 States that are: (a) based on its operations in international air transportation that, according to the

contract of carr iage, 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 "international 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 all flights to/from the United States in its homeland;

(9) Comply with the requirements of 14 CFR Part 217, concerni ng 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 prescribed by the Department, with all applicable orders or regulations of other U.S. agencies and courts, and with all appli cable laws of the United States.

This authority shall not be effective during any period when the holder is not in compliance with the conditions imposed above. Moreover, this authority cannot be sold or otherwise transferred without explicit Department approval under Title 49 of the U.S. Code.

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