Application of BEFORE THE UNITED STATES DEPARTMENT OFTRANSPORTATION OFFICE OF THE SECRETARY WASHINGTON, D.C.

SAUDI ARABIAN AIRLINES CORPORATION ) ) ) ) ) ) ) ) ) ) DocketNo. OST-2014- for Exemption Authority pursuantto 49

## u.s.c. §40109 (Saudi Arabia

- Los Angeles)
APPLICATION OF SAUDI ARABIAN AIRLINES CORPORATION FOREXEMPTION AUTHORITY Communicationswithrespecttothis document shouldbeaddressedto: George T. Boggs Henry C. Cashen II DICKSTEIN SHAPIRO LLP 1825 Eye Street,N.W. Washington, D.C. 20006 Tel: (202)420-2203 Fax: (202) 379-9277 Email: boggsg(a),dicksteinshapiro.com Counsel for Saudi Arabian Airlines Corporation OfCounsel: DouglasN. Jacobson Jacobson Burton PLLC DATED: NOTICE: March 3, 2014 Any person who wishes to support or oppose this Application may file an answer and serve that answer on counsel identified above and all persons served with a copy of this application. Saudi Arabian Airlines has, by separate motion filed and served with this application, requested the Department ofTransportationto shorten the answerperiod for this application to March 10, 2014. Counsel will poll the carrier representatives and inform the Department ofTransportation ofthe results.BEFORE THE UNITED STATES DEPARTMENT OF TRANSPORTATION OFFICE OFTHE SECRETARY WASHINGTON, D.C. Application of SAUDI ARABIAN AIRLINES CORPORATION for Exemption Authority pursuantto 49

## u.s.c. §40109 (Saudi Arabia- Los Angeles) ) ) ) ) ) ) ) ) ) ) DocketNo. OST-2014-

APPLICATION OF SAUDIARABIANAIRLINES CORPORATION FOREXEMPTIONAUTHORITY Saudi Arabian Airlines Corporation ("Saudi Arabian Airlines"), the flag air carrier ofthe Kingdom of Saudi Arabia, hereby submits, pursuant to 49 U.S.C. § 40109, Part 211 of the Department's Economic Regulations (14 C.F.R. Part 211), Subparts Band C ofthe Department's Rules of Practice in Proceedings (14 C.F.R. Part 302) and the Department's August 23, 2005 notice in Docket No. OST-2005-22228 (the "Streamlined Licensing Procedures Notice") this application for exemption authority from the requirements set forth in 49 U.S.C. §41301 in order to provide additional foreign air transportation of persons, property and mail between Saudi Arabia and the United States. Specifically, Saudi Arabian Airlines is requesting exemption authority to conduct scheduled foreign air transportation ofpersons, property and mail commencing March 31, 2014
on the following route: Riyadh

- Jeddah

- Los Angeles

- Jeddah

- Riyadh. This new service will be conducted three times per week (Monday, Thursday and Saturday).

Page 2of6Saudi Arabian Airlines is fit, willing and able to perform the services for which the exemption is sought. Saudi Arabian Airlines has been providing scheduled passenger service between the United States and Saudi Arabia since 1979. The Department issued a foreign air carrier permit to Saudi Arabian Airlines on November 22, 1988 1 authorizing Saudi Arabian Airlines to engage in scheduled foreign airtransportation carrying persons, property, and mail as follows: Between a point or points in the Kingdom ofSaudi Arabia; one intermediate point; two coterminal points in the United States; and one pointbeyond the United States.
While Saudi Arabian Airlines currently operates passenger service to two coterminal points in the United States (New York, New York and Washington, DC), this exemption is requested to authorize Saudi Arabian Airlines to operate to a third coterminal point in the United States. This additional authority is consistent with the United States and Government of the Kingdom ofSaudi Arabia Open Skies Agreement that was entered into by the countries on May 28, 2013 and provides expanded authority by United States and Saudi Arabian air carriers. This additional authority is also consistent with the United States

- Saudi Arabia Air Services Agreement, the predecessorto the Open Skies Agreement. Saudi Arabian Airlines intends to submit to the Department an application to amend its foreign air carrier permit in accordance with the United States

- Kingdom ofSaudi Arabia Open Skies Agreement. In the meantime, the requested exemption is sought to allow Saudi Arabian Airlines to commence new service to Los Angeles on March 31, 2014. The granting ofthis authority is in the public interest as it will benefitthe traveling public by greatly expanding the scope ofairtransportation services for passengerstraveling between the

1 See DocketNumber44511. Page 3of6West Coast of the United States and Saudi Arabia. The planned service will operate nonstop from Los Angeles to Jeddah, which is notpossible today. The issuance of this exemption will not constitute a "major regulaJory action" as provided for in the Energy Policy and Conservation Act of 1975 and 14 C.F.R. Part 313. Because Saudi Arabian Airlines intends to commence service to Los Angeles on March 31, 2014, Saudi Arabian Airlines respectfully requests the Department to expedite this matter and issue an exemption authorizing Saudi Arabian Airlines to conduct Los Angeles service until Saudi Arabian Airlines' foreign air carrierpermit is issued. Saudi Arabian Airlines will comply with all of the Department's standard Foreign Air CarrierExemption Conditions. CONCLUSION WHEREFORE, Saudi Arabian Airlines respectfully requests that the Department grant Saudi Arabian Airlines' request for exemption authority to perform the scheduled foreign air transportation requested above and such otherreliefas the public interest may require.
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Page 4of6This document has been served in accordance with the attached Certificate ofService.

OfCounsel: DouglasN. Jacobson Jacobson Burton PLLC
DATED: March 3, 2014 Respectfully submitted,

George T. Boggs Henry C. Cashen II DICKSTEIN SHAPIRO LLP 1825 Eye Street, N.W. Washington, D.C. 20006 Tel: (202)420-2203 Fax: (202) 379-9277 Email: boggsg@dicksteinshapiro.com Counsel for Saudi Arabian Airlines

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### CERTIFICATEOF SERVICE I herebycertifythattheattached submissionwas servedMarch 3, 2014 onthefollowing partiesviaelectronicmail and/orfirst-class mail, postageprepaidonthefollowing: Mr. H:ershel I. K.amen Mr. Daniel A. Weiss Mr. Steve Morrissey UNITED AIRLINES, INC. hershel.kamen@united.com dan.weiss@united.com steve.morrissey@united.com Mr. RobertWirick Mr. Francis H:eil Mr. H:oward K.ass AMERICANAIRLINES GROUP, INC. Robert.wirick@aa.com Francis.heil@aa.com H:oward.K.ass@aa.com Mr. Sascha Van derBellen DELTA AIRLINES, INC. sascha.vanderbellen@delta.com



### DATE: March3, 2014 The H:onorable K.ris Urs Deputy Assistant Secretary for Transportation Affairs U.S Department ofState urskr@state.gov

Ms. Gina Marie Lindsey Mr. Samson Mengistu Los Angeles World Airports 1World Way LosAngeles, CA 9004

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