UNITED STATES OF AMERICA DEPARTMENT OF TRANSPORTATION OFFICE OF THE SECRETARY WASHINGTON, DC

Issued by the Department of Transportation on May 13 , 20 1 1

NOTICE OF ACTION TAKEN

-- DOCKET S DOT

- OST

- 20 1 1

- 0085 and DOT

- OST

- 201 1

- 0 0 86

_______________________________________________________________________________________ This serves as notice to the public of the action s described below, taken by the Department official indicated (no additional confirming order will be issued in t his matter).

Docket DOT

- OST

- 2011

- 0085

Application of DELTA AIR LINES, INC. (Delta) filed 4/21 / 1 1 for:

XX Allocation of nine of 28 U.S.

- Brazil weekly combination frequencies that become available as of October 1, 2011, to provide the following services:

**•** Seven frequencies to institute daily Atlanta

- Manaus service effective December 18 , 2011 ; and

**•** T wo frequencies to enable daily Detroit

- Sao Paulo service effective December 18, 2011. 1

Docket DOT

- OST

- 2011

- 0086

Application of A MERICAN AIRLINES , INC. ( American ) filed 4/21 /1 1 for:

XX Allocation of 10 of 28 U.S.

- Brazil weekly combination frequencies that become available as of October 1, 2011, to provide the following services:

**•** Three frequencies for additional M i ami

- Brasilia service effective December 15 , 201 1;

**•** Three frequencies for additional M i ami

- Belo Horizonte service effective December 15, 2011; and

**•** Four frequencies to institute Miami

- Manaus service effective June 14, 2012.

Applicant rep s : Alexander Van der Bellen (202) 842

- 4184 (Delta) and Carl B. Nelson ( 202 ) 496

- 5647 (American)

DOT Analyst: Brett D. Kruger (202) 366

- 8025

DISPOSITION

XX Granted allocation of nine frequencies to Delta (subject to conditions, see r emarks below )

XX Granted allocation of 10 frequencies to American (subject to conditions, see remarks below)

The above action s allocating frequencies were effective when taken: May 13 , 20 1 1

, and will remain in effect indefinitely, subject to the conditions below

.

1 Delta states that it will indirectly fund increased Detroit

- Sao Paulo service by redeploying two of its existing unrestricted frequencies from the Atlanta

- Rio de Janeiro route to the Detroit

- Sao Paulo route , thereby enabling Delta to increase its existing Detroit

- Sao Paulo service from five

- days

- per

- week to seven

- days

- per

- week. The frequencies requested here would be used to fund Atlanta

- Rio de Janeiro service.Action taken by: Paul L. Gretch, Director O ffice of International Aviation

XX

Except to the extent exempted or waived, this authority is subject to the terms, conditions, and limitations indicated: The authority granted is consistent with the aviation agreement between the United States and Brazil, as amended

.

XX Delta ’s certificates of public convenience and necessity XX

_________ ______________________________________________________________________________

American ’s certificates of public convenience and necessity

Remarks : American and Delta filed a Joint Motion requesting that the Department issue a final decision allocating nine frequencies to Delta and 10 frequencies to American . In the Joint Motion, the applicants request that Delta be allocated six frequencies from the pool of frequencies that may be used at any point or points in Brazil, except Rio de Janeiro and Sao Paulo Terminal; and three frequencies from the pool of freq uencies that may be used at any point or points in Brazil, except Sao Paulo Terminal

. With respect to American

, the applicants request that eight of the frequencies be allocated from the pool of frequencies that may be used at any point or points in Brazi l, except Rio de Janeiro and Sao Paulo Terminal ; and two of the frequencies be allocated from the pool of frequencies th at may be used at any point or points in Brazil, except Sao Paulo Terminal

. In addition, the applicants request that the Departmen t all ocate these U.S.

- Brazil frequencies with flexibility for use in any eligible U.S.

- Brazil city

- pair market where the applicants hold underlying authority. No answers were filed in response to the Joint Motion. We will grant the Joint Motion.

With our action here, there are nine U.S.

- Brazil combination frequencies available for allocation to U.S. carriers for operations beginning October 1, 2011

. 2 Also available are the 28 U.S.

- Brazil combination frequencies that become available October 1, 20 12, as we received no applications from U.S. carriers in response to the Department’s April 6, 2011, Notice Inviting Applications

. 3

Conditions: The frequencies allocated here are subject to restrictions on the Brazilian points that may be served. With r espect to Delta

, we note that six of the frequencies may be used at any point or points in Brazil, except Rio de Janeiro and Sao Paulo Terminal; and three of the frequencies may be used to serve any point or points in Brazil, except Sao Paulo Terminal . With respect to the frequencies allocated to American

, we note that eight of the frequencies may be used at any point or points in Brazil, except Rio de Janeiro and Sao Paulo Terminal; and two of the frequencies may be used to serve any point or points in Brazil, except Sao Paulo Terminal.

Consistent with our standard practice, the frequencies allocated here are subject to our standard 90

- day dormancy condition, wherein any frequency not operated for a period of 90 days (once inaugurated and for
any rea son other than seasonal use), will be deemed dormant and the allocation as to that frequency will expire automatically and the frequency will revert to the Department for reallocation.

In addition, consistent with our practice in awarding U.S.

- Brazil freq uencies, we will require that Delta and American inaugurate service with the frequencies allocated here within 90 days of their proposed startup date s of December 18, 201 1

, for Delta ’s proposed service; December 15 , 201 1

, for American ’s proposed Miami

- Bras ilia and Miami

- Belo Horizonte service ; and June 14, 2012, for American’s proposed Miami

Manaus service Failure to inaugurate service with a newly allocated frequency within 90 days of the proposed star t up date will result in the unused frequency reverting to the Department.

2 These unallocated frequencies may be used to serve any point or points in Brazil, except Sao Paulo Terminal.
3 Our April 6, 2011

, Notice Inviting Applications also sought applications from interested U.S. carriers for the U.S.

- Brazil all

- cargo frequencies that become available on October 1, 2011

, and October 1, 2012. We are acting concurrently on those requests._______________________________________________________________________________________ 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 t he referenced Docket s

. 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 action s 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 versi on of this document is available on the World Wide Web at: http://www.regulations.gov