BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

Notice of IATA Traffic Conference

Actions Tentatively Exempted

From Filing for Approval Docket OST

‐ 2012

‐ 0058

NOTICE OF TIER 1 AGREEMENTS FILING

BY THE

INTERNATIONAL AIR TRANSPORT ASSOCIATION

1 February 2013

Communications with respect to this

Document should be sent to

Douglas Lavin
Regional Vice President

– North America

International Air Transport Association

1201 F Street, NW, Suite 650
Washington, DC 20004
(202) 628

‐ 9292Summary DOCKET: DOT

‐ OST

‐ 2012

‐ 0058 DOT ORDER: None Requested

Date: 1 February 2013

Filing fee/IATA Acct: Waived by Order 2012

‐ 4

‐ 18, Appendix A,

Section D

US/UST involved Yes

Intended effective date: 1 June 2013

Meeting site, date: PTC Composite Meeting of Passenger

Tariff Coordinating Conferences

Abu Dhabi, 17 October 2012

Agreements Composite Resolution 017ha
(Memo PTC COMP 1682)NOTICE OF TIER 1 AGREEMENTS FILING

Pursuant to statements submitted by Member airlines of the International Air Transport

Association (IATA), the undersigned has been constituted to be their attorney

‐ in

‐ fact for filing

with the Department of Transportation copies of agreements adopted by the IATA Traffic

Conferences.

On their behalf, and pursuant to the procedures specified in Order 2012

‐ 4

‐ 18 (13 April

2012), I am filing with the Department, in Docket OST

‐ 2012

‐ 0058, this Notice, the subject

agreements and supporting documentation. These agreements are Tier 1 agreements

tentatively exempted by Order 2012

‐ 4

‐ 18 from Condition #2 to the Department’s approval of

the Provisions for the Conduct of the IATA Traffic Conferences, which condition requires pre

‐

implementation Department review. The intended effective date of the agreements is 1 August

2012.

The subject agreements amend or establish Resolutions and/or Recommended Practices

that do not address subject areas which the Department has indicated it still chooses to review

under Condition #2. The text of the agreements and other conference documentation sent to

airline Members of IATA accompany this Notice. The cover pages of the documentation clearly

identify each affected Resolution and/or Recommended Practice and show whether the subject

agreements are amendments or new agreements. Other pages provide the text of each subject

agreement. Where an affected Resolution or Recommended Practice has previously been

exempted from Condition #2 by Department action, the cover pages include the appropriate- 2 - docket and order number. The cover pages include a summary to explain the nature and

purpose of the subject amendments and/or agreements.

Respectfully submitted,

/s/ Douglas Lavin
Douglas Lavin

Regional Vice President

– North America

International Air Transport Association

Attorney

‐ In

‐ Fact- 3 - CERTIFICATE OF SERVICE

A copy of this notice has been served this day by first class or priority mail on the
following person:

Chief, Transportation, Energy & Agriculture Section

Antitrust Division

Department of Justice
Washington, D.C. 20530

A copy of this notice has been sent this day by email to John Kiser (John.Kiser@dot.gov)

and to Della Davis (Della.Davis@dot.gov) of the Department of Transportation.

/s/ Douglas Lavin
Douglas Lavin

1 February 2013

Date ServedInternational Air Transport Association

Route de l’Aéroport 33

PO Box 416 CH - 1215 Geneva 15 Airport

Switzerland

Tel: +41 22 770 2842

Fax +41 22 770 2896

AS www.iata.org E-Mail: tariffs@iata.org 1 November 2012

MEMORANDUM

PTC COMP 1682

TO: Members Participating in Tariff Coordinating Conferences

FROM: Manager, Tariffs & Reservation Standards

SUBJECT: Composite Passenger Tariff Coordinating Conference Abu Dhabi, 17 October 2012 Composite Resolution 017ha

Intended Effective Date: 1 June 2013

R ESOLUTION

- A DOPTED

Attached is Composite Resolution 017ha, which was adopted at the above meeting for an

intended effective date of 1 June 2013.

Implementation date will be advised at a later date.

The filing period for the attached Resolutions ends 15 December 2012

. Members are reminded of their obligations under Resolutions 001 and 006 to advise this office by the end of the filing period whether approval by their Government authorities is required and, if so, to accomplish the necessary filing formalities. The effective date will be declared in accordance with Resolutions 001 and 006, when all the known necessary Government approvals have been received.

Alban Sato Manager, Tariffs & Reservation Standards

Airline Distribution StandardsRESOLUTION ADOPTED AT

COMPOSITE MEETING OF

PASSENGER TARIFF COORDINATING CONFERENCE

ABU DHABI, 17 OCTOBER 2012

EFFECTIVE DATE: 01 JUNE 2013

RESO TITLE COMMENTS RD

017ha Fare Selection Criteria New 1ADOPTED Res Doc : 1

Resolution : 017ha Page : 1

PTC COMP 1682 AHU, Oct12 FARE SELECTION CRITERIA

PTC1(88) 017ha New PTC2(166) 017ha PTC3(93) 017ha PTC12(197) 017ha PTC23(162) 017ha PTC31(127) 017ha PTC123(176) 017ha

Filing Period Begins 15 November 2012 Intended Effectiveness: 1 June 2013 Ends 15 December 2012 Expiry: Indefinite

Type B

RESOLVED that,

1) for the purposes of fare selection, the fares to be used will be those applicable to the carrier selected. These may be either

a) carrier specific fares, or

b) if all fares of the selected carrier cannot be used, the YY fare (subject to the selected carrier’s acceptance of the use of YY fares), or

c) if a partial structure has been filed as carrier specific fares then the remainder of the structure will be established using YY fares unless the carrier has advised that such YY fares will not apply

Examples

1. The carrier only has fares records for carrier specific Normal Fares - the special fares structure for that carrier will be the YY fares

2. The carrier has only a single fares record for a carrier specific PEX fare - the Normal fares and the rest of the special fares for that carrier will be the YY

structure

3. The carrier has no fares records for carrier specific fares - the YY structure will apply for that carrier

2) the fares to be applied, in the direction of the fare selection in accordance to
017a, will be the lowest of

a) the fares for the carrier who performs

i. the carriage on the first sector wh ich crosses from one area to another, if

none

ii. the carriage on the first sector which crosses from one sub-area to another,

if none

iii. the carriage on the first international sectorADOPTED Res Doc : 1

Resolution : 017ha Page : 2

PTC COMP 1682 AHU, Oct12 b) the fares for the carrier who performs the greatest part of consecutive carriage, either wholly international or a combination of international and domestic, measured by TPM

EXAMPLES OF FARE COMPONENTS CROSSING AREAS:

1. Journey: PAR-XX-BKK-ZZ-AKL-BB-DXB-XX-PAR

----------------- ---- Æ Å -------------------- Fare Components:

PAR-AKL the fares to be applied will be the lowest of carrier PAR-BKK (area crossing carrier) and carrier BKK-AKL (longest international carriage)

AKL-PAR the fares to be applied will be the lowest of carrier DXB-AKL (both the longest consecutive carriage and area crossing carrier)

2. Journey: BOM-XX-TYO-ZZ-HNL-BB-SEL-XX-BOM

------------ Æ Å ---------------

Fare Components:

BOM-HNL the fares to be applied will be the lowest of carrier BOM-TYO (longest international carriage) and carrier TYO-HNL (area crossing carrier)

HNL-BOM the fares to be applied will be carrier SEL-HNL (both the longest consecutive carriage and area crossing carrier)

3. Journey: RIO-XX-NYC-ZZ-LON-BB-WAS-XX-SAO-XX-RIO

----------- Æ Å ------------------

Fare Components:

RIO-LON the fares to be applied will be the lowest of carrier RIO-NYC (longest international carriage) and carrier NYC-LON (area crossing carrier)

LON-RIO the fares to be applied will be lowest of carrier WAS-LON (area crossing carrier) and the carrier RIO-SAO-WAS (longest consecutive carriage)

4. Journey: YVR-DD-SEL-XX- IST-BB-HKG-ZZ-YVR-ZZ-YTO

------ ----------------- Æ Å -------------------------------

Fare Components:

YVR-IST the fares to be applied will be the lowest of the carrier YVR-SEL (first area crossing) and carrier SEL-IST (longest international carriage)

IST-YTO the fares to be applied will be lowest of the carrier YVR-HKG (first area crossing carrier) and the carrier YTO-YVR-HKG (longest consecutive carriage)

5. Journey: BKK-XX-VIE-ZZ-YMQ-ZZ-YYC-BB-LON-XX-BKK

------------------------------- Æ Å ----------------------

Fare Components:

BKK-YYC the fares to be applied will be the lowest of carrier BKK-VIE (first area crossing) and carrier VIE-YMQ-YYC (longest consecutive carriage)ADOPTED Res Doc : 1

Resolution : 017ha Page : 3

PTC COMP 1682 AHU, Oct12 YYC-BKK the fares to be applied will be those of carrier BKK-LON (both the longest consecutive carriage and the first area crossing carrier)

EXAMPLES OF FARE COMPONENTS BETWEEN SUB-AREAS:

1. Journey: CAI-XX-ADD-ZZ-JNB-XX-KRT-ZZ-CAI

-------------------- Æ Å --------------------

Fare Components:

CAI-JNB the fares to be applied will be the lowest of carrier CAI-ADD (first subarea crossing) and carrier ADD-JNB (longest international carriage)

JNB-CAI the fares to be applied will be lowest of carrier KRT-JNB (both the longest consecutive carriage and the first sub-area crossing within Area 2 carrier)

2. Journey: MEL-XX-JKT-DD-TYO-ZZ-MNL-XX-BNE-XX-MEL

--------------------- Æ Å --------------------------------

Fare Components:

MEL-TYO the fares to be applied will be the lowest of carrier MEL-JKT (first subarea crossing) and carrier JKT-TYO (longest international carriage)

TYO-MEL the fares to be applied will be lowest of carrier BNE-MNL (first sub-area crossing carrier) and carrier MEL-BNE-MNL (longest consecutive carriage)

EXAMPLES OF FARE COMPONENTS WITHIN A SUB-AREA

1. Journey: KUL-XX-BKK-DD-CAN-DD-BJS-ZZ-HKG-XX-KUL

--------------------------------- Æ Å ---------------------

Fare Components:

KUL-BJS the fares to be applied will be the lowest of carrier KUL-BKK (first international) and carrier BKK-CAN-BJS (longest consecutive carriage)

BJS-KUL the fares to be applied will be lowest of carrier KUL-HKG (both the longest consecutive carriage and the first international sector)

2. Journey: SCL-XX-ASU-DD-SAO-DD-RIO-ZZ-ASU-XX-SCL

------------------------------- Æ Å ----------------------

Fare Components:

SCL-RIO the fares to be applied will be the lowest of carrier SCL-ASU (both the longest consecutive carriage and the first international sector)

RIO-SCL the fares to be applied will be lowest of carrier SCL-ASU (both the longest consecutive carriage and the first international sector)ADOPTED Res Doc : 1

Resolution : 017ha Page : 4

PTC COMP 1682 AHU, Oct12 GENERAL

3) surface sectors

a) for the purpose of determining the carrier performing the greatest part of the consecutive international and domestic carriages, surface sectors will not be

considered for the calculation of consecutive TPM

Example: SPK-ZZ-TYO xxx O SA-ZZ-HKG-BB-SIN TYO-OSA surface sector is not considered for the calculation of TPM, therefore the comparison would be:

SPK-TYO (carrier ZZ) 510 OSA-HKG (carrier ZZ) 1548 HKG-SIN (carrier BB) 1594

The result is HKG-SIN has the longest consecutive international TPM and carrier BB’s fares will be selected for comparison.

b) if the longest TPM sector is a surface sector, such sector is not considered

c) if the sector for which the selection is to be made is a surface sector, YY fares will be

selected

4) for the purpose of this Resolution

a) travel between Canada and USA is not considered as international travel Example : YUL-NYC-MEX

first international sector is NYC-MEX

b) travel between Denmark, Norway and Sweden is considered as international travel Example: STO-CPH-LON

first international sector is STO-CPH

c )within TC1 when crossing sub-areas, the following applies:

North America Canada, Greenland, Mexico, St. Pierre and Miquelon, USA

Caribbean Anguilla Guadeloupe Antigua and Barbuda (including St.Barthelemy Aruba and Northern St.Martin)
Bahamas Haiti
Barbados Jamaica Bermuda Martinique Bonaire, Saba, Sint Eustatius Montserrat British Virgin Islands St.Kitts and Nevis Cayman Islands St. Maarten Cuba Saint Lucia Curacao St.Vincent and the Grenadines Dominica Trinidad and Tobago Dominican Republic Turks and Caicos Islands Grenada Suriname Guyana French Guiana

Central America Belize Guatemala Costa Rica Honduras El Salvador NicaraguaADOPTED Res Doc : 1

Resolution : 017ha Page : 5

PTC COMP 1682 AHU, Oct12 South America Argentina Panama Bolivia Paraguay
Brazil Peru Chile Uruguay Colombia Venezuela
EcuadorPTC COMP 1682 AHU, Oct12 Composite Passenger Tariff Coordinating Conference Abu Dhabi, 17 October 2012

Summary of Agreements

For intended effective date of 1 June 2013, Composite meeting adopted a new Fare Selection Criteria Resolution that would provide:

• General guideline for the fare selection criteria in case on interlining, which

• Applies a more competitive method, while

• Meeting concerns of certain regulatory bodies and

• Enable systems to implement the solution as it is similar to the criteria method already approved and implemented for markets within Europe (Resolution 017hh)