UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, DC

Issued by the Department of Transportation on November 26, 2014

NOTICE OF ACTION TAKEN – DOCKET DOT-OST-2014-0194

_____________________________________________________________________________________

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).

Application of NORTHERN AIR CARGO, INC. (NAC) filed 11/12/14 for:

XX Exemption for two years under 49 U.S.C. §40109 to provide the following service:1

Scheduled foreign air transportation of property and mail between the United States and all countries 

with which the United Sates has entered into an Open-Skies Agreement, as well as with any country with 

which the United States may in the future enter into such an agreement, once the agreement is being 

applied by both countries.

XX Certificate of Public Convenience and Necessity under 49 U.S.C. 41102 to provide the following service:

Scheduled foreign air transportation of property and mail between the United States and all countries 

with which the United Sates has entered into an Open-Skies Agreement, as well as with any country with 

which the United States may in the future enter into such an agreement, once the agreement is being 

applied by both countries.

Applicant representatives: Anita M. Mosner and Jennifer M. Nowak (202) 419-2604

DOT Analyst: Brett Kruger (202) 366-8025

D I S P O S I T I O N

XX Granted request for exemption authority (subject to conditions, see below; see also Remarks below)

XX Deferred request for certificate authority2

The above action granting exemption authority was effective when taken: November 26, 2014, through

November 26, 2016, or until 90 days after final Department action on NAC’s corresponding application for a 

certificate of public convenience and necessity, whichever occur earlier.

The above action deferring on the applicant’s request for certificate authority was effective when taken: 

November 26, 2014.

Action taken by: Paul L. Gretch, Director

 Office of International Aviation

XX The authority granted is consistent with open-skies aviation agreements that are currently

being applied. 

 1 NAC has advised us informally that it is requesting this exemption authority on an expedited basis because, in connection 

with its desire to carry mail, including on a code-share basis, it is facing a recently imposed December 8, 2014 deadline 

under the United States Postal Service International Commercial Air solicitation process to secure necessary regulatory 

approvals related to such operations. 2 We will handle NAC’s request for certificate authority separately.
Except to the extent exempted or waived, this authority is subject to the terms, conditions, and limitations 

indicated: XX Holder’s certificates of public convenience and necessity 

 XX Standard exemption conditions (attached)

Conditions/Remarks: We have decided to grant NAC the requested exemption authority to serve all openskies partners; that is, foreign aviation partners with which the United States has entered into an Open-Skies

Agreement where that agreement is being applied. We have also decided to grant to NAC exemption authority 

to serve Brunei Darussalam, Chile, Cook Islands, New Zealand, Samoa, Singapore, and Tonga, each a signatory 

to the Multilateral Agreement on the Liberalization of International Air Transportation (“MALIAT”).3

We also grant the carrier blanket authority such that when an additional foreign aviation partner enters into an 

open-skies agreement with the United States, and where that agreement is being applied, authority to serve that 

open-skies partner will automatically be included as part of the carrier’s exemption authority without the need 

for further action by the Department or the carrier. We find that the award of such authority, on a prospective 

basis, with the enhanced administrative convenience it would accord to the carrier, is consistent with the public 

interest.

The Department’s Office of International Aviation maintains a list of currently applied open-skies aviation 

agreements between the United States and its open-skies partners.4 The Department updates the list as openskies partners are added.

5

We acted on this application without awaiting expiration of the answer period with the consent of all parties 

served with the application.

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On the basis of data officially noticeable under Rule 24(g) of the Department's regulations, we found the 

applicant qualified to provide the exemption services authorized.

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 exemption 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 or deferred, 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 action 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 version of this document is available on the World Wide Web at:

http://www.regulations.gov

 3 We have open-skies relationships with the Cook Islands, Samoa and Tonga, under the MALIAT. Also, the MALIAT

supersedes our bilateral open-skies agreements with Brunei, Chile, New Zealand, and Singapore. 4 See http://www.dot.gov/policy/aviation-policy/open-skies-agreements-being-applied for the list of open-skies agreements 

that are being applied.

5 The Department will also update the list if an open-skies partner is removed and will provide notice when this occurs.

Notice will be provided by publication in the Federal Register.
ATTACHMENT

U.S. Carrier Exemption Conditions

In the conduct of the operations 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 operations, 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) Except 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 Aviation 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 requirements 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 Security 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 Transportation, 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 conditions imposed above.

 

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