BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

2013/2014 U.S.

- Brazil Combination Frequency

Allocation Proceeding )

)

)

)

)

)

) Docket DOT

- OST

- 2013

- 0072

REPLY OF THE PORT AUTHORITY OF NEW YORK AND NEW JERSEY

IN SUPPORT OF DELTA AIR LINES, INC.

Communications with respect to this document should be addressed to:

Carlene V. McIntyre

Assistant General Counsel

Arnold D. Kolikoff

Attorney

THE PORT AUTHORITY OF NEW YORK

AND NEW JERSEY

Law Department

225 Park Avenue South, 14th Floor

New York, NY 10003

(212) 435

- 3503 Susan M. Baer

Director, Aviation Department

Bradley Rubinstein

Manager

– Industry and Regulatory Relations

THE PORT AUTHORITY OF NEW YORK

AND NEW JERSEY

Aviation Department

225 Park Avenue South, 9th Floor

New York, NY 10003

(212) 435

- 3741

brubinst@panynj.gov

May 14, 201 3BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

2013/2014 U.S.

- Brazil Combination Frequency

Allocation Proceeding )

)

)

)

)

)

) Docket DOT

- OST

- 2013

- 0072

REPLY OF THE PORT AUTHORITY OF NEW YORK AND NEW JERSEY

IN SUPPORT OF DELTA AIR LINES, INC.

The Port Authority of New York and New Jersey (“Port Authority”) continues its

support of the Delta Air Lines application for seven weekly frequencies in 2013 to enable

the carrier to add a second daily nonstop flight from John F. Kennedy International

Air port (“JFK”) to S ã o Paulo, Brazil. New York City is the largest U.S.

- Brazil

destination and awarding Delta seven additional frequencies would provide the most

benefit to consumers by increasing competition in this vital market

.

Some carriers have argu ed in their answer s that adding duplicative service from

existing gateways is the least valuable option and should be the lowest priority for the

Department. However, Delta’s second daily JFK

- S ã o Paulo flight would allow for a

second time offering to comp ete with established carriers. New York is the preeminent

business market in the United States and a choice of flight time s is beneficial to

customers and is especially important to business travelers. New York sustains multiple

daily flights to key busi ness destinations around the globe

.

As Delta points out, New York

- S ã o Paulo is the largest U.S.

- Brazil market with

nearly 340,000 annual Origin and Destination ( O&D ) passengers

– more than the otherReply of The Port Authority of New York and New Jersey

Page 2

proposed gateways combined. New York itself is much more populous than

Philadelphia, Charlotte, Chicago, or even Los Angeles. Given the importance of the New

York market, a second daily flight at Delta’s large and well established New York hub is

likely to yield large consumer benefits.

Based upon analysis provided by NYC & Company, New York City’s official

marketing, tourism and partnership organization, the New York

- Brazil market is growing

rapidly and as such needs ad ditional air service to meet the growing demand.

“Brazilian travel to New York City continued to grow at a rapid

pace throughout 2011, registering a 22% increase compared to

2010 and ending the year with an estimated 718,000 visitors

– a

new record. Brazil is now New York City’s second largest source

of overseas visitors and a top spending market.”

“New York remains the number

- one destination in the United

States for Brazilian travelers after securing a share of 48% of the

market.”

An award of seven additional frequencies to Delta will allow for a newly timed

flight, increasing competition in the most important U.S.

- Brazil route . In addition, JFK is

an important connecting hub with online service to 48 U.S. points. Passengers’

experience will be enh anced by Delta’s new Terminal 4 facility opening in May 2013.

This $1.4 billion investment features the largest SkyClub in Delta’s system, and will

allow international arrivals to be concentrated in the new facility.

The Port Authority support s Delta Air Lines’ application, as it is the only carrier

which is currently seeking to add service and competition in the dynamic and growing

New York

- Brazil market.Reply of The Port Authority of New York and New Jersey

Page 3

Respectfully submitted,

/s/ Susan M. Baer

_________________________________ Susan M. Baer

Director

– Aviation Department

THE PORT AUTHORITY OF NEW

YORK AND NEW JERSEYCERTIFICATE OF SERVICE

I hereby certify that I have on May 14 2013 served the foregoing Reply of The Port

Authority of New York and New Jersey in Support of Delta Air Lines, Inc. on the

following email addresses by electronic mail:

Francis.Heil@aa.com

Robert.Wirick@aa.com

howard.kass@usairways.com

benjamin.slo cum@usairways.com

dan.weiss@united.com

thomas.bolling@united.com

Sascha.Vanderbellen@delta.com

paul.gretch@dot.gov

esta.rosenberg@dot.gov

brian.hedberg@dot.gov

brett.kruger@dot.gov

urskr@state.gov

joe.cambron@wcaa.us

louis.miller@atlanta

- airport.com

Steve.Luben@atlanta

- airport.com

info@airlineinfo.com

/s/ Arnold D. Kolikoff

Arnold D. Kolikoff

Attorney

Law Department

THE PORT AUTHORITY OF NEW YORK

AND NEW JERSEY

225 Park Avenue South, 14th Floor

New York, N.Y. 10003

Telephone: (212) 435

- 3451