BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

------------------------------------------------------------------------ Application of :

:

CONTINENTAL AIRLINES, INC. :

and : Docket DOT

- OST

- 2011

- 0048

UNITED AIR LINES, INC. :

:

for exemptions pursuant to 49 U.S.C. § 40109 :

(San Francisco

- Guadalajara , Mexico) :

------------------------------------------------------------------------

APPLICATION OF UNITED AIR LINES , INC.

FOR RENEWAL

Communica tions with respect to this document should be sent to:

Hershel I. Kamen

Senior Vice President

- Alliances,

Regulatory and Policy

Daniel A. Weiss

Managing Director

- International

Affairs and Regulatory

UNITED AIR LINES, INC.

77 West Wacker Drive

HDQIZ

Chicago, IL 60601

(312) 997

- 7573

hershel.kamen@united.com

dan.weiss@united.com

Steve Morrissey

Managing Director

- Regulatory Affairs

and Policy

Karine R. Faden

Managing Counsel

- Regulatory, Antitrust &

Competition

UNITED AIR LINES, INC.

1225 New York Avenue, N.W.

Suite 1100 DCAIZ/DCALD

Washington, DC 20005

(202) 521

- 4373

(202) 521

- 4363

steve.morrissey@united.com

karine.faden@united.com

January 1 7, 2013 Thomas Newton Bolling

Vice President and Deputy General Counsel

Jonathan T. Linde

Senior Counsel

- Regulatory, Antitrust &

Competition

UNITED AIR LINES, INC.

77 West Wacker Drive

HDQLD

Chicago, IL 60601

(312) 997

- 8341

thomas.bolling@united.com

jonathan.linde@united.com

Lorraine B. Halloway

Gerald F. Murphy

CROWELL & MORING LLP

1001 Pennsylvania Avenue, N.W.

Washington, DC 20004

(202) 624

- 2500

lhalloway@crowell.com

gmurphy@crowell.com

Counsel for

United Air Lines, Inc.BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, D.C.

------------------------------------------------------------------------ Application of :

:

CONTINENTAL AIRLINES, INC. :

and : Docket DOT

- OST

- 2011

- 0048

UNITED AIR LINES, INC. :

:

for exemptions pursuant to 49 U.S.C. § 40109 :

(San Francisco

- Guadalajara, Mexico) :

------------------------------------------------------------------------

APPLICATION OF UNITED AIR LINES , INC.

FOR RENEWAL

United 1 applies pursuant to 49 U.S.C. § 40109 and Subpart C of the Department's Rules

of Practice for renewal of its exemption from 49 U.S.C. § 41101 permitting it to provid e

scheduled foreign air transportation of persons, property and mail between San Francisco and

Guadalajara, Mexico

. United asks that this exemption authority be renewed for a period of no

less than two years.

United states as follows in support of its renewal application :

1. United’s exemption authority to provide schedule d service between San Francisco

and Guadalajara was originally granted by Notice of Action Taken dated March 17, 2011

, in this

docket

. 2 Absent renewal, this authority will expire on March 17

, 20 13

.

2. Renewal of United’s exemption authority is fully consistent with the terms of the

U.S.

- Mexico bilateral aviation agreement, as amended, and is clearly in the public interest. No

1 Common names are used for airlines.

2 The Department originally issued the San Francisco

- Guadalajara exemption

authority that is the subject of this renewal application in the name of “Continental Airlines, Inc.

and/or United Air L ines, Inc. ,” c onsistent with Order 2011

- 3

- 14 that reissued authorities

previously issued only to United or Continental.Application of United

Page 2

other U.S. airline offers nonstop service between San Franc isco and Guadalajara

. 3 Renewal of

United’s exemption authority will allow it to continue offering travelers and shippers options via

United’s hub at San Francisco International Airport which would otherwise be unavailable to

them.

3. United holds various certificates of public convenience and necessity and

exemptions authorizing it to engage in scheduled air transportation of persons, property and mail

between the U.S. and foreign countries, and United is fit, willing and able to provi de the service

for which it seeks renewal. See

, e.g., Orders 2007

- 4

- 19 (Blanket Open Skies), 2010

- 5

- 17 (U.S.

-

Mexico) and 2011

- 3

- 14 (Continental/United route transfer); and Notices of Action Taken dated

July 18, 2012 in Docket DOT

- OST

- 2012

- 0113 (Chicago

- Mo nterrey) and October 11, 2011 in

Docket DOT

- OST

- 1996

- 1368 (Houston

- Mazatlan). Pursuant to Rule 24 of the Department’s

Rules of Practice, United requests that the Department take official notice of all data that has

been filed to establish its fitness.

4. U nited invokes the automatic extension provisions of 5 U.S.C. § 558(c), as

implemented by Part 377 of the Department’s Special Regulations, to continue this authority in

effect pending action on this renewal application.

3 Since t he U.S.

- Mexico bilateral aviation agreement permits three U.S. carriers to

serve Guadalajara from any point or points in the U.S. , at least two U.S. carrier operating

designations remain available for this route

.