UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY WASHINGTON, DC



### Issued by the Department of Transportation on December 4 , 201 2

NOTICE OF ACTION TAKEN

-- DOCKET DOT

- OST

- 201 2

- 0 190

_________________________________________________________________________________________________________ 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 AirTran Airways, Inc. (AirTran)

, filed 11/ 2/12

, for:

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

Scheduled foreign air transportation of persons, property, and mail between Denver, Colorado , and San Jose del Cabo, Mexico

. 1

Applicant rep: Robert W. Kneisley (202) 263

- 6284 DOT Analyst: Brett D. Kruger (202) 366

- 8025

D I S P O S I T I O N

XX Granted (subject to conditions, see Remarks below)

The above action was effective when taken: December 4 , 201 2

, through December 4 , 201 4

.

Action taken by: Paul L. Gretch, Director

Office of International Aviation

XX The authority granted is consistent with the aviation agreement between the United States and

Mexico.

Except to the extent exempted or waived, this authority is subject to the terms, conditions, and limitations

indicated:

XX The holder’s certificates of public convenience and necessity

XX Standard exemption conditions (attached)

Remarks: Under the U.S.

- Mexico air services agreement, three U.S. carriers may be designated to provide scheduled foreign air transportation o f persons, property, and mail between Denver and San Jose del Cabo. Currently, Fro ntier Airlines, Inc. (Frontier); Republic Airline, Inc. (Republic); and United Air Lines, Inc. (United) are designated to provide these services. In its application

, however , AirTran notes that Republic has not provided service in the subject market since April 14, 2008, and has no published service in the market through May 2013. 2

Under the circumstances presented in this case, including the fact that no party opposed AirTran ’s

request , we have decided that it is in the public interest to designate AirTran in place of Republic

. In this regard, we will withdraw the designation of Republic effective upon the issuance of this Notice of Action

Taken.

1 AirTran proposes to commence year

- round services in the Denver

- San Jose del Cabo market as soon as all regulatory approvals are received.

2 By letter to the Department dated November 21, 2012, AirTran stated that its application was unopposed and urged the Department to act as quickly as possible.Conditions : The U.S.

- Mexico exemption authority granted is subject to the dormancy notice requirements set forth in condition 7 of Appendix A of Order 88

- 10

- 2

.

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 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 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 pet itions 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: www.regulations.govATTACHMENT

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 operati ng 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

req uirements 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. Go vernment 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 f lights) 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 s erved; and

(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, an d 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.

1/08