UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY WASHINGTON, D.C.

Issued by the Department of Transportation on June 11, 2010



### NOTICE OF ACTION TAKEN

-- DOCKET DOT

- OS T

- 20 03

- 16316

_____________________________________________________________________________________________________________________________ ___ 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).

Applicant : 

### Hapag

- Lloyd Express GmbH Date Filed: April 7, 2010

Relief requested: Renew exemption from 49 U.S.C. § 41301 to engage in: (a) foreign charter air transportation of persons and property from any point or points behind any Member State of the European Union, via any point or points in any Member State and via intermediate points to any point or points in the United States and beyond; (b) foreign charter air transportation of pers ons and property between any point or points in the United States and any point or points in any member of the European Common Aviation Area; (c) other charters pursuant to the prior approval requirements set forth in 14 CFR Part 212 of the Department’s re gulations; and (d) charter transportation authorized by any additional route rights made available to European Community carriers in the future, using small aircraft.

If renewal, date and citation of last action: Order 2008

- 4

- 37 issued April 24, 2008, in this docket

Applicant representative: Victor H. Smith (202) 776

- 3970 DOT Analyst: Shelita A. Johnson (202) 366

- 1226 Responsive pleadings: None filed

DISPOSITION

Action: Approved Ac tion date : June 11, 2010

Effective dates of exemption authority granted: June 11, 2010

– June 11, 2012

Basis for approval (bilateral agreement/reciprocity)

. U.S.

- EU Air Transport Agreement

Except to the extent exempted/waived, this authority is subje ct to the terms, conditions, and limitations indicated:

X Standard exemption conditions (attached) Foreign air carrier permit ( Order )

Special conditions/Partial grant/Denial basis/Remarks: In the conduct of these operation s, Hapag

- Lloyd may only use aircraft capable of carrying no more than 60 passengers and having a maximum payload capacity of no more than 18,000 pounds.

Action taken by: Paul L. Gretch, Director

Office of International Aviation

___________________ _____________________________________________________________________________________________________________ Under authority assigned by the Department in its regulations, 14 CFR Part 385, we found that (1) the applicant

, a foreign air carrier of Germany

, is qualified to perform the proposed operations and is substantially owned and effectively controlled in a manner consistent with the provisions of the U.S.

- EU Agreement; 1 (2) our action was consistent with Department policy; (3) grant of the authority wa s consistent with the public interest; and (4) 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/deferred/dismissed, we denied all requests in the referenc ed 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 regulation s, 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 d ocument is available on the World Wide Web at: http://www.regulations.gov

1 We make this finding based on the Procedures for Reciprocal Recognition of Regulatory Determinations with Regard to Airline Fitness and Citizenship; adopted by the U.S.

- EU Joint Committee on January 12, 2009.Foreign Air Carrier Exemption Conditions Appendix A

In the conduct of the operations authorized, the foreign carrier applicant shall:

(1) Not conduct any operations unles s it holds a currently effective authorization from its homeland for such operations, and it has filed a copy of such authorization with the Department;

(2) Comply with all applicable requirements of the Federal Aviation Administration, the Transportation Sec urity Administration, and with all applicable U.S. Government requirements concerning security, including, but not limited to, 14 CFR Parts 129, 91, and 36 and 49 CFR Part 1546 or 1550, as applicable. To assure compliance with all applicable U.S. Governme nt requirements concerning security, the holder shall, before commencing any new service (including charter flights) from a foreign airport that would be the holder’s last point of departure for the United States, contact its International Industry Represe ntative (IIR) (formerly referred to as International Principal Security Inspector) to advise the IIR 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

ser ved;

(3) Comply with the requirements for minimum insurance coverage contained in 14 CFR Part 205, and, prior to the commencement of any operations under this authority, file evidence of such coverage, in the form of a completed OST Form 6411, with the Federa l Aviation Administration’s Program Management Branch (AFS

260), Flight Standards Service (any changes to, or termination of, insurance also shall be filed with that office);

(4) Not operate aircraft under this authority unless it complies with operational sa fety requirements at least equivalent to Annex 6 of the Chicago Convention;

(5) Conform to the airworthiness and airman competency requirements of its Government for international air services;

(6) Except as specifically exempted or otherwise provided for in a D epartment Order, comply with the requirements of 14 CFR Part 203, concerning waiver of Warsaw Convention liability limits and defenses;

(7) Agree that operations under this authority constitute a waiver of sovereign immunity, for the purposes of 28

U.S.C. 160 5(a), but only with respect to those actions or proceedings instituted against it in any court or other tribunal in the United States that are: (a) based on its operations in international air transportation that, according to the contract of carriage, in clude a point in the United States as a point of origin, point of destination, or agreed stopping place, or for which the contract of carriage was purchased in the United States; or (b) based on a claim under any international agreement or treaty cognizabl e in any court or other tribunal of the United States. In this condition, the term "international air transportation" means "international transportation" as defined by the Warsaw Convention, except that all States shall be considered to be High

Contracti ng Parties for the purpose of this definition;

(8) Except as specifically authorized by the Department, originate or terminate all flights to/from the United States in a Member State of the European Union;

(9) Comply with the requirements of 14 CFR Part 217, con cerning the reporting of scheduled, nonscheduled, and charter data;

(10) If charter operations are authorized, except as otherwise provided in the applicable aviation agreement, comply with the Department's rules governing charters (including 14 CFR Parts 212 and 380); and

(11) Comply with such other reasonable terms, conditions, and limitations required by the public interest as may be prescribed by the Department, with all applicable orders or regulations of other U.S. agencies and courts, and with all applicable laws of the United States.

This authority shall not be effective during any period when the holder is not in compliance with the conditions imposed above. Moreover, this authority cannot be sold or otherwise transferred without explicit Depart ment approval under Title 49 of the U.S. Code.

EU carrier 01/2008