UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY WASHINGTON, D.C.

Issued by the Department of Transportation on July 1

, 20 1 3



### N OTICE OF ACTION TAKEN

– DOCKET DOT

- O ST

- 20 07

- 26805

_______________________________________________ _________________________________________________________________________________ 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: JOINT STOCK COMPANY “AEROFLOT

- RUSSIAN AIRLINES” (Aeroflot)

Date Filed: June 28, 2013

Relief requested: E xemption under 49 USC § 4 0109 to permit Aeroflot to provide scheduled foreign air transportation of persons, property, and mail between a point or points in Russia, on the one hand, and Atlanta, Bangor, Boston, Cleveland, Columbus (Ohio), Dallas/Ft. Worth, Denver, Detroit, Honolulu, Houston, Huntsville, Las Vegas, Minneapolis, Philadelphia, Portland (Oregon), and Toledo, on the other hand

. 1

Date and citation of last action: July 8 , 2011, in this Docket

. 2

Applicant representative s : Don H. Hainbach and Jason E. Maddux, 202

- 776

- 3970

DOT analyst: Brett D. Kruger , 202

- 366

- 8025

Responsive pleadings: None

DISPOSITION

Action: Appro ved

.

Action date: June 28 , 20 1 3 3

Effective dates of authority granted: June 28, 2013

, through June 28 , 2014

.

Basis for approval (bilateral agreement/reciprocity): The Annexes to the 1994 U.S.

- Russian Federation Air Transport Agreement. 4

Except to the e xtent exempted/waive d , this authority is subject to the terms, conditions, and limitations of our standard foreign air carrier exemption conditions ( attached ), the codeshare conditions previously imposed on Aeroflot , and to the

otherwise

- applicable terms, conditions, and limitations of Aeroflot’s foreign air carrier permit (Order 86

- 5

- 75 )

.

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) our action was consistent w ith Department policy; (2) the applicant was qualified to perform its proposed operations; (3) grant of the aut hority was consistent with

1 We note that under the Agreement, Aeroflot may serve Cleveland, Denver, Detroit, Las Vegas, Minneapolis, and Philadelphia as the

mark eting carrier on a code

- share

- only basis.

2 The applicant’s previous exemption authority to serve the subject markets expired when the applicant failed to seek timely re newal. Our approval of its present request does not serve to insulate the applicant f rom any enforcement action which may be taken by the Assistant General Counsel for Aviation Enforcement and Proceedings.

3 On June 28, 2013, we orally granted the exemption authority requested by the applicant. Our action here serves to confirm ou r oral

a pproval. We acted on the application without awaiting expiration of the 15

- day answer period with the consent of all parties served.

4 On February 14 , 20 13 , the United States and the Russian Federation agreed, ad referendum , to revised Annexes to the U.S.

- Russia Air Transport Agreement and stated that, pending their entry into force, the respective aeronautical authorities inten d to implement the provisions of those Annexes on the basis of comity and reciprocity

.the public interest; and (4) grant of the authority would not constitute a major regulatory action under the Energy Policy an d Conservation Act of 1975. To the extent not granted or dismissed , we denied all requests in the refer enced 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 regulat ions, 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.govAppendix



### Foreign Carrier Exemption Conditions

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

(1 ) Not conduct any operations unless 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 Aviatio n Administration, the Transportation Security 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 comp liance with all applicable U.S. Government 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, co ntact its International Industry Representative (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

ade quate to allow such airport(s) to be served;

(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 Federal 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 thi s authority unless it complies with operational safety 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) Exce pt as specifically exempted or otherwise provided for in a Department 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. 1605(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 a ir transportation that, according to the contract of carriage, include 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) base d on a claim under any international agreement or treaty cognizable 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 Conventio n, except that all States shall be considered to be High Contracting 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 its homeland;

(9) Comply with the requirements of 14 CFR Part 217, concerning 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 Departmen t'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 regulati ons 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 s old or otherwise transferred without explicit Department approval under Title

49 of the U.S. Code.

12/2007