BEFORE THE DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C. Joint Application of DELTA AIR LINES, INC. AEROVÍAS DE MÉXICO, S.A. DE C.V. COMPASS AIRLINES, LLC Docket OST-2016- for statements of authorization under 14 C.F.R. Part 212 (Los Angeles Los Cabos JOINT APPLICATION OF DELTA AIR LINES, INC., AEROVÍAS DE MÉXICO, S.A. DE C.V., AND COMPASS AIRLINES, LLC FOR STATEMENTS OF AUTHORIZATION Communications with respect to this document should be addressed to: Christopher Walker Director, Regulatory and International Affairs DELTA AIR LINES, INC. 1212 New York Avenue, NW Washington, DC 20005 (202 216-0700 chris.walker@delta.com John R. Mietus, Jr. LAW OFFICE OF JOHN MIETUS, LLC 6400 Goldsboro Road, Suite 215 Bethesda, MD 20817 (202 747-5212 john@mietuslaw.com Counsel for Aerovías de México, S.A. de C.V. Kenneth P. Quinn Jennifer Trock Graham Keithley PILLSBURY WINTHROP SHAW PITTMAN LLP 1200 Seventeenth Street NW Washington, DC 20036 202-663-8000 kquinn@pillsburylaw.com jennifer.trock@pillsburylaw.com graham.keithley@pillsburylaw.com Counsel for Compass Airlines, LLC Submitted: January 9, 2017 NOTICE: Answers to this application are due January 18, 2017. The Joint Applicants are requesting expedited consideration and will poll the U.S. carrier representatives served with this application and notify the Department promptly of the results of the poll. 1
BEFORE THE DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C. Joint Application of DELTA AIR LINES, INC. AEROVÍAS DE MÉXICO, S.A. DE C.V. COMPASS AIRLINES, LLC Docket OST-2016- for statements of authorization under 14 C.F.R. Part 212 (Los Angeles Los Cabos JOINT APPLICATION OF DELTA AIR LINES, INC., AEROVÍAS DE MÉXICO, S.A. DE C.V., AND COMPASS AIRLINES, LLC FOR STATEMENTS OF AUTHORIZATION Pursuant to 14 C.F.R. Part 212, Delta Air Lines, Inc. ( Delta, Aerovías de México, S.A. de C.V. ( Aeromexico, and Compass Airlines, LLC ( Compass (together, the Joint Applicants hereby apply for statements of authorization of indefinite duration to engage in scheduled, foreign air transportation of persons, property, and mail between Los Angeles, California and Los Cabos, Mexico, as described below: Compass. (1 permitting Delta to display the AM* designator code on flights operated by Delta; and (2 permitting Compass to display the AM* designator code on flights operated by Los Angeles-Los Cabos year-round service will be provided with Compass s Embraer 175 aircraft, beginning on or about February 17, 2017. So that the Joint Applicants may begin marketing service, they request expedited Department action and will report the results of their poll of U.S. carriers served with the Joint Application. 1 1 The Joint Applicants request a waiver of the 45-day advance filing requirement for codeshare statements of authorization under 14 C.F.R. Part 212 so that the proposed codeshare services may begin without delay. 2
In support of this Joint Application, the Joint Applicants state as follows: 1. Aeromexico is a flag carrier of the United Mexican States that has provided extensive U.S.-Mexico service under Department permit and exemption authority listing specific markets. By an exemption served on December 14, 2016, the Department granted Aeromexico blanket Mexico-U.S. authority to the full extent of the 2016 Air Transport Agreement between the Government of the United States of America and the Government of the United Mexican States ( 2016 Agreement. See Docket OST-2016-0209. 2. Delta and Compass are fit, willing, and able to engage in these services on a codeshare basis. Delta and Compass each hold various certificates of public convenience and necessity and exemptions authorizing them to engage in scheduled foreign air transportation of persons, property, and mail, including between the United States and Mexico. See, e.g., Notice of Action Taken dated August 10, 2016 in Docket OST-2016-0142; Order 2010-3-12; Notice of Action Taken dated August 15, 2016 in Docket OST-2016-0151; Order 2016-2-13. Delta and Compass also request that the Department take official notice, pursuant to Rule 24 of the Department s Rules of Practice, of all data on file with the Department necessary to establish their fitness. 3. The proposed codeshare services will be operated pursuant to the existing Delta/Aeromexico codeshare agreement previously approved by the Department. 2 4. Approval of the codeshare authorities is in the public interest. Authorizing the requested codesharing services on this route will enhance competition and expand price and service options for U.S.-Mexico travelers. Approval of the codesharing is also consistent with the 2016 Agreement, Article 8 7, and the Department has previously granted similar U.S.-Mexico 2 Compass informally notified the Department that compass provides these services as Delta Connection carrier displaying the DL* designator code of Delta. See DOT, Notice of Action Taken (Mar. 18, 2015 (OST-2013-0063. 3
codesharing requests, finding that the exercise of such codeshare rights will benefit travelers, shippers, businesses, cities, airlines, and airports. See DOT Order 99-6-6 at 6. See also, e.g., Notice of Action Taken dated November 14, 2016 in Docket OST-2014-0083. 5. The Joint Applicants will conduct these codeshare services in accordance with 14 C.F.R. Part 257 and the other conditions normally imposed by the Department on codesharing statements of authorization. 6. Delta affirms that its operation on this route will have no impact on Delta s Civil Reserve Air Fleet ( CRAF commitment. 7. The environmental impacts of the proposed services are de minimis, and the Joint Applicants do not anticipate that the proposed services will cause a near-term net annual change in aircraft fuel consumption of 10 million gallons or more. WHEREFORE, Delta Air Lines, Inc., Aerovías de México, S.A. de C.V., and Compass Airlines, LLC, respectfully request that the Department grant the statements of authorization and such other relief as may be necessary or proper. [SIGNATURE PAGE FOLLOWS 4
Respectfully submitted, /s/ Christopher Walker Christopher Walker Director, Regulatory and International Affairs DELTA AIR LINES, INC. 1212 New York Avenue, NW Washington, DC 20005 /s/ John R. Mietus, Jr. John R. Mietus, Jr. LAW OFFICE OF JOHN MIETUS, LLC 6400 Goldsboro Road, Suite 215 Bethesda, MD 20817 Counsel for Aerovías de México, S.A. de C.V. Kenneth P. Quinn Jennifer Trock Graham Keithley PILLSBURY WINTHROP SHAW PITTMAN LLP 1200 Seventeenth Street NW Washington, DC 20036 Counsel for Compass Airlines, LLC Dated January 9, 2017 5
CERTIFICATE OF SERVICE A copy of the foregoing application has been served on January 9, 2017, upon the following persons via email: Robert Silverberg Counsel for ABX Air and ATI Silverberg Goldman & Bikoff, LLP rsilverberg@sgbdc.com Jeremy Ross Alaska Air and Virgin America jeremy.ross@alaskaair.com David Heffernan Counsel for Alaska Air and Virgin America Cozen O Connor dheffernan@cozen.com Aaron A. Goerlich Counsel for Allegiant Air and Omni Air Garofalo Goerlich Hainbach PC agoerlich@ggh-airlaw.com Robert Wirick Howard Kass American Airlines, Inc. robert.wirick@aa.com howard.kass@aa.com Joan Canny Amerijet International jcanny@amerijet.com Russell E. Pommer Atlas Air Inc. rpommer@atlasair.com Nancy S. Sparks Federal Express Corporation nssparks@fedex.com Bob Cohn Hogan Lovells Counsel for Frontier Airlines, Mesa and Republic robert.cohn@hoganlovells.com Parker Erkmann Counsel for Hawaiian Airlines Cooley perkmann@cooley.com Pete Sanderlin Kalitta Air psanderlin@kalittaair.com Robert Land JetBlue robert.land@jetblue.com Evelyn Sahr Drew Derco Counsel for JetBlue Eckert Seamans esahr@eckertseamans.com dderco@eckertseamans.com Laura Jennings Counsel for Miami Air International Dentons laura.jennings@dentons.com Kevin Montgomery Polar Air Cargo kevin.montgomery@polaraircargo.com Bob Kneisley Leslie Abbott Southwest Airlines bob.kneisley@wnco.com Leslie.abbott@wnco.com Joanne Young David Kirstein Counsel for Spirit Kirsten & Young jyoung@yklaw.com dkirstein@yklaw.com Mathew Friebe Larry Chestler Sun Country mathew.friebe@suncountry.com Larry.chestler@suncountry.com Dan Weiss United Airlines dan.weiss@united.com Counsel for United Airlines Marc L. Warren Crowell and Moring mwarren@crowell Anita Mosner Jennifer Nowak Counsel for UPS Holland & Knight anita.mosner@hklaw.com Jennifer.nowak@hklaw.com Thomas S. Engle Department of State englets@state.gov John S. Duncan Federal Aviation Administration john.s.duncan@faa.gov /s/ Graham Keithley Graham Keithley PILLSBURY WINTHROP SHAW PITTMAN LLP