In the Matter of U.S.-Germany; Third Country Code-Share Designations and Frequency Allocations

DEPARTMENT OF TRANSPORTATION

[Docket 49674]

In the Matter of U.S.-Germany; Third Country Code-Share

Designations and Frequency Allocations

Summary

By this notice, we invite interested U.S. carriers to apply for the

two available designations and available frequencies for operation of

third-country code-sharing services in the U.S.-Germany market for the

period November 1, 1994-October 31, 1996.

Background

On May 24, 1994, representatives of the United States and the

Federal Republic of Germany signed a new Agreement for Transitional

Arrangements for Air Transport Services (Agreement). Under the

provisions of this Agreement, for the period November 1, 1994-October

31, 1996, two U.S. carriers may be designated to serve Germany pursuant

to code-share arrangements with two airlines of third countries.1

In holding out these services each airline may serve a single point in

the respective intermediate country, and no two airlines designated by

the same Party may serve the same intermediate point. In addition,

these operations are limited to a total of 1428 weekly one-way

frequencies.2

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\1\ Eligible third-country code-share partners are limited to

any member of the European Union (except the Federal Republic of

Germany), Liechtenstein, Sweden, Norway, Finland, Iceland, Austria,

Canada, and Mexico. (Article 5 D(1).)

\2\Article 6, Section 4 B(1)(b). The Agreement also provides

that the frequency level increases to a total of 1848 weekly one-way

frequencies during the period November 1, 1996--October 31, 1997.

Id., Section 4 B(1)(c).

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The Agreement further provides that thirty days prior to each

traffic season, each Party shall notify the other Party through

diplomatic channels of the initial allocation of the frequencies among

its airlines.3

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\3\ Article 6, Section 5 A.

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The U.S. previously was entitled to authorize only one carrier to

operate on a third-country code-share basis for U.S.-Germany services.

Northwest Airlines has been designated for this service since November

1993. When Northwest was last authorized (March 24, 1994) to use the

third-country code-share designation, it had requested that its

designation be effective through October 31, 1995. The Department, in

extending Northwest's designation through this summer season (i.e.,

October 31, 1994), deferred on a decision concerning which carriers

would be authorized to use available rights after November 1, and

stated that further procedures regarding these designations would be

announced at a later date.4

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\4\See Notice served March 24, 1994 (not published in Federal

Register).

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Applications

Given the provisions of Article 6, Section 4 B(1)(b) of the new

U.S.-Germany Agreement, we invite U.S. carriers interested in using the

available designations and frequencies for third-country code-share

operations in the U.S.-Germany market to file such applications in

Docket 49674.5

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\5\ Northwest currently has an undocketed application on file

for this designation for the period through October 31, 1995. By

this notice, however, we are extending the period for which the

authorization will be effective pursuant to the terms within the new

Agreement. Therefore, rather than supplementing its previous

application, we will require Northwest to file a new application in

the established docket following the requirements set forth in this

notice. Northwest is free to attach and incorporate by reference its

previous application for this designation. In addition, since

Northwest is the only carrier that has used the third-country code-

share opportunity, we will require that its application also contain

the following information regarding its operations since November 1,

1993: (a) a statement of number of flights previously allocated, (b)

the markets served and frequencies per market and period of

operation for each market and (c) the aircraft types used for each

market.

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Applications should include, at a minimum, the following

information: (a) the number of frequencies requested; (b) the code-

share partner involved and the country over which the services will be

provided; (c) existing authority held to conduct the operations, if

applicable;6 (d) proposed startup date;

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\6\ Applicant carriers without the requisite underlying

authority to serve Germany should file certificate and/or exemption

applications to serve the affected markets no later than August 4,

1994. Response dates to such applications will correspond to those

set forth in this notice for applications for frequency

applications. (e) markets to be served, frequencies per market, and

duration of service in each market; and (f) type of aircraft to be

used in each market.

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Applicants are also free to submit any additional information that

they believe will help us in making our decision.

An original and 12 copies of each application should be filed with

the Department's Docket Section, Room 4107, 400 Seventh Street SW,

Washington, D.C. 20590, in Docket 49674 and should be filed on all

parties on the attached list.

Procedural Schedule

In light of the 30-day advance notice requirements set forth in the

Agreement, it is important that we complete the designation/allocation

process as quickly as possible. Therefore, we will require that

applications and responsive pleadings be filed in accordance with the

following schedule:

Applications: August 4, 1994

Answers: August 11, 1994

Replies: August 18, 1994

We will serve this notice upon all U.S. air carriers licensed to

conduct scheduled foreign combination services with large aircraft, and

will publish this Notice in the Federal Register.

Dated: July 21, 1994.

Patrick V. Murphy,

Acting Assistant Secretary for Aviation and International Affairs.

R Tenney Johnson, Counsel for Air Micronesia Inc, Suite 600, 2300 N

Street NW, Washington DC 20037

John Gillick, Counsel for America West Airlines, Winthrop Stimson

Putnam &, Suite 1200, 1133 Connecticut Ave NW, Washington DC 20036

Russell E Pommer, Counsel for Business Express Inc, Verner Liipfert

Bernhard, Suite 700, 901 15th Street NW, Washington DC 20005-2301

Lorraine B Halloway, Counsel for Continental Micronesia, D/B/A

Continental/Air Micronesia, Crowell & Moring, 1001 Pennsylvania Ave NW,

Washington DC 20004-2595

Richard P Taylor, Counsel for Evergreen Intl Airlines, Steptoe &

Johnson, 1330 Connecticut Ave NW, Washington DC 20036

Nathaniel Breed, Counsel for Federal Express, Shaw Pittman Potts &,

2300 N Street NW, Washington DC 20037

Marshall S Sinick, Counsel for Alaska Airlines Inc, Suite 500, 1201

Pennsylvania Ave NW, Washington DC 20004

Carl B Nelson Jr, Assoc General Counsel, American Airlines Inc, 1101

17th Street NW, Washington DC 20036

Robert N Duggan, Counsel for Carnival Air Lines Inc, Mercer Moore &

Assoc, Suite 502, 700 S Royal Poinciana Bl., Miami Springs Fl 33166

Robert E Cohn, Counsel for Delta Air Lines Inc, Shaw Pittman Potts &,

2300 N Street NW, Washington DC 20037

Carl B Nelson Jr, Counsel for Executive Airlines, D/B/A American Eagle,

1101 17th Street NW, Washington DC 20036

Jonathan B Hill, Counsel for Hawaiian Airlines, Dow Lohnes & Albertson,

1255 23rd St NW, Washington DC 20037

Marshall S Sinick, Counsel for Aloha Airlines Inc, Suite 500, 1201

Pennsylvania Ave NW, Washington DC 20004

Mark W Atwood, Counsel for American Trans Air, Galland Kharasch Morse

&, 1054 31st Street NW, Washington DC 20007

R Bruce Keiner Jr, Counsel for Continental Airlines, Crowell & Moring,

1001 Pennsylvania Ave NW, Washington DC 20004-2595

R Tenney Johnson, Counsel for DHL Airways, Suite 600, 2300 N Street NW,

Washington DC 20037

Jonathan B Hill, Counsel for Express One Intl, Dow Lohnes & Albertson,

1255 23rd St NW, Washington DC 20037

John R Degregorio, Counsel for MGM Grand Air Inc, Galland Kharasch

Morse &, 1054 31st Street NW, Washington DC 20007-4492

Peter B Kenney Jr, Assoc General Counsel, Northwest Airlines Inc, 901

15th Street NW, Washington DC 20005

Carl B Nelson Jr, Counsel for Simmons Airlines Inc, D/B/A American

Eagle, 1101 17th Street NW, Washington DC 20036

Stephen L Gelband, General Counsel to Tower Air, Hewes Moreles Gelband

&, Suite 300, The Flour Mill, 1000 Potomac St NW, Washington DC 20007

Nathaniel Breed, Counsel for USAfrica Airways Inc, 11180 Sunrise Valley

Dr, Reston VA 22091

Robert E Cohn/Sheryl Israel, Counsel for Worldwide Airlines Serv, Shaw

Pittman Potts &, 2300 N Street NW, Washington DC 20037

Jim Marquez, Counsel for Private Jet Expeditions, McNair & Sanford,

Madison Office Bldg, Ste 400, 1155 15th Street NW, Washington DC 20005

Mark W Atwood, Counsel for Spirit Airlines Inc, Galland Kharasch Morse

&, 1054 31st Street NW, Washington DC 20007-4492

Michael G Whitaker, Asst General Counsel, Reg & Intl Affairs, Trans

World Airlines, Suite 520, 808 17th Street NW, Washington DC 20006

Frank Cotter, Asst General Counsel, USAIR Inc, Crystal Park Four, 2345

Crystal Drive, Arlington VA 22227

Mark S Kahan, Counsel for Renown Aviation Inc, Galland Kharasch Morse

&, 1054 31st Street, Washington DC 20007-4492

Dennis N Barnes, Counsel for Sun Country Airlines, Morgan Lewis

Bockius, 1800 M Street NW, #600N, Washington DC 20036

Joel Stephen Burton, Counsel for United Air Lines Inc, Ginsburg Feldman

& Bress, Suite 800, 1250 Connecticut Ave NW, Washington DC 20036

Vance Fort, Senior VP-Govt/Legal, World Airways Inc, 13873 Park Center

Rd, Herndon VA 22071

[FR Doc. 94-18267 Filed 7-26-94; 8:45 am]

BILLING CODE 4910-62-P