Air Europe, S.P.A. trading as Air Europe Italy (Renewal of Foreign Air Carrier Permit)

OST-96-1845 / Filed October 7, 1996

Application for Renewal of Foreign Air Carrier Permit / Opening Argument / Share Ownership

A grant of the application would be in the public interest. Passenger air transportation between the United States and Italy represents a substantial and growing market. Charter services have historically been a very small proportion of that market, U.S. carriers have a disproportionately large share of that market, and Air Europe's share of that market has been a small, but growing one. The continued operation of Air Europe as a small, growing and demonstrably viable competitor will continue to benefit the traveling public and particularly tourists and leisure traffic in the form of lower fares and/or better services. It would have the further beneficial effect of increasing the competitive influence of charter services vis-a-vis scheduled services in the U.S.-Italy market.

Requests that its application be processed under simplified procedures, without oral evidenitary hearing. Answers are due by November 5, 1996

Counsel: Miller Hamilton

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