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Order 00-10-19


U.S.- Ecuador All Cargo Frequency Allocations

Order 00-10-19
OST-00-7513
Issued October 19, 2000
Served October 23, 2000
Final Order U.S.- Ecuador

We make final our tentative findings and conclusions in Order 2000-9-23, and grant Gemini Air Cargo an exemption to perform scheduled all-cargo services between the United States and Ecuador and allocate Gemini three weekly frequencies for its scheduled all-cargo services.

We stated in our tentative decision that Gemini's proposed service would best maximize the available rights under the agreement while benefiting shippers and promoting competition. We stated that of the new entrants, only Gemini would provide weekly service and would offer shippers a substantial degree of capacity on a weekly basis, dedicated to the U.S.-Ecuador market. We also noted that by selecting Gemini we would introduce a new competitor in the marketplace. No one has presented evidence that would alter our tentative findings.

While Evergreen has questioned the relative merits of Gemini's proposal as well as Gemini's method of operation, Evergreen has not overcome the flaw in its own proposal, namely, that its proposal, unlike Gemini's, is outside the prescribed terms of our bilateral agreement with Ecuador. As we said in Order 2000-9-23, at 5, we have no need to test the Ecuadorian willingness to permit Evergreen to operate as proposed in circumstances where another applicant, Gemini, has presented a proposal within the bilateral that promises a result that would serve the public interest. Against this background, and taking into consideration the statements and assurances provided by Gemini in its October 12 submission, we have decided to make final our tentative decision and to award Gemini the three available frequencies for all-cargo service to Ecuador.

By:  Susan McDermott


 

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