OST-97-2162
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OST-97-2162
Fine Airlines, Inc. (Notice of Action Taken – Renew and Amend)
OST-97-2162 | Posted June 20, 1997
Scheduled foreign air transportation of cargo between Miami and Bogota/Barranquilla/Cali/Cartagena and to integrate this authority with its authority to serve Caracas. Also requested amendment of this authority to integrate it with existing exemption and certificate authority.
By: Paul Gretch / Counsel: Jeffrey Shane, 202-663-6000
Order Confirming Notices of Action Taken
Order 97-7-16 | Issued July 17, 1997 | Served July 23, 1997
By: Paul Gretch
| OST-97-2162 | March 3, 1999 |  Application for Renewal of
Exemption Authority and Route Integration Authority |
US-Colombia All-Cargo |
| Service List |
As the Department is aware, Fine Air filed its application for corresponding scheduled all-cargo authority from the Colombian DGAC in November 1995, and has been prosecuting this application since that time. Fine Air has not, however, obtained its permit to operate scheduled all-cargo flights from Colombia, but remains hopeful that it will do so shortly. While Fine Air has not yet received its permit from Colombia, it has managed to obtain charter and wet lease authorities from Colombia, thereby permitting Fine Air to offer much-needed air transportation services to shippers, receivers and other carriers in the market. The exemption authority which Fine Air herein seeks to renew has aided and continues to aid Fine Air's efforts to seek such authorities.
Counsel: Pierre Murphy, 202-872-1679, pmurphy@lopmurphy.com
Fine Air Services Corp. and Arrow Air, Inc. / Fine Air Services, Inc.
| OST-99-5140 OST-99-5196 OST-97-2162 |
March 12, 1999 | Answer of Gemini Air
Cargo |
Approval of a Route Transfer; Exemption Renewal |  HTML |
The Department of Transportation should not approve the above--captioned Joint Applications of Fine Air Services Corporation and Arrow Air, Inc., for transfer of route authority, and for an exemption to permit Fine Air to acquire Arrow immediately, unless and until the Department determines that the consolidation of route authority to the eighteen countries to which Fine Air and Arrow both hold authority would not jeopardize the ability of another U.S. air carrier, such as Gemini Air Cargo, Inc., to operate to each of those countries. The approval of the Joint Applications in question would result in one aviation enterprise -- Fine Air Services Corp., owning and operating both Fine Air Services, Inc. and Arrow Air, Inc.
Counsel: Roller & Bauer, Moffett Roller, 202-331-3300
Fine Air Services Corp., Fine Air Services, Inc. and Arrow Air, Inc.
| OST-99-5140 OST-99-5196 OST-97-2162 |
March 16, 1999 | Consolidated Reply of Fine
Air Services Corp. and Arrow Air, Inc. |
Approval of Route Transfer Authority | HTML |
Gemini's argument is essentially that because at some unspecified, indeterminate date of its choosing in the future, Gemini may (or may not) wish to operate scheduled (or charter) all cargo service to any one of eighteen (18) countries it identifies, all three (3) of the above captioned applications should be denied, including the March 4, 1999 de facto Route Transfer Exemption Application. Since Gemini has never made any serious attempt to apply for, much less operate, scheduled all-cargo service to any of eighteen (18) countries identified by Gemini, Gemini's objection to the proposed transaction must be motivated by other unidentified improper commercial reasons and is intended to delay indefinitely this commercial business transaction. Gemini's improper delaying tactics should be promptly dismissed to permit the closing of this transaction as soon as possible
Counsels: Allan W. Markham, P.C. Allan Markham for Arrow Air, 202.337.2149 and Law Offices of Pierre Murphy, Pierre Murphy, 202.872.1679 pmurphy@lopmurphy.com
| OST-97-2162 | March 18, 1999 | Answer of Polar Air
Cargo |
US-Colombia All-Cargo Renewal | HTML |
Polar urges the Department to immediately issue a decision in the U.S.-Colombia All-Cargo Services proceeding and withdraw the dormant designation of Southern Air Transport for U.S.-Colombia all-cargo services. The new Colombia opportunity available September 1, 1998 has gone unused for nearly six months, as has Southern's designation. It would be inconsistent with long-standing Department policy to permit these rights to remain unused. See, e.g., Order 98-2-24 at 5 ("U.S.-Colombia route authorities are valuable rights that were obtained by the United States in exchange for Colombian carriers' rights to serve the United States. It is not the Department's policy to permit limited-entry route authority to go unused, particularly where other U.S. carriers have specific plans to use such authority"). Should the Department withdraw the dormant designation of Southern Air Transport and issue a decision in U.S.-Colombia All-Cargo Services proceeding, this would enable Polar and UPS, the two remaining applicants in the proceeding, to enter the market and put this valuable authority use.
Counsel: Polar and Kirkland Ellis, Jeffrey Manley, 202-879-5161, jeffrey_manley@kirkland.com
Fine Air Services Corp and Arrow Air, Inc.
| OST-99-5140 OST-99-5196 OST-97-2162 |
March 26, 1999 | Consolidated Sur-Reply and
Motion for Leave to File An Otherwise Unauthorized Document of Gemini Air Cargo |
Approval of a Route Transfer; Exemption Renewal | HTML |
As Gemini stated in the Conclusion to its Answer filed in the above dockets, the Department should not approve the above-captioned Applications until the Department determines that such approval will not prejudice the ability of any U.S. air carrier to operate to each of the countries where Fine Air and Arrow hold overlapping authority.
Counsel: Roller & Bauer, Moffett Roller for Gemini, 202.331.3300
| OST-97-2162 | March 29, 1999 | Reply of Fine Air
Services to Answer of Polar Air Cargo |
US-Colombia All-Cargo |
Renewal of Fine Air's U.S.-Colombia all-cargo exemption authority will not affect Polar's application for an exemption/designation currently pending in the U.S. - Colombia All-Cargo Services proceeding (Docket OST-98-3939).
Counsel: Pierre Murphy, 202-872-1679, pmurphy@lopmurphy.com
| OST-97-2162 | March 29, 1999 | Joint Reply of Southern Air Transport and Southern Air and Motion for Leave to File an Otherwise Unauthorized Document | US-Colombia All-Cargo |
Polar erroneously argues that Southern Air’s U.S.-Colombia designation is ripe for withdrawal because the authority has been "unused for nearly six months." It would be entirely premature to withdraw Southern Air’s U.S.-Colombia authority, and doing so now would be at odds with the Department’s regulations and precedent. While Polar cites the Department’s replacement of Millon Air, Inc. ("Millon") by Atlas Air, Inc. on U.S.-Colombia all cargo routes, in support of its argument, the Department allowed Millon to retain its dormant U.S.-Colombia authority and designation for almost one and one-half years (from October 24, 1996 through February 26, 1998) before replacing Millon with Atlas. (See Order 98 2-24 at 1-2) It would be unfair and inconsistent with the Department's treatment of Millon to replace Southern Air after only six months of dormancy, particularly when Southern is planning to use that authority to reinstitute U.S.-Colombia service. Polar’s answer completely ignores the pending application for renewal of Southern Air’s U.S.-Colombia all-cargo exemption authority. As explained in that renewal application, Devon Partners LLC has purchased Southern Air's route authority and other assets, and the transaction has been approved by the federal bankruptcy court with jurisdiction over Southern Air's Chapter 11 bankruptcy petition. Devon has formed Southern and transferred the acquired route authority and other assets to Southern, which plans to continue Southern Air's strong record of all-cargo service to the shipping public. Former Southern Air employees are assisting Southern in preparing an application transferring the acquired route to Southern so operations can be resumed under that authority as soon as possible.
Counsel: Pierre Murphy, 202-872-1679, pmurphy@lopmurphy.com and Crowell Moring, Lorraine Halloway, 202-624-2500
| OST-97-2162 | April 7, 2000 | Application to Amend Exemption Authority | US-Colombia All-Cargo |
| Service List |
Counsel: Elizabeth Collins, 202.879.1679, ecollins@lopmurphy.com
| OST-97-2162 | April 24, 2000 | Answer of Transportes Aereos (TAMPA) | U.S.-Colombia All-Cargo |
| Service List |
TAMPA expresses no opinion as to whether the Department should grant Fine Air's application for exemption. That is a matter for the Department to determine under its own regulations. TAMPA notes, however, that, in support of its application, Fine Air pointed out that the "Memorandum of Consultations ("MOC") agreed to by the U.S. and Colombia on March 15. 2000, provides for unlimited designations and frequencies for U.S. cargo carriers, Which may serve points in both countries via intermediate and beyond points in the Western Hemisphere. See MOC Attachments 13, T 2 and Annex II. By this application, Fine Air seeks the broad exemption authority contemplated under the MOC."
Counsel: Winthrop Stimson, John Gillick, 202.775.9800
| OST-97-2162 | Filed March 3, 1999 Issued June 26, 2000 |
Notice of Action Taken | Miami, Florida-Bogotá\Barranquilla\Cali and Cartagena, Colombia |
By: Paul Gretch
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