OST-2001-10928

OST-2001-10928

Dutch Caribbean Airline N.V

OST-01-10928	October 30, 2001	Application for Foreign Air Carrier Permit	Foreign Air Carrier Permit
		Table of Contents
		Exhibits 1-3: Applicant, Resumes
		Exhibits 4-9: Ownership, Insurance, Certificates
		Exhibits 10-21: Fleet, Financials, Verification, Warsaw Agreement, Family Assistance, Air Transport Agreement
		Service List

The establishment of DCE and the transfer of its shares to the island territory of Curagao are key elements in a plan by the Government of the Netherlands Antilles to re-structure the country's airline industry. Presently, air services between the Netherlands Antilles and the United States are operated by ALM 1997 Airline N.V. ("Air ALM"), which is wholly owned by the Government of the Netherlands Antilles. The Netherlands Antilles formed Air ALM in 1997, to take over service previously operated by ALM Antillean Airlines.

Antilles hoped to end nearly twenty years of operating losses by its national airline. Unfortunately, events have not worked out as intended. Despite the benefits of starting operations after a financial re-structuring in 1997, Air ALM has continued to incur substantial annual operating losses. This has presented the Government with a dilemma. Even though air service is essential to link together the widely-dispersed islands of the Netherlands Antilles, the Government can no longer afford to underwrite Air ALM's losses. In an effort to resolve this dilemma, the Government has decided to restructure the country's aviation industry. The core aspect of this restructuring is the transfer of responsibility for the national airline from the central Government of the Netherlands Antilles to the Government of the island territory of Curagao, the largest and most economically stable of the country's five islands. This transfer is being undertaken through a multi-step process, which started with the formation of DCE by the national government, and is proceeding with the phased transfer of service from Air ALM to DCE and the transfer of ownership of DCE from the national government to the Government of Curagao. The final step in the process will be Air ALM's cessation of service and the transfer of its remaining assets to DCE. However, in order for DCE to take over the service Air ALM currently operates to and from the United States, DCE must obtain a foreign air carrier permit from the Department. Hence the filing of this application by DCE.

DCE will operate services with essentially the same leased MD-82 and DHC-8-300 aircraft Air ALM currently is using. No U.S. carrier currently serves Bonaire with its own aircraft, and American Airlines is the only U.S. carrier serving Curagao, the most populous of the five islands constituting the Netherlands Antilles and the seat of the Central Government.

Counsel: Wilmer Cutler, Bruce Rabinovitz, 202.663.6960, brabinovitz@wilmer.com

OST-01-10928	October 30, 2001	Motion to Withhold Information from Public Disclosure	Foreign Air Carrier Permit
		Service List

Counsel: Wilmer Cutler, Bruce Rabinovitz, 202.663.6960, brabinovitz@wilmer.com

OST-01-10928	October 30, 2001	Notice	Foreign Air Carrier Permit
		Service List

Counsel: Wilmer Cutler, Bruce Rabinovitz, 202.663.6960, brabinovitz@wilmer.com

Dutch Caribbean Airline N.V

OST-01-10928

November 2, 2001

Re: Verification and Agreement

Foreign Air Carrier Permit

Counsel: Wilmer Cutler, Bruce Rabinovitz, 202.663.6960, brabinovitz@wilmer.com