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Edelweiss Air, Ltd.

Engage in charter foreign air transportation of persons, property and mail between Switzerland and the United States. Edelweiss is a Swiss charter airline which plans to begin operating services from Switzerland to Miami and Orlando, Florida. Edelweiss currently contemplates a start date for service of May 4, 2002.

Edelweiss began operating international charter flights on February 8, 1996. Edelweiss currently operates charter flights from Switzerland to the Mediterranean, the Caribbean, and other leisure destinations. Edelweiss does not operate any sales offices; all sales activities are performed by tour operators, primarily Kuoni Travel Holding, Ltd., a citizen of Switzerland. There are at present no cooperative agreements between Edelweiss and any U.S. air carriers.

Edelweiss currently plans to operate weekly charter flights from Zurich, Switzerland to Orlando and Miami, Florida, with additional service to Cancun, Mexico. Although present plans are for a start date of May 4, 2002, service may begin sooner depending on market factors. The flights will operate on a ZRH-SFB-CUN-MIA-ZRH routing. The flights will allow stopovers but will not carry Fifth Freedom traffic. Edelweiss estimates that 70% of its passengers will be destined for the United States.

On December 12, 2001 obtained authority from the Government of Switzerland to transport cargo on its A330-243 aircraft, and is developing plans for the transport of cargo to and from U.S. markets. A general sales agent will handle the sale and organization of cargo transportation by Edelweiss.

Kuoni Travel Holding, Ltd. has issued class A stock and class B stock. All of the class A stock, and through that stock 25% of the voting rights in Kuoni Travel Holding, Ltd., is owned by the Kuoni and Hugentobler Foundation. The purpose of the Kuoni and Hugentobler Foundation is to maintain the business purposes of the Swiss travel company, Kuoni Resien Holding, Ltd. Kuoni Travel Holding, Ltd. owns 100% of Nova Airlines AB, a Swedish charter airline.

Edelweiss will operate its services to the United States with an A330-243 aircraft, Swiss registration HB-IQZ, which is leased by Edelweiss from Tyco Capital Aerospace (formerly CIT Aerospace), 1211 Avenue of the Americas, 20th Floor, New York, NY 10036, a citizen of the United States. The aircraft has a capacity of up to 313 passengers (38 business/275 coach) and has a top range of 6,426 nautical miles. Edelweiss also currently operates three A320 aircraft, Swiss registration HB-IHX, HB-IHY, and HB-IHZ. The A320 aircraft are leased from Alp Air Holding, Ltd., P.O. Box 641, No. 1 Seaton Place, St. Helier, Jersey JE4 8YJ, Channel Islands, a citizen of the United Kingdom. (Kuoni Travel Holding, Ltd.

Counsel:  Zuckert Scoutt, Rachel Trinder, 202.298.8660, rbtrinder@zsrlaw.com 

Counsel:  Zuckert Scoutt, Rachel Trinder, 202.298.8660, rbtrinder@zsrlaw.com 

Counsel:  Zuckert Scoutt, Rachel Trinder, 202.298.8660, rbtrinder@zsrlaw.com

Edelweiss Air, Ltd.

As of January 01, 2002, a new CEO was appointed by the Board of EDELWEISS AIR. Under the new leadership, there are increasing signs and evidences of changes in management style involving the way the carrier is conducting and/or planning to conduct business which could produce adverse effects and consequences to the American public, and the airline industry as a whole if the carrier is permitted to operate into the United States.

ATM is now in the process of initiating a legal action to be soon filed in a Florida Circuit Court for breach of contract, and other irregularities. Future discoveries in these proceedings should convince the Court that EDELWEISS AIR by and through its representative (s) acted knowingly and willingly in bad faith, misrepresented facts and may have engaged in conducting misleading and deceptive business practices, even before it started its service into the United States.

Counsel:   ATM, Serge Barder, 305.361.7357

Edelweiss Air, Ltd.

ATM is a private entity that offers certain agency services to airlines at various Florida airports. Prior to the filing of ATM's objections, Edelweiss was engaged in negotiations with ATM regarding the possibility of ATM, specifically Mr. Serge Barder of that entity, serving as Edelweiss' agent in Florida in connection with Edelweiss' anticipated charter services between Zurich and Florida. Unfortunately, various of the contractual demands made by ATM, as well as the scope of services offered, were unacceptable to Edelweiss. As a result, the negotiations were not successful and ATM has made certain informal claims alleging breach of contract. Should ATM wish to initiate legal action in Florida with respect to these claims, it is of course free to do so and its claims will be handled through the Florida courts. However, those private commercial matters have no relevance to Edelweiss' permit or exemption applications. Indeed, ATM's vague allegations fail to state any specific reasons why Edelweiss should not be awarded a foreign air carrier permit or other authority. Edelweiss' applications fully conform to the requirements of the U.S.-Switzerland Air Transport Agreement, and no evidence whatsoever has been submitted that would suggest otherwise. For these reasons, the Department should summarily deny ATM's objections.

Counsel:  Zuckert Scoutt, Rachel Trinder, 202.298.8660, rbtrinder@zsrlaw.com

Edelweiss Air, Ltd.

On February 5, 2002, permit and exemption applications were filed in the above dockets under the name of Edelweiss Air, Ltd., the English translation of the name "Edelweiss Air AG", which is the legal name of the Applicant in the German language and the name under which the Applicant is incorporated in Switzerland. The Applicant hereby requests that the permit, exemption and any other documents issued by the Department pertaining to Edelweiss be issued utilizing the name "Edelweiss Air AG" rather than "Edelweiss Air, Ltd."

Counsel:  Zuckert Scoutt, Rachel Trinder, 202.298.8660, rbtrinder@zsrlaw.com

Edelweiss Air, Ltd.

On February 20, 2002 ATM filed a Notice of Objections against the issuance of a foreign air carrier permit Pursuant to 49 U.S.C § 41301 filed by, and in favor of Edelweiss Air Ltd Pursuant to the Reply of Edelweiss Air, Ltd filed on March 4, 2002, and upon careful examination of the issues involved, ATM has decided not to pursue its contemplated proceedings and therefore withdraw all its objections forthwith.

Counsel:   ATM, Serge Barder, 305.361.7357

Edelweiss Air, Ltd.

Exemption from 49 U.S.C. § 41301 to engage in charter foreign air transportation of persons, property and mail between any point or points in Switzerland and any point or points in the United States; and to perform other charters in accordance with Part 212 of the Department's rules.

By:  Paul Gretch

Edelweiss Air AG

We find that Edelweiss is operationally and financially fit to conduct the operations at issue here. Edelweiss is a Swiss company, incorporated in Basserdorf, Switzerland on October 19, 1995, and commenced international charter operations on February 8. 1996. Edelweiss' services to the United States will be with Swiss-registered A-330 aircraft. Edelweiss's A-330 aircraft will be maintained under contract with SR Technics at Zurich Airport. Edelweiss has been designated by its government and holds effective authority to conduct the proposed operations. We find that Edelweiss is substantially owned and effectively controlled by the citizens of Switzerland. Edelweiss is 100% owned by Kuoni Travel Holding, Ltd., a Swiss corporation. Similarly, all of Edelweiss's officers and key management personnel are citizens of Switzerland.

By:  Read Van de Water

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