BEFORE THE UNITED STATES DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C.

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1 BEFORE THE UNITED STATES DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C. Application of ) DOCKET OST 99- ) UNITED PARCEL SERVICE CO. ) ) for an exemption ) pursuant to 49 U.S.C ) (U.S. Argentina, Belize, El Salvador, ) Guatemala, Honduras, Nicaragua, Panama, ) Guadeloupe, Haiti, Martinique, Netherlands ) Antilles, Trinidad & Tobago, Chile, Guyana ) Paraguay, Uruguay, Peru and Surinam) ) ) APPLICATION OF UNITED PARCEL SERVICE CO. FOR AN EXEMPTION Communications with respect to this document should be addressed to: Mr. Mathew J. Capozzoli Mr. David L. Vaughan Vice President Kelley Drye & Warren United Parcel Service Co th Street, N.W N. Hurstborne Parkway Suite 500 Louisville, Kentucky (202) Mr. Steven R. Okun United Parcel Service Co. Counsel for 316 Pennsylvania Ave., S.E. UNITED PARCEL SERVICE CO. Washington, D.C Date: October 19, 1999 NOTE: Any person wishing to support or oppose this Application must file an answer with the DOT s Documentary Services Division by November 3, A copy of such answer must be served upon United Parcel Service Co. and its counsel and all persons named on the attached Service List.

2 BEFORE THE UNITED STATES DEPARTMENT OF TRANSPORTATION WASHINGTON, D.C. Application of ) DOCKET OST 99- ) UNITED PARCEL SERVICE CO. ) ) for an exemption ) pursuant to 49 U.S.C ) (U.S. Argentina, Belize, El Salvador, ) Guatemala, Honduras, Nicaragua, Panama, ) Guadeloupe, Haiti, Martinique, Netherlands ) Antilles, Trinidad & Tobago, Chile, Guyana ) Paraguay, Uruguay, Peru and Surinam) ) ) APPLICATION OF UNITED PARCEL SERVICE CO. FOR AN EXEMPTION Pursuant to 49 U.S.C United Parcel Service Co. ( UPS ), hereby applies to the Department of Transportation ( the DOT or the Department ) for an exemption to allow it to engage in the scheduled air transportation of property and mail between any point or points in the United States via intermediate points to a point or points in Argentina, Belize, El Salvador, Guatemala, Honduras, Nicaragua, Panama, Guadeloupe, Haiti, Martinique, Netherlands Antilles, Trinidad & Tobago, Chile, Guyana Paraguay, Uruguay, Peru, and Surinam and to points beyond with full traffic rights between all points on these routes. UPS requests route integration authority enabling it to integrate services on the above-described routes with services provided on other routes or under the various certificate and exemption authorities held by UPS. 2

3 In support of this Application, UPS respectfully states as follows: 1. In conformance with the requirements of of the Department s Procedural Regulations, (14 C.F.R et seq.) UPS submits the following: UPS is a Delaware corporation whose mailing address is 1400 Hurstbourne Parkway, Louisville, KY UPS holds certificates of public convenience and necessity authorizing it to engage in domestic and foreign all-cargo air transportation. See Orders , September 16, 1986; , December 24, 1987; , January 7, 1988; , September 22, 1988; and Order , January 15, 1991). 2. UPS is a citizen of the United States as that term is defined in the Federal Aviation Act. All officers, directors, shareholders of UPS, or persons who have the power to influence the management of the applicant or persons holding any voting interest in UPS are U.S. citizens. 3. The service proposed here is comparable to that which UPS currently operates and, thus, would not constitute a substantial change in operations requiring review under Part 204 of the Department s regulations. Also, an award of these frequencies to UPS would not be a major regulatory action requiring review under the Energy and Conservation Act of 1975, as defined in Part of the Department s regulations. UPS has determined that there is adequate fuel available for the proposed service. 3

4 4. Attached hereto as Exhibit 1 is the Affidavit of UPS, attesting to the truth of the matters set forth herein. 5. Simultaneously herewith, UPS is submitting to the Department an Application for a Certificate granting UPS certificate authority to serve certain of the captioned countries. UPS hereby incorporates the contents of that Application herein. UPS filed a certificate application for the remaining countries for which exemption authority is sought herein (El Salvador, Guatemala, Honduras, Nicaragua, the Netherlands Antilles, Trinidad and Tobago and Peru) on June 12, 1998, in Docket OST WHEREFORE, United Parcel Service Co. respectfully requests the Department of Transportation to grant the exemption permitting route integration as requested above and grant such other and further relief as the Department may deem just and necessary. Respectfully Submitted, Date: October 19, 1999 David L. Vaughan Kelley Drye & Warren th Street, N.W., Suite 500 Attorney for United Parcel Service Co. 4

5 EXHIBIT 1 City of Washington ) ) ss. District of Columbia ) AFFIDAVIT I, David L. Vaughan, being first duly sworn, depose and say as follows: 1. I am counsel to United Parcel Service Co. 2. I am authorized to and do make this affidavit for United Parcel Service Co. 3. I have read the contents of the foregoing Application of United Parcel Service Co. and the factual statements set forth therein are true and correct to the best of my knowledge and belief. 4. United Parcel Service Co. is a citizen of the United States as that term is defined in the Federal Aviation Act. All officers, directors, shareholders of UPS, or persons who have the power to influence the management of the applicant or persons holding any voting interest in the applicant are U.S. citizens. City of Washington ) ) ss. District of Columbia ) Subscribed and sworn to before me this day of, Notary Public My commission expires: 5

6 CERTIFICATE OF SERVICE I hereby certify that on this 19th day of October, 1999, a copy of the foregoing Application Of United Parcel Service Co. For An Exemption was sent by first class mail to the following: Robert E. Cohn Shaw, Pittman, Potts & Trowbridge 2300 N Street, N.W. Jeffrey Manley Kirland & Ellis 655 Fifteenth Street, N.W. Washington, D.C. Nathaniel P. Breed, Jr. Shaw, Pittman, Potts & Trowbridge 2300 N Street, N.W. Elliott M. Seiden David G. Mishkin Megan Rae Poldy Northwest Airlines th Street, N.W., Suite 500 Washington, D.C James W. Tello Filler, Weller & Tello, P.C. 117 N. Henry Street Alexandria, VA R. Bruce Keiner Crowell & Moring LLP 1001 Pennsylvania Ave., N.W. Washington, D.C Carl B. Nelson, Jr. American Airlines, Inc th Street, N.W., Suite 600 Richard J. Fahy, Jr. Trans World Airlines th Street, N.W. Suite 350 Washington, D.C William G. Doherty 7337 W. Washington Street Indianapolis, IN John L. Richardson Seeger, Potter, Richardson, Luxton Joselow & Brooks 2121 K Street, N.W. Suite 700 Allan W. Markam th Street, N.W. Washington, D.C William C. Evans Verner, Liipfert, Bernhard, McPherson And Hand, Chartered th Street, N.W. Suite 700 Washington, D.C William H. Callaway, Jr. Malcolm L. Benge Richard D. Mathias Zuckert, Scoutt & Rasenberger, LLP th Street, N.W. Suite 600 Washington, D.C

7 Hershel Kamen Managing Director International & Regulatory Affairs 1600 Smith Street HQSGV Suite 831F Houston, TX R. Tenney Johnson 2121 K Street, N.W. Suite 800 Tom Lydon Director of Government Affairs Evergreen Int l Aviation, Inc K Street, N.W. Suite 301 Washington, D.C Marshall Sinick Squire, Sanders & Dempsey 1201 Pennsylvania Avenue, N.W. Suite 500 Washington, D.C Moffett B. Roller Roller & Bauer 1350 Eye Street, N.W. Suite 200 Washington, D.C Robert P. Silverberg Bagileo, Silverberg & Goldman th Street, N.W. Suite 120 Robert Beckman Bode & Beckman 1150 Connecticut Avenue, N.W. Ninth Floor David Kirstein Baker & Hostetler, LLP 1050 Connecticut Avenue, N.W. Suite 1100 Theodore I. Seaman Stephen Gelband Hewes, Gelband, Lambert & Dann, P.C Potomac Street, N.W. Suite 300 Washington, D.C Pierre Murphy One Westin Center 2445 M Street, N.W. Suite 260 Dennis N. Barnes Morgan, Lewis & Bockius 1800 M Street, N.W. Suite 600N Lawrence M. Nagin Executive Vice President Corporate Affairs and General Counsel US Airways, Inc. Crystal Park Four 2345 Crystal Drive Arlington, VA Joseph Guerrieri, Jr. Guerrieri, Edmond & Clayman, P.C F Street, N.W. Washington, D.C Paul V. Mifsud KLM Royal Dutch Airlines 2501 M Street, N.W. 7

8 Roger Fones Chief, Transportation, Energy & Agricultural Section Antitrust Division U.S. Department of Justice 325 Seventh Street, N.W. Suite 500 Washington, D.C David Marchick Deputy Assistant Secretary for Transportation Affairs U.S. Department of State 2201 C Street, N.W. Room 5830 Washington, D.C Robert G. Clayman Guerrieri, Edmond & Clayman, P.C Massachusetts Ave., N.W. Suite 700 Paul M. Ruden American Society of Travel Agents 1101 King Street Alexandria, VA David L. Vaughan 8

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