BEFORE THE DEPARTMENT OF TRANSPORTATION OFFICE OF THE SECRETARY WASHINGTON, D.C. _____________________________________ Application of ) ) JetBlue Airways Corporation ) for a certificate of public convenience ) and necessity pursuant to 49 U.S.C. § 41102 ) to engage in foreign scheduled air ) transportation of persons property and ) mail between the United States and Bahamas, ) Bermuda, Canada, the Dominican ) Republic and Jamaica ) DOCKET OST- 04-____ APPLICATION OF JETBLUE AIRWAYS CORPORATION FOR CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY FOR FOREIGN SCHEDULED AIR TRANSPORTATION Communications with respect to this document should be addressed to: James Hnat General Counsel JetBlue Airways Corporation 118-29 Queens Blvd. Forest Hills, NY 11375 Robert C. Land Vice President for Government Affairs & Associate General Counsel JetBlue Airways Corporation P.O. Box 1927 Rockville, Maryland 20849-1927 (301) 279-9727 Jonathan B. Hill Dow, Lohnes & Albertson, PLLC 1200 New Hampshire Ave., NW #800 Washington, D.C. 20036 (202) 776-2000 jhill@dlalaw.com Counsel for JetBlue Airways Corporation Submitted: March 8, 2004 Applicant requests processing under the expedited, non-hearing licensing procedures of Subpart C of the Department’s Procedural Regulation. 14 C.F.R. 302.301 et seq. NOTICE: Any person who wishes to support or oppose this application must file an answer by March 23, 2004, and serve that answer on all persons served with this application. BEFORE THE DEPARTMENT OF TRANSPORTATION OFFICE OF THE SECRETARY WASHINGTON, D.C. _____________________________________ Application of ) ) JetBlue Airways Corporation ) for a certificate of public convenience ) and necessity pursuant to 49 U.S.C. § 41102 ) to engage in foreign scheduled air ) transportation of persons property and ) mail between the United States and Bahamas, ) Bermuda, Canada, the Dominican ) Republic and Jamaica ) DOCKET OST- 04-____ APPLICATION OF JETBLUE AIRWAYS CORPORATION FOR CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY FOR FOREIGN SCHEDULED AIR TRANSPORTATION JetBlue Airways Corporation (“JetBlue”) respectfully submits this application for a Certificate of Public Convenience and Necessity authorizing JetBlue to engage in foreign scheduled air transportation of persons, property and mail pursuant to 49 U.S.C. § 41102 to Bahamas, Bermuda, Canada, the Dominican Republic, and Jamaica. JetBlue requests expedited action under Subpart Q of the Department of Transportation’s (the “Department”) Procedural Regulations. 14 C.F.R. Part 302, Subpart C1. As demonstrated below, JetBlue fully complies with all the requirements for the Department to grant it a Certificate of Public Convenience and Necessity for foreign operations. JetBlue is a citizen of the United States within the meaning of 49 U.S.C § 40102(a) (15), as amended. Each of the destinations requested are nations with which the United States has Open Skies agreements; has gateway restriction allowing service from 1 JetBlue has today also submitted an application to the Department for an exemption to provide scheduled passenger service between JFK International Airport and Santo Domingo (SDQ) and Santiago (STI), the Dominican Republic. New York; has no designation or frequency restrictions; or operates on the basis of comity and reciprocity. JetBlue is fit, willing and able to provide the air transportation for which authority is sought. The grant of the authority requested herein is consistent with the public convenience and necessity as required by Section 41102 of the Transportation Act. JetBlue is a new entrant carrier which introduced scheduled, low-fare air service between New York’s John F. Kennedy International Airport (“JFK”) and major and secondary markets across the country beginning in February 2000. JetBlue operates a low-fare operation based at JFK, which has brought significant new travel benefits to the public in the New York City metropolitan area and each of the markets JetBlue serves. JetBlue presently provides service to the following destinations: Boston, MA Buffalo, NY Burlington, VT Denver, CO Fort Lauderdale, FL Fort Myers, FL Las Vegas, NV Long Beach, CA (near Los Angeles) New Orleans, LA New York City, NY (JFK) Oakland, CA (near San Francisco) Ontario, CA (near Los Angeles) Orlando, FL Rochester, NY Sacramento, CA Salt Lake City, UT San Diego, CA San Juan, Puerto Rico Seattle, WA Syracuse, NY Tampa, FL West Palm Beach, FL Washington, DC (Dulles) JetBlue in 2003 received the following awards: Best Domestic Airline Condé Nast Traveler, 2003 Readers' Choice Awards Best Value for Cost Condé Nast Traveler, 2003 Business Travel Awards #2 Domestic Airline Travel & Leisure, 2003 World's Best Awards 2 #2 Domestic Airline – Service Travel & Leisure, 2003 World's Best Service Readers' Poll Awards Top 5 Domestic Airline Departures, 2003 Readers' Favorite Survey #3 World's Best Low Cost Airline (Best US Low Cost Airline) Business Traveler, 2003 World's Best Airlines Awards Best Budget Airline 10th Annual World Travel Awards Best US Airline (Non-Major) Business Travel News, 2003 Airline Survey Best Low Cost Airline Entrepreneur Best Low Cost Airline Skytrax, 2003 Airline of the Year Survey Best Cabin Staff, North America Skytrax, 2003 Airline of the Year Survey Airline of the Year Airfinance Journal, 2003 Deal of the Year Awards North American Corporate Finance Deal Airfinance Journal, 2003 Deal of the Year Awards of the Year IPO of the Year Corporate Finance Marketing Award Airline Business, 2003 Airline Strategy Awards Editors' Choice Travel-Holiday Outstanding Inflight Entertainment Onboard Services, 2003 Onboard Services Awards Outstanding Safety Video Onboard Services, 2003 Onboard Services Awards Since its inaugural flight on February 11, 2000, JetBlue has assembled and maintained a highly experienced and qualified management team and obtained the financing necessary to initiate and maintain its existing operations. JetBlue has developed a sound business plan for its initial foreign operation that will provide the traveling public the same outstanding service JetBlue customers have experienced domestically2. JetBlue’s financial results for its first four years of operations 2 LiveTV will not be available on service to some of these destinations. 3 are unprecedented. JetBlue has reported a profit for each quarter since its public offering in April of 2002. Net income for the fourth quarter of 2003, the carrier's twelfth consecutive profitable quarter, rose to $19.5 million from $15.2 million a year earlier. Passenger traffic rose 54% in the fourth quarter of 2003. Net income for full-year 2003 was $103.9 million compared with $54.9 million in the prior year. In support of its Application, JetBlue states that the Department, in Docket OST99-5616, has complete information on JetBlue’s fitness for grant of a Certificate of Public Convenience and Necessity for foreign operations. Under the Department’s current procedures JetBlue is monitored yearly, for a period of five (5) years, from the initial grant of its certificate as part of the Department’s continuing fitness review of JetBlue. JetBlue asks that the Department, pursuant to Rule 24, take official notice of the information contained therein. Should additional information be needed please contact the undersigned. For all of the foregoing reasons, JetBlue respectfully requests that the Department grant this Application for a Certificate of Public Convenience and Necessity to engage in 4 foreign scheduled air transportation of persons, property and mail, between United States and the Bahamas, Bermuda, Canada, the Dominican Republic and Jamaica and any such other relief as it may find to be in the public interest. Respectfully submitted, /s/ _____________________ Jonathan B. Hill Dow, Lohnes & Albertson, PLLC 1200 New Hampshire Ave., NW #800 Washington, DC 20036 Counsel for JetBlue Airways Corporation Dated: March 8, 2004 5 CERTIFICATE OF SERVICE I hereby certify that a copy of the foregoing Application of JetBlue Airways Corporation for Certificate of Public Convenience and Necessity for Foreign Schedule Air Transportation was served this 8th day of March, 2004 via email transmission on the following persons: American Airlines, Inc. American Airlines (Cargo) Carl B. Nelson, Jr. Associate General Counsel 1101 17th Street, NW #600 Washington, DC 20036 carl.nelson@aa.com Alaska Airlines Alaska Airlines Cargo Marshall S. Sinick Squire Sanders & Dempsey 1201 Pennsylvania Ave., NW #500 Washington, DC 20005 msinick@ssd.com Continental Airlines, Inc. R. Bruce Keiner Crowell & Moring 1001 Pennsylvania Ave., NW Washington, DC 20004 rbkeiner@crowell.com America West Airlines David Kirstein Baker & Hostetler 1050 Connecticut Ave., NW #1100 Washington, DC 20036 dkirstein@bakerlaw.com Delta Airlines, Inc. Delta Airlines (Cargo) Robert E. Cohn Shaw Pittman 2300 N Street, NW Washington, DC 20037 Robert.Cohn@shawpittman.com Midwest Airlines ABX Air, Inc. (Cargo) Robert Silverberg Silverberg Goldman & Bikoff 1101 30th Street, NW #120 Washington, DC 20007 rsilverberg@sgbdc.com United Airlines, Inc. United Airlines (Cargo) Polar Air Cargo Jeffrey A. Manley Wilmer Cutler & Pickering 2445 M Street, NW Washington, DC 20037 jmanley@wilmer.com Northwest Airlines, Inc. Megan Rae Rosia Associate General Counsel 901 15th Street, NW #310 Washington, DC 20005 megan.rosia@nwa.com Bax Global (Cargo) Corporate Offices 16808 Armstrong Irvine, CA 92606 info@boxglobal.com USAirways, Inc. USAirways (Cargo) Howard Kass USAirways, Inc. 2345 Crystal Drive Arlington, VA 22227 howard_kass@usairways.com 6 Astar Air Cargo, Inc. (Cargo) Steven H. Lachter Lachter & Clements 1150 Connecticut Ave., NW Washington, DC 20036 lachter@starpower.net FedEx (Cargo) Nathaniel P. Breed Zuckert Scoutt & Rasenberger 888 17th Street, NW #700 Washington, DC 20006 nathaniel_breed@shawpittman.com USA 3000 Airlines Pierre Murphy Law Offices of Pierre Murphy 1200 New Hampshire Ave., NW Washington, DC 20036 pmurphy@lopmurphy.com Amerijet International, Inc. (Cargo) John L. Richardson 1156 15th Street, NW #1105 Washington, DC 20005 jrichardson@crispinandbrenner.com /s/ ________________________ Deborah L. Kunkle 7