BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, DC

______

In the matter of the application of )

)

HAWAIIAN AIRLINES, INC. )

)

Exemption Authority-Honolulu, )

Hawaii to Sidney, Australia ) Docket OST-

______)

APPLICATION OF HAWAIIAN AIRLINES, INC. FOR EXEMPTION

AND STATEMENT OF AUTHORIZATION

Communications with respect to this application should be forwarded to the following:

Joshua Gotbaum Jonathan B. Hill, Esq.

Trustee Dow, Lohnes & Albertson, PLLC

Mark B. Dunkerley 1200 New Hampshire Ave., NW

President & COO Suite 800

David M. Webster, Esq. Washington, DC 20036

General Counsel 202/776-2000

Hawaiian Airlines, Inc.

P.O. Box 30008

Honolulu, HI 96820 Counsel for Hawaiian Airlines, Inc.

January 15, 2004


BEFORE THE

DEPARTMENT OF TRANSPORTATION

WASHINGTON, DC

______

In the matter of the application of )

)

HAWAIIAN AIRLINES, INC. )

)

Exemption Authority-Honolulu, )

Hawaii to Sidney, Australia ) Docket OST-

______)

APPLICATION OF HAWAIIAN AIRLINES, INC. FOR EXEMPTION

AND STATEMENT OF AUTHORIZATION

Hawaiian Airlines, Inc., (hereinafter “Hawaiian”) hereby requests the Department of Transportation (hereinafter “DOT” or the “Department”) pursuant to 49 U.S.C. Sec. 40109 and Subpart C of the Rules of Practice to issue an Order granting it exemption authority and designate Hawaiian to the Australian government to operate combination service between Honolulu, Hawaii on the one hand and Sydney, Australia on the other and points behind the gateway in Australia, for a period of at least two (2) years or longer. In support of the exemption request, Hawaiian states as follows:

1. Hawaiian has its principal headquarters located in Honolulu, Hawaii. Hawaiian is incorporated under the laws of Hawaii.

2. Hawaiian is a citizen of the United States as defined under 49 U.S.C. Sec 401102 (a) (15). At least two-thirds of its primary officers and directors are U. S. citizens and U.S. citizens hold at least 75% of the voting stock in Hawaiian[1].


3. The Department has found Hawaiian fit to provide interstate and foreign transportation of person property and mail. See Orders 97-3-24; 99-4-44; Notice of Action Taken Dkt. OST 95-929 11/10/2003; Notice of Action Taken Dkt. OST 2003-16361 (10/12/03). Hawaiian asks that DOT take official notice of those and other Orders finding Hawaiian ready willing and able to provide scheduled foreign air transportation of persons, property and mail.

4. Hawaiian proposes to operate four (4) frequencies a week using Boeing 767-300 ER aircraft with a fleet average of 260 seats (18 “J” class seats and 242 “Y” class seats). This service will commence on or about May 17, 2004. A proposed schedule is attached as Exhibit A.

5. The exemption request is consistent with the Australian Bilateral Agreement, Memorandum of Understandings and Exchange of Notes between the two countries.

6. The grant of such authority is in the public interest in that it will provide for additional capacity between Australia and the United States, utilize unused bilateral authority and benefit the consumer by providing new service. Hawaiian will open a new market, increase utilization of aircraft and offer its customers additional destinations through its new service.


7. There are no energy or environmental issues associated with this application. Hawaiian’s aircraft meets FAA requirements and short term consumption of fuel will not exceed ten million gallons.

Respectfully submitted,

Jonathan B. Hill

Dow, Lohnes & Albertson, PLLC

1200 New Hampshire Ave., NW #800

Washington, DC 20036

202/776-2000

Counsel for Hawaiian Airlines, Inc.

January 15, 2004


EXHIBIT A

Proposed Schedule

Honolulu, Hawaii to Sydney, Australia and Return

HNL-SYD

Summer

Mo-Wed-Th-Sa 1300/1930+1

Winter

Mo-Wed-Th-Sa 1330/2030+1

SYD-HNL

Summer

Su-Tu-Th-Fr 2130/1055

Winter

Su-Tu-Th-Fr 2000/1025


CERTIFICATE OF SERVICE

I hereby certify that a copy of the foregoing Application of Hawaiian Airlines, Inc. for Exemption and Statement of Authorization was served this 15th day of January, 2004 via email transmission to the following persons:

Carl B. Nelson, Jr.

Associate General Counsel

American Airlines, Inc.

Jeffrey A. Manley

United Air Lines, Inc.

Wilmer, Cutler & Pickering

Ben Schlapak

Airport Manager

Department of Airports

Honolulu International Airport

300 Rodgers Blvd.

Honolulu, HI 96819

______

Deborah L. Kunkle

2

[1] Hawaiian Airlines, Inc. filed for protection under the United States Bankruptcy Code on March 21, 2003. Pursuant to the Order of the bankruptcy Judge a Trustee, Joshua Gotbaum, was appointed on July 3, 2003, to run the airline while under the protection of the court. The Trustee, Joshua Gotbaum is a U.S. Citizen.