Provided, That, subject to the provisions of § 288.8, the minimum rates specified in subparagraphs (1) and (2) of this paragraph shall not be applicable to passengers or cargo carried on a particular trip in excess of the amount that the contract calls for DoD to supply and the carrier to provide space: And, provided further, That, if a carrier performs a one-way charter flight carrying nonmilitary traffic for a nonmilitary user, the carrier may charter the return flight of that aircraft to DoD at a published one-way charter tariff rate that is in fact available to the general public for equivalent services.

(b) For Logair and Quicktrans services, other than specified in paragraph (c) of this section:

(c) The compensation for substitute service shall not be less than that which the prime contractor would have received under his contract with DOD.

(d) For Category A transportation: (1) Passengers, 3.15 cents per passenger-mile.

(2) Cargo: Outbound, 12 cents per tonmile; and inbound, 10 cents per ton-mile.

(3) The foregoing rates per passengermile and per ton-mile shall be applied to the shortest mileage between the commercial air-carrier points as set forth in the current IATA Mileage Manual to compute point-to-point passenger fares and cargo rates per pound.

(4) For cargo services to/from military bases in the United States, the rates per pound computed in accordance with subparagraph (3) of this paragraph shall be increased in the following amounts:

per pound shall not be less than the rates to/from the nearest commercial point, computed in accordance with subparagraphs (2) and (3) of this paragraph.

(6) The cargo charges determined in accordance with subparagraphs (2) through (5) of this paragraph shall be applied on the basis of a standard weight per pallet of 4,500 pounds: Provided, That it is not required that cargo be tendered in pallets.

(e) For Category X transportation, 1.75 cents per passenger-mile and 7.06 cents per cargo ton-mile.

(f) For suspension charges, 36 percent of the charge based on the passenger charter minimum rate and 38 percent of the charge based on the cargo charter minimum rate otherwise applicable to the suspended flight.

(Secs. 401, 404, 72 Stat. 754, 760; 49 US.C. 1371, 1374) [ER-494, 32 F.R. 7908, June 1, 1967, as amended by ER-536, 33 F.R. 6651, May 1, 1968; ER-540, 33 F.R. 9337, June 26, 1968; ER-584, 34 F.R. 11087, July 1, 1969; ER-602, 35 F.R. 104, Jan. 3, 1970; ER-608, 35 F.R. 5113, Mar. 26, 1970; ER-626, 35 F.R. 10290, June 24, 1970]

§ 288.8 Minimum aircraft loads.

The minimum charges established by § 288.7(a) shall be deemed economic only when the resulting revenues are at least the equivalent of such charges applied to the following minimum loads:

DC-8 (other).

DC-9-30..
B-727.
CV-990.

CL-44.
L-382.

L-1649A

L-1049-C/E/G/H

DC-7B/C/CF/F.

L-1049A.
DC-7.
DC-6/A/B/C.
DC-4..

ནན

Provided, That, for the purpose of this section, compensation equal to the minimum rate applied to the load that actually can be accommodated shall be considered economic whenever a carrier is prevented from accommodating a load equal to the minimum specified above,

for reasons other than adverse weather, off-loading by DOD, or the bulk of the cargo supplied by DOD, but in no event less than 90 percent of the above minimum loads. For purposes of this proviso, failure by the carrier to accommodate more than 12 loaded pallets on the B-707-320B, C and DC-8F aircraft, or 10 loaded pallets on the CL-44 aircraft, irrespective of the total weight thereof, on the all-cargo segment of any convertible charter flight, due to the presence of galley equipment and/or crew facilities on the main deck of the aircraft for use on that convertible charter flight, is deemed to be due to the bulk of the cargo supplied by DOD. [ER-494, 32 F.R. 7908, June 1, 1967, as amended by ER-602, 35 F.R. 104, Jan. 3, 1970] § 288.9 Round-trip services.

For purposes of this part, round-trip services mean charter service other than Logair and Quicktrans services where: (a) Passengers and/or cargo are transported on two or more successive revenue flights and the last revenue flight terminates within 250 statute miles of the point of origin of the first revenue flight or, by mutual consent of DOD and the carrier, at a point within 250 statute miles of the carrier's principal operating base; (b) the scheduling permits departure within 4 hours after arrival at each point to be served except at one point where the aircraft may be scheduled for departure within 72 hours after arrival: Provided, That, on flights

serving more than one U.S. departure point, by mutual consent, DOD and the carrier may agree on not more than three points where the aircraft may be scheduled for departure within 72 hours after arrival; and (c) the air carrier operates en route not more than one ferry flight not exceeding 50 statute miles without compensation and not more than one ferry flight not exceeding 1,500 statute miles for compensation equal to not less than 75 per cent of the round-trip cargo rate specified in §§ 288.7 and 288.8 where only cargo is carried on the other portions of the whole trip and for compensation equal to not less than 75 percent of the round-trip all-passenger rate specified in §§ 288.7 and 288.8 in all cases where passengers are carried on any other part of the whole trip. § 288.10 Computation of passengermiles and cargo ton-miles.

(a) General rule. For the purpose of this part, the computation of passengermiles and cargo ton-miles for charter service other than Logair and Quicktrans shall be based on no lesser mileage than the nonstop airport-to-airport distance, in terms of statute miles from the point of origin of the revenue flight to the point of destination of such flight, via such intermediate points as are required to be served by the terms of the DOD contract.

(b) Pacific services. In the case of Pacific services between points specified in the following table, the mileage shall be computed via the indicated routings:

And

Wake Hawaii Formosa Okinawa Japan 2 Alaska

For turboprop and piston aircraft, via Clark.

(c) Transatlantic services. In the case of transatlantic services, when the nonstop airport-to-airport distance between origin and destination of the flight is 4,000 miles or more and no intermediate points are specified by the terms of the DOD contract, the mileage shall be no less than as computed via Shannon, Ireland, or via Lajes/Santa Maria, Azores, whichever routing yields a lower mileage.

(ER-494, 32 F.R. 7908, June 1, 1967, as amended by ER-536, 33 F.R. 6652, May 1, 1968]

§ 288.11 On-loading and off-loading of traffic.

It shall not be deemed a violation of the provisions of this part for an air carrier operating a charter flight to permit DOD to on-load and/or off-load traffic (passenger or cargo) at any operational stops en route made for the carrier's convenience, to the extent that it does not interfere with the carrier's scheduled ground operation: Provided, That the carrier receives minimum compensation consistent with the provisions of this part for resulting load carried on any flight stage which is in excess of the load paid for under the contract.

§ 288.12 Application for other relief.

Air carriers may make timely applications for authority to engage in air transportation for the military establishment not covered by this part, including relief from any limitation or requirement imposed by this part. Such applications shall be governed by the provisions contained in Part 302, Subparts A and D of this chapter.

Subpart C-Enforcement

§ 288.15 Violations.

Operations by any carrier for the military establishment which are not within the scope of such carrier's basic authority or of this part or of other authority granted by the Board prior to the time such operations are undertaken, or noncompliance with any applicable requirements, conditions, or limitations in this part, constitute violations of the Federal Aviation Act of 1958 and will render the offending air carrier subject to imposition of lawful sanction, including in proper cases criminal prosecution under section 902(a) of the Act.

Subpart D-Duration

§ 288.18 Expiration.

(a) With respect to Logair and Quicktrans services and substitute service within the 48 contiguous States, this part shall remain in effect indefinitely.

(b) With respect to foreign and overseas transportation, transportation between the 48 contiguous States, on the one hand, and Hawaii or Alaska, on the other hand, and for transportation within Alaska, including substitute service therefor, this part shall remain in effect indefinitely.

(c) The Board reserves the right to rescind this part or any provision thereof at any time, with or without notice or hearing, as the public interest may require.

(d) The transportation services performed pursuant to the authorization granted in this part do not constitute an activity of a continuing nature within the meaning of 5 U.S.C. 558(c).

[ER-584, 34 F.R. 11087, July 1, 1969, as amended by ER-602, 35 F.R. 104, Jan. 3, 1970; ER-626, 35 F.R. 10290, June 24, 1970]

AUTHORITY: The provisions of this Part 289 issued under sec. 204, 416, 72 Stat. 743, 771; 49 U.S.C. 1324 1386 unless otherwise noted. § 289.1 Definition.

For the purpose of this part:

(a) "Certificated route air carrier" means any air carrier which holds a certificate of public convenience and necessity issued under section 401 (d) (1) or (2) of the Federal Aviation Act of 1958 authorizing unlimited regularly scheduled route service between specified points or, in case of foreign air transportation, along a general route or routes, designated in the certificate.

or foreign air transportation of property only, and who: (1) Does not engage in the operation of aircraft in air transportation, and (2) does not engage in air transportation pursuant to any Board order authorizing air express services under a contract with a direct air carrier.

(c) "Supplemental air carrier" means any air carrier which holds authority from the Board to engage in supplemental air transportation.

[ER-309, 25 F.R. 6614, July 14, 1960, as amended by ER-350, 27 F.R. 1067, Feb. 6, 1962]

§ 289.2 Exemption of air carriers.

Air carriers are hereby exempted from the filing requirements of section 412(a) of the Act with respect to any type of agreement listed in § 289.3 of this part, and amendments thereto, and from filing any subsequent amendment to an agreement which was filed prior to the effective date of this part where such filed agreement and the amendment qualify for an exemption under this part; except that such exemption does not apply to an agreement or an amendment to an agreement that:

(a) Is between "affiliated" carriers within the meaning of that term as it is used in Part 261 of this subchapter; or

(b) Amends an existing agreement which itself is ineligible for exemption under this part; or

(c) Is a resolution or similar action of the members of an association of air carriers; or

(d) Is violative of the "anti-trust laws" as that term is defined in section 1 of the Clayton Act, 15 U.S.C. 12. [ER-350, 27 F.R. 1068, Feb. 6, 1962]

§ 289.3 Types of agreements which need not be filed.

(a) Ground services and facilities. Agreements between certificated route air carriers, or between any such air carrier(s) and any foreign air carrier(s), for the furnishing of ground facilities, ground equipment, ground service, or building or ground space: Provided, That the fees or charges therefor are known or anticipated not to exceed $50,000 during any twelve-month period: And, provided further, That in case the aggregate annual charge under an agreement believed to fall within this exemption at the time of execution thereof

* As defined in section 101 (21) of the Act.

exceeds the dollar limitation in any twelve-month period, the carrier shall (1) report promptly the total amount paid, and (2) file the agreement with the Board under section 412(a) of the Act upon request by the Director of the Board's Bureau of Economic Regulation. (b) Free or reduced-rate transportation. Agreements between certificated route air carriers, or between supplemental air carriers, or between certificated route carriers and supplemental carriers, or between any such air carriers and foreign air carriers for the issuance or interchange of free or reducedrate transportation: Provided, That such agreements do not provide for the issuance or interchange of passes for free or reduced-rate transportation other than as described in documents filed pursuant to § 223.6 of this subchapter.

(c) Pick-up and delivery. Agreements between certificated route air carriers or indirect air carriers on the one hand and surface motor carriers on the other hand for pick-up and delivery of property: Provided, That all of the points named in the agreement and the rates and charges to the public for such service are set forth in tariffs filed by the air carriers with the Board pursuant to Part 221 of this subchapter.

(Interpret or apply secs. 101(3), 412, and 416 (b) of the Act, 72 Stat. 737, 770; 49 U.S.C. 1801, 1382) [ER-350, 27 F.R. 1068, Feb. 6, 1962]

§ 289.4 Effect of exemption.

The exemption granted by this part shall not be deemed to constitute an "order made under sections 408, 409, and 412" within the meaning of section 414 of the Act.

[ER-309, 25 FR. 6614, July 14, 1960. Redesignated by ER-350, 27 F.R. 1068, Feb. 6, 1962]