14 C.F.R. § 399.34   Intra-Hawaii and Intra-Puerto Rico/Virgin Islands fare flexibility.


Title 14 - Aeronautics and Space


Title 14: Aeronautics and Space
PART 399—STATEMENTS OF GENERAL POLICY
Subpart C—Policies Relating to Rates and Tariffs

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§ 399.34   Intra-Hawaii and Intra-Puerto Rico/Virgin Islands fare flexibility.

For scheduled service within Hawaii, and within and between Puerto Rico and the Virgin Islands, certificated air carriers have the fare flexibility set forth in §§399.32 and 399.33, except that:

(a) Instead of the limits set forth in §399.32(d), the upper limit of the zone for Puerto Rico/Virgin Islands is 30 percent above the SIFL, and for Hawaii is 30 percent above the SHFL; and

(b) The fare flexibility set forth in §399.33(a) (first class) does not apply to service within Hawaii.

                          Appendix A to § 399.34_United States-Puerto Rico Entity                             [Normal fares in selected markets_comparison with SIFL]----------------------------------------------------------------------------------------------------------------                                                         July 1977 normal fare             May 1980 normal fare                                                DPFI             level                             level                                               formula ------------------------   DPFI   -----------------------             Market               Ratemaking    fare       Peak       Offpeak    formula     Peak       Offpeak                                    mileage     July   ------------------------ May 1980 -----------------------                                                1977     Mid  Week   Mid  Week             Mid  Week   Mid  Week                                                        week   end  week   end            week   end  week   end----------------------------------------------------------------------------------------------------------------San Juan:  Atlanta.......................    1,547      $130.81  ....  ....  ....  ....   $203.53  ....  ....  ....  ....    Eastern.....................  ..........  ........  $113  $113  $107  $107  ........  $176  $176  $166  $166  Boston........................    1,674       139.04  ....  ....  ....  ....    216.33  ....  ....  ....  ....    American....................  ..........  ........  ....  ....  ....  ....  ........   209   218   199   209    Eastern.....................  ..........  ........   122   128   116   122  ........   209   218   198   209  Chicago.......................    2,072       164.83  ....  ....  ....  ....    256.45  ....  ....  ....  ....    American....................  ..........  ........   149   149   143   143  ........   232   232   222   222    Eastern.....................  ..........  ........   149   149   143   143  ........   232   232   222   222  Miami.........................    1,045        97.09  ....  ....  ....  ....    151.06  ....  ....  ....  ....    American....................  ..........  ........  ....  ....  ....  ....  ........   121   131   113   121    Delta.......................  ..........  ........  ....  ....  ....  ....  ........   121   131   113   121    Eastern.....................  ..........  ........    78    84    72    78  ........   121   131   112   121    Pan Am (National)...........  ..........  ........    78    84    72    78  ........   122   122   122   122  New York......................    1,597       134.05  ....  ....  ....  ....    208.57  ....  ....  ....  ....    American....................  ..........  ........   108   114   102   108  ........   175   196   175   196    Eastern.....................  ..........  ........   108   114   102   108  ........   175   196   175   196    Pan Am......................  ..........  ........  ....  ....  ....  ....  ........   147   147   147   147  Phildelaphia..................    1,576       132.69  ....  ....  ....  ....    206.45  ....  ....  ....  ....    American....................  ..........  ........   115   121   109   115  ........   197   208   187   197    Eastern.....................  ..........  ........   115   121   109   115  ........   175   196   175   196  Washington....................    1,565       131.97  ....  ....  ....  ....    205.34  ....  ....  ....  ....    American....................  ..........  ........   114   120   108   114  ........   187   197   176   187    Eastern.....................  ..........  ........   114   120   108   114  ........   195   206   184   195    Pan Am (National)...........  ..........  ........  ....  ....  ....  ....  ........   147   147   147   147----------------------------------------------------------------------------------------------------------------
                                  Appendix B to § 399.34_Selected Fare and Service Data for Seattle-Alaska Markets--------------------------------------------------------------------------------------------------------------------------------------------------------                                                                                         Y fare as of June   O. &                                                            Actual     DPFI      SIFL         1980 \2\          D.                                               Ratemaking    July     formula   formula ------------------- passengers   Carriers providing single plane                    Market                       mileage    1977 Y   fare May  fare May                      Y/E Aug.         service June 1980 \4\                                                             fare    1980 \1\    1980     Alaska     Wien    30, 1979                                                                                 \10\    Airlines   Alaska      \3\--------------------------------------------------------------------------------------------------------------------------------------------------------Seattle:  Anchorage..................................      1,448    $119.00   $193.52   $185.14      $159     $159    196,630   AS/NW/WA/WC  Cordova....................................      1,293     118.62    176.85    184.55       178  .......      4,330   AS  Fairbanks..................................      1,533     131.00    201.85    203.81       204      204     44,910   AS/NW/WC  Gustavus (Via JNU).........................        950     109.62    140.74    170.55       138  .......      1,340   AS  Juneau.....................................        909      90.62    137.04    140.99       141      141     40,110   AS/WC  Ketchikan..................................        680      71.62    112.96    111.43       112      112     34,970   AS/WC  Petersburg (Via KTN).......................        790      89.22    124.07    138.81       138  .......      6,870   AS  Sitka......................................        862      85.62    131.48       133    133.21  .......     17,240   AS  Wrangell (Via KTN).........................        762      89.22    121.30    138.81       138  .......      4,120   AS  Yakutat....................................      1,092     117.62    155.56    182.99       175  .......      1,500   AS  Kenai \5\..................................      1,468     124.28    198.37    193.35  ........      159      2,470   WC  King Salmon \6\............................      1,603     167.94    209.26    261.28  ........      200      4,090   WC  Prudhoe Bay \7\............................      1,802     190.74    229.63    296.75  ........      273        960   WC  Kodiak \8\.................................      1,439     119.00    192.59    185.14  ........      155     11,140   WC  Homer \9\..................................      1,449     143.40    193.52    223.10  ........      159      1,250   WC--------------------------------------------------------------------------------------------------------------------------------------------------------\1\ $25.14 plus 13.75¢ per mile (0-500); 10.49¢ per mile (501-1500); 10.08¢ per mile (1501 and over). See Order 80-4-211.\2\ Domestic Tariffs.\3\ O. & D. Origin Destination Survey of Airline Passenger Traffic, Table 8, 12 months ended September 30, 1979.\4\ AS=Alaska Airlines; NW=Northwest Orient Airlines; WA=Western Airlines; WC=Wien Air Alaska.\5\ Via Anchorage ($15.28).\6\ Via Anchorage ($48.94).\7\ Via Fairbanks ($59.74).\8\ Local WA Fare.\9\ Via Kodiak ($24.40).\10\ July 1977 fare increased by cumulative adjustment factor of 1.5558% per Order 80-4-211.
              Appendix C to § 399.34_Adjustment of the Intra-Hawaiian Fare Level July 1, 1977, To Reflect Cost at 12.35 Percent Return--------------------------------------------------------------------------------------------------------------------------------------------------------                                                                       Regulatory actual Y.E. March      Cost inflation adjusted to July 1,     July 1,                                                                                   1977                                 1977                   1977, at                                                                    -------------------------------------------------------------------------  12.35 pct                                                                       Aloha     Hawaiian     Total       Aloha       Hawaiian      Total       R.O.I.--------------------------------------------------------------------------------------------------------------------------------------------------------RPM's (000)........................................................    321,578    404,793     726,371      321,578      404,793      726,371     726,371ASM's (000)........................................................    489,128    638,050   1,127,178      489,128      638,050    1,127,178   1,127,178Load Factor (percent)..............................................      65.75      63.44       64.44        65.75        63.44        64.44        64.4Yield (dollars) \2\................................................    $0.1427    $0.1453     $0.1441      $0.1427      $0.1453      $0.1441     $0.1589Operating Revenue_Total............................................    $47,648    $71,599    $119,247  ...........  ...........  ...........  ..........Passenger Related Revenue..........................................    $46,301    $59,942    $106,243      $46,301      $59,942     $106,243    $116,966Operating Expense_Total............................................    $45,195    $68,836    $114,031  ...........  ...........  ...........  ..........Passenger Related Expenses.........................................    $43,858    $57,501    $101,359  \1\ $45,937      $59,013          \1\    $104,950                                                                                                                                    $104,950Operating Profit_Passenger.........................................     $2,443     $2,441      $4,884         $364         $929       $1,293     $12,016Interest Expense...................................................       $741     $2,583      $3,324         $741       $2,583       $3,324      $3,324Earnings Before Tax................................................     $1,702     $(142)      $1,560       $(377)     $(1,654)     $(2,031)      $8,692Tax at 48 Percent..................................................       $817        $68        $749         $181         $794         $975      $4,172                                                                    ------------------------------------------------------------------------------------Net Income.........................................................       $885      $(74)        $811       $(196)       $(860)     $(1,056)      $4,520Return Element.....................................................     $1,626     $2,509      $4,135         $545       $1,723       $2,268      $7,844Investment.........................................................    $16,192    $47,326     $63,518      $16,192      $47,326      $63,518     $63,518Return on Investment (percent).....................................      10.04       5.30        6.51         3.37         3.64         3.57       12.35Increase Factor \3\................................................  .........  .........  ..........  ...........  ...........  ...........       10.27--------------------------------------------------------------------------------------------------------------------------------------------------------\1\ Cost inflation to July 1, 1977; 1.047 percent for Aloha, 1.026 for Hawaiian. The differing rates for the two carriers, having equivalent aircraft  and duplicate route structures, is due primarily to a shift by Hawaiian to larger DC-9-50 aircraft starting in the fourth quarter of 1976.\2\ Passenger revenue divided by RPM's.\3\ Passenger yield at 12.35 percent return divided by actual passenger yield for the year ended March 1977.

[PS–96, 45 FR 48604, July 21, 1980]

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