Code of Federal Regulations (alpha)

CFR /  Title 14  /  Part 399  /  Sec. 399.34 Intra-Hawaii and Intra-Puerto Rico/Virgin Islands

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 Sec. Sec. 399.32 and 399.33, except that:

(a) Instead of the limits set forth in Sec. 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 Sec. 399.33(a) (first class) does not apply to service within Hawaii.

Appendix A to Sec. 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 Sec. 399.34--Selected Fare and Service Data for Seattle-Alaska Markets--------------------------------------------------------------------------------------------------------------------------------------------------------

SIFL Y fare as of June O. & D.

Actual DPFI formula 1980 \2\ passengers

Market Ratemaking July formula fare May ------------------- Y/E Aug. Carriers providing single plane

mileage 1977 Y fare May 1980 Alaska Wien 30, 1979 service June 1980 \4\

fare 1980 \1\ \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[cent] per mile (0-500); 10.49[cent] per mile (501-1500); 10.08[cent] 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 Sec. 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]