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Reporting the Service Class and Revenue Classification for Wet-Lease Operations

Department of Transportation, Bureau of Transportation Statistics, Office of Airline Information
Number 266
Issue Date: Jan 24, 2003
Effective Date: Immediately
Part 241, Section: 19, 19-4

The Service Class in which traffic is reported by wet-lease operators is determined by the type of service offered to passengers or shippers. For example, if a wet-lease operator is contracted to provide lift for another carrier's scheduled passenger service, the wet-lease operator will report its traffic as Service Class F. If the subservice is performed for another carrier's charter-cargo service, the wet-lease operator will report its traffic as Service Class P.

Likewise, when wet-lease operators report revenues, the type of service offered to passengers or shippers determines the subclassification of reported revenues. This means that a wet-lease operator that is contracted to provide lift for another carrier's scheduled passenger service will report its revenues as subclassification 3100 Scheduled Services , which states:

This subclassification shall include revenues from the transportation by air of individual passengers or cargo shipments (as opposed to charter flights) pursuant to published flight schedules, including extra sections and other flights performed as an integral part of published flight schedules. (Emphasis added)

This reporting guidance also applies when the wet-lease operator provides the scheduled passenger service of another air carrier and receives compensation that is based on departures performed or block hours operated. Under this example, the revenues received will be reported in subclassification 3100 Scheduled Services .

If you have any questions regarding this directive, please contact either Clay Moritz on (202) 366-4385 or Bernie Stankus on (202) 366-4387. Both individuals can be reached by e-mail at clay.moritz@dot.gov and bernard.stankus@dot.gov.

This action is taken under authority delegated in 14 CFR Part 385.19(b) of the Department's Organizational Regulations.

Donald W. Bright
Assistant Director
Airline Information