[Code of Federal Regulations]
[Title 14, Volume 4]
[Revised as of January 1, 2008]
From the U.S. Government Printing Office via GPO Access
[CITE: 14CFR298.63]

[Page 261-262]
 
                     TITLE 14--AERONAUTICS AND SPACE
 
   CHAPTER II--OFFICE OF THE SECRETARY, DEPARTMENT OF TRANSPORTATION 
                         (AVIATION PROCEEDINGS)
 
PART 298_EXEMPTIONS FOR AIR TAXI AND COMMUTER AIR CARRIER OPERATIONS--Table of 
 
                    Subpart F_Reporting Requirements
 
Sec. 298.63  Reporting of aircraft operating expenses and related statistics 

by small certificated air carriers.

    (a) Each small certificated air carrier shall file BTS Form 298-C, 
Schedule F-2 ``Report of Aircraft Operating Expenses and Related 
Statistics.'' This schedule shall be filed quarterly as prescribed in 
Sec. 298.60. Data reported on this report shall be for the overall or 
system operations of the air carrier.
    (b) Each carrier shall indicate in the space provided its full 
corporate name and the quarter for which the report is filed.
    (c) This schedule shall show the direct and indirect expenses 
incurred in aircraft operations. Direct expense data applicable to each 
aircraft type operated by the carrier shall be reported in separate 
columns of this schedule. Each aircraft type reported shall be 
identified at the head of each column in the space provided for 
``Aircraft Type.'' ``Aircraft Type'' refers to aircraft models such as 
Beech-18, Piper PA-32, etc. Aircraft Type designations are prescribed in 
the Accounting and Reporting Directives, which is available from the 
BTS' Office of Airline Information. In the space provided for ``Aircraft 
Code'' carriers shall insert the three digit code prescribed in the 
Accounting and Reporting Directives for the reported aircraft type. 
(Note: Aircraft of the same type but different cabin configuration may 
be grouped into a single classification; therefore, carriers are not 
required to report the fourth digit of an aircraft code indicating cabin 
configuration.)
    (d) Line 1 Direct aircraft operating expenses shall be reported in 
the following categories:
    (1) Line 2 ``Flying Operations (Less Rental)'' shall be subdivided 
as follows:
    (i) Line 3 ``Pilot and Copilot'' expense shall include pilots' and 
copilots' salaries, and related employee benefits, pensions, payroll 
taxes and personnel expenses.
    (ii) Line 4 ``Aircraft Fuel and Oil'' expense shall include the cost 
of fuel and oil used in flight operations and nonrefundable aircraft 
fuel and oil taxes.
    (iii) Line 5 ``Other'' expenses shall include general (hull) 
insurance, and all other expenses incurred in the in-flight operation of 
aircraft and holding of aircraft and aircraft operational personnel in 
readiness for assignment to an in-flight status, which are not provided 
for otherwise on this schedule.
    (2) Line 6 ``Total Flying Operations (Less Rentals)'' shall equal 
the sum of lines 3, 4 and 5.
    (3) Line 7 ``Maintenance-Flight Equipment'' shall include the cost 
of labor, material and related overhead expended by the carrier to 
maintain flight equipment, general services purchased for flight 
equipment maintenance from associated or other outside companies, and 
provisions for flight equipment overhauls.
    (4) Line 8 ``Depreciation and Rental-Flight Equipment'' expense 
shall include depreciation of flight equipment, amortization of 
capitalized leases for flight equipment, provision for obsolescence and 
deterioration of spare parts, and rental expense of flight equipment.
    (5) Line 9 ``Total Direct Expense'' shall equal the sum of lines 6, 
7 and 8.
    (e) Line 10 Indirect aircraft operating expenses shall be reported 
only in total for all aircraft types and shall be segregated according 
to the following categories:
    (1) Line 11 ``Flight Attendant Expense'' shall include flight 
attendants' salaries, and related employee benefits, pensions, payroll 
taxes and personnel expenses.
    (2) Line 12 ``Traffic Related Expense'' shall include traffic 
solicitor salaries,

[[Page 262]]

traffic commissions, passenger food expense, traffic liability 
insurance, advertising and other promotion and publicity expenses, and 
the fringe benefit expenses related to all salaries in this 
classification.
    (3) Line 13 ``Departure Related (Station) Expense'' shall include 
aircraft and traffic handling salaries, landing fees, clearance, customs 
and duties, related fringe benefit expenses and maintenance and 
depreciation on ground property and equipment.
    (4) Line 14 ``Capacity Related Expense'' shall include salaries and 
fringe benefits for general management personnel, recordkeeping and 
statistical personnel, lawyers and law clerks, and purchasing personnel; 
legal fees and expenses; stationery; printing; uncollectible accounts; 
insurance purchased-general; memberships; corporate and fiscal expenses; 
and all other expenses which cannot be identified or allocated to some 
other specifically identified indirect cost category.
    (f) Line 15 ``Total Indirect Expense'' shall equal the sum of lines 
11, 12, 13 and 14.
    (g) Line 16 ``Total Operating Expense'' shall equal the sum of lines 
9 and 15.
    (h) Line 17 ``Total Gallons of Fuel Issued'' shall include the 
gallons of fuel used in flight operations related to fuel cost reported 
in total and by aircraft type on Line 4.

[ER-1399, 50 FR 20, Jan. 2, 1985, as amended by Docket No. 47939, 57 FR 
40104, Sept. 2, 1992; 60 FR 66726, Dec. 26, 1995; 67 FR 49234, July 30, 
2002]