[Federal Register: April 16, 2008 (Volume 73, Number 74)]
[Notices]
[Page 20727-20729]
[DOCID:fr16ap08-119]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-57647; File No. SR-DTC-2007-10]

Self-Regulatory Organizations; The Depository Trust Company;
Notice of Filing of Amended Proposed Rule Change to Implement the New
Issue Information Dissemination Service for Municipal Securities

April 10, 2008.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'') \1\ and Rule 19b-4 thereunder \2\ notice is hereby given that
on August 16, 2007, The Depository Trust Company (``DTC'') filed with
the Securities and Exchange Commission (``Commission'') and on
September 12, 2007, March 3, 2008, and April 9, 2008, amended the
proposed rule change described in Items I, II, and III below, which
items have been prepared primarily by DTC. The Commission previously
published notice of the proposed rule change on October 3, 2007 and
March 24, 2008.\3\ The Commission is publishing this notice to solicit
comments on the proposed rule change, as amended, from interested
parties.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ Securities Exchange Act Release No. 56552 (September 27,
2007), 72 FR 56407 (October 3, 2006); Securities Exchange Act
Release No. 57513 (March 17, 2008), 73 FR 15548 (March 24, 2008).
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    The proposed rule change seeks approval to implement the New Issue
Information Dissemination System (``NIIDS'') for municipal securities.
NIIDS is an automated system developed by DTC at the request of the
Securities Industry and Financial Markets Association (``SIFMA'') \4\
in order to improve the mechanism for disseminating new issue
information regarding municipal securities.
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    \4\ The request originated from The Bond Market Association
(``BMA''), which has since merged with the Securities Industry
Association to form SIFMA.
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II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, DTC included statements
concerning the purpose of and basis for the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. DTC has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of these
statements.\5\
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    \5\ The Commission has modified the text of the summaries
prepared by DTC.
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(A) Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change

    Currently, Municipal Securities Rulemaking Board (``MSRB'') Rule G-
14 generally requires municipal securities dealers to report municipal
securities transactions to the MSRB within 15 minutes of the time of
the trade.\6\ Inter-dealer trades eligible for comparison by a clearing
agency are required to be submitted through NSCC's Real Time Trade
Matching System (``RTTM'') within the time frame in Rule G-14. These
trades are subsequently reported to the MSRB by NSCC. NSCC requires
certain securities information in order to process and report
transactions involving those securities. Therefore, it is necessary
that dealers trading newly issued municipal securities have the
securities information needed for trade submission by the time the
trade reporting is required.
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    \6\ MSRB Rule G-14 RTRS Procedures (a)(ii).
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    Pursuant to current practice in the municipal securities market,
each information vendor works separately to obtain information from
offering documents and underwriters. Each information vendor's success
depends in large part upon the voluntary cooperation of the
underwriters. It is not unusual for information vendors to have
inconsistent information or for some information vendors to receive
information before others.

Consequently, critical new issue information may be missing or
inaccurate in the automated trade processing systems used by dealers to
report the initial trades in new issues. This can result in late trade
reports or trade reports that must be canceled and resubmitted or
amended because they contain inaccurate data.
    NIIDS is designed to improve the process by which new issue
information is provided by underwriters to information vendors by
collecting information about a new issue from underwriters in an
electronic format and making that data available immediately to
information vendors. NIIDS is designed to ensure that information is
disseminated as quickly and efficiently as possible after the
information is made available by the underwriters.\7\
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    \7\ NIIDS is being incorporated into the update of DTC's
underwriting system (``UW Source''). All applicable NIIDS Data
Elements must be input into UW Source for a municipal issue to close
at DTC.
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    To address concerns that dealers often lack timely access to
electronically formatted securities information necessary to process
and to report municipal securities transactions in real-time, MSRB Rule
G-14 includes a three-hour exemption available to a dealer transacting
``when, as, and if issued'' municipal securities if the dealer is not a
syndicate manager or member for this issue, has not traded the issue in
the previous year, and the CUSIP number and indicative data of the
issue are not in the dealer's securities master file (``Reporting
Exemption'').\8\ The Reporting Exemption will expire in 2008. In order
to prepare for the Reporting Exemption's expiration, SIFMA asked DTC to
incorporate a centralized automated mechanism for the collection and
dissemination on a real-time basis of the required information as part
of the planned reengineering of DTC's underwriting system. DTC built
NIIDS to help make the collection and dissemination of new issue
information with respect to municipal securities more efficient for the
industry.
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    \8\ MSRB Rule G-14 RTRS Procedures (a)(ii)(C).
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    An industry working group of municipal securities dealers, SIFMA
members, the MSRB, and DTC have identified key data elements required
for the reporting, comparison, confirmation, and settlement of trades
in municipal securities (``NIIDS Data Elements''). Initially, DTC is
proposing to make NIIDS available to the municipal securities industry
on an optional basis to allow dealers to have some experience with
NIIDS before the MSRB mandates its use. DTC proposes to make NIIDS for
municipal securities available to participants on an optional basis in
May 2008. DTC will mandate the use of NIIDS for municipal securities in
September 2008, prior to the expiration of the MSRB Reporting
Exemption. DTC periodically has been informing participants of the
upcoming implementation of NIIDS and the NIIDS Data Elements through
periodically issued Important Notices. Only DTC participants or those
entities specifically authorized by a participant (``Correspondent'')
will be able to input information into NIIDS.\9\
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    \9\ Participants will be required to identify an authorized
party at the Correspondent with whom DTC may interact.
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    To commence the process, the dissemination agent (``Dissemination
Agent'') for a new issue must input the NIIDS Data Elements thereby
requesting that DTC make the information available to the industry
through NIIDS. DTC will not confirm the NIIDS Data Elements but rather
will act as a conduit to pass along such information to data vendors.
DTC anticipates the data vendors will then disseminate the information
to the industry thereby allowing dealers to make timely reporting of
their municipal trades. DTC will record the name of the Dissemination
Agent that inputs the Data Elements and the time such information is
submitted. DTC will begin disseminating the data when it has received
authorization from the Dissemination Agent through NIIDS. The
Dissemination Agent, by triggering the dissemination decision flag in
the NIIDS Data Elements, indicates the information is being sent by it
and is in compliance with the terms and conditions of NIIDS. In
addition, NIIDS will contain the contact information for the
Dissemination Agent that populated the NIIDS Data Elements for a
particular issue to enable users of the data to contact it with
questions or comments.
    DTC is proposing to provide NIIDS to the industry in order to
facilitate the collection and dissemination of new issue information in
relation to municipal securities. Because DTC does not confirm the
accuracy of NIIDS Data Elements and only acts as a conduit of the
information, use of NIIDS \10\ by any party, including but not limited
to participants, correspondents, and vendors (``NIIDS Users'') \11\
will constitute a waiver of any and all claims direct or indirect
against DTC and its affiliates and an agreement that DTC and its
affiliates shall not be liable for any loss in relation to the
dissemination or use of NIIDS Data Elements, which are provided ``as
is.'' Each NIIDS User will agree to indemnify and hold harmless DTC and
its affiliates from and against any and all losses, damages,
liabilities, costs, judgments, charges, and expenses arising out of or
relating to the use of NIIDS.
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    \10\ Use of NIIDS shall include but not be limited to the
population, dissemination, or processing of NIIDS Data Elements.
    \11\ Data vendors or others that wish to receive NIIDS Data
Elements must register in advance with DTC.
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    The MSRB would like dealers to be able to use NIIDS before
requiring them to do so by rule.\12\ The MSRB has filed with the
Commission a rule change that ultimately would require underwriters to
use NIIDS in 2008 to coincide with the expiration of the Reporting
Exemption.\13\ DTC intends to provide the municipal securities industry
the opportunity to use NIIDS commencing May 5, 2008. DTC intends to
mandate the use of NIIDS for municipal securities commencing Tuesday,
September 2, 2008. DTC believes that members of the municipal
securities industry will be using NIIDS during the period NIIDS is
optional (``Optional Period'') to become accustomed to using it. This
may result in Dissemination Agents inputting incomplete NIIDS Data
Elements while getting acquainted with NIIDS. Therefore, no one should
rely on the accuracy of the NIIDS Data Elements during the Optional
Period but rather should continue to use existing authorized sources of
such information.
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    \12\ The MSRB received comment on proposed rules that would
require underwriters of municipal securities to participate in
NIIDS. See MSRB Notice 2007-10 (March 5, 2007) at http://
www.msrb.org.
    \13\ Securities Exchange Act Release No. 57002 (December 20,
2007), 72 FR 73939 (December 28, 2007) [File No. SR-MSRB-2007-07].
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    DTC will not charge a service fee to underwriters that input or
receive information through NIIDS. Additionally, DTC will not charge a
service fee to information vendors that will receive information for
further dissemination through NIIDS. DTC will charge a connectivity fee
to underwriters, service providers, and information vendors that use
NIIDS.
    DTC believes that the proposed rule change is consistent with the
requirements of Section 17A of the Act \14\ and the rules and
regulations thereunder because the proposed changes promote the prompt
and accurate clearance and settlement of securities transactions by
streamlining the collection and dissemination of new issue information
for municipal securities throughout the industry.
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    \14\ 15 U.S.C. 78q-1.

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(B) Self-Regulatory Organization's Statement on Burden on Competition

    DTC does not believe that the proposed rule change will have any
impact or impose any burden on competition.

(C) Self-Regulatory Organization's Statement on Comments on the
Proposed Rule Change Received From Members, Participants, or Others

    Written comments relating to the proposed rule change have not been
solicited or received. DTC will notify the Commission of any written
comments received by DTC.

III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action

    Within thirty-five days of the date of publication of this notice
in the Federal Register or within such longer period: (i) as the
Commission may designate up to ninety days of such date if it finds
such longer period to be appropriate and publishes its reasons for so
finding or (ii) as to which the self-regulatory organization consents,
the Commission will:
    (A) By order approve such proposed rule change or
    (B) Institute proceedings to determine whether the proposed rule
change should be disapproved.

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:

Electronic Comments

     Use the Commission's Internet comment form (http://
www.sec.gov/rules/sro.shtml) or
     Send an e-mail to<EMAIL_ADDRESS>Please include
File Number SR-DTC-2007-10 on the subject line.

Paper Comments

     Send paper comments in triplicate to Nancy M. Morris,
Secretary, Securities and Exchange Commission, 100 F Street, NE.,
Washington, DC 20549-1090.

All submissions should refer to File Number SR-DTC-2007-10. This file
number should be included on the subject line if e-mail is used. To
help the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (http://www.sec.gov/rules/
sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for inspection and
copying in the Commission's Public Reference Section, 100 F Street,
NE., Washington, DC 20549, on official business days between the hours
of 10 a.m. and 3 p.m. Copies of such filings also will be available for
inspection and copying at the principal office of DTC and on DTC's Web
site at http://www.dtcc.com/downloads/legal/rule_filings/2007/dtc/
2007-10.pdf, http://www.dtcc.com/downloads/legal/rule_filings/2007/
dtc/2007-10-amendment.pdf, http://dtcc.com/downloads/legal/rule--
filings/2007/dtc/2007-10-amendment2.pdf, and http://www.dtcc.com/
downloads/legal/rule_filings/2007/dtc/2007-10-amendment3.pdf. All
comments received will be posted without change; the Commission does
not edit personal identifying information from submissions. You should
submit only information that you wish to make available publicly. All
submissions should refer to File Number SR-DTC-2007-10 and should be
submitted on or before May 1, 2008.

For the Commission by the Division of Trading and Markets, pursuant
to delegated authority.\15\
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    \15\ 17 CFR 200.30-3(a)(12).
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Florence E. Harmon,
Deputy Secretary.
[FR Doc. E8-8130 Filed 4-15-08; 8:45 am]

BILLING CODE 8010-01-P


[Federal Register Volume 79, Number 78 (Wednesday, April 23, 2014)]
[Proposed Rules]
[Pages 22596-22599]
[FR Doc No: 2014-09243]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2014-0253; Directorate Identifier 2013-NM-257-AD]
RIN 2120-AA64

Airworthiness Directives; The Boeing Company Airplanes

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of proposed rulemaking (NPRM).

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SUMMARY: We propose to adopt a new airworthiness directive (AD) for
certain The Boeing Company Model 747-100B SUD, 747-200B, 747-300, 747-
400, 747-400D series airplanes. This proposed AD was prompted by an
evaluation by the design approval holder (DAH) indicating that the
upper deck tension ties are subject to widespread fatigue damage (WFD).
This proposed AD would require repetitive inspections for cracking in
the upper deck tension ties, and related investigative and corrective
actions if necessary; tension tie replacement; and post-replacement
repetitive inspections for cracking in the upper deck tension ties, and
related investigative and corrective actions if necessary. We are
proposing this AD to detect and correct fatigue cracking of the upper
deck tension ties. Severed or disconnected tension ties at multiple
locations could result in rapid decompression and loss of structural
integrity of the airplane.

DATES: We must receive comments on this proposed AD by June 9, 2014.

ADDRESSES: You may send comments, using the procedures found in 14 CFR
11.43 and 11.45, by any of the following methods:
     Federal eRulemaking Portal: Go to http://www.regulations.gov. Follow the instructions for submitting comments.
     Fax:<PHONE_NUMBER>.
     Mail: U.S. Department of Transportation, Docket
Operations, M-30, West Building Ground Floor, Room W12-140, 1200 New
Jersey Avenue SE., Washington, DC 20590.
     Hand Delivery: Deliver to Mail address above between 9
a.m. and 5 p.m., Monday through Friday, except Federal holidays.
    For service information identified in this proposed AD, contact
Boeing Commercial Airplanes, Attention: Data

& Services Management, P.O. Box 3707, MC 2H-65, Seattle, WA 98124-2207;
telephone<PHONE_NUMBER>, extension 1; fax<PHONE_NUMBER>; Internet https://www.myboeingfleet.com. You may view this referenced service
information at the FAA, Transport Airplane Directorate, 1601 Lind
Avenue SW., Renton, Washington. For information on the availability of
this material at the FAA, call<PHONE_NUMBER>.

Examining the AD Docket

    You may examine the AD docket on the Internet at http://www.regulations.gov by searching for and locating Docket No. FAA-2014-
0253; or in person at the Docket Management Facility between 9 a.m. and
5 p.m., Monday through Friday, except Federal holidays. The AD docket
contains this proposed AD, the regulatory evaluation, any comments
received, and other information. The street address for the Docket
Office (phone:<PHONE_NUMBER>) is in the ADDRESSES section. Comments will
be available in the AD docket shortly after receipt.

FOR FURTHER INFORMATION CONTACT: Nathan Weigand, Aerospace Engineer,
Airframe Branch, ANM-120S, FAA, Seattle Aircraft Certification Office,
1601 Lind Avenue SW., Renton, WA 98057-3356; phone:<PHONE_NUMBER>; fax:
425-917-6590; email<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

Comments Invited

    We invite you to send any written relevant data, views, or
arguments about this proposal. Send your comments to an address listed
under the ADDRESSES section. Include ``Docket No. FAA-2014-0253;
Directorate Identifier 2013-NM-257-AD'' at the beginning of your
comments. We specifically invite comments on the overall regulatory,
economic, environmental, and energy aspects of this proposed AD. We
will consider all comments received by the closing date and may amend
this proposed AD because of those comments.
    We will post all comments we receive, without change, to http://www.regulations.gov, including any personal information you provide. We
will also post a report summarizing each substantive verbal contact we
receive about this proposed AD.

Discussion

    Structural fatigue damage is progressive. It begins as minute
cracks, and those cracks grow under the action of repeated stresses.
This can happen because of normal operational conditions and design
attributes, or because of isolated situations or incidents such as
material defects, poor fabrication quality, or corrosion pits, dings,
or scratches. Fatigue damage can occur locally, in small areas or
structural design details, or globally. Global fatigue damage is
general degradation of large areas of structure with similar structural
details and stress levels. Multiple-site damage is global damage that
occurs in a large structural element such as a single rivet line of a
lap splice joining two large skin panels. Global damage can also occur
in multiple elements such as adjacent frames or stringers. Multiple-
site-damage and multiple-element-damage cracks are typically too small
initially to be reliably detected with normal inspection methods.
Without intervention, these cracks will grow, and eventually compromise
the structural integrity of the airplane, in a condition known as WFD.
As an airplane ages, WFD will likely occur, and will certainly occur if
the airplane is operated long enough without any intervention.
    The FAA's WFD final rule (75 FR 69746, November 15, 2010) became
effective on January 14, 2011. The WFD rule requires certain actions to
prevent catastrophic failure due to WFD throughout the operational life
of certain existing transport category airplanes and all of these
airplanes that will be certificated in the future. For existing and
future airplanes subject to the WFD rule, the rule requires that design
approval holders (DAHs) establish a limit of validity (LOV) of the
engineering data that support the structural maintenance program.
Operators affected by the WFD rule may not fly an airplane beyond its
LOV, unless an extended LOV is approved.
    The WFD rule (75 FR 69746, November 15, 2010) does not require
identifying and developing maintenance actions if the DAHs can show
that such actions are not necessary to prevent WFD before the airplane
reaches the LOV. Many LOVs, however, do depend on accomplishment of
future maintenance actions. As stated in the WFD rule, any maintenance
actions necessary to reach the LOV will be mandated by airworthiness
directives through separate rulemaking actions.
    In the context of WFD, this approach is necessary to enable DAHs to
propose LOVs that allow operators the longest operational lives for
their airplanes, and still ensure that WFD will not occur. This
approach allows for an implementation strategy that provides
flexibility to DAHs in determining the timing of service information
development (with FAA approval), while providing operators with
certainty regarding the LOV applicable to their airplanes.
    The identified unsafe condition is at airplane body station
locations 880 to 1100 where the floor beams were replaced with tension
ties during airplane conversion to special freighter or Boeing
converted freighter. Tension ties have been determined to be structure
that is susceptible to WFD. WFD could cause multiple adjacent tension
ties to become severed or disconnected from the frames, which could
result in rapid decompression and loss of structural integrity of the
airplane.

Relevant Service Information

    We reviewed Boeing Alert Service Bulletin 747-53A2866, dated
December 4, 2013. For information on the procedures and compliance
times, see this service information at http://www.regulations.gov by
searching for Docket No. FAA-2014-0253.

FAA's Determination

    We are proposing this AD because we evaluated all the relevant
information and determined the unsafe condition described previously is
likely to exist or develop in other products of the same type design.

Proposed AD Requirements

    This proposed AD applies to current and future Model 747-100B SUD,
747-200B, 747-300, 747-400, 747-400D series airplanes converted to
special freighter or Boeing converted freighter configuration.
    This proposed AD would require repetitive inspections for cracking
in the upper deck tension ties, and related investigative and
corrective actions if necessary; tension tie replacement; and post-
replacement repetitive inspections for cracking in the upper deck
tension ties, and related investigative and corrective actions if
necessary; as specified in the service information identified
previously, except as discussed under ``Difference Between this
Proposed AD and the Service Information.''
    The phrase ``related investigative actions'' is used in this
proposed AD. ``Related investigative actions'' are follow-on actions
that (1) are related to the primary actions, and (2) further
investigate the nature of any condition found. Related investigative
actions in an AD could include, for example, inspections.
    The phrase ``corrective actions'' is used in this proposed AD.
``Corrective actions'' correct or address any

condition found. Corrective actions in an AD could include, for
example, repairs.
    The FAA worked in conjunction with industry, under the
Airworthiness Directives Implementation Aviation Rulemaking Committee,
to enhance the AD system. One enhancement was a new process for
annotating which steps in the service information are required for
compliance with an AD. Differentiating these steps from other tasks in
the service information is expected to improve an owner's/operator's
understanding of crucial AD requirements and help provide consistent
judgment in AD compliance. The actions specified in the service
information described previously include steps that are labeled as RC
(required for compliance) because these steps have a direct effect on
detecting, preventing, resolving, or eliminating an identified unsafe
condition.
    As noted in the specified service information, steps labeled as RC
must be done to comply with the proposed AD. However, steps that are
not labeled as RC are recommended. Those steps that are not labeled as
RC may be deviated from, done as part of other actions, or done using
accepted methods different from those identified in the service
information without obtaining approval of an alternative method of
compliance (AMOC), provided the steps labeled as RC can be done and the
airplane can be put back in a serviceable condition. Any substitutions
or changes to steps labeled as RC will require approval of an AMOC.

Difference Between This Proposed AD and the Service Information

    Boeing Alert Service Bulletin 747-53A2866, dated December 4, 2013,
specifies to contact the manufacturer for instructions on how to repair
certain conditions, but this proposed AD would require repairing those
conditions in one of the following ways:
     In accordance with a method that we approve; or
     Using data that meet the certification basis of the
airplane, and that have been approved by the Boeing Commercial
Airplanes Organization Designation Authorization (ODA) whom we have
authorized to make those findings.

Explanation of Compliance Time

    The compliance time for the modification specified in this proposed
AD for addressing WFD was established to ensure that discrepant
structure is modified before WFD develops in airplanes. Standard
inspection techniques cannot be relied on to detect WFD before it
becomes a hazard to flight. We will not grant any extensions of the
compliance time to complete any AD-mandated service bulletin related to
WFD without extensive new data that would substantiate and clearly
warrant such an extension.

Costs of Compliance

    We estimate that this proposed AD affects 76 airplanes of U.S.
registry.
    We estimate the following costs to comply with this proposed AD:

                                                 Estimated Costs
----------------------------------------------------------------------------------------------------------------
                                                                                Cost on U.S.
              Action                    Labor cost        Parts cost    Cost per product          operators
----------------------------------------------------------------------------------------------------------------
Inspections                        Up to 164 work-hours           $0  Up to $13,940 per     Up to 1,059,440 per
 (pre[dash]modification and         x $85 per hour =                   inspection cycle.     inspection cycle.
 post[dash]modification).           $13,940 per
                                    inspection cycle.
Modification.....................  366 work-hours x $85           $0  $31,110.............  $2,364,360.
                                    per hour = $31,110.
----------------------------------------------------------------------------------------------------------------

    We have received no definitive data that would enable us to provide
cost estimates for the on-condition actions specified in this proposed
AD.

Authority for This Rulemaking

    Title 49 of the United States Code specifies the FAA's authority to
issue rules on aviation safety. Subtitle I, section 106, describes the
authority of the FAA Administrator. Subtitle VII: Aviation Programs,
describes in more detail the scope of the Agency's authority.
    We are issuing this rulemaking under the authority described in
Subtitle VII, Part A, Subpart III, Section 44701: ``General
requirements.'' Under that section, Congress charges the FAA with
promoting safe flight of civil aircraft in air commerce by prescribing
regulations for practices, methods, and procedures the Administrator
finds necessary for safety in air commerce. This regulation is within
the scope of that authority because it addresses an unsafe condition
that is likely to exist or develop on products identified in this
rulemaking action.

Regulatory Findings

    We determined that this proposed AD would not have federalism
implications under Executive Order 13132. This proposed AD would not
have a substantial direct effect on the States, on the relationship
between the national Government and the States, or on the distribution
of power and responsibilities among the various levels of government.
    For the reasons discussed above, I certify this proposed
regulation:
    (1) Is not a ``significant regulatory action'' under Executive
Order 12866,
    (2) Is not a ``significant rule'' under the DOT Regulatory Policies
and Procedures (44 FR 11034, February 26, 1979),
    (3) Will not affect intrastate aviation in Alaska, and
    (4) Will not have a significant economic impact, positive or
negative, on a substantial number of small entities under the criteria
of the Regulatory Flexibility Act.

List of Subjects in 14 CFR Part 39

    Air transportation, Aircraft, Aviation safety, Incorporation by
reference, Safety.

The Proposed Amendment

    Accordingly, under the authority delegated to me by the
Administrator, the FAA proposes to amend 14 CFR part 39 as follows:

PART 39--AIRWORTHINESS DIRECTIVES

0
1. The authority citation for part 39 continues to read as follows:

    Authority: 49 U.S.C. 106(g), 40113, 44701.

Sec.  39.13  [Amended]

0
2. The FAA amends Sec.  39.13 by adding the following new airworthiness
directive (AD):

The Boeing Company: Docket No. FAA-2014-0253; Directorate Identifier
2013-NM-257-AD.

(a) Comments Due Date

    We must receive comments by June 9, 2014.

(b) Affected ADs

    None.

(c) Applicability

    This AD applies to The Boeing Company Model 747-100B SUD, 747-
200B, 747-300, 747-400, and 747-400D series airplanes, certificated
in any category, as identified in Boeing Alert Service Bulletin 747-
53A2866, dated December 4, 2013.

(d) Subject

    Air Transport Association (ATA) of America Code 53, Fuselage.

(e) Unsafe Condition

    This AD was prompted by an evaluation by the design approval
holder (DAH) indicating that the upper deck tension ties are subject
to widespread fatigue damage (WFD). We are issuing this AD to detect
and correct fatigue cracking of the upper deck tension ties. Severed
or disconnected tension ties at multiple locations could result in
rapid decompression and loss of structural integrity of the
airplane.

(f) Compliance

    Comply with this AD within the compliance times specified,
unless already done.

(g) Inspections, Related Investigative Actions, and Corrective Actions

    For airplanes identified as Group 1, Configuration 2; and Group
2; in Boeing Alert Service Bulletin 747-53A2866, dated December 4,
2013: Before the accumulation of 10,000 flight cycles after
conversion to special freighter or Boeing converted freighter
configuration, or within 2,000 flight cycles after the effective
date of this AD, whichever occurs later, do the actions specified in
paragraph (g)(1) or (g)(2) of this AD, and do all applicable related
investigative and corrective actions, in accordance with the
Accomplishment Instructions of Boeing Alert Service Bulletin 747-
53A2866, dated December 4, 2013, except as provided by paragraph (h)
of this AD. Do all applicable related investigative and corrective
actions before further flight. Repeat the inspection of the forward
and aft tension tie channels thereafter at the applicable time and
intervals specified in paragraph 1.E., ``Compliance,'' of Boeing
Alert Service Bulletin 747-53A2866, dated December 4, 2013.
    (1) At each tension tie station from 880 to 1100: Do a detailed
inspection for cracks in the forward and aft tension tie channels.
    (2) At each tension tie station from 880 to 1100: Do a detailed
inspection for cracks in the forward and aft tension tie channels,
and do a surface high frequency eddy current (HFEC) inspection for
cracks around fasteners in the tension tie channels.

(h) Exceptions to Service Information Specifications

    If, during accomplishment of the related investigative action or
inspections required by this AD, any cracking is found, and Boeing
Alert Service Bulletin 747-53A2866, dated December 4, 2013,
specifies to contact Boeing for repair instructions: Before further
flight, do the repair using a method approved in accordance with the
procedures specified in paragraph (k) of this AD.

(i) Tension Tie Replacement

    After the accumulation of 13,000 total flight cycles; but before
the accumulation of 22,000 flight cycles after conversion to special
freighter or Boeing converted freighter configuration, or within
2,000 flight cycles after the effective date of this AD, whichever
occurs later: Do the tension tie replacement, in accordance with the
Accomplishment Instructions of Boeing Alert Service Bulletin 747-
53A2866, dated December 4, 2013, except as provided by paragraph (h)
of this AD. Accomplishment of the actions required by this paragraph
terminates the inspection requirements of paragraph (g) of this AD.

(j) Post-tension Tie Replacement Inspections, Related Investigative
Actions, and Corrective Actions

    After accomplishing the actions required by paragraph (i) of
this AD: At the applicable time specified in paragraph 1.E.,
``Compliance,'' of Boeing Alert Service Bulletin 747-53A2866, dated
December 4, 2013, do the actions specified in paragraph (j)(1) or
(j)(2) of this AD; and do all applicable related investigative and
corrective actions; in accordance with the Accomplishment
Instructions of Boeing Alert Service Bulletin 747-53A2866, dated
December 4, 2013, except as provided by paragraph (h) of this AD. Do
all applicable related investigative and corrective actions before
further flight. Repeat the applicable inspection of the forward and
aft tension tie channels thereafter at the applicable time and
intervals specified in paragraph 1.E., ``Compliance,'' of Boeing
Alert Service Bulletin 747-53A2866, dated December 4, 2013.
    (1) At each tension tie station from 880 to 1100: Do a detailed
inspection for cracks in the forward and aft tension tie channels.
    (2) At each tension tie station from 880 to 1100: Do a detailed
inspection for cracks in the forward and aft tension tie channels,
and do a surface HFEC inspection for cracks around fasteners in the
tension tie channels.

(k) Alternative Methods of Compliance (AMOCs)

    (1) The Manager, Seattle Aircraft Certification Office (ACO),
FAA, has the authority to approve AMOCs for this AD, if requested
using the procedures found in 14 CFR 39.19. In accordance with 14
CFR 39.19, send your request to your principal inspector or local
Flight Standards District Office, as appropriate. If sending
information directly to the manager of the ACO, send it to the
attention of the person identified in the paragraph (l)(1) of this
AD. Information may be emailed to<EMAIL_ADDRESS>    (2) Before using any approved AMOC, notify your appropriate
principal inspector, or lacking a principal inspector, the manager
of the local flight standards district office/certificate holding
district office.
    (3) An AMOC that provides an acceptable level of safety may be
used for any repair required by this AD if it is approved by the
Boeing Commercial Airplanes Organization Designation Authorization
(ODA) that has been authorized by the Manager, Seattle ACO to make
those findings. For a repair method to be approved, the repair must
meet the certification basis of the airplane, and the approval must
specifically refer to this AD.
    (4) If the service information contains steps that are labeled
as RC (Required for Compliance), those steps must be done to comply
with this AD; any steps that are not labeled as RC are recommended.
Those steps that are not labeled as RC may be deviated from, done as
part of other actions, or done using accepted methods different from
those identified in the specified service information without
obtaining approval of an AMOC, provided the steps labeled as RC can
be done and the airplane can be put back in a serviceable condition.
Any substitutions or changes to steps labeled as RC require approval
of an AMOC.

(l) Related Information

    (1) For more information about this AD, contact Nathan Weigand,
Aerospace Engineer, Airframe Branch, ANM-120S, FAA, Seattle Aircraft
Certification Office, 1601 Lind Avenue SW., Renton, WA 98057-3356;
phone:<PHONE_NUMBER>; fax:<PHONE_NUMBER>; email:
<EMAIL_ADDRESS>    (2) For service information identified in this AD, contact
Boeing Commercial Airplanes, Attention: Data & Services Management,
P.O. Box 3707, MC 2H-65, Seattle, WA 98124-2207; telephone 206-544-
5000, extension 1; fax<PHONE_NUMBER>; Internet https://www.myboeingfleet.com. You may view this referenced service
information at the FAA, Transport Airplane Directorate, 1601 Lind
Avenue SW., Renton, Washington. For information on the availability
of this material at the FAA, call<PHONE_NUMBER>.

    Issued in Renton, Washington, on April 14, 2014.
Jeffrey E. Duven,
Manager, Transport Airplane Directorate, Aircraft Certification
Service.
[FR Doc. 2014-09243 Filed 4-22-14; 8:45 am]
BILLING CODE 4910-13-P


UNITED STATES OF AMERICA

DEPARTMENT OF TRANSPORTATION

OFFICE OF THE SECRETARY

WASHINGTON, DC

Issued by the Department of Transportation on April 21, 2006

   NOTICE OF ACTION TAKEN -- DOCKET OST-2002-12131

________________________________________________________________________
_________________________________

This serves as notice to the public of the action described below, taken
by the Department official indicated (no additional confirming order
will be issued in this matter).

Application of    Evergreen International Airlines, Inc.
 filed   3/4/2004  for:

XX Exemption for two years under 49 U.S.C. 40109 to provide the
following service:

Scheduled foreign air transportation of property and mail from points in
the United States via intermediate points to points in Colombia, and
beyond to points in the Western Hemisphere.  Evergreen also seeks to
integrate this authority with its existing certificate and exemption
authority.

Applicant rep:  William C. Evans<PHONE_NUMBER>    DOT Analyst:   Gerald
Caolo<PHONE_NUMBER>

D I S P O S I T I O N

XX  Granted, in part (subject to conditions, see below)

XX  Dismissed, in part (request for route integration authority)

The above action was effective when taken:  April 21, 2006, through
April 21, 2008

Action taken by:   Paul L. Gretch, Director

		    Office of International Aviation

XX  The authority granted is consistent with the U.S.-Colombia Air
Transport Agreement.

Except to the extent exempted or waived, this authority is subject to
the terms, conditions, and limitations indicated:  XX Holder’s
certificates of public convenience and necessity

	   XX  Standard exemption conditions (attached)

________________________

Remarks:  The authority for which Evergreen requested renewal expired
May 13, 2004, but was kept in force pursuant to the provisions of the
Administrative Procedure Act, 5 U.S.C. 558(c), as implemented by 14 CFR
Part 377, pending action on its timely-filed renewal application.

The authority granted to serve intermediate and beyond points is limited
to countries with which the United States has signed open-skies
agreements and/or countries for which the carrier holds authority to
serve under certificates or exemptions issued by the Department.

________________________________________________________________________
______________

On the basis of data officially noticeable under Rule 24(g) of the
Department's regulations, we found the applicant qualified to provide
the services authorized.

Under authority assigned by the Department in its regulations, 14 CFR
Part 385, we found that (1) our action was consistent with Department
policy; (2) grant of the exemption authority was consistent with the
public interest; and (3) grant of the authority would not constitute a
major regulatory action under the Energy Policy and Conservation Act of
1975.  To the extent not granted, we denied all requests in the
referenced Docket.  We may amend, modify, or revoke the authority
granted in this Notice at any time without hearing at our discretion.

Persons entitled to petition the Department for review of the action set
forth in this Notice under the Department’s regulations, 14 CFR
§385.30, may file their petitions within seven (7) days after the date
of issuance of this Notice.  This action was effective when taken, and
the filing of a petition for review will not alter such effectiveness.

An electronic version of this document is available on the World Wide
Web at:

  HYPERLINK "http://dms.dot.gov//reports/reports_aviation.asp"
http://dms.dot.gov//reports/reports_aviation.asp

U.S. Carrier Exemption Conditions

In the conduct of the operations authorized, the U.S. carrier
applicant(s) shall:

(1)  Hold at all times effective operating authority from the government
of each country served;

(2)  Comply with applicable requirements concerning oversales contained
in 14 CFR 250 (for scheduled operations, if authorized);

(3)  Comply with the requirements for reporting data contained in 14 CFR
241;

(4)  Comply with requirements for minimum insurance coverage, and for
certifying that coverage to the Department, contained in 14 CFR 205;

(5)  Except as specifically exempted or otherwise provided for in a
Department Order, comply with the requirements of 14 CFR 203, concerning
waiver of Warsaw Convention liability limits and defenses;

(6)  Comply with all applicable requirements of the Federal Aviation
Administration and with all applicable U.S. Government requirements
concerning security, including, but not limited to, 49 CFR Part 1544.
To assure compliance with all applicable U.S. Government requirements
concerning security, the holder shall, before commencing any new service
(including charter flights) to or from a foreign airport, contact its
International Principal Security Inspector (IPSI) to advise the IPSI of
its plans and to find out whether the Transportation Security
Administration has determined that security is adequate to allow such
airport(s) to be served; and

(7)  Comply with such other reasonable terms, conditions, and
limitations required by the public interest as may be prescribed by the
Department of Transportation, with all applicable orders and regulations
of other U.S. agencies and courts, and with all applicable laws of the
United States.

The authority granted shall be effective only during the period when the
holder is in compliance with the conditions imposed above.

05/2004

 The carrier’s request for route integration authority has been
superseded by Order 2006-1-1, where the Department awarded the carrier a
blanket route integration certificate.

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