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MESA AIR GROUP, INC. v. DEPARTMENT OF TRANSP.

Nos. 96-1017, 96-1131, 96-1154 and 96-1189.

87 F.3d 498 (1996)

MESA AIR GROUP, INC., f/k/a Mesa Airlines, Inc. and WestAir Commuter Airlines, Inc., Petitioners, v. DEPARTMENT OF TRANSPORTATION and Federico F. Peña, Secretary of Transportation, Respondents.

United States Court of Appeals, District of Columbia Circuit.

Decided July 2, 1996.

Attorney(s) appearing for the Case

Kirk K. Van Tine, Washington, DC, argued the cause for petitioners, with whom V. Michael Straus, was on the briefs.

Paul S. Smith, Senior Trial Attorney, United States Department of Transportation, Washington, DC, argued the cause for respondents, with whom Nancy E. McFadden, General Counsel, Paul M. Geier, Assistant General Counsel, Dale C. Andrews, Deputy Assistant General Counsel and Anne K. Bingaman, Assistant Attorney General, United States Department of Justice, and Robert B. Nicholson and David Seidman, Attorneys, were on the brief.

Before: WALD, BUCKLEY and SENTELLE, Circuit Judges.

Opinion for the court filed by Circuit Judge SENTELLE.

Opinion concurring in part and dissenting in part filed by Circuit Judge WALD.

SENTELLE, Circuit Judge:

Petitioners seek review of orders of the Department of Transportation requiring them to continue to provide air service under certain subsidy agreements even though the Department has unilaterally reduced the subsidies payable under those agreements. Because we conclude that (1) the subsidy agreements...

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