FAA Proposes $60,000 Fine Against American Eagle Airlines, Inc.

CHICAGO, IL (April 18, 2001) The Federal Aviation Administration
has proposed a $60,000 civil penalty against American Eagle
Airlines, Inc., Dallas, Texas, for allegedly violating U.S.
Department of Transportation hazardous materials regulations.

The FAA alleges American Eagle knowingly offered Federal
Express a one piece shipment containing hazardous materials for
transportation by air from Chicago, Illinois, to Gwinn, Michigan.

The shipment was leaking when it arrived at the Federal Express
sort facility at Minneapolis-St. Paul International Airport in
Minneapolis, Minnesota. It contained 22 nickel-cadmium aircraft
batteries. The box did not contain any absorbent or cushioning
materials. The poles on only one battery were protected from
short circuits by a thin layer of clear tape. Each battery was
tagged with an American Eagle “condemned” parts message.

American Eagle offered the hazardous materials for transportation
when they were not packaged, labeled, marked, classed,
described, documented, or in condition for shipment as required
by regulations. In addition, American Eagle failed to instruct each
employee having responsibility for the shipment of the appropriate
regulations, and the company failed to make emergency response
information available for use at all times the hazardous materials
were present.

This announcement of the proposed civil penalty is in accordance
with FAA’s policy of releasing information to the public on newly
issued enforcement actions in cases that involve penalties of
$50,000 or more.