PUBLIC NOTICE FEDERAL COMMUNICATIONS COMMISSION 445 12th STREET S.W. WASHINGTON D.C. 20554 News media information 202-418-0500 Fax-On-Demand 202-418-2830; Internet: http://www.fcc.gov (or ftp.fcc.gov) TTY (202) 418-2555 DA No. 07-3293 Wednesday July 18, 2007SCL-00034 Report No. Section 1.767(a) Cable Landing Licenses, Modifications, and Assignments or Transfers of Control of Interests in Cable Landing Licenses (47 C.F.R. § 1.767(a)) ACTIONS TAKEN UNDER CABLE LANDING LICENSE ACT By the Chief, Policy Division, International Bureau: Pursuant to An Act Relating to the Landing and Operation of Submarine Cables in the United States, 47 U.S.C. §§ 34-39 (Cable Landing License Act), Executive Order No. 10530, Exec. Ord. No. 10530 reprinted as amended in 3 U.S.C. § 301, and section 1.767 of the Commission's rules, 47 C.F.R. § 1.767, the following applications ARE GRANTED. These grants of authority are taken under section 0.261 of the Commission's rules, 47 C.F.R. § 0.261. Petitions for reconsideration under section 1.106 or applications for review under section 1.115 of the Commission's rules, 47 C.F.R. §§ 1.106, 1.115, may be filed within 30 days of the date of this public notice. This public notice serves as each cable landing licensee's Cable Landing License, or modification thereto, pursuant to the Cable Landing License Act and sections 1.767 and 1.768 of the Commission's rules. Cable landing licensees should review carefully the terms and conditions of their licenses. Failure to comply with these terms and conditions or relevant Commission rules and policies could result in fines or forfeitures. The Commission most recently amended its rules applicable to submarine cable landing licenses in Review of Commission Consideration of Applications under the Cable Landing License Act, IB Docket No. 00-106, FCC 01-332, 16 FCC Rcd 22167 (2001), 67 Fed. Reg. 1615 (Jan. 14, 2002). An updated version of sections 1.767 and 1.768 of the rules is available at http://www.fcc.gov/ib/pd/pf/telecomrules.html. See also http://hraunfoss.fcc.gov/edocs_public/attachmatch/DA-02-598A1.pdf for a March 13, 2002 Public Notice; http://hraunfoss.fcc.gov/edocs_public/attachmatch/FCC-01-332A1.pdf for the December 14, 2001 Report and Order. Page 1 of 2 SCL-LIC-20070223-00003 E Date of Action: 07/17/2007 Acceptability for Filing Public Notice: See Paniolo Cable Company, LLC, Application for a License to Land and Operate a Fiber-Optic Submarine Cable System linking the Hawaiian Islands of Kauai, Oahu, Molokai, Maui, and Hawaii -- the Paniolo Fiber-Optic Cable, File No. SCL-LIC-20070223-00003, Public Notice, Streamlined Submarine Cable Landing License Applications Accepted for Filing, Report No. SCL-00030S (Int'l Bur., June 4, 2007). No opposition or other comments were filed in response to Public Notice of the Application. Coordination with the Department of State and other Executive Branch agencies has been accomplished pursuant to section 1.767(b) of the Commission's rules, 47 C.F.R § 1.767(b), and procedures established with the State Department. See Review of Commission Consideration of Applications under the Cable Landing License Act, IB Docket No. 00-106, Report and Order, 16 FCC Rcd 22167 (2001) (Submarine Cable Licensing Report and Order); Streamlined Procedures for Executive Branch Review of Submarine Cable Landing License Requests, Media Note (Revised) (rel. Dec. 20, 2001) available at http://www.state.gov/r/pa/prs/ps/2001/6951.htm Actions Taken: Grant of Cable Landing License for the Paniolo Cable Company, LLC to land and operate the Paniolo Fiber-Optic Cable, a non-common carrier fiber-optic submarine cable system extending among the Hawaiian islands of Kauai, Oahu, Molokai, Maui, and Hawaii. See Application for Cable Landing License, File No. SCL-LIC-20070223-00003 (Application). Licensee Information: Paniolo Cable Company, LLC (Paniolo) is a Delaware limited liability company headquartered in Denver, Colorado. Waybill Management Group, LLC (Waybill) is the manager and sole owner of Paniolo. The equity owners of Waybill are Mustang Investment Holdings, LLC (Mustang Holdings) (10%), Mustang Capital Partners, LLC (45%), and BJK LLC (45%). Waybill is managed by Mustang Holdings, which is 88% owned and managed by Mr. Parker Brophy and 10% owned by Mrs. Susan Brophy. The equity interests in Mustang Capital Partners are held by Mr. Brophy (90%) and Mustang Holdings (10%). Through his ownership interests, Mr. Brophy effectively controls Paniolo. Cable System Description: The Paniolo Fiber-Optic Cable (PFOC) will consist of 300 miles of submarine fiber-optic cables divided into four segments: (1) Kekaha, Kauai to Makaha, Oahu; (2) Hawaii Kai, Oahu to Kaunakakai, Molokai; (3) Kaunakakai, Molokai to Lahaina, Maui; and (4) Makena, Maui to Kawaihae, Hawaii. The PFOC will have seven landing stations, located in: (1) Kekaha, Kauai, (2) Makaha, Oahu, (3) Hawaii Kai, Oahu, (4) Kaunakakai, Molokai, (5) Lahaina, Maui, (6) Makena, Maui, and (7) Kawaihae, Hawaii. Paniolo will own and have control of the cable and all landing station equipment and functions relating to the PFOC cable. Paniolo will lease the PFOC solely to Sandwich Isles Communications, Inc. (SIC). Paniolo will have full ownership and control of the conduits and fiber optic cable passing through these conduits across the inter-island route of the PFOC through the beach manholes to the demarcation buildings. Although SIC will be responsible for all maintenance services, they will be done at the direction and approval of Paniolo. Cable Design and Capacity: The cable network system will consist of high capacity, digital fiber-optic submarine cable operating at an OC-48 line rate and higher. This system will provide a capacity of 2.5 gigabits, which equates to an initial configuration of approximately 48 DS-3 or 1344 DS-1 channels. Initial engineering will provide OC-3, OC-12 and Gigabit Ethernet drop capacity on all of the routes. See Application at 3. Regulatory Status of Cable: Paniolo will operate the PFOC on a non-common-carrier basis. Paniolo will lease the PFOC solely to Sandwich Isles Communications, Inc. See Application at 6. Conditions and Requirements: Paniolo shall comply with the routine conditions set out in section 1.767(g)(1)-(14) of the Commission's rules. See 47 C.F.R. § 1.767(g)(1)-(14). Grant of Authority Submarine Cable Landing License Paniolo Cable Company, LLC Page 2 of 2