Decision No. 10-A-2009

January 13, 2009

File No. M4835-5-7

Air Transat A.T. Inc. carrying on business as Air Transat (Air Transat), on behalf of itself and Thomas Cook Airlines Limited (Thomas Cook), has applied to the Canadian Transportation Agency (the Agency) for the approval set out in the title. The application was complete on January 8, 2009.

The Agency notes that this application is a renewal of the approval granted by Decision No. 113-A-2008 dated March 13, 2008.

Under Licence No. 000035, Air Transat is authorized to operate a scheduled international service in accordance with the Agreement between the Government of Canada and the Government of the United Kingdom of Great Britain and Northern Ireland concerning Air Services signed on June 22, 1988 (the Agreement).

Under the terms of the Agreement, code sharing between designated airlines and third-country carriers is permitted. That is, while providing services between Canada and the United Kingdom, the designated airlines may code share on each other's flights, or on flights operated by a carrier of a third country.

The Agency notes that the application was filed less than 45 days before the first planned flight, as required by subsection 8.2(2) of the Air Transportation Regulations (the ATR), and therefore an exemption from the application of this provision is necessary. The Agency is of the opinion that compliance with subsection 8.2(2) of the ATR is impractical in this case. Accordingly, pursuant to paragraph 80(l)(c) of the Canada Transportation Act (the CTA), the Agency orders that Air Transat be exempt from the application of subsection 8.2(2) of the ATR.

The Agency has reviewed and considered the application and the material in support and is satisfied that it meets the remaining requirements of section 8.2 of the ATR.

Accordingly, the Agency, pursuant to paragraph 60(1)(b) of the CTA and section 8.2 of the ATR, approves the use by Air Transat of aircraft and flight crew provided by Thomas Cook, and the provision by Thomas Cook of such aircraft and flight crew to Air Transat, to permit Air Transat to provide its scheduled international service on licensed routes between Canada and the United Kingdom by selling transportation in its own name on flights operated by Thomas Cook between the United Kingdom and Canada, from January 14, 2009 to October 31, 2009, subject to the following conditions:

1. Air Transat shall continue to hold the required licence authority.
2. Air Transat shall apply its published tariffs, in effect, to the carriage of its traffic. In particular, nothing in any commercial agreement between the air carriers relating to limits of liability shall diminish the rights of passengers as stated in such tariffs.
3. The air service approved shall only be provided as long as a code-sharing agreement providing for such services remains in effect.

Air Transat and Thomas Cook are reminded of the continuing requirement to comply with sections 8.2 and 8.5 of the ATR.

Air Transat and Thomas Cook are further reminded to provide the Agency with a copy of any new agreement or amendments to their commercial agreement, including any new or amended annex, without delay.

The approval granted does not exempt Air Transat and Thomas Cook from the requirements of other legislative acts or regulations, including those of Transport Canada.

Members

• J. Mark MacKeigan
• Jean-Denis Pelletier, ing./P. Eng.