Decision No. 13-A-2016

Air Canada, on behalf of itself and Turkish Airlines, has applied to the Canadian Transportation Agency (Agency) for approvals to permit:

1. Air Canada to provide its scheduled international service between Canada and Turkey by selling transportation in its own name on flights operated by Turkish Airlines between Canada and Turkey and between points in Turkey;
2. Turkish Airlines to provide its scheduled international service between Turkey and Canada by selling transportation in its own name on flights operated by Air Canada between Turkey and Canada; and by selling transportation in its own name on flights operated by Air Canada, Jazz Aviation LP, as represented by its general partner, Aviation General Partner Inc. carrying on business as Air Canada Jazz and Jazz (Jazz), and Sky Regional Airlines Inc. carrying on business as Sky Regional and Air Canada Express (Sky Regional) between points in Canada; and
3. Turkish Airlines to provide its scheduled international service between Turkey and the United States of America via Canada by selling transportation in its own name on flights operated by Air Canada, Jazz, Sky Regional and Air Georgian Limited carrying on business as Air Canada Express (Air Georgian) between Canada and the United States of America.

These approvals are requested for an indefinite period beginning on March 27, 2016.

Air Canada is licensed to operate a scheduled international service, large aircraft, in accordance with the Agreement between the Government of Canada and the Government of the Republic of Turkey on Air Transport initialed ad referendum on March 13, 2009 (Agreement).

Turkish Airlines is licensed to operate a scheduled international service in accordance with the Agreement.

The Agency has considered the application and the material in support and is satisfied that it meets the 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:

1. Air Canada of aircraft with flight crew provided by Turkish Airlines, and the provision by Turkish Airlines of such aircraft and flight crew to Air Canada, to permit Air Canada to provide its scheduled international service on licensed routes between Canada and Turkey by selling transportation in its own name on flights operated by Turkish Airlines between Canada and Turkey and between points in Turkey;
2. Turkish Airlines of aircraft with flight crew provided by Air Canada, Jazz and Sky Regional, and the provision by Air Canada, Jazz and Sky Regional of such aircraft and flight crew to Turkish Airlines, to permit Turkish Airlines to provide its scheduled international service on licensed routes between Turkey and Canada by selling transportation in its own name on flights operated by Air Canada between Turkey and Canada; and by selling transportation in its own name on flights operated by Air Canada, Jazz and Sky Regional between points in Canada; and
3. Turkish Airlines of aircraft with flight crew provided by Air Canada, Jazz, Sky Regional and Air Georgian, and the provision by Air Canada, Jazz, Sky Regional and Air Georgian of such aircraft and flight crew to Turkish Airlines, to permit Turkish Airlines to provide its scheduled international service between Turkey and the United States of America via Canada by selling transportation in its own name on flights operated by Air Canada, Jazz, Sky Regional and Air Georgian between Canada and the United States of America.

These approvals are granted for an indefinite period from March 27, 2016, and are subject to the following conditions:

1. Air Canada and Turkish Airlines shall continue to hold the valid licence authorities.
2. Air Canada and Turkish Airlines shall apply their published tariffs, in effect, to the carriage of their traffic. 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 services approved shall only be provided as long as a code-sharing agreement providing for such services remains in effect.
4. Air Canada, Jazz, Sky Regional, Air Georgian and Turkish Airlines shall continue to comply with the insurance requirements set out in subsections 8.2(4), 8.2(5) and 8.2(6) of the ATR.
5. Air Canada and Turkish Airlines shall continue to comply with the public disclosure requirements set out in section 8.5 of the ATR.
6. Air Canada and Turkish Airlines shall provide the Agency with a copy of any new agreement or amendments to their code-sharing agreement, including any new or amended annex, without delay.
7. Air transportation using Turkish Airlines’ code on flights operated by Air Canada, Jazz and Sky Regional between points in Canada shall not be sold separately and shall only be available to traffic carried on a continuous journey under Turkish Airlines’ code between Turkey and Canada. No local traffic may be carried under Turkish Airlines’ code between points in Canada.
8. Air transportation using Turkish Airlines’ code on flights operated by Air Canada, Jazz, Sky Regional and Air Georgian between Canada and the United States of America shall not be sold separately and shall only be available to traffic carried on a continuous journey under Turkish Airlines’ code between Turkey and the United States of America. No local traffic may be carried under Turkish Airlines’ code between Canada and the United States of America.
9. These approvals do not apply to the carriage of cargo.