Decision No. 15-A-2017

Delta, on behalf of itself, Delta Connection and China Southern, has applied to the Canadian Transportation Agency (Agency) for an approval to permit China Southern to provide its scheduled international service between China and Canada, and beyond Canada to the United States of America, by selling transportation in its own name on flights operated by Delta and Delta Connection between each of the following cities: Vancouver, British Columbia, Toronto, Ontario and Montreal, Quebec, Canada and each of the following cities: Minneapolis-St. Paul, Minnesota, Salt Lake City, Utah and New York, New York, United States of America, for an indefinite period.

Delta has also requested an exemption from the application of subsection 8.2(2) of the ATR, which requires the filing of an application for an approval at least 45 days before the first planned flight. The Agency finds that compliance with subsection 8.2(2) of the ATR is impractical in this case. Accordingly, the Agency, pursuant to paragraph 80(1)(c) of the CTA, exempts Delta from the application of subsection 8.2(2) of the ATR.

China Southern is licensed to operate a scheduled international service in accordance with the Agreement between the Government of Canada and the Government of the People’s Republic of China on Air Transport signed on September 9, 2005.

The Agency has 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 China Southern of aircraft with flight crew provided by Delta and Delta Connection, and the provision by Delta and Delta Connection of such aircraft and flight crew to China Southern, to permit China Southern to provide its scheduled international service on licensed routes between China and Canada, and beyond Canada to the United States of America, by selling transportation in its own name on flights operated by Delta and Delta Connection between each of the following cities: Vancouver, Toronto and Montreal and each of the following cities: Minneapolis-St. Paul, Salt Lake City and New York, for an indefinite period from the date of this Decision.

This approval is subject to the following conditions:

1. China Southern shall continue to hold the valid licence authority.
2. China Southern shall apply its published tariffs, in effect, to the carriage of its 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 service approved shall only be provided as long as a code-sharing agreement providing for such service remains in effect.
4. Delta, Delta Connection and China Southern 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. China Southern shall continue to comply with the public disclosure requirements set out in section 8.5 of the ATR.
6. Delta, Delta Connection and China Southern 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.