Decision No. 18-A-2013

Delta Air Lines, Inc. carrying on business as Delta Air Lines, Delta and Delta Shuttle (Delta), on behalf of itself and Société Air France carrying on business as Air France (Air France), has applied to the Canadian Transportation Agency (Agency) for an approval to permit Delta to provide its scheduled international service between the United States of America and France and other countries beyond Canada by selling transportation in its own name on flights operated by Air France between each of Toronto, Ontario and Montréal, Quebec, Canada and Paris, France and other points beyond, and to exercise fifth freedom traffic rights between the two Canadian points and Paris and other points beyond, for an indefinite period.

Delta has also requested an exemption from the application of subsection 8.2(2) of the Air Transportation Regulations (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 Canada Transportation Act (CTA), exempts Delta from the application of subsection 8.2(2) of the ATR.

Delta is licensed to operate a scheduled international service in accordance with the Air Transport Agreement between the Government of Canada and the Government of the United States of America signed on March 12, 2007 (Agreement).

Under the terms of the Agreement, code sharing between designated airlines and third-country carriers is permitted, including the exercise of fifth freedom rights between points in Canada and points beyond.

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 Delta of aircraft and flight crew provided by Air France, and the provision by Air France of such aircraft and flight crew to Delta, to permit Delta to provide its scheduled international service on licensed routes between the United States of America and France and other points beyond Canada by selling transportation in its own name on flights operated by Air France between Montréal and Paris and other points beyond and between Toronto and Paris and other points beyond, for an indefinite period, from the date of this Decision.

This approval is subject to the following conditions:

1. Delta shall continue to hold the valid licence authority.
2. Delta 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 and Air France 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. Delta shall continue to comply with the public disclosure requirements set out in section 8.5 of the ATR.
6. Delta and Air France 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. This approval does not apply to the carriage of cargo.