Order No. 1990-A-131

April 18, 1990

April 18, 1990

IN THE MATTER OF a review, pursuant to section 41 of the National Transportation Act, 1987, R.S.C., 1985, c. 28 (3rd Supp.), of the National Transportation Agency's January 30, 1990 letter, which denied Air Atonabee Limited carrying on business as City Express - Cité Express' application for approval of a code-sharing program.

File No. M4895-C87-1/2
Docket No. 90243R


WHEREAS by letter dated January 4, 1990, Air Atonabee Limited carrying on business as City Express - Cité Express (hereinafter City Express), applied for approval of a code-sharing program with Continental Airlines Inc. doing business as Continental Airlines (hereinafter Continental Airlines) and for amendment of its scheduled international licences to serve Toronto Island Airport and Newark, and Montreal and Newark respectively, to provide that the licences shall be in the name of Air Atonabee Limited carrying on business as City Express - Cité Express and/or Continental Express;

AND WHEREAS by letter dated January 30, 1990, the Agency denied the January 4, 1990 application as set out above;

AND WHEREAS by letter dated March 20, 1990, City Express has applied, pursuant to section 41 of the National Transportation Act, 1987 (hereinafter the NTA, 1987), for a review of the Agency's Decision to deny the application for approval of a code-sharing program with Continental Airlines as set out above, on the basis that the Minister's letter of March 15, 1990 has resulted in a change in the facts or circumstances pertaining to the January 30, 1990 letter - decision of the Agency;

AND WHEREAS by letter dated March 15, 1990, the Minister of Transport advised the Agency that he had provided the necessary authority to Continental Airlines to operate a transborder air service between Toronto Island Airport and Newark, including connecting services via Toronto Island Airport, from Ottawa and Montreal, by way of a code-sharing program with City Express;

AND WHEREAS the authority now granted to Continental Airlines satisfies the requirement that both carriers hold authority for the services to be offered under a code-sharing program, and constitutes a new fact which alters the circumstances surrounding the Agency's January 30, 1990 letter - decision;

AND WHEREAS the Agency has noted that the Experimental Transborder Air Services Programme has expired, and that City Express' licence for service between Mirabel and Newark under that program is no longer valid;

AND WHEREAS by Licence No. 880752, City Express is authorized to operate an international scheduled service between Toronto Island Airport and Newark, New Jersey and by Licence No. 880261, a domestic service serving the points Toronto, Peterborough, Ottawa and Montreal;

AND WHEREAS the Agency has reviewed the application of City Express for approval of a code-sharing program with Continental Airlines in light of the new facts.

NOW THEREFORE, IT IS ORDERED THAT:

The proposed code-sharing program is approved for a period of twenty-four (24) months from the date of this Order, subject to the following conditions:

  1. City Express is authorized, in operating the services set out in Licence Nos. 880752 and 880261, to use the designator code of Continental Airlines (CO) and to use the name Continental Express for the promotion and sale of transborder transportation having a point of origin or destination in the United States, on services between Toronto Island Airport and Newark, New Jersey, as well as on connecting services between Ottawa and Montreal and Newark, New Jersey, via Toronto Island Airport.
  2. Transportation solely between points in Canada using the Continental Express name or CO code is prohibited.
  3. Full disclosure is required in computer reservations and elsewhere of the identity of City Express as the carrier operating the service.
  4. The authority granted by this Order is contingent upon the continuation of the code-sharing agreement between Continental Airlines and City Express and will expire twenty-four (24) months from the date of this Order.

This Order shall form part of Licence Nos. 880752 and 880261 and shall remain affixed thereto as long as the said Order is in force.

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