Order No. 2004-A-42

January 20, 2004

File No. M4210/S496-4-3

Under Licence No. 040001, Skyservice Airlines Inc. carrying on business as Skyservice (hereinafter Skyservice) is authorized to operate a scheduled international service, large aircraft, to transport traffic between points in Canada and points in the Dominican Republic.

On November 28, 2003, Skyservice applied to the Canadian Transportation Agency (hereinafter the Agency) for an exemption from the application of paragraph 18(c) of the Air Transportation Regulations, SOR/88-58, as amended (hereinafter the ATR), in order to permit Skyservice to operate aircraft bearing a different logo and style in addition to its own while operating its scheduled service between Canada and the Dominican Republic.

Paragraph 18(c) of the ATR provides that:

the licensee shall not operate an international service, or represent by advertisement or otherwise the licensee as operating such a service, under a name other than that specified in the licence.

By Order No. 2002-A-406 dated October 4, 2002, Skyservice was granted an exemption from paragraph 18(c) of the ATR in order that it could display the name "Conquest" on the tail of the aircraft in lettering of similar size as the name "Skyservice" while operating its non-scheduled international service under Licence No. 977397.

By Order No. 2003-A-4 dated January 7, 2003 and amended by Decision No. 705-A-2003 dated December 19, 2003, Skyservice was granted an exemption from paragraph 18(c) of the ATR in order that it could display the name "Signature" on the back half of the side of the aircraft in smaller letters than the name "Skyservice" as well as Signature's internet address while operating its non-scheduled international service under Licence No. 977397.

By Order No. 2003-A-321 dated May 28, 2003 and amended by Decision No. 726-A-2003 dated December 31, 2003, Skyservice was granted an exemption from paragraph 18(c) of the ATR in order that it could display the name "Sunquest" on the back half of the aircraft in smaller letters than the name "Skyservice" as well as the slogan "Simply the best" while operating its non-scheduled international service under Licence No. 977397.

Skyservice has requested that the authority granted by the above-referenced Orders and Decisions be extended to include the operation of its international scheduled service between Canada and the Dominican Republic.

The Agency has carefully considered Skyservice's application.

The Agency recognizes Skyservice's need to use its aircraft as a means to provide advertisement for its business partners. However, such advertisement should not be done in a manner that could create confusion in the travelling public's mind as to which carrier is operating the air service.

After consideration, the Agency finds that compliance with paragraph 18(c) of the ATR by Skyservice is impractical in this case. Accordingly, pursuant to paragraph 80(1)(c) of the Canada Transportation Act, S.C., 1996, c. 10, the Agency hereby exempts Skyservice from the application of paragraph 18(c) of the ATR to permit Skyservice to operate its scheduled international service between Canada and the Dominican Republic using aircraft displaying the name "Conquest"; the name and internet address of "Signature"; and the name and internet address of "Sunquest" as well as the slogan "Simply the best" subject to the following conditions:

1. The names of "Conquest", "quot;, ", "quot;Signature" and "Sunquest" as well as the internet addresses and the slogan "Simply the best" should not be displayed in larger letters than the name "Skyservice".
2. All printed material on board the aircraft must clearly indicate that Skyservice is operating the air service.
3. Skyservice shall ensure that it is clearly identified as the operator of the air service in all public solicitations and representations (including invoices and tickets issued) by Skyservice and Conquest, Signature and Sunquest.

A copy of this Order shall be carried on board the aircraft and be provided to foreign authorities upon request.